>>Live from Barcelona, Spain. It's the Cube covering Cisco Live 2020 right to you by Cisco and its ecosystem partners. >>Welcome back to the Cube's live coverage here at Cisco Live 2020 in Barcelona, Spain. I'm jumpers student of cube coverage. We've got a lot of stuff going on in Cisco Multi cloud and cloud technology. Quantification of Cisco's happening in real time is happening right now. Cloud is here here to stay. We got two great guests unpack what's going on in cloud native and networking and applications as the modern infrastructure and software evolves. We got you. Gene Kim, global product marketing. Compute Storage at Cisco Global marketing manager and Rob Gori, senior director. Cloud Solution Marketing Guys come back. Thanks for coming back. Appreciate it. Great to see you Barcelona guys. So, Bobby, we've had multiple conversations and you see that from the sales force given kind of the the discussion in the motivation Cloud is big. It's here. It's here to stay. It's changing. Cisco AP I first week here in all the products, it's changing everything. What's the story now? What's going on? >>I would say you know the reason why we're so excited about the launch here in Barcelona is because this time it's all about the application of spirits. I mean, the last two years we've being announcing some really exciting stuff in the cloud space where I think about all the announcements with AWS is the Googles the azure, so the world. But this time it really boils down to making sure that is incredibly hyper distributive world. There is an application explosion. Ultimately, we will help for the right operation stools and infrastructure management tools to ensure that the right application experience will be guaranteed for the end customer. And that's incredibly important because at the end, what really really matters is that you will ensure the best possible digital experience to your customer. Otherwise, ultimately nothing's gonna work. And, of course, you're gonna lose your brand and your customers. >>One of the main stories that we're covering is the transformation of the industry. Also, Cisco and one of the highlights to me was the opening keynote. You had APP dynamics first, not networking. Normally it's like what's in the hood? Routers and the gear. No, it was about the applications. This is the story we're seeing. It's kind of a quiet unveiling. Its not get a launch, but it's evolving very quickly. Can you share what's going on behind this? All this? >>Absolutely. It's exactly along the lines of what I was saying a second ago, in the end that the reason why we're driving the announcement, if you want from the application experience side of the House, is because with Appdynamics, we already have very, very powerful application performance management, which it's evolving extremely rapidly. First of all, Appdynamics can correlate not just the application for four months to some technology, maybe eyes, but through actual business KP eyes. So app dynamics can give you, for instance, serial time visibility off, say, a marketing funnel conversion rates transactions that you're having in your in your business operation. Now we're introducing an incredibly powerful new capability that takes the bar to a whole new level. And that's the Appdynamics experience. Journey maps. What are those? It's actually the ability off, focusing not so much on front ends and back ends and the business performances, but really focusing on what the user is seen in front of his or her screen. And so what really matters is capturing the journey that given user of your application is being and understanding whether the experience is the one that you want to deliver or you have, like, a sudden drop off somewhere. And you know why this is important because in the end we've been talking about is the problem of the application, performance issues or performance. It could be a badly designed page. How do you know? And so this is a very precious information they were giving to application developers know, just through the idea. Ops, guys, that is incredibly gracious. >>Okay, you want to get this in. So you just brought up that journey. So that's part of the news. Just break down real quick. One minute what the news is. >>Yeah, so we have three components. The 1st 1 as you as you correctly pointed out, is really the introduction of the application. The journey maps, right. The experience journey maps. That's very, very important. The second he's way are actually integrating Appdynamics with the inter site. Actually, inter site the optimization manager, the workload optimization, workload, optimizer. And so because there is exchange of data between the two now, you are in a position to immediately understand whether you have an application problem. We have a worker problem for structure problem, which is after me, where you really need to do as quickly as you can. And thirdly, way have introduced a new version of our hyper flex platform, which is hyper converge flagship platform for Cisco with a fully containerized version, the tax free if you want as well, that is a great platform for containerized applications. >>So you do and what I've been talking to customers last few years. When they go through their transformational journey, there's the modernization they need to do. The pattern I've seen most successful is first, modernize the platform often HD I is, you know, an option for that. It really simplifies the environment, reduces the silos on, has more of that operational model that looks closer to what the cloud experience is. And then, if I've got a good platform, then I can modernize the applications on top of it. But often those two have been a little bit disconnected. It feels like the announcements now that they are coming together. What are you seeing? What're you hearing? How your solutions at solving this issue >>exactly. I mean, as we've been talking to our customers, a lot of them are going through a different application. Modernizations and kubernetes and containers is extremely important to them. And to build a container cloud on Prem is extremely one of their needs. And so there's three distinctive requirements that they've kind of talk to us about. A lot of it has to be ableto it's got to be very simple, very turnkey, fully integrated, ready to turn on the other. One is something that's very agile, right? Very Dev Ops friendly and the third being a very economic container cloud on prim. So as you mentioned, High Flex Application Platform takes our hyper converge system and build on top of it a integrated kubernetes platform to deliver a container as a service type capability. And it provides a full stack, fully supported element platform for our customers, and one of the best great aspects of it is it's all managed from inter site, from the physical infrastructure to the hyper converge layer to all the way to the container management. So it's very exciting to have that full stack management and inter site as well. >>It's great to see you, John and I have been following this kubernetes wave since the early early days. Fabio mentioned integrations with the Amazons and Googles of the world because, you know, a few years ago you talk to customers and they're like, Oh, well, I'm just going to build my own community. Nobody ever said that is easy now. Just delivering as a service seems to be the way most people want it. So if I'm doing it on Amazon or Google, they've got their manage service that I could do that or that there partners we're working with. So explain what you're doing to make it simpler in the data center environment. Because on Prem absolutely is a piece of that hybrid equation that customers need. >>Yes, so, essentially from the customer experience perspective, as I mentioned, very fairly turnkey right from the hyper flex application platform we're taking are happening for software were integrating a application virtualization layer on top of it analytics k VM based. And then on top of that, we're integrating the kubernetes stack on top of as well. And so, in essence, right? It's a fully curated kubernetes stack that has all the different elements from the networking from the storage elements and provide that in a very turnkey way. And as I mentioned, the inter site management is really providing that simplicity that customers need for that management. >>Fabio This is the previous announcements you've made with the public clouds. This just ties into those hybrid environments. That's exactly a few years ago. People like, Oh, is there going to be a distribution that wins in kubernetes? We don't think that's the answer, but still, I can't just move between kubernetes. You know seamlessly yet. But this is moving toward that >>direct. Absolutely. A lot of customers want to have a very simple implementation. At the same time, they weren't off course a multi cloud approach and I really care about marking the difference between multi cloud hybrid Cloud has been a lot of confusion. But if you think about a multi cloud is re routed into the business need or harnessing innovation from wherever it comes from, you know the different clouds capability from things, and you know what they do today. Tomorrow it could even change, so people want optionality, so they want a very simple implementation that's integrated with public cloud providers that simplifies their life in terms of networking, security and application of workload management. And we've been executing towards that goal so fundamentally simplify the operations of these pretty complex kind of hybrid apartments. >>And once you nail that operations on hybrid, that's where multi cloud comes in. That's really just a connection point. >>Absolutely, you know, you might know is an issue. So in order to fulfill your business, your line of business needs you. Then you have a hybrid problem, and you want to really kind of have a consistent production grade environment between things on Prem that you own and control versus things that you use and you want to control better. Now, of course, they're different school thoughts. But most of the customers who are speaking with really want to expand their governance and technology model right to the cloud, as opposed to absorb in different ways of doing things from each and every time. >>I want to unpack a little bit of what you said earlier about the knowing where the problem is, because a lot of times it's a point, the finger at the other first, it's the application promising the problem, so I want to get into that. But first I want to understand the hyper flex application platform. Eugene, if you could just share the main problem that you guys solve, what are some of the pain points that customers had? What problem does the AP solved? >>Yeah, as I mentioned, it's really the platform for our customers to modernize the applications on right, and it addresses those things that they're looking for as far as the economics right, really? The ability to provide a full stack container experience without having to, you know, but bringing any third party hyper visor licenses as well support costs that's well integrated. There you have your integrated, hyper converged storage capability. You have the cloud based management, and that's really developing. You provide that developer dev ops simplicity from that agility that they're looking for internally as well as for their production environments. And then the other aspect is the simplicity to manage all this right and the entire life cycle management >>as well. So it's the operational side of the hole in under the covers hobby on the application side where the problem is because this is where I'm a bit skeptical, Normal rightfully so. But I can see a problem where it's like Whose fault is it? Applications, problem or the network? I mean, it runs on where? Sears Workloads, Banking app. It's having trouble. How do you know where the problem is? And how do you solve that problem with what's going on for that specific issue? >>Absolutely. And you know, the name of the game here is breaking down this operational side, right? And I love what are appdynamics VP? GM Any? Whitaker said. You know, he has this terminology. Beast develops, which it may sound like an interesting acrobatics, but it's absolutely too. The business has to be part of this operational kind of innovation because, as you said, you know, developer just drops their containers and their code to the I T. Ops team, but you don't really know whether the problem a certain point is going to be in the code or in the application is actually deployed. Or maybe a server that doesn't have enough CPU. So in the end, it boils down to one very important thing. You have to have visibility, insights and take action at every layer of the stack. Instrumentation. Absolutely. There are players that only do it in their software overlay domain. The problem is, very often these kind of players assume they're underneath. Things are fine, and very often they're not. So in the end, this visibility inside in action is the loop that everybody's going after these days, too, Really get to the next. If you want a generational operation, where you gotta have a constant feedback loop and making it more faster and faster because in the end you can only win in the marketplace, right? So your I T ops, if you're faster than your competitors, >>will still still questioning the GM of APP Dynamics. Run, observe, ability. And he's like, No, it's not a feature, it's everywhere. So he's comment was observe. Abilities don't really talk about it because it's a big in. You agree with that? >>Absolutely. It has to be at every layer of the stack, and only if you have visibility inside an action through the entire stock, from the software all the way to the infrastructure level that you can solve the problems. Otherwise, the finger pointing quote unquote will continue, and you will not be able to gain the speed you need. >>Okay, so The question on my mind I want to get both of you guys could weigh in on this is that if you look at Cisco as a company, you got a lot going on. You guys huge customer base core routers to know applications. There's a lot going on a lot of a lot of complexity. You got I o. T. Security members talking about that. You got the WebEx rooms totally popular. It's got a lot of glam, too, and having the WebEx kind of, I guess, what virtual presence was telepresence kind of model. And then you get cloud. Is there a mind share within the company around how cloud is baked into everything? Because you can't do I ot edge without having some sort of cloud operational things. Stuff we're talking about is not just a division. It's kind of it's kind of threads everywhere across Cisco. What's the what's the mind share right now within the Cisco teams and also customers around cloud ification? >>Well, I would say it's it's a couple of dimensions. The 1st 1 is the cloud is one of the critical domains of this multi domain architecture. That, of course, is the cornerstone of Cisco's. The knowledge is strategy, right? If you think about it, it's all about connecting users to applications wherever they are and not just the users to the applications themselves. Like if you look at the latest US from I. D. C. 58% of workloads is heading to a public cloud, and the edge is like the data center is exploding many different directions. So you have this highly distributed kind of fabric. Guess what sits in between. All these applications and micro services is a secure network, and that's exactly what we're executing upon. Now that's the first kind of consideration. The second is if you look at the other civil line. Most of the Cisco technology innovation is also going a direction of absorbing cloud as a simplified way of managing all the components or the infrastructure. You look at the hyper flex. AP is actually managed by Inter site, which is a SAS kind of component. This journey started long time ago with Cisco Iraqi on then, of course, we have sass properties like WebEx. Everything else absolutely migrate borders. >>We've been reporting Eugene that five years ago we saw the movement where AP, eyes were starting to come in when you go back five years ago. Not a lot of the gear and stuff that Cisco had AP eyes. Now you got AP eyes building in all the new products that you see the software shift with you intent based networking to APP dynamics. It's interesting. It's you're seeing kind of the agile mindset. This is something you and I talk all the time. But agile now is the new model. Is it ready for customers? I mean, the normal enterprises still have the infrastructure and separated, and they're like, Okay, how do I bring it together? What do you guys see in the customer base? What's going on with that early adopters, Heavy duty hardcore pioneers out there. But you know, the general mainstream enterprise. Are they there yet? Have they had that moment of awakening? >>Yeah, I mean, I think they they are there because fundamentally, it's all about ensuring that application experience. And you could only ensure the application experience right by having your application teams and infrastructure teams work together. And that's what's exciting. You mentioned Ap eyes and what we've done. They were with APP dynamics, integrating with inner sight workload. Optimizer as you mentioned all the visibility inside in action and what APP Dynamics has provides. Provide that business and end user application performance experience. Visibility Inter site. It's giving you visibility on the underlining workload, and the resource is whether it's on prim in your private data center environment or in a different type of cloud providers. So you get that full stack visibility right from the application all the way down to the bottom and then inter site local optimizer is then also optimizing the resource is to proactively ensure that application experience. So before you know, if we talk about someone at a check out and they're about there's of abandonment because the function is not working, we're able to proactively prevent that and take a look at all that. So, you know, in the end, I think it's all about ensuring that application experience and what we're providing with APP Dynamics is for the application team is kind of that horizontal visibility of how that application performing and at the same time, if there's an issue, the infrastructure team could see exactly within the workload topology, where the issue is and entertain safely, whether it be manual intervention or even automatically our ops capability. Go ahead and provide that action so the action could be, you know, scaling out the VM that's on Prem or looking at new, different type of easy to template in the cloud. That's a very exciting about this. It's really the application experience is now driving and optimize the infrastructure in real >>time. And let me flip your question like, Do you even have a choice, John, when you think about in the next two years 50% more applications? If you're a large enterprise here, 5 to 7000 apps you have another 2 3000 applications just coming into into the and then 50% of the existing ones that are going to be re factor lifted and shifted the replace or retired by SAS application. It's just like a tsunami that's that's coming on you and oh, by the way, because again the micro services kind of effect the number of dependencies between all these applications is growing incredibly rapidly, Like last year, we were eight average interdependencies for applications. Now we have 20 so in Beijing imaginable happens as you are literally flooded with this can really you have to ensure that your application infrastructure fundamentally will get tied up as quickly as you can >>see. You and I have been talking for at least five years now, if not longer. Networking has been the key kind of last change over clarification. I would agree with you guys. I think last question because I wanted to get your perspective. But think about it. It's 13 years since the iPhone so mobile has shown people that mobile app can change business. But now you get the pressure of the networks. Bringing that pressure on the network or the pressure of the network to be better than programmable is the rise of video and data. I mean, you got mobile check now you got it. Video. I mean more people doing video now than ever before. Videos of consumer. Well, it's streaming. You got data? These two things absolutely forced customers to deal with it. >>But what really tipped the balance? John is actually the SAS effect is the cloud effect because, as you know, it's an I t. So the inflection points. Nothing gets a linear right. So once you reach a certain critical mass of cloud apps, and we're absolutely they're already all of a sudden your traffic pattern on your network changes dramatically. So why in the world are you continuing? Kind of, you know, concentrating all of your traffic in your data center and then going to the Internet. You have to absolutely open the floodgates at the branch level and as close to the users this possible, and that it implies a radical change of the >>way I would even add to that. And I think you guys are right on where you guys are going. It may be hard to kind of tease out with all the complexity with Cisco, but in the keynote, the business model shifts come from SAS. So you got all this technical stuff going on. You have the sass ification, or cloud changes the business models so new entrants can come in and existing players get better. So I think that whole business model conversation never was discussed at Cisco Live before in depth. Okay, run your business, connect your hubs campus move packets around Dallas applications in business model, >>but also the fact that there is increasing number off software capabilities and so fundamental. You want to simplify the life of your customers through subscription models that help the customer buying a using what they really need the right at any given point in time, all the way to having enterprise agreements. >>I also think that's about delivering these application experiences free for small, different experience. That's really what's differentiating you from your competitors, right? And so that's a different type of >>shift as well. Well, you guys have got a good That's a good angle on this cloud. I love it. I got to ask the question. What can we expect next from Cisco? More progression along cloud ification? What's next? >>Well, I would say we've been incredibly consistent, I believe in the last few years in executing on our cloud strategy, which again is sent around helping customers really gluing this mix, set off data centers and clouds to make it work as one right as much as possible. And so what we really deliver is networking security and application performance management, and we're integrating this more and more on the two sides of the equation, right? The data center side and the public cloud side and more more integrated in between all of these layers again, to fundamentally give you this operational capability to get faster and faster. We'll continue doing so and >>we'll get you set up before we came on camera that you were talking to sales teams. What are they? What's the vibe with sales team? They get excited by this. What's the >>oh yeah, feedback. And absolutely, from the inter site work optimizer and the app Dynamics side. It's very exciting for them. Switch the conversation they're having with their customers, really from that application experience and proactively ensuring it. And on the hyper flex application platform side, this is extreme exciting with providing a container cloud to our customers. And you know what's coming down is more and more capabilities for our customers to modernize the applications on hyper >>flex. You guys are riding a pretty big waves here at Cisco in a cloud way to get the i o t. Security wave. Great stuff. Thanks for coming in. Thanks for sharing the insights. Appreciate it. >>Thank you for having >>coverage here in Barcelona. I'm John. First, Minutemen back with more coverage. Fourth day of four days of cube coverage. Be right back after this short break. >>Yeah, yeah, yeah.

>> Live from San Diego, California It's the queue covering Sisqo Live US 2019 Tio by Cisco and its ecosystem. Barker's >> Welcome Back to San Diego. Everybody watching the Cube, the leader in live tech coverage. This day. One of our coverage of Sisqo Live 2019 from San Diego. I'm Dave a lot with my co host to minimum. Lisa Martin is also here. Kip Compton is the senior vice president of Cisco's Cloud Platform and Solutions, and he's joined by Fabio Gori was the senior director of Cloud Solutions Marketing. Gentlemen, thanks so much for coming on the Cube. >> Thanks. Great to be here having us. >> You're very welcome, Fabio. So, Kip, Let's start with you. I want to start with a customer perspective. People are transforming. Cloud is part of that innovation cocktail, if you will. Absolutely. How would you summarize your customers? Cloud strategies? >> Well, I mean, in one word, I'd say Multi cloud, and it's what I've been saying for some time. Is Custer's air really expanding into the cloud and it really expanding into multiple clouds? And what's driving that is the need to take advantage of the innovation in the economics that are offered in the various clouds, and we sit like to say that they're expanding into the cloud because for the vast majority, their coast of our coasters, they have data centers. They're going to continue to have data centers. Nothing's going to keep running in those data centers now. What's happening is they thought it would be easy to start with everyone here. CEO Chuck likes to talk about, however, and thought they just moved to the cloud like moving to another neighborhood. Everything would be great. Well, when they're multiple clouds, you leaving some stuff on him. All of a sudden, what was supposed to be simple and easy becomes quite complex. >> Yeah, I've often said Well, multi club was kind of a symptom of multi vendor. But what you're saying is, essentially, it's it's becoming horses for courses, the workload matching the workload with the best cloud to solve that problem. >> I think it's a feature not above. I think it's here to stay. >> So how is that informing your strategy is Cisco? >> Well, you know, we're very customer responsive, and we see this problem and we look at how we can solve it and what customs have told us is that they want access to the different innovation in these different clouds and the different economic offers in each of these clouds. But they want to do it with less complexity, and they want to do it with less friction. And there's a bunch of areas where they're not looking for innovation. They don't need things work differently in networking. They want one way for networking to work across the multiple clouds and, frankly, to integrate with their own primus. Well. Likewise, for Security. A lot of Custer's air a little freaked out by the idea that there be different security regimes in every cloud that they use and maybe even different than what they already have on him. So they want that to be connected and to work management an application lifecycle. They're worried about that. They're like they don't want it to be different in every single cloud. A map Dynamics is a great example of an asset here. We got strong feedback for our customers that they needed to be able to measure the application performance in a common way across the environments. When imagine going to your CEO and talking about the performance of applications and having different metrics. 2,000,000,000 where it's hosted. It doesn't make any sense in terms of getting business insights. So I've dynamics is another example of something that Custer's one across all of that. So we really see Cisco's role is bringing all of those common capabilities and really reducing the complexity and friction of multi Cobb, enabling our customers to really take the most advantage possible. Multiple cloud. >> So Fabio kept talked about how moving to cloud is a little bit more complex than moving house from one neighborhood to the other. What are some of the key challenges that you guys are seeing? And how specifically is Cisco helping to ameliorate some of those challenges? >> Well, there are some challenges that are squarely in the camp where we can help. Others are related, and probably they're the toughest in clouds to fundamentally acquisition of talent. Right way can help with our custom off course with our partner ecosystem in this case, but a lot of that is really the culture of the company needs to change, right? We keep talking about develops way, keep talking about what does he mean operating this infrastructure in the cloud. It's a whole different ballgame, right? It's a continues integration, continues. Development is actually moving toe agile, kind of softer. The album models. And, you know, I very often do the analogy or what we've seen a few years ago in the data center space where we so actually, the end off the super specialization, like people on Lino in storage, all innit, working on ly computing. And then we saw the rise of people fundamentally expert in in the entire stack. We're seeing the same in the cloud with the rise of the Cloud Architect. These guys now are the ones they're behind building Cloud Centre of excellence. The issue. If you want guidance, where's the control remains into the other team's right. But this is very, very important. So it's overcoming, overcoming the talent gap and knowing how to deal with that on the bottom of that on the other side, so you get a free economy is technology challenges. For instance, embracing Q Burnett is becomes an embracing open source is a big, big challenge, right? You've gotta be able to master this kind of science if you want and trusting partners like, for instance, ourselves and others that will give you a curated versions of the softer image in life. Very often do customer meetings, and I ask how many how many tools to use in production for your Cuban Embassy plantation? And the answer ranges from 20 to 25. It's crazy, right? So imagine if 12 or three of these stools go away. What are you going to do? So you know, it's it's a whole different ball game really going to go into this kind of world. So Kip, we understand >> today, customers are multi cloud and future. It's going to be multi cloud. Think So. >> How do we make >> sure that multi cloud doesn't become least Domine, Denominator Cloud? Or, you know, you really say All I have is this combination of a bunch of pieces like the old multi vendor. How does multi cloud become more powerful than just the sum of its components? Is a good question, and we've really, I mean, way support a lot of different ways of accessing a cloud, Francisco, because we have such a broad Custer base and our goal is really to support our customers. However, they want to work. But we have made a bet in terms of avoiding the lowest common denominator on DH. Some people look ATT, accessing multiple clouds as sort of laying down one software platform and writing their software to one set of AP eyes that they didn't somehow implement in every cloud. And I think that does tend to get you to lowest common denominator because, you know, if you want to be on the Alexis Smart speaker, you have to be on the Lambda Service at a job. Yes, that's it. It doesn't exist anywhere else. And so if you're trying to create a common layer across so your clouds and that's your approach, you have to give up unique capabilities like that. And almost every consumer brand wants to be our needs to be on that election. Smart speaker. So we actually see it is more taking the functions that are not points of innovation, reducing the friction and leaving our customers with the time and energy to focus on taking advantage of their unique capabilities. And Fabio, you're partnering at Cisco with a number of their providers out there. Where are we with the maturity of all this? We were at the Cube con show and you know you're right. There's a lot of different tools. Simple is not what we're discussing, mostly out that show. So what do we solve today? And what kind of things does Cisco and its partners look to be solving kind of in the next 6 to 12 months? >> Partner? Partnering with this big players is absolutely a company priority for us, for Cisco, and one thing that's important is you, said multi vendor at the beginning. That was an interesting common, because if you think about it, multiple out is really business need, right? You want a hardness, innovation wherever it comes from. But then when you work with a specific provider in your reach, critical mass you want tohave integrations with this with this different providers, and that is the hybrid world. So hybrid is more of a technology need to streamline things like networking or security, or the way you storage because the poor things of this nature so that's three. Liza is a big need, and we'll continue, of course, adding more and more from the standpoint of partnerships every every one of the environments in our customers want to uses of interest for us, right to extend their policies to extend our reach. >> So just following up on that partnership, You guys air cloud agnostic, You don't own your own clouds, right? Not selling that. So you were at Google Cloud next to Europe on stage David Gettler, you've got a relationship with as your you got relationship with a W s. Obviously so talking about the importance of partnerships and specific strategy there in terms of your go to market, >> Well, you know, first, all the partnerships or critical I mean, it's you said we're not trying to move the workload Stark filed. And by the way, a lot of our customers has said that something that they value they see us is one of the biggest, most capable companies on the planet. That still is someone. I got sick and ableto work with them on. What's the right answer for their business? Not trying to move everything to one place and those partnerships a critical. So you're going to see us continue Teo building this partnerships. In fact, it's only day one here. I wouldn't be surprised if you saw some news this week on that. >> We were wondering if we're going to see somebody parachute in, that would be exciting. So why Cisco? Uh, ask each of you guys Maybe maybe, kid, you could You could give us the answer from your perspective and an Aussie. The same question. >> Well, from my perspective, it's based on what our customers tell us that again. You know, the things that were very good at things like networking and security are some of the biggest problems that our customs face in taking advantage of clouds and are some of things that they most want common across clouds. So we have a very natural role in this. I actually think back to the founding of Cisco, if you know the story. But it was Sandy Lerner and Limbo zakat Stanford. Their networks couldn't talk each other. You didn't remember back to the days like deck net and apple talk and all these things. It's hard to even recall because this new thing called peace pipe he obviously took over. That was the beginning of Sisko is building the multi protocol router that let those different islands talk each other. In many ways, Custer's see us doing sort of the same thing or want us to do the same thing in a multi cloud world. >> Well, just aside before I ask you, Fabian, a lot of people think that, you know, the microprocessor revolution killed many computers. IPads. Cisco kind of killed many computers to your point. But, Fabio, anything you would add to the sort of wisest >> guy would say, If you want my three seconds elevator peaches, we make multiple easier and more secure. Multiple this complex. So we definitely make it easier through our software. And we have three big buckets if you want there really compelling for for our customers, the 1st 1 is all of our software. Arsenal around weapon on his cloud center work looked a musician manager that helps last summer in building a unified application management kind of soft or sweet across home Prem and any of the public clouds that we've been talking about. The 2nd 1 is, as you said, we build on our DNA, which is, if you want and you heard Gettler today are multi domain kind of architecture, right, which is incredibly relevant in this case, you are not working in security. Fabric really is important there, and the thirties are ability because we don't compete with any other big players to partner with them and solve problems for our customers. So these three buckets are really, really important that deliver. Ah hi business value to >> our customers if I want to come back to something we're talking about is the Customs said the customers don't want a different security regime for each cloud, right? So it's complicated because, first of all, they're trying to struggle with their own security regime anyway, Right? Right? And that's transforming. What is the right right? Sorry security regime in this cloud here. How is it evolving? >> Well, me, What we're doing is we're bringing tools like Te Trae Shen, which now runs on prim and in the clouds. Things like stealth watch what's runs on permanent cloud and simply bringing them security frameworks that are very effective where I think a very capable of well known security vendor, but bringing them the capability to run the same capabilities in there on prem environments in their data centers as well as a multiple public clouds, and that just eliminates the scenes that hackers could maybe get into. It makes common policy possibles. They going to find policy around an application once and have it apply across Balto environments, which not only is easier for them but eliminates potential mistakes that they might make that might leave things open. Joe Hacker. So for us, it's that simple bringing very effective common frameworks for security across all these >> years. You certainly see the awareness of the security imperative moving beyond the SEC ops team. There's no question about that. It's now board level lines of business are worried about. For their digital transformation was data, but our organizations at the point where there operationalize ing security practices and the like, you know, to the extent that they should be >> well, I mean, I think when you say they should be, there's always room for improvement. Okay, but we're seeing just about all of our customers. I mean, as you said, securities is a sea level, if not a board level discussion and just about all of our customers. It's routinely top first or second concern on a survey when Custer's saw about what's concerning them with the clouds. And so we're seeing them really view, you know, security's foundational to what they're doing. >> I mean, it used to be. This sort of failure equals fire mentality. You somebody cracks through, you're fired. And so nobody talked about it. Now I think people realize, look, bad guys are going to get through. It's how you respond to them. Don't you think about how you using analytics, but yeah. So >> when we start just the >> way you were moving quickly >> towards, well, more or less quickly to a zero trust kind ofwork thie action assist you in this area every since the acquisition ofthe duo is performing exceptionally well. And if you want at the top of the security ecosystem in a multi polar world, you find identity because if you don't know who the user or the thing is, they're trying to use a certain application, you're in trouble because perimeter, all security off course is important. But you know that you're going to be penetrated, right? So it boils down to understanding who's doing what and re mediating a soon as possible. So it's a whole different paradigm >> of a security huge tail. When Francisco it's a business growing 21% a year, it's three more than three times the growth of the company. Overall, which is actually still pretty good. Five or 6%. So security rocketship? >> Yeah, Fabio, Just I noticed before we did the interview here that everybody is wearing the T shirts. The cloud takeover is happening here at the definite zone. So give those of us that you know aren't among the 28,000 you know here at the show. A little bit of what's happening from you're >> gonna do something unusual going, gonna turn that question to keep because he was actually on stage >> the second single. Why don't you just get that off? You know, I think it links back to it. Bobby. Always talking about what talent I mean, obviously the most important thing we bring our customers is the technology. We are a technology company, but so many of our customers were asking us to help them with this talent cap. And I think the growth of definite I mean, we're actually sitting here in the definite zone. It's got its own area Here. It's Sisk alive. It's gotten bigger every single year. Here it's just go live. The growth of definite is a sign of how important talent issue is as well as the new certifications that we announce we expanded our certification program to include software conjuncture with Dev. Net. So now people be able to get professional certifications Francisco not just on networking but on software capabilities and skills. And this is something both our partners, our customers have told us. They're really looking for now in terms of the takeover, it's something fun that the definite crew does. I think you're doing five of them during this week. I was really excited, Suzy. We asked us to be the first Eso es the opportunity. Kick it off. It does include beer. So that's one of the nice things. It includes T shirts, both things that I think are prevalent in the developer community. I'll say, Andi, just have an hour where the focus is on cloud technology. So we got everyone in cloud T shirts, a bunch of the experts for my product enduring teams on hand. We had some special presentations, were just many an hour focused on cloud >> Well, and I love that you're doing that definite zone. We've always been super impressed with this whole notion of infrastructures code. I think I've said many times of all the traditional enterprise cos you know computer companies, if you will hae t companies Cisco has done a better job of anybody than making its infrastructure programmable. We're talking about security before it's critical. If you're still tossing stuff over to the operations team, you're gonna be have exposures. Whereas you guys are in a position now and you talk talent, you're transitioning. You know the role of the C C I. A. And now is becoming essentially a developer of infrastructure is code, and it's a very powerful absolutely. I think we're >> helping our partners and our customers transform. Justus were transforming. I think it's kind of a symbiotic relationship that's super important to us. >> It's also important you think about the balancing act between agility, cost, called security or even data assurance. There. Tradeoffs involved the nobs. You have to turn, but you can. You can you achieve all three, you know, to optimize your business. >> Look, there may always be trade offs, but it's not sort of a zero sum game. All those we sing customers who've automated that through things like C I. D. Move Teo, you know, a different place in a much better place where They're not necessarily making trade offs on security to get better agility if they fully off if they fully automated their deployment chains. So they know that there are no mistakes there. They know that they have the ability to roll out fixes if they need to. They know that they're containers, for instance. They're being scanned from a security perspective, very every time they deploy them. They're actually able to build automated infrastructures that are more agile and more secure so that it's pretty exciting. >> So it involves the automated change management and date assurance talking about containers. That's interesting. Spinning up containers. You want to spend it down frequently. So the bad guys that makes it harder for them to get through. >> You talk about BM sprawling, right? Yeah, right. The Janus sprawling biggest issues out there. And by the way, you know, as you automate this infrastructure, rightly so you mention infrastructures code that you can do the other magic, which is introducing machine learning artificial intelligence. And today they get learn such Gupta gave school. Harold, thank you. Have a terrific demonstration off. You know, finding Rocco's analysis for very, very complex kind of problems that will take forever in the old fashion world. Now, all of a sudden you have the management system. In this case, the nation tells you actually where the problem is, and if you value there that you click a button and instantaneously you deploy, you know, new policies and configuration. That's a dream come true. Literally, you may say, probably we're the last ones to the party in terms of infrastructure players, the industry means. But we're getting there very quickly, and this is a whole new set of possibilities now, >> way talking the cube a lot, and I think it's really relevant for what I'm hearing about your strategies. This cloud is about bringing the cloud operating model to your data wherever your data lives. And that seems to be kind of underscore your your strategy. Absolutely. It's so edge cloud on Prem hybrid, you guys, Your strategy is really to enable customers to bring that operating model wherever they need to. Absolutely right >> that transparency is a big deal. I mean, application anywhere, eating. Did I anywhere? That's a world where we're going to >> guys thoughts. Final thoughts on Sisqo live this year. No, it's only day one gets a customer meetings tonight, but initial impression San Diego >> Well, it's It's a well, it's always great to be in San Diego on DH. It's a great facility, and we know our customers really enjoy San Diego is Well, I think we'll have a great customer appreciation event on Wednesday night. Um, but, you know, I was struck. Uh, you just have to the keynote. I mean, the world solutions was buzzing, and there seems to be is always a lot of energy. It's just go live. But somehow so far this season, maybe even a little bit more energy. I know we've got a number of announcements coming this week across a bunch different areas, including clouds. So we're excited for next few days. >> Well, you got the double whammy first half. We were in February when Barcelona guys don't waste any time. You come right back. And June, your final thoughts value. >> Oh, it's just so exciting to speak with customers and partners. Over here, you can touch their excitement. People love to come together and get old. The news, you know, in one place it's this tremendous amount of energy here. >> Keep copter Fabio Gori. Thanks so much for coming on The Cube. Appreciate it. Thank you for having your walkabout, keeper. Right, everybody. We'll be back with our next guest. David Out. A student of Aunt Lisa Martin. We're live from Cisco Live 2019 in San Diego, right back.

(upbeat funky music) >> From our studios in the heart of Silicon Valley, Palo Alto, California. This is a Cube conversation. >> Hello everyone welcome to this special Cube conversation here in Palo Alto, California. I'm John Furrier. Co-host of the Cube. We got two special expert guests here talking multi-cloud, Jonathan King, Vice President of Strategy, Data Center, and Cloud for WWT. And Fabio Gori, Senior Director Cloud Solution and Marketing at Cisco. Multi-cloud is the topic. Guys are in the throes of it. Jonathan, you're in the front wave of a massive shift. Cisco powers networks for all companies these days, so guys multi-cloud is a reality. It's here. I want to get your thoughts on that, have a conversation. Thanks for joining us. >> Great, glad to be here. >> So multi-cloud is not really been debated. I mean people generally now step back and say multi-cloud is a reality. It's here, people have multiple clouds. Should only have data center on premise. But this idea of multi-cloud and hybrid cloud are somewhat getting mixed up, but multi-cloud is certainly more realistic in the reality sense than anything else. What's your take on multi-cloud, Jonathan? >> So I think we're at a point where there's a growing acceptance of multi-cloud as the architecture of the future. And when you arrive at that point it also means that multi-cloud is the architecture for today. Because if you see your competitors, you see new entrants in your space, moving in a rapid digital pace to meet their business needs, and you're not on the same kind of architecture. The same footing. Then you're going to be left behind. So, used to debate private cloud, hybrid cloud, multi-cloud. The way we see it is that we're in this multi-cloud world. And multi-cloud embraces an end-to-end imperative. How am I getting my apps and my development teams building those apps closer to my business and meeting my needs more rapidly? And then how am I connecting my entire business, my data, my network, all of it, to meet that needs. So multi-cloud architecture's really an imperative. It doesn't mean it's the only thing. There's other elements in terms of having a clear digital strategy. Thinking about how you're going to modernize your infrastructure. Of course, thinking about how you're transforming your security. All four of those elements really comprise a enterprise architecture. Multi-cloud being a core part of it. >> Fabio, Cisco, you guys have seen the waves of innovation, internet, connecting companies together through networking etc. Multi-cloud's a big part of your focus. Certainly at Cisco Live we covered that. What's the definition of multi-cloud now, because I've heard, it's been debunked, but I've heard people say, oh multi-cloud's an application workload moving across multiple clouds. Some say, no, it just means I have two clouds. So what is the definition? Baseline us here. >> So it's interesting because you can go Wikipedia and actually read the definition of multi-cloud, but what I'm really interested in is exactly what Jonathan was saying a moment ago. This is one of those rare cases where what you hear architecture is actually a technology architecture and the business architecture really coincide. People want to use innovation wherever it comes from. And because you can't allow yourself to be just restricted your choice, people want to have choice. Multiple choices. And that's why we're seeing adoption of multiple cloud services. Multiple SaaS solutioning for structure service solutions and the likes. So this is really what multi-cloud means. You're satisfying a business need. And while cloud computing was born, as we know, around 10 years ago, and it probably started with a kind of cost connotation, the speed and agility that you can get out of it now overwhelm the other parameters. And people are ready to spend anything it takes to become faster than their competitor, because that ultimately will really determines your destiny in the marketplace. >> And I want to drill into the tech side and have some specific pointed questions I'd love to ask you. Jonathan, first, talk about the relationship that WWT, World Wide Technology, has with Cisco, and your credibility in multi-cloud. You guys have a unique view First of all you work with Cisco, you guys partner together. A big part of your business. But you guys are in the middle of a lot of the action. Talk about the company. What kind of deals you guys are doing? What visibility do you guys have? Is it a landscape? Give an example of some of the work that you guys do, and then talk about the relationship with Cisco. >> Yeah so, the Cisco is a very strategic partner of ours. They have been for a long time. And we have the benefit of being at scale with Cisco. For repeatable waves of technology roll outs. In repeatable domains of technologies. So, customers come to us and look for our help as a trusted advisor to help them with their architectural decisions. And to help them often with knowledge gaps. So, architecture is a challenge. Especially when you're dealing with rapid change. So you have a pace of change externally. You cover this space. I mean every day, right? We were sitting here there's some kind of new thing going on. And, that change, I mean even companies who know what they're doing, and have deep benches of talent, have architectural challenges. But you take it to an enterprise or a government agency. How are they going to keep up? Well that's really our job and the value we bring is. We are constantly watching, talking to partners, talking to customers. And there's almost no one we're that as closely with as we are with Cisco, in terms of how we're watching trends, looking what's happening. And from a multi-cloud standpoint, in answer to your question there, it's a bit of a thought experiment. So if you define multi-cloud as really just, oh it's just between Amazon, Azure, Google. Multi-cloud is just multi public cloud. We do not see it that way, our clients don't see it that way. Our clients see it as a bigger domain. That multi-cloud includes how you're connecting to SaaS. How you're, there's multiple public clouds, a bigger definition there. But then it's also the edge, the cloud edge, the different edges that are out there are are being deployed in a cloud architecture. Your core data center has a private cloud. All of that we see as multi-cloud. And when you define it that way, you start to look at it. Companies are saying who do I turn to to help me with a multi-cloud architecture? Do I turn to someone that was born in the cloud. Who just really knows AWS. They know it really well. But that's what they know. Or a similar consulting company who's over here. The credibility that we have, we have those capabilities. But we also have depth and breadth, and history, and knowledge, and contracts and relationships. An incredible ecosystem. And important with Cisco, it's not just a one-way relationship. We have an ecosystem around us, collectively, that Cisco benefits because we have that ecosystem. And that's really what companies look for. It puts us in a very unique position because we see this AND world. It's not an OR world. And I think even the investments and movements that the public clouds have made recently. The hybrid offerings that they're bringing, and where Kubernetes is going to enable portability. All these things really are about a multi-cloud world, and we're just excited about where we are. >> It's interesting, there's the first wave, Amazon, I call it the Amazon wave because they really did take out the beach. And then public cloud. It kind of showed the way, the economics and the value creation piece. And you mentioned a few things that point at this next wave. That next big wave I see it is about people and technology. This holistic view around multiple architectures is a systems concept so it's not unproven. And Fabio we've seen this movie before in systems. Operating systems. You need networking. You got to connect things together. So this next wave of thinking about workloads and applications in context to an architecture see to the next narrative that people are starting to talk about. Versus. >> Absolutely >> Public cloud, because the people equation, who's going to run it, who's going to service it, who's the coders, what tools and APIs do I use. People behave in certain ways, and they like their favorite cloud, so it's a whole different ball game. You're thoughts. What's driving all this? >> I would say, look, we could talk about this forever. But I think we're seeing a pretty dramatic shift into an architectural model, right? I mean, if you remember a few years ago, we had networking specialists in the data center, storage specialists and compu-specialists, well guess what, people moved to full-stack type of expertise, right? And now we even have systems that are completely converged. Or hybrid converged. Well, we're seeing the same movie in the cloud. Where we're seeing the rise of cloud architectures, enterprise architectures, which become really determinable of the business. And these people, especially in the companies that are ahead of the game, in terms of cloud adoption and expertise. These guys are issuing the new guidance and guardrails for the entire organization in terms of what governance role you need to take, right? And the other groups actually execute this kind of strategy. This is, some people say this is finally SOA coming alive. The SOA, Service Oriented Architecture. That's exactly what it is without probably some of the kind of propriety underpinnings, or driven by certain market players in the past. This is a true, so if you think about microservices in containers, that's exactly what it is. And also we're seeing a lot of companies that are starting getting even organized by microservices. Which is the ultimate demonstration that the technology architecture and the business architecture are really converged. It's a fairly complicated concept, but in the end it's about really connecting the business to the underlying technology. >> And it's a shift that's happening in front of our eyes. And we're covering a lot of the news. Some notable news that we've been covering lately, the Department of Defense JEDI contract. That's in the public sector and military. CNCF, Amazon re:Invent. Google Nexus coming out. You're starting to see the formation where it's not about the cloud vendor or the cloud supplier anymore, as much as it is about the workload. So, there's been a debate of sole sourcing the cloud, that's certainly, we're seeing that on the DOD side 'cause it's more a military procurement thing. But that's not the right answer anymore, we're seeing that whole, spread the multi-vendor love around. It's not so much like it used to be. It's different now, there's new architecture. So, Jonathan, I want to go back to your multi-cloud architecture because I think the strategic question that I'd like to get to is. It might not be a bad thing to pick a cloud, a sole cloud for workload. But that's not meaning you're going to not use other clouds. This is a whole different thinking. So I can pick Amazon for this workload or pick Azure for that workload and Google for that workload. And holistically connect them all together. Seamlessly, this is not a bad thing. Your thoughts. >> There's a somewhat of a paradox when you talk about multi-cloud architecture and then you talk about moments in time where it makes architectural sense to pick one cloud, right? That particular decision there's issues around people and training and technology, and time to market, and API coverage. So there's all these things that you're trying to get a job done or a mission done and the amount of time that you have to achieve that job or that mission. What path am I going to choose? What engine am I going to put on the plane to get me there? Now that doesn't mean that that's the only engine you're going to put on your fleet. It just means that particular plane is going to have that kind of engine. And then the next time, you got another engine, you got a different kind of plane. You're thinking about how you're doing these things in waves and modules, and you're trying to build your aggregate velocity, 'cause really if you strip it all down. You know earlier we were talking about multi-cloud and people and talent, we're in a distributed computing land rush. And businesses of all sizes, government agencies, companies are trying to figure out how do we, you know. Electricity came along, now cloud has come along, right over the horizon cognification's coming along. How am I as an enterprise getting digitally ready, and getting on a footing to be able to do what I need to do in that domain? And really, it's about velocity and movement, so. Now that means that, that's why architecture is so important, because you have to make, you want a, people talk about one-way doors and two-way doors. So you want stop and think about, am I going through a one-way door or am I going through a two-way door? Meaning, do I have a way to come back? Is this a decision that I'm going to live with? If so how long? Is this a decision I can go through and I can come back? These kinds of approaches let you look across it. So an example would be networking. So networking is a foundation to every multi-cloud strategy. So you have to think, today my network in many enterprises is still a campus branch architecture. Well traffic patterns have changed. Even if you've just done nothing your customers have moved. Like all of a sudden, you know we talk to customers. We work with retailers, we work with all kinds of people, and it is like Global Climate Change. It's like global network change. The scale at which the clouds have arrived have changed the network patterns. So, if you start to look at it, you're saying, well what is a multi-cloud networking strategy? How do I need to rethink, well, guess what, the campus, my headquarters, is no longer the hub it used to be. The hub is now at the cloud edge, where all the other clouds are geographically aggregated. I need to move my network closer to that location. So we do a lot of work with Equinix in that context, right? So they have and have built a business around >> Sort of re-architecture's happening, and it's being driven by value creation, value shifting. >> Yes. >> Moving everything around. >> And that's where from a cloud networking standpoint, you look at that's a discussion where Cisco's so uniquely situated, because they are the networking company. They've been through the generations and they've been through different changes of generations. You know Wi-Fi, didn't used to be Wi-Fi. Now it is, right, it's here. And now we're in this next paradigm, where cloud networking didn't used to be here. Now it is, so. >> What's the new thought process for cloud networking. Because it makes a lot of sense, you have to connect clouds, obviously networking latency, SLAs around moving things around from point a to point b, storing stuff as well. Fabio, what's the equation look like? What's changed? Where do your customers go in this new architecture? >> Well, just building on top of what Jonathan was saying before, first of all the way we architect the networks, enterprise networks were networks in the past. Of course this is coming to an end. We need to rethink them, right? The fact that users now are going to use an enormous amount of software as a service applications that don't sit in your data center, means that constricting all the software in a single place doesn't make any more sense. But there's not just the traffic element. Think about all the intrusion detection and prevention, firewalling capabilities. Because you're moving away from that model, you need to start visualizing also those security functions and distributing them all the way to the edge of the network. In some cases, you need to have them in the cloud as well. We believe that the best way is a fully distributed model. Where you have a choice. Whether you keep it in your data center, or you put into the cloud, or even the to edge of the network. Again, you got to be ready for any kind of scenario. It's interesting how, you know, we're going to distributed computing as you said. But everything else is getting distributed as well. >> Oh yeah. >> Your entire infrastructure needs to follow your application and data. Wherever they go. And that's actually something unprecedented that we're seeing right now. >> And you brought up cloud architecture earlier, Jonathan. You mentioned it briefly. And this comes back to some of that this nuanced point around cloud architecture. The procurement standards aren't driving what you buy, its architectural workload dynamics are now telling procurement how we're buying. So the world shifting from, oh, I'm going to buy these servers. I'm going to buy this gear, the approved vendors. When you think about architecture the way you pointed it out, it's a completely different decision making process. So what's happening is old ways of procuring and buying and consuming technology are now shifting to. Still not going to stand up a cloud with a credit card if I'm doing dev ops, but now you start thinking holistically. The decision making on what that will look like has changed. This is probably impacting the cultural people side as well. What's your thoughts on this dynamic between cloud selection, security, architecture, and procurement? >> The example I normally give is, it's changing but it's also evolving, right? Because you're dealing with patterns that are there, and they're not going to go away, right? Money still has to be paid. Processes have to be followed and respected. The examples that I give would be, I've run large clouds in my past. Different platforms. And one thing you always watch out for when you're running a cloud is capacity. How much money do I have in the bank, so to speak, right? Am I going to have a run on the bank? So if you're running that cloud, either, and this is true if you're a service provider or you have your own private cloud. You're very concerned about you don't want to run out of capacity. Because bad things happen. Even unrecoverable bad things happen. Well in the public cloud, hey, I'm free and clear, I no longer have a capacity management team, I don't need to worry about them anymore. No, no, no no. 'Cause, you know, we just saw some press recently of a company that had a big overage. In cloud, what used to be capacity management is now cost optimization. 'Cause if you don't have it, you're going to have a similarly bad outcome. It's those kinds of things, right? How do you go, and it's those things, right? >> Once a benefit, now it's a challenge. So this could back down to the billion dollar question on the table in the industry is, how do I manage all this? I know how to connect it. Cisco could help me there. I understand multi-cloud, I totally buy into the architecture. I think this is clearly the direction. The management piece is kind of a fuzzy area. Can you guys help unpack cloud management? What are the table stakes? How should people be thinking about it? Because you mentioned security and intrusion detection. Not just moving packets around. We were talking before you came on about Kubernetes. There's all new sets of services moving up the stack, inside this dynamic. How do I manage it all? What single pane of glass is going to do it for me? >> Well, yeah, it's interesting you mentioned there. We've talked a lot about almost like an East West type shift you can think of where, multi-cloud is this thing that goes this way. Well, there's an equally crazy paradigm that's happening in a very fast period of time where it's almost like a North South North shift. Which is, Kubernetes, containers, service meshes. These architectures that are abstracting and lifting everything up. And in some ways, coming underneath as well, at the same time. Because now you've got a return of bare metal. You have these concepts architecturally where the VM is here to stay, it ain't going anywhere. It's still, the tooling around is insanely valuable. But you have now another benefit layer at a container orchestration layer, where there's portability, speed. There's all these benefits that come. And you just look at the stats of how fast containers are growing as a share. You're approaching a billion containers out there right now. And therein lies the challenge. Is that it'd be enough of a difficulty if you were saying I need to go from managing my private cloud, the stuff I have at a cloud edge, edge location, and the stuff I have in multiple public clouds. That's not all we're saying. We're saying also, you have a new tooling and a new set, and it's all software defined, and there's security, network, there's data. It just it's -- >> Complex. >> Exploding, it's complex. So the area that we're working on and want to hear more from Fabio is were innovating with Cisco on, we have great offerings and capabilities around cross cloud and VM orchestration. We're also looking now at that Kubernetes layer. >> Absolutely. >> What's real on that, the complexity he just pointed out is an opportunity at the same time because it just validates the shift that's going on. >> Absolutely. >> Management is an opportunity. >> Jonathan almost went through the entire set of needs. And what you take away from this is that fundamentally you have to instrument this incredibly distributed environment multiple sources and sourcing of this. In fact I love the analogy that you did with the planes, because there's a lot of kind of similarities to a supply chain management kind of business model, right? Where you want to supply different services. But a bottom line is that you're now moving away from what you have. It's a journey. And so this instrumentation, whether it's networking, security, analytics, management, these are actually the four pillars of our company multi-cloud strategy. They need to work across the old and the new. You can't afford to build another silo and maybe leveraging a bunch of open stores like-- >> So a data plane strategy is critical. >> It's, yeah, and it has to-- >> Across the hybrid and multi-cloud. >> East West, North South, and across the old and the new. It sounds very complex, but in reality the-- >> But you could build a taxonomy around this. And we've seen some research come out certainly from Wikiban and others. If it fits into the architecture that seems to be the question. So Jonathan, where does that fit in to the multi-cloud architecture in your opinion? >> So we, there's, you get into different terminology. We think about every company needs a cloud services strategy. So there's a taxonomy of services that we've developed. Where companies have to think about their application services strategy. Their operation strategy, governance strategy, foundation strategy. And this is, it's sort of coming what I teased upon earlier about moving from capacity planning when you own the cloud to cost optimization when you're running the cloud, right? It's the same, but different. And a lot of that difference gets down to services. I am going from a model of running my own product in an information technology modality to now I'm consuming services. So, I used to architect, and design, and build. Now I have to architect and really understand those differences. And so that's our cloud services strategy portfolio. And what we often see is we also have a dev ops portfolio. And we short-hand it, you could call it cloud native, right? Where we're looking at solutions around infrastructures code, around CICD pipelines, around cloud foundation capabilities that connect back-- >> Are they best practices or actually implementation? >> So both, we have content and workshops that we've developed, and then we have. Helping clients on projects very actively. And, you know, that's where it gets back to that architectural gap and knowledge gap. Is companies are looking for, hey, what's the pattern, what are the best practices. And then they don't expect, 'cause there's so many elements that change for a given company. And that change in the market, that there's a shelf-life to this. And it's like fresh produce. >> I love your example of engine in a plane. Do you have it for a single plane or fleet of planes? Does your company have two three big planes. It depends really, I mean, beauty's in the eye of the beholder, here, right? How you build and architect cloud, there's no boilerplate. It really is comes down to figuring it out. >> Where you are. >> So, with that, I want to go to my final point I want to dig into on the people side. So technology shift, business shift, check. You guys did a great job there. Great insight. Comes up every time I have to go to a Cube event and talk about cloud, is the cultural people skills gap problem. One, our company doesn't have the culture and/or we don't have the skill and we don't have the people to run it. So, automation certainly can help there but at the end of the day, if you don't have the people to do this. How do you solve the people problem? How are you guys helping companies? What is some of the state-of-the-art techniques? What's out there? >> So, I'll say a little. I appreciate Fabio's perspective, too. I think for us, really, you know, the old saying, culture eats strategy for breakfast. Culture's more important than ever. Because really, you're now moving to a mode where siloed organizations implementing siloed technology is enormously challenging. You have to move, and that's where dev ops and other patterns come in, where the people who build the app are doing the operations. Storage and networking and compute and apps and the business, they're all talking to each other. So culture really is foundational so that a culture where you're not making boundaries more rigid, you have to get to a point, and there's different ways to do this. I already recommend if people haven't already read the Phoenix Project. Hard to believe but it's an excellent book. And it's a fictional work about tech. It's like a novel about tech. >> I haven't read it yet, I'm going to get that. >> It's awesome. And it really gets you in the mindset of an organization going through change with the net. And it really, I mean I'm a geek, so I like it, but I've had other non-Geeks read it and they like it. But that's the key, it's a-- >> So you really got to set the table and invest in culture, making sure it's >> Culture's foundational. >> appropriately aligned. >> Culture's foundational. And then there's other best practices that always apply, right? So, what is your business vision? What is your mission? What are your values? What are the objectives you're trying to achieve in this space and time relationship? How are you prioritizing? These are all things because then if you have the right build around all that. Then what you drive to is an outcome at a certain point of time. And time's critical. We're in a market that's competing on time. So if you are not hyper aware of time. And what you're doing in a set point of time. And the trade-offs in making changes if your assumptions are wrong. These are all things that are foundational. >> Fabio, I want to get your thoughts. Chuck Robbins talks about solving the tech problems just because a tech company can solve tech problems all day long. He's also behind the people skillset. I've heard him publicly talk about it. But you guys at Cisco have actually had a great transformation with the DevNet Create community, where you harness the culture, and everyone's engaged around cloud, cloud native, and you have a kind of cloud DNA developing out of the core network. Your thoughts and Cisco's view on culture and people solving the problem. Because we need an army of cloud architects out there. There's not enough people. >> So that's true, but we carry an enormous responsibility in the marketplace as a vendor. We have to make things simple, right? There's still, you know, most of the IT infrastructure's still very complex to program and automate and the likes. That's why we're putting an enormous amount of RnD efforts, right? DevNet is like the tip of the spear. It's showing fundamentally our very loyal CCIEs and everybody else there's a better way to do things, right? Where you can actually really automate things together. You can get access to the APIs and simplify your life. You can simplify your life and the life of the business 'cause you can get faster. So making things simple, automating them, I don't know, if you think about, for instance, our cloud management orchestration philosophy. With the cloud center, we have a patent where we can actually model the application at once. And deploying it to wherever you want. We can deploy that application on-prem, on a VM, or like viralize kind of infrastructure. You can put it into AWS, you can put it into Azure, whatever you want. Kubernetes is kind of target on-prem. That is simplicity, right? We have to drive simplicity. And for me, it's all about automation, and sometimes you hear things like, in 10-base architecture and infrastructure all of that means simplicity and security. And that's the complexity of the whole thing for us is trading off, of course some of the complexity, richness, and flexibility. But it's got to be simple. If we don't make it simple, we are actually failing our goals. And that's where we're putting an enormous amount of RnD effort. >> And Jonathan, you guys at WWT have a unique aperture, view of the marketplace. You see a lot of the landscape, knowing what you guys do. Every vendor says they it, but you're really customer focused, so you're in you're digging in with the customers, it's a real value added service. I got to ask you the question with multi-cloud it sounds easy just to connect them all, right? It's like a subnet plug it in the coax, put a hub there. Put some adapter cards on a PC. The old days of connecting things. It just metaphorically seems easy What's the opportunity for connecting multi-cloud? So, as people realize when they wake up tomorrow or today. And they go, hey, you know what, I got lot of multi-cloud around. How do I connect them together? What's the opportunity, what's the opportunity for Cisco. 'Cause that seems to be the first order of business. I can connect things together in the architecture. And then what happens next? What's the opportunity to connect these clouds. >> The opportunity is gigantic. If you look at just the growth of the public clouds themselves. The CAGRs that they're representing. They're growing the rate their growing on very big numbers already. And it often gets overlooked, but Gartner will tell you also that the co-location, that cloud edge space, is also growing at a good CAGR. So you have just more and more going there. All of that needs to be connected. All of it needs to be protected. So networking is not just networking. Networking is security. A critical pillar of any security practice is really understanding and knowing in-depth your network. The introspection of it all. And at the same time, we're moving from a physical world. And we've moved and virtualized, but now the virtualization of the network now with SD-WAN coming, you're moving to a programmable model, where everything needs to be programmed. So it's not humans. So it's almost like every arc. Just in terms of the amount of data, the amount of traffic, that's all growing. Now, it's not just humans, it's machines doing things. And then also it's not just physical connections. It's software. So it's a three dimensional plot and it's growing on every axis. >> It just not in every device, it's software as a device. Software device connections. Service connections. What's Cisco's opportunity? How positioned are they that can do this? Because there's a lot of conversation around edge. Now you just mentioned a few of them, 5G. What's Cisco's opportunity in all this? >> Well I mean I think Cisco's shown recently and then through generations that they have a unique ability to lead and move with the market. And they're demonstrating that now. So, I think the importance of where the network sits, and not just the network, but again there's an adjacency of security. There's an adjacency of orchestration and management. Their global presence, their global operation. The sophistication of their channel business. All those things put them in a really strong place, we feel. >> You mentioned SD-WAN in a previous comment around talking about edge and stuff. If you think about Office 365, when companies roll that out. That basically takes SD-WAN from a little niche industry to all the internet. SD-WAN is basically the internet now. Your old grandfather's SD-WAN was over here, now everything's SD-WAN. That's basically the internet. So talk about the SD-WAN impact in this because with edge, that's super important too. Your thoughts. >> Well, it was back when we were talking about that traffic patterns are changing. So you're moving to no longer really this campus branch closed network. There's still an important need for that, of course. But now you're doing your business where your customers are. On their phone, in their car. Which means you're having to traverse and work and scale in a very different way. It's part where you have to put the network. And then, it's how you have to run and connect the network in your retail store or in these other things. Part of it is doing what we've always done in a better way. And then probably every day, more of it is about doing things in a new way that you couldn't do in the past to achieve a new business objective. >> Well Jonathan, thanks for coming on theCUBE conversation. I'd love to have you back on. Great insight. We could also do remotes. So when you go back to the home branch in St. Louis we can bring you in. >> Tells you Silicon Valley and St. Louis, man. Silicon angle, Silicon Valley, St. Louis. >> Let's do it. And I'll say congratulations on your success with Cisco. Fabio, it's been great to see you. Final word, Fabio, just bring it all together. Multi-cloud, it's here, kind of that's the reality. >> Yeah, I want to go back really to where we started the conversation, right? We can't forget the multicloud is still like a mean to and end. The end is, companies want to become and need to become innovative and fast. And that's actually why all this interest in multicloud. It's a business engine. That's why we're all so excited. Because it's a business issue. It's not so much a brand new technology that probably in two years is going to be out of fashion. My personal prediction, we're going to be talking about multicloud for several years. On the contrary of other trends. >> And just to real quickly bring in what we talked about before we came on camera. This is a CEO issue of companies, not CIO. >> Absolutely. >> This is showing the culture and the urgency, really, in all this. >> That's right. >> Absolutely. Guys, thanks so much for coming on. Great insight. Multi-cloud conversation, fantastic. Jonathan King, Vice President of Strategy, Data Center, and Cloud for WWT. Also Fabio Gori, friend of theCUBE, Senior Director Cloud Solution and Marketing at Cisco. Thanks for coming on. This theCUBE conversation. I'm John Furrier, thanks for watching. (upbeat funky music)

[Music] everyone welcome to the special cube conversation here to talk about the big announcements big news big concepts and big trends happening Cisco live in Barcelona I'm John for your host of the cube we're here with Fabio Gauri senior director cloud solution marketing at Cisco I've been great to see you things are spending time to me to unpack all the exciting news in Barcelona great stuff thank you thank you for having me John so one of the things that's happening with Cisco we've covered certainly we've been reporting and reporting are other outlets as well and you guys have been transforming and continuing to innovate Cisco has transformed itself into the next level building on your successes we've been covering that and that's been all about the clouds been all about networking going you know software driven you know software powered network operations DevOps the whole thing is now infiltrating into into the new model but it's clear now there's no debate that on-premise data centers on-premise environments of IT service providers the entire old you know computing industry is connecting with the cloud that's been kind of validated and we've been staring at that for a couple of years and now everyone's starting to take action this is a key theme here in Barcelona for you guys and we heard you see you talking about it last year at Cisco live in North America that transition to cloud validated across the voice or Andy chassis the CEO of AWS actually announced an on-premise device hybrid cloud has been validated so public cloud and on-premise and now visibility into what kubernetes is enabled with multi cloud mm-hmm this is the new normal describe that impact in the marketplace what does it mean for customers what do they do what what is it what does this mean when now enterprises are seeing on-premise and cloud coming together absolutely well you know if you think about it you gotta start from the application so if you take a step back right we've been talking about digitization for so long but what does that ultimately mean right people need to build more and more applications to digitize their their business processes their customer experience and so on and so forth ultimately what we're seeing is that this applications are becoming exceptionally distributed right because they go what it makes sense whatever the data is whatever the user is you may have low latency needs you may have actually just you know the right needs to go all the way to the cloud in reality you have a mix of this kind of needs but workloads are distributed and people want to harness this multi cloud world and that's what we're seeing I love these chips it's kind of like people have been living on two sides of the street you know old way new way it's clear that the migration to this new model cloud is the new way and that's been validated again so you've got the old way in new way describe in your mind the old way and the new way from Cisco because if you look at the history of Cisco the dominance and the success I had and recently had an opportunity to be John Chambers at his house and he talked about that that dynamic of how Cisco is so dominant the culture and then going the next level the datacenter you guys have a great success networking edge this is New York or business yeah that's still relevant with the cloud in the new way so talk about what's changed all the way new way Francisco I'll give you a try so fundamentally if you if you if you remember where we're coming from we are coming from an era where we've been seeing infrastructure kind of dictating application requirements through the other way around as well but you had an application you will buy specific hardware networking and everything else including firewalls for a specific infrastructure right so that era actually is not going away is there because it's built an immense amount of legacy that you can not all of a sudden throw away however the new world is a world where you see applications fundamentally going pretty much across multiple type of domains not just to do the center domain anymore but here comes the cloud we have a lot of applications that are going to the edge if you have a branch office right you may want to take your application over there because it's simpler it's it's sometimes it's more economic you don't need to move all the data and still you can have those applications collaborating with your data center with your cloud so what you're now seeing is a completely from world where applications want the infrastructure to be programmable and easy accessible and still extremely secure that's interesting in the old way was you know the you dictate applications you can only do as much as the network and the infrastructure will let you to do yeah and then now as infrastructure becomes more abundant yeah data tsunamis have spent a lot of data's coming in so that's why the storage industry never docking it's always growing storage industries always growing servers as always need for compute but as is more abundance than that it almost as a limitless opportunity for applications so it's not a you know kill the old and bring in the new it's more of a foundational hold as now foundational it is literally next level thing so kubernetes service meshes these programmable policy-based abstractions are showing the way and that's a network construct policy is a network concert so the first time we're seeing is the coming together of the app market with infrastructure absolutely and if you think about it even a step before the apps people have when they build application they have a business intent right let's make an example you take healthcare application right you want in a hospital you want the doctors to be able to access you know the full extent of the data of a customer record for instance you may not want the nurses doing the same thing or for instance you don't want the nurses and the doctors to get access to the financial system of the hospital so this is actually a business intent that that given application will have to respect well the infrastructure can and has to cope with this kind of requirements by delivering the appropriate kind of segmentation right so that you'll be able to ensure that what the application wants to do the infrastructure delivers what has changed in the on premise and cloud world in your mind because to have that kind of coordination and you guys are have announced here it's some great announcements around seamless end-to-end as a theme we're seeing you're seeing hyper convergence anywhere are you seeing application centric infrastructure concepts everywhere but when you actually go into the hood and look at how complex it is it's almost magical in the sense that it's going on its I know it's hard work and people who know networking know it's hard what are the innovations what's enabling that what is the key driver that's making you guys connect an on-premise data complex data center environment that is now edges private networks hybrid private cloud IOT edge enterprise edge campuses the old stuff now with cloud what are the key linchpins well hey I'm gonna take on one of the the words that you use complexity people are looking for the opposite of complexity people are looking for simplicity easy to say more difficult to do but what sits between complexity and and and turning it into a more simple kind of architecture is automation so what you have to have is fundamentally an infrastructure that becomes automated programmable that takes the business intent or the application intent as an input and actually with a closed-loop system fundamentally monitors and gives you the assurance okay the implementation the assurance that actually what you want to do gets delivered by the infrastructure and this has to be literally annalistic and cross-domain kind of architecture what do I mean with cross-domain you're going out of the data center you're going out to the edge you're now going to the cloud this should be seen as a cohesive almost fluid environment where you can actually push your policy your security models right and transform in this highly fragmented the architecture into a set of domains or a multi domain architecture that you can control that you can automate as if it was all yours so to speak even though in the cloud for instance you're going into a domain that you don't control end-to-end so big concept here being discussed in Barcelona is multi domain you just get that explain that a little bit and then take that to where cloud integration comes in because the other thread that we're seeing here is multi cloud yeah so multi domain multi-cloud the same are they different what's the nuance points there yeah again the the critical point is let's think applications applications want to go and it's convenient to go into multiple domains right depending on what you want to do what you want to access to you wanna access clouds innovation from whatever they come from so that's why we have a multi cloud world the data center is still there is critically important you have a lot of applications databases that are still there and now we're seeing the big new shiny object which which is more and more super Robo remote office branch office applications where for instance IDC believes 30% of applications are going to be deployed into this kind of environments so your problem is now connecting all of this together right and because the applications are going anywhere are the designer strategy is that the data center needs to follow the applications and support them wherever they go so it's a data center anywhere kind of kind of strategy the data center has to flex and provide that yes be ready for anything basically from from applications what you're getting at and all the all the plumbing and all the all the intelligence underneath it have to be reactive to what the application wants absolutely a vocation doesn't have to get into the provisioning or any kind of policy because that's the infrastructure as code DevOps the point is that that kind of absolutely the application has an intent right there's also application policy etcetera but it needs to be translated into infrastructure policy where we've been talking about it a minute ago when we were doing the the healthcare kind of example right well we've been super excited in collaborating with you guys on kubernetes we have a special section on silicon angle called the kubernetes special report that's evolving into multi cloud special reports the folks watching Silicon angle comm check out the multi classify syrup or that should be up and yeah by now it was the COO Bernays but ton of interest was seeing startups coming out of the kubernetes you're seeing a cloud native world CN CF and Linux foundation promoting tons of great ecosystem development pulling together those developers want more infrastructure and so that and they wouldn't want to deal with it right so this is where you the cloud strategy has been paying off for you guys you guys have had done deals with Google as your AWS s ap Red Hat among others you guys are well poised for this talk about cloud Center that's a big piece of the story here yeah cloud Center suite a new capabilities talk about the impact of cloud and cloud Center yeah so let me let me let me take us the buck if you want and tell you a little bit more about what we're announcing here right because it's a pretty big announcement I mentioned at the center anywhere what does it mean right well of course our data center portfolio is sent around two big components the first one is networking right particular application center came first structure a CI based on the Nexus 9 K kind of architecture and the second one is our computing portfolio particularly you know the hyper-converged infrastructure cisco hyper flex that's of course you know an extremely efficient way of condensing you know what you need to make it very flexible in your application implementation where we have two major news here right in this two areas and the third is absolutely what you were asking for which is Cloud Center so with a CI and it's interesting because they're going into two if you want different directions when it comes to the small T cloud domain AC I was already visualized in the previous releases sorry application centric infrastructure is fundamentally cisco in ten base networking for the data center okay it gives you program ability of the infrastructure it gives you segmentation gives you security and a high degree of automation capabilities exactly okay continue and so in the previous in the previous if you want developments releases of ACI what we've been doing was to aggressively visualize a CI right so that you will have constructs like virtual poles and virtual leaves to rescale your data center implementation to the edge now where we're going with this new announcement is exactly on the other side which is we're standing ACI to the cloud to usher in AWS so that the construct that you have typically on Prem under your control such as tenants EP G's and things of this nature will be translated into the equivalent construct in AWS whether it's VP C's or security groups and the likes the two things end up fundamentally corresponding so now we have one construct that extends from the edge to the data center to the cloud that's a pretty big deal and what does that mean to the customer just give an example it means a high degree of automation security and control on the resources right so that you can impose one policy it propagates all across the board one way of monitoring you know the data center flows and discovering for instance if you have if you have any kind of security threat monitoring application performance thanks to the inter so this fully checks this hybrid cloud box this ship I say yes is one a hybrid deployment this checks the box saying I can operate and say whatever cloud and on-premise in the datacenter with a CI both places without changing any code is it seamless what's the what's that well with a CI is gonna come with a specific software this is all software that's that's the beauty of it right it's it's in line with the transformation the company that you were referring to it's all software and it goes into AWS and uses of course all the api's to connect 2d to the AWS resources that you were you're you're acquiring from AWS right so that's one big bucket of news the second bucket o news is hyper flex that's actually heading to the edge because what we're seeing is more and more applications that have components of the application itself or even entire applications that are going into remote office branch offices and the reason are many right it could be cost reason it could be did a gravity reason it could be just low latency reason right we all know that you know to go back and forth from the cloud that's not always convenient as well as if you lose the connectivity your branch is dead right so you have to you need to have business continue it in all of this and so it doesn't mean that you don't want the cloud you want a collaboration across this again fluid sort of infrastructure so I purflex come with a very efficient kind of kind of fun factor over there now it's either flex edge and its control Emilia this is that because you have many remote offices and branch offices is controlled from the cloud with cisco inter side which is of course our console and cloud system to manage all these hand points no just hyper flex but also UCS so when you think of this now you understand what do we mean with the dissenter anywhere because we're taking both our networking and our computing platforms anywhere the application needs them right and the third component which actually is where your questions started from is application lifecycle management in this kind of infrastructure becomes even more of a problem right it is extremely complicated now to have applications in multiple clouds and then in your data center and to the in India JH and in you know all these different kind of places so what we've done with cloud center which is our flagship club management and an orchestration system is two big things first we have expanded the functionalities by adding new modules especially the cause optimizer the helps operations team at Center suite now it's the cloud center suite and I'll explain you in a moment why we remove the branding slightly from cloud center to cloud center suite because we highly modularize the software and and make it and made it really much more easy to consume I'll go there in a moment but going back to what is new first of all is cost optimizer right that's that's brand new and it helps Operations team to right-size the workload to pick up the the best instances in the cloud are you using to actually minimize your investment or reach your your goal of performance and cost right that's one big thing the second one is that we're adding a very smart so called action Orchestrator which is a workflow manager that helps you automate in there tear connection of your cloud management system to all the other systems right some of these plugins and integrations come outer-box particularly with the higher level tiers of licensing such as with service now for instance or we give you already built-in integration with cisco inter side or UCS director which is the infrastructure manager for Cisco infrastructure but you can use the kind of platform and module to build your own integrations with the other systems that's very important because the cloud management system doesn't exist in isolation right it needs to integrate with all the other IT management solution that you have on Prem and that's one big thing the second big thing as you said before when you said about the suite is the fact that because we have written all of this new software and cuber Nerys right this is highly scalable highly portable so now we can give you different tiers of licenses you can start very small as small as around $50,000 right for subscription service and you can actually bite subscription on pram or that's big news you can buy Nate software-as-a-service so cloud center is now Asaf offering yes available when it's gonna be so all the subscription use the new software is going to be available literally a next month in a few days for now right in February and the SAS version is gonna be available in North America in March so right away for Europe of course due to the GDP our implementation our customers will have to wait until the summer but it's pretty immediate and you hear a bit of an extra work done yeah okay so bottom line me on the cloud Center suite what is the the purpose is it to be the high level management suite how is it connecting into other systems so if I have all these different management tools out there when Cisco and others is it connecting into am i connecting up and you just explain quickly you know the purpose of it yeah works so really the goal of Cloud Center is to do a salute three things the first one is a he wants to simplify cloud management and how it does it right one of the key patents that we acquire together we clicker right click a cloud center when we brought them in more than two years ago was the really unique way that they have to model applications right the way that people are managing cloud management and an organization is still extremely manual I mean many customers are still kind of doing scripting we have cases of customers that are scripting like 1200 lines of codes just to upload a piece of software onto the cloud we think the approach should be different right the approach should be you should be able to model that application your application model wants and then thanks to cloud API so we have 16 different API into a cloud integrations with AWS our Google you name it right I BM and the likes we realize of course on parameter private cloud once you model your application you can use any of these other clouds as a target for implementation okay that allows you to have a very very effective cloud management solution because don't risk to make mistakes you leave the tool so you said it's written in kubernetes absolutely we scraped all this now we program all this in Cuban Eddie's so you may tell us hey you're walking the talk absolutely doing that and that's very in that sow actually we can do it on Prem in a Cuban IT infrastructure by the way if you need one we have the Cisco cloud center platform a hyper flex underneath to do it or you can buy from the cloud because we're uploading a little dot to the cloud you guys have done a good job at kubernetes just as a side note you guys done the work it's doing the cloud integrations and I think wasn't she about kubernetes unlike other trends I've seen in some of these open-source projects some hype comes up and then it kind of drops off or it gets hyped up and it's too hard to roll out or use it cost too much and so people actually using kubernetes for not just standing it up they're actually pulling it for a purpose so congratulations on that I think it's a real good thank you for thank you know we're a big believer in to this so simplifying really multiplayer management is one big thing reducing time to value is another big thing because with the integrations and the ability you know to integrate with the other tools you can put it in production very very quickly and then it's incredibly easy to consume you can start small and grow up so I did a little checklist here I want to just run this by you and then I'm going to ask you a question around what all this means to your to your customer base because I'm sure the world's changing we've done a lot of kind of you know surveys and interaction with a lot of network guys to kind of spiel out how the markets going get your reaction so interesting thing you guys have a this builder model very similar to Amazon you know toolkits for cloud builders you guys are really investing heavily and it's a security you got stealthWatch tetration analytics you've got app dynamics and tetration as well datacenter hyper flex UCS Nexus check cloud apps WebEx I know what else is in there there's also cloud apps cloud native apps which you're connecting into management cloud center container platform and IOT kinetic and networking the edge Meraki cloud service route or bunch of other things so you guys are building quite the portfolio on here right so given that you guys have that security to network and kind of end-to-end with the application centric infrastructure are kind of expanding and intent based networking combined cloud seems to be kind of the end-to-end is the theme it really is it's it's again end to end and across multiple domains because that's the thing that doesn't come across with end to end is the fact that you need to cross different domains that are exceptionally different from from each other and so having consistent policies and a single security model having one mean of networking and securing all this in a containerized world which which is where we're progressively going that's everything and you know it's not me saying it but if you look at the CN CF surveys they'll tell you the securing and working containers is one of the toughest things so I got to ask you that the tough question totally makes sense you got my buy-in on it I totally believed in the vision making it work okay making it smart and making it at scale are the three kind of things I'm looking at give us your take on how you guys are looking at those three kind of you know checkpoints you got to get this up and running so one make it work you know end-to-end mobile domains yeah make it intelligent that's data smarter you know automation kicks in and I'll see scaling it up but you know with all the checkbox security everything else so take us through the strategy yeah and what you guys are thinking there and and the impact with that in mind so the person on the other side your customer the buyer and customer Sisko to manage it that's that's a big sea change yeah and the benefits are pretty lucrative on the other side if you can pull this up yeah yeah upon three big aspects so first of all we mean we've been talking about architectures but architectures doesn't mean that you shouldn't have Best of Breed products right it starts from there those are the atomic components of any strategy right you gotta have best of the products now these products need to integrate into an architecture that solves true business problems such as the intent base you know architecture that we've been talking about the third aspect is actually how you help customers to be successful and I will love to call out our partner strategy right which for I would say for as long as 30 years has been Cisco's critical differentiator and I think this is an enormous asset especially when you look at the number one problem in IT out there which is not kubernetes and it's no cloud is actually lack of talent people don't have the skillset and talents so relying on an ecosystem that helps you expanding what you need because you don't have it inside its fundamental importance on you guys absolutely but this is a critical asset and you know we're doing a lot of investments also on the customer experience side of the house with our leader Maria Martinez the staking actually this customer experience so approach to the next level more and more it's about these architectures also being cloud a touch so you heard me talking about inter-site it doesn't come by chance right the more you can rely on on this kind of architectures the more you can harvest analytics you can do cross correlation across multiple networks and domains and figure out what is going wrong that's something that providers of pinpoint products just cannot even dream of delivering as final question for first of all thanks for spending the time and chatting and he was going to be rolling out a lot of content we're gonna be following what's going on with on your end to really like Cisco's vibe you guys are very transparent and collaborating appreciate being there working with you guys final question if someone's watching this I'm a Cisco customer you know we've been talking about the network I which I've talked to a couple you know and surveying some some enterprises where you know the network's they've done the heavy lifting that's been part of the computing industry you know networking compute they've been running the show and really have moved the needle campus networking the list goes on and on but now that foundation set we're going to a whole nother level it's almost like a sea change on the personality side persona of the people who've built it out and now have to build the next generation yeah and my relevant am I gonna be the mainframe guy am I gonna be leading the charge or may be left behind there's a lot of cognitive dissidence around decisions so that go here should I go there architectures so there's a lot of psychology and also decision-making that's gonna be determined by your core audience mm-hmm that person out there is your target audience they're thinking about these things because they want to do well and they don't wanna be left behind what do you say to that audience about Cisco now the opportunity for them personally their ability to one grow their skill gaps or have an impact to being a key change agent for this next generation what do you say that that person out there about the Cisco and the opportunity for them it's it's a very big question I would split a question in two parts first of all is what is your advice to IT professionals right how can they not just survive but thrive and be the heroes of this this transition and it's pretty simple actually you have to understand what your business wants we've been talking about how do you close this gap between of infrastructure and application but in other terms is covering the gap between what you do and what the business wants you've got to understand that right so that's number one second part of the question is okay considering this is cisco the right partner for me and the answer of course from cisco standpoint is approximately yes because our entire company strategy is wrapped around this concept of intent-based architecture where our goal is to map the business intent into the infrastructure underneath and that's exactly your core business mr. IT professional right so I see this as a as a marriage in heaven right in terms of where I see really the talent need for IT going right in IT professionals and where the company is going right if we if we're right and I think we are this is gonna be a great ride and not a threatening one I think everything's lining up you're getting clear visibility into what the role of cloud is the scale PC and personal links are just undeniable and that the role of technologists now are super important there's no jobs really going away they're shifting this is this is the reality this is kind of what the exciting opportunity it is but but again it's about bringing IT very close to the business in the end I believe it's just it's just gonna be continuity between what we call today line of business and IT it's just a company that wants to win in the marketplace right wants to get faster efficient usual kind of you know terminology but you know does this gap is gonna go away Fabio thank you for taking the time to share this conversation I'm John furry this is a cube conversation here at Barcelona live go live Europe back to the cube coverage go to the cube dotnet to check out all the live coverage and cube interviews in Barcelona I'm here with Fabio Korey senior director cloud solutions marking Cisco I'm John for the cube thanks for watching [Music] you

(techy music) >> Hello, everyone, I'm John Furrier, here in theCUBE Studios in Palo Alto for a special CUBE Conversation. Breaking news here in Silicon Valley and at Cisco Systems. News around Cisco partnering with Amazon Web Services, and here to talk about it is Fabio Gori, senior director of cloud solutions marketing at Cisco. Good to see you, welcome to theCUBE. >> Hello, John, how are you doing? >> So, big news, Cisco and AWS collaborate to accelerate innovation. A first kind of its kind of announcement. Love the pioneering aspect of this announcement. Obviously Amazon Web Services is the leading cloud provider who's been into hybrid cloud lately because they've been talking about that as their connection point into the enterprise. You guys are the leader in the enterprise at networking and other services. I don't even know how much market share you have these days, but you guys pretty much own the enterprise. Everyone kind of knows that. This deal with Amazon, you guys are doing the first hybrid Kubernetes on AWS. Talk about the announcement, what's the, why is this so important to Cisco? >> So, you named it, the solution name is actually a bit of a mouthful, but you mentioned the three keywords: is hybrid, is Kubernetes, is AWS, and this is the first solution of this kind that really integrates these two environments in a way that will be exceptionally beneficial for organizations that want to accelerate their innovation path, which ultimately means delivering applications faster without having to worry about constraints in terms of where to develop, where to deploy. This will really set them free to take their decisions. >> You know, one of the things we've been speculating on theCUBE a lot around cloud... There's been tons of debates, hybrid cloud, private cloud, multi-cloud, public cloud. All this stuff's been going on. One thing that's been very clear is the public cloud has demonstrated speed, agility, faster time to value, and for app developers that's been great. Cloud native, if you're born in the cloud it's just a great environment. If you've been on-premise and you had that legacy and/or existing pre-cloud environment, that trend has been more toward cloud operations, so not so much everything's moving to the cloud, although, you know, Andy Jassy would love to see everything move to Amazon, and that's his goal, but stuff stays on-prem, it's going to be for a while, but the cloud operations on-premise is essentially cloud but on-premise. So, that's this new hybrid dynamic. This is what enterprises have been re-imagining their infrastructure on. This is where a lot of the energy has been. How does that, that your solution for Kubernetes with Amazon, solve that problem? Does it help customers get to the cloud faster? Is it an operating model? Explain the nuance of how customers-- >> It's fundamentally all of that. If you think about it, and your introduction is spot-on, is customers really want to use the public cloud, right? The services in the public cloud, why? Because it gives them speed. I think that's a big change that we've seen since, I would say a few quarters, right, where people started really trading off speed and innovation for cost, right? Originally it was like, "I want to shut down my data center. "The cloud is going to be cheaper." Well, it's not about cheaper, it's faster, and people want to develop new digital experiences, which boils down to building applications faster. So, what ultimately they want to do is making the infrastructure on-prem looking like a bit more like the public cloud. Now, it's never going to be just like the public cloud with all the bells and whistles and innovation, but it's got to be such that you can actually take the best innovation of the public cloud, Kubernetes first, to the on-prem, rather than the other way around, right? That's our North Star, that's our belief, and Kubernetes is clearly a big winner in the container market. The way to develop new applications is based on containers. Kubernetes is the orchestrator right now in the marketplace. Every single big cloud provider has launched Kubernetes-based services in various forms, and so the enterprises are now looking at businesses of every size. They are trying to figure out how to really develop this capability on-prem, because in the end, as you know, it's never kind of black and white, right? We're still working with mainframes, long life to the mainframes. Going to be around for 20 years, probably. We're going to have traditional databases, ERP systems and the like for a very, very long time. What do you do, right? Everything that you develop new in the cloud needs to ultimately connect back to the existing systems because that's what you need. >> So, the simplicity of this is interesting. I want to just rewind that for a second. So, you're taking the best of Amazon, the container service, and alas, a container service with Kubernetes, bringing, making that available on-premises through the Cisco container platform-- >> Correct. >> So, this is the linchpin, so it's almost like-- >> Correct. >> You're not trying to take Cisco and say, "Oh, we're cloudified." >> Correct. >> You're taking the Cisco environment, which everyone runs, and some people think it runs great and-- >> Correct. >> They're not going to change that overnight, (chuckles) but you now enable them to take what they're doing here and make it compatible with the cloud and on-ramp to the cloud? >> So, the idea is fundamentally not so much taking EKS on-prem, that's not the thing, but the idea is having a container platform that fundamentally gives you pretty much a transparent way of interacting with the other side, and when I say transparent I really mean the linchpin of the solution, which is around the identity and authentication, right? What we've done that really differentiates this, that makes this so unique right now is that we have integrated IAM, you know, identity and authorization, sorry, and authentication in common. So, you're going to use the same set of keys on both sides, which of course is a developer dream because you don't have to use different type of keys in authentication models if you're a user. It's the same thing, and it's a dream for IT operation, because of course this is much simpler, as well as for the CSO and the security team. This makes it extremely secure, reduces the risk so that you have really a very consistent, integrated kind of solution, which is good-- >> So, there's engineering involved on Cisco's side. Can you elaborate on-- >> Actually, it's been a collaboration between the two sides, so-- >> Okay, explain, explain the partnership. >> So, absolutely, it's actually a collaboration. So, we've been collaborating to build this integrated architecture, right? It is a Cisco solution, but developed in collaboration with AWS, right, and so what we've been doing is fundamentally looking at how EKS was going to available to the container platform-- >> Mm-hm. >> Right, so that you'll be able to fundamentally orchestrate your containers in the most efficient way, regardless of where the containers actually end up being, which is actually what we're hearing from customers. Customers want to just take the containers that are coming from the developers and be free to develop whatever they want. Sorry, to deploy whatever they want. >> So, the containers are key here. So, the container service-- >> Yeah. >> And Kubernetes, which orchestrates containers, works across with the identity layer allows for, what, seamless interaction? Is that the key for developers is that I can... Take me through a quick use case. Explain it with an example. >> I don't know, you may take a new application in the banking, on the banking side, or you can take some new artificial intelligence kind of applications, or machine learning. What you fundamentally can do now is deciding, well, first of all what kind of tools you want to use. Do you want to use the AWS cloud with all the development tools, do you want to use yours? It doesn't matter, at the end there is an endover between the developers and the IT operations team, and the IT operations team, now with this solution, can fundamentally, quickly and easily provision clusters wherever they want, right, and they do it on the basis of their specific parameters, their specific goals, what do you want? It could be cost, it could be security, it could be reliability. Whatever it is, right? >> Mm-hm. >> It doesn't matter, this is not about the religion of whether it's public cloud or on-prem. It's just using the best of both worlds and deploying wherever it makes sense. >> You know, Andy Jassy and I always talk when we, at re:Invent. He always comes back to the same refrain, he always hits the same notes: "We listen to our customers, we're driven by the customers. "They take us where we want to go." >> Yeah. >> I know Cisco's been very customer-centric as well. How is the customers' reaction? What have they been telling you around why the solutions to develop... I mean, because we know Shadow IT's been going on with Amazon-- >> Yeah. >> For, you know, almost a decade. They put their credit card, they sneak up on Amazon, build some stuff, and look how easy, and then bring back to the IT department saying, "Hey, look what I did in the cloud, now you implement it." "Whoa, we've got network policies." So, there's been kind of that kind of tension, kind of R&D, if you will-- >> Yeah. >> But it's still happening. That kind of goes away here with this kind of announcement. How is the customer needs been profiled as you look at the announcement? What's the key reasons why they want this solution, and why did Amazon glob onto it, because they're not going to do something unless-- >> Yeah. >> It's a customer need. >> Yeah. >> Talk about that. >> Well, I would say, you know, it's really meeting the customer where they are, right, and again, we have two environments that, you know, have been inspired by different kind of criteria, right? There's a lot about application modernization, there's a lot about security, all about compliance on-prem. Of course the cloud is also very secure. I think we're over these kind of artificial discussions, but as AWS will say, it's a shared responsibility model, right? They guarantee the security of the cloud, and you're responsible for the security in the cloud, and so ultimately what people want to have is how can we actually integrate these two worlds in a consistent fashion, right, so that I have a consistent environment. That's really the keyword here, consistent environment where I have comomino networking between these things, wherever they are, comomino securing them, including authentication, identity and authentication, comomino monitoring this application, because the alternative is building another silo, and that's what people don't want to do. >> Mm-hm. >> Right? If I add another silo I may add innovation, but it comes to a very high cost. >> Yeah. >> People want to add innovation without disruption. They want to have this consistency and just extend the way they do things, of course going into a devops model and getting faster and faster, because that's the way to compete. >> Now, I think IT operations is an area, with the development enablement you guys have had, and with the work you guys have been doing DevNet and DevNet Create, this notion of programmability-- >> Yeah. >> You're right in line with the wave that everyone wants to ride, which is lower the cost of mundane tasks and/or scripts and things of that nature, command line interface, that's kind of like a hodge podge, make the network programmable and automate, and make the developer freer to do better things seems to be the trendline, so with that in mind, does this fit that horizontally scalable vision of the cloud? Do you see this having impact into say network sales, application, where's the key impact points for the customer, what impacts them? >> It's a huge impact, right, and depends whether you're taking like a tactical view of things, like literally application by application, or classes of application, or you're really thinking about where is this trend kind of taking you, right? Now, if you take the former kind of approach, then you're starting kind of identifying a whole bunch of different issues, like again, for instance the security one. The networking one is huge, right? People go, I don't know, Office 365 and they get disappointed. Why, because all the traffic gets tromboned through the data center because that's how things were. >> Choked them. >> Right? Now you're completely changing the application on top, and you discover that the infrastructure underneath hasn't been designed to accommodate those kind of traffic flows-- >> Yeah. >> Right, and so you're starting solving problem by problem. The fact of the matter is with the rise of the cloud the infrastructure and the processes in IT need to change altogether. Its infrastructure, its processes with of course the rise of devops, its relentless automation, right, potentially driven by, you know, more and more machine learning, and you know, AI kind of capabilities unfold. >> Just talk about that, because this is a big discussion, because I'm interviewing a lot of CIOs or CXOs or senior IT practitioners, and the ones that are successful are the ones who recognize the wave. Some people take different steps, they'll experiment, they'll do some tests. Some will just go all in and revamp, but they all recognize the one point. They've got to re-architect and re-imagine-- >> Yeah. >> The It infrastructure-- >> Yeah. >> Up and down, and the cloud is a big force and function-- >> Yeah. >> A role of data, programmability, automation. Now new concepts in some cases. Containers we all have been around for a while, but how do you guys talk to your customers, because this is something-- First of all, do you believe in that, and two, what do you talk to your customers about when you're saying, "Look, the hard truth "is how we got here is not how we go forward." >> Absolutely, well, you know, there are different ways. You can either boil the ocean, or for instance you take a solution like this. If you take a solution like this, you can actually sit down and discuss how to build a solution and architect a solution like this in collaboration with AWS. It took establishing four key principles, right? The first one has got to be hybrid, right, which means you need to strive to build this consistent environment between the two domains. Second, it has to be production-grade. We're speaking with customers adopting Kubernetes. They're saying that they get to a point where they need to integrate 20 opensource tools. Now, I wonder whether that's going to take you anywhere over the long term once you scale, you know, your operation. Can you actually do it with that kind of approach? Third, and this is a big one, you have to be able to manage this new hybrid reality, managing not just the new apps, but the old apps as well, and fourth, it's got to be extensible. You're starting from, like-- >> Yeah. >> Containers and authentication, how about everything else, right? How about cloud management and orchestration? How about application performance management, because now apps are getting everywhere, and of course, you know, that's probably the next episode of theCUBE that we can do together, they're going to the edge. >> (chuckles) Yeah. >> So, it's getting very, very complicated. So, even with a simple, well, "simple" example like this, you're starting seeing some principles that you need to establish, and that should inspire how you actually transform your infrastructure and operation. The worst thing that you can do is taking a tactical approach and just going step-by-step, and then, you know, move by move. >> Well, let's definitely do that CUBE. A couple of segments we'll have to do more of a deep dive with some slides. Certainly the edge is going to be a big point, but I want to ask you the impact to your customer base, because I think this is a game-changing announcement. I mean, Amazon Web Services, they don't do a lot of Barney deals. They don't do, you know, a lot of deals that look good on paper. They're very specific about how they do their business development, so it's a huge win for them, I think, and for you guys, but I think Cisco customers are going to be impacted, so please explain the impact to Cisco customers. What does it mean to me, I'm a Cisco customer. I've got routers, I've got switches, I've got UCS servers. I got all kinds of stuff in there. How does this impact my life, what changes, do I throw away gear, do I buy new gear, do I buy software? How do I buy the service, am I buying Amazon, do I have to now... Explain all that, how does the customer engage with the solution, and what's the impact to their environment? >> Well, that's a very big question. (laughs) Let me frame it a little bit, right? First of all, how are they impacted? They're impacted by the cloud altogether, right, and very often they're using multiple clouds, so we know it's multiple services, so they need to start thinking in terms of those principles that we said before. From a company standpoint, of course we've been well known over the last 30, 35 years, right, not to leave everybody behind. We're trying to, of course, accommodate the change of the infrastructure, and for instance, how do you move from CLI to more programmability through, for instance, you know, the rise of IBN, which is the intent-based networking where you have more policy-based models that help you fundamentally automate in the network, whether it's about, you know, connecting your data centers or connecting your branches, you have to fundamentally adopt more and more automation into your strategy, and so what we're doing is we're fundamentally helping customers making this kind of transformation. You mentioned DevNet, I think that's like the tip of the iceberg of also a new Cisco wave, right, where it's all about, if you want, transforming the talent that's been working with us in the company and outside the company, and having them taking it to the next level where instead of, you know, going classic CLI you're more and more kind of thinking in an automated fashion, because you have to get fast. The only thing that really matters is getting faster. >> I noticed you guys aren't just... Give you guys a lot of props here because you guys have a lot of meat on the bones with this announcement. Simplifying container orchestration with the Cisco hybrid solution for Kubernetes on AWS. You know, Linux Foundation wants to see it that way, Amazon's that way, but you guys have a lot of code up and running on the Sandboxes, and for the folks watching, developer.cisco.com/aws. developer.cisco.com/aws. You already got Sandboxes up already. >> Absolutely. >> Five labs for cloud native, you got the EKS-- >> Yep. >> Cloud thing up and running. >> Yeah, and we'll continue adding more and more material. The cloud is a different world, right? People want to experiment it, and by the way, if you think about how we're packaging and pricing the solution, you can actually start in a very modular way, right? You can just go with the software if you want, or you can buy the software and the hardware underneath. You can go with one, three, or five years. You can get demos of the solution. If you want, it's a different way of experimenting Cisco, but we're there. I mean, we made the change. We're totally for adding a softer motion to an already strong kind of hardware component that has been traditionally our strength, and if you think about it, having the full stack we can do some magic. If you buy Cisco software, like this solution, and then you put in Cisco hardware, such as HyperFlex and ACIR data center infrastructure-- >> Yeah. >> That a lot of customers are using you get fundamentally greater performance, you get a single number to call-- >> Yeah. >> Which is actually great. >> You know, it's interesting Fabio, and I talked with Lou Tucker years ago and then, well, continue to talk to him every year, as well as Susie Wee, and we see this on the cloud native, born on the cloud side, IT doesn't exist in a lot of these cloud native companies because the developers do all the IT, so you guys are seeing a surge in DevNet and DevNet Create where the Cisco ecosystem, your customers are turning into developers naturally-- >> Absolutely. >> And so we've seen that shift at Cisco-- >> Yeah. >> And that has happened internally. You guys recognize that the developer ecosystem, not the cloud native, but the application developers and-- >> Yeah. >> That your command line interface guys-- >> Yeah. >> And gals are turning into developers because-- >> Absolutely. >> Slinging code these days is pretty straightforward. >> Absolutely, if you look at our, actually my friend Susie Wee and how she is pitching this change. She talks about DevNet ops, others talk about DevSec ops. Whatever that is, you know, whatever kind of terminology you're using, it boils down to the same concept. You have to automate the way that you manage the infrastructure, right? >> Mm-hm. >> Infrastructure needs to become more responsive and faster. You can open five or six trouble tickets just to provision, you know, a container to a developer that's not going to carry it in the future. >> Yeah, it's kind of against them. >> It's got to be fast. >> Yeah, and then, you know, making the network programmable is the devops movement that's coming 2.0. >> Absolutely. >> And you guys are aware of, I know you are. It's interesting to see how Amazon relates to that. When you talk about that to AWS, what's the conversation like? Do they like, they obviously get it, and they're smart, they must get it immediately. >> I mean, absolutely, the reason why we're having this collaboration is very simple. I mean, they get the same requests from the customer. We're fundamentally speaking to the same people. Yeah, there may be differences sometimes, you know, the developer versus the IT operation, but in the end it boils down to the request, "Hey, you know, the public cloud is fantastic, "but I also want to have a solution for on-prem," right? "I have my needs," and if you're not totally burned into the cloud you have to, you want to have investment protection. You want to have, you know, your on-prem environment for whatever reason, right, and it's not about religion, it's about economics, it's about, you know, viability of certain solutions and the likes. >> Well, great news, congratulations. Fabio, great announcement with Amazon Web Services, good deal, hybrid cloud. Now, you guys, also at Cisco, you guys aren't married to one cloud, so I've got to ask the hard question. With impact to Google, Microsoft, you guys have relationships. How does this match up from an integration standpoint with other clouds? Is it deeper, is it more coming on the other clouds? Can you just kind of give us a description of the evolution of Cisco with the other clouds in this hybrid architecture? >> You know, I want to stay true to one of the principles that we mentioned and we orbited around this conversation, right, for the last 15 minutes, and that is we're customer-centric, right? Customers want to use the clouds that they want to use, we're there to help them, right? Now, AWS is of course, if you look at the share it's a pretty big market leader, but we will work with all the providers that our customers want to use. That's actually the North Star that we have. Now, if you look at the kind of, if you want, products or stacks or architectures, you will see that there is a huge degree of commonality across all of this, right? So, we're using kind of the same baseline software, but configuring slightly different ways for a, different way, for a simple reason, right, because the clouds are different, and not just the clouds are different, the cloud providers are different. So, we're paying full respect, you sit down, you discuss objectives, and then you actually go after those goals. >> Yeah, you just got to get out there and do those... You got to just do the work and integrate in. >> So, you have to expect a slight degree of integration-- >> Yeah. >> Because of the nature of the cloud business and the cloud providers, but I think when you look from a customer standpoint, what they want and what they're asking Cisco to do, they want to have commonalities. >> Mm-hm. >> Right? They want to have the same mean of networking, the same mean of securing these environments. They want to have the same way of extracting analytics, especially for application performance, and they want to have comomino managing and orchestrating all of these resources because the alternative is fundamentally getting lost into different tools and different clouds that by design cannot work in other environments, and so that's what customers want, and that's what we're pursuing as a company. >> Fabio, talk about the announcement in terms of just summarizing it real quick. You talked to a lot of customers, you've been doing press tours all day today, analysts, financial Wall Street, all the whole nine yards. Now you're here on theCUBE. What's the summary, what's the big walkaway looking back now after the announcement? Talk about the impact, what is this about? What is actually happening in your mind? How are people reacting to it, how big will this be? >> You know, I have two things in mind when I give myself that kind of question, right? The first one is I have this concept in my mind of making Kubernetes the engine of your innovation, right? This is about really transforming this new container orchestration technology that sounded esoteric until (chuckles) a few months ago into the cornerstone of the innovation, right? We've been talking about hybrid for a long while, but we believe that it's about mostly taking the best of the public cloud and making it work on-prem, rather than going the other way around, that's for sure, and I would say in general is this is a big first step into closing that gap between the infrastructure and the applications, which is kind of by definition closing the public cloud, but when it comes to the on-prem world we're still pretty far away, right, and so clearly there's a lot of competition in the marketplace, and we want to win that battle to close this gap, and closing that gap means fundamentally enabling customers to innovate and developing their new digital experience faster, and that's actually the nature of their business. >> Yeah, and they get value. >> It's not an IT conversation anymore, it's a business. >> And the value extraction and creation from new applications, and I think you've got to give credit to the Kubernetes community, because what's great about Kubernetes and then watching that evolve. We were there-- >> Yeah. >> theCUBE present at creation when it started, you know, hanging around OpenStack and all the different activities around the Linux Foundation before it went there, was that you had containers obviously happening, but the industry got behind kind of a defacto standard. >> Yeah. >> We've seen this before, TCPIP sounds like one of those things that just became a defacto standard and then it became a standard-- >> Well, another example with Linux itself, right? I mean, once, you know, big companies started going behind it and offering enterprise cloud support we saw really very, very rapid ramp-up. I think we're seeing the same with Kubernetes. I think now there are a bit less doubts about where the world is going. This is a clearly a winner, and people, I think, are now-- >> Yeah, and it's clear you guys are getting behind it. It's just Amazon doesn't do deals, like I said, unless it's a serious thing, so congratulations. You guys are getting behind Kubernetes. >> Yeah. >> Congratulations. >> Yeah, thank you for that. >> All right, Fabio Gori. Here inside the studio with Cisco, breaking down the hot news, game-changing news, Cisco's partnering with AWS with Kubernetes to really bring a level of industry standard and seamless integration between on-premises and the cloud, and excited to keep bringing you more action. Coming up we're going to be at the CNCF event, Kubcon, check us out there and also Amazon re:Invent, theCUBE will have multiple sets there. I'm John Furrier here in Palo Alto for this CUBE Conversation, thanks for watching. (techy music)

>>Live from Barcelona, Spain. It's the Cube covering Cisco Live 2020 right to you by Cisco and its ecosystem partners. >>Welcome back, everyone to the Cube's live coverage Day four of four days of wall to wall action here in Barcelona, Spain, for Cisco Live. 2020. I'm John Furrier with my co host Dave Volante, with a very special guest here to wrap up Cisco Live. The president of Europe, Middle East Africa and Russia. Francisco Wendy Mars Cube Alumni. Great to see you. Thanks for coming on to. I kind of put a book into the show here. Thanks for joining us. >>It's absolutely great to be here. Thank you. >>So what a transformation. As Cisco's business model of continues to evolve, we've been saying brick by brick, we still think big move coming. I think there's more action. I can sense the walls talking to us like Cisco live in the US and more technical announcement. In the next 24 months, you can see you can see where it's going. It's cloud, it's APS. It's policy based program ability. It's really a whole another business model shift for you and your customers. Technology shift in the business model shift. So I want to get your perspective this year. Opening. Keynote. Oh, you let it off Talking about the philosophy of the business model, but also the first presenter was not a networking guy. It was an application person. App dynamics. Yep, this is a shift. What's going on with Cisco? What's happening? What's the story? >>You know, if if you look for all of the work that we're doing is is really driven by what we see from requirements from our customers to change, that's happening in the market and it is all around. You know, if you think digital transformation is the driver organizations now are incredibly interested in, how do they capture that opportunity? How do they use technology to help them? But, you know, if you look at it, really, there's the three items that are so important it's the business model evolution. It's actually the business operations for for organizations. Plus, there people, they're people in the communities within that those three things working together. And if you look at it with, it's so exciting with application dynamics there because if you look for us within Cisco, that linkage off the application layer through into the infrastructure into the network. And bringing that linkage together is the most powerful thing because that's the insights and the value our customers are looking for. >>You know, we've been talking about the the innovation sandwich, you know, you got data in the middle and you've got technology and applications underneath. That's kind of what's going on here, but I'm glad you brought up the part about business model. This is operations and people in communities. During your keynote, you had a slide that laid out three kind of pillars. Yes, people in communities, business model and business operations. There was no 800 series in there. There was no product discussions. This is fundamentally the big shift that business models are changing. I tweeted provocatively, the killer wrap in digital business model. Because you think about it. The applications are the business. What's running under the covers is the technology, but it's all shifting and changing, so every single vertical every single business is impacted by. This is not like a certain secular thing in the industry. This is a real change. Can you describe how those three things are operating with that can >>sure. I think if you look from, you know, so thinking through those three areas. If you look at the actual business model itself, our business models is organizations are fundamentally changing and they're changing towards as consumers. We are all much more specific about what we want. We have incredible choice in the market. We are more informed than ever before. But also we are interested in the values of the organizations that we're getting the capability from us as well as the products and the services that naturally we're looking to gain. So if you look in that business model itself, this is about, you know, organizations making sure they stay ahead from a competitive standpoint about the innovation of portfolio that they're able to bring, but also that they have a strong, strong focus around the experience, that they're customer gains from an application, a touch standpoint that all comes through those different channels, which is at the end of the day, the application. Then if you look as to how do you deliver that capability through the systems, the tools, the processes? As we all evolve, our businesses have to change the dynamic within your organization to cope with that. And then, of course, in driving any transformation, the critical success factor is your people and your culture. You need your teams with you. The way teams operate now is incredibly different. It's no longer command and control. It's agile capability coming together. You need that to deliver on any transformation. Never, never mind. Let it be smooth, you know, in the execution they're all three together. >>But what I like about that model and I have to say, this is, you know, 10 years of doing the Cube, you see that marketing in the vendor community often leads what actually happens. Not surprising as we entered the last decade, there's a lot of talk about Cloud. Well, it kind of was a good predictor. We heard a lot about digital transformation. A lot of people roll their eyes and think it's a buzzword, but we really are. I feel like exiting this cloud era into the digital era. It feels, really, and there are companies that get it and are leaning in. There are others that maybe you're complacent. I'm wondering what you're seeing in Europe just in terms of everybody talks digital, every CEO wants to get it right. But there is complacency. Their financial services said Well, I'm doing pretty well, not on my watch. Others say, Hey, we want to be the disruptors and not get disrupted. What are you seeing in the region? In terms of that sentiment, >>I would say across the region, you know, there will always be verticals and industries that slightly more advanced than others. But I would say that the bulk of conversations that I'm engaged in independence of the industry or the country in which we're having that conversation in there is a acceptance off transfer. Digital transformation is here. It is affecting my business. I if I don't disrupt, I myself will be disrupted and we challenged Help me. So I You know, I'm not disputing the end state and the guidance and support soon drive the transition and risk mitigated manner, and they're looking for help in that there's actually pressure in the board room now around a what are we doing within within organizations within the enterprise service, right of the public sector, any type of style of company. There's that pressure point in the board room of Come on, we need to move it speed. >>Now the other thing about your model is technology plays a role and contribute. It's not the be all end. All that plays a role in each of those the business model of business operations developing and nurturing communities. Can you add more specifics? What role do you see technology in terms of advancing those three years? >>So I think, you know, if you look at it, technology is fundamental to all of those fears in regard. Teoh Theo innovation that differentiation technology could bring the key challenges. One being able to apply it in a manner where you can really see differentiation of value within the business. So and then the customer's organization. Otherwise, it's technology for the sake of technology. So we see very much a movement now to this conversation of talk about the use case, the use cases, the way by which that innovation could be used to deliver value to the organization on also different ways by which a company will work. Look at the collaboration Kate Capability that we announced earlier this week of helping to bring to life that agility. Look at the the APP D discussion of helping the link the layer of the application into the infrastructure of the network to get to root, cause identification quickly and to understand where you may have a problem before you actually arises and causes downtime many, many ways. >>I think the agility message has always been a technical conversation. Agile methodology, technology, softer development, No problem check. That's 10 years ago. But business agility is moving from a buzz word to reality. Exactly. That's what you're kind of getting. >>Their teams have. Teams operate, how they work and being able to be quick, efficient, stand up, stand down and operate in that way. >>You know, we were kind of thinking out loud on the Cube and just riffing with Fabio Gori on your team on Cisco's team about clarification with you, Gene Kim around kind of real time. What was interesting is we're like, Okay, it's been 13 years since the iPhone, and so 13 years of mobile in your territory in Europe, Middle East Africa mobility has been around before the iPhone, so more advanced data privacy much more advanced in your region. So you you you have a region that's pretty much I think, the tell signs for what's going on North American around the world. And so you think about that. You say Okay, how is value created? How the economics changing this is really the conversation about the business model is okay. If the value activities are shifting and being more agile and the economics are changing with SAS, if someone's not on this bandwagon is not an end state discussion, very. It's done Deal. >>Yeah, it's But I think also there were some other conversation which, which are very prevalent here, is in the region so around trust around privacy law, understanding compliance. If you look at data where data resides, portability of that data GDP our came from Europe has pushed out on those conversations will continue as we go over time. And if I also look at, you know, the dialogue that you saw, you know, within World Economic Forum around sustainability that is becoming a key discussion now within government here in Spain, you know, from a climate standpoint and many other areas >>as well. David, I've been riffing around this whole where the innovation is coming from. It's coming from your region, not so much the us US. We've got some great innovations. But look at Blockchain. Us is like, don't touch it pretty progressive outside United States. A little dangerous to, But that's where innovation is coming from, and this is really the key that we're focused on. I want to get your thoughts on. How do you see it going? Next level? The next level. Next. Gen Business model. What's your What's your vision? >>So I think there'll be lots of things if we look at things like it with the introduction. Introduction of artificial intelligence, Robotics capability five g of course, you know, on the horizon we have Mobile World Congress here in Barcelona a few weeks time. And if you talked about with the iPhone, the smartphone, of course, when four g was introduced, no one knew what the use case where that would be. It was the smartphone, which wasn't around at that time. So with five G and the capability there, that will bring again yet more change to the business model for different organizations and capability and what we can bring to market >>the way we think about AI privacy data ownership becomes more important. Some of the things you were talking about before. It's interesting what you're saying. John and Wendy, the GDP are set this standard and and you're seeing in the US they're stovepipes for that standard California is gonna do want every state is gonna have a difference, and that's going to slow things down. It's going to slow down progress. Do you see sort of an extension of GDP, our like framework of being adopted across the region, potentially accelerating some of these sticky issues and public policy issues that can actually move the market forward? >>I think I think that will because I think there'll be more and more if you look at this is terminology of data. Is the new oil What do you do with data? How do you actually get value from that data? Make intelligent business decisions around that? So, yeah, that's critical. But yet if you look for all of ours, we are extremely passionate about where's our data used again? Back to trust and privacy. You need compliance, you need regulation. And I think this is just the beginning off how we will see that >>evolving. You know, when you get your thoughts. David, I've been riffing for 10 years around the death of storage. Long live storage. But data needs to be stored somewhere. Networking is the same kind of conversation just doesn't go away. In fact, there's more pressure now to get the smartphone. That was 13 years ago, before that. Mobility, data and Video. Now super important driver. That's putting more pressure on you guys. And so hey, we did well, networking. So it's kind of like Moore's Law. More networking, more networking. So video and data are now big your thoughts on video and data video. >>But if you look out the Internet of the future, you know what? So if you look for all of us now, we are also demanding as individuals around capability and access of. That's an Internet of the future. The next phase. We want even more so they'll be more more requirement for speed availability, that reliability of service, the way by which we engage in we communicate. There's some fundamentals there, so continuing to grow, which is which is so, so exciting force. >>So you talk about digital transformation that's obviously in the mind of C level executives. I got to believe security is up. There is a topic one other. What's the conversation like in the corner office when you go visit your customers? >>So I think there's a There's a huge excitement around the opportunity, realizing the value of the of the opportunity on. You know, if you look at top of mind conversations around security around, making sure that you can make taint, maintain that fantastic customer experience because if you don't the customer go elsewhere, How do you do that? How do you enrich at all times and also looking at market? Jason sees, you know, as you go in a new tour at senior levels, within, within organizations independent of the industry in which they're in. They're a huge amount of commonalities that we see across those of consistent problems by which organizations are trying to solve. And actually, one of the big questions is what's the pace of change that I should operate us on? When is it too fast? And one is one of my too slow and trying to balance that is exciting but also a challenge for a company. >>So you feel like sentiment. There's still strong, even though we're 10 years into this, this bull market you get Brexit, China tensions with US US elections. But but generally you see sentiment still pretty strong demand. >>So I would say that the the the excitement around technology, the opportunity that is there around technology in its broader sense is greater than ever before. And I think it's on all of us to be able to help organizations to understand how they can consume and see value from us. But it's a fantastic times, >>gets economic indicators way. So >>I know you >>have to be careful, >>but really, the real I think I'm trying to get to is is the mindset of the CEO. The corner office right now is it is that we're gonna we're gonna grow short term by cutting or do we going to be aggressive and go after this incremental opportunity? And it's probably both. You see a lot of automation in cars >>both, and I think if you look fundamentally for organizations, it's it's the three things helped me to make money, how to save money, keep me out of trouble. So those are the pivots they all operate with on, you know, depending on where an organization is in its journey, whether they're start up there in the middle, the more mature and some of the different dynamics and the markets in which they operate in a well, there's all different variables, you know? So it's it's it's mixed. >>Wendy, thanks so much to spend the time to come on. The Cube really appreciate great keynote folks watching. If you haven't seen the keynote opening section, that's good. Second, the business model. I think it's really right on. I think that's gonna be a conversation will continue. So thanks for sharing that before we look. Before we leave, I want to just ask a question around, What? What's going on for you here in Barcelona? As the show winds down, you had all your activities. Take us in the day in the life of what you do. Customer meetings. What were some of those conversations? Take us inside inside. What? What goes on for you here? >>I tell you, it's been an amazing It's been amazing few days, So it's a combination of customer conversations around some of the themes We just talked about conversations with partners. There's investor companies that we invest in a Cisco that I've been spending some time with on also spending time with the teams as well. The definite zone, you know, is amazing. We have this afternoon the closing session where we got a fantastic, um, external guests who's coming in is going to be really exciting as well. And then, of course, the party tonight and will be announcing the next location, which I'm not going to reveal now. Later on today, >>we kind of figured it out because that's our job is to break news, but we're not gonna break it for you to have that. Hey, thank you so much for coming on. Really appreciate. When any market in Europe, Middle East Africa and Russia for Cisco she's got her hand on the pulse and the future is the business model. That's what's going on. Fundamentally radical change across the board in all areas. This is the Cube, bringing you all the action here in Barcelona. Thanks for watching. >>Yeah, yeah,