(upbeat music) >> Welcome back to The Cube's coverage of Fal.Con 22. I'm Dave Vellante with Dave Nicholson. This is day one of our coverage. We had the big keynotes this morning. Derek Jeter was one of the keynotes. We have a big Yankee fan here: George Kurtz is the co-founder and CEO of CrowdStrike. George, thanks for coming on The Cube. >> It's great to be here. >> Boston fan, you know, I tweeted out Derek Jeter. He broke my heart many times, but I can't hate on Jeter. You got to have respect for the guy. >> Well, I still remember I was in Japan when Boston was down you know, by three games and came back to win. So I've got my own heartbreak as well. >> It did heal some wounds, but it almost changed the rivalry, you know? I mean, >> Yeah. >> Once, it's kind of neutralized it, you know? It's just not as interesting. I mean, I'm a season ticket holder. I go to all the games and Yankee games are great. A lot of it used to be, you would never walk into Fenway park with, you know pin stripes, when today there's as many Yankee fans as there are... >> I know. >> Boston fans. Anyway, at Fenway, I mean. >> Yeah. >> Why did you start CrowdStrike? >> Biggest thing for me was to really change the game in how people were looking at security. And at my previous company, I think a lot of people were buying security and not getting the outcome that they wanted. Not- I got acquired by a company, not my first company. So, to be clear, and before I started CrowdStrike, I was in the antivirus world, and they were spending a lot of money with antivirus vendors but not getting the outcome I thought they should achieve, which is to stop the breach, not just stop malware. And for me, security should be outcome based not sort of product based. And the biggest thing for us was how could we create the sales force of security that was focused on getting the right outcome: stopping the breach. >> And the premise, I've seen it, the unstoppable breach is a myth. No CSOs don't live by that mantra, but you do. How are you doing on that journey? >> Well I think, look, there's no 100% of anything in security, but what we've done is really created a platform that's focused on identifying and stopping breaches as well as now, extending that out into helping IT identify assets and their hygiene and basically providing more visibility into IT assets. So, we talked about the convergence of that. Maybe we'll get into it, but. >> Dave Vellante: Sure. >> We're doing pretty well. And from our standpoint, we've got a lot of customers, almost 20,000, that rely on us day to day to help stop the breach. >> Well, and when you dig into the CrowdStrike architecture, what's so fascinating is, you know, Dave, we've talked about this: agent bad. Well, not necessarily, if you can have a lightweight agent that can scale and support a number of modules, then you can consolidate all these point tools out there. You talked about in your keynote, your pillars, workloads, which really end points >> Right. >> ID, which we're going to talk about. Identity data and network security. You're not a network security specialist, >> Right. >> But the other three, >> Yes. >> You're knocking down. >> Yeah. >> You guys went deep into that today. Talk about that. >> We did, most folks are going to know us for endpoint and Cloud workload protection and visibility. We did an acquisition almost two years to the day on preempt. And that was our identity play, identity threat protection and detection. And that really turned out to be a smart move, because it's the hottest topic right now. If you look at all the breaches over the last couple years, it's all identity based. Big, big talking points in our keynotes today. >> Dave Vellante: Right. >> And then the third area is on data, and data is really the you know, the new currency that people trade in. So how do you identify and protect endpoints and workloads? How do you tie that together with identity, as well as understanding how you connect the dots and the data and where data flows? And that's really been our focus and we continue to deliver on that for customers. >> And you've had a real dogma, I'll call it, about Cloud Native. I've had this conversation with Frank Slootman, "No we're not going to do a halfway house." You, I think, said it really well today. I think it was you who said it. If you've got On-Prem and Cloud, you got two code bases, >> George Kurtz: Right. >> That you got to maintain. >> That's it, yeah. >> And that means you're taking away resources from one or the other. >> That's exactly right. And what a lot of our competitors have done is they started On-Prem as an AV vendor, and then they took what they had and they basically put it in a Cloud instance called a Cloud, which doesn't really scale. And then, you know, where they need to, they basically still keep their On-Prem, and that just diffuses your engineering team. And most of the On-Prem stuff doesn't even have the features of what they're trying to offer from the Cloud. So either you're Cloud Native or you're not. You can't be halfway. >> But it doesn't mean that you can't include and ingest On-Prem data- >> Well, absolutely. >> into your platform, and that's what I think most people just some reason don't seem to understand. >> Well our agents run wherever. They certainly run On-Prem. >> Dave Vellante: Right. Right. >> And they run in the Cloud, they run wherever. But the crowd in the CrowdStrike is the fact that we can crowdsource this threat information at scale into our threat graph, which gives us unique insight, 7 trillion events per week. And you can't do that if you're not Cloud Native. And that crowd gives the, we call, community immunity. We see all kinds of attacks across 176 different countries. That benefit accrues to all of our customers. >> But how do you envision and maintain and preserve a lightweight agent that can support so many modules? As you do more acquisitions and you knock down new areas and bring in new functionality, go after things like operations technology, how is it that you're able to keep that agent lightweight? >> Well, we started as a platform company, meaning that the whole idea was we're going to build a lightweight agent. First iteration had no security capabilities. It was collect data, get it into a common data architecture or threat graph, in one spot. And then once we had the data then we applied AI to it and we created different workflows. So, the first incarnation was get data into the Cloud at scale. And that still holds true today. So if you think about why we can actually have all these different modules without an impact on the performance, it's we collect data one time. It's a threat data, you know? We're not collecting user data, but threat data collection mechanism. Once we have all that data, then we can slice and dice and create other modules. So the new modules never have to even touch the agent 'cause we've already collected the data. >> I'm going to just keep going, Dave, unless you shove your way in. >> No, no, go ahead. No, no, no. I'm waiting to pounce. >> But okay, so, I think, George, but George, I need to ask you about a comment that you made about we're not just shoving it into a data lake. But you are collecting all the data. Can you explain that nuance? >> Yeah. So there's a difference between a collect and forward agent. It means they just collect a bunch of data. They'll probably store it in a lot of space on the endpoint. It's slow and cumbersome, and then they'll forward it up into another data lake. So you have no context going into no context. Our agent is a smart agent, which actually allows us to always track the context of all these processes in what's happening on the endpoint. And it's a mini graph, meaning we keep track of the relationships. And as we ship that contextual information to the Cloud, we never lose that context. And then it goes into the bigger graph database, always with the same level of context. So, we keep the context of each individual workload or endpoint, and then across the Cloud, we have the context of all of those put together. It's massive. And that allows us to create different insights rather than a data lake, which is, you know, you're looking for, you're creating a bigger needle stack looking for needles. >> And I'm envisioning almost an index that is super, super fast. I mean, you're talking about sub, well second kind of near real time responses, correct? >> Absolutely. So a lot of what we do in terms of protection is already pushed down to the endpoint , 'cause it has intelligence and the AI model. And then again, the Cloud is always looking for different anomalies, not only on each individual endpoint or workload, but across the entire spectrum of our customer base. And that's all real time. It continually self-learns from all the data we collect. >> So when, yeah, when you've made these architectural decisions over time, there was a time when saying that you needed to run an agent could be a deal killer somewhere for people who argued against that. >> George Kurtz: Right. >> You've made the right decision there, clearly. Having everything be crowdsourced into Cloud makes perfect sense. Has that, though, posed a challenge from a sovereignty perspective? If you were deploying stuff On-Prem all over the place, you don't need to worry about that. Everything is here >> George Kurtz: Yeah. >> in a given country. How do you address the challenges of sovereignty when these agents are sending data into some sort of centralized Cloud space that crosses boundaries? >> Well, yeah, I guess what we would, let me go back to the beginning. So I started company in 2011 and I had to convince people that delivering endpoint security from the Cloud was going to be a good thing. >> Dave Vellante: Right. (chuckles) >> You know, you go into a Swiss bank and a bunch of other places and they're like, you're crazy. Right? >> Dave Nicholson: Right. >> They all became customers afterwards, right? And you have to just look at what they're doing. And the question I would have in the early days is, well, let me ask you are you using Dropbox, Box? Are you using a Microsoft? You know, what are you using? Well, they're all sending data to the Cloud. So good news! You already have a model, you've already approved that, right? So let's talk about our benefit. And you know, you can either have an adversary steal your data or you can send threat data to our Cloud, which by the way is in a lot of sovereign Clouds that are out there. And when you actually break it down to what we're sending to the Cloud, it's threat data, right? It isn't user files and documents and stuff. It's threat data. So, we work through all of that. And the Cloud is bigger than CrowdStrike. So you look at Sales Force, Service Now, Workday, et cetera. That's being used all over the place, Box, Dropbox. We just tagged onto it. Like why shouldn't security be the platform of record, and why shouldn't CrowdStrike be the platform of record and be the pillar of Cloud security? >> Explain your observability strategy, 'cause you acquired Humio for, I mean, I think it was $400 million, which is a song. >> Yeah. >> And then Reposify is the latest acquisition. I see that as an extension, 'cause it gives you visibility. Is that part of your security, of your observability play? Explain where you do play and don't play. >> Sure. Well observability is a big, you know, fluffy word. Where we play is in probably the first two areas of observability, right? There's five, kind of, pillars. We're focused on event collection. Let's get events from the endpoints. Let's get events from really anywhere in the network. And we can do that with Humio is now log scale. And then the second piece is with our agents, let's get an understanding of their, the asset itself. What is the asset? What state is it in? Does it have vulnerabilities? Does it have, you know, is it running out of disc space? Is it have, does it have a performance issue? Those are really the first two, kind of, areas of observability. We're not in application performance, we're in let's collect data from the endpoint and other sources, and let's understand if the thing is working, right? And that's a huge value for customers. And we can do that because we already have a privileged spot on the endpoint with our agent. >> Got it. Question on the TAM. Like I look at your TAMs, your charts, I love it. You know, generally do. Were you taking known data from you know, firms like IDC >> George Kurtz: Yeah. >> and saying, okay we're going to play there, now we're made this acquisition. We're new modules, now we're playing there. Awesome. I think you got a big TAM. And I guess that's, that's the point. There's no lack of market for you. >> George Kurtz: Right. >> But I do feel like there's this unknown unquantifiable piece of your TAM. IDC can't see it, 'cause they're kind of looking back >> George Kurtz: Right. >> seein' what the market do last year and we'll forecast it out. It's almost, you got to be a futurist to see it. How do you think about your total available market and the opportunity that's out there? >> Well, it's well in excess of 120 billion and we've actually updated that recently. So it's even beyond that. But if you look at all the modules each module has a discreet TAM and again, for what, you know, what we're focused on is how do you give an outcome to a customer? So a lot of the modules map back into specific TAM and product categories. When you add 'em all up and when you look at, you know, some of the new things that we're coming out with, again, it's well in excess of 120 billion. So that's why we like to say like, you know, we're not an endpoint company. We're really, truly a security platform company that was born in the Cloud. And I think if you see the growth rates, and one of the things that we've talked about, and I think you might have pointed out in prior podcasts, is we're the second fastest company to 2 billion dollars in annual recurring revenue, only behind Zoom. And you know I would argue- great company, by the way, a customer- but that was a black Swan event in a pandemic, right? >> Dave Vellante: I'll say! >> Yeah. >> So we are rarefied air when you think about the capabilities that we have and the performance and the TAM that's available to us. >> The other thing I said in my breaking analysis was 'cause you guys aspire to be a generational company. And I think you got a really good shot at being one, but to be a generational company, you have to have an ecosystem. So I'd love you to talk about the ecosystem, but where you want to see it in five years. >> Well, it really is a good point and we are a partner first company. Ecosystem is really important. Cameras probably can't see all the vendors that are here that are our partners, right? It's a big part of this show that we're at. You see a lot of, well, you see some vendors behind us. >> Yep. >> We have to realize in 2022, and I think this is something that we did well and it's my philosophy, is we are not the only game in town. We like to be, and we are, for many companies the security platform on record, but we don't do everything. We talked about network in other areas. We can't do everything. You can't be good and try to do everything. So, for customers today, what they're looking at is best of platform. And in the early days of security, I've been in it over 30 years, it used to be best of breed products, then it was best of suite, now it's best of platform. So what do I mean by that? It means that customers don't want to engineer their own solution. They, like Lego blocks, they want to pull the platforms, and they want to stitch 'em together via API. And they want to say, okay, CrowdStrike works with Okta, works with Zscaler, works with Proofpoint, et cetera. And that's what customers want. So, ecosystem is incredibly important for us. >> Explain that. You mentioned Okta, I had another question for you. I was at Reinforce, and I saw this better together presentation, CrowdStrike and Okta talking about identity. You've got an identity module. Explain to people how you're not competing with Okta. You guys complement each other, there. >> Well, an identity kind of broker, if you will, is basically what Okta does in others, right? So you log in single sign on and you get access. They broker access to all these other applications. >> Dave Vellante: Right. >> That's not what we do. What we do is we look at those endpoints and workloads and domain controllers and directory services and we figure out, are there vulnerabilities and are there threats associated with them? And we call that out. The second piece, which is critical, is we prevent lateral movement. So if credentials are stolen we can prevent those credentials from being laundered or used and moved laterally, which is a key part of how breaches happen. We then create a trust score on those endpoints and workloads. And we basically say, okay, do we think the trust on the endpoint and workload is high or low? Do we think the identity, you know, is it George on the endpoint, or not? We give that a score. And we pass that along to Okta or Ping or whoever, and they then use that as part of their calculus in how they broker access to other resources. So it really is better together. >> So your execution has been stellar. This is my competition question. You obviously have competition out there. I think architecturally, you've got some advantages. You have a great relationship with AWS. I don't know what's going on with Google, but Kevin's up on stage. >> George Kurtz: Yeah. >> They're now part of Google. >> George Kurtz: We have a great relationship with them. >> Microsoft obviously, a competitor. You obviously do some things in, >> Right. >> in Azure. Are you building the security Cloud? >> We are. We think we are, because when you look at the amount of data that we actually ingest, when you look at companies using us for critical decisions and critical protection, not only on their On-Prem, but also in their Cloud environment, and the knowledge we have, we think it is a security Cloud. You know, you had, you had Salesforce and Workday and ServiceNow and each of them had their respective Clouds. When I started the company, there was no security Cloud. You know, it wasn't any of the companies that you know. It wasn't the firewall companies, wasn't the AV companies. And I think we really defined ourselves as the security Cloud. And the level of knowledge and insights we have in our Cloud, I think, are world class. >> But you know, it's a difference of being those- 'cause you mentioned those other, you know, seminal Clouds. They, like Salesforce, Workday, they're building their own Clouds. Maybe not so much Workday, but certainly Salesforce and ServiceNow built their own >> Yeah. >> Clouds, their own data centers. You're building on top of hyperscalers, correct? >> Well, >> Well you have your own data centers, too. >> We have our own data centers, yeah. So when we first started, we started in AWS as many do, and we have a great relationship there. We continue to build out. We are a huge customer and we also have, you know, with data sovereignty and those sort of things, we've got a lot of our sort of data that sits in our private Cloud. So it's a hybrid approach and we think it's the best of both worlds. >> Okay. And you mean you can manage those costs and it's, how do you make the decision? Is it just sovereignty or is it cost as well? >> Well, there's an operational element. There's cost. There's everything. There's a lot that goes into it. >> Right. >> And at the end of the day we want to make sure that we're using the right technology in the right Clouds to solve the right problem. >> Well, George, congratulations on being back in person. That's got to feel good. >> It feels really good. >> Got a really good audience here. I don't know what the numbers are but there's many thousands here, >> Thousands, yeah. >> at the ARIA. Really appreciate your time. And thanks for having The Cube here. You guys built a great set for us. >> Well, we appreciate all you do. I enjoy your programs. And I think hopefully we've given the audience a good idea of what CrowdStrike's all about, the impact we have and certainly the growth trajectory that we're on. So thank you. >> Fantastic. All right, George Kurtz, Dave Vellante for Dave Nicholson. We're going to wrap up day one. We'll be back tomorrow, first thing in the morning, live from the ARIA. We'll see you then. (calm music)

>>From Miami beach, Florida. It's the queue covering a chronics global cyber summit 2019 brought to you by Acronis. >>Okay, welcome back. Everyone's the cubes covers two days here in Miami beach. The Fontainebleau hotel for the Kronos has global cyber summit 2019. It's inaugural event around a new category emerging called cyber protection. Um, this isn't a wave that's going to be part of the modernization a week we've been calling cloud 2.0 or whatever you want to call it. A complete modernization of the it technology stack and development environment includes core data center to the edge and beyond. Our next guest is Dan havens, chief growth officer per Chronis. Dan, thanks for coming on. Appreciate it. And thank you for having me, Dan. So, uh, what does chief growth officer mean? You guys obviously are growing, so obviously we see some growth there. Yeah, numbers are there. What she, what she, we have a couple of divisions in the company where we see we can really accelerate the business. >>So we came in and we wanted to make some large investments here. One of those areas was sports. You're seeing race cars out here on the floor, you're seeing all kinds of baseball teams, soccer teams, and we're talking to everybody. We have 40 teams now that are using our technology for competitive advantage on the field. Uh, the other areas, OEM, so, uh, original equipment manufacturers, everybody from making a camera to a server somewhere, having a Cronus be embedded, that's a big angle for us and we just didn't have a lot of focus. So I came into to build those divisions. I've actually joined the CEO before in a prior life in his last company and did something similar for him on a similar, uh, back there and we had violent success. So yeah, it's been a lot of fun. I've been here a year and a half and we're killing it. >>We got triple digit growth in the sporting category and similar in the OEM. It's interesting, you know, I look at a lot of these growth companies and the kind of a formula. You see, you guys have a very efficient and strong product platform engineering group. A lot of developers, a lot of smart people in the company, and a strong customer facing for the lack of a better word, field. The group you're in, you're involved, this is not, and you got marketing supporting it in the middle. Yep. So nice, efficient organizational structure on a massive way. But cyber, because this isn't your grandfather's data projection, this is a platform. What's the pitch? So the key here for us is we have to always say, and, and it, it's, it's hard to simplify and we're easy. In fact, we're cost-effective. Sometimes I'll even say I'm cheap and I'm easy. >>And that does not go out of style for an enterprise, right? So our ability to take good old fashioned backup and these things that other people need and basically extend that across. Now I can have one window where I can control, keep 'em out. If somebody gets in or from the inside or a disaster happens. I from this one place can recover my data. I'm secure with my data. I have the ability to notarize my data. So this one, and by the way, key simple interface. Customers love simple. This one simple interface to be able to do that. Now it takes a lot of engineering that goes behind that. I have plenty of, I have fancy engineering degrees and all that, but I try forget that when I'm talking to a customer because at the end of the day it's gotta make sense. A mind that doesn't know, says no. >>And I think we do a pretty good job of simplifying the message, but as they get under the covers and they roll it out, they recognize that there's, you know, we, we, we have more engineers per employee capita than any company that would have 1600 employees. Simple, easy to use. It reduces the steps it takes to do something as a winning business model. You kind of come from that school you mentioned, you know, cheap and easy. That's what is key. Yeah. But we're in a world where complexity is increasing and costs are increasing. Yep. These are two dynamics that are facing every enterprise, cyber it everywhere. What's your story when you want to educate that person so they can get to that? Yes. I want to work with you guys. What's that? What's that getting to? Yes. Processed motion look like. So the beautiful part is is we sell software right now. >>Software can be purchased complex. You install it, you can figure, you do everything yourself. We also can sell that from a cloud standpoint. So now you consume it like a service. Just like you consume Netflix at home, right? I can now consume this protection as a service. You have bolts spectrums covered. Most enterprises are somewhere in the middle. We call that hybrid. So the idea here is that there's going to be components where this data's not leaving these four walls. It might be government agency, it might be some compliance factor, but the ability to be able to say yes anywhere on that spectrum, it makes it very easy for an executive to say, okay, but we have a very, as you leverage the cloud, the OnRamp for this can be as simple as turning on the surface and pointing it at a data source. I mean, you're a student of history, obviously even in this business for awhile, you've done been there longer than you'd think. >>Data protection was kind of like that. Afterthought, backup data recovery all based upon, yeah, we might have an outage or a flood or hurricane Sandy who knows what's going to happen. You know, some force majority out there might happen, but security is a constant disrupter of business continuity. The data's being hijacked and ransomware to malware attacks. This is a major disruption point of a world that was supposed to be a non disruptive operational value proposition. Yeah, so the world has changed. They went from a niche, well, we've got their architecture of throwing back up. You've got to think about it from day one at the beginning. This seems to be your, your story for the company. You think about security from the beginning with data protection. There's only one club in the bag, so to speak. Talk about that dynamic and how's that translating into your customer's storytelling customer engagements to show you, you used an interesting word at the beginning, disaster recovery years ago, I started my tech industry in 1992 right? >>Disaster recovery is when we're going to have a flood or a hurricane and the building's going to burn down. What we find is most of our customers, that's certainly happens, but that's not the driver. The driver now is somebody after my data because the world has changed. Not only has the amount of data we're collecting change, but the ability to illegally monetize somebody else's data has become reality and you have social media that is socializes if you get breached and so forth. So there's a number of drivers. Number one, I don't want to be turned out of business. Number two, I don't want to be ransom. Then number three, I certainly don't want to do the cover of the wall street journal tomorrow morning as a top executive who looked past data. We literally watch brands, I won't mention the brand now, but a very large fortune 1000 what's called out yesterday. >>We see it every few days and we watched the carnage of their brand get deluded because they weren't protected. So I think it's the perfect storm up. I've got a ton of data, so it's coming in from all directions. Secondly, I I'm concerned about, you know, my brand and been able to protect that data and then you know, what do I do? And the disaster in this case is not necessarily flood or fire. It's that somebody from the inside or outside got in the gym. Pretend that I'm a decision maker. I'm like, my head's exploding. I'm got all this carnage going on. I don't want to get fired yet. I know I'm exposed. Nothing's yet happened yet. Maybe I settled the ransomware thing, but I know I'm not in a good place. What's your story to any, what's your pitch to me? What's in it for me? Tell me. >>Tell me the posture and the, well, we're halfway home. If you say, I know I'm not in a good place, right? Cause oftentimes somebody has to get bit first or they have to see their neighbor get bit first and then they say, Hey come in. One of my first plays would be let's find out what place you really are. I can do that very quickly and an assessment, we can gather your systems, we can get a sense for our, where's your data? Where it's flowing from. What are you doing? What are you doing to protect it? We typically will come back and there's going to be spots where there's blind spots. Sometimes they're fully naked, right? But the good news is is now we know the problem, so let's not waste any time, but you can get onboard and baby steps or you know, we can bandaid it or we can really go into full surgery however you want to move forward. >>But the idea is recognizing this has to be addressed because it's a beast. Every single device that's out there on the floor, in any enterprise, any company is a way in and a POC are critical for your business model. You want to get them certainly candy taste, show the value quickly has a POC, gets structured unit assessment. You come in on a narrow entry nail something quick, get a win. What's the, what's the playbook? Love PLCs because we're so fast and easy meaning oftentimes you do PLCs cause you're complex software and you're trying to prove your point and so forth. I love to push a POC cause I can do it inside of days, but I get the customer to take the drive. It's just on the car lot. If I get you to drive it down the block, you're not bringing it back. You're bringing it home to the neighbors. >>Right. That is the case with our software and our hit rate is key. But again it's because it's straightforward and it's easy. So though most sales cycles don't push for pilot. I can't wait to get a pilot but we don't need 30 days to do it in a couple of days. They're going to recognize I can do this too. You have a good track record of POC. If I get, this is going to be the most conceding. You might have to edit this out. If I get an audience, I will win. That is the most conceited statement on the planet. And if I get the audience and they will look, and this is why we use the sports teams. Sports teams are the cool kids using this. And if I get an executive to say, what are you guys doing with the red Sox? If I could get him or her to look, it's game over. >>Hey being bad ass and having some swagger. It's actually a good thing if you got the goods to back it up. That's not fun. Piece here is that the product works well and it's not this massive mountain to hurdle. It is. We can get started today and take bites as we go, but you mentioned sports. Let's get into that talk track. As we have been covering sports data for now six years on the cube in San Francisco. We were briefly talking about it last night at the reception, but I think sports teams encapsulates probably the most acute use case of digital transformation because they have multiple theaters that are exploding. They got to run their business, they got a team to manage and they got fan experience and their consumers, so you've got consumerization of it. You got security of your customers either in a physical venue from a potential terrorist disaster could happen to just using analytics to competitive venture from the Moneyball model to whatever sports really encapsulates what I call the poster child of using digital into a business model that works. >>You've been successful with sports. We interviewed Brian shield yesterday. Yup. Red Sox, vice-president technology. He was very candid. He's like, look it, we use analytics. It helps us get a competitive, not going to tell you the secrets, but we have other issues that people not thinking about drone strikes while the games going on, potential terrorist attacks, gathering the people, you know, adding on East sports stadium to Fenway park. They have a digital business model integrating in real time with a very successful consumer product and business in sports. This has been a good market for you guys. What's been the secret to success? >> Explosive market? Couple things. First off, you summarized well, sports teams are looking for competitive advantage, so anything that can come in under that guys is gonna get some attention plus data, fan data, system data, ticket data. Um, in baseball, they're studying every single pitch of pictures ever thrown. >>They have video on everything. This is heavy lift data, right? So a place to put it saved money, a place to protect it, a pace to access it so that all of my Scouts that are out in the field with a mobile device have the ability to upload or evaluate a player while they're out still on them and on the field somewhere maybe in another country. And then add the added caveat in our sexiest piece. And that's artificial intelligence. You mentioned Moneyball, right? Uh, the, the entire concept of, of stat of statistics came out in the Moneyball concept and you know, we all saw the movie and we all read the book, but at the end of the day, this is the next step to that, which is not just written down statistics. Now we can analyze data with machine learning and we have very, we have unique baseball examples where there's absolutely no doubt they have the data. >>It's the ability to, how do I turn that to where I can be more competitive on our racing team. So we're actually working with teams improving, changing the car on the track during the race, using our software fact. We always look forward to opportunities where somebody says, Hey, come in and talk about that because it's incredibly sexy to see. Um, but sports are fun because first off they're the cool kids. Secondly, they're early adopters. If it's gonna give competitive advantage, uh, and third, they hit all the vectors. Tons of data have to protect it. >> It's our life in the business models digital too. So the digital transformation is in prime time. We cannot ignore the fact that people want wifi. They got Instagram, Facebook, all of these, they're all conscious of social media. There are all kinds of listening sports club, they have to be, they have to be hip, right? >>And being out front like that, think about the data they have come in at. And so not just to be smart on the field, they have to be smart with our customer. They're competing with that customer for four of their major sports or whatever. Major sports in the, in the, in the, in our case in this fashionable to be hip is cool for the product, but now you think about how they run their business. They've got suppliers, um, that have data and trusting suppliers with data's. There's a difficult protection formula. They've got national secure security issues. They have to protect, well they have to protect as a big part, but they have to protect, well first off these, these archives of data that are of 20 races ago or of this pitcher pitched three years ago and I have a thousand of his pitches and I'm looking for towels. >>That is, that's mission critical. But also, uh, to boot you have just business functions where I'm a, I'm a team and I have a huge telco sponsor and we are shifting back and forth and designing what their actual collateral is going to be in the stadium. They're actually using a Chronis to be able to do that up in the cloud where they can both collaborate on that. Not only doing it, but being able to protect it that way. It's, it's more efficient for them. It's interesting. I asked Brian shield this question, I asked her how does baseball flex and digital with the business model of digital with the success of the physical product or their actual product baseball. And he said an interesting thing. He's like the ROI models just get whacked out because what's the ROI of an investment in technology? It used to be total cost of ownership. >>The class that's right under the under the iceberg to sharpen whatever you use, you use that. We don't use that. We think about other consequences like a terrorist attack. That's right. So so the business model, ROI calculation shifting, do you have those kinds of conversations with some of these big teams and these sports teams? Because you know they win the world series, their brand franchise goes up if they win the national championship, but whatever their goal is has real franchise value. There's numbers on that. There's also the risk of say an attack or some sort of breach. >> Well, I won't mention the names, I won't mention the teams by name, but I have a half a dozen teams right now and two that are actually rolling out that are doing facial recognition just for security, a fan's entering their stadium. So they are taking the ownership of the safety of their fan to the level of doing visual or facial recognition coming into their stadium. >>Obviously the archive to measure against is important and we can archive that, but they're also using artificial intelligence for that. So you're absolutely right. They owe their fan a safe experience, not only a safe experience with good experience and so forth. And we love to be associated whenever we can with wins and losses. But to your point, how do you get, or how do you show a TCO on a disaster and nobody wants to, and by the way, we've seen enough of that to know it's looming. And there's also the supply chain too. I can buy a hotdog and a beer from Aramark, which is the red socks. They say supplier that's not owned by the red Sox. They have a relationship. But my data's in, I'm a consumer of the red Sox. I'm procuring a, you know, some food or service from a vendor. Yeah, yeah. My data's out there. >>So who protects that? Well, these are unique questions that come up all the time. Again, that's a business decision for the customer. The idea is with cloud collaboration, it's technically quite easy, but again, they have to decide where they're gonna commingle their data, how they're going to share. But the idea here is, again, back to the spectrum, fully cloud and accessible and locked down airtight government's scenario where we have a, you know, a lock bottom line is you get to pick where you want to be on there and there's going to be times where my example of talking to the, uh, the telco vendor, we're, we're actually going to share our data together and we're going to make us faster, make a quicker return and design this collateral for our stadium faster. Those are business decisions, but they're allowed because it, Coronas can be as hybrid as you need to be along the site. >>And again, that resonates with an executive. They never want to be wearing handcuffs and they don't want to pay overpay for stuff to not use our stuff. And if you decide to consume cloud, you, you just pay as you go. It's like your electricity bill. All right. So the red Sox are a customer of you guys. You have or they use your service. What other sports teams have you guys engaged with who you're talking to? Give a taste of some of the samples. So European, we have a couple of formula one teams. We have a racing point. We have the Williams team and formula E we have to cheetah the dragon team. We have a adventury, we also have Neo. So we have a good presence in the racing clubs. We have a ton of a world rally cars and, and, and motorcycle motorcross and so forth. >>Then you step over into European football. So we, we, we started in cars and recognize this is hot. So then we got our first, uh, European team, uh, and we had arsenal. As a matter of fact, we have one of the legends here signing with us today. And you know, I mean, they're rock stars, right? People follow them. Anyway, so we have arsenal and we did man city. Um, and we just landed, uh, Liverpool just did that this quarter, two weeks ago. I literally just, the ink is still drying. Um, and then you move into the United States, which I brought the, you know, I brought the circus to town on January one, 2019. First when was the Boston red Sox. We quickly followed that up. You'll see us on the home run fence at San Diego Padres. Volts bought for different reasons, but both very sexy reasons. So it's the reason. >>What were the main drivers? So in the case of the Boston red Sox, it was, it was a heavy lift on video. A lot of on the protection side. Um, the, uh, San Diego was file sync and share. So the example I was giving of, um, being able to share with your largest telco vendor or with your largest investors slash sponsor for your stadium, um, that was the driver. Now what's funny about both is as they get started, he's always expanding, right? So we have the baseball teams, we did land this quarter, the Dallas stars. So that's our first hockey club. I really want. And my goal is to try to get a couple in each of the main four categories and then some of the subs, um, just cause you get the cool kids, you get a tipping point. Everybody then wants to know what's going on. I have a hundred and play. >>And so we, we typically try to qualify regional where it makes sense. Um, uh, we're, you know, we're very close with a team here in the region. So, you know, they, in the feedback from, from the, from the successes you had implementations, why, what's uh, what's been the feedback from the customers. So here's the file in this. Sounds like I'm just tripping with sales guy and I apologize. Warning signs. Okay. If they use it, we're home free. So when you get Brian or any one of these guys that are using it, all I have to do is make sure that a new customer hears this person who has no reason to say anything else and just expose them to it. Because it's this unknown, scary thing that we're trying to protect against and being able to do that and have the freedom of how aggressive or you know, what metaphor am I going to cover that? >>And then also, uh, you know, the, obviously the economics work is you pay as you go. Um, it's, you know, it's a good story. Well, Dan, congratulations on the success. Um, great to see you guys really digging in and getting those PLCs and being successful. We watching your growth. Final question for you yes. Is all the data and the patterns that you see and all of customers. What's the number one reason why a Cronus is selected and why you women? I think that's an interesting question and I think that it's a couple of reasons. Number one, we work, we're easy. We have an enormous footprint. So there's a lot to reference from. Many people have already used us on the consumer side, so we're safe. So that's one reason I would also tell you however, that we have a great ecosystem because a Kronos is different than most software companies. >>Most software companies have a huge outside sales force that sells direct to customer a Chronis. Everybody here is a partner. We sell through a service provider to a channel member through a, through a, a, a, an ISV. Um, and then we have some direct enterprise. But the idea is there's a variety of solutions that can be baked on this foundation. And I think people like that variety. I, they, they like the, like the freedom of I'm not just trapped with this one thing. I can buy it and all options are available and I will tell you an it, nobody wants to be locked down. Everybody wants options, safety in numbers. They want their data protected with the whole cyber land lens. And they know everything's changing every six months. Something's different. And I don't want to be handcuffed in my desk. I want all options available. I think that's our best value from all right, Dan, thanks for coming on. Dan havens, chief growth officer, but Krohn is weird. The Chronis global cyber summit. I'm John Ford. Stay tuned for more cube coverage after this short break.

>> Announcer: From Miami Beach, Florida, it's The Cube, covering Acronis Global Cyber Summit 2019. Brought to you by Acronis. >> Welcome back everyone. We are here with The Cube coverage for two days. We're wrapping up, getting down on day one in the books for the Acronis Global Cyber Summit 2019. I'm John Furrier, your host of The Cube. We are in Miami Beach, the Fontainebleau Hotel. I'm personally excited for this next guest because I'm a huge Red Sox fan, even though I got moved out to California. Giants is in a different area. National League is different than American League, still my heart with the Red Sox. And we're here with an industry veteran, seasoned professional in IT and data, Brian Shield. Boston Red Sox Vice President of Technology and IT. Welcome to The Cube, thanks for joining us. >> Thank you. It's great to be here. >> John: So congratulations on the rings. Since I moved out of town, Red sox win their World Series, break the curse of the Bambino. >> Hey we appreciate that. Thank you. >> My family doesn't want me back. You got to show >> Yeah, maybe I'll put this one up for the, maybe someone can zoom in on this. Which camera is the good one? This one here? So, there ya go. So, World Series champs for at least for another week. (laughter) >> Bummer about this year. Pitching just couldn't get it done. But, good team. >> Happens. >> Again, things move on, but you know. New regime, new GM going to come on board. >> Yup. >> So, but in general, Red Sox, storied franchise. Love it there. Fenway Park, the cathedral of baseball parks. >> Brian: Defnitely. >> And you're seeing that just play out now, standard. So just a great place to go. We have tickets there. So, I got to ask you. Technology, sports, really is modernized faster than I think any category. And certainly cyber security forced to modernize because of the threats. But sports, you got a business to run, not just IT and making the planes run on time. >> Sure. >> Scouts, money, whatever. >> Fans. >> You got fan experience. >> Stadium opportunities. >> Club management, scouts are out there. So you got business, team, fans. And data's a big part of it. That's part of your career. Tell us what the cutting edge innovation is at the Red Sox these days. >> I think baseball in general, as you indicated, it's a very evolving kind of environment. I mean historically I think people really sort of relish the nostalgia of sports and Fenway Park being as historic as it is, was probably the pinnacle of that, in some respects. But Red Sox have always been leaders and baseball analytics, you know. And everyone's pretty familiar with "Moneyball" and Brad Pitt. >> John: Is that a true story, he turned down the GM job? >> I'm told it is. (laughter) I don't know if I fully vetted that question. But over the last six, seven years, you know we've really turned our attention to sort of leveraging sort of technology across the businesses, right? Not just baseball and analytics and how we do scouting, which continues to evolve at a very rapid pace. But also as you pointed out, running a better business, understanding our fans, understanding fan behavior, understanding stadiums. There's a lot of challenges around running an effective stadium. First and foremost to all of us is really ensuring it's a great fan experience. Whether it's artificial intelligence, or IoT technologies or 5G or the latest Wifi, all those things are coming up at Fenway Park. You and I talked earlier about we're about to break ground for a new theater, so a live theater on the outside, beyond the bleachers type of thing. So that'll be a 5,400-seat arena, 200 live performances a year, and with e-sports, you know, complementing it. It just gives you an example of just how fast baseball is sort of transitioning. >> And the theater, is that going to be blown out from where that parking garage is, structure and going towards >> So the corner of Landsdown and Ipswich, if you think of that sort of corner back there, for those that are familiar with the Fenway area. So it's going to be a very big change and you'll see the difference too from within the ballpark. I think we'll lose a couple of rows of the bleachers. That'll be replaced with another gathering area for fans and things like that, on the back end of that theater. So build a great experience and I think it really speaks to sort of our ability to think of Fenway as more of a destination, as a venue, as a complementary experience. We want people to come to the area to enjoy sports and to enjoy entertainment and things. >> You know Brian, the consumerization of IT has been kicked around. Last decade, that was a big buzzword. Now the blending of a physical event and digital has certainly consumed the world. >> Absolutely. >> And we're starting to see that dynamic. You speak to a theater. That's a physical space. But digital is also a big part of kind of that complementary. It's not mutually exclusive for each other. They're integrated business models. >> Absolutely. >> So therefore, the technology has to be seamless. The data has to be available. >> Yup. >> And it's got to be secure. >> Well the data's got to be ubiquitous, right? I mean you don't want to, if we're going to have fans attending theater and then you're going to go to Fenway Park or they leave a game and then go to some other event or they attend a tour of Fenway Park, and beyond maybe the traditional what people might think about, is certainly when you think about baseball and Fenway Park. You know we have ten to twelve concerts a year. We'll host Spartan games, you know. This Christmas, I'm sorry, Christmas 2020 we now have sort of the Fenway Bowl. So we'll be hosting the AAC ACC championship games there with ESPN. >> John: Hockey games? >> Hockey games. Obviously we have Liverpool soccer being held there so it's much more of a destination, a venue for us. How we leverage all the wonderful things about Fenway Park and how we modernize, how we get basically the best of what makes Fenway Park as great as it is, yet as modern as we can make it, where appropriate to create a great fan experience. >> It's a tough balance between balancing the brand and having things on brand as well. >> Sure. >> Does that come into your job a lot around IT? Saying being on brand, not kind of tearing down the old. >> Yeah absolutely. I think our CEOs and leadership team, I mean it's not success for us if you pan to the audience and everyone is looking at their phone, right? That's not what we aspire to. We aspire to leverage technology to simplify people's experience of how do you get to the ballpark, how do I park, how do I get if I want to buy concessions or merchandise, how do I do it easily and simply? How do we supplement that experience with maybe additional data that you may not have had before. Things like that, so we're doing a lot of different testing right now whether it's 4D technologies or how we can understand, watch a play from different dimensions or AI and be able to perhaps see sort of the skyline of Boston since 1912, when Fenway Park launched... And so we sort of see all these technologies as supplemental materials, really kind of making it a holistic experience for fans. >> In Las Vegas, they have a section of Las Vegas where they have all their test beds. 5G, they call it 5G, it's really, you know, evolution, fake 5G but it's a sandbox. One of the challenges that you guys have in Boston, I know from a constraint standpoint physically, you don't have a lot of space. How do you sandbox new technologies and what are some of the things that are cool that people might not know about that are being sandboxed? So, one, how do you do it? >> Yeah. >> Effectively. And then what are some of the cool things that you guys are looking at or things they might not know about that would be interesting. >> Sure. Yeah so Fenway Park, we struggle as you know, a little bit with our footprint. You know, honestly, I walk into some of these large stadiums and I get instant jealousy, relative to just the amount of space that people have to work with and things. But we have a great relationship with our partners so we really partner, I think, particularly well with key partners like Verizon and others. So we now have 5G partially implemented at Fenway Park. We expect to have it sort of fully live come opening day next year. So we're really excited about that. We hope to have a new version of Wifi, the latest version of Wifi available, for the second half of the year. After the All-Star Break, probably after the season's over. But before our bowl game hopefully. We're looking at some really interesting ways that we can tease that out. That bowl game, we're really trying to use that as an opportunity, the Fenway Bowl, as an opportunity to make it kind of a high-tech bowl. So we're looking at ways of maybe doing everything from hack-a-thons to a pre-egaming sort of event to some interesting fan experiential opportunities and things like that. >> Got a lot of nerds at MIT, Northeastern, BU, Bentley, Babson, all the schools in the area. >> Yeah, so we'll be reaching out to colleges and we'll be reaching out to our, the ACC and AACs as well, and see what we can do to kind of create sort of a really fun experience and capitalize on the evolving role of e-sports and the role that technology can play in the future. >> I want to get to the e-sports in a second but I want to just get the plug in for Acronis. We're here at their Global Cyber Summit. You flew down for it, giving some keynote speeches and talks around security. It's a security company, data protection, to cyber protection. It is a data problem, not a storage appliance problem. It's a data problem holistically. You get that. >> Sure. Sure. >> You've been in the business for a long time. What is the security kind of posture that you guys have? Obviously you want to protect the data, protect privacy. But you got to business. You have people that work with you, supply chain, complex but yet dynamic, always on environment. >> That's a great question. It's evolving as you indicated. Major League Baseball, first and foremost, does an outstanding job. So the last, probably last four plus years, Major League Baseball has had a cyber security program that all the clubs partake in. So all 30 clubs are active participants in the program. They basically help build out a suite of tools as well as the ability to kind of monitor, help participate in the monitoring, sort of a lot of our cyber security assets and logs And that's really elevated significantly our posture in terms of security. We supplement that quite a bit and a good example of that is like Acronis. Acronis, for us, represents the ability for us to be able to respond to certain potential threats like ransom-ware and other things. As well as frankly, what's wonderful about a tool like this is that it allows us to also solve other problems. Making our scouts more efficient. We've got these 125 scouts scattered around the globe. These guys are the lifeblood of our, you know, the success of our business. When they have a problem, if they're in Venezuela or the Dominican or someplace else, in southeast Asia, getting them up and running as quickly as we can, being able to consume their video assets and other things as they're scouting prospects. We use Acronis for those solutions. It's great to kind of have a partner who can both double down as a cyber partner as well as someone who helps drive a more efficient business. >> People bring their phone into the stadiums too so those are end points now connecting to your network. >> Definitely. And as you pointed out before, we've got great partnerships. We've got a great concession relationship with Aramark and they operate, in the future they'll be operating off our infrastructure. So we're in the point of rolling out all new point-of-sale terminals this off-season. We're excited about that 'cause we think for the first time it really allows us to build a very comprehensive, very secure environment for both ourselves and for all the touchpoints to fans. >> You have a very stellar career. I noticed you were at Scudder Investments back in the '80s, very cutting-edge firm. FTD that set the whole standard for connecting retailers. Again, huge scale play. Can see the data kind of coming out, they way you've been a CIO, CTO. The EVP CIO at The Weather Channel and the weather.com again, first mover, kind of pioneer. And then now the Red Sox, pioneering. So I got to ask you the modernization question. Red Sox certainly have been cutting-edge, certainly under the last few owners, and the previous Henry is a good one, doing more and more, Has the business model of baseball evolved, 'cause you guys a franchise. >> Sure. >> You operate under the franchisor, Major League Baseball, and you have jurisdictions. So has digital blurred the lines between what Advanced Media unit can do. You got communities developing outside. I watch the games in California. I'm not in there but I'm present digitally. >> Sure. Sure. >> So how has the business model flexed with the innovation of baseball? >> That's a great question. So I mean, first off, the relationship between clubs like ours and MLB continue to evolve. We have a new commissioner, relatively new commissioner, and I think the whole one-baseball model that he's been promoting I think has been great. The boundaries sometimes between digital assets and how we innovate and things like that continues to evolve. Major League Baseball and technology groups and product groups that support Major League Baseball have been a fantastic partner of ours. If you look at some of the innovations with Statcast and some of the other types of things that fans are now becoming more familiar with. And when they see how fast a runner goes or how far a home run goes and all those sort of things, these kinds of capabilities are on the surface, but even like mobile applications, to make it easy for fans to come into ballparks and things like that really. What we see is really are platforms for the future touchpoints to all of our customers. But you're right, it gets complicated. Streaming videos and people hadn't thought of before. >> Latin America, huge audience for the Red Sox. Got great players down there. That's outside the jurisdiction, I think, of the franchise agreement, isn't it? (laughs) >> Well, it's complicated. As this past summer, we played two games in England, right? So we enjoy two games in London, sadly we lost to the Yankees in both of those, but amazing experience and Major League Baseball really hats off to those guys, what they did to kind of pull that together. >> You mentioned Statcast. Every year when I meet with Andy Jassy at AWS, he's a sports fan. We love to talk sports. That's a huge, kind of shows the power of data and cloud computing. >> No doubt. >> How do you guys interface with Statcast? Is that an Amazon thing? Do they come to you? Are they leveraging dimensions, camera angles? How does that all work? Are you guys involved in that or? >> Brian: Oh yeah, yeah. >> Is that separate? >> So Statcast is just one of many data feeds as you can imagine. One of the things that Major League Baseball does is all that type of data is readily available to every club. So every club has access to the data. The real competitive differentiator, if you will, is how you use it internally. Like how your analysts can consume that data. We have a baseball system we call Beacon. We retired Carmine, if you're familiar with the old days of Carmine. So we retired Carmine a few years ago with Beacon. And Beacon for us represents sort of our opportunity to effectively collapse all this information into a decision-making environment that allows us to hopefully to kind of make the best decisions to win the most games. >> I love that you're answering all these questions. I really appreciate it. The one I really want to get into is obviously the fan experience. We talked about that. No talent on the field means no World Series so you got to always be constantly replenishing the talent pool, farm system, recruiting, scouting, all these things go on. They're instrumental. Data's a key driver. What new innovations that the casual fan or IT person might be interested in what's going on around scouting and understanding the asset of a human being? >> Right. Sure. I mean some of this gets highly confidential and things, but I think at a macro level, as you start to see both in the minor leagues and in some portions of the major leagues, wearable technologies. I think beyond just sort of player performance information that you would see traditionally with you might associate it with like Billy Beane, and things like that with "Moneyball" which is evolved obviously considerably since those days. I mean understanding sort of player wellness, understanding sort of how to get the most out of a player and understanding sort of, be able to kind of predict potential injuries and accelerate recoveries and being able to use all of this technology where appropriate to really kind of help sort of maximize the value of player performance. I mean, David Ortiz, you know, I don't know where we would have been in 2018 without, you know, David. >> John: Yeah. >> But like, you know >> Longevity of a player. >> Absolutely. >> To when they're in the zone. You wear a ring now to tell you if you're sleeping well. Will managers have a visual, in-the-zone, don't pull 'em out, he can go an extra inning? >> Well, I mean they have a lot of data. We currently don't provide all that data to the clubhouse. I mean, you know, and so If you're in the dugout, that information isn't always readily available type of thing. But players know all this information. We continue to evolve it. At the end of the day though, it's finding the balancing act between data and the aptitudes of our coaching staff and our managers to really make the wise decisions. >> Brian, final question for you. What's the coolest thing you're working on right now? Besides the fan having a great experience, 'cause that's you kind of touched on that. What's the coolest thing that you're excited about that you're working on from a tech perspective that you think is going to be game-changing or interesting? >> I think our cloud strategy coming up in the future. It's still a little bit early stage, but our hope would be to kind of have clarity about that in the next couple months. I think is going to be a game-changer for us. I think having, you know, we enjoy a great relationship with Dell EMC and yet we also do work in the cloud and so being able to leverage the best of both of those to be able to kind of create sort of a compelling experience for both fans, for both player, baseball operations as well as sort of running an efficient business, I think is really what we're all about. >> I mean you guys are the poster child for hybrid cloud because you got core, data center, IoT, and >> No doubt. So it's exciting times. And we're very fortunate that with our relationship organizations like Dell and EMC, we have leading-edge technologies. So we're excited about where that can go and kind of what that can mean. It'll be a big step. >> Okay two personal questions from me as a fan. One is there really a money-counting room like in the movie "The Town"? Where they count a big stack of dollar bills. >> Well, I'm sure there is. I personally haven't visited it. (laughs) I know it's not in the room that they would tell you it is on the movie. (laughter) >> And finally, can The Cube get press passes to cover the games, next to NESN? Talk tech. >> Yeah, we'll see what we can do. >> They can talk baseball. We can talk about bandwidth. Right now, it's the level five conductivity. We're looking good on the pipes. >> Yeah we'll give you a tech tour. And you guys can sort of help us articulate all that to the fans. >> Thank you so much. Brian Shield, Vice President of Technology of the Boston Red Sox. Here talking about security and also the complications and challenges but the mega-opportunities around what digital and fan experiences are with the physical product like baseball, encapsulates kind of the digital revolution that's happening. So keep covering it. Here in Miami, I'm John Furrier. We'll be right back after this short break. (techno music)

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

>> Live from Boston, Massachusetts, it's The Cube, covering AWS re:Inforce 2019. Brought to you by Amazon web services and its ecosystem partners. >> Hey, welcome back everyone. It's The Cube's live coverage here in Boston, Massachusetts for AWS re:Inforce. This is Amazon web services' inaugural security conference around Cloud security. I'm John Furrier. My host Dave Vellante. We've got special guest, we've got another CSO, Dan Meacham, VP of Security and Operations at Legendary Entertainment. Great to see you. Thanks for coming on The Cube. >> Oh, thank you. It's a very pleasure to be here. >> We had some fun time watching the Red Socks game the other night. It was the best night to watch baseball. They did win. >> Was it ever. >> Always good to go to Fenway Park, but we were talking when we were socializing, watching the Red Socks game at Fenway Park about your experience. You've seen a lot of waves of technology you've been involved in. >> Yes, yes. >> Gettin' dirty with your hands and gettin' coding and then, but now running VP of Security, you've seen a lot of stuff. >> Oh. >> You've seen the good, bad, and the ugly. (laughing) >> Yeah, fun business. >> It is. >> You guys did Hangover, right? >> Yes. >> Dark Knight. >> Yes. >> Some really cool videos. >> Good stuff there, yeah. And it's just amazing cause, you know, how much technology has changed over the years and starting back out in the mid-eighties and early nineties. Sometimes I'm just like, oh, if I could only go back to the IPXSX days and just get rid of botnets and things like that. (laughing) That'd be so much easier. Right? >> The big conversation we're having here, obviously, is Amazon's Security Conference. What's your take on it? Again, security's not new, but their trying to bring this vibe of shared responsibility. Makes sense because they've got half of the security equation, but you're seeing a lot of people really focusing on security. What's your take of, so far, as an attendee? >> Well, as we look and, cause I like to go to these different things. One, first to thank everybody for coming because it's a huge investment of time and money to be at these different shows, but I go to every single booth to kind of take a look to see where they are cause sometimes when we look at some of the different technology, they may have this idea of what they want the company to be and they're maybe only a couple years old, but we may see it as a totally different application and like to take those ideas and innovate them and steer them in another direction that kind of best suits our needs. But a lot of times you see a lot of replay of the same things over and over again. A lot of folks just kind of miss some of the general ideas. And, um, this particular floor that we have, there's some interesting components that are out there. There's a lot of folks that are all about configuration management and auto correction of misconfigured environments and things like that. Which is good, but I think when we look at the shared responsibility model and so forth, there's some components that a lot of folks don't really understand they really have to embrace in their environment. They think, oh it's just a configuration management, it's just a particular checklist or some other things that may fix something, but we really got to talk about the roots of some of the other things because if it's not in your data center and it's out somewhere else, doesn't mean you transfer the liability. You still have the ownership, there's still some practice you got to focus on. >> Take us through the Cloud journey with Legendary. You put some exchange service out there. Continue. >> Yes, and so as we started bringing these other different SaaS models because we didn't want to have the risk of if something went down we lost everything, but as we did that and started embracing Shadow IT, because if this worked for this particular department, we realized that there wasn't necessarily a applicable way to manage all of those environments simultaneous. What we mean after the standpoint, like we mentioned before, the MFA for each of these different components of the Cloud applications. So that naturally led us into something like single sign-on that we can work with that. But as we started looking at the single sign-on and the device management, it wasn't so much that I can't trust you devices, it's how do I trust your device? And so that's when we created this idea of a user-centric security architecture. So it's not necessarily a zero trust, it's more of a, how can I build a trust around you? So, if your phone trusts you based off of iometrics, let me create a whole world around that, that trust circle and build some pieces there. >> Okay, so, let me just interrupt and make sure we understand this. So, you decided to go Cloud-First. You had some stuff in colo and then said, okay, we need to really rethink how we secure our operations, right? So, you came up with kind of a new approach. >> Correct. >> Cloud approach. >> Absolutely. And it's Cloud and so by doing that then, trying to focus in on how we can build that trust, but also better manage the applications because, say for example, if I have a collaboration tool where all my files are, I may want to have some sort of protection on data loss prevention. Well, that Cloud application may have its own piece that I can orchestrate with, but then so does this one that's over here and this one over here and so now I've got to manage multiple policies in multiple locations, so as we were going down that piece, we had to say, how do we lasso the security around all these applications? And so, in that particular piece, we went ahead and we look forward at where is the technology is, so early on, all we had were very advanced sims where if I get reporting on user activity or anomalies, then I had limited actions and activities, which is fine, but then the CASB world ended up changing. Before, they were talking about Shallow IT, now they actually do policy enforcement, so then that allowed us to then create a lasso around our Cloud applications and say, I want to have a data loss prevention policy that says if you download 5,000 files within one minute, take this action. So, before, in our sim, we would get alert and there were some things we could do and some things we couldn't, but now in the CASB I can now take that as a piece. >> So more refined >> Exactly. >> in policy. Now, did you guys write that code? Did you build it out? Did you use Cloud? >> We work with a partner on help developing all this. >> So, when you think about where the CASBs were five years ago or so, it was all about, can we find Shadow IT? Can we find where social security numbers are? Not necessarily can I manage the environment. So, if you were take a step back to back in the old days when you had disparate in network architecture equipment, right? And you wanted to manage all your switches and firewalls, you had to do console on each and every one. Over time as it progressed, we now had players out there that can give you a single console that can get in and manage the entire network infrastructure, even if it's disparate systems. This is kind of what we're seeing right now within the Cloud, where on the cusp of it, some of then are doing really good and some of them still have a lot of things to catch up to do, but we're totally stoked about how this is working in this particular space. >> So, talk about, like, um, where you are now and the landscape that you see in front of you. Obviously, you have services. I know you. We met through McAfee, you have other, some fenders. You have a lot of people knocking on your doors, telling you stuff. You want to be efficient with your team. >> Yes. >> You want to leverage the Cloud. >> Yes. >> As you look at the landscape and a future scape as well, what're you thinking about? What's on your mind? What's your priorities? How're you going to navigate that? What're some of the things that's driving you? >> (sighing) It's a cornucopia of stuff that's out there. (laughing) Depending on how you want to look at it. And you can specialize in any particular division, but the biggest things that we really want to focus on is we have to protect out data, we have to protect our devices, and we have to protect our users. And so that's kind of that mindset that we're really focused on on how we integrate. The biggest challenges that we have right now is not so much the capability of the technology, because that is continually to evolve and it's going to keep changing. The different challenges that we have when we look in some of these different spaces is the accountability and the incorporation and cooperation because a incident's going to happen. How are you going to engage in that particular incident and how are you going to take action? Just because we put something in the Cloud doesn't mean it was a set and forget kind of thing. Because if it was in my data center, then I know I have to put perimeter around it, I know I got to do back-ups, I know I got to do patch management, but if I put it in the Cloud, I don't have to worry about it. That is not the case. So, what we're finding a lot is, some of these different vendors are trying to couch that as, hey we'll take care of that for you, but in fact, reality is is you got to stay on top of it. >> Yeah. And then you got to make sure all the same security practices are in there. So, the question I have for you is: what's the security view of the Cloud versus on premise (muttering) the data's in the perimeter, okay that's kind of an older concept, but as your thinking about security in Cloud, Cloud security versus on premise, what's the difference? What's the distinction? What's the nuances? >> Well, if we go old-school versus new-school, old-school would say, I can protect every thing that's on prem. That's not necessarily the case that we see today because you have all this smart technology that's actually coming in and is eliminating your perimeter. I mean, back in the day you could say, hey, look, we're not going to allow any connections, inbound or outbound, to only outside the United States cause we're just a U.S.-based company. Well, that's a great focus, but now when you have mobile devices and smart technology, that's not what's happening. So, in my view, there's a lot of different things that you may actually be more secure in the Cloud than you are with things that are on prem based off of the architectural design and the different components that you can put in there. So, if you think about it, if I were to get a CryptoLocker in house, my recovery time objective, recovery point objective is really what was my last back-up. Where if I look at it in the Cloud perspective, it's where was my last snapshot? (stuttering) I may have some compliance competes on there that records the revision of a file up to 40 times or 120 times, so if I hit that CryptoLocker, I have a really high probability of being able to roll back in the Cloud faster than I could if I lost something that was in prem. So, idly, there's a lot more advantages in going with the Cloud than on prem, but again, we are a Cloud-First company. >> Is bad user behavior still your biggest challenge? >> Is it ever! I get just some crazy, stupid things that just happen. >> The Cloud doesn't change that, right? >> No! (laughing) No, you can't change that with technology, but a lot of it has to be with education and awareness. And so we do have a lot of very restrictive policies in our workforce today, but we talk to our users about this, so they understand. And so when we have things that are being blocked for a particular reason, the users know to call us to understand what had happened and in many cases it's, you know, they clicked on a link and it was trying to do a binary that found inside of a picture file of all things on a web browser. Or they decided that they wanted to have the latest Shareware file to move mass files and then only find out that they downloaded it from an inappropriate site that had binaries in it that were bad and you coach them to say, no this is a trusted source, this is the repository where we want you to get these files. But my favorite though is, again, being Cloud-First, there's no reason to VPN into our offices for anything because everything is out there and how we coordinate, right? But we do have VPN set up for when we travel to different countries with regards to, as a media company, you have to stream a lot of different things and, so, if we're trying to pitch different pieces that we may have on another streaming video-on-demand service, some of those services and some of those programmings may not be accessible into other countries or regions of the world. So, doing that allows us to share that. So, then, a lot of times, what we find is we have offices and users that're in different parts of the world that will download a free VPN. (laughing) Because they want to to be able to get to certain types of content. >> Sounds good. >> And then when you're looking at that VPN and that connection, you're realizing that that VPN that they got for free is actually be routed through a country that is not necessarily friendly to the way we do business. They're like, okay, so you're pushing all of our data through that, but we have to work through that, there's still coaching. But fortunately enough, by being Cloud-First, and being how things are architected, we see all that activity, where if was all in prem, we wouldn't necessarily know that that's what they were doing, but because of how the user-centric piece is set-up, we have full visibility and we can do some coaching. >> And that's the biggest issue you've got. Bigtime, yes? Visibility. >> What's a good day for a security practitioner? >> (laughing) A good day for a security practitioner. Well, you know, it's still having people grumpy at you because if they're grumpy at you, then you know you're doing you job, right? Because if everybody loves the security guy, then somebody's slipping something somewhere and it's like, hey, wait a minute, are you really supposed to be doing that? No, not necessarily. A good day is when your users come forward and say, hey, this invoice came in and we know that this isn't out invoice, we want to make sure we have it flagged. And then we can collaborate and work with other studios and say, hey, we're seeing this type of vector of attack. So, a good day is really having our users really be a champion of the security and then sharing that security in a community perspective with the other users inside and also communicating back with IT. So, that's the kind of culture we want to have within out organization. Because we're not necessarily trying to be big brother, we want to make it be able to run fast because if it's not easy to do business with us, then you're not going to do business with us. >> And you guys have a lot of suppliers here at the re:Inforce conference. Obviously, Amazon, Cloud. What other companies you working with? That're here. >> That're here today? Well, CrowdStrike is a excellent partner and a lot of things. We'll have to talk on that a little bit. McAfee, with their MVISION, which was originally sky-high, has just been phenomenal in our security architecture as we've gone through some of the other pieces. We do have Alert Logic and also Splunk. They're here as well, so some great folks. >> McAfee, that was the sky-high acquisition. >> That is correct and now it's MVISION. >> And that's the Cloud group within McAfee. What do they do that you like? >> They brought forth the Cloud access security broker, the CASB product, and one of the things that has just been fascinating and phenomenal in working with them is when we were in evaluation mode a couple of years ago and were using the product, we're like, hey, this is good, but we'd really like to use it in this capacity. Or we want to have these artifacts of this intelligence come out of the analytics and, I kid you not, two weeks later the developers would put it out there in the next update and release. And it was like for a couple of months. And we're like, they're letting us use this product for a set period of time, they're listening to what we're asking for, we haven't even bought it, but they're very forward-thinking, very aggressive and addressing the specific needs from the practitioner's view that they integrated into the product. It was no-brainer to move forward with them. And they continue to still do that with us today. >> So that's a good experience. I always like to ask practitioners, what're some things that vendors are doing that either drive your crazy or they shouldn't be doing? Talk to them and say, hey, don't do this or do this better. >> Well, when you look at your stop-doing and your start doing list and how do you work through that? What really needs to be happening is you need your vendor and your account manager to come out on-site once a quarter to visit with you, right? You're paying for a support on an annual basis, or however it is, but if I have this Cloud application and that application gets breached in some way, how do I escalate that? I know who my account manager is and I know the support line but there needs to be an understanding and an integration into my incidents response plan as when I pick up the phone, what' the number I dial? And then how do we engage quickly? Because now where we are today, if I were to have breach, a compromised system administrator account, even just for 20 minutes, you can lose a lot of data in 20 minutes. And you think about reputation, you think about privacy, you think about databases, credit cards, financials. It can be catastrophic in 20 minutes today with the high-speed rates we can move data. So, my challenge back to the vendors is once a quarter, come out and visit me, make sure that I have that one sheet about what that incident response integration is. Also, take a look at how you've implemented Am I still on track with the artchitecture? Am I using the product I bought from you effectively and efficiently? Or is there something new that I need to be more aware of? Because a lot of times what we see is somebody bought something, but they never leveraged the training, never leveraged the support. And they're only using 10% of the capability of the product and then they just get frustrated and then they spend money and go to the next product down the road, which is good for the honeymoon period, but then you run into the same process again. So, a lot of it really comes back to vendor management more so than it is about the technology and the relationship. >> My final question is: what tech are you excited about these days? Just in general in the industry. Obviously security, you've got the Cloud, you're Cloud-First, so you're on the cutting edge, you've got some good stuff going on. You've got a historical view. What's exciting you these days from a tech perspective? >> Well, over the last couple of years, there's been two different technologies that have really started to explode that I really am excited about. One was leveraging smart cameras and facial recognition and integrating physical stock with cyber security stock. So, if you think about from another perspective, Cameras, surveillance today is, you know, we rewind to see something happen, maybe I can mark something. So, if somebody jumped over a fence, I can see cause it crossed the line. Now the smart cameras over the last three or four or five years have been like, if I lost a child in a museum, I could click on child, it tells me where it is. Great. Take that great in piece and put it in with your cyber, so now if you show up on my set or you're at one of our studios, I want the camera to be able to look at your face, scrub social media and see if we can get a facial recognition to know who you are and then from that particular piece, say okay, has he been talking trash about our movies? Is he stalking one of our talent? From those different perspectives. And then, moreover, looking at the facial expression itself. Are you starstruck? Are you angry? Are you mad? So, then that way, I know instantly in a certain period of time what the risk is and so I can dispatch appropriately to have security there or just know that this person's just been wandering around because they're a fan and they want to know something. So, maybe one of those things where we can bring them a t-shirt and they'll move on onto their way and they're happy. Versus somebody that's going to show up with a weapon and we have some sort of catastrophic event. Now, the second technology that I'm really pretty excited about. Is when we can also talk a little about with the Five G technology. So, when everybody talk about FIJI, you're like, oh, hey, this is great. This is going to be faster, so why are we all stoked about things being super, super fast on cellular? That's the technical part. You got to look at the application or the faculty of things being faster. To put it into perspective, if you think about a few years ago when the first Apple TV came out, everybody was all excited that I could copy my movies on there and then watch it on my TV. Well, when internet and things got faster, that form factor went down to where it was just constantly streaming from iTunes. Same thing with the Google Chrome Cast or the Amazon Fire Stick. There's not a lot of meat to that, but it's a lot of streaming on how it works. And so when you think about the capability from that perspective, you're going to see technology change drastically. So, you're smartphone that holds a lot of data is actually probably going to be a lot smaller because it doesn't have to have all that weight to have all that stuff local because it's going to be real-time connection, but the fascinating thing about that, though, is with all that great opportunity also comes great risk. So, think about it, if we were to have a sphere and if we had a sphere and you had the diameter of that sphere was basically technology capability. As that diameter grows, the volume of the technology that leverages that grows, so all the new things that come in, he's building. But as that sphere continue to grow, what happens is the surface is your threat. Is your threat vector. As it continue to grow, that's going to continue to grow. (stuttering) There's a little but of exponential components, but there's also a lot of mathematical things on how those things relate and so with Five G, as we get these great technologies inside of our sphere, that threat scape on the outside is also going to grow. >> Moore's law in reverse, basically. >> Yeah. >> Surface area is just balloon to be huge. That just kills the perimeter argument right there. >> It does. >> Wow. And then we heard from Steve and Schmidt on the keynote. They said 90% of IOT data, thinking about cameras, is HTTP, plain text. >> Exactly. And it's like, what're you-- >> Oh, more good news! >> Yeah. (laughing) >> At least you'll always have a job. >> Well, you know, someday-- >> It's a good day in security. Encrypt everywhere, we don't have time to get into the encrypt everywhere, but quick comment on this notion of encrypting everything, what's your thoughts? Real quick. (sighing) >> All right, so. >> Good, bad, ugly? Good idea? Hard? >> Well, if we encrypt everything, then what does it really mean? What're we getting out? So, you remember when everybody was having email and you had, back in the day, you had your door mail, netscape navigator and so forth, and thought, oh, we need to have secure email. So then they created all these encryption things in the email, so then what happens? That's built into the applications, so the email's no longer really encrypted. >> Yeah. >> Right? So I think we're going to see some things like that happening as well. Encryption is great, but then it also impedes progress when it comes to forensics, so it's only good until you need it. >> Awesome. >> Dan, thanks so much here on the insights. Great to have you on The Cube, great to get your insights and commentary. >> Well, thank you guys, I really appreciate it. >> You're welcome. >> All right, let's expecting to steal is from noise, talking to practitioner CSOs here at re:Inforce. Great crowd, great attendee list. All investing in the new Cloud security paradigm, Cloud-First security's Cube's coverage. I'm John Furrier, Dave Vellante. Stay tuned for more after this short break. (upbeat music)

>> Massachusetts, it's theCUBE! Covering WTG Transform 2019. Brought to you by Winslow Technology Group. >> Welcome back, I'm Stu Miniman, and we're here at WTG Transform 2019, across the Mass Pike from Fenway Park where we're hoping the rain's going to stop in time for the game tonight where we have 189 users here with Winslow Technology, digging in a lot of technology, networking with their peers, and I'm thrilled to have on another one of the ED users on the program. Plamen Dimitrov is director of Information Technology at Kiawah Island Golf Resorts coming to us from South Carolina. Thank you so much for joining us. >> Thank you for having me. >> All right, as I was actually telling you, I'm familiar with Kiawah, my father is retired down to John's Island right off of Charlestown, South Carolina. You have a beautiful golf course there, there've been professional events there, we actually have one of our Cubeos, does some PGA coverage, John Walls, so he and I have talked about Kiawah a few times, but for those of our audience that aren't as familiar, haven't been able to enjoy it, tell us a little bit about Kiawah. >> Kiawah is a beautiful island, over about 10 miles of oceanfront, side, where the Kiawah Golf Resort is spread out. We have different accommodations with a lot of different activities for all ages, starting with the Sanctuary Hotel, which is a Five Star by Forbes and a Five Diamond by AAA. Or you can choose any of our villas from one to eight bedroom villas. We have five beautiful golf courses, which one of them is ocean course, previously hosted Ryder Cup in 1991, and PGA in 2012, and we are also proud to be a host of the PGA 2021, very exciting. Apart of that, we are announced to be Tennis Resort #1 in the world by tennisresortonline.com. We have over 22 tennis course, different variations from car course to clay. On top of that, we have a lot of pools, swimming pools, water parks, a lot of recreation, kayaking. It can be a beautiful journey for any visitors. >> Yeah, so, Plamen I know some of the IT people listening to this are going to be like, "Boy, he's got a tough job there!" Sounds gorgeous, right on the ocean, so many things there, bring us a little bit inside the IT, your world, what that entails, and, boy, there's got to be some different challenges and opportunities that you face, versus the kind of traditional business IT. >> As every island, we have all of our friends, like salty water and all things like that. And besides that, I've mentioned that the company's spread out over 10 miles, we have a total of 23 locations, and all they share the same systems and applications. Our current challenges, from an IT standpoint, are things that not all of the vendors that can keep up with the current technology and the all new and moderns, so we have some, what we call, old school applications, they can't keep up, and then you have the new applications that can be hosted on the Cloud, for instance. In the same time, those applications need to somewhat work with each other and have some interfaces, so this is where we face the, these days a challenge, a little bit, and where our partnership with Winslow, were able to help us determine which is the best route for us. And we determined that having a data center on island, and they have another one off the island, is the best for us to go. They helped us go through the planning of what's the right set up to be used, and I think we're in the right direction. >> Okay, great, so you have two data centers and you're also using Cloud services, if I heard right? >> Correct. >> Okay. There's been a big discussion here, is like, all right, what is the Cloud's strategy and it is an ever changing world and there is no one right answer, so, when you look at yourselves, what is your Cloud strategy today and what makes you help determine where you'll be moving in the future? >> In one of the sessions, they mentioned it's all about checks and balance, and it's to be able to measure how to apply your cash in a way that it makes sense, and one day, maybe, for some applications makes sense to be on premise, another day makes sense to bring it on the Cloud. And I can give you an example, recently what we did was, we were looking into switching to Office 365, pretty much everybody knows about it, and there's a good study that, after you go over a certain threshold, it's much easier to, and much more cost effective, to have something on premise versus going to a Cloud version. Now, again, it depends on the size of the company, it depends on the... Your future projects and goals, for some people it may be different than us. But I think that the future more and more, things will be what's called colocating the Cloud, which is mainly by other providers, and we're going to have two called a key that you can get to those applications from anywhere. >> Plam, bring us inside a little bit that the data centers, you said you have two of them, what's your infrastructure stack look like today? >> We've been looking at the various solutions, hyper-converged, and hybrids, and with the help of Winslow, we determined that sticking to the 3-2-1 traditional solution is the way we go. We use their Compellent products, all flash erase, very flexible and very reliable, very nice speed it provides, performance-wise they're a great product. Then, after that story solution, you have two data switches and then a number of servers. We use, on top of that, the VMware as our hypervisor, along with their VDI environment called Horizon for some remote clients that they don't need much, but that's basically our setup. >> Great, and how long have you been using the Compellent solutions? >> The Compellent solutions, we've been using them for a year and a half, since I joined the company, but my relationship with Winslow goes far back, since 2013 where I used to work for another company here in Nantucket. And the very first person I worked with was John Cliffords from Winslow. Very great guy, and he introduced us to the Dell world. This is when we bought the first EqualLogic and afterwards, I went to Belmont, where we also bought (mumbles), and we just keep going along. >> All right, great, Plamen, last question I have for you, what brings you to an event like this, what were you hoping to get out of it, and how's it been going for you so far? >> Well, what brings me to an event like this, most of the time is on one side to see what Dell has to offer, and some people attend, they'll conference, but I think a place like this, where you have smaller scale conference, it's much more beneficial for me. A, from a learning experience and B, from creating connections, making connections with other users, which this is the best because sales rep can say, "Yeah, this is what you need." But then, from a user perspective, it's priceless to absorb experience. >> All right, well, Plamen Dimitrov, I really appreciate you sharing your journey, and everything that Kiawah Golf Resorts is doing, thank you so much. >> Thank you very much. >> All right, we'll be back with more coverage here from WTG Transform 2019, I'm Stu Miniman, thanks for watching theCUBE. (funky electro music)

>> From Boston, Massachusetts, it's the Cube covering WTG Transform 2019. Brought to you by Winslow Technology Group. >> Welcome back. I'm Stu Miniman, and we're here at WTG Transform 2019. Happy to welcome to the program first time guest, Marty Sanders who's the Chief Security Services Officer at Arctic Wolf. Marty, thanks so much for joining us. >> Thank you, Stu. >> All right Arctic Wolf's a partner, but before we get there, I have to say welcome back. >> Thank you, thank you. >> Because you're familiar with this event quite well. You have a background at Compellent, which of course we were just talking to Scott Winslow. It's where his company started. Just give our audience a little bit thumbnail of your background. >> Perfect. So yeah, Scott and I go back a long time. We actually started back working together at Zylotech back in the late 90's. After we left Zylotech, we actually went to Compellent. We started building Compellent back in 2002. As a company we wanted to start a new philosophy. Really sit down with customers prior to actually releasing products. So we actually built a customer council. We started that in Minneapolis, and then what we wanted to do is take it to the next level. We wanted to replicate that out to other parts of the country, and the first person we called was Scott. We started to do it with Scott, and started back in 2004. Had the first meeting here at the Commonwealth, actually with a handful of customers, and now it's grown into this. So it's unbelievable what he's done with the company. And when I look at what he does, he provides a tremendous amount of value to the customers and just sells them exactly what they want. But what they need as well. >> Yeah we always know when certain segments of the market that degree of separation, you look on LinkedIn is like, one and a half. >> Absolutely. >> Everybody knows each other. We all run around some of the same circles. So bring us up to speed. Arctic Wolf. I believe you're the first person we've had on from the company. So give us a little bit kind of the who and the what and the why. >> Perfect. ^- [Stu] Of Arctic Wolf. >> And again thank you very much for inviting us out for this as well. Yeah Arctic Wolf has been around since 2012. Started off in the SOC as a service. Obviously, in that small-medium business, they didn't have the capabilities to do a lot of the security work. Actually, Brian NeSmith, our CEO, started the company with his other founder Kim Tremblay. They worked at Blue Coat, they understood the security world. But understood that there was a big hole in that space, in that small-medium enterprise business. So they were actually way ahead of their time. I mean you look at from 2012 to 2015, it was a little bit slow growth. But now you start to look at where we're at, and the adoption of that, having a SOC as a service 7 by 24, hasn't been adopted very well. >> Yeah, I thought it was rather telling, actually in the keynote this morning, some people were asking about security, and they're like, wait, if I do this hybrid cloud stuff, how does that work? And I'm like, yeah I go to too many events. It's like, I have ingrained in my system now security is everyone's problem. There is no such thing as a moat. You assume that they are going to get in, so therefore I need to build at every level of the stack. I need to get in. But I'm an industry watcher. ^- [Marty] Yep. >> The people that are doing, what's their mindset, what's workin' well for them? Is security heightened? How's Arctic Wolf going? >> And you want to take that premise. I mean, one of the things that we do is we actually assign a concierge security team to that customer. So we want to be that extension of their environment. I mean, in fact, as we started to talk to some of the clients that we have here, they're repeating the words, what they feel like. My team is part of their team. And it makes it so much easier. So you're not dealing with somebody fresh every time that you call in. If you have any type of event that validates that there's somebody trying to break in. You want to have that person that understands your environment. Understands exactly where you've been. Making sure that you're up to speed on their network, all their ingress/egress points that they can come into. So it makes it so much easier if you have that consistent face that you're dealing with. >> Okay. Marty, is there a typical customer of Arctic Wolf? Where do you fit in the WTG? Their customer base? >> Yeah, I mean, that's a great question. I mean, when you look at where we really fit is, the first questions that we want to ask is do you have a security team? Do you have it 7 by 24? I mean, that's where we really want to make sure that we're augmenting that. I mean, when you look at a lot of the companies they might have that office admin that became the IT person, that became the security person. What we want to do is make sure that we're providing the true level of high security for those companies 7 by 24. Because obviously the bad guys know that there's going to be a hole after hours or whatever it's going to be. So that's when they want to go in. So we want to make sure that we're covering that. So Scott and his clients are kind of in that medium to small-medium business, moving up into the small enterprise, and it fits really well with them. >> Yeah, so you're saying most of them don't have an entire security SWAT team. >> Exactly. ^- Waiting 7 by 24, to do that. Walk us through maybe if you have a customer example or kind of a genericized version that you can share. What does an engagement look like from when they first plug in to when they're fully engaged? >> Perfect. So typically what we do is we actually once the deal is closed what we want to do is sit down with the customer and understand exactly all their different applications, all their environments. Understand all their ingress/egress points that they have coming in. We want to make sure that we're maximizing coverage. And what we want to do is triangulate anything that comes into that. Understand all the attack vectors that the bad guys may try to come in. So it takes us about 30 days to go through all of that. So once we get them onboarded, we assign that concierge security team. Going to be a senior and a less-senior person dedicated to that team. And basically they're going to go through and review that environment, make sure that they understand all the different applications. Is it Office 365? Any cloud apps that we need to hook up to it? All the different servers to make sure we're getting all that information. We want to provide more quiet service. We don't want to be, anytime someone knocks on the door, we don't want to be calling, Little Red Hen-type stories. We want to make sure that anything that we actually report on is going to be actionable for those customers. So that's that trusted confidante, that's where we build that strong relationship rather than sending out a note and retracting it as a false positive or anything like that. >> Okay. And Marty, I heard you mentioned some SAS applications and their infrastructure environment. Is public cloud included in that also? >> Absolutely. And what we want to do is make sure that we understand, like you said. And like Joe and Rick went through and talked about. There's going to be that private and public cloud. We want to make sure that we're capturing everything internally, but also if you're using those SAS applications on the outside, whatever they may be, we want to make sure that we're capturing all that information so that we can help with that. >> Okay. And billing. Is there multi-year commitments? Or how does the financial piece of this work? >> It can be MRR. I mean, we're going to go through on a monthly basis and we'd like to get at least a year commitment. It can be something that they sign up for a couple of months or they sign up for a year and pay monthly whatever they need to do. But typically what we want to do is provide that level of service and when you think about it, if you were to go out and buy a security team to cover 7 by 24, it's at least a minimum of six, seven people to do that. So when you look at the price point, we want to be less than that. We want to provide that high level of value. When you think about a single team going out and trying to do something, the typical threat is it has been in their environment for at least 100 days before they notice it. What we want to do is get it down to minutes. We want to make sure that any threat that's coming in we're notifying on it immediately. We want to make sure that we're going to capture all those things. >> All right. So Marty, when I talk to the big enterprises, security it's not only top of mind it's often a board-level discussion. When you come down to kind of the mid-size to small companies, where does security fit in their overall pictures? What are some of the biggest things on their mind? >> So it's very interesting. When you start to think about it, one of the things that is challenging, you look at some of the places that were having the greatest adoption rates are those companies that have the biggest threats. You look at where the money is. You look in the healthcare environments. The smaller healthcare. Or you look at the legal side of things. I mean, people know where there's money and where they need to have that data. So when you look at it, it's becoming a higher topic and it's becoming every conversation. And we don't like to say that the conversation gets highlighted after a breach or whatever it's going to be, but it does. I mean, and we'll be in the middle of some discussions and you'll hear about somebody that just got hit in a similar environment. And that's how then it gets brought up. >> Oh, boy. Sounds almost all the discussion is data is the new oil. >> Yes. Well those bad actors out there know where the oil is. >> Absolutely >> And therefore that's a security risk for them. >> Absolutely. And I mean the thing that you look at is, you hear about where some of the Atlanta, and some of the other cities that were hit. I mean they go after the localities and the municipalities of making sure that they're going after. And they know that they're going to pay very quickly because of how incredibly important that data is to do that. And even some of the sitting talking to some of the customers here today. Manufacturing, you know? Just the ability to go in and steal the IP that they have to make their business a little bit unique. That's where the people are concentrating because they want to take that and find that uniqueness in that business. >> All right. Marty, want to give you the final word. WTG Transform 2019. Talk about the partnership, talk about the customers and final takeaways. >> So the partnership, I mean, obviously Scott and I have known each other for a long time. The entire sales team and I know Scott. Rick Gowan actually was a customer of ours at Travelers Insurance. Scott hires great people, great employees. They partner. They take care of their customers better than anybody that I know. I mean, I just love the passion. In fact, some of the customers that we started with back in 2004 are still here. Still using the same products. But they continue to look at what provides the most value for them. >> All right. Marty Sanders the CSSO of Arctic Wolf, thanks so much for joining us. ^- Thank you, Stu. >> And appreciate all the updates. >> Thank you. All right. Full day of coverage here in the shadow of Fenway Park, Boston, Massachusetts. The East Coast team's home game as we like to say. I'm Stu Miniman. Thanks so much for watching the Cube. (gentle techno music)

>> It's The Cube, covering WTG TRANSFORM 2019. Brought to you by WINSLOW Technology Group. >> Hi, I'm Stu Miniman. We're here in Boston, Massachusets, across the Mass Pike from Fenway Park, and happy to welcome back to the program Mike Berthiaume, who's Director of Systems Engineering at Nutanix, a good partner of Winslow Technology Group. Mike, thanks for joining us. >> Well as always Stew, it's great to be here. This is number three for us I think, this has become kind a bit of a tradition. >> The third year we've done at this, I've seen you at many of the local user groups here and as I say, a nice home game after lots of travels around the globe. Talking about lots of technologies. >> For sure, looking forward to it. >> What I've always loved, diggin in, in a show like this is we've got users. Scott and the team have a 189 users, many of them are Nutanix customers. So let's start there, what's top of mind from your customers today? >> A lot, so there's a lot happening, as we know in the industry. Things are changing and our customers are trying to figure out what it means for them. But at the end of the day it's all about IT, providing the value back to the business. I think CIOs, and we were just speaking about this in our session, are really pushing their staff to look at public cloud as a potential option. So in many of the folks working on the trenches realize, "Oh yeah, public cloud does make sense "for some things but not necessarily everything." The true strategy we have to have as an organization is multi-cloud, figure out how to make that work. So that's really what we're hearing, and the good news is from our product portfolio Nutanix, and what we're doing. We're really very much in lockstep with that. >> When I think back when that whole wave of hyper-converged infrastructure aged the eye which, Nutanix to its credit never was like, HCI, HCI. It was about simplicity, it was about working on the business, and underneath it that's software that drives the company. The founders of the company came from some of the hyperscalers, some of the file system design underneath there. So when you hear, well the promise of public cloud is supposed to be simple and economic. Well public cloud, we understand is neither simple nor cheap. >> That's right. >> Hyper-converged infrastructure did simplify environments, and changes the economics of how we think if it. When I talk to Nutanix customers it's like, "Oh hey, I don't no longer need to do constant care feeding "of this stack of wires and stuff put together, "much of it is much simpler." You talk about customers, they're going to that multi-cloud, hybrid cloud environment, they're trying to figure out their strategy. Rick Gowan in his presentation said something I thought resonated with me, which is, "You don't want to end up in hybrid cloud, "just you ended up there by mistake without plans," And unfortunately that's where IT is, I've got lots of projects that I do, and I do them as I need them and I realize, "Oh wait, somebody's manage, maintain, "and pull all these things together." So help us understand where Nutanix fits in that multi-cloud story today, which is more than just where people that might not of looked in a couple a years, know the appliance. >> Yeah sure, and I think from are, and mentioned before our roots come from those big large public cloud environments like Google, and Amazon, and others. But when we talk about multi-cloud, and you also made the point that simplicity is probably one of the core values that our customers see Nutanix as being on the forefront there. So I would say that for me, hybrid cloud and I think the mantra within Nutanix, hybrid cloud is not something that many manufacturers have been able to achieve. It's a lot a separate silos, right and as soon as you create multiple silos, you're actually creating operational disruption, and you're actually creating complexity. So if you have to manage public cloud a, public cloud b, your on-prem environment, and maybe your remote offices, and even your edge with different management tools. There's not a ton of value there from a simplicity stand point. So what we strive to do? Is we strive to create that abstraction, that single consistent control plane. That goes between your on-premises, your remote offices, and now truly extend that into the public cloud. So I can manage my resources in the public cloud, in the same way I would on premises. Whether that be next generation applications that probably truly do belong in a public cloud, like cloud-native apps, or my traditional legacy applications that have been running in my data center for years. So that's really what it comes down to, is being able to provide that true seamless experience for users. And at the end a the day businesses and users shouldn't really care where their applications are, it should be whatever most cost effective for the business. And based on who you are as a user, if you're a developer? Or you are a executive? Where my application is shouldn't matter, it should be available wherever I am. >> Mike one of the things that's been interesting watching Nutanix is not the growth of the core market, but its got this three-tier architecture. You have a lot of different software pieces, some of which, at least today are not necessarily directly tied back to the original hyper-converged infrastructure. Where are you with the customers locally? Any kind a proof points? You can give us that kind a help us understand the strategy a bit more. >> I think the majority of the customers are running Nutanix here locally in New England, and probably a good majority of the world are running Nutanix, running kind of the core Nutanix, right. And the value that they're driving from that, they're seeing there is immense. They're getting the simplicity having the ability to run their operations, click one button to do their upgrades without disruption. There is a lot of value there. That's solving many of the issues. Now the higher level capabilities, and the higher level features. In order to be able to deliver those in a consistent way, you have to have a solid core foundation. All right, so that sold core foundation is our core ACI platform, or our cloud like infrastructure. One of the things I'll always say to customers is, "When you look at your Nutanix infrastructure, "your software to find data center, "it actually resembles what's running in a public cloud." So whether, if you're running applications in Amazon for example, you're running in a highly scalable distributed architecture. That's the exact same thing you're doing with Nutanix, and the reason they've been able to deliver those higher value services is because they have that solid foundation underneath it. So if you want to run your environment in a similar way, and true hybrid cloud? You've got to follow their playbook, and the technology that you're choosing, and we believe Nutanix is that right choice. >> Yeah and in many ways we're seeing the blurring the lines between them. I've interviewed people from Nutanix that's on the Cooper Netty Show, that experience that I have and Nutanix has partnerships with some of the public cloud environments. So we're seeing that location matters a little bit less. >> Absolutely, I think the nirvana again if we can imagine, what is this all going to look like five years from now? It's a single portal, single interface where I'm requesting some sort of a business service, or an application. And when I deploy it, it's not going to ask me where it's going to go? It's going to out it where it belongs based on the cost and business logic that I've actually defined in the system. And if it needs to go on Amazon? Or it needs to go on Azure? The decision is going to be made based on business logic, as opposed to technology decision, which I think is what matters. >> So Mike, I can't let you go without talking about, Winslow Technology's here, is a big Dell partner. >> %100. And they sell the Dell XE solution here. They're people out there, there is well the Dell relationship. Yes, they are one Nutanix biggest partners, but they are also, if you look out into the market and you look at market share? The biggest alternative to a Nutanix agency I-Option is the Dell EMC VxRail. So help us understand that dynamic, and how that's playing out in your world? >> Yeah that's a great question, and I kind of expected the controversial questions, as always on theCube, so thanks Stu. In terms a that I would say that when you look at Nutanix, the first thing I'll say is all HCI is not created equal. There is pretty significant differences between the two platforms. Yeah combining and storage, we could loosely define as HCI, but we really can't look at competing solutions as true cloud like infrastructure. Running our controller virtual machine in the user space, and having mobility of applications across hypervisors, and across clouds on a single platform is something very unique to Nutanix. So we're absolutely seeing competitive pressure for sure, but when we have the opportunity to talk to customers about what their multi-cloud journey really means to them? The discussion usually moves forward in a positive way. So I think our view, our perspective. You mention simplicity, we're all about choice, freedom of choice, we don't want to lock our customers into anymore particular technology. Let's do what makes most sense for the business, whether it's alternative public cloud, alternative hardware, or even alternative hypervisors. We give customers choice, we don't have a religion around any one particular technology. We talk about containerization for example, and kubernetes. We give customers the ability to deploy kubernetes on crime, leveraging the source version in kubernetes. All of the capabilities within the Nutanix platform will run on of the hypervisors we support. Right, so that's an important distinction too, it's not like we're telling you have to run one particular hyupervisor to get x feature. So an important distinction point there is we truly do believe in giving our customers the freedom to choose. >> Yeah that's great, just last thing Mike I got to imagine your customers are asking a lot a questions. There's all these new things coming out there that look, sound, or feel a little like what Nutanix is doing. So from the big ones like AWS Outposts, Azure, had Azure stacked, now is the new Azure HCI. So what do you tell your customers when the start calling and asking about these technologies? >> Well, if you look at the history? We've been doing this for a long time now, I've been here for over five years, and Nutanix has been doing this sense two, we've released our product back in 2011, after a couple a years of development. So we've been doing it longer than anybody else, and we also really built our platform around a mantra, that we are highly scalable distributed architecture, along enabling choice, and providing a level of simplicity that customers won't see in any other platform. So just the amount of development and engineering and focus around our customers and the needs of our customers really makes us sustain that. And if you look at just the overall growth of Nutanix, and the transition we're making now to more of a subscription base business model. It makes sense for customers and we've given them the ability to consume in a way that is even more incremental than it was in the past, and certainly more differentiated than what our competitors do. >> All right, Mike Berthiaume always a pleasure to catch up with you on camera, as well as off. Thanks so much for joining us. >> Thank you very much appreciate it Stu. >> All right, more coverage here from WTG Transform 2019. I'm Stu Miniman and thanks for watching theCube. (upbeat music)

(music) >> From Boston, Massachusetts, it's The Cube. Covering WTG Transform 2019. Brought to you by Winslow Technology Group. >> Hi, I'm Stu Miniman and we are in the shadow of Fenway Park. It's the third year we've had The Cube at The Winslow Technology Groups user evert, which is now called WTG Transform and it's 2019. Joining me is the president and founder of Winslow Technology Group, Scott Winslow. Thanks so much for joining me and for the second year of Scott, I say do, thank you for making the name of the show simpler for me to say. WTG Transform rolls off the tongue. >> Our marketing folks were happy to accommodate you, Stu. But we're delighted to have The Cube back. You guys do such a great job watching the industry, observing the industry, asking the great questions. So delighted to have you here. >> Well, and thank you, we always love talking to the users and you've got 189 users here. The company, itself, is now 50 employees, 35% growth last year. So congratulations and give us a little bit about what's happening at a macro level that are driving some of that, the growth in your business. >> Yeah, thank you, it's been, it's been a fun ride. I mean, we're in the right industry first of all, right? The server storage, hyperconverged infrastructure, networking, hybrid cloud solutions it all continues to grow. Data growth is explosive, so I think we happen to be in the right industry. That's certainly driving the growth. Our partnership with some of the key partners here. Partners like Dell, VMware, Nutanix, Arctic Wolf, Aerohive. You know, I think we've saddled up with the right horses there. And we've really got really a great team, on the sales side, but pre-sales engineering, post-sales engineering. So when you combine all of those factors together, it's led to some nice growth. I put some numbers up. Privately held companies don't usually share those numbers. We do like to share'em with our customers. And, you know, we're a $37 million company last year. We're going to be 47 plus this year and we feel like on our way to be a $100 million reseller by 2022. So it's real exciting. >> Well once again, congratulations on that and what's really interesting to watch is, you know, you started out selling Compellent. And Compellent got bought by Dell a few years back. Dell bought EMC. Those are some of the big inflection points in your business. And you've had some great insight on, you know, especially the things I've talked to you the last few years when we first met you at Dell World and through this transition of, you know, Dell going from just being Dell to being, you know, a bigger player in the enterprise market. They've now gone, as you said, VMware, all the hyperconverge, all of these tail winds for their growth have been part of what's been accelerating your growth. So give us the state of the state when it comes to Dell. How are they doing with the channel? How are they doing with the product, the solution, the innovation that Joe Batista talked about this morning? From Dell, how is that trickling down to you as a partner and, ultimately, your customers? >> Yeah, I mean, we first got involved with Dell back in 2011, as you referenced, when they acquired Compellent. We were concerned about it, at the time. We wondered how we could fit into the ecosystem of this, at the time, $60 billion company. Little did we know, it would be the best thing that ever happened to us, cause we were really, kind of, a boutique shop selling storage and now we've got the full line. And they've got the widest portfolio in the industry, you know, servers, storage, networking, hyperconverged solutions, obviously VMware. And so it's been a great relationship for us. You know, I think their relationship with the channel is good. I wouldn't call it simple. It is at times complex. They do about 40% of their business through the channel. You've got direct sellers out there that are very good that sometimes want to take the business direct, but you looked at the growth numbers that we have and we've accomplished that as a Dell-centric partner. So at the end of the day, and I think this is Michael's argument kind of to the partner community, is that we've been able to grow our business. Some companies will have a ceiling and say, okay all this business below a certain amount is partner business. You know, Dell doesn't have that. You have to kind of navigate your way through the system, but if you develop the kind of relationship that we have with them where there's some trust, they see our capabilities to, you know when you're driving 200 end users to an event like this, you know even large OEMs like Dell, take notice cause it's the ability to drive new logos for their business. So we think the relationship has been really good. I'd give'em, you know an A-. I'd say in terms of their portfolio, I'd give'em an A. In terms of the channel relationships, you know we have squabbles now and then, but in general, I think the relationship is very good. >> Well the thing we know in the industry is that there is no thing as perfect. >> Right. >> And that there needs to be change and growth along time and sounds like they're listening and working with you know, you, your peers in the industry to work that. I know there was a little bit of concern, you know when EMC came into the picture. You're in EMC's backyard here. >> Right. >> And there was some really big EMC channel partners and what would that mean to the companies that had been with Dell and it seems like you're navigating that quite well. >> Yeah, we've been able to find our niche in that ecosystem. You know it's, I'm not saying it's always been easy, but you know we're really starting to sell the PowerMaxes and Unitys and IBPAs and Isilon and getting away from just being that sort of, Compellent-centric partner. I think a couple of the benefits that came out of the merger, one is if you look at Dell's server business and I referenced this in my opening comments, over the last eight quarters they've taken six or seven points a share in the server market from their competitors, HP and Cisco. And that's really the result of the merger and having that additional sales bandwidth. So that's been fantastic for our business and for theirs. I think if you look, like at Dell end user compute, that was never a big part of our business. We kind of got into that over the last four or five years, really at the behest of the Dell sales team. And that's been a big win for us, surprisingly enough, particularly with the Windows 7 to 10 migration. Our end user compute business it through the roof. I gave our sales team too low of numbers on that, they're all about 160% of quota. (laughs) So going to have to fix that next year. >> All right well always tip to the sales rep, if you have a good plan (laughs) max it out because they will adjust it later. >> Exactly. Exactly, pay back is a you know what. (laughs) >> So Scott, one of the biggest changes I've seen in your business, in the last year is, you know you've been deep with Dell for many years. And with the Dell XC, which is the Nutanix OEM, is something that you were on early. You were a strong partner there, Nutanix. Still a strong partner, but today it is a mix of both the Dell XC and the VxRail from Dell EMC. So talk a little bit about, you know why that changed. How that's going, you know, how customers are seeing things these days? >> Yeah, I mean absolutely, we were on very early with Nutanix and we very much believe in their product and the software solution set that they've put together. I can remember Alan Atkinson, from Dell, standing up and saying, "This is our HCI solutions, could be Nutanix on Dell compute." And you know, we've got, you know 55+ really happy customers out there and we continue to sell that solution. And we've got a lot, very good customer satisfaction. That relationship's not going away. Despite what some people may say in the industry. The fact is they've got 35,000 units out there. There's a billion dollar pipeline of XC series. And there's a gentleman that runs the server business at Dell that wants to make sure that doesn't go away cause that's one of the reasons that Dell is doing so well in the server business. Now having said that, you know our take on it has been, hey let's have two of the best products in the industry in our quiver. That being XC series Nutanix and VxRail. You know initially when VxRail first came out, we didn't think that it had some of the capabilities that it needed and as it's evolved, we think that VxRail's gotten a lot better and it's a lot more competitive. Certainly in a VMware environment, a very strong player. And if you look at the numbers, they're doing very well with VxRail and so are we. So right now, we've got the one and two horse in the industry. We think it's great for us to be able to go our customers. We give our AEs and our SAs in the field the ability to evaluate the opportunity. What are the requirements of the customer and do we think that either XC series Nutanix or VxRail will be the better fit? And we feel like either way, it's a win for us and a win for the customer. >> So Scott, feedback we heard at Dell World is that, you know the Dell team is really trying to put their thumb on the scale. To really incent the field to sell VxRail. The XC is there, as you said. You know, Ashley and the server team, you know, they want to sell servers, but you know all things being equal, they're not equal. They want to sell the full Dell stack. So is there any of that that impacts what you're doing or you know pretty much from your standpoint, it's customer choice. We understand there's never one best solution out there and it is often differentiation in there. Obviously, one is only VMware. One has multi-hypervisor including a you know, built in hypervisor, there. There's definitely, it's tough to line these up and compare them. There are differences there, but what's the impact of kind of Dell's positioning and you know, what customers, how do they determine what to use? >> At the end of the day, the rubber meets the road at the customer. I mean we've got to, we always say within our company, we have to be aligned first with the customer. What do they want? What's the best fit for the customer? Now internally, inside the inside baseball, within of our what we say is we've got to grow both businesses. We've got to grow our Nutanix business, which we did significantly last year. And we have to grow our VxRail business, which we did. And that way we keep both groups happy. And we're able to offer a nice portfolio. So I think that's the best way to approach it. >> All right Scott, why don't I give you the final word, is this the 16th year of your event here? >> It's 16th year of the company, 15th year of the event. >> Okay. All right, so give us the final takeaway. I know you've got a lot of meetings. Got a lot of activity. >> Yeah. >> Give everybody the final takeaway from Transform. >> Well it's been a great event, thus far. We've got, you know more breakout sessions to go. We got the ballgame tonight. Chris Sales is on the mound, so that's always exciting. We got a lot of winning ball teams here in Boston, but for us it's just growth. More customers are here, more partners. We've got more going on in the hands on lab. Our expo hallway, there's more product there. More subject matter experts. You know we have a lot more going on in terms of security this year. With Arctic Wolf being here, our VP of PS, Matt Kozlowski's going to walk through a little cyber security case study. And so I think we're doing more on security. And certainly we've just got kind of more of all the solutions that we offer. And we're delighted to have an even bigger group here this year. So onward and upward, I guess, is the final word. >> All right, onward and upward. Scott, thank you so much again for sharing the updates on your company, as well as what's happening with all your users. And we always love those user stories. So, I've got a full day of coverage here at WTG Transform 2019. I'm Stu Miniman and thank you for watching The Cube. (electronic music)

>> Live from Orlando, Florida, it's theCUBE, covering .conf2018! Brought to you by Splunk. (techno music) >> Welcome back to Orlando, everybody. We're here with theCUBE covering Splunk.conf2018. I'm Dave Vellante with my co-host, Stu Miniman. Chris Crocco is here, he's the Lead Solutions Engineer at ViaSat. Great to see you, thanks for coming on theCUBE. >> Well, thanks for having me. I appreciate it. >> You're very welcome. Let's start with ViaSat. Tell us what you guys do and what your role is all about. >> So ViaSat is a global communications and technology company primarily focused on satellite-based technologies, anything from government services to commercial aviation and residential service. >> And what does a Lead Solutions Engineer do? >> My primary role is to help us kind of transition from a traditional operations state into more of a DevOps environment including monitoring, alerting, orchestration and remediation. >> Oh, we love this conversation, don't we? Okay. The basic question is, and I know it's hard, but it's subjective, it's kind of if you think about the majority of your organization in the context of DevOps, on a scale of one to five, five being nirvana, so let's assume you're not at five 'cause it never ends, right? You're constantly evolving. Where would you say you are? Are you just getting started? Are you more like a four, 4 1/2, what do you think? >> That's a good question. I would say we're probably three on our way to four. We've had a lot of growing pains, we've had a lot of learning opportunities. The processes of DevOps are getting pretty well-entrenched and right now, we're working on making sure that the culture sticks with the DevOps. >> That's critical, right? >> I mean, that's really where the rubber meets the road is that organizational and political. Without getting into the dirt of it, give us what it looked like before and where you are today. >> Sure. Prior to our shift to DevOps, which was mainly motivated by our latest spacecraft, ViaSat-2, we had a very traditional operational model where we had everything funneled through a Network Operations Center, we had a Technical Operations Team, and if they weren't able to triage and remediate issues, they kicked it over the fence to engineers and developers who would then throw something back. There wasn't a lot of communication between the two organizations, so when we did find recurring problems, recurring issues in our network and in our environment, it took a long time to get those resolved and we had to have a large volume of staff there just to kind of put out the fires. With the transition of DevOps, one of the things that we've been focusing on is making sure that our development teams, our engineering teams understand the customer experience and how it's impacted by what they do, and de-centralizing that operation structure so all of the triage work goes to the people who actually work on those services. So it's a pretty big paradigm shift but it's also helping us solve customer problems faster and get better education about what the customer experience is to the people who actually make it better. >> And roughly, what was the timeframe that it took to go from that really waterfall model to the structure that you have today? >> We've been going for about two or three years now in this transition. Like I said, the first year or so was kind of bumpy and we've really kind of ramped up over the past year in terms of the amount of teams that are practicing DevOps, the amount of teams that are in an agile and scrum model. So overall, two to three years to get to where we are today. >> So the problem with the traditional model is you have time to deployment is slower, that means time, the value is slower, a lot of re-work. Here, you take it. No, you take it. Hey, it worked when I gave it to you, a lot of back and forth, and not a lot of communication creates frustration, not a lot of collaboration and teamwork, then you're working through that now. How large is the team? >> My team is five people. We have 4,500 people roughly at ViaSat as a whole. I believe roughly 2,000 of them are in an engineering or technical role. >> Okay, but in the previous model, you had developers and you had operations folks, is that right? And your five are sort of split over those or was it a much, much larger corpus of folks? >> It was a very large distribution of people. It was very engineering and developer-centric. We still had a Core Operations Team of 60 to 100 people based in our Denver office. We're keeping our headcount relatively the same with respect to our operations and we're growing a lot in terms of those DevOps teams. So as those teams continue to grow, we're adding more operational resources to them and kind of inserting a lot of that knowledge into other parts of the organization. >> You're doing a lot more with the same. Are you coming from the ops side or the dev side? >> I come from the ops side. I actually started my career with ViaSat in our knock in Denver. From there, I transitioned into a ops analyst role and then we created the Solutions Engineering Team and I took the lead on that. >> Chris, can you tell us how Splunk plays into your DevOps? Did you start using it in the knock and kind of go from there? >> We did, actually. Splunk started out as just a tool for us to see how many modems were offline in the knock. It was up on the video wall and we would see spikes and know that there was a problem. And as we've made this transition at DevOps, a lot of teams that were using other solutions, other open-source and home-grown solutions were kind of organically pivoting to Splunk because it was a lot easier for them to use for alerting dashboards, deep-data analysis, a lot of the things they needed to do their job effectively. So as we've grown as a company, as we've grown in this organizational model, Splunk has kind of grown along with that in terms of use case. >> That growth is predominately in IT operations and security, correct? >> Well, it's actually pretty interesting. It's kind of all over the board in our organization. It started in IT operations and security, but we have people in our marketing department using it to make sales and campaign decisions. We have executive leadership looking at it to see the performance of our spacecraft, we have exploratory research being done with it in terms of what's effective and what's not for our new spacecraft that will be coming out, the ViaSat-3 Constellation. So it's really all over the board in our organization. >> That's interesting, Stu, you're not the first customer who's told us that no, it's not just confined to IT, it's actually seeping through the organization. Despite the fact that we heard a bunch of announcements today, I don't know if you saw the keynotes, making it simpler for lines of business folks to actually utilize Splunk, so given that a lot of your teams in the business are actually using it already, what do you think these announcements will do for them? Maybe you haven't had time to evaluate it, but essentially, it's making it easier for business people, you know, simplifying it. >> Yeah, you know, all of the announcements in the keynotes over the past two days have been really, really exciting. Everything that I was hoping for got checked off the list. So I think one of the big things that it's going to allow us to do is get our customer-facing teams and our customer care organizations more involved with the tool. And getting them the information that they need to better serve customers that are calling in, and potentially even prevent the situations that customers have to call in for in the first place. So giving them a lot of account information quickly, giving them the ability to access information that is PCI and PII-compliant but still allowing them to get the data they need to service an individual customer, all of those things I think are really going to be impacted by the announcements in this conf. >> So you were the keynote yesterday. >> I was! >> Were you shaking the phone? >> I was, yeah. >> Which group were you, were you orange? >> We were orange group, yeah. >> We were orange, too! But we were sitting in the media section and all the media guys were sitting on their hands but we had a lot of devs and ops guys shaking with us. It's like when you do the wave at Fenway Park when it gets behind home plate, everybody just kind of sits down, but we were plugging hard. Alright, Chris, what else has excited you about .conf2018? School stuff that you've seen, some innovations, things you've learned. >> Well, I'm really excited about the app for infrastructure. That's something that we've been trying to get for ITSI for a long time now in terms of NED-level monitoring and NED-level thresholding. I think that's going to complement our business really, really well. The advancements that they're doing with the metrics store, specifically with things like Syslog are really, really exciting. I think that that's going to allow us to accelerate our data and make it more performant. The S3 compliant storage is absolutely fantastic and it comes in black now and that's really, really fantastic. >> Oh right! The dark mode! >> Dark mode, yup. >> You mentioned the ITSI. Have you used the VictorOps pieces before or is that something you're looking to do? >> We haven't looked at VictorOps as of yet. We're an xMatters customer right now so we've been using their integration that they built out and it's on Splunk base. But VictorOps, it'll be interesting to see how that organization changes now that it's part of the Splunk. >> So dark mode actually, it's one of those things that it really got such a loud ovation. It was funny, I was actually talking to a couple Splunkers that are like, "We want that dark mode t-shirt." Which I think you have to be a user and you need to sign up for some research thing that they're doing, and they're giving out the black shirt that has like gray text on it. >> Awesome! >> Why does that resonate with you, the dark mode? >> Well, it was actually what they talked about in the keynote. If you have it up on a video wall, which we have in various parts of our company, or if you're sitting in a dark office, something like that, looking at a really white screen for a long period of time, it's not easy on your eyes, it's hard to look at for a long period of time. And generally speaking, a lot of our presentation layers go towards that visual format. So I think this is going to allow us to make it much more appealing to the people who are putting this up on screens in front of people. >> Your responsibility extends out into the field, I presume. The data that's in the field, is that true? >> It does. >> Okay, so I'm interested in your reaction to the industrial IoT announcements, how you see or if you see your organization taking advantage of that. >> Well, we're a very vertically integrated company so we actually manufacture a lot of the devices that we use and that we provide to our customers. I think a lot of our manufacturing capabilities would really benefit from that. Anything from building antennas for ground segment that actually talked to the spacecraft. It's the modems that we put in people's houses, that entire fabrication process I think would benefit a lot. I really loved the AR presentation that they did where they were actually showing the overlay of metrics on a manufacturing line. I think that's something that would be fantastic for us, particularly for sending somebody to an antenna or a ground station to replace a piece of equipment. We can overlay those metrics, we can overlay all of that, we can use the industrial analytics piece of that to actually show which piece of hardware is most affected and how best to replace that. So a lot of opportunities there for our company. >> So I wonder if you could help us understand what's, from your perspective, on Splunk's to-do list. We're going to have Doug Merritt on a little later. If you had Doug right here and he said, Chris, what can we do to make your life better? What would you tell him? >> You know, I think a couple of the things that would make it better, and it looks like they're heading this direction, is streaming in and streaming out. You know, streaming in is of course important, that's where a lot of your data lives, but you also have to be able to send that out to Kafka, to Kinesis, to other places, so other people can consume the output of what Splunk is doing. So I think that would be a really, really important thing for us to socialize the benefit of Splunk. And then vertically integrating the incident management chain, it looks like something that's on their roadmap and I'd be interested to see what their roadmap looks like in terms of pulling in Phantom, pulling in VictorOps, pulling in some of these other technologies that are now in the Splunk umbrella to really make that end-to-end process of detecting, directing and remediating issues a lot more efficient. >> Okay, and do you see at some point that the machine will actually do, the machine intelligence will do a lot of that remediation? >> I think so. >> Do you see the human still heavily involved? >> Well, I think one of the important things is for a lot of these remediation things, we shouldn't have a human involved, right? Particularly things that are well-known issues. Human beings are expensive and human beings are important, and there are a lot more important things that they can be doing with their time than putting out fires. So if we can have machines doing that for them, it frees them up to do a lot more cool stuff. >> You're right. Alright, Chris, well listen, thanks very much for coming on theCUBE. It was great to have you. >> Yeah! Appreciate it very much. >> Thanks for your insights. Alright, keep it right there, everybody. Stu and I will be back with our next guest. You're watching theCUBE from Orlando Splunk.conf2018. Be right back. (techno music)

from Boston Massachusetts it's the cube covering wtg transform 2018 brought to you by Winslow technology group this is the cubes cover of wtg transform 2018 happy to welcome to the program the keynote speaker and first time on the program David singer who's the senior vice president and chief operating officer of storage at Dell EMC David great to see you great to see you Stu thanks for having me all right so I liked we talked a lot about transformation and boy there's a lot of transformations going on from the technology to the workforce you know security is top of my night 'm you know let's start there you know what is what is transformation mean in that with the customers that you're talking to these days transformation for our customers is delivering next generation business outcomes really ensuring that they could find a way to to remould their businesses for the digital economy and figure out how to drive tremendous amounts of value and they understand that it all starts with IT and being digital and so it's one of the key things that we hear from our customers as they as they engage with us and look to move forward yeah it's an interesting conversation because there's there's two things that have kind of struck me as a little bit funny lately number one is data is really important and to WoW intelligence is really going to transform all these environments and the reason I think you kind of agree with me we've been talking about these things for decades I mean you know you and I both started back at EMC back similar times when storing was really one of the main things you're doing but of course that data was very important in the eight years since I left EMC boy you know it's not like a storage isn't any less important but you know it's data and it's everywhere and it's distributed so we speak a little bit to you know the value of data to your customers and we'll keep going with that commerce date data is the next asset class you know and for our customers it should be their gold it's it's not how they just manage their business it's actually how they start making money we called ourselves a storage business and we probably did ourselves a disservice they want to engage and they want ensure their data safe and they want to figure out how to monetize it and monetizing it means retaining it moving it keeping it safe and then ensuring that you can inject it into the right applications and get the right the right knowledge and efficiency out of it and what we've seen in a storage industry over 18 years that the technologies keep changing applications have greater and greater demands there's more and more need to consume adjust and analyze this data and we need to keep up and we need to deliver more intelligent infrastructure and storage solutions that can move this data and help us help applications deliver tremendous performance let's talk about the company itself so when I think about Dell you know I think back you know even talk to my parents you know they know who Dell is they'd use Dell computers for many years over your shoulder this Fenway Park you know the club level is the Dell level you know you've got such a broad portfolio and your keynote you kind of put together this do you know comprehensive everything from Dell and Dell EMC and VMware and pivotal and everything but to you know the global companies or small companies what is you know what where does Dell sit in the picture I think I think the the merger has been a major transformation for the company itself we talk we evangelize transformations for other companies were undergoing one ourselves and the transformation we're undergoing is understanding what other companies needs and applying it to ourselves and drinking our own champagne and making it a reality the the brand Association is changing and customers are starting to realize that we can become the essential infrastructure provider and they could look to us to solve a holistic set of their needs as opposed to pinpoint so their needs and make it an easier journey themselves you spent a bunch of time talking about the operating model when we talk about cloud it's you know use the line actually we've used many times you know cloud is not a destination really is an operating model how does that impact the portfolio you know you're helping to put together really the long-term strategy so the first is the operating model is all about simplicity right we need to make infrastructure more simple for our customers and that means re-engaging and re-architecting our software stacks from the ground up to be more nimble more accessible via api's and other automation engines that that will really drive more value and allow IT professionals to spend more time partnering with the business to drive revenue as opposed to problem-solving and punching out bugs David that was what one of the knocks that competition of you know EMC back in the day always had was MC has a broad portfolio and leadership in many positions but simple was never the word to describe the the offerings how does del and LEM see from a storage perspective how will we be looking at that differently you know come a year or two from now and so I think that's a fair point it's a great point simplicity was probably not a great synonym for what we did but what we did was was accumulate a tremendous amount of intellectual property and assets that we've been able to mold and transform and adapt for the future well when the process of doing is making it simpler for customers to consume it and delivering and deploying it in simpler ways to make that to make it easier to choose and implement and what we're in the process doing is take the lessons of the past integrate the technology from the past and drive something that's going to be easier to understand and to drive value alright help connect the dots we're here at one of one of Dell's uh you know larger partners maybe not larger in size but you know very important partner when the Technology Group was a dell partner of the year for a couple of years what is that you know that simplification and you know change in the portfolio mean you know and how's the relationship changing with the channel so you know very fair the the channel community is extremely important to Dell and and we know that we've not made their lives very easy right they have they have sales engineers and sales sales professionals that are trying to deliver solutions and applications for customers and it's hard for them to choose which building blocks or which piece parts to build and by simplifying and putting together better better technologies and better intellectual properties that are easier for them to consume and understand make it easier for them to do their jobs and and our outcomes for their customers right when I focus a little bit on the customers you know what do you see some of the biggest challenges that they're facing in their business you know not not just from a storage standpoint but you know the business side sure well every business including our own is it's a balance of priorities right the customers know that they want to take their business forward they want to drive growth they want to drive profitability and there's so many different opportunities to go after and just how do you prioritize and and and trying to manage those discrete priorities and ideas and initiatives is is not easy and then implementing actions especially with an IT to go solve some of those problems is resource intensive right and so we need to do a better job of thinking about transformation and simplifying our structure to really really alright so you're an Operations guy you've you've got you know so some business background what one of the things I look at in my career is you know boy you know we've looked at the pace of change but you know technology is an enabler for you know how we change operations has been pretty amazing the last last 20 years of wondering if you have some ruminations on that as to you know what you've been seeing in your career and you know especially over the last you know five years or so yeah the the pace is confusing it really is you know at times we feel like we're moving at light speed and other times we feel like we're gonna crawl and I think the interesting aspect is it's it's a journey and every customer is approaching it differently there are some customers that are in the bleeding edge and looking for us to keep them on the bleeding edge and there are other customers that are that are more more steady in their operations and looking to take baby steps as they transform and it's been a really interesting challenge trying to solve and maximize outcomes for both those types of yeah absolutely I'd say it's usually it's it's dizzying and you need to be careful one of my favorite Ben Franklin lines is you know don't confuse activity with with progress because it's easy to chase the new shiny but you know what am I actually doing to drive the business and drive efficiency of what weird and can actually get any value out of the new shiny there are so many buzzwords that we have in our industry right now some of which customers consume can consume really easily and get a tremendous amount of value some that customers just are having a hard time understanding how they actually implement to get value yeah so you know what's the biggest threat for for businesses these days you talk about them going through transformation there there's everybody's concerned about you know - over the overuse term you're gonna be over eyes or Netflix or you know choose your point you know how do you balance I need to transform and move faster but you know I I don't want to be you know chasing my shadow yeah I think I think the person that had the perfect answer to that would be would be amazingly wealthy right now I think you know that's the dichotomy that we're trying to deal with and the industry has dealt with for a very very long time great point you know we talked about it's not always about chasing the technologies what's interesting you in the marketplace these days - I think that the pace of change in the pace of innovation has really kicked up it goes through cycles and right now the new technologies that are getting introduced by a lot of startup communities and and and and ourselves organically has been amazing and I love the innovative spirit that is coming back together as we formed Dell EMC and the new and the new company and the collaboration that we're seeing with the intellectual property across the family of companies delivers really exciting results right last thing I wanted to ask you really about the merger you know personally you've so you've been with you up from the EMC side of things you know there are many similarities and culture but some significant differences between these two cultures well you know what could you share you know so everything changes right I think we learned a long time ago at EMC and there's probably some acronym about change using the EMC letters you need to be able to adapt to change and both cultures we're very very much the same the businesses are very very interesting and I like to think of them and in a let ik metaphor right there are very different flywheels to the paces of the businesses we have we have a portion of our business that is a flier that spills really really fast and very and very transactional and we have another flywheel that is solution oriented and solution driven it drives a different speed and the miracle the mergers we've been able to figure out how to operate both those flywheel in the same ace David singer definitely the customer flywheels keep a lot of things going and the feedback from our users is one of the flywheels that keeps us going here at the cube so btran sure to check out all the content and as always you can reach us hitting us up on the website hit is up on social media and welcome your feedback so thank you so much for watching the Q

from Boston Massachusetts it's the cube covering wtg transform 2018 brought to you by Winslow technology group hi and welcome to Silicon angle media's production of the cube I'm Stu minimun and we're at wtg transform 2018 14th annual Winslet Technology Group user conference new name happy to be back here at the heart of Boston in the shadows of Fenway Park and welcome back to the program Mike burthew who is now a senior systems engineering manager with mechanics like RIT to see it's a pleasure to be here Stu thanks for having me again really appreciate it I can't believe it's been a year since we last talked it hasn't been quite a year they moved it from August to Gok me makes me feel a little vacation there's more people here yeah gorgeous sunny day and Mike the reason one of the reasons I love doing it I get talked to a lot of users and especially up here in my backyard you talk to them all the time so give me kind of the sentiment of you know what are you hearing from users these days what kind of top of mind what you know bringing them to Winslow technology and Nutanix these days yeah I think top of mind for everybody is cloud right a lot of people are talking about you know what it's going to take to move workloads into the cloud and you know it's it's really understanding that in having conversations the customers to explain to them that that cloud is you know you have a lot of choice and flexibility with cloud today you know it's not about moving applications to your you know Amazon Web Services or Azure or Google although that makes sense for some applications that's truly an operating model right so explain to them that yeah you can still maintain your on-premises infrastructure to maintain the control that you need and also control your costs where it makes sense but there are certain applications that certainly benefit from running you know on prime as well as a public cloud yeah Mike I love that you brought up applications because sometimes you know I've got a lot of infrastructure people here we're talking about servers you're talking about networking and storage and the whole wave of converge and even hyper-converged there was so much focus on well you know let's take that infrastructure let's pack it a little different we of course want to make it simple we want to change the operating model but it's really about those applications what lives where give us what what's the mindset customers have for you know HCI near and dear to tune in hand annexes heart you know it was certain applications that usually drove that initially helped us bring together kind of the infrastructure in the applications in an HDI today I'm sure sure well you know I think many customers were initially drawn to Nutanix for the simplicity that we bring to the data center right eliminating the kind of the three-tier as we call three-tier silos of complexity in with an IT it really is all about the applications and that's becoming more and more apparent you know businesses don't want to spend money you know paying people to configure infrastructure right so but until you know relatively recently there was still certain applications that required more of that legacy infrastructure whereas now you know with with some of the work that Nutanix is done we actually can successfully virtualize or successfully move any application into the simplified infrastructure this this cloud like infrastructure and it can be managed you know in a holistic way and even if we're leveraging public cloud resources we still have that consistent control plane you know across the board yeah Mike absolutely at the Nutanix dot next show when New Orleans was just about a month ago there was still some of the messaging it's about Enterprise Cloud is that operating model that spans between you know my private data center and in the public cloud how are customers viewing cloud these days and I say that you know the journey to cloud reminds me a lot of the journey to virtualization that we've had but there is you know maybe even a little bit more discussion of applications cloud native apps you know am i lifting and shifting am i refactoring how am i doing that so you know here England what was cloud mean to them and how is that yeah and again I think it depends on who you're speaking with some organizations are all in with you know with cloud right and and there is a bit of a region where you know a cloud is again it's an operating model right it's not it's not a destination and we'll continue to say that and that's going to continue to be the case right our view is you know regardless of your applications all those applications belong within that cloud operating model but do they belong in the public cloud and again our perspective is there are certainly applications that do that can be cost effective in the public cloud just as Rick mentioned in his keynote some applications are actually more cost effective but the majority of our legacy traditional applications that are running our businesses today actually a more cost effective to run with you know your on-premises data center and the cloud operating amano really enables you to manage everything in a consistent way where regardless of you know where that application resides whether it's in the public cloud or whether it's in your on-premises data center you're going to get that same control experience that same management experience right and then you know if we kind of fast forward things a little bit in terms of where we're going with all this you know some of the announcements we recently had our our doc next show actually really show that the the we're blurring the lines even more right so it's more more about understanding cost of applications so so beam and we'll talk about this and my session a little bit later today beam is actually a product set of Nutanix our it's our first software as a service offering that actually will quantify and look at costs in the public cloud and then the goal of that is to make true comparison as to what it will look like on premises right and be able to make that transition potentially dynamically without any disruption to the actual application yeah absolutely at the end of the day when I talk to customers Mike they you know IT is heterogeneous it's always additive seems like nothing ever dies and therefore in this ever-changing and growing in even more complex world yeah I get my arms around that so you know definitely something we heard Nutanix with beam and the like what other technologies you know what what's interesting you what things that Nutanix is doing that you want to help educate us yeah so we're doing a lot of interesting things and again you know important point I want to make is we're not losing focus on our core you know when we first you know released our platform back in 2011 we built that platform to be scalable and extensible right so what we've really done is we've continued to enhance the platform truly develop the enterprise cloud operating system and what that means is we can manage our in our on-premises resources in much the same way as we can manage those public cloud resources again with that consistent experience and control plan so some of the things that we announced that dot next an including beam which again is all about costing and compliance in your public cloud you know across public clouds and again on-premises in the future we're also we also have another technology called net silk right and that still actually allows us to understand application patterns and behavior regardless of where those applications reside right and in taking all that and being able to kind of create these bubbles of platforms and have mobility of those those platforms across both your on-premises and your in your public cloud infrastructure again regardless of what public cloud provider you're actually using so that's those are two things and then the third big announcement was we call Nutanix era and what errors it's a it's a database is a service that platform it's our first platform as a service offering native offering from Nutanix so database is a service but now having the ability to take enterprise databases that you're running either an oracle or Postgres today sequel and in the near future and being able to deploy those in a very simple way or you know have a repeatable process to be able to deploy them and also have the ability to clone in provision in other locations right so if I have a large production database that I actually want to provision or that my QA department needs to actually do some analysis on ik I can do that very easily with the arab product a lot of excitement a lot of buzz around that and really adding a level of simplicity to databases that's just not existed before yeah database definitely a very hot space we've been covering a lot of the you know modernization and open source database is having on that a lot less thing I want to ask you on that is I was talking to a CEO recently and he said you know if I'm a 5 to 10 year old company it's really easy I'm not choosing one of the old databases or old applications I'm I'm gonna do something more modern I'm gonna you know using all the cool new tools like no hub spot to be able to leverage their um if I'm an older company I've got some of the technical debt it's tougher for me to make changes what are you hearing from customers as they kind of look at their application portfolio yeah you know what moving fast and what is taking a little bit longer I mean I think everybody has digital transformation top of mine and we do need to kind of rewrite those legs or app customers know they need to rewrite their legacy applications well the good news is you know during you know the time it takes to do that we can still offer our customers a good solution so you know I think it's a breath of fresh air knowing that I I don't need you know go all-in with cloud I can kind of start small start where it makes sense and then start to kind of evolve my operation of my infrastructure and I can do that in a cost-effective way the beauty of you know the Nutanix platform is we can run our mode one traditional legacy applications in our mode to applications in the same environment so if I want to leverage you know if I want to start rewriting or re-architecting those applications I can do it on premises where I'm not gonna have to worry about the cost right it's going to be cost effective it's in my own data center and then when it makes sense potentially move those to the public cloud and again do that in a very seamless way all right well Mike barthian pleasure to see you as we as well be sure to check out the cube net where if you on the top hit the search search for Nutanix you'll not only find the hundreds of videos that we've done with Nutanix their customers and the partners all of the events that we've done in the past so make sure to check out all the website material and thanks so much for watching the queue [Music]

>> Announcer: Live from Las Vegas, it's The Cube, covering the VMworld 2017, brought to you by VMware and its ecosystem partners. >> Welcome back to The Cube. We are live at VMworld for our continuing coverage of the event, day two, exciting morning. I'm Lisa Martin with my co-host Stu Miniman, and Stu and I are very excited to be joined by a Cube alumni Chhandomay Mandal, the Director of Storage Solutions Marketing at Dell EMC. Welcome back. >> Glad to be here. >> Yeah, we had you on The Cube a couple of times at Dell EMCworld. >> Yes. >> Just a couple of months ago. So, virtualization. Still a mainstay of the data center, right? Some big announcements yesterday and today. Can you talk to us about some of the trends that you're seeing in the virtualization market today? >> Sure. So, as many organizations are going through the IT transformation, data centers are becoming even larger, running thousands of applications, many thousands of VMs, right. So what we see is as many applications run, the underlying storage load becomes hugely random, the platform needs to be able to deliver very high performance all the time, 24/7, 365. Also, getting into the private cloud type environment, we see a lot of VM cloning, VM deployment, coming and happening in a rapid space. We also see the need of efficient copy management, to prevent the VMs' flaws in a very nice, contained, efficient manner. And finally, as we are hearing at VMworld, giving access to applications and data from any device, any application, any time, anywhere, that's becoming another aspect we are increasingly seeing across all of our customers. >> You bring up a lot of really interesting points. You know, I think back, the early days of virtualizations, like oh, we're going to give this abstraction layer and it's going to make everything really easy. Come one, invisible infrastructure, I shouldn't have to even worry about storage, right? But the reality is, there's a lot of work that goes into making sure that storage works well, and when we're talking virtualized environment, when we're talking cloud environment, what's that conversation you're having with customers? I think virtualization in cloud, who is it that brings up, hey, we got to make sure that storage meets our needs? What are some of the biggest things that you're hearing from customers and how are you helping to solve them? >> So as you look at the customers, right, maybe like five years ago it used to be pretty storage admin, or IT admin-centric conversations. We are seeing a transition into CXO-level business, solving our business challenges conversation. It's not that, how much storage I need, how many copies do I need to create, but it's more along the lines of, I need to bring my cloud-native application faster to market. It's taking six months of development cycle. How can it bring it back to like, three months, how I can hit the corner cases before the customers actually run into those in my keyware cycles? How I can run better analytics real-time, as opposed to having to wait for like 24 hours? So these are the business challenges customers are asking us to help solve, and we are evaluating where they are in their IT transformation journey, and how we can map those requirements into the underlying infrastructure that will help them get to that new era of virtualization, cloud-native applications, all those things. >> One of the things that Michael Dell talked about this morning on stage with Pat Gelsinger, was that the data conversation is, like you were saying, it's a CXO-level conversation, it's on the CEO agenda. Can you talk to us about some of things that Dell EMC is doing at that level of customer conversation where costs are concerned. We have this exploding growth of data volume, that's not changing, centers of data, not data centers anymore. How is Dell EMC helping to position where you can work with customers on the storage element that will really help drive cost efficiencies across an entire business? >> So, I'll start with a solid example, right. I mean, I was working with a customer who is running huge number of databases, and to run his business, he needs to have copies for his DevOps operations, he needs to have copies for his backup environment, copies to run his analytics environment, and there are storage silos everywhere, because he really was afraid of touching his production environment to meet his SLAs. Now, I'll give you an example of one of our portfolio products, Dell EMC XtremIO, in fact we literally announced the general availability of X2 here at at the IMC World. Now this is a purpose-built all-flash array that is designed to handle application-level problems. So for example, it can not only provide very high performance with consistently low latency for DB workloads, but because of its intelligent in-memory content over metadata architecture that's built for flash media, it can create copies without consuming any extra space instantly, and the admins, whether that's a DB or storage admin, they can actually consolidate production workloads with non-production workloads like DevOps environments analytics, thereby hugely reducing the storage capacity of it, but then there is an added benefit to it. Say for example, the application admin needs to deploy a VM for his latest application he's developing, right? So instead of having to go to a DBA to ask storage admin, he actually can self-service with the application-level plug-in, saying like, hey, I want to clone 10 VMs. And you know what? The DBAs are happy, the storage admins are happy, because they are out of that chain. They can monitor and make sure everything is running fine, but at the end of the day, the self-service is actually helping the developers bring the product to the market in a more timely and cost-efficient manner. >> So reduce TCO storage cost... >> I actually want you to kind of put a point on that because we'd actually looked into, you know when flash came into the marketplace, it was like, oh great, we're going to improve performance, but the business outcomes, what happened to the business, and one piece you talked about, the dev and test environments, used to be, you know, let's give them sold old gear, they kind of work on whatever could have. They can now increase their agility. Number one thing we hear, the keynote this morning talked about, how do I move faster, and giving them the tools in there, all of those copies, I'm putting them to use, I'm leveraging my data, I'm leveraging, you know, increasing the speed of my application development, and that's the number one thing that we hear from all customers is right, how can I not have storage be a boat anchor, but help me move my business forward. So you know, be a driver, not a cost. >> They don't need to be in the business of optimizing storage. It is helping them transform the business application workflows as opposed to, how do I plan for this, how do I keep monitoring, what do I need to do for the next upgrade, et cetera. >> So from a customer's perspective, can you talk to us about, to Stu's point, maybe one of your favorite examples of a customer who dramatically improved business outcomes, reducing cost of ownership, getting to market with products faster, launching new products. What are some of the big business outcomes that you've seen through a great customer example? >> So I actually have a couple. I'll start with one in the health care space. Scripps Health is a big, integrated non-profit health system down in San Diego area, and they are running their electronic health record systems, which are pretty vital for all the clinicians to access their patient data very quickly. Now, they had multiple problems. One was how to keep up with the explosion of all the images that were getting created, like copies for their EHR systems, et cetera. And at the same time, they had to back up their data, and they had to create many copies of their SQL Server environments. In fact, they could not keep up with that and the time it was taking was getting enormous. Once they moved to this XtremIO platform, they actually started to see, pretty much like that time to create the copies reduced by more than 80%. And then they also saw the advantage of data reduction. They are getting anywhere like four S21 to seven S21 data reduction on their storage capacity, and with the help of this integrated technology, now their doctors are able to see more patient in a day, pretty much like saving lots of doctor hours. >> Can imagine they can pull back large images faster, it's on all-flash, being able to get information to patients faster, make diagnoses maybe, improve their ability to do that as well? >> Chhandomay: Yes. >> Yeah. >> And changing the spectrum completely. I mean I'm from the Boston area, Red Sox is my favorite sports team down there along with Bats. Now, again, even with baseball, right, they need to run lots of analytics. They want to have their spectators in the historic Fenway Park the latest and greatest digital experience of the games that are going on, right? And they have to run all of their business applications as well as customer-facing systems on a platform that can keep up with the growth, and give their latest experience. Now again, they moved to XtremIO, they are seeing great performance, they are seeing seven S21 data efficiency, and literally, they say us, their business processes and the customer experience have changed. They don't really need to worry about how the backend is working, they can actually focus on the strategic outcomes of baseball operations and giving the viewers at Fenway the best possible IT experience through the mobile network, social networking, like all those things. So that's kind of like two of my favorite examples from completely different spectrums. >> Okay, so we're here at VMworld. Any specific use cases that you're especially seeing popular in this community as compared to the general storage market? >> So I would say one of the aspects we heard, I mean in the keynotes, any device, any application, like one cloud. For us, what we are seeing >> Stu: It's actually any cloud now, right? >> Yeah, any cloud. So it's pretty much the same, right? I mean it's any device, any application, anywhere, anytime access. So I want to say the end user computing is becoming very important. It was always important, but there were storage bottlenecks, but now with all these abstractions that are possible, the mobile device management that is coming in, we see a great uptick in terms of the desktop virtualization market, and again, bringing back to what we just announced, right? This XtremIO X2 platform is exceptional for VDI use cases. I mean, in our previous generation we had 700 plus customers running 2.5 million plus virtual desktops. Now with this new platform, I mean a single X-Brick, which is like a small, two-controller array necessity, it can host up to 4,000 desktops. And I mean we are seeing tremendous performance improvement, snappy desktop experience, with huge data reductions. So that's one area which we see keeping up with our customer base as they're going through that IT transformation through digital transformation. >> So one of the things, I love that you brought up the Red Sox, I'm a San Francisco Giants fan, but if they don't make it at the wild card, which is probably not going to happen, I might root for the Red Sox. But what I love that you talked about is, a baseball team is a technology company. A hospital, a university is a technology company. Presumably with a lot of legacy infrastructure that needs to be updated to modernize IT, how is now Dell EMC, with XtremIO, helping these companies on this path to digitalization, but on this legacy upgrade process? What's unique about how Dell EMC can do that leveraging XtremIO? >> So for us, at Dell EMC, modernizing IT infrastructure is essentially we think based on four pillars. Flash, one is flash, scale-out architecture, cloud-ready, and software-defined storage all backed by the world-class data protection. Now I want to take it one step back. It's not just about XtremIO or XtremIO X2, it's about the power of the portfolio that we have. So customers might have legacy infrastructure, both from us or from other vendors, but we provide the kind of like, walk into their environments, what we call get-modern assessments. We actually run various types of applications to see where their bottlenecks are, what performance do they need, and then take a portfolio approach to provide the complete solution in terms of how we can non-disruptively transform all of their workloads into a newer platform, be it based on XtremIO, or VMAX or ScaleIO, any of those platforms. But the key is, having the ability to non-disruptively move the legacy workloads into this modern infrastructure as well as enabling them to do those cloud-native applications digital transformation journey. >> You've mentioned cloud-native applications a few times. That modernization of the applications, one of the toughest journeys that we're going on. We've talked about virtualizing, we talked about cloud, but the application's something that it's pretty tough to make a change there. How is the infrastructure enabling that and what are some of the, just kind of in general, what are you hearing from customers, how are they doing along that journey? >> So in that space, right, we are seeing a great adoption of the platforms that can provide 24/7 365, not only just uptime, but great performance, at a lower TCO. And we are seeing adoption in terms of conversion, hyper-conversion, software-defined. So those are the elements that are helping the customers transform into that space, meaning, think of it in a automated self-service world where pretty much, like, I'm developing my applications and I click couple of buttons and all the infrastructure get provisioned as I need and when I'm done I kind of like decommission it. So that's the ultimate nirvana of self-service, automation, orchestration, that the end developers can use, and IT become a strategic operations, as opposed to kind of like keeping the lights on and making sure we are in the business. >> Excellent, well Chhandomay, we thank you so much for coming back to The Cube and sharing what's new at Dell EMC with the different technologies, and some great use cases across different companies that are tech companies at heart. We hope you enjoy the rest of the show. >> It was a pleasure of being on The Cube, thank you. >> Thank you. And we want to thank you for watching, I'm Lisa Martin with my cohost Stu Miniman again, we are live, covering day two of VMworld 2017. From Las Vegas, stick around, we'll be right back.

(click and snap) >> Hi, I'm Stu Miniman with theCUBE, and we're here at the Winslow Technology Group Dell EMC User Group here in Boston in the shadows of Fenway Park. Happy to have with me Mike Franco, who's the principal solutions architect with Virtustream. Mike, thanks so much for joining us. >> Thank you Stu. Thanks for having me, and this is a terrific event. It really is. I mean to be here with one of our first channel partners, and by that I mean Winslow Group has been part of Dell for many, many years. They now sell the whole Dell EMC platform with the acquisition last year. And Virtusteam, we opened up a channel partnership just a few months ago, and they were one of the first to join. And here I am in front of hundreds of clients. This is a great opportunity. >> All right, that's great. So we've talked to Scott Winslow, his organization, some of the partners. So, I understand a lot about the Dell relationship. How WTG has been kind of expanding into cloud. Virtustream. Tell us why there's a channel partner now. What that means, and what you look to for somebody like Winslow Group. >> Well, Winslow Group opens up a lot of clients for us, okay? And we need to sell through those partners. Most of these clients are running operations, maybe in the small midsize business, which are really perfect candidates for what we do. Virtustream provides a managed cloud. So unlike the Amazons, the Googles, and the Azures which are great solutions, we're finding clients and saying, "Hey, that was good." But as we start moving to these mission critical applications. The applications that are running my business. We need a managed service. We need performance. We need IO type of critical workloads to be run in a more secure and performance- laden type of cloud. >> Yeah, Jeremy Burton gave the opening remarks. The CMO of Dell. The Dell family really has a large portfolio. I look at kind of the hybrid and multi-cloud world these days, and from a Dell standpoint, you know, VMware has a number of solutions, including VMware on AWS. Dell was working with Microsoft on the Azure (mumbles) solutions. How does Virtustream fit into the overall portfolio? How do you help position, you know, where that fits, okay? Get the mind share and (stutters) the users? >> Great question. I mean, back in May, we announced a connection, okay? So our Cloud Connect, which is vRealized into our stream based clouds. Extreme is our cloud management platform, and a technology that we use to run our off prem clouds. So clients now have the capability through vRealize automation to recognize our cloud into revision, and to modify and manage their workloads through that. We also announced in May, a partnership with our sister company Pivotal. Okay, on their Cloud Foundry. So we now have in Virtustream Enterprise Cloud, the capability to run Cloud Foundry in a managed fashion. Okay, again, Cloud Foundry is a technology that a lot of developers will be using to build applications, but it also runs those applications. And now that those applications are becoming stateful and a critical part of their business, they're looking to somebody to manage that. And now we have the capability. And then we talk about the rest of the EMC portfolio, where Native Hybrid Cloud is a package solution that's built on vRacks or vRails, right? Dell's converged black forms with the Native Hybrid Cloud or Pivotal Cloud Foundry, lay it right on top of it with the tools to be able to manage it. That's sold directly to a client, and we have the capability as Virtustream to manage those. So now the client can have these on-client premise solutions, as well as being able to tether back to our enterprise cloud. Our Virtustream Enterprise Cloud. >> Yep. Mike, we saw in the storage industry, there's lots of different solutions, because there's lots of different needs. I find there is no typical cloud strategy when it comes to most companies. But when you're talking to users, whether it be at this event or you know, out talking to customers, you know, why are they coming to Virtustream? What are the big questions they're asking you? What are the challenges that they see, and how do you help them? >> So, I see most of the time they come to us is because at these types of events, they are clients that are delighted with Dell EMC technologies, right? Dell EMC is a leader in almost every product that they sell, okay? And not only that, but the customer satisfaction, the client care service that Dell EMC provides is second to none. We're an extension of that, okay? We have the ability to manage either on prem, or of prem, and that gray area in between in helping them enable to get to the cloud. So, it really has opened up a lot of doors for Virtustream, and yes the solutions are endless. But we had the capability to manage that for them on their prem, and we've been very successful doing it. >> Great. Mike, we know SAP was one of those solutions that really Virtustream made its name on. Well, I know you continued to work on that. Can you give us, you mentioned Cloud Foundry. What are some of the applications? What are some of the big use cases that your customers are having success with? >> So in June we announced the Virtustream Healthcare Cloud. Okay, so what is that? That's our enterprise cloud, now tailored specifically for the healthcare compliance. So it's HIPAA compliant. And also, we're managing some of the more critical applications. The healthcare environment is not cloud native, okay? It's still based on the platform too, right? They virtualized the client server, the three-tiered architecture database, web and app server type of environments that the systems have reckoned, okay? We're expanding into electronic medical records, EMRs, critical client patient care, some analytics for medication. So we're moving into those other areas that's complimenting the SAP work that we're doing. >> Okay, well Mike, appreciate you giving us the updates on Virtustream. Thanks so much for joining us here at the Winslow Technology Group Dell EMC User Conference. (click and snap)

>> Announcer: Live from Boston, Massachusetts, it's the CUBE covering OpenStack Summit 2017. Brought to you by the OpenStack Foundation, Red Hat, and additional ecosystem support. >> Welcome back, I'm Stu Miniman. And if I'm sitting on this side of the table with the long hallways behind me, it means we're here for the wrap of the second day. John Troyer's here, day two of three days, theCUBE here at OpenStack Summit. John, I feel like you're building energy as the show goes on, kind of like the show itself. >> Yeah, yeah, getting my footing here. Again, my first summit. It was a good second day, Stu, I think we made it through. We had some fascinating stuff. >> Yeah, fascinating stuff. Before we jump into some of the analysis here, I do want to say you know, first and foremost, big thanks to the foundation. Foundations themselves tend to get, they get beat up some, they get loved some, without the OpenStack Foundation, we would not be here. Their support for a number of years, our fifth year here at the show, as well as the ecosystem here, really interesting and diverse and ever-changing ecosystem, and that fits into our sponsors too. So Red Hat's our headline sponsor here. We had Red Hat Summit last week and two weeks, lots of Red Haters, and now lots of Stackers here. Additional support brought to us by Cisco, by Netronome, and by Canonical. By the way, no secret, we try to be transparent as to how we make our money. If it's a sponsored segment, it lists "sponsored by" that guest here, and otherwise it is editorial. Day three actually has a lot of editorial, it means we have a lot of endusers on the program. We do have vendors, cool startups, interesting people, people like Brian Stevens from Google. When I can get access to them, love to have it here. So big shout out as always. Content, we put it out there, the community, try to have it. Back to the wrap. John, you know we've kind of looked at some of the pieces here, the maturity, you know where it fits in the hybrid and multi cloud world. What jumped out at you as you've been chewing on day two? >> Well, my favorite thing from today, and we talked about it a couple times just in passing it keep coming up, is OpenStack on the edge. So the concept of, that the economics works today, that you can have a device, a box, maybe it's in your closet somewhere, maybe it's bolted to a lamppost or something, but in the old days it would have run on some sort of proprietary chip, maybe an embedded Linux. You can put a whole OpenStack distribution on there, and when you do that, it becomes controllable, it becomes a service layer, you can upgrade it, you can launch more services from there, all from a central location. That kind of blew my mind. So that's my favorite thing from today. I finally got my arms around that I think. >> Okay, great, and we saw Beth Cohen from Verizon was in the day one keynote. We're actually going to have her on our program for the third day. And right, teasing out that edge, most of it, telecommunications is a big discussion point here. I understand why. Telcos spend a lot of money, they are at large scale, and that NFV use case has driven a lot of adoption. So Deutsche Telekom is a headline sponsor of the OpenStack Foundation, did a big keynote this morning. AT&T's up on the main stage, Verizon's up on the main stage, you know Red Hat and Canonical all talk about their customers that are using it. You know, we just talked to Netronome about telecommunications. Everybody here, if you're doing OpenStack, you probably have a telco place because that's where the early money is and it tends to be, there's the network edge, then there's the IoT edge, and some of the devices there. So it was was one of the buzzy things going in and definitely is one of the big takeaways from the show so far. >> Well, Stu, I also think it's a major prove point for OpenStack, right. Bandwidth needs are not going down, that's pretty clear, with all the things you mentioned. Throughput is going to have to go up, services are going to have to be more powerful, and so all these different connected devices and qualities of service and streaming video to your car. So if OpenStack can build a back plan, a data plan for OpenStack that can do that, which it looks like they are doing, right, that's a huge prove point downstream from the needs of a telco, so I think that's super important for OpenStack that it's usable enough and robust enough to do that and that's one of the reasons I think it gets talked about so much. The nice thing is this year compared to my comparisons of previous years of OpenStack Summit, telco is not the only game in town, right. Enterprise also got a lot of play and there's a lot of use cases there too. >> And just to close out on that edge piece, really enjoyed the conversation we had with John and Kendall who had worked on the container space. Talking about the maturation of where Cinder had gone, how we went from virtualized environments to containerized environments. And even we teased out a little bit that edge use case. I can have a really small OpenStack deployment to put it at that edge. Maybe that's where some of the serverless stuff fits in. I know I've been, I tell my team, every time I get a good quote on serverless, let's make a gem out of that, put it out there, 'cause it's early days, but that is one of those deployments where I need at the edge environments, I need something lightweight, I need something that's going to be less expensive, can do some task processing, and both containers and potentially serverless can be interesting there. >> Yeah, I mean, even in our Canonical discussion with the product manager for their OpenStack distribution, right, containers are all over that, right, containers are just a way of packaging, there are some really interesting development pipelines that are now very popular and being talked about and built on in the container space. But containerization actually can come into play multiple points in the stack. Like you said, the Canonical distribution gets containerized and pushed out, it's a great way of compartmentalizing and upgrading, that's what the demo on stage today was about. Also, just with a couple of very short scripts, containerizing and pulling down components. So I think again, my second favorite thing after the edge today was just showing that actually containers and OpenStack mix pretty well. They're really not two separate things. >> Right, and I think containerization is one of those things that enables that multi cloud world. We talked in a number of segments today, everything from Kubernetes with Brian Stevens as to how that enables that. Reminds me at Red Hat Summit last week we talked a lot about OpenShift. OpenShift's that layer on top of OpenStack and sits at that application level layer to allow be to be able to span between public or private clouds and we need that kind of you know that to be able to enable some real multi or hybrid cloud environments. >> Yeah I mean, containers and in fact that Kubernetes layer may end up being the thing that drives more OpenStack adoption. >> Yeah, and the other thing that's been interesting, just hallway conversations, bumping into people we know, you know trying to walk around the show a little bit, as to people that are finally getting their arms around, okay, OpenStack from a technology standpoint has matured and you know they either need it to clean up what was their internal cloud or building something out, so real deployments. We talked about it yesterday in the close though. They're real customers doing real deployments. It's heartening to hear. >> Yeah I mean, one of those conversations, I ran into somebody at a hyperscale company, a friend of mine, and you know they are building out, internal OpenStack clouds to use for real stuff, right. >> But wait, hyperscale, come on, John, we can give away. Is this something we have on our phone or something we, I'll buy and use? >> One of those big folks. >> There's a large Chinese company that anybody in tech knows that's supposed to be doing a lot with OpenStack. We heard definitely Asia, very broad use of OpenStack. Been a theme of the whole show, right, is that outside the US where we tend to talk a lot about the public cloud, OpenStack's being used. An undertone I've heard is certain companies that start here in the United States, it's sometimes challenging for a foreign company to say I'm going to buy and use that, absolutely that is a headwind against a company like Amazon. Ties back to we had a keynote this morning with Edward Snowden and some of those things. What is the relationship between government and global companies that have a headquarters in the US and beyond. >> Yeah I think it's too soon to say where the pendulum, how the far the pendulum is going to swing. I'll be very interested in the commentary for next year to see have we moved away from more of the centralized services dominating the entire marketplace and workload into more distributed, more private, more customizable. For all those reasons, there's a lot of dynamics that might be pushing the pendulum in that direction. >> And one of the things I've liked hearing is infrastructure needs to be more agile, it needs to be more distributed, more modularized, especially as the applications are changing. So I feel like more than previous summits I've been at, we're at least talking about how those things fit together. With everything that's happening with the OpenStack Days, the Kubernetes, Cloud Foundry, Ceph, other open source projects, how those all fit together. It feels like a more robust, full position as opposed to , we were just building a software version of what we were doing in the data center before. >> My impression was the conversation at times had been a little more internally focused, right, it's a world unto its own. Here at this summit, they're definitely acknowledging there's an ecosystem, there's a landscape, it all has to interoperate. Usability's a part of that, and then interoperability and componentization is a part of that as well. >> The changing world of applications. We understand the whole reason we have infrastructure is to run those applications, so if we're not getting ready for that, what are we doing? >> I don't want to put words in their mouth, but I think the OpenStack community as a whole, one of their goals, you know, OpenStack needs to be as easy to run as a public cloud. The infrastructure needs to be boring. We heard the word boring a lot actually today. >> Yeah and what we say is, first of all, the public cloud is the bar that you were measured against. Whether it is easier or cheaper, your mileage may vary, because public cloud was supposed to be simple. They're adding like a thousand new features every year, and it seems to get more complicated over time. It's wonderful if we could architect everything and make it simple. Unfortunately, you know, that's why we have technology. I know every time I go home and have some interaction with a financial institution or a healthcare institution, boy, you wish we could make everything simpler, but the world's a complicated place and that's why we need really smart people like we've gotten to interview here at the show. So any final comments, John? >> No, I think that sums it up. Those are my favorite things for today. I'm looking forward to talking to a lot of customers tomorrow. >> Yeah, I'm really excited about that. John, appreciate your help here. So there's a big party here at the show. They're taking everyone to Fenway Park for the Stacker party. Last year it was an epic party in Austin. Boston's fun, Fenway's a great venue. Looks like the rain's going to hold off, which is good, but it'll be a little chillier than normal, but we will be back here with a third day of programming as John and I talked about. Got a lot of users on the program. Really great lineup, two days in the bag. Check out all the videos, go to SiliconANGLE.tv to check it all out. Big shout out to the rest of the team that's at the Dell EMC World and ServiceNOW shows, be able to check those out and all our upcoming shows. And thank you, everyone, for watching theCUBE. (technical beat)