>>Please >>welcome back to HPD discovered 2021. The cubes virtual coverage, continuous coverage of H P. S H. P. S. Annual customer event. My name is Dave Volonte and we're going to dive into the intersection of high performance computing data and AI with DR Eng limb go who is the senior vice president and CTO for AI Hewlett Packard enterprise Doctor go great to see you again. Welcome back to the cube. >>Hello Dave, Great to talk to you again. >>You might remember last year we talked a lot about swarm intelligence and how AI is evolving. Of course you hosted the day two keynotes here at discover and you talked about thriving in the age of insights and how to craft a data centric strategy. And you addressed you know some of the biggest problems I think organizations face with data that's You got a data is plentiful but insights they're harder to come by. And you really dug into some great examples in retail banking and medicine and health care and media. But stepping back a little bit with zoom out on discovered 21, what do you make of the events so far? And some of your big takeaways? >>Mm Well you started with the insightful question, Right? Yeah, data is everywhere then. But we like the insight. Right? That's also part of the reason why that's the main reason why you know Antonio on day one focused and talked about that. The fact that we are now in the age of insight, right? Uh and uh and and how to thrive thrive in that in this new age. What I then did on the day to kino following Antonio is to talk about the challenges that we need to overcome in order in order to thrive in this new asia. >>So maybe we could talk a little bit about some of the things that you took away in terms I'm specifically interested in some of the barriers to achieving insights when customers are drowning in data. What do you hear from customers? What we take away from some of the ones you talked about today? >>Oh, very pertinent question. Dave You know the two challenges I spoke about right now that we need to overcome in order to thrive in this new age. The first one is is the current challenge and that current challenge is uh you know stated is no barriers to insight. You know when we are awash with data. So that's a statement. Right? How to overcome those barriers. What are the barriers of these two insight when we are awash in data? Um I in the data keynote I spoke about three main things. Three main areas that received from customers. The first one, the first barrier is in many with many of our customers. A data is siloed. All right. You know, like in a big corporation you've got data siloed by sales, finance, engineering, manufacturing, and so on, uh supply chain and so on. And uh there's a major effort ongoing in many corporations to build a federation layer above all those silos so that when you build applications above they can be more intelligent. They can have access to all the different silos of data to get better intelligence and more intelligent applications built. So that was the that was the first barrier. We spoke about barriers to incite when we are washed with data. The second barrier is uh that we see amongst our customers is that uh data is raw and dispersed when they are stored and and uh and you know, it's tough to get tough to to get value out of them. Right? And I in that case I I used the example of uh you know the May 6 2010 event where the stock market dropped a trillion dollars in in tens of minutes. You know, we we all know those who are financially attuned with know about this uh incident, But this is not the only incident. There are many of them out there and for for that particular May six event, uh you know, it took a long time to get insight months. Yeah, before we for months we had no insight as to what happened, why it happened, right. Um, and and there were many other incidences like this and the regulators were looking for that one rule that could, that could mitigate many of these incidences. Um, one of our customers decided to take the hard road to go with the tough data right? Because data is rolling dispersed. So they went into all the different feeds of financial transaction information, took the took the tough took the tough road and analyze that data took a long time to assemble. And they discovered that there was quote stuffing right? That uh people were sending a lot of traits in and then cancelling them almost immediately. You have to manipulate the market. Um And why why why didn't we see it immediately? Well, the reason is the process reports that everybody sees the rule in there that says all trades, less than 100 shares don't need to report in there. And so what people did was sending a lot of less than 103 100 100 shares trades uh to fly under the radar to do this manipulation. So here is here the second barrier right? Data could be raw and dispersed. Um Sometimes you just have to take the hard road and um and to get insight And this is 1 1 great example. And then the last barrier is uh is has to do with sometimes when you start a project to to get insight to get uh to get answers and insight. You you realize that all the datas around you but you don't you don't seem to find the right ones to get what you need. You don't you don't seem to get the right ones. Yeah. Um here we have three quick examples of customers. 111 was it was a great example right? Where uh they were trying to build a language translator, a machine language translator between two languages. Right? By not do that. They need to get hundreds of millions of word pairs, you know, of one language compared uh with a corresponding other hundreds of millions of them. They say, well I'm going to get all these word pairs. Someone creative thought of a willing source. And you thought it was the United Nations, you see. So sometimes you think you don't have the right data with you, but there might be another source. And the willing one that could give you that data Right? The 2nd 1 has to do with uh there was uh the uh sometimes you you may just have to generate that data, interesting one. We had an autonomous car customer that collects all these data from their cars, right? Massive amounts of data, loss of sensors, collect loss of data. And uh, you know, but sometimes they don't have the data they need even after collection. For example, they may have collected the data with a car uh in in um in fine weather and collected the car driving on this highway in rain and also in stone, but never had the opportunity to collect the car in hill because that's a rare occurrence. So instead of waiting for a time where the car can dr inhale, they build a simulation you by having the car collector in snow and simulated him. So, these are some of the examples where we have customers working to overcome barriers, right? You have barriers that is associated the fact that data silo the Federated it various associated with data. That's tough to get that. They just took the hard road, right? And, and sometimes, thirdly, you just have to be creative to get the right data. You need, >>wow, I I'll tell you, I have about 100 questions based on what you just said. Uh, there's a great example, the flash crash. In fact, Michael Lewis wrote about this in his book The Flash Boys and essentially right. It was high frequency traders trying to front run the market and sending in small block trades trying to get on the front end it. So that's and they, and they chalked it up to a glitch like you said, for months. Nobody really knew what it was. So technology got us into this problem. I guess my question is, can technology help us get out of the problem? And that maybe is where AI fits in. >>Yes, yes. Uh, in fact, a lot of analytics, we went in to go back to the raw data that is highly dispersed from different sources, right, assemble them to see if you can find a material trend, right? You can see lots of trends, right? Like, uh, you know, we if if humans look at things right, we tend to see patterns in clouds, right? So sometimes you need to apply statistical analysis, um math to to be sure that what the model is seeing is is real. Right? And and that required work. That's one area. The second area is uh you know, when um uh there are times when you you just need to to go through that uh that tough approach to to find the answer. Now, the issue comes to mind now is is that humans put in the rules to decide what goes into a report that everybody sees. And in this case uh before the change in the rules. Right? But by the way, after the discovery, uh authorities change the rules and all all shares, all traits of different any sizes. It has to be reported. No. Yeah. Right. But the rule was applied uh you know, to say earlier that shares under 100 trades under 100 shares need not be reported. So sometimes you just have to understand that reports were decided by humans and and under for understandable reasons. I mean they probably didn't want that for various reasons not to put everything in there so that people could still read it uh in a reasonable amount of time. But uh we need to understand that rules were being put in by humans for the reports we read. And as such there are times you just need to go back to the raw data. >>I want to ask, >>it's gonna be tough. >>Yeah. So I want to ask a question about AI is obviously it's in your title and it's something you know a lot about but and I want to make a statement, you tell me if it's on point or off point. So it seems that most of the Ai going on in the enterprise is modeling data science applied to troves of data but but there's also a lot of ai going on in consumer whether it's you know, fingerprint technology or facial recognition or natural language processing will a two part question will the consumer market as has so often in the enterprise sort of inform us uh the first part and then will there be a shift from sort of modeling if you will to more you mentioned autonomous vehicles more ai influencing in real time. Especially with the edge you can help us understand that better. >>Yeah, it's a great question. Right. Uh there are three stages to just simplify, I mean, you know, it's probably more sophisticated than that but let's simplify three stages. All right. To to building an Ai system that ultimately can predict, make a prediction right or to to assist you in decision making, have an outcome. So you start with the data massive amounts of data that you have to decide what to feed the machine with. So you feed the machine with this massive chunk of data and the machine uh starts to evolve a model based on all the data is seeing. It starts to evolve right to the point that using a test set of data that you have separately kept a site that you know the answer for. Then you test the model uh you know after you trained it with all that data to see whether it's prediction accuracy is high enough and once you are satisfied with it, you you then deploy the model to make the decision and that's the influence. Right? So a lot of times depend on what what we are focusing on. We we um in data science are we working hard on assembling the right data to feed the machine with, That's the data preparation organization work. And then after which you build your models, you have to pick the right models for the decisions and prediction you wanted to make. You pick the right models and then you start feeding the data with it. Sometimes you you pick one model and the prediction isn't that robust, it is good but then it is not consistent right now. What you do is uh you try another model so sometimes it's just keep trying different models until you get the right kind. Yeah, that gives you a good robust decision making and prediction after which It is tested well Q eight. You would then take that model and deploy it at the edge. Yeah. And then at the edges is essentially just looking at new data, applying it to the model that you have trained and then that model will give you a prediction decision. Right? So uh it is these three stages. Yeah, but more and more uh your question reminds me that more and more people are thinking as the edge become more and more powerful. Can you also do learning at the edge? Right. That's the reason why we spoke about swarm learning the last time, learning at the edge as a swamp, right? Because maybe individually they may not have enough power to do so. But as a swamp they made >>is that learning from the edge? You're learning at the edge? In other words? >>Yes. >>Yeah, I understand the question. Yeah. >>That's a great question. That's a great question. Right? So uh the quick answer is learning at the edge, right? Uh and and also from the edge, but the main goal, right? The goal is to learn at the edge so that you don't have to move the data that the edge sees first back to the cloud or the core to do the learning because that would be the reason. One of the main reasons why you want to learn at the edge, right? Uh So so that you don't need to have to send all that data back and assemble it back from all the different Edge devices, assemble it back to the cloud side to to do the learning right. With someone you can learn it and keep the data at the edge and learn at that point. >>And then maybe only selectively send the autonomous vehicle example you gave us great because maybe there, you know, there may be only persisting, they're not persisting data that is inclement weather or when a deer runs across the front. And then maybe they they do that and then they send that smaller data set back and maybe that's where it's modelling done. But the rest can be done at the edges. It's a new world that's coming down. Let me ask you a question, is there a limit to what data should be collected and how it should be collected? >>That's a great question again, you know uh wow today, full of these uh insightful questions that actually touches on the second challenge. Right? How do we uh in order to thrive in this new age of insight? The second challenge is are you know the is our future challenge, right? What do we do for our future? And and in there is uh the statement we make is we have to focus on collecting data strategically for the future of our enterprise. And within that I talk about what to collect right? When to organize it when you collect and where will your data be, you know, going forward that you are collecting from? So what, when and where for the what data for the what data to collect? That? That was the question you ask. Um it's it's a question that different industries have to ask themselves because it will vary, right? Um Let me give you the, you use the autonomous car example, let me use that. And We have this customer collecting massive amounts of data. You know, we're talking about 10 petabytes a day from the fleet of their cars. And these are not production autonomous cars, right? These are training autonomous cars, collecting data so they can train and eventually deploy commercial cars. Right? Um, so this data collection cars they collect as a fleet of them collect 10 petabytes a day and when it came to us uh building a storage system yeah, to store all of that data, they realized they don't want to afford to store all of it. Now here comes the dilemma, right? Should what should I after I spent so much effort building all these cars and sensors and collecting data, I've now decide what to delete. That's a dilemma right now in working with them on this process of trimming down what they collected. You know, I'm constantly reminded of the sixties and seventies, right? To remind myself 16 seventies we call a large part of our D. N. A junk DNA. Today we realize that a large part of that what we call john has function as valuable function. They are not jeans, but they regulate the function of jeans, you know? So, so what's jumped in the yesterday could be valuable today or what's junk today could be valuable tomorrow. Right? So, so there's this tension going on right between you decided not wanting to afford to store everything that you can get your hands on. But on the other hand, you you know, you worry you you you ignore the wrong ones, right? You can see this tension in our customers, right? And it depends on industry here. Right? In health care, they say I have no choice. I I want it. All right. One very insightful point brought up by one health care provider that really touched me was, you know, we are not we don't only care. Of course we care a lot. We care a lot about the people we are caring for, right? But you also care for the people were not caring for. How do we find them? Mhm. Right. And that therefore they did not just need to collect data that is uh that they have with from their patients. They also need to reach out right to outside data so that they can figure out who they are not caring for. Right? So they want it all. So I tell us them. So what do you do with funding if you want it all? They say they have no choice but to figure out a way to fund it and perhaps monetization of what they have now is the way to come around and find out. Of course they also come back to us rightfully that, you know, we have to then work out a way to help them build that system, you know, so that health care, right? And and if you go to other industries like banking, they say they can't afford to keep them on, but they are regulated. Seems like healthcare, they are regulated as to uh privacy and such. Like so many examples different industries having different needs but different approaches to how what they collect. But there is this constant tension between um you perhaps deciding not wanting to fund all of that uh all that you can stall right on the other hand, you know, if you if you kind of don't want to afford it and decide not to store some uh if he does some become highly valuable in the future right? Don't worry. >>We can make some assumptions about the future, can't we? I mean, we know there's gonna be a lot more data than than we've ever seen before. We know that we know. Well notwithstanding supply constraints on things like nand, we know the prices of storage is gonna continue to decline. We also know and not a lot of people are really talking about this but the processing power but he says moore's law is dead. Okay, it's waning. But the processing power when you combine the Cpus and N. P. U. S. And Gpus and accelerators and and so forth actually is is increasing. And so when you think about these use cases at the edge, you're going to have much more processing power, you're going to have cheaper storage and it's going to be less expensive processing. And so as an ai practitioner, what can you do with that? >>So the amount of data that's gonna come in, it's gonna we exceed right? Our drop in storage costs are increasing computer power. Right? So what's the answer? Right? So so the the answer must be knowing that we don't and and even the drop in price and increase in bandwidth, it will overwhelm the increased five G will overwhelm five G. Right? Given amount 55 billion of them collecting. Right? So the answer must be that there might need to be a balance between you needing to bring all that data from the 55 billion devices data back to a central as a bunch of central. Cause because you may not be able to afford to do that firstly band with even with five G. M and and SD when you'll still be too expensive given the number of devices out there, Were you given storage costs dropping? You'll still be too expensive to try and store them all. So the answer must be to start at least to mitigate the problem to some leave both a lot of the data out there. Right? And only send back the pertinent ones as you said before. But then if you did that, then how are we gonna do machine learning at the core and the cloud side? If you don't have all the data, you want rich data to train with. Right? Some sometimes you wanna mix of the uh positive type data and the negative type data so you can train the machine in a more balanced way. So the answer must be eventually right. As we move forward with these huge number of devices out of the edge to do machine learning at the edge today, we don't have enough power. Right? The edge typically is characterized by a lower uh energy capability and therefore lower compute power. But soon, you know, even with lower energy they can do more with compute power, improving in energy efficiency, Right? Uh So learning at the edge today we do influence at the edge. So we data model deploy and you do in France at the age, that's what we do today. But more and more I believe given a massive amount of data at the edge, you, you have to have to start doing machine learning at the edge and, and if when you don't have enough power then you aggregate multiple devices, compute power into a swamp and learn as a swan. >>Oh, interesting. So now of course, if, if I were sitting and fly, fly on the wall in hp board meeting, I said okay. HB is as a leading provider of compute how do you take advantage of that? I mean we're going, we're, I know its future, but you must be thinking about that and participating in those markets. I know today you are, you have, you know, edge line and other products. But there's, it seems to me that it's, it's not the general purpose that we've known in the past. It's a new type of specialized computing. How are you thinking about participating in that >>opportunity for the customers? The world will have to have a balance right? Where today the default? Well, the more common mode is to collect the data from the edge and train at uh at some centralized location or a number of centralized location um going forward. Given the proliferation of the edge devices, we'll need a balance. We need both. We need capability at the cloud side. Right? And it has to be hybrid and then we need capability on the edge side. Yeah. That they want to build systems that that on one hand, uh is uh edge adapted, right? Meaning the environmentally adapted because the edge different. They are on a lot of times. On the outside. Uh They need to be packaging adapted and also power adapted, right? Because typically many of these devices are battery power. Right? Um, so you have to build systems that adapt to it. But at the same time they must not be custom. That's my belief. They must be using standard processes and standard operating system so that they can run a rich set of applications. So yes. Um that's that's also the insightful for that Antonio announced in 2018 Uh the next four years from 2018, right $4 billion dollars invested to strengthen our edge portfolio. Edge product lines, Right. Edge solutions. >>I can doctor go, I could go on for hours with you. You're you're just such a great guest. Let's close. What are you most excited about in the future? Of of of it. Certainly H. P. E. But the industry in general. >>Yeah. I think the excitement is uh the customers, right? The diversity of customers and and the diversity in a way they have approached their different problems with data strategy. So the excitement is around data strategy, right? Just like you know uh you know, the the statement made was was so was profound, right? Um And Antonio said we are in the age of insight powered by data. That's the first line, right. Uh The line that comes after that is as such were becoming more and more data centric with data, the currency. Now the next step is even more profound. That is um You know, we are going as far as saying that you know um data should not be treated as cost anymore. No. Right. But instead as an investment in a new asset class called data with value on our balance sheet, this is a this is a step change right? In thinking that is going to change the way we look at data, the way we value it. So that's a statement that this is the exciting thing because because for for me, a city of Ai right uh machine is only as intelligent as the data you feed it with data is a source of the machine learning to be intelligent. So, so that's that's why when when people start to value data, right? And and and say that it is an investment when we collect it, it is very positive for AI because an AI system gets intelligent, get more intelligence because it has a huge amounts of data and the diversity of data. So it would be great if the community values values data. Well, >>you certainly see it in the valuations of many companies these days. Um and I think increasingly you see it on the income statement, you know, data products and people monetizing data services and maybe eventually you'll see it in the in the balance. You know, Doug Laney, when he was a gardener group wrote a book about this and a lot of people are thinking about it. That's a big change, isn't it? Dr >>yeah. Question is is the process and methods evaluation right. But I believe we'll get there, we need to get started and then we'll get there. Believe >>doctor goes on >>pleasure. And yeah. And then the Yeah, I will well benefit greatly from it. >>Oh yeah, no doubt people will better understand how to align you know, some of these technology investments, Doctor goes great to see you again. Thanks so much for coming back in the cube. It's been a real pleasure. >>Yes. A system. It's only as smart as the data you feed it with. >>Excellent. We'll leave it there, thank you for spending some time with us and keep it right there for more great interviews from HP discover 21 this is Dave Volonte for the cube. The leader in enterprise tech coverage right back

>>Welcome back to HPD discovered 2021 the cubes virtual coverage, continuous coverage of H P. S H. P. S. Annual customer event. My name is Dave Volonte and we're going to dive into the intersection of high performance computing data and AI with DR Eng limb go who is the senior vice president and CTO for AI at Hewlett Packard enterprise Doctor go great to see you again. Welcome back to the cube. >>Hello Dave, Great to talk to you again. >>You might remember last year we talked a lot about swarm intelligence and how AI is evolving. Of course you hosted the day two keynotes here at discover you talked about thriving in the age of insights and how to craft a data centric strategy and you addressed you know some of the biggest problems I think organizations face with data that's You got a data is plentiful but insights they're harder to come by. And you really dug into some great examples in retail banking and medicine and health care and media. But stepping back a little bit with zoom out on discovered 21, what do you make of the events so far? And some of your big takeaways? >>Mm Well you started with the insightful question, right? Yeah. Data is everywhere then. But we like the insight. Right? That's also part of the reason why that's the main reason why you know Antonio on day one focused and talked about that. The fact that we are now in the age of insight. Right? Uh and and uh and and how to thrive thrive in that in this new age. What I then did on the day to kino following Antonio is to talk about the challenges that we need to overcome in order in order to thrive in this new age. >>So maybe we could talk a little bit about some of the things that you took away in terms I'm specifically interested in some of the barriers to achieving insights when you know customers are drowning in data. What do you hear from customers? What we take away from some of the ones you talked about today? >>Oh, very pertinent question. Dave you know the two challenges I spoke about right now that we need to overcome in order to thrive in this new age. The first one is is the current challenge and that current challenge is uh you know stated is you know, barriers to insight, you know when we are awash with data. So that's a statement right? How to overcome those barriers. What are the barriers of these two insight when we are awash in data? Um I in the data keynote I spoke about three main things. Three main areas that received from customers. The first one, the first barrier is in many with many of our customers. A data is siloed. All right. You know, like in a big corporation you've got data siloed by sales, finance, engineering, manufacturing, and so on, uh supply chain and so on. And uh, there's a major effort ongoing in many corporations to build a federation layer above all those silos so that when you build applications above they can be more intelligent. They can have access to all the different silos of data to get better intelligence and more intelligent applications built. So that was the that was the first barrier we spoke about barriers to incite when we are washed with data. The second barrier is uh, that we see amongst our customers is that uh data is raw and dispersed when they are stored and and uh and you know, it's tough to get tough to to get value out of them. Right? And I in that case I I used the example of uh you know the May 6 2010 event where the stock market dropped a trillion dollars in in tens of ministerial. We we all know those who are financially attuned with know about this uh incident But this is not the only incident. There are many of them out there and for for that particular May six event uh you know, it took a long time to get insight months. Yeah before we for months we had no insight as to what happened, why it happened, right. Um and and there were many other incidences like this. And the regulators were looking for that one rule that could, that could mitigate many of these incidences. Um one of our customers decided to take the hard road go with the tough data right? Because data is rolling dispersed. So they went into all the different feeds of financial transaction information. Uh took the took the tough uh took the tough road and analyze that data took a long time to assemble and they discovered that there was court stuffing right? That uh people were sending a lot of traits in and then cancelling them almost immediately. You have to manipulate the market. Um And why why why didn't we see it immediately? Well the reason is the process reports that everybody sees uh rule in there that says all trades. Less than 100 shares don't need to report in there. And so what people did was sending a lot of less than 103 100 100 shares trades uh to fly under the radar to do this manipulation. So here is here the second barrier right? Data could be raw and dispersed. Um Sometimes you just have to take the hard road and um and to get insight And this is 1 1 great example. And then the last barrier is uh is has to do with sometimes when you start a project to to get insight to get uh to get answers and insight. You you realize that all the datas around you but you don't you don't seem to find the right ones To get what you need. You don't you don't seem to get the right ones. Yeah. Um here we have three quick examples of customers. 111 was it was a great example right? Where uh they were trying to build a language translator, a machine language translator between two languages. Right? But not do that. They need to get hundreds of millions of word pairs, you know, of one language compared uh with the corresponding other hundreds of millions of them. They say we are going to get all these word pairs. Someone creative thought of a willing source and a huge, so it was a United Nations you see. So sometimes you think you don't have the right data with you, but there might be another source and a willing one that could give you that data right. The second one has to do with uh there was uh the uh sometimes you you may just have to generate that data, interesting one. We had an autonomous car customer that collects all these data from their cars, right, massive amounts of data, loss of senses, collect loss of data. And uh you know, but sometimes they don't have the data they need even after collection. For example, they may have collected the data with a car uh in in um in fine weather and collected the car driving on this highway in rain and also in stone, but never had the opportunity to collect the car in hale because that's a rare occurrence. So instead of waiting for a time where the car can dr inhale, they build a simulation you by having the car collector in snow and simulated him. So these are some of the examples where we have customers working to overcome barriers, right? You have barriers that is associated the fact that data is silo Federated, it various associated with data. That's tough to get that. They just took the hard road, right? And sometimes, thirdly, you just have to be creative to get the right data you need, >>wow, I tell you, I have about 100 questions based on what you just said. Uh, there's a great example, the flash crash. In fact, Michael Lewis wrote about this in his book, The Flash Boys and essentially right. It was high frequency traders trying to front run the market and sending in small block trades trying to get on the front end it. So that's and they, and they chalked it up to a glitch like you said, for months, nobody really knew what it was. So technology got us into this problem. I guess my question is, can technology help us get out of the problem? And that maybe is where AI fits in. >>Yes, yes. Uh, in fact, a lot of analytics, we went in, uh, to go back to the raw data that is highly dispersed from different sources, right, assemble them to see if you can find a material trend, right? You can see lots of trends right? Like, uh, you know, we, if if humans look at things right, we tend to see patterns in clouds, right? So sometimes you need to apply statistical analysis, um math to be sure that what the model is seeing is is real. Right? And and that required work. That's one area. The second area is uh you know, when um uh there are times when you you just need to to go through that uh that tough approach to to find the answer. Now, the issue comes to mind now is is that humans put in the rules to decide what goes into a report that everybody sees in this case uh before the change in the rules. Right? But by the way, after the discovery, the authorities change the rules and all all shares, all traits of different any sizes. It has to be reported. No. Yeah. Right. But the rule was applied uh you know, to say earlier that shares under 100 trades under 100 shares need not be reported. So sometimes you just have to understand that reports were decided by humans and and under for understandable reasons. I mean they probably didn't want that for various reasons not to put everything in there so that people could still read it uh in a reasonable amount of time. But uh we need to understand that rules were being put in by humans for the reports we read. And as such, there are times you just need to go back to the raw data. >>I want to ask, >>albeit that it's gonna be tough. >>Yeah. So I want to ask a question about AI is obviously it's in your title and it's something you know a lot about but and I want to make a statement, you tell me if it's on point or off point. So it seems that most of the Ai going on in the enterprise is modeling data science applied to troves of data >>but >>but there's also a lot of ai going on in consumer whether it's you know, fingerprint technology or facial recognition or natural language processing. Will a two part question will the consumer market has so often in the enterprise sort of inform us uh the first part and then will there be a shift from sort of modeling if you will to more you mentioned autonomous vehicles more ai influencing in real time. Especially with the edge. She can help us understand that better. >>Yeah, it's a great question. Right. Uh there are three stages to just simplify, I mean, you know, it's probably more sophisticated than that but let's simplify three stages. All right. To to building an Ai system that ultimately can predict, make a prediction right or to to assist you in decision making, have an outcome. So you start with the data massive amounts data that you have to decide what to feed the machine with. So you feed the machine with this massive chunk of data and the machine uh starts to evolve a model based on all the data is seeing. It starts to evolve right to the point that using a test set of data that you have separately campus site that you know the answer for. Then you test the model uh you know after you trained it with all that data to see whether it's prediction accuracy is high enough and once you are satisfied with it, you you then deploy the model to make the decision and that's the influence. Right? So a lot of times depend on what what we are focusing on. We we um in data science are we working hard on assembling the right data to feed the machine with, That's the data preparation organization work. And then after which you build your models, you have to pick the right models for the decisions and prediction you wanted to make. You pick the right models and then you start feeding the data with it. Sometimes you you pick one model and the prediction isn't that robust, it is good but then it is not consistent right now what you do is uh you try another model so sometimes it's just keep trying different models until you get the right kind. Yeah, that gives you a good robust decision making and prediction after which It is tested well Q eight. You would then take that model and deploy it at the edge. Yeah. And then at the edges is essentially just looking at new data, applying it to the model, you're you're trained and then that model will give you a prediction decision. Right? So uh it is these three stages. Yeah, but more and more uh you know, your question reminds me that more and more people are thinking as the edge become more and more powerful. Can you also do learning at the edge? Right. That's the reason why we spoke about swarm learning the last time, learning at the edge as a swamp, right? Because maybe individually they may not have enough power to do so. But as a swampy me, >>is that learning from the edge or learning at the edge? In other words? Yes. Yeah. Question Yeah. >>That's a great question. That's a great question. Right? So uh the quick answer is learning at the edge, right? Uh and also from the edge, but the main goal, right? The goal is to learn at the edge so that you don't have to move the data that the Edge sees first back to the cloud or the core to do the learning because that would be the reason. One of the main reasons why you want to learn at the edge, right? Uh So so that you don't need to have to send all that data back and assemble it back from all the different edge devices, assemble it back to the cloud side to to do the learning right? With swampland. You can learn it and keep the data at the edge and learn at that point. >>And then maybe only selectively send the autonomous vehicle example you gave us. Great because maybe there, you know, there may be only persisting, they're not persisting data that is inclement weather or when a deer runs across the front and then maybe they they do that and then they send that smaller data set back and maybe that's where it's modelling done. But the rest can be done at the edges. It's a new world that's coming down. Let me ask you a question, is there a limit to what data should be collected and how it should be collected? >>That's a great question again. You know uh wow today, full of these uh insightful questions that actually touches on the second challenge. Right? How do we uh in order to thrive in this new age of inside? The second challenge is are you know the is our future challenge, right? What do we do for our future? And and in there is uh the statement we make is we have to focus on collecting data strategically for the future of our enterprise. And within that I talk about what to collect right? When to organize it when you collect and then where will your data be, you know going forward that you are collecting from? So what, when and where for the what data for the what data to collect? That? That was the question you ask. Um it's it's a question that different industries have to ask themselves because it will vary, right? Um let me give you the you use the autonomous car example, let me use that. And you have this customer collecting massive amounts of data. You know, we're talking about 10 petabytes a day from the fleet of their cars. And these are not production autonomous cars, right? These are training autonomous cars collecting data so they can train and eventually deploy commercial cars, right? Um so this data collection cars they collect as a fleet of them collect temporal bikes a day. And when it came to us building a storage system to store all of that data, they realized they don't want to afford to store all of it. Now, here comes the dilemma, right? What should I after I spent so much effort building all these cars and sensors and collecting data, I've now decide what to delete. That's a dilemma right now in working with them on this process of trimming down what they collected. You know, I'm constantly reminded of the sixties and seventies, right? To remind myself 60 and seventies, we call a large part of our D. N. A junk DNA. Today. We realize that a large part of that what we call john has function as valuable function. They are not jeans, but they regulate the function of jeans, you know, So, so what's jump in the yesterday could be valuable today or what's junk today could be valuable tomorrow, Right? So, so there's this tension going on right between you decided not wanting to afford to store everything that you can get your hands on. But on the other hand, you you know, you worry you you you ignore the wrong ones, right? You can see this tension in our customers, right? And it depends on industry here, right? In health care, they say I have no choice. I I want it. All right. One very insightful point brought up by one health care provider that really touched me was, you know, we are not we don't only care. Of course we care a lot. We care a lot about the people we are caring for, right? But you also care for the people were not caring for. How do we find them? Mhm. Right. And that therefore, they did not just need to collect data. That is that they have with from their patients. They also need to reach out right to outside data so that they can figure out who they are not caring for, right? So they want it all. So I tell us them, so what do you do with funding if you want it all? They say they have no choice but to figure out a way to fund it and perhaps monetization of what they have now is the way to come around and find that. Of course they also come back to us rightfully that you know, we have to then work out a way to help them build that system, you know? So that's health care, right? And and if you go to other industries like banking, they say they can't afford to keep them off, but they are regulated, seems like healthcare, they are regulated as to uh privacy and such. Like so many examples different industries having different needs, but different approaches to how what they collect. But there is this constant tension between um you perhaps deciding not wanting to fund all of that uh all that you can store, right? But on the other hand, you know, if you if you kind of don't want to afford it and decide not to store some uh if he does some become highly valuable in the future, right? Yeah. >>We can make some assumptions about the future, can't we? I mean, we know there's gonna be a lot more data than than we've ever seen before. We know that we know well notwithstanding supply constraints on things like nand. We know the prices of storage is going to continue to decline. We also know, and not a lot of people are really talking about this but the processing power but he says moore's law is dead okay. It's waning. But the processing power when you combine the Cpus and NP US and GPUS and accelerators and and so forth actually is is increasing. And so when you think about these use cases at the edge, you're going to have much more processing power, you're gonna have cheaper storage and it's going to be less expensive processing And so as an ai practitioner, what can you do with that? >>Yeah, it's highly again, another insightful questions that we touched on our keynote and that that goes up to the why I do the where? Right, When will your data be? Right. We have one estimate that says that by next year there will be 55 billion connected devices out there. Right. 55 billion. Right. What's the population of the world? Of the other? Of 10 billion? But this thing is 55 billion. Right? Uh and many of them, most of them can collect data. So what do you what do you do? Right. Um So the amount of data that's gonna come in, it's gonna weigh exceed right? Our drop in storage costs are increasing computer power. Right? So what's the answer? Right. So, so the the answer must be knowing that we don't and and even the drop in price and increase in bandwidth, it will overwhelm the increased five G will overwhelm five G. Right? Given amount 55 billion of them collecting. Right? So, the answer must be that there might need to be a balance between you needing to bring all that data from the 55 billion devices of data back to a central as a bunch of central Cause because you may not be able to afford to do that firstly band with even with five G. M and and SD when you'll still be too expensive given the number of devices out there. Were you given storage cause dropping will still be too expensive to try and store them all. So the answer must be to start at least to mitigate the problem to some leave both a lot of the data out there. Right? And only send back the pertinent ones as you said before. But then if you did that, then how are we gonna do machine learning at the core and the cloud side? If you don't have all the data you want rich data to train with. Right? Some sometimes you want a mix of the uh positive type data and the negative type data so you can train the machine in a more balanced way. So the answer must be eventually right. As we move forward with these huge number of devices out of the edge to do machine learning at the edge. Today, we don't have enough power. Right? The edge typically is characterized by a lower uh, energy capability and therefore lower compute power. But soon, you know, even with lower energy, they can do more with compute power improving in energy efficiency, Right? Uh, so learning at the edge today, we do influence at the edge. So we data model deploy and you do influence at the age, that's what we do today. But more and more, I believe, given a massive amount of data at the edge, you you have to have to start doing machine learning at the edge. And and if when you don't have enough power, then you aggregate multiple devices, compute power into a swamp and learn as a swan, >>interesting. So now, of course, if I were sitting and fly on the wall in HP board meeting, I said, okay, HP is as a leading provider of compute, how do you take advantage of that? I mean, we're going, I know it's future, but you must be thinking about that and participating in those markets. I know today you are you have, you know, edge line and other products. But there's it seems to me that it's it's not the general purpose that we've known in the past. It's a new type of specialized computing. How are you thinking about participating in that >>opportunity for your customers? Uh the world will have to have a balance right? Where today the default, Well, the more common mode is to collect the data from the edge and train at uh at some centralized location or a number of centralized location um going forward. Given the proliferation of the edge devices, we'll need a balance. We need both. We need capability at the cloud side. Right. And it has to be hybrid. And then we need capability on the edge side. Yeah. That they want to build systems that that on one hand, uh is uh edge adapted, right? Meaning the environmentally adapted because the edge different they are on a lot of times on the outside. Uh They need to be packaging adapted and also power adapted, right? Because typically many of these devices are battery powered. Right? Um so you have to build systems that adapt to it, but at the same time they must not be custom. That's my belief. They must be using standard processes and standard operating system so that they can run rich a set of applications. So yes. Um that's that's also the insightful for that Antonio announced in 2018, Uh the next four years from 2018, right, $4 billion dollars invested to strengthen our edge portfolio, edge product lines, right Edge solutions. >>I get a doctor go. I could go on for hours with you. You're you're just such a great guest. Let's close what are you most excited about in the future of of of it? Certainly H. P. E. But the industry in general. >>Yeah I think the excitement is uh the customers right? The diversity of customers and and the diversity in a way they have approached their different problems with data strategy. So the excitement is around data strategy right? Just like you know uh you know the the statement made was was so was profound. Right? Um And Antonio said we are in the age of insight powered by data. That's the first line right? The line that comes after that is as such were becoming more and more data centric with data the currency. Now the next step is even more profound. That is um you know we are going as far as saying that you know um data should not be treated as cost anymore. No right. But instead as an investment in a new asset class called data with value on our balance sheet, this is a this is a step change right in thinking that is going to change the way we look at data the way we value it. So that's a statement that this is the exciting thing because because for for me a city of AI right uh machine is only as intelligent as the data you feed it with. Data is a source of the machine learning to be intelligent. So so that's that's why when when people start to value data right? And and and say that it is an investment when we collect it. It is very positive for ai because an Ai system gets intelligent, more intelligence because it has a huge amounts of data and the diversity of data. So it'd be great if the community values values data. Well >>you certainly see it in the valuations of many companies these days. Um and I think increasingly you see it on the income statement, you know data products and people monetizing data services and maybe eventually you'll see it in the in the balance. You know Doug Laney when he was a gardener group wrote a book about this and a lot of people are thinking about it. That's a big change isn't it? Dr >>yeah. Question is is the process and methods evaluation. Right. But uh I believe we'll get there, we need to get started then we'll get their belief >>doctor goes on and >>pleasure. And yeah and then the yeah I will will will will benefit greatly from it. >>Oh yeah, no doubt people will better understand how to align you know, some of these technology investments, Doctor goes great to see you again. Thanks so much for coming back in the cube. It's been a real pleasure. >>Yes. A system. It's only as smart as the data you feed it with. >>Excellent. We'll leave it there. Thank you for spending some time with us and keep it right there for more great interviews from HP discover 21. This is dave a lot for the cube. The leader in enterprise tech coverage right back.

(upbeat music) >> Welcome back to HPE Discover 2021, theCube's virtual coverage, continuous coverage of HPE's annual customer event. My name is Dave Vellante and we're going to dive into the intersection of high-performance computing, data and AI with Dr. Eng Lim Goh who's a Senior Vice President and CTO for AI at Hewlett Packard Enterprise. Dr. Goh, great to see you again. Welcome back to theCube. >> Hey, hello, Dave. Great to talk to you again. >> You might remember last year we talked a lot about swarm intelligence and how AI is evolving. Of course you hosted the Day 2 keynotes here at Discover. And you talked about thriving in the age of insights and how to craft a data-centric strategy and you addressed some of the biggest problems I think organizations face with data. And that's, you got to look, data is plentiful, but insights, they're harder to come by and you really dug into some great examples in retail, banking, and medicine and healthcare and media. But stepping back a little bit we'll zoom out on Discover '21, you know, what do you make of the events so far and some of your big takeaways? >> Hmm, well, you started with the insightful question. Data is everywhere then but we lack the insight. That's also part of the reason why that's a main reason why, Antonio on Day 1 focused and talked about that, the fact that we are in the now in the age of insight and how to thrive in this new age. What I then did on the Day 2 keynote following Antonio is to talk about the challenges that we need to overcome in order to thrive in this new age. >> So maybe we could talk a little bit about some of the things that you took away in terms of, I'm specifically interested in some of the barriers to achieving insights when you know customers are drowning in data. What do you hear from customers? What were your takeaway from some of the ones you talked about today? >> Very pertinent question, Dave. You know, the two challenges I spoke about how to, that we need to overcome in order to thrive in this new age, the first one is the current challenge. And that current challenge is, you know state of this, you know, barriers to insight, when we are awash with data. So that's a statement. How to overcome those barriers. One of the barriers to insight when we are awash in data, in the Day 2 keynote, I spoke about three main things, three main areas that receive from customers. The first one, the first barrier is with many of our customers, data is siloed. You know, like in a big corporation, you've got data siloed by sales, finance, engineering, manufacturing, and so on supply chain and so on. And there's a major effort ongoing in many corporations to build a Federation layer above all those silos so that when you build applications above they can be more intelligent. They can have access to all the different silos of data to get better intelligence and more intelligent applications built. So that was the first barrier we spoke about, you know, barriers to insight when we are awash with data. The second barrier is that we see amongst our customers is that data is raw and disperse when they are stored. And it's tough to get to value out of them. In that case I use the example of the May 6, 2010 event where the stock market dropped a trillion dollars in tens of minutes. We all know those who are financially attuned with, know about this incident. But that this is not the only incident. There are many of them out there. And for that particular May 6, event, you know it took a long time to get insight, months, yeah, before we, for months we had no insight as to what happened, why it happened. And there were many other incidences like this and the regulators were looking for that one rule that could mitigate many of these incidences. One of our customers decided to take the hard road to go with the tough data. Because data is raw and dispersed. So they went into all the different feeds of financial transaction information, took the tough, you know, took a tough road and analyze that data took a long time to assemble. And he discovered that there was quote stuffing. That people were sending a lot of trades in and then canceling them almost immediately. You have to manipulate the market. And why didn't we see it immediately? Well, the reason is the process reports that everybody sees had the rule in there that says all trades less than 100 shares don't need to report in there. And so what people did was sending a lot of less than 100 shares trades to fly under the radar to do this manipulation. So here is, here the second barrier. Data could be raw and disperse. Sometimes it's just have to take the hard road and to get insight. And this is one great example. And then the last barrier has to do with sometimes when you start a project to get insight, to get answers and insight, you realize that all the data's around you, but you don't seem to find the right ones to get what you need. You don't seem to get the right ones, yeah. Here we have three quick examples of customers. One was a great example where they were trying to build a language translator a machine language translator between two languages. But in order to do that they need to get hundreds of millions of word pairs of one language compare with the corresponding other hundreds of millions of them. They say, "Where I'm going to get all these word pairs?" Someone creative thought of a willing source and huge source, it was a United Nations. You see, so sometimes you think you don't have the right data with you, but there might be another source and a willing one that could give you that data. The second one has to do with, there was the, sometimes you may just have to generate that data. Interesting one. We had an autonomous car customer that collects all these data from their cars. Massive amounts of data, lots of sensors, collect lots of data. And, you know, but sometimes they don't have the data they need even after collection. For example, they may have collected the data with a car in fine weather and collected the car driving on this highway in rain and also in snow. But never had the opportunity to collect the car in hail because that's a rare occurrence. So instead of waiting for a time where the car can drive in hail, they build a simulation by having the car collected in snow and simulated hail. So these are some of the examples where we have customers working to overcome barriers. You have barriers that is associated with the fact, that data silo, if federated barriers associated with data that's tough to get at. They just took the hard road. And sometimes thirdly, you just have to be creative to get the right data you need. >> Wow, I tell you, I have about 100 questions based on what you just said. And as a great example, the flash crash in fact Michael Lewis wrote about this in his book, the "Flash Boys" and essentially. It was high frequency traders trying to front run the market and sending in small block trades trying to get sort of front ended. So that's, and they chalked it up to a glitch. Like you said, for months, nobody really knew what it was. So technology got us into this problem. Can I guess my question is can technology help us get get out of the problem? And that maybe is where AI fits in. >> Yes. Yes. In fact, a lot of analytics work went in to go back to the raw data that is highly dispersed from different sources, assemble them to see if you can find a material trend. You can see lots of trends. Like, no, we, if humans at things we tend to see patterns in clouds. So sometimes you need to apply statistical analysis, math to be sure that what the model is seeing is real. And that required work. That's one area. The second area is, you know, when this, there are times when you just need to go through that tough approach to find the answer. Now, the issue comes to mind now is that humans put in the rules to decide what goes into a report that everybody sees. And in this case before the change in the rules. By the way, after the discovery, the authorities changed the rules and all shares all trades of different, any sizes it has to be reported. Not, yeah. But the rule was applied to to say earlier that shares under 100, trades under 100 shares need not be reported. So sometimes you just have to understand that reports were decided by humans and for understandable reasons. I mean, they probably didn't, wanted for various reasons not to put everything in there so that people could still read it in a reasonable amount of time. But we need to understand that rules were being put in by humans for the reports we read. And as such there are times we just need to go back to the raw data. >> I want to ask you-- Or be it that it's going to be tough there. >> Yeah, so I want to ask you a question about AI as obviously it's in your title and it's something you know a lot about and I'm going to make a statement. You tell me if it's on point or off point. Seems that most of the AI going on in the enterprise is modeling data science applied to troves of data. But there's also a lot of AI going on in consumer, whether it's fingerprint technology or facial recognition or natural language processing. Will, to two-part question, will the consumer market, let's say as it has so often in the enterprise sort of inform us is sort of first part. And then will there be a shift from sort of modeling, if you will, to more, you mentioned autonomous vehicles more AI inferencing in real-time, especially with the Edge. I think you can help us understand that better. >> Yeah, this is a great question. There are three stages to just simplify, I mean, you know, it's probably more sophisticated than that, but let's just simplify there're three stages to building an AI system that ultimately can predict, make a prediction. Or to assist you in decision-making, have an outcome. So you start with the data, massive amounts of data that you have to decide what to feed the machine with. So you feed the machine with this massive chunk of data. And the machine starts to evolve a model based on all the data is seeing it starts to evolve. To a point that using a test set of data that you have separately kept a site that you know the answer for. Then you test the model, you know after you're trained it with all that data to see whether his prediction accuracy is high enough. And once you are satisfied with it, you then deploy the model to make the decision and that's the inference. So a lot of times depending on what we are focusing on. We in data science are we working hard on assembling the right data to feed the machine with? That's the data preparation organization work. And then after which you build your models you have to pick the right models for the decisions and prediction you wanted to make. You pick the right models and then you start feeding the data with it. Sometimes you pick one model and a prediction isn't that a robust, it is good, but then it is not consistent. Now what you do is you try another model. So sometimes you just keep trying different models until you get the right kind, yeah, that gives you a good robust decision-making and prediction. Now, after which, if it's tested well, Q8 you will then take that model and deploy it at the Edge, yeah. And then at the Edge is essentially just looking at new data applying it to the model that you have trained and then that model will give you a prediction or a decision. So it is these three stages, yeah. But more and more, your question reminds me that more and more people are thinking as the Edge become more and more powerful, can you also do learning at the Edge? That's the reason why we spoke about swarm learning the last time, learning at the Edge as a swarm. Because maybe individually they may not have enough power to do so, but as a swarm, they may. >> Is that learning from the Edge or learning at the Edge. In other words, is it-- >> Yes. >> Yeah, you don't understand my question, yeah. >> That's a great question. That's a great question. So answer is learning at the Edge, and also from the Edge, but the main goal, the goal is to learn at the Edge so that you don't have to move the data that Edge sees first back to the Cloud or the call to do the learning. Because that would be the reason, one of the main reasons why you want to learn at the Edge. So that you don't need to have to send all that data back and assemble it back from all the different Edge devices assemble it back to the Cloud side to do the learning. With swarm learning, you can learn it and keep the data at the Edge and learn at that point, yeah. >> And then maybe only selectively send the autonomous vehicle example you gave is great 'cause maybe they're, you know, there may be only persisting. They're not persisting data that is an inclement weather, or when a deer runs across the front and then maybe they do that and then they send that smaller data set back and maybe that's where it's modeling done but the rest can be done at the Edge. It's a new world that's coming to, let me ask you a question. Is there a limit to what data should be collected and how it should be collected? >> That's a great question again, yeah, well, today full of these insightful questions that actually touches on the second challenge. How do we, to in order to thrive in this new age of insight. The second challenge is our future challenge. What do we do for our future? And in there is the statement we make is we have to focus on collecting data strategically for the future of our enterprise. And within that, I talk about what to collect, and when to organize it when you collect, and then where will your data be going forward that you are collecting from? So what, when, and where. For the what data, for what data to collect that was the question you asked. It's a question that different industries have to ask themselves because it will vary. Let me give you the, you use the autonomous car example. Let me use that and you have this customer collecting massive amounts of data. You know, we talking about 10 petabytes a day from a fleet of their cars and these are not production autonomous cars. These are training autonomous cars, collecting data so they can train and eventually deploy a commercial cars. Also these data collection cars, they collect 10 as a fleet of them collect 10 petabytes a day. And then when it came to us, building a storage system to store all of that data they realize they don't want to afford to store all of it. Now here comes the dilemma. What should I, after I spent so much effort building all this cars and sensors and collecting data, I've now decide what to delete. That's a dilemma. Now in working with them on this process of trimming down what they collected. I'm constantly reminded of the 60s and 70s. To remind myself 60s and 70s, we call a large part of our DNA, junk DNA. Today we realized that a large part of that, what we call junk has function has valuable function. They are not genes but they regulate the function of genes. So what's junk in yesterday could be valuable today, or what's junk today could be valuable tomorrow. So there's this tension going on between you deciding not wanting to afford to store everything that you can get your hands on. But on the other hand, you know you worry, you ignore the wrong ones. You can see this tension in our customers. And then it depends on industry here. In healthcare they say, I have no choice. I want it all, why? One very insightful point brought up by one healthcare provider that really touched me was you know, we are not, we don't only care. Of course we care a lot. We care a lot about the people we are caring for. But we also care for the people we are not caring for. How do we find them? And therefore, they did not just need to collect data that they have with, from their patients they also need to reach out to outside data so that they can figure out who they are not caring for. So they want it all. So I asked them, "So what do you do with funding if you want it all?" They say they have no choice but they'll figure out a way to fund it and perhaps monetization of what they have now is the way to come around and fund that. Of course, they also come back to us, rightfully that you know, we have to then work out a way to to help them build a system. So that healthcare. And if you go to other industries like banking, they say they can afford to keep them all. But they are regulated same like healthcare. They are regulated as to privacy and such like. So many examples, different industries having different needs but different approaches to how, what they collect. But there is this constant tension between you perhaps deciding not wanting to fund all of that, all that you can store. But on the other hand you know, if you kind of don't want to afford it and decide not to store some, maybe those some become highly valuable in the future. You worry. >> Well, we can make some assumptions about the future, can't we? I mean we know there's going to be a lot more data than we've ever seen before, we know that. We know, well not withstanding supply constraints and things like NAND. We know the price of storage is going to continue to decline. We also know and not a lot of people are really talking about this but the processing power, everybody says, Moore's Law is dead. Okay, it's waning but the processing power when you combine the CPUs and NPUs, and GPUs and accelerators and so forth, actually is increasing. And so when you think about these use cases at the Edge you're going to have much more processing power. You're going to have cheaper storage and it's going to be less expensive processing. And so as an AI practitioner, what can you do with that? >> Yeah, it's a highly, again another insightful question that we touched on, on our keynote and that goes up to the why, I'll do the where. Where will your data be? We have one estimate that says that by next year, there will be 55 billion connected devices out there. 55 billion. What's the population of the world? Well, off the order of 10 billion, but this thing is 55 billion. And many of them, most of them can collect data. So what do you do? So the amount of data that's going to come in is going to way exceed our drop in storage costs our increasing compute power. So what's the answer? The answer must be knowing that we don't and even a drop in price and increase in bandwidth, it will overwhelm the 5G, it'll will overwhelm 5G, given the amount of 55 billion of them collecting. So the answer must be that there needs to be a balance between you needing to bring all that data from the 55 billion devices of the data back out to a central, as a bunch of central cost because you may not be able to afford to do that. Firstly bandwidth, even with 5G and as the, when you still be too expensive given the number of devices out there. You know given storage costs dropping it'll still be too expensive to try and install them all. So the answer must be to start at least to mitigate the problem to some leave most a lot of the data out there. And only send back the pertinent ones, as you said before. But then if you did that then, how are we going to do machine learning at the core and the Cloud side, if you don't have all the data you want rich data to train with. Sometimes you want to a mix of the positive type data, and the negative type data. So you can train the machine in a more balanced way. So the answer must be you eventually, as we move forward with these huge number of devices are at the Edge to do machine learning at the Edge. Today we don't even have power. The Edge typically is characterized by a lower energy capability and therefore, lower compute power. But soon, you know, even with low energy, they can do more with compute power, improving in energy efficiency. So learning at the Edge today we do inference at the Edge. So we data, model, deploy and you do inference at age. That's what we do today. But more and more, I believe given a massive amount of data at the Edge you have to have to start doing machine learning at the Edge. And if when you don't have enough power then you aggregate multiple devices' compute power into a swarm and learn as a swarm. >> Oh, interesting, so now of course, if I were sitting in a flyer flying the wall on HPE Board meeting I said, "Okay, HPE is a leading provider of compute." How do you take advantage that? I mean, we're going, I know it's future but you must be thinking about that and participating in those markets. I know today you are, you have, you know, Edge line and other products, but there's, it seems to me that it's not the general purpose that we've known in the past. It's a new type of specialized computing. How are you thinking about participating in that opportunity for your customers? >> The wall will have to have a balance. Where today the default, well, the more common mode is to collect the data from the Edge and train at some centralized location or number of centralized location. Going forward, given the proliferation of the Edge devices, we'll need a balance, we need both. We need capability at the Cloud side. And it has to be hybrid. And then we need capability on the Edge side. Yeah that we need to build systems that on one hand is Edge-adapted. Meaning they environmentally-adapted because the Edge differently are on it. A lot of times on the outside, they need to be packaging-adapted and also power-adapted. Because typically many of these devices are battery-powered. So you have to build systems that adapts to it. But at the same time, they must not be custom. That's my belief. They must be using standard processes and standard operating system so that they can run a rich set of applications. So yes, that's also the insightful for that. Antonio announced in 2018 for the next four years from 2018, $4 billion invested to strengthen our Edge portfolio our Edge product lines, Edge solutions. >> Dr. Goh, I could go on for hours with you. You're just such a great guest. Let's close. What are you most excited about in the future of certainly HPE, but the industry in general? >> Yeah, I think the excitement is the customers. The diversity of customers and the diversity in the way they have approached their different problems with data strategy. So the excitement is around data strategy. Just like, you know, the statement made for us was so, was profound. And Antonio said we are in the age of insight powered by data. That's the first line. The line that comes after that is as such we are becoming more and more data-centric with data the currency. Now the next step is even more profound. That is, you know, we are going as far as saying that data should not be treated as cost anymore, no. But instead, as an investment in a new asset class called data with value on our balance sheet. This is a step change in thinking that is going to change the way we look at data, the way we value it. So that's a statement. So this is the exciting thing, because for me a CTO of AI, a machine is only as intelligent as the data you feed it with. Data is a source of the machine learning to be intelligent. So that's why when the people start to value data and say that it is an investment when we collect it it is very positive for AI because an AI system gets intelligent, get more intelligence because it has huge amounts of data and a diversity of data. So it'd be great if the community values data. >> Well, are you certainly see it in the valuations of many companies these days? And I think increasingly you see it on the income statement, you know data products and people monetizing data services, and yeah, maybe eventually you'll see it in the balance sheet, I know. Doug Laney when he was at Gartner Group wrote a book about this and a lot of people are thinking about it. That's a big change, isn't it? Dr. Goh. >> Yeah, yeah, yeah. Your question is the process and methods in valuation. But I believe we'll get there. We need to get started and then we'll get there, I believe, yeah. >> Dr. Goh it's always my pleasure. >> And then the AI will benefit greatly from it. >> Oh yeah, no doubt. People will better understand how to align some of these technology investments. Dr. Goh, great to see you again. Thanks so much for coming back in theCube. It's been a real pleasure. >> Yes, a system is only as smart as the data you feed it with. (both chuckling) >> Well, excellent, we'll leave it there. Thank you for spending some time with us so keep it right there for more great interviews from HPE Discover '21. This is Dave Vellante for theCube, the leader in enterprise tech coverage. We'll be right back (upbeat music)

(upbeat music) >> Welcome back to HPE Discover 2021, theCUBE's virtual coverage, continuous coverage of HPE's Annual Customer Event. My name is Dave Vellante, and we're going to dive into the intersection of high-performance computing, data and AI with Doctor Eng Lim Goh, who's a Senior Vice President and CTO for AI at Hewlett Packard Enterprise. Doctor Goh, great to see you again. Welcome back to theCUBE. >> Hello, Dave, great to talk to you again. >> You might remember last year we talked a lot about Swarm intelligence and how AI is evolving. Of course, you hosted the Day 2 Keynotes here at Discover. And you talked about thriving in the age of insights, and how to craft a data-centric strategy. And you addressed some of the biggest problems, I think organizations face with data. That's, you've got a, data is plentiful, but insights, they're harder to come by. >> Yeah. >> And you really dug into some great examples in retail, banking, in medicine, healthcare and media. But stepping back a little bit we zoomed out on Discover '21. What do you make of the events so far and some of your big takeaways? >> Hmm, well, we started with the insightful question, right, yeah? Data is everywhere then, but we lack the insight. That's also part of the reason why, that's a main reason why Antonio on day one focused and talked about the fact that we are in the now in the age of insight, right? And how to try thrive in that age, in this new age? What I then did on a Day 2 Keynote following Antonio is to talk about the challenges that we need to overcome in order to thrive in this new age. >> So, maybe we could talk a little bit about some of the things that you took away in terms of, I'm specifically interested in some of the barriers to achieving insights. You know customers are drowning in data. What do you hear from customers? What were your takeaway from some of the ones you talked about today? >> Oh, very pertinent question, Dave. You know the two challenges I spoke about, that we need to overcome in order to thrive in this new age. The first one is the current challenge. And that current challenge is, you know, stated is now barriers to insight, when we are awash with data. So that's a statement on how do you overcome those barriers? What are the barriers to insight when we are awash in data? In the Day 2 Keynote, I spoke about three main things. Three main areas that we receive from customers. The first one, the first barrier is in many, with many of our customers, data is siloed, all right. You know, like in a big corporation, you've got data siloed by sales, finance, engineering, manufacturing and so on supply chain and so on. And there's a major effort ongoing in many corporations to build a federation layer above all those silos so that when you build applications above, they can be more intelligent. They can have access to all the different silos of data to get better intelligence and more intelligent applications built. So that was the first barrier we spoke about, you know? Barriers to insight when we are awash with data. The second barrier is that we see amongst our customers is that data is raw and disperse when they are stored. And you know, it's tough to get at, to tough to get a value out of them, right? And in that case, I use the example of, you know, the May 6, 2010 event where the stock market dropped a trillion dollars in terms of minutes. We all know those who are financially attuned with know about this incident but that this is not the only incident. There are many of them out there. And for that particular May 6 event, you know, it took a long time to get insight. Months, yeah, before we, for months we had no insight as to what happened. Why it happened? Right, and there were many other incidences like this and the regulators were looking for that one rule that could mitigate many of these incidences. One of our customers decided to take the hard road they go with the tough data, right? Because data is raw and dispersed. So they went into all the different feeds of financial transaction information, took the tough, you know, took a tough road. And analyze that data took a long time to assemble. And they discovered that there was caught stuffing, right? That people were sending a lot of trades in and then canceling them almost immediately. You have to manipulate the market. And why didn't we see it immediately? Well, the reason is the process reports that everybody sees, the rule in there that says, all trades less than a hundred shares don't need to report in there. And so what people did was sending a lot of less than a hundred shares trades to fly under the radar to do this manipulation. So here is the second barrier, right? Data could be raw and dispersed. Sometimes it's just have to take the hard road and to get insight. And this is one great example. And then the last barrier has to do with sometimes when you start a project to get insight, to get answers and insight, you realize that all the data's around you, but you don't seem to find the right ones to get what you need. You don't seem to get the right ones, yeah? Here we have three quick examples of customers. One was a great example, right? Where they were trying to build a language translator or machine language translator between two languages, right? By not do that, they need to get hundreds of millions of word pairs. You know of one language compare with the corresponding other. Hundreds of millions of them. They say, well, I'm going to get all these word pairs. Someone creative thought of a willing source and a huge, it was a United Nations. You see? So sometimes you think you don't have the right data with you, but there might be another source and a willing one that could give you that data, right? The second one has to do with, there was the sometimes you may just have to generate that data. Interesting one, we had an autonomous car customer that collects all these data from their their cars, right? Massive amounts of data, lots of sensors, collect lots of data. And, you know, but sometimes they don't have the data they need even after collection. For example, they may have collected the data with a car in fine weather and collected the car driving on this highway in rain and also in snow. But never had the opportunity to collect the car in hill because that's a rare occurrence. So instead of waiting for a time where the car can drive in hill, they build a simulation by having the car collected in snow and simulated him. So these are some of the examples where we have customers working to overcome barriers, right? You have barriers that is associated. In fact, that data silo, they federated it. Virus associated with data, that's tough to get at. They just took the hard road, right? And sometimes thirdly, you just have to be creative to get the right data you need. >> Wow! I tell you, I have about a hundred questions based on what you just said, you know? (Dave chuckles) And as a great example, the Flash Crash. In fact, Michael Lewis, wrote about this in his book, the Flash Boys. And essentially, right, it was high frequency traders trying to front run the market and sending into small block trades (Dave chuckles) trying to get sort of front ended. So that's, and they chalked it up to a glitch. Like you said, for months, nobody really knew what it was. So technology got us into this problem. (Dave chuckles) I guess my question is can technology help us get out of the problem? And that maybe is where AI fits in? >> Yes, yes. In fact, a lot of analytics work went in to go back to the raw data that is highly dispersed from different sources, right? Assembled them to see if you can find a material trend, right? You can see lots of trends, right? Like, no, we, if humans look at things that we tend to see patterns in Clouds, right? So sometimes you need to apply statistical analysis math to be sure that what the model is seeing is real, right? And that required, well, that's one area. The second area is you know, when this, there are times when you just need to go through that tough approach to find the answer. Now, the issue comes to mind now is that humans put in the rules to decide what goes into a report that everybody sees. Now, in this case, before the change in the rules, right? But by the way, after the discovery, the authorities changed the rules and all shares, all trades of different any sizes it has to be reported. >> Right. >> Right, yeah? But the rule was applied, you know, I say earlier that shares under a hundred, trades under a hundred shares need not be reported. So, sometimes you just have to understand that reports were decided by humans and for understandable reasons. I mean, they probably didn't wanted a various reasons not to put everything in there. So that people could still read it in a reasonable amount of time. But we need to understand that rules were being put in by humans for the reports we read. And as such, there are times we just need to go back to the raw data. >> I want to ask you... >> Oh, it could be, that it's going to be tough, yeah. >> Yeah, I want to ask you a question about AI as obviously it's in your title and it's something you know a lot about but. And I'm going to make a statement, you tell me if it's on point or off point. So seems that most of the AI going on in the enterprise is modeling data science applied to, you know, troves of data. But there's also a lot of AI going on in consumer. Whether it's, you know, fingerprint technology or facial recognition or natural language processing. Well, two part question will the consumer market, as it has so often in the enterprise sort of inform us is sort of first part. And then, there'll be a shift from sort of modeling if you will to more, you mentioned the autonomous vehicles, more AI inferencing in real time, especially with the Edge. Could you help us understand that better? >> Yeah, this is a great question, right? There are three stages to just simplify. I mean, you know, it's probably more sophisticated than that. But let's just simplify that three stages, right? To building an AI system that ultimately can predict, make a prediction, right? Or to assist you in decision-making. I have an outcome. So you start with the data, massive amounts of data that you have to decide what to feed the machine with. So you feed the machine with this massive chunk of data, and the machine starts to evolve a model based on all the data it's seeing. It starts to evolve, right? To a point that using a test set of data that you have separately kept aside that you know the answer for. Then you test the model, you know? After you've trained it with all that data to see whether its prediction accuracy is high enough. And once you are satisfied with it, you then deploy the model to make the decision. And that's the inference, right? So a lot of times, depending on what we are focusing on, we in data science are, are we working hard on assembling the right data to feed the machine with? That's the data preparation organization work. And then after which you build your models you have to pick the right models for the decisions and prediction you need to make. You pick the right models. And then you start feeding the data with it. Sometimes you pick one model and a prediction isn't that robust. It is good, but then it is not consistent, right? Now what you do is you try another model. So sometimes it gets keep trying different models until you get the right kind, yeah? That gives you a good robust decision-making and prediction. Now, after which, if it's tested well, QA, you will then take that model and deploy it at the Edge. Yeah, and then at the Edge is essentially just looking at new data, applying it to the model that you have trained. And then that model will give you a prediction or a decision, right? So it is these three stages, yeah. But more and more, your question reminds me that more and more people are thinking as the Edge become more and more powerful. Can you also do learning at the Edge? >> Right. >> That's the reason why we spoke about Swarm Learning the last time. Learning at the Edge as a Swarm, right? Because maybe individually, they may not have enough power to do so. But as a Swarm, they may. >> Is that learning from the Edge or learning at the Edge? In other words, is that... >> Yes. >> Yeah. You do understand my question. >> Yes. >> Yeah. (Dave chuckles) >> That's a great question. That's a great question, right? So the quick answer is learning at the Edge, right? And also from the Edge, but the main goal, right? The goal is to learn at the Edge so that you don't have to move the data that Edge sees first back to the Cloud or the Call to do the learning. Because that would be the reason, one of the main reasons why you want to learn at the Edge. Right? So that you don't need to have to send all that data back and assemble it back from all the different Edge devices. Assemble it back to the Cloud Site to do the learning, right? Some on you can learn it and keep the data at the Edge and learn at that point, yeah. >> And then maybe only selectively send. >> Yeah. >> The autonomous vehicle, example you gave is great. 'Cause maybe they're, you know, there may be only persisting. They're not persisting data that is an inclement weather, or when a deer runs across the front. And then maybe they do that and then they send that smaller data setback and maybe that's where it's modeling done but the rest can be done at the Edge. It's a new world that's coming through. Let me ask you a question. Is there a limit to what data should be collected and how it should be collected? >> That's a great question again, yeah. Well, today full of these insightful questions. (Dr. Eng chuckles) That actually touches on the the second challenge, right? How do we, in order to thrive in this new age of insight? The second challenge is our future challenge, right? What do we do for our future? And in there is the statement we make is we have to focus on collecting data strategically for the future of our enterprise. And within that, I talked about what to collect, right? When to organize it when you collect? And then where will your data be going forward that you are collecting from? So what, when, and where? For what data to collect? That was the question you asked, it's a question that different industries have to ask themselves because it will vary, right? Let me give you the, you use the autonomous car example. Let me use that. And we do have this customer collecting massive amounts of data. You know, we're talking about 10 petabytes a day from a fleet of their cars. And these are not production autonomous cars, right? These are training autonomous cars, collecting data so they can train and eventually deploy commercial cars, right? Also this data collection cars, they collect 10, as a fleet of them collect 10 petabytes a day. And then when they came to us, building a storage system you know, to store all of that data, they realized they don't want to afford to store all of it. Now here comes the dilemma, right? What should I, after I spent so much effort building all this cars and sensors and collecting data, I've now decide what to delete. That's a dilemma, right? Now in working with them on this process of trimming down what they collected, you know, I'm constantly reminded of the 60s and 70s, right? To remind myself 60s and 70s, we called a large part of our DNA, junk DNA. >> Yeah. (Dave chuckles) >> Ah! Today, we realized that a large part of that what we call junk has function as valuable function. They are not genes but they regulate the function of genes. You know? So what's junk in yesterday could be valuable today. Or what's junk today could be valuable tomorrow, right? So, there's this tension going on, right? Between you deciding not wanting to afford to store everything that you can get your hands on. But on the other hand, you worry, you ignore the wrong ones, right? You can see this tension in our customers, right? And then it depends on industry here, right? In healthcare they say, I have no choice. I want it all, right? Oh, one very insightful point brought up by one healthcare provider that really touched me was you know, we don't only care. Of course we care a lot. We care a lot about the people we are caring for, right? But who also care for the people we are not caring for? How do we find them? >> Uh-huh. >> Right, and that definitely, they did not just need to collect data that they have with from their patients. They also need to reach out, right? To outside data so that they can figure out who they are not caring for, right? So they want it all. So I asked them, so what do you do with funding if you want it all? They say they have no choice but to figure out a way to fund it and perhaps monetization of what they have now is the way to come around and fund that. Of course, they also come back to us rightfully, that you know we have to then work out a way to help them build a system, you know? So that's healthcare, right? And if you go to other industries like banking, they say they can afford to keep them all. >> Yeah. >> But they are regulated, seemed like healthcare, they are regulated as to privacy and such like. So many examples different industries having different needs but different approaches to what they collect. But there is this constant tension between you perhaps deciding not wanting to fund all of that, all that you can install, right? But on the other hand, you know if you kind of don't want to afford it and decide not to start some. Maybe those some become highly valuable in the future, right? (Dr. Eng chuckles) You worry. >> Well, we can make some assumptions about the future. Can't we? I mean, we know there's going to be a lot more data than we've ever seen before. We know that. We know, well, not withstanding supply constraints and things like NAND. We know the prices of storage is going to continue to decline. We also know and not a lot of people are really talking about this, but the processing power, but the says, Moore's law is dead. Okay, it's waning, but the processing power when you combine the CPUs and NPUs, and GPUs and accelerators and so forth actually is increasing. And so when you think about these use cases at the Edge you're going to have much more processing power. You're going to have cheaper storage and it's going to be less expensive processing. And so as an AI practitioner, what can you do with that? >> Yeah, it's a highly, again, another insightful question that we touched on our Keynote. And that goes up to the why, uh, to the where? Where will your data be? Right? We have one estimate that says that by next year there will be 55 billion connected devices out there, right? 55 billion, right? What's the population of the world? Well, of the other 10 billion? But this thing is 55 billion. (Dave chuckles) Right? And many of them, most of them can collect data. So what do you do? Right? So the amount of data that's going to come in, it's going to way exceed, right? Drop in storage costs are increasing compute power. >> Right. >> Right. So what's the answer, right? So the answer must be knowing that we don't, and even a drop in price and increase in bandwidth, it will overwhelm the, 5G, it will overwhelm 5G, right? Given the amount of 55 billion of them collecting. So the answer must be that there needs to be a balance between you needing to bring all of that data from the 55 billion devices of the data back to a central, as a bunch of central cost. Because you may not be able to afford to do that. Firstly bandwidth, even with 5G and as the, when you'll still be too expensive given the number of devices out there. You know given storage costs dropping is still be too expensive to try and install them all. So the answer must be to start, at least to mitigate from to, some leave most a lot of the data out there, right? And only send back the pertinent ones, as you said before. But then if you did that then how are we going to do machine learning at the Core and the Cloud Site, if you don't have all the data? You want rich data to train with, right? Sometimes you want to mix up the positive type data and the negative type data. So you can train the machine in a more balanced way. So the answer must be eventually, right? As we move forward with these huge number of devices all at the Edge to do machine learning at the Edge. Today we don't even have power, right? The Edge typically is characterized by a lower energy capability and therefore lower compute power. But soon, you know? Even with low energy, they can do more with compute power improving in energy efficiency, right? So learning at the Edge, today we do inference at the Edge. So we data, model, deploy and you do inference there is. That's what we do today. But more and more, I believe given a massive amount of data at the Edge, you have to start doing machine learning at the Edge. And when you don't have enough power then you aggregate multiple devices, compute power into a Swarm and learn as a Swarm, yeah. >> Oh, interesting. So now of course, if I were sitting and fly on the wall and the HPE board meeting I said, okay, HPE is a leading provider of compute. How do you take advantage of that? I mean, we're going, I know it's future but you must be thinking about that and participating in those markets. I know today you are, you have, you know, Edge line and other products. But there's, it seems to me that it's not the general purpose that we've known in the past. It's a new type of specialized computing. How are you thinking about participating in that opportunity for the customers? >> Hmm, the wall will have to have a balance, right? Where today the default, well, the more common mode is to collect the data from the Edge and train at some centralized location or number of centralized location. Going forward, given the proliferation of the Edge devices, we'll need a balance, we need both. We need capability at the Cloud Site, right? And it has to be hybrid. And then we need capability on the Edge side that we need to build systems that on one hand is an Edge adapter, right? Meaning they environmentally adapted because the Edge differently are on it, a lot of times on the outside. They need to be packaging adapted and also power adapted, right? Because typically many of these devices are battery powered. Right? So you have to build systems that adapts to it. But at the same time, they must not be custom. That's my belief. It must be using standard processes and standard operating system so that they can run a rich set of applications. So yes, that's also the insight for that Antonio announced in 2018. For the next four years from 2018, right? $4 billion invested to strengthen our Edge portfolio. >> Uh-huh. >> Edge product lines. >> Right. >> Uh-huh, Edge solutions. >> I could, Doctor Goh, I could go on for hours with you. You're just such a great guest. Let's close. What are you most excited about in the future of, certainly HPE, but the industry in general? >> Yeah, I think the excitement is the customers, right? The diversity of customers and the diversity in the way they have approached different problems of data strategy. So the excitement is around data strategy, right? Just like, you know, the statement made for us was so was profound, right? And Antonio said, we are in the age of insight powered by data. That's the first line, right? The line that comes after that is as such we are becoming more and more data centric with data that currency. Now the next step is even more profound. That is, you know, we are going as far as saying that, you know, data should not be treated as cost anymore. No, right? But instead as an investment in a new asset class called data with value on our balance sheet. This is a step change, right? Right, in thinking that is going to change the way we look at data, the way we value it. So that's a statement. (Dr. Eng chuckles) This is the exciting thing, because for me a CTO of AI, right? A machine is only as intelligent as the data you feed it with. Data is a source of the machine learning to be intelligent. Right? (Dr. Eng chuckles) So, that's why when the people start to value data, right? And say that it is an investment when we collect it it is very positive for AI. Because an AI system gets intelligent, get more intelligence because it has huge amounts of data and a diversity of data. >> Yeah. >> So it'd be great, if the community values data. >> Well, you certainly see it in the valuations of many companies these days. And I think increasingly you see it on the income statement. You know data products and people monetizing data services. And yeah, maybe eventually you'll see it in the balance sheet. I know Doug Laney, when he was at Gartner Group, wrote a book about this and a lot of people are thinking about it. That's a big change, isn't it? >> Yeah, yeah. >> Dr. Goh... (Dave chuckles) >> The question is the process and methods in valuation. Right? >> Yeah, right. >> But I believe we will get there. We need to get started. And then we'll get there. I believe, yeah. >> Doctor Goh, it's always my pleasure. >> And then the AI will benefit greatly from it. >> Oh, yeah, no doubt. People will better understand how to align, you know some of these technology investments. Dr. Goh, great to see you again. Thanks so much for coming back in theCUBE. It's been a real pleasure. >> Yes, a system is only as smart as the data you feed it with. (Dave chuckles) (Dr. Eng laughs) >> Excellent. We'll leave it there. Thank you for spending some time with us and keep it right there for more great interviews from HPE Discover 21. This is Dave Vellante for theCUBE, the leader in Enterprise Tech Coverage. We'll be right back. (upbeat music)

>> Live from San Francisco, California, it's the theCUBE, covering the IBM Chief Data Officer Summit, brought to you by IBM. >> Welcome back to San Francisco everybody. You're watching theCUBE, the leader in live tech coverage. We go out to the events, we extract the signal from the noise and we're here at the IBM Chief Data Officer Summit, 10th anniversary. Seth Dobrin is here, he's the Vice President and Chief Data Officer of the IBM Analytics Group. Seth, always a pleasure to have you on. Good to see you again. >> Yeah, thanks for having me back Dave. >> You're very welcome. So I love these events you get a chance to interact with chief data officers, guys like yourself. We've been talking a lot today about IBM's internal transformation, how IBM itself is operationalizing AI and maybe we can talk about that, but I'm most interested in how you're pointing that at customers. What have you learned from your internal experiences and what are you bringing to customers? >> Yeah, so, you know, I was hired at IBM to lead part of our internal transformation, so I spent a lot of time doing that. >> Right. >> I've also, you know, when I came over to IBM I had just left Monsanto where I led part of their transformation. So I spent the better part of the first year or so at IBM not only focusing on our internal efforts, but helping our clients transform. And out of that I found that many of our clients needed help and guidance on how to do this. And so I started a team we call, The Data Science an AI Elite Team, and really what we do is we sit down with clients, we share not only our experience, but the methodology that we use internally at IBM so leveraging things like design thinking, DevOps, Agile, and how you implement that in the context of data science and AI. >> I've got a question, so Monsanto, obviously completely different business than IBM-- >> Yeah. >> But when we talk about digital transformation and then talk about the difference between a business and a digital business, it comes down to the data. And you've seen a lot of examples where you see companies traversing industries which never used to happen before. You know, Apple getting into music, there are many, many examples, and the theory is, well, it's 'cause it's data. So when you think about your experiences of a completely different industry bringing now the expertise to IBM, were there similarities that you're able to draw upon, or was it a completely different experience? >> No, I think there's tons of similarities which is, which is part of why I was excited about this and I think IBM was excited to have me. >> Because the chances for success were quite high in your mind? >> Yeah, yeah, because the chance for success were quite high, and also, you know, if you think about it there's on the, how you implement, how you execute, the differences are really cultural more than they're anything to do with the business, right? So it's, the whole role of a Chief Data Officer, or Chief Digital Officer, or a Chief Analytics Officer, is to drive fundamental change in the business, right? So it's how do you manage that cultural change, how do you build bridges, how do you make people, how do you make people a little uncomfortable, but at the same time get them excited about how to leverage things like data, and analytics, and AI, to change how they do business. And really this concept of a digital transformation is about moving away from traditional products and services, more towards outcome-based services and not selling things, but selling, as a Service, right? And it's the same whether it's IBM, you know, moving away from fully transactional to Cloud and subscription-based offerings. Or it's a bank reimagining how they interact with their customers, or it's oil and gas company, or it's a company like Monsanto really thinking about how do we provide outcomes. >> But how do you make sure that every, as a Service, is not a snowflake and it can scale so that you can actually, you know, make it a business? >> So underneath the, as a Service, is a few things. One is, data, one is, machine learning and AI, the other is really understanding your customer, right, because truly digital companies do everything through the eyes of their customer and so every company has many, many versions of their customer until they go through an exercise of creating a single version, right, a customer or a Client 360, if you will, and we went through that exercise at IBM. And those are all very consistent things, right? They're all pieces that kind of happen the same way in every company regardless of the industry and then you get into understanding what the desires of your customer are to do business with you differently. >> So you were talking before about the Chief Digital Officer, a Chief Data Officer, Chief Analytics Officer, as a change agent making people feel a little bit uncomfortable, explore that a little bit what's that, asking them questions that intuitively they, they know they need to have the answer to, but they don't through data? What did you mean by that? >> Yeah so here's the conversations that usually happen, right? You go and you talk to you peers in the organization and you start having conversations with them about what decisions are they trying to make, right? And you're the Chief Data Officer, you're responsible for that, and inevitably the conversation goes something like this, and I'm going to paraphrase. Give me the data I need to support my preconceived notions. >> (laughing) Yeah. >> Right? >> Right. >> And that's what they want to (voice covers voice). >> Here's the answer give me the data that-- >> That's right. So I want a Dashboard that helps me support this. And the uncomfortableness comes in a couple of things in that. It's getting them to let go of that and allow the data to provide some inkling of things that they didn't know were going on, that's one piece. The other is, then you start leveraging machine learning, or AI, to actually help start driving some decisions, so limiting the scope from infinity down to two or three things and surfacing those two or three things and telling people in your business your choices are one of these three things, right? That starts to make people feel uncomfortable and really is a challenge for that cultural change getting people used to trusting the machine, or in some instances even, trusting the machine to make the decision for you, or part of the decision for you. >> That's got to be one of the biggest cultural challenges because you've got somebody who's, let's say they run a big business, it's a profitable business, it's the engine of cashflow at the company, and you're saying, well, that's not what the data says. And you're, say okay, here's a future path-- >> Yeah. >> For success, but it's going to be disruptive, there's going to be a change and I can see people not wanting to go there. >> Yeah, and if you look at, to the point about, even businesses that are making the most money, or parts of a business that are making the most money, if you look at what the business journals say you start leveraging data and AI, you get double-digit increases in your productivity, in your, you know, in differentiation from your competitors. That happens inside of businesses too. So the conversation even with the most profitable parts of the business, or highly, contributing the most revenue is really what we could do better, right? You could get better margins on this revenue you're driving, you could, you know, that's the whole point is to get better leveraging data and AI to increase your margins, increase your revenue, all through data and AI. And then things like moving to, as a Service, from single point to transaction, that's a whole different business model and that leads from once every two or three or five years, getting revenue, to you get revenue every month, right? That's highly profitable for companies because you don't have to go in and send your sales force in every time to sell something, they buy something once, and they continue to pay as long as you keep 'em happy. >> But I can see that scaring people because if the incentives don't shift to go from a, you know, pay all up front, right, there's so many parts of the organization that have to align with that in order for that culture to actually occur. So can you give some examples of how you've, I mean obviously you ran through that at IBM, you saw-- >> Yeah. >> I'm sure a lot of that, got a lot of learnings and then took that to clients. Maybe some examples of client successes that you've had, or even not so successes that you've learned from. >> Yeah, so in terms of client success, I think many of our clients are just beginning this journey, certainly the ones I work with are beginning their journey so it's hard for me to say, client X has successfully done this. But I can certainly talk about how we've gone in, and some of the use cases we've done-- >> Great. >> With certain clients to think about how they transformed their business. So maybe the biggest bang for the buck one is in the oil and gas industry. So ExxonMobile was on stage with me at, Think, talking about-- >> Great. >> Some of the work that we've done with them in their upstream business, right? So every time they drop a well it costs them not thousands of dollars, but hundreds of millions of dollars. And in the oil and gas industry you're talking massive data, right, tens or hundreds of petabytes of data that constantly changes. And no one in that industry really had a data platform that could handle this dynamically. And it takes them months to get, to even start to be able to make a decision. So they really want us to help them figure out, well, how do we build a data platform on this massive scale that enables us to be able to make decisions more rapidly? And so the aim was really to cut this down from 90 days to less than a month. And through leveraging some of our tools, as well as some open-source technology, and teaching them new ways of working, we were able to lay down this foundation. Now this is before, we haven't even started thinking about helping them with AI, oil and gas industry has been doing this type of thing for decades, but they really were struggling with this platform. So that's a big success where, at least for the pilot, which was a small subset of their fields, we were able to help them reduce that timeframe by a lot to be able to start making a decision. >> So an example of a decision might be where to drill next? >> That's exactly the decision they're trying to make. >> Because for years, in that industry, it was boop, oh, no oil, boop, oh, no oil. >> Yeah, well. >> And they got more sophisticated, they started to use data, but I think what you're saying is, the time it took for that analysis was quite long. >> So the time it took to even overlay things like seismic data, topography data, what's happened in wells, and core as they've drilled around that, was really protracted just to pull the data together, right? And then once they got the data together there were some really, really smart people looking at it going, well, my experience says here, and it was driven by the data, but it was not driven by an algorithm. >> A little bit of art. >> True, a lot of art, right, and it still is. So now they want some AI, or some machine learning, to help guide those geophysicists to help determine where, based on the data, they should be dropping wells. And these are hundred million and billion dollar decisions they're making so it's really about how do we help them. >> And that's just one example, I mean-- >> Yeah. >> Every industry has it's own use cases, or-- >> Yeah, and so that's on the front end, right, about the data foundation, and then if you go to a company that was really advanced in leveraging analytics, or machine learning, JPMorgan Chase, in their, they have a division, and also they were on stage with me at, Think, that they had, basically everything is driven by a model, so they give traders a series of models and they make decisions. And now they need to monitor those models, those hundreds of models they have for misuse of those models, right? And so they needed to build a series of models to manage, to monitor their models. >> Right. >> And this was a tremendous deep-learning use case and they had just bought a power AI box from us so they wanted to start leveraging GPUs. And we really helped them figure out how do you navigate and what's the difference between building a model leveraging GPUs, compared to CPUs? How do you use it to accelerate the output, and again, this was really a cost-avoidance play because if people misuse these models they can get in a lot of trouble. But they also need to make these decisions very quickly because a trader goes to make a trade they need to make a decision, was this used properly or not before that trade is kicked off and milliseconds make a difference in the stock market so they needed a model. And one of the things about, you know, when you start leveraging GPUs and deep learning is sometimes you need these GPUs to do training and sometimes you need 'em to do training and scoring. And this was a case where you need to also build a pipeline that can leverage the GPUs for scoring as well which is actually quite complicated and not as straight forward as you might think. In near real time, in real time. >> Pretty close to real time. >> You can't get much more real time then those things, potentially to stop a trade before it occurs to protect the firm. >> Yeah. >> Right, or RELug it. >> Yeah, and don't quote, I think this is right, I think they actually don't do trades until it's confirmed and so-- >> Right. >> Or that's the desire as to not (voice covers voice). >> Well, and then now you're in a competitive situation where, you know. >> Yeah, I mean people put these trading floors as close to the stock exchange as they can-- >> Physically. >> Physically to (voice covers voice)-- >> To the speed of light right? >> Right, so every millisecond counts. >> Yeah, read Flash Boys-- >> Right, yeah. >> So, what's the biggest challenge you're finding, both at IBM and in your clients, in terms of operationalizing AI. Is it technology? Is it culture? Is it process? Is it-- >> Yeah, so culture is always hard, but I think as we start getting to really think about integrating AI and data into our operations, right? As you look at what software development did with this whole concept of DevOps, right, and really rapidly iterating, but getting things into a production-ready pipeline, looking at continuous integration, continuous development, what does that mean for data and AI? And these concept of DataOps and AIOps, right? And I think DataOps is very similar to DevOps in that things don't change that rapidly, right? You build your data pipeline, you build your data assets, you integrate them. They may change on the weeks, or months timeframe, but they're not changing on the hours, or days timeframe. As you get into some of these AI models some of them need to be retrained within a day, right, because the data changes, they fall out of parameters, or the parameters are very narrow and you need to keep 'em in there, what does that mean? How do you integrate this for your, into your CI/CD pipeline? How do you know when you need to do regression testing on the whole thing again? Does your data science and AI pipeline even allow for you to integrate into your current CI/CD pipeline? So this is actually an IBM-wide effort that my team is leading to start thinking about, how do we incorporate what we're doing into people's CI/CD pipeline so we can enable AIOps, if you will, or MLOps, and really, really IBM is the only company that's positioned to do that for so many reasons. One is, we're the only one with an end-to-end toolchain. So we do everything from data, feature development, feature engineering, generating models, whether selecting models, whether it's auto AI, or hand coding or visual modeling into things like trust and transparency. And so we're the only one with that entire toolchain. Secondly, we've got IBM research, we've got decades of industry experience, we've got our IBM Services Organization, all of us have been tackling with this with large enterprises so we're uniquely positioned to really be able to tackle this in a very enterprised-grade manner. >> Well, and the leverage that you can get within IBM and for your customers. >> And leveraging our clients, right? >> It's off the charts. >> We have six clients that are our most advanced clients that are working with us on this so it's not just us in a box, it's us with our clients working on this. >> So what are you hoping to have happen today? We're just about to get started with the keynotes. >> Yeah. >> We're going to take a break and then come back after the keynotes and we've got some great guests, but what are you hoping to get out of today? >> Yeah, so I've been with IBM for 2 1/2 years and I, and this is my eighth CEO Summit, so I've been to many more of these than I've been at IBM. And I went to these religiously before I joined IBM really for two reasons. One, there's no sales pitch, right, it's not a trade show. The second is it's the only place where I get the opportunity to listen to my peers and really have open and candid conversations about the challenges they're facing and how they're addressing them and really giving me insights into what other industries are doing and being able to benchmark me and my organization against the leading edge of what's going on in this space. >> I love it and that's why I love coming to these events. It's practitioners talking to practitioners. Seth Dobrin thanks so much for coming to theCUBE. >> Yeah, thanks always, Dave. >> Always a pleasure. All right, keep it right there everybody we'll be right back right after this short break. You're watching, theCUBE, live from San Francisco. Be right back.

>> Announcer: Live from Las Vegas, it's theCUBE. Covering ServiceNow Knowledge 2018. Brought to you by ServiceNow. >> Welcome back everyone to theCUBE's live coverage of ServiceNow Knowledge18, I'm your host Rebecca Knight along with my cohost Dave Vellante. We're joined by Chris Bedi, he is the CIO of ServiceNow. Thanks so much for coming on the show Chris. >> Thanks for having me. >> So, we're hearing so much about improving employee experience and this is the goal, your goal, and also the collective goal of CIO, so can you tell us a little bit about why this, and how do you see your role in this? >> Yeah for sure, I mean if I rewind three or four years I don't think experience was really on anybody's agenda, or not high on the list. I think, you know, what we've come to realize or I've come to realize is that experience is critical to actually getting the right behavioral and economic outcomes. It is not optional anymore because with the amount of transformation that we're driving through technology it's changing processes, changing the way customers interact with us, suppliers interact with us, and that change needs to be easy. And not just easy for easy sake, but otherwise we don't get the business outcomes we are looking for. So, for me it's very purpose driven to say that for us to get those economic outcomes we have to focus on experience. >> I feel like the CIO role is evolving, and we've talked about this before, I'd love your thoughts on it. You know, it kind of used to be, alright we're going to keep the lights on, granted that's still part of the role but it's table stakes. >> It doesn't go away. (Rebecca laughs) But yes, still part of the role. >> You know, we can outsource our email, you know, what are we going to do with the cloud, okay. That's shifting, you know, with the digital economy, machine intelligence, the economy booming, this war on talent especially in Silicone Valley. Things are changing, how do you see the role changing and where do you see it evolving to? >> Well, I think the CIO role is changing. It's driven really by what's going on in every industry. If you think about it, everything, how fast your company operates, how efficient your processes are, how engaged your employees are via employee experiences, the mode in which you're able to interact with your customers, how digital your supply chain is, everything is powered by technology platforms and CIO's are the ones governing and managing and those technology platforms to deliver those outcomes, and I think it's only going to increase where technology has a bigger and bigger impact and I think that is really driving a shift in the CIO role where CIO's need to be front and center. There is no more, here's the business strategy, here's the technology strategy. They are one and the same thing and I think in our consumer lives we talk about the digital divides or the have's and have nots. I think the same thing is going to play out in enterprises where those enterprises that can figure out how to harness these newer technologies to drive meaningful business outcomes are going to start to separate themselves from the competition and that separation's only going to get bigger with time. So I think there's a tremendous amount of urgency on this topic as well. I was reading a recent article which talked about CEO's priorities for IT and saying favoring speed over cost, and I don't think that's because all of a sudden we're going to become frivolous with our spending. But I think again it just speaks to the urgency and the need for businesses to transform and it's now. >> It's not just harnessing the technologies, it's also harnessing the employee behaviors that need to change in order to create these cultural shifts that you're talking about, right, or? >> Yeah, for sure, and I would say and we had our CIO Decisions yesterday, one of the key topics was, you know, driving cultural transformation and I find that's a lot of what I'm doing and that involves a lot of selling, quite frankly. I mean, I don't have sales in my title, but by the very definition of it we're saying this technology has the promise to unlock a new business model, unlock a new process. Get to that next level of efficiency or productivity. But, you're selling a vision, right, and that means change, and people don't like change. As long as someone else is changing they're fine with it, once it's themselves, so we have to focus a lot and really double down on transformation efforts and play a key role in that, and to link it back to your first question, that transformation gets so much easier if we can deliver compelling experiences, right? So, it's all kind of tied together. >> Four years ago at K15, Frank Slootman sort of threw down the gauntlet to CIO's in the audience and said, you must become business leaders, if you don't become business leaders you'll be a dinosaur. How are you a business leader, and how are you becoming a business leader? >> I think it's really shaping IT's agenda based upon what's important to the organization. And, that's going to be different for different organizations but largely it's going to be things tied to customers, how productive and engaged are the employees, what can we do to drive margin, which is top and bottom line improvement in the economic model, and making sure that IT's goals and objectives are one and the same with the business goals and objectives. So, for example we do at ServiceNow in IT, we have a shared contract with every function. Marketing, sales, you know, professional services, that here's the business outcomes. On my dashboard, you'll seldom see a whole bunch of IT metrics, it's all about did we get to the business metric or not. Cuz if you're not measuring that then I'm not sure what you're measuring. >> Okay, so you, and I'm sure you have a lot of IT metrics, too, but you're able to then tie those IT metrics to business metrics >> Sure. >> And show how a change in one flows through the value to affect another. >> Yeah, I mean, where the role was, that doesn't go away and it's a critical part of the role and I don't want to undermine it which is, all the invisible things that just happen in corporations, you know, the utilities of, is the networking, and phones and all that, that has to be rock solid. That's table stakes, but yeah, for the next part of that, it's really driving those transformational business outcomes. >> So you're a big proponent and advocate of machine learning, how do you see machine learning transforming the modern work experience, the modern workplace and then the employee experience of the modern workplace? >> I think at a very high level, it's around speed and effectiveness of decision making. And, machine learning, I think has the promise or the opportunity for all of us to unlock that next wave of productivity. Just like in the late '90s we had ERP's and they drove a lot of automation, and supply chain and finance organizations around the world got better. They got faster, more efficient. I think machine learning can do that for the entire enterprise by leveraging platforms to help people make faster and better decisions. I know there's a lot written about replacing humans and things like that. I don't buy into that, I think it's just helping us be better and I think there's used cases all over the enterprise. The biggest barriers to machine learning in my mind typically come with talent. How do you do it, and the good news is here, I mean what we embedded with machine learning in the ServiceNow platform, you don't need an army of data scientists that are super hard to find, almost democratizing the ability to leverage machine learning. Second biggest one that when I talk to CIOs, it's lack of the right data, and they don't have the right data perhaps because they haven't yet digitized their processes, so that's a critical precursor. You got to digitize your processes to generate the right data to then feed the algorithms to get the outcome, but yeah machine learning I think is going to materially transform how we operate dramatically over the next three to five years. >> And, I mean, IT systems continue to get more complex. They in many cases becoming more of a black box. I wonder if I could get your thoughts on this. I mean, I remember reading Michael Lewis's book, Flash Boys, and he talked a lot about the flash crash, and nobody could explain it. They chalk it up to a computer glitch, and his premise was a computer glitch is computers are so complex we can't explain them anymore. >> Yeah. >> AI, machine learning, machine intelligence, going to make that even more complex and more of a black box. Is that a problem for us mortals? >> I think it's a problem, (laughs) for us mortals, but I think it's a problem and I'll tie it back to the transformation in human behavior. We're, I'll call it prototyping and rolling out and leveraging machine learning in our own enterprise, and one of the things we've observed is that us humans, us mortals as you call us, we need to know why, so if a machiner is making an algorithmic based recommendation or a decision we need to know why. And, our employees had a hard time accepting the ML based recommendation without knowing the why. So, we had to go back and rework that, and say how do we surface the why in the context of the recommendation and that got people over the hump. So I think it is a super important point where, as these algorithms get more and more sophisticated, our human brains, the way we interpret it, is we still need the why. >> Yeah, so you're trying to white box that, is what you're saying, which again is not easy. I often use the example of, a computer can tell me if I'm looking at a dog, or I joke Silicone Valley if you watch Silicone Valley >> Yeah yeah yeah, >> Hot dog or not hot dog. >> Hot dog, exactly. >> But, try to explain how you know it's a dog, it's hard >> It is challenging. >> To do that. >> Right. >> Especially if you think about data scientists, they are incredibly cerebral and way smarter than me and, they often have a hard time simplifying it enough where its consumable if you will. So, it is a challenge and I think, you know, it's something that'll evolve as we start to use more of it cause we'll just have to figure it out as an industry. >> I want to ask you about, one of the things that we're hearing so much about this conference is the neat things that you're doing around eradicating employee pain points and taking care of all those onerous, annoying, tedious tasks that we have to do, the filling out of paperwork and all of that sort of thing. What are sort of the next things you're thinking about, the other parts of the work day that are annoying for all of us when you sort of think ahead to the product lineup? >> I think, one of the things we do is figure out where you are and you know, digital transformation, right, is great, but it has so many different meanings depending on your company or your industry. So what we did internally is we actually gave definition and an answer to the question of how digital are you? So we take every process and a collection of processes to a department and bubble it up and so on forth, and we rate every process on how fast it is, how intelligent is, which is a measure of machine learning, and what's the experience we're delivering. And taking those three measures, we're able to come up with a score and more than anything it gave us a common language around the enterprise to say, how do we move this from a score of 50 to 70, how do we move this from a 60 to a 90, and which processes are most important to move first, second and third, right, and without that it gets really hard because digital transformation can just feel like this abstract concept and as business leaders, we do better when we have measurement. And once we have a number and a target and a goal, it's easier to get people aligned to that. So, that's been helpful for us as well on a change management aspect. >> So true. Coach K, you guys always have great outside guests come in and speak at your CIO Decisions Conference, I mean Robert Gates is one that, you know, I mean as much as you've accomplished in your life you haven't accomplished nearly as much as that guy. >> Yeah. >> Very humbling. Coach K was your, one of your guests this week, you host that event. >> I do. >> Share with us some of the, some of the learnings from Coach K. >> We had Coach K, Duke's basketball coach, I would argue best coach, best basketball coach >> I'm a Tarheel. >> Sorry, Tarheel here. >> Yeah exactly, Dean Smith. >> We had a couple in the audience- >> He said he's no Dean Smith the other day, (Rebecca laughs) well you know I don't know. >> And I am a college hoops junkie so for me, it was a massive treat. I just wanted to talk to him about so many games and things like that. But he, he really gave a great talk about just how to be a better leader, how to constantly be learning and applying yourself. I mean he's 71 years old and how he needs, he talked about how he had to reinvent himself at least ten times, he's been coaching for 42 years. To meet the players where they are, and changing himself. And every season, the day after the season ends, having a meeting with his managers saying, what do we need to change? And it could be they just won the national championship. So, never resting on his laurels, constantly learning, and he had really interesting anecdotes about when he coached the U.S. Olympic team, and the difference of 18-year-olds right out of high school versus these are the superstars of the NBA, massive egos, and one of the interesting things, he said so many interesting things I could keep going on but just, you know, he said don't leave your ego at the door. Bring your ego, cause that what makes you great. I need you to have that ego Kobe when you're taking that last second shot cause that's what makes you, you. But, also what he spent a lot of time is getting them aligned on values. Here's the core values that which we are going to operate as a team and that are going to allow us to be successful. And I think that leadership lesson applies to any team. He applied it in a very difficult environment while millions of people are watching but, and he talked about how he took that collection of individuals and made them a unit, and that was super powerful. >> Yeah, he coached the first dream team which was Magic, >> Yeah I think he's coached four or five, and >> and I think Byrd might have been hurt but he played, >> yeah. And how he would just >> and Jordan I mean that, try and bring that eclectic mix together. >> And then to hear, have someone be so, you know, I've done all these things, and then be articulate enough to be able to say, and this is what I did >> Yeah and just super humble >> this is how I brought out the best in people. >> Super humble and just, again, constant learning right, I mean John our CEO talks about be a learning animal. I think Coach K embodied that in spades. >> West Point grad too, right, with a lot of discipline >> Yeah. >> That's right, yeah, yeah. >> in his background and >> for sure, >> and it's really inspirational. >> And then he talked about that, that's where he learned a lot of his leadership lessons. >> Really, yeah? >> At West Point. >> Well, Chris it's been so fun talking to you we could, maybe we should get Coach K on with you. A little like, Mike Krzyzewski, yeah >> That would be a treat for me, you and me could talk about Duke Tarheels. >> Yeah, well okay, alright, if you insist. >> We could bring John Wooden into the greatest coaches ever conversation in fairness >> We could, we could. >> to the wizard of Westwood I mean. >> Cool, well thank you. >> Chris, thanks again for coming on. I'm Rebecca Knight for Dave Vellante. We will have more from theCUBE's live coverage of ServiceNow Knowledge '18 coming up just after this. (techno music)