>> Narrator: Live from Las Vegas, it's theCUBE covering Dell Technologies World 2018, brought to you by Dell EMC and its ecosystem partners. >> Hey, welcome back to theCUBE, Lisa Martin with Stu Miniman. Day two of Dell Technologies World. Loads of people here, 14,000 in attendance. 65 hundred partners, analysts, press, you name it. It's here talking about all things transformation. We're very excited to welcome back to theCUBE, Sam Grocott, senior vice president of Infrastructure Solutions Group Marketing. Welcome back! >> I'm psyched to be here, thanks for having me again. >> Lots of news, lots of buzz. >> Mhm. >> Break it down. >> We're powering up the modern data center. I think that was a big theme of this morning's keynote. We're very much focused on taking the, what we refer to as the pillars of the modern data center, to the next level, and being able to introduce a handful of new products this week. Very, very excited about them, and I think we're getting the feedback and response we expected. >> Stu: Yeah Sam, I heard Jeff actually said powers that brand that I want to hear. You know. >> Sam: Yeah. >> We got the PowerMax and the PowerEdge, and you know. >> Sam: You might want to get used to it a little bit. >> Yeah. >> Sam: You might be able to connect a couple trends here. We're powering up the modern data center, but we're not done yet. Obviously today and this week was a big push there, with the introduction of of PowerMax, the new PowerEdge servers. As well as the VX rail, VX rack XDC enhancements. But this is a journey we're on, as we power up the portfolio, and we're just getting started. >> Stu: Alright. Sam, give us the update on the portfolio. You basically have marketing for all the Dell EMC >> That's right. >> Which is the data centerpiece there. EMC you know, Joe Tucci always used to say, overlap's good, I never want to let a wedge in there. But the critique would always be, it was like oh my gosh, I can't figure out, you know, what that portfolio is. >> Sam: Right. >> It's kind of sprawling. So, how do you balance the breadth and meeting what the customers need. And how should we be looking at, both from a product and a market standpoint? >> Yeah, so, you're right. Our history is no creases, no gaps, choice for everyone. Options for everyone. The alternative, one product for everything. We've always chosen not to go that path. However, there is a balance here that I think we all strive for. And that's something that I'm working very closely with the rest of the ISG team and Jeff's team to really understand as we move forward and power up this portfolio. How do we walk that fine balance of choice and flexibility for customers and partners. As well as simplification and simplicity for end users that want to make sure that they're deploying the best upreach solution for their needs. And not confuse them at any time. So, it's a fine line. I think we're making good progress there, we're going to continue to do that as we move forward. >> When you're talking with customers, the users, what is it that they're looking to power up? What, how is it actually applied within an organization? >> Sam: The big shift going on is this world of traditional enterprise applications that are certainly considered mission critical, tier one. Those aren't going anywhere. Those are needed to require the highest levels of resiliency and data services, and everything you would expect from an enterprise grade ray. What is new is the next generation applications that have historically been run in a sandbox, off the beaten path, a line-up business, an architect. Built their own thing, and then guess what, it became important. In fact, now mission critical. This is where you find things like AI, ML, deep learning, IOT. When it becomes mainstream and important, guess whose problem it becomes. It moves to IT. Because that's where they run their end to end data services, their resiliency plans, their data replication plans, business contingency. The expectations of those use cases now, are at the enterprise level. So the bar is being raised there because they don't want sprawl of use cases and applications, especially for their mission critical use cases. So that's what we're focused on. As those apps become mission critical, providing them solutions that give them the enterprise-grade capability, but the performance and capabilities they expect for that other segment of the market. >> Sam, when I look at the portfolio, I wonder if you could speak to really who you're targeting with the messaging. Think back ten years ago, well, EMC was a storage company, Dell was primarily server and PCs and the like. Now we're talking digital transformation. Powering the future. Jeff and Michael and Allison went through all of these trends >> Transformations, yeah. >> How do you position where the products fit and who you're hitting, who some of the chief constituents that you will add to with. >> Yeah, it's gotten more complex. There's no doubt about it. Especially as the next generation work loads emerge in various spots of the organization. As well as some more, as you talk about digital transformation, you're really moving up the stack so to speak in terms of type of people you're selling to. So we've got the world's greatest sales force in the industry, but we've had to modernize them as well. So we've gone through this product modernization. How do we modernize a sales force that of course can have the storage admin conversation. The backup admin conversation. That's what we've been having for 20 years. But that's no longer good enough. You've got to be able to pivot, and go up into the CXO level in terms of the leadership of the IT department. The line of business leaders, which a lot of times are architects or specialists within a given field. And frankly even some cases, in my role, the CMO you're selling into because it's a business data analytics engine, or something that's providing new insights, new markets, and new businesses. So it has gotten more complex there, and the skills required to sell at the byte level all the way up to the boardroom level, is of paramount importance as we go forward. So we spend a lot of time on that now. >> We were talking with a gentleman from TGen earlier today, Stu and I were. It's such an exciting topic, biomedical research. Sequencing the human genome, and how much faster they can do it now, and how much more data they're generating. But they have such potential there, you mentioned Stavros for example, to be able to use that data, combine it, recombine it, to people always say, oh, actionable insights. It's one thing to be able to get actionable insights. It's another thing to be able to have an infrastructure and agility to be able to capitalize on them and deliver differentiated products to market. Revolutionize the customer experience. From a digital transformation perspective, are you finding any industries in particular, you mentioned biomedical research, where they're kind of really leading the charge here and helping you guys develop the product strategy? Or is it more horizontal? >> Sam: Yeah, I think genomics and medical and the health industry are great examples of traditional, large businesses that also play very aggressively in early adopters. I was kind of born and raised in a small company called Isilon, that is now part of the Dell EMC portfolio. And what we are able to do with a breakthrough, leading edge technology ten years ago was we went right after a vertical, go to market strategy, so genomics research, media and entertainment, manufacturing. These are areas that are large businesses but they make big bets on emerging technology, because it's the only place you can go to get those next generation capabilities as those applications mature over time. The great thing about within Dell EMC and the ISG portfolios, we have solutions that can now meet both of those roles needs. More so as they start to mature and become mission critical. I think we're even more well-positioned to help them lead through that transformation that we're seeing going on in all those different verticals today. >> Sam, one of the the things we heard in the keynotes, is are some of the emerging trends. Give us a little look forward, your ISG group, what kind of things are hot on your plate? Especially if you kind of look at the enterprise customers. What's kind of near term and give us a little bit of a roadmap. >> Sam: Yeah. Couple things. I would certainly say cloud, and moving to a cloud, first cloud enabled world. That is really driving a lot of our roadmap innovation as we go forward. So it includes everything from mobility of information, from an on-ram hybrid, to exclusively cloud native off-ram. We're innovating in all of those vectors. You really can't just pick one anymore. So that's a key area. As well as cloud-based analytics and telemetry information. Leveraging the cloud to understand how your infrastructure is operating over time. I would say that's definitely a major area of investment. The other major areas, we have a vision of autonomous infrastructure, within the storage world. Autonomous storage. Really eliminating the need for the day to day management of storage, because the system is so smart, it really takes care of all those typical tasks that consume a storage administrator's, system administrator's day to day. We are in the business of creating outcomes and helping our customers create outcomes. The more we can get them out of the managing and migrating and protecting data and into the application there, where they're adding a lot more value to the organization. I think that's a win-win for both organizations. So machine learning AI as the technology, that's going to allow us to enable an autonomous infrastructure, really make the infrastructure invisible so you can focus on your applications and your outcomes. >> What are some the things that you're hearing from channel partners in terms of, they're on the front lines, often dealing with customers that are at some stage, of a digital, of a transformation journey, we'll say. What's some of the feedback that you're hearing from the channel, we know that there's a number of announcements, we spoke with Cheryl Cook this morning. >> Sam: Yes, good, good. >> How are they being enabled to deliver these solutions, to help drive autonomy for example? >> We've got, in parallel to Dell Tech World, we've got the Global Partners Summit, we've got just an enormous amount of the channel community here for this event. We did make some key announcements, including the Dell MC Ready Bundle. I think it's a great, Ready Stack I should say. Its a great example, which reflects the feedback that they've given us, is give us all the pieces to be successful, to stand up a IT transformation, in their customer's environment. Train them, enable them, package it for them, to make it easy and seamless for them to go in and be that trusted partner for those organizations. So that's one example of the direct feedback from the channel partners. They asked for that offer. We responded very, very quickly. And now we've provided them that kind of end-to-end, kind of reference architecture to build your own Dell EMC end-to-end CI infrastructure. So, very excited about that, and that's direct feedback from the partner community. >> Alright, so that's partner. How about the customer feedback you've gotten so far? Went through a lot of announcements. I can't even imagine how many customer sessions are going on here. >> Sam: Oh yeah. >> What's the consensus so far? >> The excitement is around MVME, and look, we're not first to market. I'm totally okay with that. I'm fine admitting it here in theCUBE. But we are the first to get to market the right way. And that's really what I measure ourselves on. We didn't just build our own custom MVME modules. We didn't build something that would be difficult to add on to, in terms of MVME over-fabrics, or storage class media. We built something architected via software defined architecture, with an end-to-end MVME implementation. Our customers love that because it gives you the right away benefits of performance, but it also in the future, in that they'll be able to easily add in storage class memory, MVME over-fabrics when it becomes available into that system. So its not a forklift upgrade. It's built for today as well as tomorrow. They love that aspect. >> So if customers, their pent-up demand for the MVME solution, can you give us any guidance as to is this going to be 10%, what kind of, how fast will adoption be of something like this? >> Sam: Yeah, so, the reality is, its still fairly early days there as well. We expect this to be an offering that's going to start small and grow over time. That's why, in the high end space where PowerMax is complementing our BMax line, the Bmax 950 and 250 are not going anywhere any time soon. For our organizations that need to bring those next generation applications together, and need that real-time response, PowerMax is the way to go. We expect 60 to 70% of all organizations by 2020 to have at least one real time application running in a mission critical environment. That's one. 60 to 70%. So I would say its still early days. You're going to have a specific need for that level of performance to go to MVME. But it's going to start accelerating here over this year. Particularly with MVME over-fabrics coming to market later. As well as storage class memory. That's going to accelerate it even more. >> Stu: Alright Sam, just want to give you the final word. >> Yep. >> Take aways you want people to have understanding Dell and the Dell EMC portfolio when they leave DELL EMC Dell Technologies World 2018 this year. >> Yeah, certainly I hope they see the investments we're making to power up the portfolio. I think the announcements we made this week have been fantastic in terms of responding to market needs, customer needs. And frankly, I want them to learn more. I want them to watch more and more of theCUBE, to learn deeply how things are rolling out. What was the mind behind the madness of building these products. I know we've got a large amount of the team speaking in theCUBE, but whether its in theCUBE, or through the sessions, learn, adjust. Because everybody's modernizing, everybody needs to transform, this is a great opportunity for them to do that with their skill set and their knowledge in the industry. >> Lisa: Everybody does need to transform. Sam, thank you so much for stopping by theCUBE again. >> Thanks for having me. >> Lisa: For sharing what's new, and what you're doing, leading marketing for all of Dell EMC. >> Sam: Thank you, thank you. >> Lisa: You've been watching theCUBE, we want to thank you for watching. I'm Lisa Martin, for Stu Miniman, we are live day two of Dell Technologies World in Vegas. Stick around, we'll be right back after a short break. (pop music)

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

>> Announcer: Live, from Las Vegas, it's theCUBE. Covering Dell EMC World 2017. Brought to you by Dell EMC. (techno music) >> And welcome here on theCUBE to Dell EMC World 2017 live from the Sands Expo, along with Keith Townsend, I'm John Walls, and good to have you with us here on day three of what has been a fantastic show here for Dell EMC, mega show. 13,000 plus attendees, a lot of great announcements, and a lot of great guests we've had here on theCUBE. One of them joining us now, John Byrne who is the president of Dell EMC Global Channels, and a cover boy, I might add. This month's edition of CRN. John, you should have been in pictures, man. You look great on the cover, so congratulations on that big news. >> Thank you very much. >> Good to have you with us here on theCUBE. Tell us about your journey here, in the past couple of months. You watch the partners program, you bring Dell on one hand, you bring EMC on the other, bring it all together, how's it going so far? >> Well, like I said, the reaction has been spectacular. You know, almost extraordinary. When you think of our channel business now. Our channel business is some $35 billion. When you frame that, it's bigger than Facebook, bigger than Starbucks, bigger than Nike, growing faster than the market, the broadest portfolio in everything. You hear us talking about, we want to be number one of everything all in one place, and we have this wonderful partner ecosystem that is primed and ready to take advantage of this opportunity. So we set up a brand new team, and new strategy, new program, and our partners couldn't be more excited. The program is launched, based on three tenets, being simple, predictable, profitable, and you know, we're very, very pleased and very humbled with the momentum we've had. And look here, this has been built for our partner, but actually it's been built with the partner community in mind, and they can feel this and we're on a tremendous journey. Super exciting. >> Yeah, I like the fact, too, that, I mean you made no bones about it, profitable is not a dirty word, right? It's a very good word and a very real word. But back up a minute, you said new strategy. So you've been a channel guy basically your whole professional life. What experiences did you bring from 6that into this endeavor that you think have given it its own stamp, or its own unique distinction? Yeah, look, I remember running my own channel companies as if it was yesterday, and I remember I always had choices. And I wanted to work with people who were going to win, and people who you wanted to work with. So when we traveled the world to find what are partners like about heritage Dell, heritage EMC, what did they not like, more importantly,6 what was the best of breed in the planet? They were very consistent on three things. They wanted the program to be very simple. An annual program, take advantage of EMC's world class training capability. Take cost and friction out of my selling motion, i.e., one portal, one deal registration, automation of rebate, so I can see every week what have I sold, what are my earnings?6 'Cause I remember when I ran my own comp6any, I wanted to continually invest in the skill sets and the certification, but more importantly on the people. So having that consistency was something that came through loud and clear. Predictability of engagement. Ultimately, where do we want our channel partners to play, and how will we protect their investment, knowing that they have choices. And we spend a lot of time on our dealer registration. The third thing is, you're talking to a Scotsman, and profit is important. >> Scotsman? I thought it was a Texas accent. I wasn't sure-- >> Honestly, you sound like my father talking about my accent, John. But you know, we invested significantly in marketing development funds. We invested significantly in the rebate program, and our partners now can make anywhere between 1.5x to eight times what they made historically, based on the right behavior. So bringing my background and knowledge,6 those three things are critical, what we're doing. And of course, like our differentiation is going to be in execution, and the team is making great progress. >> So John, a lot of the angst and excitement, rather, between the merger of Dell EMC was with the channel. What was going to happen with the channel? What was going to happen with the channel? You guys have seemingly executed, seamlessly, rather, but a question around the relationship with the channel. One throat to choke versus the competition. The competition is shrinking, getting smaller, getting less complex, is the marketing term. How is the channel reacted to the new size of Dell EMC versus the competition shrinking? >> Yeah, that's a great question to ask there. That's the biggest endorsement that we could possibly have. Of course it was concern at the very beginning. They didn't know what was going to be the strategy. Both companies had done phenomenally well, and the channel, well the strategies look similar, but actually very different in detail. When you think Dell had many thousands of partners. EMC had hundreds of partners. The criteria on EMC's program from a revenue perspective was significantly more than it was in Dell. So a lot of concern. But the first thing we did, Keith, is l6ook, I pride the salesmen, we pride the sales6 on having big ears, and we travel the world. We travel the world and we listened. And then we came together very quickly. I think we only were born in September '16. Four weeks later, we announced, here's our vision, here's our strategy. Here's the team, here's the program. We're going to be implementing in February and we over-communicated with our partners. And as we were building this, or tweaking this and tweaking this, and it's amazing, you think we came together as one go-to-market motion in February. Within 90 days under our belt, like when I look at the leading indicators, how's the numbers? How's pay plane? How's the training? How's the self-indications? How's our services capability? How's our acquisition? And when I started to see those scoreboards light out green, the partners can see line-of-sight to it. the feedback from the partners is, like, they cannot believe that a 35-billion channel business moving at this speed together and executing the way we are as one team, is taking a lot of the noise out of the system, and they can see line-of-sight to money. >> So wait, I wanted to drill down on that a bit. $35 billion channel business. Next biggest competitor is, I think, a company called HPE. Their market cap is only $30 billion compared to your revenues. What's the significance of that from a customer and channel perspective? >> Look, it's not for me to talk about the competition. You know, I think when I look at the hand that we have, I think taking us private, allowing us to invest significantly in the future has helped us greatly. I think expanding $4.5 million in R and D, which is double the competitor you just mentioned, to allow us to have a product portfolio that dominates Gartner's magic quadrants, to allow us to invest in the business. Look, this is only going to go one way, however, I want to be very clear, we're the dark horse. Don't let $35 billion scare people. Like we only have low double digit share, but with a portfolio, with the partner community, with the program, look this is going to be like a skyrocket and the partners can feel it. >> So on that, yeah, I mean, you bring dark horse, we all know that the conventional definition of dark horse, right? Long shot, no shot, but $35 billion, it's pretty hard to fly under the radar, honestly, right John? >> Yes it is, it is. But I also want to include, that we have big visions. We have big dreams. We want to be the number one channel put in the industry. We want to be the number one, the biggest, and the best. Not the best, not the biggest, not the biggest, not the best. We want to be the biggest and the best. When we're talking to our partners right now, look, we've had them here, would you believe, it's been four and a half thousand partners here this week? We had a Global Partners Summit. It was standing room only, with the four and a half thousand. Actually, we had to go overflow rooms to get our partners coming in here. And those partners are feeding back to us, I'm almost scared to mention the number, how big this could be, but a discussion we're having with partners is not how do we grow up market? Or how do we grown a little bit above market. The discussion with the partners is how do we double? >> So with that said, Michael has talked an awful lot about the small overlap between Dell, Dell EMC, 20%, only 20% overlap, has the channel realized a new opportunity because of that limited overlap? >> Again, the leading indicator is look, we asked the partners for four things, as we build this program, and it's a rich program, and intentionally done so. We asked them for four things, we want you to grow your top line. We want to be aggressive and attack the market, however, I also wanted to make a lot of money. Profit is important. From our company to the partner community to the distributors. The second thing is, we want them to sell much more of our portfolio. You heard I'm sure, the past couple of days the four transformations. Building the modern data center. Our partners have the capability to sell much more lines of business than they are today. The third thing is, we want to be aggressive and acquire new customers, acquire new lines of business, and also attach services. Like if we spend a lot of time talking about hardware, but you're also hearing us talk about our services capability. That is a pot of gold for our partners if they do this, it's going to light up. So does our partner see this opportunity? Are they leaning in at getting more training, more certifications, oh, absolutely. >> So, let's talk about training because that's the critical part. Dell EMC is mind-mindbogglingly huge. So when I'm a channel, if I'm a channel engineer and I look at the portfolio, and I go onto a customer's site, how do I wrap my arms around just the size of it? I'm not in the mothership of Dellenium, see I don't have all of the, well, in theory, I don't have all of the back channels to the solutions. How do keep, how do you keep the channel up to speed? >> Yeah, great question. Actually, I'll give you some data points. Would you believe that at Dell Technologies, we have 40,000 sales makers who are trained and certified to sell our portfolio. That's quite a startling number, right? However, when you look at our partner community, who also do the same training and certification, we have 129,000 people trained in our partner community. That is a sales army of 169,000 people, trained and certified to go on attack, not only today but attack the future transformations. So what we've done, is we basically led a training that our own team does, our partners do it. We've also centralized all of our training. It's all on one portal. Clearly articulating, if you want to go by product, here's a by product, if you want to go by transformation, here's a by transformation. You want to do it by services, here's the services. And look, I think the other thing they're finding is it has real equity to the person doing the training. It's developing their career. You go to the LinkedIn, the explanation, we are Dell EMC certified trainers. That is exciting, to sell the products portfolio on the planet. >> So this is the program you launched early February, right? So, as you said, 90 days in. With any new program, though, you're going to hit speed bumps along the way, right? You're going to find some wrinkles, you're going to find some things you need to, what would that be in your mind? You said, okay, this is something, it's all going well in one respect, and it sounds great, but there is some polish that we still need. Where would that be right now? >> Oh, no question. Are you kidding me, 90 days in? >> All right. >> What the team and the partner community have done in 90 days is extraordinary, I mean, truly, truly extraordinary, however, they recognize we're going at tectonic speeds. But we have to. The channel is nimble, it's agile, it's got a different pulse, it's got a different heartbeat, but we're being very authentic on the journey. So when we brought the four and a half thousand, we talk about, look at some of the wins that are already on the board. And I'm telling you, we could have spent a full 90 minutes just talking about the wins that we found the first 90 days. The program has launched fantastically well, but with the bums in the road. But our partners understand that because we're being very authentic, and you know, they're part of the team, they're part of the family. What will define us is not that we're going to make mistakes, we will make mistakes, in life you make mistakes, in business you make mistakes. What will define us is how we react to those mistakes. Are we always there? Are we being true to our commitment? Are we staying very consistent. And the feedback from the partner community has been, yes. And the progress we're making, and look we are definitely not done. I mean, you think 90 days in, then fast forward, we are now full strength coming into the program. We spoke about consumption models coming in, flex on demand, cloud flex, PCs and service, VDI complete. They also asked us to simplify our MDF gate lanes. Done. So, you know, we're moving at the speed of light, and it is a lot of fun. >> Well, it makes sense. I mean, easier, simple, predictable, profitable, and I think you certainly hit a home run with that mantra, and obviously with the program, as well. So, congratulations on that. >> Thank you. >> Thanks for being with us here on theCUBE. >> My pleasure, John. >> It's always nice to add a different accent, don't you think, Keith? >> Thank you Keith, thank you very much. >> Yes, sir, thank you. >> John Byrne from Global Channels and Dell EMC, and we'll be back with more from Dell EMC World 2017, live in Las Vegas, right after this. (techno music)