>>Welcome to this IBM Watson health client conversation here. We're probing the dynamics of the relationship between IBM and its clients. And we're looking back, we're going to explore the present. We're going to discuss the future state of healthcare. My name is Dave Volante from the Cuban with me are Robert Stell horn. Who's associate director, H E O R at sukha, otherwise known as pharmaceuticals, America and Rena Felton. Who's with of course, IBM Watson health. Welcome folks. Great to have you. Hi, so like strong relationships, as we know, they're the foundation of any partnership. And of course over the past year, we've had to rely on both personal and professional relationships to get us through some of the most challenging times, if not the most challenging times of our lives. So let me start with you, Robert, how has the partnership with IBM helped you in 2020? >>I think it was just a continuation of the excellent relationship we have with Rena and IBM. Um, starting in March, we had really a shift to an all remote, uh, workplace environment. And I think that constant communication with Rina and IBM helped that situation because she kept us up to date with, uh, additional products and offerings. And basically we came up with some additional solutions towards the end of the year. So we're gonna watch >>Pick it up from here. Let's go, let's go a little bit deeper and maybe you can talk about some of the things that you've done with Robert and his team and, and maybe some of the accomplishments that you're most proud of in 2020. >>No, absolutely. And I have to kind of echo what you first said about the foundation and our partnerships being the foundation, um, of our past present and future. So I do want to take the opportunity to thank Rob again for joining us today. It is, um, I know, you know, with his kids home and remote learning, um, it's a lot, uh, to, to ask in addition to, you know, your day to day work. So, so thank you, Rob. Um, I guess the question that I have for you is what would be the greatest accomplishment, um, that Watseka and IBM Watson had in 2020? >>I would say it was the addition of the linked claims EMR data, the LDCD product that we were able to license in-house, uh, thanks to your attention and to show the advantages and the strengths of that data. We are able to license that in to our, uh, set up assets we have internally. And what that's gonna allow us to do is really find out more information about the patients. Uh, we're existing users of the Mark IBM, uh, market scan data. Um, this is going to allow us to tie into those same patients and find out more about them. Um, in particular, uh, a lot of our products are in the mental health space and a lot about standing questions we have are why are the patients getting different products? And with the notes are available in that link data. We're going to now be able to tap into more information about what is happening with the patient. >>Okay. Can I ask a question on that? Um, if you guys don't mind, I mean, you know, when you, when you hear about, you know, uh, EMR, uh, in the early days, it was a lot about meaningful use and getting paid. It sounds like you guys are taking it much deeper and as a, as a, you know, as an individual, right, you're, you're really happy to hear that this information is now going to be used to really improve, uh, healthcare is, do I have that right? Is that, you know, kind of the nature of where you guys are headed? >>Well, I think ultimately it's the, the, the, the main goal is to help the patients and provide the products that can really, um, help them in their daily lives. So, um, really with this data, now, we're going to be able to tap into more of the why, um, exist in claims data. We cannot really get that information, why VC information, about what diagnoses they incurred during their treatment history. And we also can see, uh, different prescriptions that are given to them, but now we're going to be able to tie that together and get more understanding to really see more focused treatment pattern for them. >>So, Reno, w w you sit down with Rob, do you have like a, sort of a planning session for 2021? Why don't you sort of bring us up to, uh, to what your thinking is there and how you guys are working together this year? >>Yeah, no, absolutely. Um, actually, before we get to that, I wanted to kind of add onto what Rob was saying as well. It's interesting given, you know, the pandemic in 2020 and what the LCD data is going to do, um, to really be able to look back. And as Rob mentioned, looking specifically at mental health, the ability to look back and start looking at the patients and what it's really done to our community and what it's really done to our country, um, and looking at patients, you know, looking back at, at sort of their, their patient journey and where we are today. Um, but Rob and I talk all the time, we talk all the time, we probably talk three or four times a day sometimes. So I would say, um, we, we text, uh, we do talk and have a lot of our strategic, um, sessions, uh, our outlook for 2021 and what the data strategy is for Otsuka. Um, in addition, additional data assets to acquire from IBM, as well as how can we sort of leverage brander IBM, um, assets like our red hat, our OpenShift, our cloud-based solutions. So, you know, Rob and I are constantly talking and we are, um, looking for new ways to bring in new solutions into Otsuka. Um, and you know, yeah, we, we, we talk a lot. What do you think, Rob? >>I think we have an excellent partnership. Uh, basically, um, I think their relationship there is excellent. Um, we have excellent communication and, you know, I find when there's situations where I may be a bind Reno's is able to help out instantly. Um, so it's, it's really a two way street and it's an excellent partnership. >>I wonder if I could double click on that. I mean, relative to maybe some of your, I mean, I'm sure you have lots of relationships with lots of different companies, but, but what makes it excellent specifically with regard to IBM? Is there, is there anything unique Rob, that stands out to you? >>It would be the follow-up, um, really, it's not just about, uh, delivering the data and say, okay, here you have your, your product work with it in basically the, the, the vendor disappears, it's the constant followup to make sure that it's being used in any way they can help and provide more information to really extract the full value out of it. >>So I'm gonna forget to ask you guys, maybe each of you, you know, both personally and professionally, I feel like, you know, 20, 20 never ended it just sort of blended in, uh, and, and, but some things have changed. We all talk about, geez, what's going to be permanent. How have you each been affected? Um, how has it helped you position for, for what's coming in in the years ahead, maybe Reena, you could start and then pick it up with, with Rob. >>Oh man. Um, you know, 2020 was definitely challenging and I think it was really challenging given the circumstances and in my position where I'm very much used to meeting with our customers and having lunch and really just kind of walking down the hallways and bumping into familiar faces and really seeing, you know, how we can provide value with our solutions. And so, you know, that was all stripped in 2020. Uh, so it's been, it's been quite challenging. I will say, working with Rob, working with some of my other customers, um, I've had, uh, I've had to learn the resilience and to be a little bit more relentless with phone calls and follow ups and, and being more agile in my communications with the customers and what their needs are, and be flexible with calendars because there's again, remote learning and, and, um, and the like, so I think, you know, positioned for 2021 really well. Um, I am excited to hopefully get back out there and start visiting our customers. But if not, I certainly learned a lot and just, um, the follow-up and again, the relentless phone calls and calling and checking up on our customers, even if it's just to say, hi, see how everyone's doing a mental check sometimes. So I think that's, that's become, um, you know, what 2020 was, and, and hopefully, you know, what, 2021 will be better and, uh, kind of continue on that, that relentless path. >>What do you think, Rob? Hi, how are you doing? >>I would echo a lot of Rina's thoughts and the fact of, yeah, definitely miss the in-person interaction. In fact, I will say that I remember the last time I was physically in the office that Scott, it was to meet with Rina. So I distinctively remember that they remember the date was March, I believe, March 9th. So it just shows how this year as has been sort of a blur, but at the same time, you remember certain milestones. And I think it's because of that relationship, um, we've developed with IBM that I can remember those distinctive milestones and events that took place. >>So Rob, I probably should have asked you upfront, maybe tell us a little bit about Alaska, uh, maybe, maybe give us the sort of quick soundbite on where you guys are mostly focused. Sure. >>Oh, it's guys, uh, a Japanese pharmaceutical company. The focus is in mental health and nephrology, really the two main business areas. Um, my role at guys to do the internal research and data analytics within the health economics and outcomes research group. Um, currently we are transitioned to a, uh, name, which is global value and real world evidence. Um, fact that transition is already happened. Um, so we're going to have more of a global presence going forward. Um, but my role is really to, uh, do the internal research across all the brands within the company. >>So, so Rena, I wonder this, thank you for that, Robert. I wonder if you could think, thinking about what you know about Scott and your relationship with Robin, your knowledge of, of the industry. Uh, there's so much that IBM can bring to the table. Rob was talking about data earlier, talking about EMR, you were talking about, you know, red hat and cloud and this big portfolio you have. So I wonder if you could sort of start a conversation for our audience just around how you guys see all those assets that you have and all the knowledge, all that data. How do you see the partnership evolving in the future to affect, uh, the industry and the, in the future of healthcare? >>Well, I would love to see, um, the entire, uh, uh, platform, um, shift to, to the IBM cloud, um, and certainly, you know, leverage the cloud pack and analytics that, that we have to offer, um, baby steps most definitely. Um, but I do think that there is, uh, the opportunity to really move, um, and transform the business into something a lot more than, than what it is. >>Rob has the pandemic effected sort of how you think about, um, you know, remote services and cloud services and the, like, were you already on the path headed there? Did accelerate things, have you, you know, have you not had time because things have been so busy or maybe you could comment? >>Yeah, I think it's really a combination. And so I think you hit on a, a fair point there, just the time, uh, aspect. Um, it's definitely been a challenge and your, um, I have two children and remote learning has definitely been a challenge from that perspective. So time has definitely been, uh, on the short side. Um, I do see that there are going to in the future be more and more users of the data. So I think that shift to a potential cloud environment is where things are headed. >>So we, I have a bunch more questions, but I want to step back for a second and see if there's anything that you'd like to ask Rob before I go onto my next section. Okay. So I wonder if you could think about, um, maybe both of you, the, the, when you think back on, on 2020 and all the, you know, what's transpired, what, what transitions did you guys have to make? Uh, maybe as a team together IBM and Alaska. Um, and, and, and what do you see as sort of permanent or semi-permanent is work from home? We're gonna going to continue at a higher rate, uh, are there new practice? I mean, I know just today I made an online appointment it's for a remote visit with my doctor, which never could have happened before the pandemic. Right. But are there things specific to your business and your relationship that you see as a transition that could be permanent or semi-permanent? >>Well, I, I think it's there, there's definitely a shift that's happened that will is here to stay, but I don't know if it's full, it's going to be a combination in the future. I think that in-person interactions, especially what Rena mentioned about having that face-to-face interaction is still going to be one things are in the right place and safe they're going to happen again. But I think the ability to show that work can happen in a virtual or a full remote workplace, that's going to just allow that to continue and really give the flex of people. The flexibility I know for myself, flexibility is key. Like I mentioned, with two small children, um, that, that, that becomes such a valuable addition to your work, your life and your work life in general, that I think that's here to stay. >>Okay. Um, so let me ask you this, uh, w one of the themes of this event is relentless re-invention. So what I'm hearing from you Rob, is that it kind of a hybrid model going forward, if you will, uh, maybe the option to work from home, but that face to face interaction, especially when you're creating things like you are in the pharmaceutical business and the deep R and D that collaborative aspect, you know, you, it's harder when you're, when, when, when you're remote. Um, but maybe you could talk about, you know, some of those key areas that you're, you're going to be focused on in 2021 and, and really where you would look for IBM to help. >>I think in 2021, the team I'm part of it, part of is, is growing. So I think there's going to be additional demand for internal research, uh, uh, capabilities for analysis done within the company. So I think I'm going to be looking to Rena to, uh, see what new data offerings are available and all what new products are going to be available. But beyond that, um, I think it's the potential that, you know, there's so much, uh, projects, um, that are going to be coming to the table. We may need to outsource some of that projects and IBM could be potentially be a partner there to do some of the analysis on to help out there. >>Anything you'd add. >>Uh, no, I think that, that sounds good. >>How would you grade IBM and your relationship with IBM Rob? >>Well, I have to be nice to Rina cause she's been very nice to me. I would say an a, an a plus >>My kids, I got kids in college. Several, they get A's, I'm happy. Oh, that's good. You know, you should be proud. So, congratulations. Um, anything else Reno, you give you, I'll give you a last word here before we wrap, >>You know, 2020 was, was a challenging. And, you know, we talked a little bit about, you know, what time in 2020, you know, Rob and I have always had a really good relationship. I think 2020, we got closer, um, with just both professionally and really diving in to key business challenges that they have, and really working with him to understand what the customer needs are and how we can help, not only from, you know, an HR perspective, but also how can we help Otsuka, um, as a company in, in totality. So, you know, we've been able to do that, but personally, I would say that I really appreciated the relationship. I mean, we can go from talking about work to talking about children, to talking about family, um, all in the same five minute conversation or 10 minute conversation, sometimes our conversation. So, you know, thank you, Rob 2020 was definitely super challenging. >>I know for you on so many levels. Um, but I have to say you've been really great at just showing up every time picked up the phone, asked questions. If I needed something I can call you, I knew you were going to pick up, I had an offering and be like, do you have 10 minutes? Can I share this with you? And you would pick up the phone, no problem, and entertain a call or set up a call with all your internal colleagues. And I, I appreciate that so much. And, you know, I appreciate our relationship. I appreciate the business and I, I do hope that we can continue on in 2021, we will continue on in 2021. Uh, but, um, but yeah, I thank you so much. >>Rain has been extremely helpful. I don't want to thank you for all the help. Um, just to add to that one point there, you know, we have, uh, also another product, which I forgot to mention that we licensed in from IBM, it's the treatment pathways, um, tool, which is an online tool. Um, and we have users throughout the globe. So there's been times where I've needed a new user added very quickly for someone in the home office in Japan. And Rena has been extremely helpful in getting things done quickly and very proactively. >>Well, guys, it's really clear that the depth of your relationship I'm interested that you actually got closer in 2020. Uh, the fact that you communicate, you know, several times a day is I think Testament to that relationship. Uh, I'm really pleased to hear what you're doing and the potential with the EMR data for patient outcomes. Uh, as I say in the early days, I used to hear all about how well you have to do that to get paid. And it's really great to see a partnership that's, that's really focused on, on, on patient health and, and changing our lives. So, and mental health is such an important area that for so many years was so misunderstood and the, and the data that we now have, and of course, IBM's heritage and data is key. Uh, the relationship and the follow-up and also the flexibility is, is something I think we all learned in 2020, we have to, we've kind of redefined, you know, resilience in our organizations and, uh, glad to see you guys are growing. Congratulations on the relationship. And thanks so much for spending some time with me. >>Thank you. Thank you, Dave. Thank you, Raina >>For watching this client conversation with IBM Watson health.

>>from around the globe. It's the Cube covering HP Discover virtual experience brought to you by HP. >>Welcome to the Cube's coverage of HP Discover 2020. This is the virtual experience. I'm Lisa Martin with the Cube, and I'm joined by a couple of guys who were gonna talk through one of HPC ease. Longest partnerships. We've got shells. No Ryan and the Senior director Ecosystem Sales or North America at HP And Dr Rajesh, It's really a Boston. The global head of sales and solutions for the TCS. Gentlemen, welcome to the Cube. >>Yeah, Thank you. >>So, first question for you is I mentioned HP and TCS have been partners for over 30 years. Talk to our audience about the partnership and how it has evolved to where it is today. >>Yeah. Thank you, Lisa. Firstly, you know, I'm pretty excited to be part of this Cube interview with garages. You know, I know him personally for over five years through various interactions globally and this new role for North America. This is our strategy and global system integrator partner. And this is a longstanding partnership between HP and this years has grown multi falls over the last 30 years. Ah, we you know, pretty much enjoyed every single I would say transactions or the business engagements, what we've had so far. And we liberate each other for our internal I T requirements and also to drive joint, go to market initiatives across the world. That's making this a truly 3 60 degree partnership. There is a lot of heritage, a mutual trust and respect between both organizations at all levels and the complimentary offerings. You know what you will hear a lot more in the next couple of questions. Uh, we bring to the table together are very unique and very differentiating to the clients which are >>excellent. Dr. Rajesh, walk us through some of those joint offerings that TCS cloud in h e or delivering. >>Yeah, so far. So far. Thanks. I just want to thank the HP team for giving me the opportunity to up to a larger audience. Andi, This new normal. This is the first time I'm doing an interview like this. Thanks for that experience. Actually, as Jules mentioned, this relationship goes a long way. I am talking about the larger PCs were a long relationship, Andi, specifically on the easiest load we started this journey in a very, very practical way. Five years back it was it was started in a very, very small trial and error basis. We started this relationship RPC explode. But at this point in time after So yes, we have taken this into ah, new norm, actually. So I'll give you a couple of examples. One of the examples We have a very major retailer in Germany, which we work so that it was a $1,000,000 deals. Our busiest on GHB. Yes, you wanna unique offering to the customer s AP and a space on that is really growing a lot. And that's the one offering I would like to tell the audience that really has picked up and spent on the relationship in the German region. Right now we are trying to take that up, offering across on other other regions also, so that is one of the key offerings that we are doing it. The other offerings are multiple offerings we are doing. But again, I want to highlight the storage as a service offering. Great. It's everybody in the industry today, Andi, we are experimenting that in the initial stages in Australia we started in Australia a small offering. And now we are expanding it in the US geography in a big way. And this year we are going to make that as a unique offering. And we're going to offer they're all over cloud customers as a storage as a service offering. Also multiple other offering, Lisa. But I just thought that I like this tool which are making our business. We're making a lot of business together with these two offerings >>is the, uh, s AP opportunity that you mentioned is that the Hana as a service that TCS is delivered? >>That's correct. So it's ah, it's a service. But the uniqueness of that particular offering is we jointly created the architecture so that the customer can use that, like a database as a service model. Right? So it was It was not available that time in the industry so easily like what we offered at that point in time to do enough years back. We offer that particular said we spoke a summer and interestingly, that particular offering the customer was using s AP themselves as a service initially, and they migrated their to us actually from Maybe that's a reason they bought HP and TCS. There is like a summer on this API and a platform. So that's the That's the interesting story under, >>if we didn't do that just a little bit further, I wanted the audience to understand the impact that this partnership has H p E and TCS delivering Hana as a service or your customers. What are the benefits there than what the customer, as you said was doing previously? >>Yeah, yeah, I think I just want to highlight the three or four points that make that this offering very unique, and that helps the customer number one is associated with model. So the customer has got the complete flexibility off going up and down like a true cloud model, right? And so it is a really a unique proposition at that point in time, where the customer not a story about using less for some time and then using more sometimes so it's kind of a complete, flexible model that we offered at the time. Number two is, it's a complete customization is possible. It is not like a fixed architecture. The architecture is so flexible so that the customer business needs can be met through the architectural changes. So it's not like normally people think that lotus highly standardized architecture, right? So that has gone out, and we were given a flexible architecture for the customer. That is the number two number three, obviously the cost end of the day. There's a business case which we need to make it work right for the customer. So obviously, with the PCs and HP coming together, we were able to do the costarred, want age with a customer that is the third advantage of that. The last, but not the least, is the quality of service it is it is all about. I always used to tell my partners that selling is easy. Delivering it is what it's important it is, which will make the customer to stick with you, right? The were given and delivery quality experience who our customer s so that I think that makes a very unique proposition from a technology perspective from a pricing. But but from an architecture and also from the delivery perspective. So those are the few few things I just thought that I violated. >>Excellent. So a couple of words that you mentioned popped into my mind as really even more well, have a different meeting as we're in summer 2020 flexibility and unique offering chills back to you from a go to market perspective. How is that relationship with HP? And he says, changing in the Koven era. >>Yeah, it's pretty interesting, and I would like to call it an example off. You know, what we see is is that you themselves during the corporate times, you know, it also came in the in the pets close to 90% of the workforce. We're 100% productive. Uh, and, uh, they have a plan to go 75% of the employees, you know, go being remote by 2025. Right? So that's the journey they're taking on. And another thing that you notice there's a lot of the, you know, During the corporate times, many of the customers were looking for solutions like virtual desktop infrastructure. So they wanted their employees to be productive, bi directional and in the other area of focus was like a TCP, you know, how do I kind of make sure on the applications are available to you? The customers and also do their internal organizations. So we've seen a lot off. I would say engagement with that is I could picture team and also the solution team toe address This requirements off the market joint >>when we look at certain things that now might even be more important with this new normal, if you will, that the fact that most companies are still in phase one of this work, everyone works from home trying to get to a phase to that might see some some maybe by function groups coming back to the office and then getting to this third. Maybe it's the new nirvana of some hybrid workforce, where there's gonna be some that come back permanently, and some that Don't and Tony Unirea chose, I saw was quoted last month as saying he thinks that 50% of the workforce will only 50% will come back. So in this new not only hybrid I T environment in which your customers love it now, this new pending hybrid workforce environment how are you addressing some of the concerns together with respect to the network connectivity security, >>I will just take the cost anything. It's a very, very interesting at least when we all ended up in this pandemic in March. We really very, very nervous, actually, because everyone has to operate remotely on we are. We are dealing with the customer data. It's ah, it's very, very important that we have a secure environment to access the information and at the same time maintain the integrity of the data and also the quality off the plate. Those other two primary objective for us. We don't want to compromise on quality. We don't want to compromise on security from a cloud perspective. So the solution we have put in really, I just give you one example there was on the airline Ah, UK based the airline industry airline company which they need that workforce overnight. They want everybody to go remote because you know you cape on. They just put up condition that nobody can work from the office overnight and then terror ports as toe work from home purchases, implement the solution for them on our clothes overnight and make that 1000 employees store from home the next day morning. All of them started working with full quality of services and also with a full security aspect of it, has been taken care ornate on the solution. We are deployed. Very interesting case study on The important thing we have done is use the technology to the port. Use all kinds of technology to make sure that the employees that work from home we took care of the network connectivity. We took our eye off the security aspects off the data from security aspects. We've implemented all the security functions from really APIs. But people, Children stop perspective. Andi, make the workforce enable that. But now you are talking about millions off millions of workers going to work from home. Right? Because it is one example for one company we have done that now the easiest themselves has got more than 400 1000 employees. And we are talking about millions off our pores, going to work from home on going forward. So that is I'm seeing this as a big opportunity. It's not that everybody has are just this at this point in time, I'm seeing this as an opportunity where on the cloud easiest cloud kind off. The solution is going to help them to achieve this. And this is a great opportunity for not only for PCs, but also for HP because the solution we're putting together with the HP is more on the digital or course how we can enable the people to work from home, not compromising on as I mentioned from a security you're in from millions perspective. So I'm seeing this as an opportunity for both the organization, and it's a long way to go is we need to work on this. It's not. We don't have a magic want to make the millions off workers to work from home, but it is going to have all soon and probably in the next step. Yeah, so we may achieve this, impair people off. The workforce is going to go remotely on this list. So that's that. And my take on this >>is so the impact that HP and TCS Herb being able to make for customers who have had to massively transform their entire workforce overnight, as he said, to work from home to talk about some of the new maybe new solutions or new business opportunities that HPC is partnering with TCS shells, we'll start with you in this new era, >>Yeah, so if you look at it, I just taking it again on extension off of the projects. What he just mentioned about the percentage of employees going remote Lisa across industries today. I would say less than 20% of the employees are actually working remote or they have the ability. But the organizations have the ability to support the employees going, and if you have to take it to 50% so you can look at the kind of opportunity we have both as HP and as PCs. So we bring in a lot of best in breed infrastructure from for enabling the employee workforce to know where it is. I would say capacity off workloads and it's all workload specific. And what business does this or when people Pretty easy as we kind of bundle that creating a reference architecture or a giant architect picture addressing the customers by industry word. So because one what suits for one vertical may not be really suiting well for a different world, right? For example, if you take a banking sector are playing, a workstation solution would look very different from somebody's doing remote work in retail, so we kind of continuously engage with the PCs, and that's where both of us have joint lab as well, where our technologies and pieces technologies come together, working on joint solutions and assisting the market in terms of the opportunity lights. And we offer this as part of A C is our digital workplace offerings. >>Are your conversations Dr Additional go to you or your conversations when you're jointly selling, changing in terms of who your audience is? Is this now a C level conversation? Since these leaders and we've heard leaders of Google and Facebook already last month saying Work from home extended still 2021. Is this now at the C suite level, where you guys are helping them really understand how to completely change and digitize their entire way of doing business? >>Absolutely. I think it's a great question, and it's actually the opportunity goes beyond the work from home solution. As you rightly I want to know that it is. It is all about digitization. It is all about digitizing their whole business process. It is not anymore infrastructure. Our application solution. It is more about really finding that business process be defending. The way the business is going to operate in future is the discussion we are having so a lot of these discussions are happening at a very, very high level and with the business team also directly so earlier, you used to interact with the technology partners off our organization. But now we are interacting directly with the head of business are the C level except of the company. And that is the reason the exact reason is Ah, you. If you want your ports to be productive remotely, you can't just offer them on network on. You can't offer them just a solution to work from home. But you need to really find your whole business process you need. You need to digitize your infrastructure. You need to digitize your application. You need to rethink your whole process off. You're operating on it, so that's what I'm seeing. It's not only an opportunity for our players like a business cloud, but it is the opportunity for a bigger opportunity for PCs. And it should be not only in terms off on infrastructure in our cloud business, it goes beyond that. So that is that is the kind of an opportunity we're seeing, especially in the in the sectors of healthcare you're seeing major reforms are happening in the healthcare industry as we speak, and obviously manufacturing is going to go through a lot of changes. Also from that. And retail obviously has gone through a lot of changes already in terms of online, uh, stuff, but know that also going to go through changes in this new era? Yes, >>I have to ask you shelled, talking about redefining? That's a word that we've seen so many years in a row at tech conferences, right, this technology redefining this business or that industry. And now, of course, we're being redefined by an invisible virus. But how? How is the sales process being redefined? Is it a lot more accelerated because businesses have to put together new plans to continue operations? >>Yeah, again, a great question. Is this how you have? You know, I would say it's divided by industry body. It's not a uniform thing by, as not British was saying, every industry has got its own, its own set of challenges and its own set of opportunities, and some of them are really actually doing well even in times like and some of them have seen, Really. I mean, like, travel our transportation or you know some of those industries are, and even hospitality that's kind of affected big time. So our view of you know, the entire sales engagement of the processes we're spending more time on there. We really need to focus and which can help improve the businesses. Right? So the conversation's ready from How do I take the cost out in terms of how can I make a little more investment to get greater returns from the business? So it's like it's completely, I would say, an interesting pain and engaging compositions and decisions are happening. So we, if you look at us from an automatic perspective, the Internet to the sales team is armed with various virtual tools like we know you zoom views Skype using SMS teens. So all the tools available to make sure that we're able to connect with all our partners and customers on do enable joint business together. >>I just want oh, I add to it, Lisa, 111 point. I want bad, Really interesting change I'm seeing on the sales is normally we respond to it. I asked from a customer that is a sales happens. I want this many days. Do it and then what you can do with a solution that is a normal sales process. What I have seen that has changed completely. Yes, we go and tell the customer, Is this what you need Actually, to make you yourself your business? Better? This is the new offerings I'm having good. And this offering is going to help you to solve the problem what you are having today. So we are engaging a different level off sales conversation today with our customers. We know the problem of the customer because we are working with them for many years and we know exactly what they're going through. And we also know what new offerings we are having in this. So we are engaging the discussion with the customer doing that. This is my new offering. This is going to help you to solve this problem. But that is a different angle of sales we have seen nowadays they spend on it. >>The last question shells to you. We started our interview today talking about the HP TCS relationship. You talked about how it's evolved. Last question. You talked to me about H B's strategy. How does it match TCS Alfa Cloud offering. >>Yeah, so again, a great question, Lisa, if you look at our strategy, is to accelerate the enterprises with it. Centric and cloud enable solutions which are workload up, optimized and delivered everything as a service. And whatever you heard from Dr Rogers through this entire conversation was about how do we give as a service model you gave an example of honor. You gave an example off, you know, going how optimizing workloads for video and getting employees to be able to be productive remotely and all of that kind of extremely resonate well with, you know, what we see is confined to price. Cloud offering is bringing to the table for the customer and the underlying platform. You know, we kind of elaborate extensively and closely with the easiest architecture. Seem to have the HP portfolio off. You know, the compute and storage portfolio integrated as part of their offering, and we go together to market, you know, and addressing and kind of an ask service model. 1,000,000,000. >>Excellent. Well, shells Dr. Rajesh, pleasure talking with you both today about what UCS and H e are doing together and some of the ways that you're really helping businesses move forward in these uncertain times, we appreciate your time. >>Thank you. Thank you for represents. Thanks. Thank >>you. Dr Rajesh. >>My guest. I'm Lisa Martin. You're watching the Cube's coverage of HP Discover 2020. The virtual experience. Thanks for watching. >>Yeah, yeah, yeah.

>>from around the globe. It's the Cube covering HP Discover virtual experience brought to you by HP. >>Welcome to the Cube's coverage of HP Discover 2020. This is the virtual experience. I'm Lisa Martin with the Cube, and I'm joined by a couple of guys who were gonna talk through one of HPC ease. Longest partnerships. We've got shells. No Ryan and the senior director Ecosystem sales for North America at HP and Dr Rajesh Boston, the global head of sales and solutions for the TCS. Wow. Gentlemen, welcome to the Cube. >>Thank you. >>So, first question for you, as I mentioned, HP and TCS have been partners for over 30 years. Talk to our audience about the partnership and how it has evolved to where it is today. >>Yeah. Thank you, Lisa. Firstly, you know, I'm pretty excited to be part of this Cube interview with garages. I know. I know him personally for over five years through various interactions globally and this new role for North America. This is our strategy and global system integrator partner. And this is a longstanding partnership between HP and this years has grown multi falls over the last 30 years. We you know, pretty much enjoyed every single I would say transactions or the business engagements, what we've had so far. And we liberate each other for our internal I T requirements and also to drive joint, go to market initiatives across the world. That's making this a truly a 3 60 degree partnership. There is a lot of heritage, a mutual trust and respect between both organizations at all levels and the complimentary offerings. You know what you will hear a lot more in the next couple of questions we bring to the table together are very unique and very differentiating to the clients, which are >>excellent. Dr. Rajesh walk us through some of those joint offerings that TCS cloud in h e or delivering. >>Yeah, so far so far. Thanks. I just want to thank the HP team for giving me the opportunity to off to a larger audience. Andi, This new normal. This is the first time I'm doing an interview like this. Thanks for that experience. Actually, as James mentioned, this relationship goes a long way. I am talking about the larger PCs were a long relationship. Andi, specifically on the easiest flowed. We started this journey in a very, very practical way. Five years back it was it was started in a very, very small trial and error basis. We started this relationship RPC explode. But at this point in time after So yes, we have taken this into, ah, new norm, actually. So I'll give you a couple of examples. One of the examples We have a very major retailer in Germany, which we work so that it was a multi $1,000,000 deals, our busiest on GHB. He has been a unique offering to the customer s AP, and a space on that is really growing a lot. And that's the one offering I would like to tell the audience that really has picked up and spent on the relationship in the German region. Right now we are trying to take that up, offering across on other other regions also, so that is one of the key offerings that we are doing it. The other offerings are multiple offerings we are doing, but again, I want to highlight the storage as a service offering. Great. It's everybody in the industry today, Andi, we are experimenting that in the initial stages in Australia, we started in Australia a small offering. And now we are expanding it in the US geography in a big way. And this year we are going to make that as a unique offering. And we're going to offer they're all over cloud customers as a storage as a service offering. Also, multiple other offering. Lisa. But I just thought that I like this tool which are making our business. We're making a lot of business together with these two offerings >>is the, uh, s AP opportunity that you mentioned is that the Hana as a service that TCS is delivered? >>That's correct. So it's ah, it's a service. But the uniqueness of that particular offering is be jointly created the architecture so that the customer can use that, like a database as a service model. Right? So it was It was not available that time in the industry so easily like what we offered at that point in time to do enough years back. We offer that particular said we spoke a summer and interestingly, that particular offering the customer was using s AP themselves as a service initially, and they migrated their to us actually from Maybe that's a reason they bought HP and PCs. That is like a summer on this API and a platform. So that's the That's the interesting story under, >>if we didn't do that just a little bit further, I wanted the audience to understand the impact that this partnership has H p E and TCS delivering Hana as a service for your customers. What are the benefits there than what the customer, as you said was doing previously? >>Yeah, yeah, I think I just want to relay the three or four points that make that this offering very unique, and that helps the customer number one is associated with model. So the customer has got the complete flexibility off going up and down like a true cloud model, right? And so it is a really a unique proposition at that point in time, where the customer not a story about using less for some time and then using more sometimes. So it's kind of a complete, flexible model that we offered at the time. Number two is, it's a complete customization is possible. It is not like a fixed architecture. The architecture is so flexible so that the customer business needs can be met through the architectural changes. So it's not like normally people think that lotus highly standardized architecture, right? So that has gone out, and we were given a flexible architecture for the customer. That is the number two number three, obviously the cost end of the day. There's a business case which we need to make it work right for the customer. So obviously, with the PCs and HP coming together, we were able to do the costarred, want age with a customer that is the third advantage of that. The last, but not the least, is the quality of service it is it is all about. I always used to tell my partners that selling is easy. Delivering it is what it's important it is, which will make the customer to stick with you, right? The were given and delivery quality experience who our customer s so that I think that makes a very unique proposition from a technology perspective from a pricing, but from an architecture and also from the delivery perspective. So those are the few few things I just thought that I violated. >>Excellent. So a couple of words that you mentioned popped into my mind as really even more well have a different meeting as we're in summer 2020 flexibility and unique. Offering chills back to you from a go to market perspective. How is that relationship with HP? And he says, changing in the Koven era. >>Yeah, it's pretty interesting, and I would like to call it an example off. You know, what we see is is that you themselves during the corporate times, you know, it also came in the pets close to 90% of the workforce. We're 100% productive. Uh, and, uh, they have a plan to go 75% of the employees, you know, but go being remote by 2025. So that's the journey they're taking on. And another thing that you notice there's a lot of the, you know, During the corporate times, many of the customers were looking for solutions like virtual desktop infrastructure. So they wanted their employees to be productive, bi directional and in the other area of focus was like a TCP, you know, how do I kind of make sure on the applications are available to you, the customers and also do their internal organizations? So we've seen a lot off. I would say engagement with that is I could picture team and also the solution team toe address This requirements off the market jointly >>when we look at certain things that now might even be more important with this new normal, if you will, that the fact that most companies are still in phase one of this work, everyone works from home trying to get to a face to that might see some some maybe by function groups coming back to the office and then getting to this third. Maybe it's the new nirvana of some hybrid workforce, where there's gonna be some that come back permanently, and some that Don't and Tony Unirea chose, I saw was quoted last month as saying, I think that 50% of the workforce will only 50% will come back. So in this new not only hybrid I T environment in which your customers love, but now this new pending hybrid workforce environment, how are you addressing some of the concerns together with respect to the network connectivity security, >>I I'll just take the cost anything. It's a very, very interesting at least when we all ended up in this pandemic in March. We really very, very nervous, actually, because everyone has to operate remotely on we are. We are dealing with the customer data. It's ah, it's very, very important that we have a secure environment to access the information and at the same time maintain the integrity of the data and also the quality off the plate. Those other two primary objective for us. We don't want to compromise on quality. We don't want to compromise on security from a cloud perspective. So the solution we have put in really I just give you one example there was on the airline Ah, UK basically are living in the spirit of the company which they need that workforce overnight. They want everybody to go remote because you know you cape on. They just put up a condition that nobody can work from the office overnight on the entire or ports as toe work from home, PTC is implemented the solution for them on our clothes overnight and make that 1000 employees store from home the next day morning all of them started working with the full quality of services and also with a full security aspect of it has been taken care or made on the solution. We are deployed. Very interesting case study on The important thing we have done is use the technology to the poor. Use all kinds of technology to make sure that the employees that work from home we took care of the network connectivity. We took our eye off the security aspects off the data from security aspects. We've implemented all the security functions from a media perspective. Actually stop perspective, Andi. Make the workforce enable that. But now you are talking about millions off millions of workers going to work from home. Right, Because it is one example for one company we have done that note easiest themselves has got more than 400 1000 employees, and we are talking about millions off work force going to work from home on going forward. So that is, I'm seeing this as a big opportunity. It's not that everybody has are just this. At this point in time, I'm seeing this as an opportunity where on the cloud easiest cloud kind off. The solution is going to help them to achieve this, and this is a great opportunity for not only for PCs but also for HP because the solution we're putting together with the HP is more on the digital or course how we can enable the people to work from home, not compromising on as I mentioned from a security you're in from millions perspective. So I'm seeing this as an opportunity for both the organization, and it's a long way to go is we need to work on this. It's not. We don't have a magic want to make the millions off workers to work from home, but it is going to have all soon and probably in the next step. Yeah, so we may achieve this. Impair people's off. The workforce is going to go remotely on this list. So that's that. And my take on this >>is so the impact that HP and TCS herb being able to make for customers who have had to massively transform their entire workforce overnight, as he said, to work from home to talk about some of the new maybe new solutions or new business opportunities that HPC is partnering with TCS shells, we'll start with you in this new era, >>Yeah, so if you look at it, I just taking it again on extension, offered up by just what you just mentioned about the percentage of employees going Lisa across industries today. I would say less than 20% of the employees are actually working remote or they have the ability. But the organizations have the ability to support the employees going, and if you have to take it to 50% so you can look at the kind of opportunity we have both as HP and as PCs. So we bring in a lot of best in breed infrastructure from for enabling the employee workforce to know where it is. I would say capacity off workloads and it's all workload specific. And what business does is over when people pretty easy as we kind of bundle that creating a reference architecture or a giant architect architecture addressing the customers by industry body. So because one what suits for one vertical may not be really suiting well for a different world, right? For example, if you take a banking sector, our traded workstation solution would look very different from somebody's doing remote in a retail. So we kind of continuously engage with the PCs, and that's where both of us have joint lab as well, where our technologies and pieces technologies come together, working on joint solutions and assisting the market in terms of the opportunity lights. And we offer this as part of A C is our digital workplace offerings. >>Are your conversations Dr Additional go to you or your conversations when you're jointly selling, changing in terms of who your audience is? Is this now a C level conversation? Since these leaders and we've heard leaders of Google and Facebook already last month saying Work from home extended still 2021. Is this now at the C suite level, where you guys are helping them really understand how to completely change and digitize their entire way of doing business? >>Absolutely. I think it's a great question, and it's actually the opportunity goes beyond the work from home solution. As you rightly I want to know that it is. It is all about digitization. It is all about digitizing their whole business process. It is not anymore infrastructure. Our application solution. It is more about really finding that business process be defending. The way the business is going to operate in future is the discussion we are having so a lot of these discussions are happening at a very, very high level on with the business team. Also directly, so earlier you used to interact with the technology partners off our organization. But now we are interacting directly with the head of business are the C level except of the company. And that is the reason the exact reason is Ah, you. If you want your ports to be productive remotely, you can't just offer them on network on. You can't offer them just a solution to work from home, But you need to really find your whole business process you need. You need to digitize your infrastructure. You need to digitize your application. You need to rethink your whole process off. You're operating on it, so that's what I'm seeing. It's not only an opportunity for our players like PCs cloud, but it is the opportunity for a bigger opportunity for PCs and be not only in terms off on infrastructure in our cloud business, it goes beyond that. So that is that is the kind of an opportunity we're seeing, especially in the in the sectors of healthcare you're seeing major reforms are happening in the healthcare industry as we speak on, obviously, manufacturing is going to go through a lot of changes. Also from that. And retail obviously has gone through a lot of changes already in terms of online, uh, stuff, but know that also going to goto changes in this new era? Yes, >>I have to ask you shelled talking about redefining? That's a word that we've seen so many years in a row at tech conferences, right, this technology redefining this business or that industry. And now, of course, we're being redefined by an invisible virus. But how is how is the sales process being redefined? Is it a lot more accelerated because businesses have to put together new plans to continue operations? >>Yeah, again, a great question. Is this how you have? You know, I would say it's divided by industry body. It's not a uniform thing. By, as the British was saying, every industry has got its own, its own set of challenges and its own set of opportunities, and some of them are really actually doing well even in times like and some of them have seen, Really. I mean, like, travel our transportation or, you know, some of those industries are and even hospitality that's kind of affected big time. So our view of you know, the entire sales engagement of the processes we're spending more time on there. We really need to focus and which can help improve the businesses. Right? So the conversation's ready from How do I take the cost out in terms of how can I make a little more investment to get greater returns from the business? So it's like it's a completely I would say, an interesting pain and engaging compositions and decisions are happening. So we, if you look at us from an automatic perspective, the sales team is armed with various virtual tools, like We know you zoom views Skype using SMS teens. So all the tools available to make sure that we're able to connect with all our partners and customers on do enable joint business together. >>I just want oh, I add to it, Lisa, 111 point. I want to ride Really interesting change I'm seeing on the sales is normally we respond to ask from a customer that is a sales happens. I want this many days do it and then what you can do with a solution That is the normal sales process. What I have seen that has changed completely. Yes, we go and tell the customer, Is this what you need Actually, to make you yourself your business? Better? This is the new offerings I'm having good. And this offering is going to help you to solve the problem what you are having today. So we are engaging a different level off sales conversation today with our customers. We know the problem of the customer because we are working with them for many years and we know exactly what they're going through. And we also know what new offerings we are having in this. So we are engaging the discussion with the customer doing that. This is my new offering. This is going to help you to solve this problem. But that is a different angle of sales we have seen nowadays in this. A friend of it, >>the last question shells to you. We started our interview today talking about the HP TCS relationship. You talked about how it's evolved. Last question. You talked to me about H B's strategy. How does it match TCS Alfa Cloud offering? >>Yeah, so again, a great question, Lisa, if you look at our strategy is to accelerate the enterprises with it. Centric and cloud enable solutions which are workload optimized and delivered everything as a service. And whatever you heard from Dr Rogers through this entire conversation was about how do we give as a service model you gave an example of Hana? You give an example off, you know, going optimizing workloads for VD I and getting employees to be able to be productive remotely and all of that kind of extremely resonate well with you know, what pieces are defined to. Price cloud offering is bringing to the table for the customer and the underlying platform. You know, we can have yeah, extensively and closely with the easiest architecture being tohave the HP portfolio off. You know, the compute and storage portfolio integrated as part of their offering, and we go together to market, you know, addressing and kind of an ask service model. 1,000,000,000. >>Excellent. Well, shells Dr Rajesh, pleasure talking with you both today about what UCS and H e are doing together in some of the ways that you're really helping businesses move forward in these uncertain times, we appreciate your time. >>Thank you. Thank you. For instance. Thanks. >>Thank you. Dr Rajesh. >>My guest. I'm Lisa Martin. You're watching the Cube's coverage of HP Discover 2020. The virtual experience. Thanks for watching. >>Yeah, Yeah, yeah, yeah, yeah.

>>from around the globe. It's the Cube covering HP. Discover Virtual experience Brought to you by HP. >>Welcome back to the Cube's coverage of HP Discover. 2020. The virtual experience. The Cube. The Cube has been virtualized. My name is Dave Vellante. I'm here with Stuart Minuteman and our good friend Tim Crawford is here. He's a strategic advisor to see Io's with boa. Tim, Great to see you. Stuart. Thanks for coming on. >>Great to see you as well, Dave. >>Yes. So let's unpack. What's going on in that Discover Antonio's, He notes, Maybe talk a little bit about the prospects for HP of coming forward in this decade. You know, last decade was not a great one for HP, HP. I mean, there was a lot of turmoil. There was a botched acquisitions. There was breaking up the company and spin merges and a lot of distractions. And so now that companies really and you hear this from Antonio kind of positioning for innovation for the next decade. So So I think this is probably a lot of excitement inside the company, but I want to touch on a couple of points and then you get your guys reaction, I guess, you know, to start off. Obviously, Antonio's talking about Cove in the role that they played in that whole, you know, pandemic and the transition toe the the isolation economy. But so let me start with you, Tim. I mean, what is the sort of posture amongst cios that you talk to? How strategic is HB H B two? The folks that you talk to in your community? >>Well, I think if you look at how CIOs are thinking, especially as we head into covert it into Corona virus and kind of mapping through that, that price, um, it really came down to Can they get their hands on technology? Can they get people back to work working from home? Can they do it in a secure fashion? Um, keeping people productive. I mean, there was a lot of block and tackling, and even to this day, there's still a fair amount of that was taking place. Um, we really haven't seen the fallout from the cybersecurity impact of expanding our foot print. Um, quite. But we'll see that, probably in the coming months. There are some initial inklings there when it comes to HP specifically I think it comes back to just making sure that they had the product on hand, that they understood that customers are going through dramatic change. And so all bets are off. You have to kind of step back and say, Okay, those plans that I had 60 9100 and 20 days ago those strategies that I may have already started down the path with those are up for grabs. I need to step back from those and figure out What do I do now? And I think each company, HP included, needs to think about how do they start to meld themselves, to be able to address those changing customer needs? And I think that's that's where this really kind of becomes the rubber hits the road is is HP capable of doing that? And are they making the right changes? And quite frankly, that starts with empathy. And I think we've heard pretty clearly from Antonio that he is sympathetic to the plight of their customers and the world >>on the whole. >>Yeah, and I think culturally 10 minutes do I mean I think you know HP is kind of getting back to some of its roots, and Tony has been there for a long time. I think people I think is very well liked. Andi, I think, ease of use, and I'm sure he's tough. But he's also a very fair individual, and he's got a vision and he's focused. And so, you know, I think again, as they said, looking forward to this decade, I think could be one that is, you know, one of innovation. Although, you know, look, you look at the stock price, you know, it's kind of piqued in November 19. It's obviously down like many stocks, so there's a lot of work to do there, and it's too. We're certainly hearing from HP. This notion of everything is a service that we've talked about green like a lot. What's your sense of their prospects going forward in this, you know, New Era? >>Yeah, I mean, Dave, one of the biggest attacks we've heard about H E in the last couple of years, you know the line Michael Dell would use is you're not going to grow by, say, abstraction. But as a platform company, HP is much more open. From what I've seen in the HP that I remember from, you know, 5 to 10 years ago. So you look at their partner ecosystem. It's robust. So, you know, years ago, it seemed to be if it didn't come out of HP Labs, it wasn't a product, you know. That was the services arm all wanted to sell HP here. Now, in this software defined world working in a cloud environment, they're much more open to finding that innovation and enabling it. So, you know, we talk about Green Lake Day. Three lakes got about 1000 customers right now, and a big piece of that is a partner. Port Police, whether it's VM Ware Amazon Annex, were H B's full stack themselves. They have optionality in there, and that's what we hear from from users is that they want flexibility they don't want. You know, you look at the cloud providers, it's not, you know, here's a solution. You look at Amazon. There's dozens of databases that you can use from Amazon or, if you use on top of Amazon, so H p e. You know, not a public cloud provider, but looking more like that cloud experience. They've done so many acquisitions over the years. Many of them were troubled. They got rid of some of the pieces that they might have over paid for. But you look at something like CTP them in this multi cloud world in the networking space, they've got a really cool, open source company, the company behind spiffy, inspire. And, you know, companies that are looking at containers and kubernetes, you know, really respond to say, Hey, these are projects that were interesting Oh, who's the company that that's driving that it's HP so more open, more of a partner ecosystem definitely feels that there's a lot there that I respect and like that hp >>well, I mean, the intent of splitting the company was so that HP could be more focused but focused on innovation was the intent was to be the growth company. It hasn't fully played out yet. But Tim, when you think about the conversations that CIOs are having with with HPI today versus what they were having with hpe HP, the the conglomerate of that the Comprising e ds and PCs, I guess I don't know, in a way, more more Dell like so Certainly Michael Dell's having strategic conversations, CIOs. But you got to believe that the the conversations are more focused today. Is that a good thing or a jury's still out? >>No, it absolutely is a good thing. And I think one of the things that you have to look at is we're getting back to brass tax. We're getting back to that focus around business objectives. So no longer is that hey, who has the coolest tech? And how can we implement that tax? Kind of looking from a tech business? Ah, spectrum, you're now focused squarely is a C i. O. You have to be squarely focused on what are the business objectives that you are teamed up for, and if you're not, you're on a very short leash and that doesn't end well. And I think the great thing about the split of HP HP e split and I think you almost have to kind of step back for a second. Let's talk about leadership because leadership plays a very significant role, especially for CIOs that are thinking about long term decisions and strategic partners. I don't think that HP necessarily had the right leadership in place to carry them into that strategic world. I think Antonio really makes a change there. I mean, they made some really poor decisions. Post split. Um, that really didn't bode well for HP. Um, and frankly, I talked a bit about that I know wasn't really popular within HP, but quite frankly, they needed to hear it. And I think that actually has been heard. And I think they are listening to their customers. And one of the big changes is they're getting back into the software business. And when you talk about strategic initiatives, you have to get beyond just the hardware and start moving up the proverbial stack, getting closer to those business initiatives. And that is software. >>Yeah, well, Antonio talked about sort of the insights. I mean, something I've said a lot about borrowed from the very Meeker conversations that that data is plentiful. Something I've always said. Insights aren't. And so you're right. You've seen a couple of acquisitions, you know, Matt bahr They picked up, I think pretty inexpensively. Kind of interesting cause, remember, HP hp had an investment in Horton works, which, of course, is now Cloudera and Blue Data. Ah Kumar Conte's company, you know, kind of focusing on maybe automating data, you know, they talked about Ed centric, cloud enabled, data driven. Nobody's gonna argue with those things. But you're right, Tim. I mean, you're talking more software than kind of jettisons the software business and now sort of have to rebuild it. And then, of course, do this cloud. What do you make of HP ease Cloud play? >>Yeah, well, I >>mean, >>Dave, you the pieces. You were just talking about math bar and blue data, where HP connects it together is, you know, ai ops. So you know, where are we going with infrastructure? There needs to be a lot more automation. We heard a great quote. I love from automation anywhere. Dave was, if you talk about digital transformation without automation, it's hallucination. So, you know, HP baking that into what they're doing. So, you know, I fully agree with Tim software software software, you know, is where the innovation is. So it can't just be the infrastructure. How do you have eyes and books into the applications? How are you helping customers build those new pieces? And what's the other software that you build around that? So, you know, absolutely. It's an interesting piece. And you know, HP has got a lot of interesting pieces. You know, you talk about the edge. Aruba is a great asset for that kind of environment and from a partnership, that is a damn point. Dave. They have. John Chambers was in the keynote. John, of course. Long time partners. He's with Cisco for many years Intel. Cisco started eating with HP on the server business, but now he's also the chairman of pensando. HP is an investor in pensando general availability this month of that solution, and that's going to really help build out that next generation edge. So, you know, a chip set that HP E can offer similar to what we see how Amazon builds outpost s. So that is a solution both for the enterprise and beyond. Is as a B >>yeah course. Do. Of course, it's kind of, but about three com toe. Add more fuel to that tension. Go ahead, Tim. >>Well, I was going to pick apart some of those pieces because you know, at edge is not an edge is not an edge. And I think it's important to highlight some of the advantages that HP is bringing to the table where Pensando comes in, where Aruba comes in and also we're really comes in. I think there are a number of these components that I want to make sure that we don't necessarily gloss over that are really key for HP in terms of the future. And that is when you step back and you look at how customers are gonna have to consume services, how they're going to have to engage with both the edge and the cloud and everything in between. HP has a great portfolio of hardware. What they haven't necessarily had was the glue, that connective tissue to bring all of that together. And I think that's where things like Green Lake and Green Lake Central really gonna play a role. And even their, um, newer cloud services are going to play a role. And unlike outposts and unlike some of the other private cloud services that are on the market today, they're looking to extend a cloud like experience all the way to the edge and that continuity creating that simplicity is going to be key for enterprises. And I think that's something that shouldn't be understated. It's gonna be really important because when I look at in the conversations I'm having when we're looking at edge to cloud and everything in between. Oh my gosh, that's really complicated. And you have to figure out how to simplify that. And the only way you're going to do that is if you take it up a layer and start thinking about management tools. You start thinking about autumn, and as companies start to take data from the edge, they start analyzing it at the edge and intermediate points on the way to cloud. It's going to be even more important to bring continuity across this entire spectrum. And so that's one of the things that I'm really excited about that I'm hearing from Antonio's keynote and others. Ah, here at HP Discover. >>Yeah, >>well, let's let's stay on that stupid. Let's stay on that for a second. >>Yeah, I wanted to see oh interested him because, you know, it's funny. You think back. You know, HP at one point in time was a leader in, you know, management solutions. You know, HP one view, you know, in the early days, it was really well respected. I think what I'm hearing from you, I think about outpost is Amazon hasn't really put management for the edge. All they're doing is extending the cloud piece and putting a piece out of the edge. It feels like we need a management solution that built from the ground up for this kind of solution. And do I hear you right? You believe that to be as some of those pieces today? >>Well, let's compare and contrast briefly on that. I think Amazon and the way Amazon is well, is Google and Microsoft, for that matter. The way that they are encompassing the edge into their portfolio is interesting, but it's an extension of their core business, their core public cloud services business. Most of the enterprise footprint is not in public cloud. It's at the other end of that spectrum, and so being able to take not just what's happening at the edge. But what about in your corporate data center in your corporate data center? You still have to manage that, and that doesn't fall under the purview of Cloud. And so that's why I'm looking at HP is a way to create that connective tissue between what companies are doing within the corporate data center today, what they're doing at the edge as well as what they're doing, maybe in private cloud and an extension public cloud. But let's also remember something else. Most of these enterprises, they're also in a multi cloud environment, so they're touching into different public cloud providers for different services. And so now you talk about how do I manage this across the spectrum of edge to cloud. But then, across different public cloud providers, things get really complicated really fast. And I think the hints of what I'm seeing in software and the new software branding give me a moment of pause to say, Wait a second. Is HP really gonna head down that path? And if so, that's great because it is of high demand in the enterprise. >>Well, let's talk about that some more because I think this really is the big opportunity and we're potentially innovation is. So my question is how much of Green Lake and Green Lake services are really designed for sort of on Prem to make that edge to on Prem? No, I want to ask about Cloud, how much of that is actually delivering Cloud Native Services on AWS on Google on Azure and Ali Cloud etcetera versus kind of creating a cloud like experience for on Prem in it and eventually the edge. I'm not clear on that. You guys have insight on how much effort is going into that cloud. Native components in the public cloud. >>Well, I would say that the first thing is you have to go back to the applications to truly get that cloud native experience. I think HP is putting the components together to a prize. This to be able to capitalize on that cloud like experience with cloud native APS. But the vast majority of enterprise app they're not cloud native. And so I think the way that I'm interpreting Green Lake and I think there are a lot of questions Greenland and how it's consumed by enterprises there. There was some initial questions around the branding when it first came out. Um, and so you know it's not perfect. I think HP definitely have some work to do to clarify what it is and what it isn't in a way that enterprises can understand. But from what I'm seeing, it looks to be creating and a cloud like experience for enterprises from edge to cloud, but also providing the components so that if you do have applications that are shovel ready for cloud or our cloud native, you can embrace Public Cloud as well as private cloud and pull them under the Green Lake >>Rela. Yeah, ostensibly stew kubernetes is part of the answer to that, although you know, as we've talked about, Kubernetes is necessary containers and necessary but not sufficient for that experience. And I guess the point I'm getting to is, you know we do. We've talked about this with Red Hat, certainly with VM Ware and others the opportunity to have that experience across clouds at the Edge on Prim. That's expensive from an R and D standpoint. And so I want to kind of bring that into the discussion. HP last year spent about 1.8 billion in R and D Sounds like a lot of money. It's about 6% of its of it's revenues, but it's it's spread thin now. It does are indeed through investments, for instance, like Pensando or other acquisitions. But in terms of organic R and D, you know, it's it's it's not at the top of the heap. I mean, obviously guys like Amazon and Google have surpassed them. I've written about this with regard to IBM because they, like HP, spend a lot on dividends on share buybacks, which they have to do to prop up the stock price and placate Wall Street. But it But it detracts from their ability to fund R and d student your take on that sort of innovation roadmap for the next decade. >>Yeah, I mean, one of the things we look at it in the last year or so there's been what we were talking about earlier, that management across these environments and kubernetes is a piece of it. So, you know, Google laid down and those you've got Microsoft with Azure, our VM ware with EMS. Ooh! And to Tim's point, you know, it feels like Green Lake fits kind of in that category, but there's there's pieces that fall outside of it. So, you know, when I first thought of Green Lake, it was Oh, well, I've got a private cloud stack like an azure stack is one of the solutions that they have there. How does that tie into that full solution? So extending that out, moving that brand I do here, you know good things from the field, the partners and customers. Green Lake is well respected, and it feels like that is, that is a big growth. So it's HB 50 from being more thought of, as you know, a box seller to more of that solution in subscription model. Green Lake is a vehicle for that. And as you pointed out, you know, rightfully so. Software so important. And I feel when that thing I'd say HPI ee feels toe have more embracing of software than, say, they're closest competitors. Which is Dell, which, you know, Dell Statement is always to be the leading infrastructure writer, and the arm of VM Ware is their software. So, you know, just Dell alone without VM ware, HP has to be that full solution of what Dell and VM ware together. >>Yeah, and VM Ware Is that the crown jewel? And of course, HP doesn't have a VM ware, but it does have over 8000 software engineers. Now I want to ask you about open source. I mean, I would hope that they're allocating a large portion of those software engineers. The open source development developing tooling at the edge, developing tooling from multi cloud certainly building hooks in from their hardware. But is HP Tim doing enough in open source? >>Well, I don't want to get on the open source bandwagon, and I don't necessarily want to jump off it. I think the important thing here is that there are places where open source makes sense in places where it doesn't, um, and you have to look at each particular scenario and really kind of ask yourself, does it make sense to address it here? I mean, it's a way to to engage your developers and engage your customers in a different mode. What I see from HP E is more of a focus around trying to determine where can we provide the greatest value for our customers, which, frankly, is where their focus should be, whether that shows up in open source for software, whether that shows up in commercial products. Um, we'll see how that plays out. But I think the one thing that I give HP e props on one of several things I would say is that they are kind of getting back to their roots and saying, Look, we're an infrastructure company, that is what we do really well We're not trying to be everything to everyone. And so let's try and figure out what are customers asking for? How do we step through that? I think this is actually one of the challenges that Antonio's predecessors had was that they tried to do jump into all the different areas, you know, cloud software. And they were really X over, extending themselves in ways that they probably should. But they were doing it in ways that really didn't speak to their four, and they weren't connecting those dots. They weren't connecting that that connective tissue they needed to dio. So I do think that, you know, whether it's open source or commercial software, we'll see how that plays out. Um, but I'm glad to see that they are stepping back and saying Okay, let's be mindful about how we ease into this >>well, so the reason I bring up open source is because I think it's the mainspring of innovation in the industry on that, but of course it's very tough to make money, but we've talked a lot about H B's strength since breath is, we haven't talked much about servers, but they're strong in servers. That's fine We don't need to spend time there. It's culture. It seems to be getting back to some of its roots. We've touched on some of its its weaknesses and maybe gaps. But I want to talk about the opportunities, and there's a huge opportunity to the edge. David Flores quantified. He says that Tam is four. Trillion is enormous, but here's my question is the edge Right now we're seeing from companies like HP and Dell. Is there largely taking Intel based servers, kind of making a new form factor and putting them out on the edge? Is that the right approach? Will there be an emergence of alternative processors? Whether it's our maybe, maybe there's some NVIDIA in there and just a whole new architecture for the edge to authority. Throw it out to you first, get Tim Scott thoughts. >>Yeah, So what? One thing, Dave, You know, HP does have a long history of partnering with a lot of those solutions. So you see NVIDIA up on stage when you think about Moonshot and the machine and some of the other platforms that they felt they've looked at alternative options. So, you know, I know from Wicky Bon standpoint, you know, David Foyer wrote the piece. That arm is a huge opportunity at the edge there. And you would think that HP would be one of the companies that would be fast to embrace that >>Well, that's why I might like like Moonshot. I think that was probably ahead of its time. But the whole notion of you know, a very slim form factor that can pop in and pop out. You know, different alternative processor architecture is very efficient, potentially at the edge. Maybe that's got got potential. But do you have any thoughts on this? I mean, I know it's kind of Yeah, any hardware is, but, >>well, it is a little hardware, but I think you have to come back to the applicability of it. I mean, if you're taking a slim down ruggedized server and trying Teoh essentially take out, take off all the fancy pieces and just get to the core of it and call that your edge. I think you've missed a huge opportunity beyond that. So what happens with the processing that might be in camera or in a robot or in an inch device? These are custom silicon custom processors custom demand that you can't pull back to a server for everything you have to be able to to extend it even further. And, you know, if I compare and contrast for a minute, I think some of the vendors that are looking at Hey, our definition of edge is a laptop or it is this smaller form factor server. I think they're incredibly limiting themselves. I think there is a great opportunity beyond that, and we'll see more of those kind of crop up, because the reality is the applicability of how Edge gets used is we do data collection and data analysis in the device at the device. So whether it's a camera, whether it's ah, robot, there's processing that happens within that device. Now some of that might come back to an intermediate area, and that intermediate area might be one of these smaller form factor devices, like a server for a demo. But it might not be. It might be a custom type of device that's needed in a remote location, and then from there you might get back to that smaller form factor. Do you have all of these stages and data and processing is getting done at each of these stages as more and more resources are made available. Because there are things around AI and ML that you could only do in cloud, you would not be able to do even in a smaller form factor at the edge. But there are some that you can do with the edge and you need to do at the edge, either for latency reasons or just response time. And so that's important to understand the applicability of this. It's not just a simple is saying, Hey, you know, we've got this edge to cloud portfolio and it's great and we've got the smaller servers. You have to kind of change the vernacular a little bit and look at the applicability of it and what people are actually doing >>with. I think those are great points. I think you're 100% right on. You are going to be doing AI influencing at the edge. The data of a lot of data is going to stay at the edge and I personally think and again David Floor is written about this, that it's going to require different architectures. It's not going to be the data center products thrown over to the edge or shrunk down. As you're saying, That's maybe not the right approach, but something that's very efficient, very low cost of when you think about autonomous vehicles. They could have, you know, quote unquote servers in there. They certainly have compute in there. That could be, you know, 2344 $5000 worth of value. And I think that's an opportunity. I'd love to see HP Dell, others really invest in R and D, and this is a new architecture and build that out really infuse ai at the edge. Last last question, guys, we're running out of time. One of the things I'll start with you. Still what things you're gonna watch for HP as indicators of success of innovation in the coming decade. As we said last decade, kind of painful for HP and HP. You know, this decade holds a lot of promise. One of the things you're gonna be watching in terms of success indicators. >>So it's something we talked about earlier is how are they helping customers build new things, So a ws always focuses on builders. Microsoft talks a lot. I've heard somethin double last year's talk about building those new applications. So you know infrastructure is only there for the data, and the applications live on top of it. And if you mention Dave, there's a number of these acquisitions. HP has moved up the stack. Some eso those proof points on new ways of doing business. New ways of building new applications are what I'm looking for from HP, and it's robust ecosystem. >>Tim. Yeah, yeah, and I would just pick you back right on. What's do was saying is that this is a, you know, going back to the Moonshot goals. I mean, it's about as far away as HP ease, and HP is routes used to be and that that hardware space. But it's really changing business outcomes, changing business experiences and experiences for the customers of their customers. And so is far cord that that eight p e can get. I wouldn't expect them to get all the way there, although in conversations I am having with HP and with others that it seems like they are thinking about that. But they have to start moving in that direction. And that's actually something that when you start with the builder conversation like Microsoft has had, an Amazon has had Google's had and even Dell, to some degree has had. I think you missed the bigger picture, so I'm not saying exclude the builder conversation. But you have to put it in the right context because otherwise you get into this siloed mentality of right. We have solved one problem, one unique problem, and built this one unique solution. And we've got bigger issues to be able to address as enterprises, and that's going to involve a lot of different moving parts. And you need to know if you're a builder, you've it or even ah ah, hardware manufacturer. You've got to figure out, How does your piece fit into that bigger picture and you've got to connect those dots very, very quickly. And that's one of the things I'll be looking for. HP as well is how they take this new software initiative and really carry it forward. I'm really encouraged by what I'm seeing. But of course the future could hold something completely different. We thought 2020 would look very different six months ago or a year ago than it does today. >>Well, I wanna I want to pick up on that, I think I would add, and I agree with you. I'm really gonna be looking for innovation. Can h P e e get back to kind of its roots? Remember, H B's router invents it was in the logo. I can't translate its R and D into innovation. To me, it's all about innovation. And I think you know cios like Antonio Neri, Michael Dell, Arvind Krishna. They got a They have a tough, tough position because they're on the one hand, they're throwing off cash, and they can continue Teoh to bump along and, you know, placate Wall Street, give back dividends and share buybacks. And and that's fine. And everybody would be kind of happy. But I'll point out that Amazon in 2007 spent spend less than a $1,000,000,000 in R and D. Google spent about the back, then about the same amount of each B E spends today. So the point is, if the edge is really such a huge opportunity, this $4 trillion tam is David Foyer points out, there's a There's a way in which some of these infrastructure companies could actually pull a kind of mini Microsoft and reinvent themselves in a way that could lead to massive shareholder returns. But it was really will take bold vision and a brave leader to actually make that happen. So that's one of things I'm gonna be watching very closely hp invent turn r and D into dollars. And so you guys really appreciate you coming on the Cube and breaking down the segment for ah, the future of HP be well, and, uh and thanks very much. Alright. And thank you for watching everybody. This is Dave Volante for Tim Crawford and Stupid men. Our coverage of HP ease 2020 Virtual experience. We'll be right back right after this short break. >>Yeah, yeah, yeah, yeah.