(upbeat music) >> Facilitator: From theCUBE studios in Palo Alto in Boston, connecting with other leaders all around the world. This is a CUBE conversation. >> Java is the world's most popular programming language. And it remains the leading application development platform. But what's the status of Java? What a customers doing? And very importantly, what is Oracle's and the community strategy with respect to Java? Welcome everybody to this Java power panel on theCUBE. I'm your host, Dave Vellante. Manish Gupta here, he's the Vice President of Global Marketing at Java for Oracle, Donald Smith is also on the panel, and he's the Senior Director of Product Management at Oracle and we're joined by David Floyd who is a CTO of Wikibon Research and has done a number of research activities on this very topic. Gentlemen, welcome to theCUBE, great to see you. >> Thank you. >> Thank you. >> Manish, I want to start with you. Can you help us understand really what dig into Oracle strategy with respect to Java. The technology, the licensing, the support. How has that evolved over time? Take us through that. >> Dave, with 51 billion JVMs deployed worldwide, Java has truly cemented its position as the language of innovation and the technology world. There's no question about that. In fact, I like to say it's really the language of empowerment. Given the the impact it has had numerous applications ranging from the Mars Rover to genomics and everything in between. As Oracle acquired sign over 10 years ago, it's really kept it front of mind, two aspects of what we want to do with the technology and the platform. The first one was to ensure there was broad accessibility to the technology and the platform for anybody that wanted to benefit from it. And the second one was to ensure that the ecosystem remained vibrant and thriving throughout. I managed to do both. And underpinning these two objectives were really three pillars of our strategy. The first one was around trust, ensuring that openness and transparency of the technology was as was before continued to be the case going forward. The second element of that within the trust pillar was to ensure that as enterprises invested in the technology that investment was protected, it was not, you invest and you lose over a period of time in a backward compatibility, interoperability, certifications, were all foundational to the platform itself to the features, to the innovation moving forward. And more recently as we have rethought to the support, the licensing and the overall structure of the pricing that we have ensured that ultimately the trust comes along in those dimensions as well. So the launch of the Java subscription came along with, pay as you go model, it's a transparent pricing structure and discuss structure published on the website. So you can go and see what it would cost for the desktop on servers or cloud deployment. So those were the things that made kind of the first pillar happen. The second one was Dunno innovation. Over the last 25 years, Java has stood the test of time. It has delivered the needs of today while preparing for the future. And that remains the case. It is not something that has sort of focused on the fat of the day and the hot thing for the day, but really more important that it is prepared to deal with the mission critical, massive scale deployments that can run for years, for decades, in some cases. And keeping that in mind, Oracle has continued to put more and more technology into the open source world with every release that comes out, you can see 80 plus percent of the contributions come from Oracle. So that's the second pillar around innovation. And the third piece of the strategy has been around predictability. Ensuring that Java, the technology and platform perform as advertised, and that goes into the feature releases, it goes into the release process, it goes into the fact that you were broadly within the open JDK environment for developing and executing the roadmap. From a CIO standpoint, it's important to know that the technology used to develop your applications has talent around. And your, if you're going to develop something like Java, you'll find the right Java engineers to do the job. That is not a question, right? And so that's part of predictability. And finally, again with the change in the six months release cadence that came about three years ago, with the release of Java 10, we've really made sure that it's not, no, a bunch of things come about. You don't know when they're going to be released, but you know, like clockwork, you'll have a new Java list every six months. And that's been the case every March and September, since Java 10, you've had a new release of Java with certain features that come up and we just launched Java 15. So trust innovation predictability, have really been the three pillars on which we've executed the strategy for Java. >> Excellent, thank you for that intro, and we're going to get into it now. I'm glad you mentioned the sun acquisition. I said at the time that Java was the linchpin of that acquisition, many people, of course, we looked at the integration piece with the hardware, but it was really Java and the capabilities that it brings. And of course, a lot of Oracle software written in Java and not the least of which is a fusion. But now let's get into the components of this. And I want to talk a little bit about the methodology of this and going to call on you David Floyer. But essentially my understanding is that Wikibon went through and David, you led this, you did a technical deep dive, which you always do, did a number of in depth interviews with Java customers. And then of course you also did a web survey and then you built from that data and economic model. So you can try to understand the sort of dimensions of the financials if you will. So what were your key findings there? >> So the key findings were that Java was in a good state that people were happy with the Java. The second key finding is that the business case itself for using the Oracle services, the subscription services was good. It didn't mean to say that that wasn't for every company, the right way to do it, but there was a very good return on that. And the third area was that there was a degree of confidence that the new way of doing things, the six-month cycle, as opposed to the three-year cycle was overall a benefit to the rate of change, the ability for them to introduce new features quickly. >> Okay, well, I mean, you know, and I read that research. And to me my takeaways where I saw the continued relevance of Java, which is kind of goes without saying, but a lot of times it gets lost in the headlines. That subscription piece is key. We're going to get into some of the economics as to how that affects customers and it saves you money. And the other piece was the roadmap becoming more transparent. And I don't want to dig into that a little bit, but before we do, let's get into that innovation component Manish, mentioned that several times, but Don, I want to go to you guys. We have a slide on the various components of the innovation. If you would bring this up and Don I wonder if you could talk to this and give us some examples if you would. >> Yeah, sure. So we were the number one development platform for the last 25 years. We want to be the number one development platform for the next 25 years. And in order to do that, we have to be constantly innovating and constantly innovating not only the business side in terms of the subscription and the support offerings and commercial features like Manish was talking about, but also the platform in general. And so the way we like to talk about innovation as we break it down by these pillars that you can see on the slide. And so the first pillar is continuous improvements to the language. So this is watching developers trying to write the same piece of code over and over again, and us asking, can we make you more efficient? Can we give you more language features that reduce the amount of boilerplate that you have to write? The second pillar is a project that we just announced a few months ago called Leyden. And the idea with Leyden is addressing the longterm pinpoints of Java slow startup time and time to peak performance. So if you go back 10 years ago, everybody knows about Java as an enterprise platform, Java EE application servers. They all had the notion of being very long lived. And so Java at that time would be optimized towards long lived applications, startup, and performance. Where if it took a little while to get there, it didn't matter as long as when it got there, it was super fast. And so we're trying to get that peak performance faster in the world of microservices. In a similar vein with project loom, we're looking at making concurrency simple again, looking at how developers are doing more reactive style programming and realizing that the threading model needs to be rethought from the ground up, that project is looking really, really good. Then we have project Panama. Project Panama is all about making it easier to connect Java with native libraries. Valhalla is all about improving, there's a couple of benefits, but it's all about improving memory density and being able to access and iterate and operate over primitive data types at super fast speeds by better optimizing how that information is stored in memory. And then the other pillar of the final pillar that we have been working on from an innovation perspective is ZGC. We introduced a new garbage collector technology a few years ago, G1GCE a generational garbage collector with the eye towards making garbage collection in Java pause lists. So if you, again, if you go back in time and look at the history of Java, memory management is awesome, but there's always that cost and risk of a garbage collection cycle, taking a bit of time away from a critical application. And ZGC is all about getting rid of that. So lots of innovation, lots of different pillars going on right now. >> Awesome, I'm impressed. There's something after Valhalla. I thought that was Nirvana. (laughing) But now, and these are all open source projects, right? And you guys obviously provide committers, there are other people in the open source world who provide that, is that correct Don? >> Yeah, that's correct. We have about 80% of the contributions in open JDK. We are the stewards of open JDK and lead the project. Most of the pillars I talked about here are you know Oracle folks working on that. >> Awesome. Okay, let's get into some of the data. David, I want to come back to you and talk about some of the survey results guys, if you bring up that next slide. Why David, why do people upgrade? What are the drivers? It's really talks to the large companies and what's different from the small company or mid-size companies? What are the takeaways here? >> David: Well, so this is interesting, and as you might expect, large enterprises, have very concerned about application stability. Whereas midsize or enterprises are much more concerned about the performance, making sure that the performance is good. They are both concerned about reliable performance and security, but it's interesting that from a regulation point of view, mid-size companies really want to make sure that they are obeying the regulations, that they are meeting those. Whereas larger organizations usually have their own security and regulation functions looking very hard at these things. So that looking less to the platform to provide those than their own people. >> Yeah, I think you're right. I think the midsize organizations don't have as many people running around taking care of security and it's harder for them to keep up with the edicts of the organization. So they want to stay more current. Don, I wonder if you can add anything to this data from an innovation standpoint. >> Yeah, well, and from a product management standpoint, and what we see here is when you look at just going from fortune 500 to global 2000, you see things that are important to one or less so than the other. You can extrapolate that all the way down to a small company or a startup. And that's why providing the most flexibility in terms of an offering to allow people to decide what, when, where, and how they would be going to upgrade their software so they can do it when they want, and on their own terms. You can see that that becomes really important. And also making sure that we're providing innovation in a broad way so that it'll appeal both to the enterprise and again extrapolating that forward down to even very small startups. >> You know, David, the other thing that struck me in the data, if we bring up that other piece is the upgrade strategy, and there was a stark difference between large enterprises and midsize organizations. Talk to this data, if you would. >> Yes, this is again, a pretty stark difference between them. When you're looking at large enterprises, they really wants stability and they don't want to upgrade so often. Whereas mid-size enterprises, are much more willing to both upgrade on a regular cadence and really have a much more up-to-date, or have always have the latest software. They're driving smaller applications, but they're much more agile about their approach to it. Again, emphasizing what Don was saying about the smaller enterprises wanting a different strategy and a different way of doing things than large enterprises. >> So Manish this says to me that you got it right from a strategy standpoint. I mean, any color you can add here. >> Yeah, it's very intuitive that whether you're a large organization, a mid-sized enterprise or a small business, right? You face competitive pressures, your dynamics are unique. What you're able to do with the resources, what you desire to do at the pace that is appropriate for your environment, are really unique to you, and to try to force one model across any one size or across any set of dynamics is just not appropriate. So we've always felt that giving the enterprises and the organization, the ability to move at the pace of their business is the right approach. And so when we designed the Oracle Java SE subscription, we truly have that front and center in our thought process. And that structure seems to be working well. >> David, what I like about the way you do research is you actually build an economic model. A lot of these business value projects. I know this well, having been in the business a long time, they'll go out to ask the customer what they got, and then the customer said, "Well, I got a 111% ROI, and boom, that's what it is. You actually construct an economic model, you bring in rules of thumb, it allows you to do what ifs you can test that model and calibrate it against the real world. So I commend you on that. You've done a lot of hard work there, but bottom line at forests, I mean, let's bring up the economics. I mean, that's what people ultimately want to know. Does this save me money? What's the bottom line here? >> Yeah. Yes, that's a very important question. And the way we go about it is to ask the questions so that we can extract from those questions, how much effort it took, for example, to upgrade things, how much effort it took for important applications and not so important applications. So we have a very detailed model driven by the survey itself and in the back of the research, I'm a great believer that you should be able to follow exactly what the research said, what the survey said and how it was applied to the model. So, and what were you focused on was, what was the return of using the Java subscription service or taking an upgrade every six months? Those were the two ways that we looked at it. And for large enterprises, the four-year costs for the enterprise was $11 million, but for taking the additional subscription service, and this was well well covered, the payback is within a year, well covered by the lower costs of managing in a lot of systems and environment. And we found a very similar result on those midsize services. There, it was 3 million, and again, they got that back the year in terms of payback. So, but that's one alternative. There is another alternative that may be worthwhile the extra money if you really want to be up-to-date and or if you want to drive a much more aggressive strategy for your organization. >> So these are huge numbers. I mean, he's talking about 30% savings on average for large and mid-sized enterprises in the percentage terms, but the absolute dollars are actually enormous. So, you know, large companies here, we're talking about $20 billion enterprises with 500 or more Java applications. And mid-size is, you're talking about a couple, two, $3 billion companies. Manish, what are you saying in the customer base in terms of the economics? >> Yeah, you know anytime an organization is looking at an offering and a solution, they want to make sure just giving them the value. And we all know that the priorities of businesses have, they want to focus on that. Managing the Java estate is important, but is it the thing where they want to invest the dollars? And if they are investing the dollars, are they getting the return? We find that if you can give the enterprises an ability where they can see the return, the cost is right for them. And if you can mirror that and you can map it also with reduce risk, then you put the right formula. And with the subscription, they're able to not only see the cost savings that the model indicates clearly, but they're also able to reduce the risk in terms of security protection and other things. So it's a really, really good combination for the enterprises. >> Well, thank you, I wonder Manish, if you could bring us home here and just kind of summarize from your thoughts, everything you've heard today, what are the key takeaways? >> You know Java has been around for 25 years, and we certainly believe it's really positioned well for what's required today. And perhaps more importantly, what is needed for the next decade and for the next 25 years. Having now served thousands of customers with the Java subscription, it's clear that it is meeting the needs of fortune 10 organizations all the way down to a 5% development house, for example. What we're hearing from across the board is really Java has been the go to platform and it continues to be the go to platform for mission critical development and deployment. However, the complexity as the Java estate becomes large when you've got tens to hundreds, in some cases over a thousand applications running across the enterprise, that complexity can be daunting. And the Java subscription is really serving the needs in three ways. One, it's getting them the best of class support from Oracle, which is a steward of Java, the company that is generating over 80% of innovation with every single release. The second thing they're getting the business flexibility. So they can move at the pace that works for them. And therapies is as a business model as indicated that they're getting it at a lower cost while having your list. So the combination of these things is the reason why we're seeing very high renewal rates, why we're seeing thousands of organization take it over. And I want to wrap it up by saying one final thing, that you can count on Oracle to be the transparent, to be the right steward or both technology innovation, as well as to ensuring the support for the vast ecosystem whether it's libraries, frameworks, user groups, educational services and so on. So Java is here, has been here for the enterprise, large and small, and it's ready for the next generation as well. >> Great, thank you for that. Well, one more question. What's the call to action? If I'm a mid-sized company or a large company, I've made investments in Java, what, what should I do next? >> I would say, take a look at the Oracle subscription. It will reduce your rates. It'll save you a cost and it'll give you a lower risk parameter for your organization. >> Great, nice and crisp, I like it. If you like, if you guys don't object, I'm going to give you my summary. I've been taking notes this whole time and so, we've explored two options. Customers can do it yourself or go with the subscription on a regular cadence. It's very clear to me that that Java remains relevant as we set up top. It's the world's most popular programming language we know about all that. The ecosystem is really moving fast. Of course, with the stewardship of Oracle cloud microservices, the development of, of modern applications. I think that the directional changes that Manish you guys and, and Don and Oracle have made were really the right call. The research that David you did, shows that it's serving customers better. It lowers costs, it's cutting down risk particularly for the mid-sized companies that maybe are, or don't have the security infrastructure and the talent to go chase those problems. And I love the roadmap piece. The more transparent roadmap really is going to give the industry and the community much more confidence to invest and move forward. So guys, thanks very much for coming on this CUBE Java power panel. It was great to have you. >> Thank you. >> Thank you. >> Thank you. >> All right, I thank you for watching everybody. This is Dave Vellante, for theCUBE, and we'll see you next time. (soft music)

(upbeat music) >> Facilitator: From theCUBE studios in Palo Alto in Boston, connecting with other leaders all around the world. This is a CUBE conversation. >> Java is the world's most popular programming language. And it remains the leading application development platform. But what's the status of Java? What a customers doing? And very importantly, what is Oracle's and the community strategy with respect to Java? Welcome everybody to this Java power panel on theCUBE. I'm your host, Dave Vellante. Manish Gupta here, he's the Vice President of Global Marketing at Java for Oracle, Donald Smith is also on the panel, and he's the Senior Director of Product Management at Oracle and we're joined by David Floyd who is a CTO of Wikibon Research and has done a number of research activities on this very topic. Gentlemen, welcome to theCUBE, great to see you. >> Thank you. >> Thank you. >> Manish, I want to start with you. Can you help us understand really what dig into Oracle strategy with respect to Java. The technology, the licensing, the support. How has that evolved over time? Take us through that. >> Dave, with 51 billion JVMs deployed worldwide, Java has truly cemented its position as the language of innovation and the technology world. There's no question about that. In fact, I like to say it's really the language of empowerment. Given the the impact it has had numerous applications ranging from the Mars Rover to genomics and everything in between. As Oracle acquired sign over 10 years ago, it's really kept it front of mind, two aspects of what we want to do with the technology and the platform. The first one was to ensure there was broad accessibility to the technology and the platform for anybody that wanted to benefit from it. And the second one was to ensure that the ecosystem remained vibrant and thriving throughout. I managed to do both. And underpinning these two objectives were really three pillars of our strategy. The first one was around trust, ensuring that openness and transparency of the technology was as was before continued to be the case going forward. The second element of that within the trust pillar was to ensure that as enterprises invested in the technology that investment was protected, it was not, you invest and you lose over a period of time in a backward compatibility, interoperability, certifications, were all foundational to the platform itself to the features, to the innovation moving forward. And more recently as we have rethought to the support, the licensing and the overall structure of the pricing that we have ensured that ultimately the trust comes along in those dimensions as well. So the launch of the Java subscription came along with, pay as you go model, it's a transparent pricing structure and discuss structure published on the website. So you can go and see what it would cost for the desktop on servers or cloud deployment. So those were the things that made kind of the first pillar happen. The second one was Dunno innovation. Over the last 25 years, Java has stood the test of time. It has delivered the needs of today while preparing for the future. And that remains the case. It is not something that has sort of focused on the fat of the day and the hot thing for the day, but really more important that it is prepared to deal with the mission critical, massive scale deployments that can run for years, for decades, in some cases. And keeping that in mind, Oracle has continued to put more and more technology into the open source world with every release that comes out, you can see 80 plus percent of the contributions come from Oracle. So that's the second pillar around innovation. And the third piece of the strategy has been around predictability. Ensuring that Java, the technology and platform perform as advertised, and that goes into the feature releases, it goes into the release process, it goes into the fact that you were broadly within the open JDK environment for developing and executing the roadmap. From a CIO standpoint, it's important to know that the technology used to develop your applications has talent around. And your, if you're going to develop something like Java, you'll find the right Java engineers to do the job. That is not a question, right? And so that's part of predictability. And finally, again with the change in the six months release cadence that came about three years ago, with the release of Java 10, we've really made sure that it's not, no, a bunch of things come about. You don't know when they're going to be released, but you know, like clockwork, you'll have a new Java list every six months. And that's been the case every March and September, since Java 10, you've had a new release of Java with certain features that come up and we just launched Java 15. So trust innovation predictability, have really been the three pillars on which we've executed the strategy for Java. >> Excellent, thank you for that intro, and we're going to get into it now. I'm glad you mentioned the sun acquisition. I said at the time that Java was the linchpin of that acquisition, many people, of course, we looked at the integration piece with the hardware, but it was really Java and the capabilities that it brings. And of course, a lot of Oracle software written in Java and not the least of which is a fusion. But now let's get into the components of this. And I want to talk a little bit about the methodology of this and going to call on you David Floria. But essentially my understanding is that Wikibon went through and David, you led this, you did a technical deep dive, which you always do, did a number of in depth interviews with Java customers. And then of course you also did a web survey and then you built from that data and economic model. So you can try to understand the sort of dimensions of the financials if you will. So what were your key findings there? >> So the key findings were that Java was in a good state that people were happy with the Java. The second key finding is that the business case itself for using the Oracle services, the subscription services was good. It didn't mean to say that that wasn't for every company, the right way to do it, but there was a very good return on that. And the third area was that there was a degree of confidence that the new way of doing things, the six-month cycle, as opposed to the three-year cycle was overall a benefit to the rate of change, the ability for them to introduce new features quickly. >> Okay, well, I mean, you know, and I read that research. And to me my takeaways where I saw the continued relevance of Java, which is kind of goes without saying, but a lot of times it gets lost in the headlines. That subscription piece is key. We're going to get into some of the economics as to how that affects customers and it saves you money. And the other piece was the roadmap becoming more transparent. And I don't want to dig into that a little bit, but before we do, let's get into that innovation component Manish, mentioned that several times, but Don, I want to go to you guys. We have a slide on the various components of the innovation. If you would bring this up and Don I wonder if you could talk to this and give us some examples if you would. >> Yeah, sure. So we were the number one development platform for the last 25 years. We want to be the number one development platform for the next 25 years. And in order to do that, we have to be constantly innovating and constantly innovating not only the business side in terms of the subscription and the support offerings and commercial features like Manish was talking about, but also the platform in general. And so the way we like to talk about innovation as we break it down by these pillars that you can see on the slide. And so the first pillar is continuous improvements to the language. So this is watching developers trying to write the same piece of code over and over again, and us asking, can we make you more efficient? Can we give you more language features that reduce the amount of boilerplate that you have to write? The second pillar is a project that we just announced a few months ago called Leyden. And the idea with Leyden is addressing the longterm pinpoints of Java slow startup time and time to peak performance. So if you go back 10 years ago, everybody knows about Java as an enterprise platform, Java EE application servers. They all had the notion of being very long lived. And so Java at that time would be optimized towards long lived applications, startup, and performance. Where if it took a little while to get there, it didn't matter as long as when it got there, it was super fast. And so we're trying to get that peak performance faster in the world of microservices. In a similar vein with project loom, we're looking at making concurrency simple again, looking at how developers are doing more reactive style programming and realizing that the threading model needs to be rethought from the ground up, that project is looking really, really good. Then we have project Panama. Project Panama is all about making it easier to connect Java with native libraries. Valhalla is all about improving, there's a couple of benefits, but it's all about improving memory density and being able to access and iterate and operate over primitive data types at super fast speeds by better optimizing how that information is stored in memory. And then the other pillar of the final pillar that we have been working on from an innovation perspective is ZGC. We introduced a new garbage collector technology a few years ago, G1GCE a generational garbage collector with the eye towards making garbage collection in Java pause lists. So if you, again, if you go back in time and look at the history of Java, memory management is awesome, but there's always that cost and risk of a garbage collection cycle, taking a bit of time away from a critical application. And ZGC is all about getting rid of that. So lots of innovation, lots of different pillars going on right now. >> Awesome, I'm impressed. There's something after Valhalla. I thought that was Nirvana. (laughing) But now, and these are all open source projects, right? And you guys obviously provide committers, there are other people in the open source world who provide that, is that correct Don? >> Yeah, that's correct. We have about 80% of the contributions in open JDK. We are the stewards of open JDK and lead the project. Most of the pillars I talked about here are you know Oracle folks working on that. >> Awesome. Okay, let's get into some of the data. David, I want to come back to you and talk about some of the survey results guys, if you bring up that next slide. Why David, why do people upgrade? What are the drivers? It's really talks to the large companies and what's different from the small company or mid-size companies? What are the takeaways here? >> David: Well, so this is interesting, and as you might expect, large enterprises, have very concerned about application stability. Whereas midsize or enterprises are much more concerned about the performance, making sure that the performance is good. They are both concerned about reliable performance and security, but it's interesting that from a regulation point of view, mid-size companies really want to make sure that they are obeying the regulations, that they are meeting those. Whereas larger organizations usually have their own security and regulation functions looking very hard at these things. So that looking less to the platform to provide those than their own people. >> Yeah, I think you're right. I think the midsize organizations don't have as many people running around taking care of security and it's harder for them to keep up with the edicts of the organization. So they want to stay more current. Don, I wonder if you can add anything to this data from an innovation standpoint. >> Yeah, well, and from a product management standpoint, and what we see here is when you look at just going from fortune 500 to global 2000, you see things that are important to one or less so than the other. You can extrapolate that all the way down to a small company or a startup. And that's why providing the most flexibility in terms of an offering to allow people to decide what, when, where, and how they would be going to upgrade their software so they can do it when they want, and on their own terms. You can see that that becomes really important. And also making sure that we're providing innovation in a broad way so that it'll appeal both to the enterprise and again extrapolating that forward down to even very small startups. >> You know, David, the other thing that struck me in the data, if we bring up that other piece is the upgrade strategy, and there was a stark difference between large enterprises and midsize organizations. Talk to this data, if you would. >> Yes, this is again, a pretty stark difference between them. When you're looking at large enterprises, they really wants stability and they don't want to upgrade so often. Whereas mid-size enterprises, are much more willing to both upgrade on a regular cadence and really have a much more up-to-date, or have always have the latest software. They're driving smaller applications, but they're much more agile about their approach to it. Again, emphasizing what Don was saying about the smaller enterprises wanting a different strategy and a different way of doing things than large enterprises. >> So Manish this says to me that you got it right from a strategy standpoint. I mean, any color you can add here. >> Yeah, it's very intuitive that whether you're a large organization, a mid-sized enterprise or a small business, right? You face competitive pressures, your dynamics are unique. What you're able to do with the resources, what you desire to do at the pace that is appropriate for your environment, are really unique to you, and to try to force one model across any one size or across any set of dynamics is just not appropriate. So we've always felt that giving the enterprises and the organization, the ability to move at the pace of their business is the right approach. And so when we designed the Oracle Java SE subscription, we truly have that front and center in our thought process. And that structure seems to be working well. >> David, what I like about the way you do research is you actually build an economic model. A lot of these business value projects. I know this well, having been in the business a long time, they'll go out to ask the customer what they got, and then the customer said, "Well, I got a 111% ROI, and boom, that's what it is. You actually construct an economic model, you bring in rules of thumb, it allows you to do what ifs you can test that model and calibrate it against the real world. So I commend you on that. You've done a lot of hard work there, but bottom line at forests, I mean, let's bring up the economics. I mean, that's what people ultimately want to know. Does this save me money? What's the bottom line here? >> Yeah. Yes, that's a very important question. And the way we go about it is to ask the questions so that we can extract from those questions, how much effort it took, for example, to upgrade things, how much effort it took for important applications and not so important applications. So we have a very detailed model driven by the survey itself and in the back of the research, I'm a great believer that you should be able to follow exactly what the research said, what the survey said and how it was applied to the model. So, and what were you focused on was, what was the return of using the Java subscription service or taking an upgrade every six months? Those were the two ways that we looked at it. And for large enterprises, the four-year costs for the enterprise was $11 million, but for taking the additional subscription service, and this was well well covered, the payback is within a year, well covered by the lower costs of managing in a lot of systems and environment. And we found a very similar result on those midsize services. There, it was 3 million, and again, they got that back the year in terms of payback. So, but that's one alternative. There is another alternative that may be worthwhile the extra money if you really want to be up-to-date and or if you want to drive a much more aggressive strategy for your organization. >> So these are huge numbers. I mean, he's talking about 30% savings on average for large and mid-sized enterprises in the percentage terms, but the absolute dollars are actually enormous. So, you know, large companies here, we're talking about $20 billion enterprises with 500 or more Java applications. And mid-size is, you're talking about a couple, two, $3 billion companies. Manish, what are you saying in the customer base in terms of the economics? >> Yeah, you know anytime an organization is looking at an offering and a solution, they want to make sure just giving them the value. And we all know that the priorities of businesses have, they want to focus on that. Managing the Java estate is important, but is it the thing where they want to invest the dollars? And if they are investing the dollars, are they getting the return? We find that if you can give the enterprises an ability where they can see the return, the cost is right for them. And if you can mirror that and you can map it also with reduce risk, then you put the right formula. And with the subscription, they're able to not only see the cost savings that the model indicates clearly, but they're also able to reduce the risk in terms of security protection and other things. So it's a really, really good combination for the enterprises. >> Well, thank you, I wonder Manish, if you could bring us home here and just kind of summarize from your thoughts, everything you've heard today, what are the key takeaways? >> You know Java has been around for 25 years, and we certainly believe it's really positioned well for what's required today. And perhaps more importantly, what is needed for the next decade and for the next 25 years. Having now served thousands of customers with the Java subscription, it's clear that it is meeting the needs of fortune 10 organizations all the way down to a 5% development house, for example. What we're hearing from across the board is really Java has been the go to platform and it continues to be the go to platform for mission critical development and deployment. However, the complexity as the Java estate becomes large when you've got tens to hundreds, in some cases over a thousand applications running across the enterprise, that complexity can be daunting. And the Java subscription is really serving the needs in three ways. One, it's getting them the best of class support from Oracle, which is a steward of Java, the company that is generating over 80% of innovation with every single release. The second thing they're getting the business flexibility. So they can move at the pace that works for them. And therapies is as a business model as indicated that they're getting it at a lower cost while having your list. So the combination of these things is the reason why we're seeing very high renewal rates, why we're seeing thousands of organization take it over. And I want to wrap it up by saying one final thing, that you can count on Oracle to be the transparent, to be the right steward or both technology innovation, as well as to ensuring the support for the vast ecosystem whether it's libraries, frameworks, user groups, educational services and so on. So Java is here, has been here for the enterprise, large and small, and it's ready for the next generation as well. >> Great, thank you for that. Well, one more question. What's the call to action? If I'm a mid-sized company or a large company, I've made investments in Java, what, what should I do next? >> I would say, take a look at the Oracle subscription. It will reduce your rates. It'll save you a cost and it'll give you a lower risk parameter for your organization. >> Great, nice and crisp, I like it. If you like, if you guys don't object, I'm going to give you my summary. I've been taking notes this whole time and so, we've explored two options. Customers can do it yourself or go with the subscription on a regular cadence. It's very clear to me that that Java remains relevant as we set up top. It's the world's most popular programming language we know about all that. The ecosystem is really moving fast. Of course, with the stewardship of Oracle cloud microservices, the development of, of modern applications. I think that the directional changes that Manish you guys and, and Don and Oracle have made were really the right call. The research that David you did, shows that it's serving customers better. It lowers costs, it's cutting down risk particularly for the mid-sized companies that maybe are, or don't have the security infrastructure and the talent to go chase those problems. And I love the roadmap piece. The more transparent roadmap really is going to give the industry and the community much more confidence to invest and move forward. So guys, thanks very much for coming on this CUBE Java power panel. It was great to have you. >> Thank you. >> Thank you. >> Thank you. >> All right, I thank you for watching everybody. This is Dave Vellante, for theCUBE, and we'll see you next time. (soft music)

[Music] [Music] [Music] [Laughter] [Laughter] [Laughter] [Laughter] [Music] [Music] [Music] [Music] you you [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] wake up feeling blessed peace you warned that Russia ain't afraid to show it I'll expose it if I dressed up riding in that Chester roasted nigga catch you slippin on myself rocks on I messed up like yes sir [Music] [Music] [Music] [Music] our program [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] you are not welcome to Red Hat summit 2018 2018 [Music] [Music] [Music] [Laughter] [Music] Wow that is truly the coolest introduction I've ever had thank you Wow I don't think I feel cool enough to follow an interaction like that Wow well welcome to the Red Hat summit this is our 14th annual event and I have to say looking out over this audience Wow it's great to see so many people here joining us this is by far our largest summit to date not only did we blow through the numbers we've had in the past we blew through our own expectations this year so I know we have a pretty packed house and I know people are still coming in so it's great to see so many people here it's great to see so many familiar faces when I had a chance to walk around earlier it's great to see so many new people here joining us for the first time I think the record attendance is an indication that more and more enterprises around the world are seeing the power of open source to help them with their challenges that they're facing due to the digital transformation that all of enterprises around the world are going through the theme for the summit this year is ideas worth exploring and we intentionally chose that because as much as we are all going through this digital disruption and the challenges associated with it one thing I think is becoming clear no one person and certainly no one company has the answers to these challenges right this isn't a problem where you can go buy a solution this is a set of capabilities that we all need to build it's a set of cultural changes that we all need to go through and that's going to require the best ideas coming from so many different places so we're not here saying we have the answers we're trying to convene the conversation right we want to serve as a catalyst bringing great minds together to share ideas so we all walk out of here at the end of the week a little wiser than when we first came here we do have an amazing agenda for you we have over 7,000 attendees we may be pushing 8,000 by the time we got through this morning we have 36 keynote speakers and we have a hundred and twenty-five breakout sessions and have to throw in one plug scheduling 325 breakout sessions is actually pretty difficult and so we used the Red Hat business optimizer which is an AI constraint solver that's new in the Red Hat decision manager to help us plan the summit because we have individuals who have a clustered set of interests and we want to make sure that when we schedule two breakout sessions we do it in a way that we don't have overlapping sessions that are really important to the same individual so we tried to use this tool and what we understand about people's interest in history of what they wanted to do to try to make sure that we spaced out different times for things of similar interests for similar people as well as for people who stood in the back of breakouts before and I know I've done that too we've also used it to try to optimize room size so hopefully we will do our best to make sure that we've appropriately sized the spaces for those as well so it's really a phenomenal tool and I know it's helped us a lot this year in addition to the 325 breakouts we have a lot of our customers on stage during the main sessions and so you'll see demos you'll hear from partners you'll hear stories from so many of our customers not on our point of view of how to use these technologies but their point of views of how they actually are using these technologies to solve their problems and you'll hear over and over again from those keynotes that it's not just about the technology it's about how people are changing how people are working to innovate to solve those problems and while we're on the subject of people I'd like to take a moment to recognize the Red Hat certified professional of the year this is known award we do every year I love this award because it truly recognizes an individual for outstanding innovation for outstanding ideas for truly standing out in how they're able to help their organization with Red Hat technologies Red Hat certifications help system administrators application developers IT architects to further their careers and help their organizations by being able to advance their skills and knowledge of Red Hat products and this year's winner really truly is a great example about how their curiosity is helped push the limits of what's possible with technology let's hear a little more about this year's winner when I was studying at the University I had computer science as one of my subjects and that's what created the passion from the very beginning they were quite a few institutions around my University who were offering Red Hat Enterprise Linux as a course and a certification paths through to become an administrator Red Hat Learning subscription has offered me a lot more than any other trainings that have done so far that gave me exposure to so many products under red hair technologies that I wasn't even aware of I started to think about the better ways of how these learnings can be put into the real life use cases and we started off with a discussion with my manager saying I have to try this product and I really want to see how it really fits in our environment and that product was Red Hat virtualization we went from deploying rave and then OpenStack and then the open shift environment we wanted to overcome some of the things that we saw as challenges to the speed and rapidity of release and code etc so it made perfect sense and we were able to do it in a really short space of time so you know we truly did use it as an Innovation Lab I think idea is everything ideas can change the way you see things an Innovation Lab was such an idea that popped into my mind one fine day and it has transformed the way we think as a team and it's given that playpen to pretty much everyone to go and test their things investigate evaluate do whatever they like in a non-critical non production environment I recruited Neha almost 10 years ago now I could see there was a spark a potential with it and you know she had a real Drive a real passion and you know here we are nearly ten years later I'm Neha Sandow I am a Red Hat certified engineer all right well everyone please walk into the states to the stage Neha [Music] [Applause] congratulations thank you [Applause] I think that - well welcome to the red has some of this is your first summit yes it is thanks so much well fantastic sure well it's great to have you here I hope you have a chance to engage and share some of your ideas and enjoy the week thank you thank you congratulations [Applause] neha mentioned that she first got interest in open source at university and it made me think red hats recently started our Red Hat Academy program that looks to programmatically infuse Red Hat technologies in universities around the world it's exploded in a way we had no idea it's grown just incredibly rapidly which i think shows the interest that there really is an open source and working in an open way at university so it's really a phenomenal program I'm also excited to announce that we're launching our newest open source story this year at Summit it's called the science of collective discovery and it looks at what happens when communities use open hardware to monitor the environment around them and really how they can make impactful change based on that technologies the rural premier that will be at 5:15 on Wednesday at McMaster Oni West and so please join us for a drink and we'll also have a number of the experts featured in that and you can have a conversation with them as well so with that let's officially start the show please welcome red hat president of products and technology Paul Cormier [Music] Wow morning you know I say it every year I'm gonna say it again I know I repeat myself it's just amazing we are so proud here to be here today too while you all week on how far we've come with opens with open source and with the products that we that we provide at Red Hat so so welcome and I hope the pride shows through so you know I told you Seven Summits ago on this stage that the future would be open and here we are just seven years later this is the 14th summit but just seven years later after that and much has happened and I think you'll see today and this week that that prediction that the world would be open was a pretty safe predict prediction but I want to take you just back a little bit to see how we started here and it's not just how Red Hat started here this is an open source in Linux based computing is now in an industry norm and I think that's what you'll you'll see in here this week you know we talked back then seven years ago when we put on our prediction about the UNIX error and how Hardware innovation with x86 was it was really the first step in a new era of open innovation you know companies like Sun Deck IBM and HP they really changed the world the computing industry with their UNIX models it was that was really the rise of computing but I think what we we really saw then was that single company innovation could only scale so far could really get so far with that these companies were very very innovative but they coupled hardware innovation with software innovation and as one company they could only solve so many problems and even which comp which even complicated things more they could only hire so many people in each of their companies Intel came on the scene back then as the new independent hardware player and you know that was really the beginning of the drive for horizontal computing power and computing this opened up a brand new vehicle for hardware innovation a new hardware ecosystem was built around this around this common hardware base shortly after that Stallman and leanness they had a vision of his of an open model that was created and they created Linux but it was built around Intel this was really the beginning of having a software based platform that could also drive innovation this kind of was the beginning of the changing of the world here that system-level innovation now having a hardware platform that was ubiquitous and a software platform that was open and ubiquitous it really changed this system level innovation and that continues to thrive today it was only possible because it was open this could not have happened in a closed environment it allowed the best ideas from anywhere from all over to come in in win only because it was the best idea that's what drove the rate of innovation at the pace you're seeing today and it which has never been seen before we at Red Hat we saw the need to bring this innovation to solve real-world problems in the enterprise and I think that's going to be the theme of the show today you're going to see us with our customers and partners talking about and showing you some of those real-world problems that we are sought solving with this open innovation we created rel back then for this for the enterprise it started it's it it wasn't successful because it's scaled it was secure and it was enterprise ready it once again changed the industry but this time through open innovation this gave the hardware ecosystem a software platform this open software platform gave the hardware ecosystem a software platform to build around it Unleashed them the hardware side to compete and thrive it enabled innovation from the OEMs new players building cheaper faster servers even new architectures from armed to power sprung up with this change we have seen an incredible amount of hardware innovation over the last 15 years that same innovation happened on the software side we saw powerful implementations of bare metal Linux distributions out in the market in fact at one point there were 300 there are over 300 distributions out in the market on the foundation of Linux powerful open-source equivalents were even developed in every area of Technology databases middleware messaging containers anything you could imagine innovation just exploded around the Linux platform in innovation it's at the core also drove virtualization both Linux and virtualization led to another area of innovation which you're hearing a lot about now public cloud innovation this innovation started to proceed at a rate that we had never seen before we had never experienced this in the past in this unprecedented speed of innovation and software was now possible because you didn't need a chip foundry in order to innovate you just needed great ideas in the open platform that was out there customers seeing this innovation in the public cloud sparked it sparked their desire to build their own linux based cloud platforms and customers are now are now bringing that cloud efficiency on-premise in their own data centers public clouds demonstrated so much efficiency the data centers and architects wanted to take advantage of it off premise on premise I'm sorry within their own we don't within their own controlled environments this really allowed companies to make the most of existing investments from data centers to hardware they also gained many new advantages from data sovereignty to new flexible agile approaches I want to bring Burr and his team up here to take a look at what building out an on-premise cloud can look like today Bure take it away I am super excited to be with all of you here at Red Hat summit I know we have some amazing things to show you throughout the week but before we dive into this demonstration I want you to take just a few seconds just a quick moment to think about that really important event your life that moment you turned on your first computer maybe it was a trs-80 listen Claire and Atari I even had an 83 b2 at one point but in my specific case I was sitting in a classroom in Hawaii and I could see all the way from Diamond Head to Pearl Harbor so just keep that in mind and I turn on an IBM PC with dual floppies I don't remember issuing my first commands writing my first level of code and I was totally hooked it was like a magical moment and I've been hooked on computers for the last 30 years so I want you to hold that image in your mind for just a moment just a second while we show you the computers we have here on stage let me turn this over to Jay fair and Dini here's our worldwide DevOps manager and he was going to show us his hardware what do you got Jay thank you BER good morning everyone and welcome to Red Hat summit we have so many cool things to show you this week I am so happy to be here and you know my favorite thing about red hat summit is our allowed to kind of share all of our stories much like bird just did we also love to you know talk about the hardware and the technology that we brought with us in fact it's become a bit of a competition so this year we said you know let's win this thing and we actually I think we might have won we brought a cloud with us so right now this is a private cloud for throughout the course of the week we're going to turn this into a very very interesting open hybrid cloud right before your eyes so everything you see here will be real and happening right on this thing right behind me here so thanks for our four incredible partners IBM Dell HP and super micro we've built a very vendor heterogeneous cloud here extra special thanks to IBM because they loaned us a power nine machine so now we actually have multiple architectures in this cloud so as you know one of the greatest benefits to running Red Hat technology is that we run on just about everything and you know I can't stress enough how powerful that is how cost-effective that is and it just makes my life easier to be honest so if you're interested the people that built this actual rack right here gonna be hanging out in the customer success zone this whole week it's on the second floor the lobby there and they'd be glad to show you exactly how they built this thing so let me show you what we actually have in this rack so contained in this rack we have 1056 physical chorus right here we have five and a half terabytes of RAM and just in case we threw 50 terabytes of storage in this thing so burr that's about two million times more powerful than that first machine you boot it up thanks to a PC we're actually capable of putting all the power needs and cooling right in this rack so there's your data center right there you know it occurred to me last night that I can actually pull the power cord on this thing and kick it up a notch we could have the world's first mobile portable hybrid cloud so I'm gonna go ahead and unplug no no no no no seriously it's not unplug the thing we got it working now well Berg gets a little nervous but next year we're rolling this thing around okay okay so to recap multiple vendors check multiple architectures check multiple public clouds plug right into this thing check and everything everywhere is running the same software from Red Hat so that is a giant check so burn Angus why don't we get the demos rolling awesome so we have totally we have some amazing hardware amazing computers on this stage but now we need to light it up and we have Angus Thomas who represents our OpenStack engineering team and he's going to show us what we can do with this awesome hardware Angus thank you Beth so this was an impressive rack of hardware to Joe has bought a pocket stage what I want to talk about today is putting it to work with OpenStack platform director we're going to turn it from a lot of potential into a flexible scalable private cloud we've been using director for a while now to take care of managing hardware and orchestrating the deployment of OpenStack what's new is that we're bringing the same capabilities for on-premise manager the deployment of OpenShift director deploying OpenShift in this way is the best of both worlds it's bare-metal performance but with an underlying infrastructure as a service that can take care of deploying in new instances and scaling out and a lot of the things that we expect from a cloud provider director is running on a virtual machine on Red Hat virtualization at the top of the rack and it's going to bring everything else under control what you can see on the screen right now is the director UI and as you see some of the hardware in the rack is already being managed at the top level we have information about the number of cores in the amount of RAM and the disks that each machine have if we dig in a bit there's information about MAC addresses and IPs and the management interface the BIOS kernel version dig a little deeper and there is information about the hard disks all of this is important because we want to be able to make sure that we put in workloads exactly where we want them Jay could you please power on the two new machines at the top of the rack sure all right thank you so when those two machines come up on the network director is going to see them see that they're new and not already under management and is it immediately going to go into the hardware inspection that populates this database and gets them ready for use so we also have profiles as you can see here profiles are the way that we match the hardware in a machine to the kind of workload that it's suited to this is how we make sure that machines that have all the discs run Seth and machines that have all the RAM when our application workouts for example there's two ways these can be set when you're dealing with a rack like this you could go in an individually tag each machine but director scales up to data centers so we have a rules matching engine which will automatically take the hardware profile of a new machine and make sure it gets tagged in exactly the right way so we can automatically discover new machines on the network and we can automatically match them to a profile that's how we streamline and scale up operations now I want to talk about deploying the software we have a set of validations we've learned over time about the Miss configurations in the underlying infrastructure which can cause the deployment of a multi node distributed application like OpenStack or OpenShift to fail if you have the wrong VLAN tags on a switch port or DHCP isn't running where it should be for example you can get into a situation which is really hard to debug a lot of our validations actually run before the deployment they look at what you're intending to deploy and they check in the environment is the way that it should be and they'll preempts problems and obviously preemption is a lot better than debugging something new that you probably have not seen before is director managing multiple deployments of different things side by side before we came out on stage we also deployed OpenStack on this rack just to keep me honest let me jump over to OpenStack very quickly a lot of our opens that customers will be familiar with this UI and the bare metal deployment of OpenStack on our rack is actually running a set of virtual machines which is running Gluster you're going to see that put to work later on during the summit Jay's gone to an awful lot effort to get this Hardware up on the stage so we're going to use it as many different ways as we can okay let's deploy OpenShift if I switch over to the deployed a deployment plan view there's a few steps first thing you need to do is make sure we have the hardware I already talked about how director manages hardware it's smart enough to make sure that it's not going to attempt to deploy into machines they're already in use it's only going to deploy on machines that have the right profile but I think with the rack that we have here we've got enough next thing is the deployment configuration this is where you get to customize exactly what's going to be deployed to make sure that it really matches your environment if they're external IPs for additional services you can set them here whatever it takes to make sure that the deployment is going to work for you as you can see on the screen we have a set of options around enable TLS for encryption network traffic if I dig a little deeper there are options around enabling ipv6 and network isolation so that different classes of traffic there are over different physical NICs okay then then we have roles now roles this is essentially about the software that's going to be put on each machine director comes with a set of roles for a lot of the software that RedHat supports and you can just use those or you can modify them a little bit if you need to add a monitoring agent or whatever it might be or you can create your own custom roles director has quite a rich syntax for custom role definition and custom Network topologies whatever it is you need in order to make it work in your environment so the rawls that we have right now are going to give us a working instance of openshift if I go ahead and click through the validations are all looking green so right now I can click the button start to the deploy and you will see things lighting up on the rack directors going to use IPMI to reboot the machines provisioned and with a trail image was the containers on them and start up the application stack okay so one last thing once the deployment is done you're going to want to keep director around director has a lot of capabilities around what we call de to operational management bringing in new Hardware scaling out deployments dealing with updates and critically doing upgrades as well so having said all of that it is time for me to switch over to an instance of openshift deployed by a director running on bare metal on our rack and I need to hand this over to our developer team so they can show what they can do it thank you that is so awesome Angus so what you've seen now is going from bare metal to the ultimate private cloud with OpenStack director make an open shift ready for our developers to build their next generation applications thank you so much guys that was totally awesome I love what you guys showed there now I have the honor now I have the honor of introducing a very special guest one of our earliest OpenShift customers who understands the necessity of the private cloud inside their organization and more importantly they're fundamentally redefining their industry please extend a warm welcome to deep mar Foster from Amadeus well good morning everyone a big thank you for having armadillos here and myself so as it was just set I'm at Mario's well first of all we are a large IT provider in the travel industry so serving essentially Airlines hotel chains this distributors like Expedia and others we indeed we started very early what was OpenShift like a bit more than three years ago and we jumped on it when when Retta teamed with Google to bring in kubernetes into this so let me quickly share a few figures about our Mario's to give you like a sense of what we are doing and the scale of our operations so some of our key KPIs one of our key metrics is what what we call passenger borders so that's the number of customers that physically board a plane over the year so through our systems it's roughly 1.6 billion people checking in taking the aircrafts on under the Amarillo systems close to 600 million travel agency bookings virtually all airlines are on the system and one figure I want to stress out a little bit is this one trillion availability requests per day that's when I read this figure my mind boggles a little bit so this means in continuous throughput more than 10 million hits per second so of course these are not traditional database transactions it's it's it's highly cached in memory and these applications are running over like more than 100,000 course so it's it's it's really big stuff so today I want to give some concrete feedback what we are doing so I have chosen two applications products of our Mario's that are currently running on production in different in different hosting environments as the theme here is of this talk hybrid cloud and so I want to give some some concrete feedback of how we architect the applications and of course it stays relatively high level so here I have taken one of our applications that is used in the hospitality environment so it's we have built this for a very large US hotel chain and it's currently in in full swing brought into production so like 30 percent of the globe or 5,000 plus hotels are on this platform not so here you can see that we use as the path of course on openshift on that's that's the most central piece of our hybrid cloud strategy on the database side we use Oracle and Couchbase Couchbase is used for the heavy duty fast access more key value store but also to replicate data across two data centers in this case it's running over to US based data centers east and west coast topology that are fit so run by Mario's that are fit with VMware on for the virtualization OpenStack on top of it and then open shift to host and welcome the applications on the right hand side you you see the kind of tools if you want to call them tools that we use these are the principal ones of course the real picture is much more complex but in essence we use terraform to map to the api's of the underlying infrastructure so they are obviously there are differences when you run on OpenStack or the Google compute engine or AWS Azure so some some tweaking is needed we use right at ansible a lot we also use puppet so you can see these are really the big the big pieces of of this sense installation and if we look to the to the topology again very high high level so these two locations basically map the data centers of our customers so they are in close proximity because the response time and the SLA is of this application is are very tight so that's an example of an application that is architectures mostly was high ability and high availability in minds not necessarily full global worldwide scaling but of course it could be scaled but here the idea is that we can swing from one data center to the unit to the other in matters of of minutes both take traffic data is fully synchronized across those data centers and while the switch back and forth is very fast the second example I have taken is what we call the shopping box this is when people go to kayak or Expedia and they're getting inspired where they want to travel to this is really the piece that shoots most of transit of the transactions into our Mario's so we architect here more for high scalability of course availability is also a key but here scaling and geographical spread is very important so in short it runs partially on-premise in our Amarillo Stata Center again on OpenStack and we we deploy it mostly in the first step on the Google compute engine and currently as we speak on Amazon on AWS and we work also together with Retta to qualify the whole show on Microsoft Azure here in this application it's it's the same building blocks there is a large swimming aspect to it so we bring Kafka into this working with records and another partner to bring Kafka on their open shift because at the end we want to use open shift to administrate the whole show so over time also databases and the topology here when you look to the physical deployment topology while it's very classical we use the the regions and the availability zone concept so this application is spread over three principal continental regions and so it's again it's a high-level view with different availability zones and in each of those availability zones we take a hit of several 10,000 transactions so that was it really in very short just to give you a glimpse on how we implement hybrid clouds I think that's the way forward it gives us a lot of freedom and it allows us to to discuss in a much more educated way with our customers that sometimes have already deals in place with one cloud provider or another so for us it's a lot of value to set two to leave them the choice basically what up that was a very quick overview of what we are doing we were together with records are based on open shift essentially here and more and more OpenStack coming into the picture hope you found this interesting thanks a lot and have a nice summer [Applause] thank you so much deeper great great solution we've worked with deep Marv and his team for a long for a long time great solution so I want to take us back a little bit I want to circle back I sort of ended talking a little bit about the public cloud so let's circle back there you know even so even though some applications need to run in various footprints on premise there's still great gains to be had that for running certain applications in the public cloud a public cloud will be as impactful to to the industry as as UNIX era was of computing was but by itself it'll have some of the same limitations and challenges that that model had today there's tremendous cloud innovation happening in the public cloud it's being driven by a handful of massive companies and much like the innovation that sundeck HP and others drove in a you in the UNIX era of community of computing many customers want to take advantage of the best innovation no matter where it comes from buddy but as they even eventually saw in the UNIX era they can't afford the best innovation at the cost of a siloed operating environment with the open community we are building a hybrid application platform that can give you access to the best innovation no matter which vendor or which cloud that it comes from letting public cloud providers innovate and services beyond what customers or anyone can one provider can do on their own such as large scale learning machine learning or artificial intelligence built on the data that's unique probably to that to that one cloud but consumed in a common way for the end customer across all applications in any environment on any footprint in in their overall IT infrastructure this is exactly what rel brought brought to our customers in the UNIX era of computing that consistency across any of those footprints obviously enterprises will have applications for all different uses some will live on premise some in the cloud hybrid cloud is the only practical way forward I think you've been hearing that from us for a long time it is the only practical way forward and it'll be as impactful as anything we've ever seen before I want to bring Byrne his team back to see a hybrid cloud deployment in action burr [Music] all right earlier you saw what we did with taking bare metal and lighting it up with OpenStack director and making it openshift ready for developers to build their next generation applications now we want to show you when those next turn and generation applications and what we've done is we take an open shift and spread it out and installed it across Asia and Amazon a true hybrid cloud so with me on stage today as Ted who's gonna walk us through an application and Brent Midwood who's our DevOps engineer who's gonna be making sure he's monitoring on the backside that we do make sure we do a good job so at this point Ted what have you got for us Thank You BER and good morning everybody this morning we are running on the stage in our private cloud an application that's providing its providing fraud detection detect serves for financial transactions and our customer base is rather large and we occasionally take extended bursts of traffic of heavy traffic load so in order to keep our latency down and keep our customers happy we've deployed extra service capacity in the public cloud so we have capacity with Microsoft Azure in Texas and with Amazon Web Services in Ohio so we use open chip container platform on all three locations because openshift makes it easy for us to deploy our containerized services wherever we want to put them but the question still remains how do we establish seamless communication across our entire enterprise and more importantly how do we balance the workload across these three locations in such a way that we efficiently use our resources and that we give our customers the best possible experience so this is where Red Hat amq interconnect comes in as you can see we've deployed a MQ interconnect alongside our fraud detection applications in all three locations and if I switch to the MQ console we'll see the topology of the app of the network that we've created here so the router inside the on stage here has made connections outbound to the public routers and AWS and Azure these connections are secured using mutual TLS authentication and encrypt and once these connections are established amq figures out the best way auda matically to route traffic to where it needs to get to so what we have right now is a distributed reliable broker list message bus that expands our entire enterprise now if you want to learn more about this make sure that you catch the a MQ breakout tomorrow at 11:45 with Jack Britton and David Ingham let's have a look at the message flow and we'll dive in and isolate the fraud detection API that we're interested in and what we see is that all the traffic is being handled in the private cloud that's what we expect because our latencies are low and they're acceptable but now if we take a little bit of a burst of increased traffic we're gonna see that an EQ is going to push a little a bi traffic out onto the out to the public cloud so as you're picking up some of the load now to keep the Layton sees down now when that subsides as your finishes up what it's doing and goes back offline now if we take a much bigger load increase you'll see two things first of all asher is going to take a bigger proportion than it did before and Amazon Web Services is going to get thrown into the fray as well now AWS is actually doing less work than I expected it to do I expected a little bit of bigger a slice there but this is a interesting illustration of what's going on for load balancing mq load balancing is sending requests to the services that have the lowest backlog and in order to keep the Layton sees as steady as possible so AWS is probably running slowly for some reason and that's causing a and Q to push less traffic its way now the other thing you're going to notice if you look carefully this graph fluctuate slightly and those fluctuations are caused by all the variances in the network we have the cloud on stage and we have clouds in in the various places across the country there's a lot of equipment locked layers of virtualization and networking in between and we're reacting in real-time to the reality on the digital street so BER what's the story with a to be less I noticed there's a problem right here right now we seem to have a little bit performance issue so guys I noticed that as well and a little bit ago I actually got an alert from red ahead of insights letting us know that there might be some potential optimizations we could make to our environment so let's take a look at insights so here's the Red Hat insights interface you can see our three OpenShift deployments so we have the set up here on stage in San Francisco we have our Azure deployment in Texas and we also have our AWS deployment in Ohio and insights is highlighting that that deployment in Ohio may have some issues that need some attention so Red Hat insights collects anonymized data from manage systems across our customer environment and that gives us visibility into things like vulnerabilities compliance configuration assessment and of course Red Hat subscription consumption all of this is presented in a SAS offering so it's really really easy to use it requires minimal infrastructure upfront and it provides an immediate return on investment what insights is showing us here is that we have some potential issues on the configuration side that may need some attention from this view I actually get a look at all the systems in our inventory including instances and containers and you can see here on the left that insights is highlighting one of those instances as needing some potential attention it might be a candidate for optimization this might be related to the issues that you were seeing just a minute ago insights uses machine learning and AI techniques to analyze all collected data so we combine collected data from not only the system's configuration but also with other systems from across the Red Hat customer base this allows us to compare ourselves to how we're doing across the entire set of industries including our own vertical in this case the financial services industry and we can compare ourselves to other customers we also get access to tailored recommendations that let us know what we can do to optimize our systems so in this particular case we're actually detecting an issue here where we are an outlier so our configuration has been compared to other configurations across the customer base and in this particular instance in this security group were misconfigured and so insights actually gives us the steps that we need to use to remediate the situation and the really neat thing here is that we actually get access to a custom ansible playbook so if we want to automate that type of a remediation we can use this inside of Red Hat ansible tower Red Hat satellite Red Hat cloud forms it's really really powerful the other thing here is that we can actually apply these recommendations right from within the Red Hat insights interface so with just a few clicks I can select all the recommendations that insights is making and using that built-in ansible automation I can apply those recommendations really really quickly across a variety of systems this type of intelligent automation is really cool it's really fast and powerful so really quickly here we're going to see the impact of those changes and so we can tell that we're doing a little better than we were a few minutes ago when compared across the customer base as well as within the financial industry and if we go back and look at the map we should see that our AWS employment in Ohio is in a much better state than it was just a few minutes ago so I'm wondering Ted if this had any effect and might be helping with some of the issues that you were seeing let's take a look looks like went green now let's see what it looks like over here yeah doesn't look like the configuration is taking effect quite yet maybe there's some delay awesome fantastic the man yeah so now we're load balancing across the three clouds very much fantastic well I have two minute Ted I truly love how we can route requests and dynamically load transactions across these three clouds a truly hybrid cloud native application you guys saw here on on stage for the first time and it's a fully portable application if you build your applications with openshift you can mover from cloud to cloud to cloud on stage private all the way out to the public said it's totally awesome we also have the application being fully managed by Red Hat insights I love having that intelligence watching over us and ensuring that we're doing everything correctly that is fundamentally awesome thank you so much for that well we actually have more to show you but you're going to wait a few minutes longer right now we'd like to welcome Paul back to the stage and we have a very special early Red Hat customer an Innovation Award winner from 2010 who's been going boldly forward with their open hybrid cloud strategy please give a warm welcome to Monty Finkelstein from Citigroup [Music] [Music] hi Marty hey Paul nice to see you thank you very much for coming so thank you for having me Oh our pleasure if you if you wanted to we sort of wanted to pick your brain a little bit about your experiences and sort of leading leading the charge in computing here so we're all talking about hybrid cloud how has the hybrid cloud strategy influenced where you are today in your computing environment so you know when we see the variable the various types of workload that we had an hour on from cloud we see the peaks we see the valleys we see the demand on the environment that we have we really determined that we have to have a much more elastic more scalable capability so we can burst and stretch our environments to multiple cloud providers these capabilities have now been proven at City and of course we consider what the data risk is as well as any regulatory requirement so how do you how do you tackle the complexity of multiple cloud environments so every cloud provider has its own unique set of capabilities they have they're own api's distributions value-added services we wanted to make sure that we could arbitrate between the different cloud providers maintain all source code and orchestration capabilities on Prem to drive those capabilities from within our platforms this requires controlling the entitlements in a cohesive fashion across our on Prem and Wolfram both for security services automation telemetry as one seamless unit can you talk a bit about how you decide when you to use your own on-premise infrastructure versus cloud resources sure so there are multiple dimensions that we take into account right so the first dimension we talk about the risk so low risk - high risk and and really that's about the data classification of the environment we're talking about so whether it's public or internal which would be considered low - ooh confidential PII restricted sensitive and so on and above which is really what would be considered a high-risk the second dimension would be would focus on demand volatility and responsiveness sensitivity so this would range from low response sensitivity and low variability of the type of workload that we have to the high response sensitivity and high variability of the workload the first combination that we focused on is the low risk and high variability and high sensitivity for response type workload of course any of the workloads we ensure that we're regulatory compliant as well as we achieve customer benefits with within this environment so how can we give developers greater control of their their infrastructure environments and still help operations maintain that consistency in compliance so the main driver is really to use the public cloud is scale speed and increased developer efficiencies as well as reducing cost as well as risk this would mean providing develop workspaces and multiple environments for our developers to quickly create products for our customers all this is done of course in a DevOps model while maintaining the source and artifacts registry on-prem this would allow our developers to test and select various middleware products another product but also ensure all the compliance activities in a centrally controlled repository so we really really appreciate you coming by and sharing that with us today Monte thank you so much for coming to the red echo thanks a lot thanks again tamati I mean you know there's these real world insight into how our products and technologies are really running the businesses today that's that's just the most exciting part so thank thanks thanks again mati no even it with as much progress as you've seen demonstrated here and you're going to continue to see all week long we're far from done so I want to just take us a little bit into the path forward and where we we go today we've talked about this a lot innovation today is driven by open source development I don't think there's any question about that certainly not in this room and even across the industry as a whole that's a long way that we've come from when we started our first summit 14 years ago with over a million open source projects out there this unit this innovation aggregates into various community platforms and it finally culminates in commercial open source based open source developed products these products run many of the mission-critical applications in business today you've heard just a couple of those today here on stage but it's everywhere it's running the world today but to make customers successful with that interact innovation to run their real-world business applications these open source products have to be able to leverage increase increasingly complex infrastructure footprints we must also ensure a common base for the developer and ultimately the application no matter which footprint they choose as you heard mati say the developers want choice here no matter which no matter which footprint they are ultimately going to run their those applications on they want that flexibility from the data center to possibly any public cloud out there in regardless of whether that application was built yesterday or has been running the business for the last 10 years and was built on 10-year old technology this is the flexibility that developers require today but what does different infrastructure we may require different pieces of the technical stack in that deployment one example of this that Effects of many things as KVM which provides the foundation for many of those use cases that require virtualization KVM offers a level of consistency from a technical perspective but rel extends that consistency to add a level of commercial and ecosystem consistency for the application across all those footprints this is very important in the enterprise but while rel and KVM formed the foundation other technologies are needed to really satisfy the functions on these different footprints traditional virtualization has requirements that are satisfied by projects like overt and products like Rev traditional traditional private cloud implementations has requirements that are satisfied on projects like OpenStack and products like Red Hat OpenStack platform and as applications begin to become more container based we are seeing many requirements driven driven natively into containers the same Linux in different forms provides this common base across these four footprints this level of compatible compatibility is critical to operators who must best utilize the infinite must better utilize secure and deploy the infrastructure that they have and they're responsible for developers on the other hand they care most about having a platform that can creates that consistency for their applications they care about their services and the services that they need to consume within those applications and they don't want limitations on where they run they want service but they want it anywhere not necessarily just from Amazon they want integration between applications no matter where they run they still want to run their Java EE now named Jakarta EE apps and bring those applications forward into containers and micro services they need able to orchestrate these frameworks and many more across all these different footprints in a consistent secure fashion this creates natural tension between development and operations frankly customers amplify this tension with organizational boundaries that are holdover from the UNIX era of computing it's really the job of our platforms to seamlessly remove these boundaries and it's the it's the goal of RedHat to seamlessly get you from the old world to the new world we're gonna show you a really cool demo demonstration now we're gonna show you how you can automate this transition first we're gonna take a Windows virtual machine from a traditional VMware deployment we're gonna convert it into a KVM based virtual machine running in a container all under the kubernetes umbrella this makes virtual machines more access more accessible to the developer this will accelerate the transformation of those virtual machines into cloud native container based form well we will work this prot we will worked as capability over the product line in the coming releases so we can strike the balance of enabling our developers to move in this direction we want to be able to do this while enabling mission-critical operations to still do their job so let's bring Byrne his team back up to show you this in action for one more thanks all right what Red Hat we recognized that large organizations large enterprises have a substantial investment and legacy virtualization technology and this is holding you back you have thousands of virtual machines that need to be modernized so what you're about to see next okay it's something very special with me here on stage we have James Lebowski he's gonna be walking us through he's represents our operations folks and he's gonna be walking us through a mass migration but also is Itamar Hine who's our lead developer of a very special application and he's gonna be modernizing container izing and optimizing our application all right so let's get started James thanks burr yeah so as you can see I have a typical VMware environment here I'm in the vSphere client I've got a number of virtual machines a handful of them that make up my one of my applications for my development environment in this case and what I want to do is migrate those over to a KVM based right at virtualization environment so what I'm gonna do is I'm gonna go to cloud forms our cloud management platform that's our first step and you know cloud forms actually already has discovered both my rev environment and my vSphere environment and understands the compute network and storage there so you'll notice one of the capabilities we built is this new capability called migrations and underneath here I could begin to there's two steps and the first thing I need to do is start to create my infrastructure mappings what this will allow me to do is map my compute networking storage between vSphere and Rev so cloud forms understands how those relate let's go ahead and create an infrastructure mapping I'll call that summit infrastructure mapping and then I'm gonna begin to map my two environments first the compute so the clusters here next the data stores so those virtual machines happen to live on datastore - in vSphere and I'll target them a datastore data to inside of my revenue Arman and finally my networks those live on network 100 so I'll map those from vSphere to rover so once my infrastructure is map the next step I need to do is actually begin to create a plan to migrate those virtual machines so I'll continue to the plan wizard here I'll select the infrastructure mapping I just created and I'll select migrate my development environment from those virtual machines to Rev and then I need to import a CSV file the CSV file is going to contain a list of all the virtual machines that I want to migrate that were there and that's it once I hit create what's going to happen cloud forms is going to begin in an automated fashion shutting down those virtual machines begin converting them taking care of all the minutia that you'd have to do manually it's gonna do that all automatically for me so I don't have to worry about all those manual interactions and no longer do I have to go manually shut them down but it's going to take care of that all for me you can see the migrations kicked off here this is the I've got the my VMs are migrating here and if I go back to the screen here you can see that we're gonna start seeing those shutdown okay awesome but as people want to know more information about this how would they dive deeper into this technology later this week yeah it's a great question so we have a workload portability session in the hybrid cloud on Wednesday if you want to see a presentation that deep dives into this topic and how some of the methodologies to migrate and then on Thursday we actually have a hands-on lab it's the IT optimization VM migration lab that you can check out and as you can see those are shutting down here yeah we see a powering off right now that's fantastic absolutely so if I go back now that's gonna take a while you got to convert all the disks and move them over but we'll notice is previously I had already run one migration of a single application that was a Windows virtual machine running and if I browse over to Red Hat virtualization I can see on the dashboard here I could browse to virtual machines I have migrated that Windows virtual machine and if I open up a tab I can now browse to my Windows virtual machine which is running our wingtip toy store application our sample application here and now my VM has been moved over from Rev to Vita from VMware to Rev and is available for Itamar all right great available to our developers all right Itamar what are you gonna do for us here well James it's great that you can save cost by moving from VMware to reddit virtualization but I want to containerize our application and with container native virtualization I can run my virtual machine on OpenShift like any other container using Huebert a kubernetes operator to run and manage virtual machines let's look at the open ship service catalog you can see we have a new virtualization section here we can import KVM or VMware virtual machines or if there are already loaded we can create new instances of them for the developer to work with just need to give named CPU memory we can do other virtualization parameters and create our virtual machines now let's see how this looks like in the openshift console the cool thing about KVM is virtual machines are just Linux processes so they can act and behave like other open shipped applications we build in more than a decade of virtualization experience with KVM reddit virtualization and OpenStack and can now benefit from kubernetes and open shift to manage and orchestrate our virtual machines since we know this virtual machine this container is actually a virtual machine we can do virtual machine stuff with it like shutdown reboot or open a remote desktop session to it but we can also see this is just a container like any other container in openshift and even though the web application is running inside a Windows virtual machine the developer can still use open shift mechanisms like services and routes let's browse our web application using the OpenShift service it's the same wingtip toys application but this time the virtual machine is running on open shift but we're not done we want to containerize our application since it's a Windows virtual machine we can open a remote desktop session to it we see we have here Visual Studio and an asp.net application let's start container izing by moving the Microsoft sequel server database from running inside the Windows virtual machine to running on Red Hat Enterprise Linux as an open shipped container we'll go back to the open shipped Service Catalog this time we'll go to the database section and just as easily we'll create a sequel server container just need to accept the EULA provide password and choose the Edition we want and create a database and again we can see the sequel server is just another container running on OpenShift now let's take let's find the connection details for our database to keep this simple we'll take the IP address of our database service go back to the web application to visual studio update the IP address in the connection string publish our application and go back to browse it through OpenShift fortunately for us the user experience team heard we're modernizing our application so they pitched in and pushed new icons to use with our containerized database to also modernize the look and feel it's still the same wingtip toys application it's running in a virtual machine on openshift but it's now using a containerized database to recap we saw that we can run virtual machines natively on openshift like any other container based application modernize and mesh them together we containerize the database but we can use the same approach to containerize any part of our application so some items here to deserve repeating one thing you saw is Red Hat Enterprise Linux burning sequel server in a container on open shift and you also saw Windows VM where the dotnet native application also running inside of open ships so tell us what's special about that that seems pretty crazy what you did there exactly burr if we take a look under the hood we can use the kubernetes commands to see the list of our containers in this case the sequel server and the virtual machine containers but since Q Bert is a kubernetes operator we can actually use kubernetes commands like cube Cpl to list our virtual machines and manage our virtual machines like any other entity in kubernetes I love that so there's your crew meta gem oh we can see the kind says virtual machine that is totally awesome now people here are gonna be very excited about what they just saw we're gonna get more information and when will this be coming well you know what can they do to dive in this will be available as part of reddit Cloud suite in tech preview later this year but we are looking for early adopters now so give us a call also come check our deep dive session introducing container native virtualization Thursday 2:00 p.m. awesome that is so incredible so we went from the old to the new from the close to the open the Red Hat way you're gonna be seeing more from our demonstration team that's coming Thursday at 8 a.m. do not be late if you like what you saw this today you're gonna see a lot more of that going forward so we got some really special things in store for you so at this point thank you so much in tomorrow thank you so much you guys are awesome yeah now we have one more special guest a very early adopter of Red Hat Enterprise Linux we've had over a 12-year partnership and relationship with this organization they've been a steadfast Linux and middleware customer for many many years now please extend a warm welcome to Raj China from the Royal Bank of Canada thank you thank you it's great to be here RBC is a large global full-service is back we have the largest bank in Canada top 10 global operate in 30 countries and run five key business segments personal commercial banking investor in Treasury services capital markets wealth management and insurance but honestly unless you're in the banking segment those five business segments that I just mentioned may not mean a lot to you but what you might appreciate is the fact that we've been around in business for over 150 years we started our digital transformation journey about four years ago and we are focused on new and innovative technologies that will help deliver the capabilities and lifestyle our clients are looking for we have a very simple vision and we often refer to it as the digitally enabled bank of the future but as you can appreciate transforming a hundred fifty year old Bank is not easy it certainly does not happen overnight to that end we had a clear unwavering vision a very strong innovation agenda and most importantly a focus towards a flawless execution today in banking business strategy and IT strategy are one in the same they are not two separate things we believe that in order to be the number one bank we have to have the number one tactic there is no question that most of today's innovations happens in the open source community RBC relies on RedHat as a key partner to help us consume these open source innovations in a manner that it meets our enterprise needs RBC was an early adopter of Linux we operate one of the largest footprints of rel in Canada same with tables we had tremendous success in driving cost out of infrastructure by partnering with rahat while at the same time delivering a world-class hosting service to your business over our 12 year partnership Red Hat has proven that they have mastered the art of working closely with the upstream open source community understanding the needs of an enterprise like us in delivering these open source innovations in a manner that we can consume and build upon we are working with red hat to help increase our agility and better leverage public and private cloud offerings we adopted virtualization ansible and containers and are excited about continuing our partnership with Red Hat in this journey throughout this journey we simply cannot replace everything we've had from the past we have to bring forward these investments of the past and improve upon them with new and emerging technologies it is about utilizing emerging technologies but at the same time focusing on the business outcome the business outcome for us is serving our clients and delivering the information that they are looking for whenever they need it and in whatever form factor they're looking for but technology improvements alone are simply not sufficient to do a digital transformation creating the right culture of change and adopting new methodologies is key we introduced agile and DevOps which has boosted the number of adult projects at RBC and increase the frequency at which we do new releases to our mobile app as a matter of fact these methodologies have enabled us to deliver apps over 20x faster than before the other point about around culture that I wanted to mention was we wanted to build an engineering culture an engineering culture is one which rewards curiosity trying new things investing in new technologies and being a leader not necessarily a follower Red Hat has been a critical partner in our journey to date as we adopt elements of open source culture in engineering culture what you seen today about red hearts focus on new technology innovations while never losing sight of helping you bring forward the investments you've already made in the past is something that makes Red Hat unique we are excited to see red arts investment in leadership in open source technologies to help bring the potential of these amazing things together thank you that's great the thing you know seeing going from the old world to the new with automation so you know the things you've seen demonstrated today they're they're they're more sophisticated than any one company could ever have done on their own certainly not by using a proprietary development model because of this it's really easy to see why open source has become the center of gravity for enterprise computing today with all the progress open-source has made we're constantly looking for new ways of accelerating that into our products so we can take that into the enterprise with customers like these that you've met what you've met today now we recently made in addition to the Red Hat family we brought in core OS to the Red Hat family and you know adding core OS has really been our latest move to accelerate that innovation into our products this will help the adoption of open shift container platform even deeper into the enterprise and as we did with the Linux core platform in 2002 this is just exactly what we did with with Linux back then today we're announcing some exciting new technology directions first we'll integrate the benefits of automated operations so for example you'll see dramatic improvements in the automated intelligence about the state of your clusters in OpenShift with the core OS additions also as part of open shift will include a new variant of rel called Red Hat core OS maintaining the consistency of rel farhat for the operation side of the house while allowing for a consumption of over-the-air updates from the kernel to kubernetes later today you'll hear how we are extending automated operations beyond customers and even out to partners all of this starting with the next release of open shift in July now all of this of course will continue in an upstream open source innovation model that includes continuing container linux for the community users today while also evolving the commercial products to bring that innovation out to the enterprise this this combination is really defining the platform of the future everything we've done for the last 16 years since we first brought rel to the commercial market because get has been to get us just to this point hybrid cloud computing is now being deployed multiple times in enterprises every single day all powered by the open source model and powered by the open source model we will continue to redefine the software industry forever no in 2002 with all of you we made Linux the choice for enterprise computing this changed the innovation model forever and I started the session today talking about our prediction of seven years ago on the future being open we've all seen so much happen in those in those seven years we at Red Hat have celebrated our 25th anniversary including 16 years of rel and the enterprise it's now 2018 open hybrid cloud is not only a reality but it is the driving model in enterprise computing today and this hybrid cloud world would not even be possible without Linux as a platform in the open source development model a build around it and while we have think we may have accomplished a lot in that time and we may think we have changed the world a lot we have but I'm telling you the best is yet to come now that Linux and open source software is firmly driving that innovation in the enterprise what we've accomplished today and up till now has just set the stage for us together to change the world once again and just as we did with rel more than 15 years ago with our partners we will make hybrid cloud the default in the enterprise and I will take that bet every single day have a great show and have fun watching the future of computing unfold right in front of your eyes see you later [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Music] anytime [Music]

>> Announcer: Live from San Francisco it's The Cube covering Oracle OpenWorld 2016 brought to you by Oracle. Now here's your host, John Furrier and Peter Burris. >> Hey welcome back everyone. We are live in San Francisco at Oracle OpenWorld 2016. This is SiliconANGLE, the key of our flagship program. We go out to the events, extract a signal from the noise. I'm John Furrier, Co-CEO of SiliconANGLE with Peter Burris, head of Research at SiliconANGLE as well as the General Manager of Wikibon Research, our next guest is Siddhartha Agarwal, Vice-President of Product Management and Strategy of Oracle Cloud Platform. Welcome back to the Cube, good to see you. >> Yes, hi John. Great to be here. >> So I've seen a lot of great stuff. The core messaging from the corporate headquarters Cloud Cloud Cloud, but there's so much stuff going on in Oracle on all the applications. We've had many great conversations around the different, kind of, how the price are all fitting into the cloud model. But Peter and I were talking yesterday in our wrap-up about, we're the developers. >> Siddhartha: Yeah. >> Now and someone made a joke, oh they're at JavaOne, which is great. A lot of them are at JavaOne, but there's a huge developer opportunity within the Oracle core ecosystem because Cloud is very developer friendly. Devops, agile, cloud-native environments really cater to, really, software developers. >> Yeah, absolutely and that's a big focus area for us because we want to get developers excited about the ability to build the next generation of applications on the Oracle Cloud. Cloud-native applications, microservices-based applications and having that environment be open with choice of programming languages, open in terms of choice of which databases they want, not just Oracle database. NoSQL, MySQL, other databases and then choice of the computeship that you're using. Containers, bare metal, virtual environments and an open standard. So it's giving a very open, modern easy platform for developers so that they'll build on our platform. >> You know, one of the things that we always talk about at events is when we talk to companies really trying to win the hearts and minds of developers. You always hear, we're going to win the developers. They're like an object, like you don't really win developers. Developers are very fickle but very loyal if you can align with what they're trying to do. >> Siddartha: Yeah. >> And they'll reject hardcore tactics of selling and lock-in so that's a concern. It's a psychology of the developers. They want cool but they want relevance and they want to align with their goals. How do you see that 'cause I think Oracle is a great ecosystem for a developer. How do you manage that psychology 'cause Oracle has traditionally been an enterprise software company, so software's great but... Amazon has a good lead on the developers right now. You know, look at the end of the day you have to get developers realizing that they can build excellent, fun creative applications to create differentiation for their organizations, right, and do it fast with cool technologies. So we're giving them, for example, not just the ability to build with Java EE but now they can build in Java SE with Tomcat, they can build with Node, they can build with PHP and soon they'll be able to do it with Ruby and Daikon. And we're giving that in a container-based platform where they don't necessarily have to manage the container. They get automatic scalability, they get back up batching, all of that stuff taken care of for them. Also, you know, being able to build rich, mobile applications, that's really important for them. So how they can build mobile applications using Ionic, Angular, whatever JavaScript framework they want, but on the back end they have to be able to connect these mobile apps to the enterprise. They have to get location-based inside and to where the person is who's using the mobile app. They need to be able to get inside and tell how the mobile app's been used, and you've heard Larry talk about the Chatbot platform, right? How do you engage with customers in a different way through Facebook Messenger? So those are some of the new technologies that we're making very easily available and then at the end of the day we're giving them choice of databases so it's not just Oracle database that you get up and running in the Cloud and it's provision managed, automated for you. But now you can ask for NoSQL databases. You can have Cassandra, MongoDB run on our IaaS and MySQL. We just announced MySQL enterprise edition available as a service in the Public Cloud. >> Yeah one of the things that developers love, you know, being an ex-developer myself in the old days, is, and we've talked to them... They're very loyal but they're very pragmatic and they're engineers, basically they're software engineers. They love tools, great tools that work, they want support, but they want distribution of their product that they create, they're creators, so distribution ultimately means modernization but developers don't harp too much on money-making although they'd want to make money. They don't want to be abandoned on those three areas. They don't want to be disloyal. They want to be loyal, they want support and they want to have distribution. What does Oracle bring to the table to address those three things? >> Yeah, they're a few ways in which we're thinking of helping developers with distributions. For example, one is, developers are building applications that they exposing their APIs and they want to be able to monetize those APIs because they are exposing business process and a logic from their organization as APIs so we're giving them the ability to have portals where they can expose their APIs and monetize the APIs. The other thing is we've also got the Oracle Cloud Marketplace where developers can put their stuff on Oracle Cloud Marketplace so others can be leveraging that content and they're getting paid for that. >> How does that work? Do they plug it into the pass layer? How does the marketplace fit in if I'm a developer? >> Sure, the marketplace is a catalog, right, and you can put your stuff on the catalog. Then when you want to drag and drop something, you drop it onto Oracle PaaS or onto Oracle IaaS. So you're taking the application that you've built and then you got it to have something that-- >> John: So composing a solution on the fly of your customer? >> Well, yeah exactly, just pulling a pre-composed solution that a developer had built and being able to drop it onto the Oracle PaaS and IaaS platform. >> So the developer gets a customer and they get paid for that through the catalog? >> Yes, yes, yes and it's also better for customers, right? They're getting all sorts of capability pre-built for them, available for them, ready for them. >> So one of the things that's come up, and we've heard it, it was really amplified too much but we saw it and it got some play. In developer communities, the messaging on the containers and microservers as you mentioned earlier. Huge deal right now. They love that ability to have the containerization. We even heard containers driving down into the IaaS area, so with the network virtualization stuff going on, so how is that going to help developers? What confidence will you share to developers that you guys are backing the container standards-- >> Siddhartha: Absolutely. >> Driving that, participating in that. >> Well I think there are a couple of things. First of all, containers are not that easy in terms of when you have to orchestrate under the containers, you have to register these containers. Today the technology is for containers to be managed, the orchestration technology which is things like Swarm, Kubernetes, MISO, et cetera. They're changing very rapidly and then in order to use these technologies, you have to have a scheduler and things like that. So there's a stack of three or four, relatively recent technologies, changing at a relatively fast pace and that creates a very unstable stack for someone who create production level stuff for them, right? The docker container that they built actually run from this slightly shaky stack. >> Like Kubernetes or what not. >> Yeah yeah and so what we've done is we're saying, look, we're giving you container as a service so if you've already created docker containers, you can now bring those containers as is to the Oracle Public Cloud. You can take this application, these 20 containers and then from that point on we've taken care of putting the containers out, scaling the containers up, registering the containers, managing the containers for you, so you're just being able to use that environment as a developer. And if you want to use the PaaS, that's that IaaS. If you want to use the PaaS, then the PhP node, JavaSE capability that I told you was also containerized. You're just not exposed to docker there. Actually, I know he's got a question, but I want to just point out Juan Loaiza, who was on Monday, he pointed out the JSON aspect of the database was I thought was pretty compelling. From a developer's standpoing, JSON's very really popular with managing APIs. So having that in the database is really kind of a good thing so people should check out that interview. >> Very quickly, one of the historical norm for developers is you start with a data model and then you take various types of tools and you build code that operates against that development for that basic data model. And Oracle obviously has, that's a big part of what your business has historically been. As you move forward, as we start looking at big data and the enormous investment that businesses are making in trying to understand how to utilize that technology, it's not going as well as a lot folks might've thought it would in part because the developer community hasn't fully engaged how to generate value out of those basic stacks of technology. How is Oracle, who has obviously a leadership position in database and is now re-committing itself to some of these new big data technologies, how're you going to differentially, or do you anticipate differentially presenting that to developers so they can do more with big data-like technologies? >> They're a few things that we've done, wonderful question. First of all, just creating the Hadoop cluster, managing the Hadoop cluster, scaling out the Hadoop cluster requires a lot of effort. So we're giving you big data as a service where you don't have to worry about that underlying infrastructure. The next problem is how do you get data into the data lake, and the data has been generated at tremendous volume. You think about internet of things, you think about devices, et cetera. They're generating data at tremendous volume. We're giving you the ability to actually be able to use a streaming, Kafka, Sparc-based serviced to be able to bring data in or to use Oracle data intergration to be able to stream data in from, let's say, something happening on the Oracle database into your big data hub. So it's giving you very easy ways to get your data into the data hub and being able to do that with HDFS, with Hive, whichever target system you want to use. Then on top of that data, the next challenge is what do you visualize, right? I mean, you've got all this data together but a very small percentage is actually giving you insight. So how do you look at this and find that needle in the haystack? So for that we've given you the ability to do analytics with the BI Cloud service to get inside into the data where we're actually doing machine learning. And we're getting inside from the data and presenting those data sets to the most relevant to the most insightful by giving you some smart insights upfront and by giving you visualizations. So for example, you search for, in all these forms, what are the users says as they entered in the data. The best way to present that is by a tag cloud. So giving you visualization that makes sense, so you can do rich discovery and get rich insight from BI Cloud service and the data visualization cloud service. Lastly, if you have, let's say, five years of data on an air conditioner and the product manager's trying to get inside into that data saying, hey what should I fix so that that doesn't happen next time around. We're giving you the big data discovery cloud service where you don't have to set up that data lab, you don't have to set up the models, et cetera. You could just say replicate two billing rows, we'll replicate it in the cloud for you within our data store and you can start getting insight from it. >> So how are developers going to start using these tools 'cause it's clear that data scientists can use it, it's clear that people that have more of analytic's background can use it. How're developers going to start grabbing a lot of these capabilities, especially with machine learning and AI and some of the other things on the horizon? And how do you guys anticipate you're going to present this stuff to a developer community so that they can, again, start creating more value for the business? Is that something that's on the horizon? >> You know it's here, it's not on the horizon, it's here. We're helping developers, for example, build a microservice that wants to get data from a treadmill that one of the customers is running on, right? We're trying to get data from one of the customers on the treadmills. Well the developer now creates a microservice where the data from the treadmill has been ingested into a data lake. We've made it very easy for them to ingest into the data lake and then that microservice will be able to very easily access the data, expose only the portion of the data that's interesting. For example, the developer wants to create a very rich mobile app that presents the customer running with all the insight into the average daily calorie burn and what they're doing, et cetera. Now they can take that data, do analytics on it and very easily be able to present it in the mobile platform without having to work through all the plumbing of the data lake, of the ingestion, of the visualization, of the mobile piece, of the integration of the backend system. All of that is being provided so developers can really plug and play and have fun. >> Yeah, they want that fun. Building is the fun part, they want to have fun-- >> They want relevance, great tools and not have to worry about the infrastructure. >> John: They want distribution. They want their work to be showcased. >> Peter: That's what I mean about relevance, that's really about relevance. >> They want to work on the cool stuff and again-- >> And be relevant. >> Developers are starting to have what I call the nightclub effect. Coding is so much fun now, there's new stuff that comes out. They want to hack with the new codes. They want to play with some that fit the form factor with either a device or whatnot. >> Yeah and one other thing that we've done is, we've made the... All developers today are doing containers delivery because they need to release code really fast, right. It's no longer about months, it's about days or hours that they have to release. So we're giving a complete continuous delivery framework where people can leverage Git for their code depository, they can use Maven for continuous integration, they can use Puppet and Chef for stripping. The can manage the backlog of their task. They can do code reviews, et cetera, all done in the cloud for them. >> So lifestyles, hospitality. Taking care of developers, that's what you got to do. >> Exactly, that's a great analogy. You know all these things, they have to have these tools that they put together and what we're doing is we're saying, you don't have to worry about putting together those tools, just use them. But if you have some, you can plug in. >> Well we think, Wikibon and SiliconeANGLE, believe that there's going to be a tsunami of enterprise developers with the consumerization of IT, now meaning the Cloud, that you're going to see enterprise development, just a boom in development. You're going to see a lot more activity. Now I know it's different in development by it's not just pure Cloud need, it's some Legacy, but it's going to be a boom so we think you guys are very set up for that. Certainly with the products, so my final question for you Siddhartha is, what's your plans? I mean, sounds great. What're you going to do about it? Is there a venture happening? How're you guys going to develop this opportunity? What're you guys going to do? >> So the product sets are already there but we're evolving those products sets to a significant pace. So first of all, you can go to cloud.oracle.com/tryit and try these cloud services and build the applications on it, that's there. We've got a portal called developer.oracle.com where you can get resources on, for example, I'm a JavaScript developer. What's everything that Oracle's doing to help JavaScript developers? I'm a MySQL developer. what's everyone doing to help with that? So they've got that. Then starting at the beginning of next year, we're going to roll out a set of workshops that happen in many cities around the world where we go work with developers, hands on, and getting them inside an experience of how to build these rich, cloud-native, microservices-based applications. So those are some of the things and then our advocacy program. We already have the ACE Program, the ACE Directive Program. Working with that program to really make it a very vibrant, energetic ecosystem that is helping, building a sort of sample codes and building expert knowledge around how the Oracle environment can be used to build really cool microservices-based, cloud-native-- >> So you're investing, you're investing. >> Siddhartha: Oh absolutely. >> Any big events, you're just more little events, any big events, any developer events you guys going to do? >> So we'll be doing these workshops and we'll be sponsoring a bunch non-Oracle developer events and then we'll be launching a big developer event of our own. >> Great, so final question. What's in it for the developer? If I'm a developer, what's in it for me? Hey I love Oracle, thanks for spending the money and investing in this. What's in it for me? Why, why should I give you a look? >> Because you can do it faster with higher quality. So that microservices application that I was talking about, if you went to any other cloud and tried to build that microservices-based application that got data from the treadmill into a data lake using IoT and the analytics integration with backend applications, it would've taken you a lot longer. You can get going in the language of your choice using the database of your choice, using standards of your choice and have no lock-in. You can take your data out, you can take your code out whenever you want. So do it faster with openness. >> Siddhartha, thanks for sharing that developer update. We were talking about it yesterday. Our prayers were answered. (laughing) You came on The Cube. We were like, where is the developer action? I mean we see that JavaOne, we love Java, certainly JavaScript is awesome and a lot of good stuff going on. Thanks for sharing and congratulations on the investments and to continuing bringing developer goodness out there. >> Thank you, John. >> This The Cube, we're sharing that data with you and we're going to bring more signal from the noise here after this short break. You're watching The Cube. (electronic beat)