[Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] you [Music] [Applause] [Music] live from Barcelona Spain it's the cube covering Cisco live 2020 rot to you by Cisco and its ecosystem partners come back this is the cubes coverage of Cisco live 2020 here in Barcelona doing about three and a half days of wall-to-wall coverage here I'm Stu minim and my co-host for this segment is Dave Volante John furs also here scouring the floor and really happy to welcome to the program to first-time guests I believe so Ron Daris is the product manager of product marketing for cloud computing with Cisco and sitting to his left is Matt Ferguson who's director of product development also with the Cisco cloud group Dave and I are from Boston Matt is also from the Boston area yes and Costas is coming over from London so thanks so much for joining us thanks IBPS all right so obviously cloud computing something we've been talking about many years we've really found fascinating the relationship Cisco's had with its customers as well as through the partner ecosystem had many good discussions about some of the announcements this week maybe start a little bit you know Cisco's software journey and you know positioning in this cloud space right now yes oh so it's a it's a really interesting dynamic when we start transitioning to multi cloud and we actually deal with cloud and compute coming together and we've had whether you're looking at the infrastructure ops organization or whether you're looking at the apps operations or whether you're looking at you know your dev environment your security operations each organization has to deal with their angle at which they view you know multi cloud or they view how they actually operate within those the cloud computing context and so whether you're on the infrastructure side you're looking at compute you're looking at storage you're looking at resources if you're an app operator you're looking at performance you're looking at visibility assurance if you are in the security operations you're looking at maybe governance you're looking at policy and then when you're a developer you really sort of thinking about CI CD you're talking about agility and there's very few organizations like Cisco that actually is looking at from a product perspective all those various angles of multi-cloud yeah definitely a lot of piece of cost us maybe up level it for us a little bit there's there's so many pieces you know we talked for so long you know you don't talk to any company that doesn't have a cloud strategy doesn't mean that it's not going to change over time and it means every company's got at home positioning but talk about the relationship cisco has with its customer and really the advisory position that you want to have with them it's actually a very relevant question to what to what Matt is talking about because we talk a lot about multi cloud as a trend and hybrid clouds and this kind of relationship between the traditional view of looking at computing data centers and then expanding to different clouds you know public cloud providers have now amazing platform capabilities and if you think about it the the it goes back to what Matt said about IT ops and the development kind of efforts why is this happening really you know there's there's the study that we did with with an analyst and there was an amazing a shocking stat around how within the next three years organizations will have to support 50% more applications than they do now and we have been trying to test this stat our events that made customer meetings etc that is a lot of a lot of change for organizations so if you think about why are they use why do they need to basically what go and expand to those clouds is because they want to service IT Ops teams want ER servers with capabilities their developers faster right and this is where you have within the IT ops kind of theme organization you have the security kind of frame the compute frame the networking where you know Cisco has a traditional footprint how do you blend all this how do you bring all this together in a linear way to support individual unique application modernization efforts I think that's what are we hearing from customers in terms of the feedback and this is what influences our strategy to converts the different business units and engineering engineering efforts right couple years ago I have to admit I was kind of a multi cloud skeptic I always said I thought it was more of a symptom than actually a strategy a symptom of you know shadow IT and different workloads and so forth but now I'm kind of buying in because I think IT in particular has been brought in to clean up the crime scene I often say so I think it is becoming a strategy so if you could help us understand what you're hearing from customers in terms of their strategy toward the multi cloud and how Cisco that was mapping into that yeah so so when we talk to customers it comes back to the angle at which they're approaching the problem in like you said the shadow IT has been probably around for longer than anybody won't cares to admit because the people want to move faster organizations want to get their product out to market sooner and and so what what really is we're having conversations now about you know how do I get the visibility how do I get you know the policies and the governance so that I can actually understand either how much I'm spending in the cloud or whether I'm getting the actual performance that I'm looking for that I need the connectivity so I get the bandwidth and so these are the kinds of conversations that we have with customers is is is going I realize that this is going on now I actually have to now put some you know governance and controls around that is their products is their solutions is their you know they're looking to Cisco to help them through this journey because it is a journey because as much as we talk about cloud and you know companies that were born in the cloud cloud native there is a tremendous number of IT organizations that are just starting that journey that are just entering into this phase where they have to solve these problems yeah I agree and it's just starting the journey with a deliberate strategy as opposed to okay we got this this thing but if you think about the competitive landscape its kind of interesting and I want to try to understand where Cisco fits because again you you initially had companies that didn't know in a public cloud sort of pushing multi cloud and you'd say oh well okay so they have to do that but now you see anthos come out with Google you see Microsoft leaning in we think eventually AWS is going to lean in and then you say I'm kind of interested in working with someone whose cloud agnostic not trying to force now now Cisco a few years ago you didn't really think about Cisco as a player now so this goes right in the middle I have said often that Cisco's in a great position John Fourier as well to connect businesses and from a source of networking strength making a strong argument that we have the most cost-effective most secure highest performance network to connect clouds that seems to be a pretty fundamental strength of yours and does that essentially summarize your strategy and and how does that map into the actions that you're taking in terms of products and services that you're bringing to market I would say that I can I can I can take that ya know it's a chewy question for hours yeah so I I was thinking about a satellite in you mentioned this before and you're like okay that's you know the world is turning around completely because we we seem to talk about satellite e is something bad happening and now suddenly we completely forgot about it like let let free free up the developers gonna let them do whatever they want and basically that is what I think is happening out there in the market so all the solutions you mentioned in the go to market approaches and the architectures that the public cloud providers at least are offering out there certainly the big three have differences have their strengths and I think those strengths are closer to the developer environment basically you know if you're looking into something like a IML there's one provider that you go with if you're looking for a mobile development framework you're gonna go somewhere else if you're looking for a dr you're gonna go somewhere else maybe not a big cloud but your service provider that you've been dealing with all these all these times and you know that they have their accreditation that you're looking for so where does Cisco come in you know we're not a public cloud provider we offer products as a service from our data centers and our partners data centers but at the - at the way that the industry sees a cloud provider a public cloud like AWS a sure Google Oracle IBM etc we're not that we don't do that our mission is to enable organizations with software hardware products SAS products to be able to facilitate their connectivity security visibility observability and in doing business and in leveraging the best benefits from those clouds so we we kind of we kind of moved to a point where we flip around the question and the first question is who is your cloud provider what how many tell us the clouds you work with and we can give you the modular pieces you can put we can put together for you so there's so that you can make the best out of your plan it's been being able to do that across clouds we're in an environment that is consistent with policies that are consistent that represent the edicts of your organization no matter where your data lives that's sort of the the vision in the way this is translated into products into Cisco's product you naturally think about Cisco as the connectivity provider networking that's that's really sort of our you know go to in what we're also when we have a significant computing portfolio as well so connectivity is not only the connectivity of the actual wire between geographies point A to point B in the natural routing and switching world there's connectivity between applications between cute and so this week you know the announcements were significant in that space when you talk about the compute and the cloud coming together on a single platform that gives you not only the ability to look at your applications from a experience journey map so you can actually know where the problems might occur in the application domain you can actually then go that next level down into the infrastructure level and you can say okay maybe I'm running out of some sort of resource whether it's compute resource whether it's memory whether it's on your private cloud that you have enabled on Prem or whether it's in the public cloud that you have that application residing and then why candidly you have the actual hardware itself so inter-site it has an ability to control that entire stack so you can have that visibility all the way down to the hardware layer I'm glad you brought up some of the applications wonderful we can you know stay there for a moment and talk about some of the changing patterns for customers a lot of talk in the industry about cloud native often it gets conflated with you know microservices containerization and lots of the individual pieces there but you know one of our favorite things that been talked about this week is the software that really sits at the application layer and how that connects down through some of the infrastructure pieces so help us understand what you're hearing from customers and and where how you're helping them through this transition to constants as you were saying absolutely there's going to be lots of new applications more applications and they still have the the old stuff that they need to continue to manage because we know an IT nothing ever goes away that's that's definitely true I was I was thinking you know there's there's a vacuum at the moment and and there's things that Cisco is doing from from technology leadership perspective to fill that gap between the application what do you see when it comes to monitoring making sure your services are observable and how does that fit within the infrastructure stack you know everything upwards network the network layer base again that is changing dramatically some of the things that Matt touched upon with regards to you know being able to connect the the networking the security in the infrastructure the computer infrastructure that the developers basically are deploying on top so there's a lot of there's a lot of things on containerization there's a lot of in fact it's you know one part of the of the self-injure side of the stack that you mentioned and one of the big announcements you know that there's a lot of discussion in the industry around ok how does that abstract further the conversation on networking for example because that now what we're seeing is that you have huge monoliths enterprise applications that are being carved down into micro services ok they you know there's a big misunderstanding around what is cloud native is it related to containers different kind of things right but containers are naturally the infrastructure de facto currency for developers to deploy because of many many benefits but then what happens you know between the kubernetes layer which seems to be the standard and the application who's gonna be managing services talking to each other that are multiplying you know things like service mesh network service mess how is the network evolving to be able to create this immutable infrastructure for developers to deploy applications so there's so many things happening at the same time where cisco has actually a lot of taking a lot of the front seat this is where it gets really interesting you know it's sort of hard to squint through because you mentioned kubernetes is the de facto standard but it's a de-facto standard that's open everybody's playing with but historically this industry has been defined by you know a leader who comes out with a de facto standard kubernetes not a company right it's an open standard and so but there's so many other components than containers and so history would suggest that there's going to be another de facto standard or multiple standards that emerge and your point earlier is you you got to have the full stack you can't just do networking you can't just do certain few so you guys are attacking that whole pie so how do you think this thing will evolve I mean you guys are obviously intend to put out as Casta as wide a net as possible capture not only your existing install base but attractive attract others and you're going aggressively at it as are as are others how do you see it shaking out deep do you see you know four or five pockets do you see you know one leader emerging I mean customers would love all you guys to get together come up with standards that's not going to happen so we're it's jump ball right now well yeah and you think about you know to your point regarding kubernetes is not a company right it is it is a community driven I mean it was open source by a large company but it's but it's community driven now and that's the pace at which open source is sort of evolving there is so much coming at IT organizations from a new paradigm a new software something that's you know the new the shiny object that sort of everybody sort of has to jump on to and sort of say that is the way we're going to function so IT organizations have to struggle with this influx of just every coming at them and every angle and I think what's starting to happen is the management and the you know that stack who controls that or who is helping IT organizations to manage it for them so really what we're trying to say is there's elements that you have to put together that have to function and kubernetes is just one example docker the operating system that associated with it that runs all that stuff then you have the application that goes rides IDEs on top of it so now what we have to have is things like what we just announced this week HX ap the application platform for HX so you have the compute cluster but then you have the on top of that that's managed by an organization that's looking at the security that's looking at the the actual making opinions about what should go in the stock and managing that for you so you don't have to deal with that because you can just focus on the application development yeah I mean Cisco's in a strong position to do there's no question about it and to me it comes down to execution if you guys execute and deliver on the the products and services that you say you know your nouns for instance this week and previously and you continue on a roadmap you're gonna get a fair share of this marketplace I think there's no question so last topic before we let you go is love your viewpoint on customers what's separating kind of leaders from you know the followers in this space you know there's so much data out there you know I'm a big fan of the state of DevOps report yeah focus you know separate you know some but not the not here's the technology or the piece but the organizational and you know dynamics that you should do so it sounds like Matt you you like that that report also love them what are you hearing from customers how do you help guide them towards becoming leaders in the cloud space yeah the state of DevOps report was fascinating and I mean they've been doing that for what a number of years yeah exactly and really what it's sort of highlighting is two main factors that I think that are in this revolution or this this this paradigm shift or journey we're going through there's the technology side for sure and so that's getting more complex you have micro services you have application explosion you have a lot of things that are occurring just in technology that you're trying to keep up but then it's really about the human aspect that human elements the people about it and that's really I think what separates you know the the elites that are really sort of you know just charging forward in the head because they've been able to sort of break down the silos because really what you're talking about in cloud native DevOps is how you take the journey of that experience of the service from end to end from the development all the way to production and how do you actually sort of not have organizations that look at their domain their data set their operations and then have to translate that or have to sort of you know have another conversation with another organization that it doesn't look at that that has no experience of that so that is what we're talking about that end-to-end view is that in addition to all the things we've been talking about I think Security's a linchpin here now you guys are executing on security you got a big portfolio and you've seen a lot of M&A and a lot of companies now trying to get in and it's gonna be interesting to see how that plays out but that's going to be a key because organizations are going to start there from a strategy standpoint and then build out yeah absolutely if you follow the DevOps methodology its security gets baked in along the way so that you're not having to sit on after do anything Custis give you the final word I was just as follow-up with regard what what Mark was saying there's so many there's what's happening out there is this just democracy around standards which is driven by communities and we will love that in fact cisco is involved in many open-source community projects but you asked about customers and and just right before you were asking about you know who's gonna be the winner there's so many use cases there's so much depth in terms of you know what customers want to do with on top of kubernetes you know take AI ml for example something that we have we have some some offering the services around there's the customer that wants to do AML there their containers that their infrastructure will be so much different to someone else's doing something just hosting yeah and there's always gonna be a SAS provider that is niche servicing some oil and gas company you know which means that the company of that industry will go and follow that instead of just going to a public law provider that is more organized if there's a does that make sense yeah yeah this there's relationships that exist the archer is gonna get blown away that add value today and they're not gonna just throw them out so exactly right well thank you so much for helping us understand the updates where your customers are driving super exciting space look forward to keeping an eye on it thank you thank you so much all right there's still lots more coming here from Cisco live 20/20 in Barcelona people are standing watching all the developer events lots of going on the floor and we still have more so thank you for watching the cute [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] you [Music] live from Barcelona Spain it's the cube covering Cisco live 2020 rot to you by Cisco and its ecosystem partners welcome back over 17,000 in attendance here for Cisco live 2020 in Barcelona ops to Minh and my co-host is Dave Volante and to help us to dig into of course one of the most important topic of the day of course that security we're thrilled to have back a distinguished engineer Francisco one of our cube alumni TK Kia Nene TK thanks so much for joining us ideal man good good all right so TK it's 2020 it's a new decade we know the bad actors are still out there they're there the the question always is you know it used to be you know how do you keep ahead of them then I've here Dave say many times well you know it's not you know when it's it's not if it's when you know you probably already have been okay you know compromised before so it gives latest so you know what you're seeing out there what you're talking to customers about in this important space yeah it's uh it's kind of an innovation spiral you know we we innovate we make it harder for them and then they innovate they make it harder for us right and round and round we go that's been going on for for many years I think I think the most significant changes that have happened recently have to deal with not essentially their objectives but how they go about their objectives and Defenders topologies have changed greatly instead of just your standard enterprise you now have you know hybrid multi cloud and all these new technologies so while while all that innovation happens you know they get a little clever and they find weaknesses and round and round we go so we talked a lot about the sort of changing profile of the the threat actors going from hacktivists took criminals now is a huge business and nation-states even what's that profile look like today and how has that changed over the last decade or so you know that's pretty much stayed the same bad guys are bad guys at some point in time you know just how how they go about their business their techniques they're having to like I said innovate around you know we make it harder for them they you know on Monday we're safe on Tuesday we're not you know and then on Wednesday it switches again so so it talked about kind of this multi-cloud environment when we talk to customers it's like well I want the developer to be able to build their application and not really have to think too much underneath it that that has to have some unique challenges we know security we knew long ago well I just go to the cloud it doesn't mean they take care of it some things are there some things they're gonna remind you now you need to make sure you set certain things otherwise you could be there but how do we make sure that Security's baked in everywhere and is up as a practice that everybody's doing well I mean again some of the practices hold true no matter what the environment I think the big thing was cognitive is in back in the day when when you looked at an old legacy data center you were part sort of administrator in your part detective and most people don't even know what's running on there that's not true in cloud native environments some some llamó file some some declaration it's it's just exactly what productions should look like right and then the machines instantiate production so you're doing things that machine scale forces the human scale people to be explicit and and for me I mean that's that's a breath of fresh air because once you're explicit then you take the mystery out of what you're protecting how about in terms of how you detect threats right phishing for credentials has become a huge deal but not just you know kicking down the door or smashing a window using your your own credentials to get inside of your network so how is that affected the way in which you detect yeah it's it's a big deal you know a lot of a lot of great technology has a dual use and what I mean by that is network cryptology you know that that whole crypto on the network has made us safer for us to compute over insecure networks and unfortunately it works just as well for the bad guys so you know all of their malicious activity is now private to so it you know for us we just have to invent new ways of detecting direct inspection for instance I think it's a thing of the past I mean we just can't depend on it anymore we have to have tools of inference and not only that but it's it's gave rise in a lot of innovation on behavioral science and as you say you know it's it's not that the attacker is breaking into your network anymore they're logging in ok what do you do then right Alice Alice's account it's not gonna set off the triggers so you have to say you know when did Alice start to behave differently you know she's working in accounting why is she playing around with the source code repository that's that's a different thing right yes automation is such a big trend you know how do we make sure that automation doesn't leave us more vulnerable that's rarity because we need to be able automate we've gone beyond human scale for most of these configurations that's exactly right and and how do how do we I always say just with security automation in particular just because you can automate something doesn't mean you should and you really have to go back and have practices you know you could argue that that this thing is just a you know machine scale automation you could do math on a legal pad or you can use a computer to do it right what so apply that to production if you mechanized something like order entry or whatever you're you're you're automating part of your business use threat modeling you use the standard threaten modeling like you would your code the network is code now right and the storage is code and everything is code so you know just automate your testing do your threat modeling do all that stuff please do not automate for your attacker matrix is here I want to go back to the Alice problem because you're talking about before you have to use inference so Alice's is in the network and you're observing her moves every day and then okay something anomalous occurs maybe she's doing something that normally she wouldn't do so you've got to have her profile in her actions sort of observed documented stored the data has got to be there and at the same time you want to make sure it's always that balance of putting handcuffs on people you know versus allowing them to do their job and be productive at the same time as well you don't want to let the bad guys know that you know that alice is doing something that she didn't be doing is actually not Alice so all that complexity how are you dealing with it and what's the data model look like doing it machines help let's say that machines can help us you know you and I we have only so many sense organs and the cognitive brain can only store so many so much state machines really help us extend that and so you know looking at not three dimensions of change but 7000 dimensions have changed right something in the machine is going to say there's an outlier here that's interesting and you can get another machine to say that's that's interesting maybe I should focus on that and you build these analytical pipelines so that at the end of it you know they may argue with each other all the way to the end but at the end you have a very high fidelity indicator that might be at the protocol level it might be at the behavioral level it might be seven days back or thirty days back all these temporal and spatial dimensions it's really cheap to do it with a machine yeah and if we could stay on that for a second so it try to understand I know that's a high-level example but is it best practice to have the Machine take action or is it is it an augmentation and I know it depends on the use case but but how is that sort of playing out again you have to do all of this safely okay a lot of things that machines do don't return back to human scale stuff that returns back to human scale that humans understand that is as useful so for instance if machines you know find out all these types of in assertions even in medical you know right now if if you've got so much telemetry going into the medical field see the machine tells you you have three weeks to live I mean you better explain what the heck you know how you came about that assertion it's the same with security you know if I'm gonna say look we're gonna quarantine your machine or we're gonna readjust machine it's not I'm not like picking movies for you or the next song you might listen to this is high stakes and so when you do things like that your analytics needs to have what is called entailment you have to explain what it is how you got to that assertion that's become incredibly important in how we measure our effectiveness in in doing analytics that's interesting because because you're using a lot of machine intelligence to do this and in a lot of AI is blackbox you're saying you cannot endure that blackbox problem in security yeah that black boxes is is very dangerous you know I you know personally I feel that you know things that should be open sourced this type of technology it's so advanced that the developer needs to understand that the tester needs to understand that certainly the customer needs to understand it you need to publish papers and be very very transparent with this domain because if it is in fact you know black box and it's given the authority to automate something like you know shut down the power or do things like that that's when things really start to get dangerous so good TK what wondered you know give us the latest on stealthWatch there you know Cisco's positioning when it when it comes to everything we've been talking about here you know stealthWatch again is it's been in market for quite some time it's actually been in market since 2001 and when I when I look back and see how much has changed you know how we've had to keep up with the market and again it's not just the algorithms rewrite for detection it's the environments have changed right but when did when did multi-cloud happen so so operating again cusp it's not that stealthWatch wants to go their customers are going there and they want the stealthWatch function across their digital business and so you know we've had to make advancements on the changing topology we've had to make advancements because of things like dark data you know the the network's opaque now right we have to have a lot of inference so we've just you know kept up and stayed ahead of it you know we've been spending a lot of time talking to developer communities and there's a lot of open-source tooling out there that that's helping enable developers specifically in security space you were talking about open-source earlier how does what you've been doing the self watch intersect with that yeah that's always interesting too because there's been sort of a shift in let's call them the cool kids right the cool kids they want everything is code right so it's not about what's on glass or you know a single pane of glass anymore it's it's what stealth watches code right what's your router as code look at dev net right yeah yeah I mean definite is basically Cisco as code and it's beautiful because that is infrastructure as code I mean that is the future and so all the products not just stealthWatch have beautiful api's and that's that's really exciting I've been saying for a while now it's do you I think you agree is that that is a big differentiator for Cisco I think you you're one of the few if not the only large established player and the enterprise that has figured out that sort of infrastructure is code play others have tried and are sort of getting there but you know start/stop you use a term that really cool is like living off the land you know bear bear grylls like the guy who lives down so bad so and and and threat actors are doing that now they're using your own installed software and tooling to hack you and and steal from you how were you dealing with that problem yeah it's a tough one and like I said you know much respect the the adversary is talented and they're patient they're well funded okay that's that's where it starts and so you know why why bring why bring an interpreter to a host when there's already one there right why right all this complicated software distribution when I can just use yours and so that's that's where the the play the game starts and and the most advanced threats aren't leaving footprints because the footprints are already there you know they'll get on a machine and behaviorally they'll check the cache to see what's hot and what's hot in the cache means that behaviorally it's a path they can go they're not cutting a new trail most of the time right so living off the land is not only the tools that they're using the automation your automation they're using against you but it's also behavioral and so that that makes it you know it makes it harder it's it impossible no can we make it harder for them yes so yeah no I'm having fun and I've been doing this for over twenty five years every week it's something new well it's a hard problem you're attacking and you know Robert Herjavec who came on the cube sort of opened my eyes and you think about what are we securing we're securing everything I mean a critical infrastructure were essentially exerted securing the entire global economy and he said something that really struck me it's an 86 trillion dollar economy we spend point zero one four percent on securing that economy and it's nothing now of course he's an entrepreneur and he's pimping for his is his business but it's true we are barely scratching the surface of this problem yeah I'm and it's changing I mean it's changing it could it be better yes it is changing his board awareness you know twenty years ago then right me to a dinner party they you know what does your husband do I'd say you know cyber security or something they'd roll their eyes and change the subject now they asked me the same question so oh you know my computer's running really slow right these are not this is everyone I'm worried about a life hack yeah how do I protect myself or what about these coming off the bank I mean that's those guys a dinner table cover every party so now now you know I just make something up I don't do cybersecurity I just you know a tort or a jipner's you've been to this business forever I can't remember have I ever asked you the superhero question what is that your favorite superhero that's a tough one there's all the security guys I know they like it's always dreamed about saving the world [Laughter] you're my superhero man I love what you do I think you've a great asset for Cisco and Cisco's customers really thanks TK give us a final word if people want to you know find out more about about what Cisco's doing read more of what you're working on but what's some of the best resource I have to go do you know just drop by the web pages I mean everything's published out that like I said even even for the super nerdy you know we published all our our laurs security analytics papers I think we're over 50 papers published in the last 12 years TK thank you so much always a pleasure to catch alright yeah and a travels thank you so much for de Villante I'm Stu Mittleman John furrier is also in the house we will be back with lots more coverage here from Cisco live 20/20 in Barcelona thanks for watching the keys [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] live from Barcelona Spain it's the cube covering Cisco live 2020s brought to you by Cisco and its ecosystem partners hello and welcome back to the cubes live coverage it's our fourth day of four days of coverage here in Barcelona Spain for Cisco live 2020 I'm John Faria my co-host to many men to great guests here in the dev net studio where the cube is sitting all week long been packed with action mindy Whaley senior director developer experiences but dev net and partner a senior director welcome back to this cube good to see you guys glad to be here so we've had a lot of history with you guys what from day one yes watching def net from an idea of hey we should develop earthing you also have definite create yes separate more developer focused definite is Cisco's developer environment we've been here from the beginning what a progression congratulations on the success thank you thank you so much it's great to be here in Barcelona with everybody here you know learning in the workshops and we just love these times to connect with our community at Cisco live and it definitely ate what you mentioned which is coming up in March so it's right around the corner def net zone which we're in it's been really robust spins it's been the top of the show every year and it gets bigger and the sessions are packed because people are learning developers new developers as well as Cisco engineers who were certified coming in getting new skills as the modern cloud hybrid environments are new skills is a technology shift yeah exactly and what we have in the definite zone are different ways that the engineers and developers can engage with that technology shift so we have demos around IOT and security and showing how you know to prevent threats from attacking the Industrial routers and things like that we have coding workshops from you know beginning intro to Python intro to get all the way up through advanced like kubernetes topics and things like that so people can really dive in with what they're looking for and this year we're really excited because we have the new definite certifications with those exams coming out right around the corner in February so a lot of people are here saying I'm ready to skill up for those exams I'm starting to dive into this topic well Susie we was on she's the chief of deaf net among other things and she said there's gonna be a definite 500 the first 500 certifications of deaf net are gonna be kind of like the Hall of Fame or you know the inaugural or founder certifications so can you explain what this it means it's not a definite certification badge it's a series of write different sir can you deeper in then yeah just like we have our you know existing network certifications which are so respected and loved around the world people get CCIE tattoos and things just like there's an associate and professional and expert level on the networking truck there's now a definite associate a definite professional and coming soon definite expert and then there's also specialist badges which help you add specific skills like data center automation IOT WebEx so it's a whole new set of certifications that are more focused on the software so there are about 80 80 % software skills 20 percent knowledge of networking and then how you really connect up and down the stock so these are new certifications not replacing anything all the same stuff they're new they're part of the same program they have the same rigor the same kind of tests they actually have ways to enter weave with the existing networking certifications because we want people to do both skill paths right to build this new IT team of the future and so it's a completely new set of exams the exams are gonna be available to take February 24th and you can start signing up now so with the definite 500 you know that's gonna be a special recognition for the first 500 people who get dead note certifications it'll be a lifetime achievement they'll always be in the definite 500 right and I've had people coming up and telling me you know I'm signed up for the first day I'm taking my exams on the first day I'm trying to get into them you and I only always want to be on the lift so I think we might be on them and what's really great is with the certifications we've heard from people in the zone that they've been coming and taking classes and learning these skills but they didn't have a specific way to map that to their career path to get rewarded at work you know to have that sort of progression and so with the certifications they really will have that and it's also really important for our partners and par is doing a lot of work with certifications and partners yeah definitely that would love to hear a little bit we've interviewed on the cube over the years some of the definite partners from a technology standpoint of course the the channels ecosystem hugely important to Cisco's business gives the update as to you know definite partnering as well as what will these certifications mean to both the technology and go to market partners yeah the wonderful thing about this is it really demonstrates Cisco's embracement of software and making sure that we're providing that common language for software developers and networkers to bring the two together and what we've found is that our partners are at different levels of maturity along that progression of program ability and this new definite specialization which is anchored in the individuals that are now certified at that partner allow them to demonstrate from a go-to-market standpoint from a recognition standpoint that as a practice they have these skills and look at the end of the day it's all about delivering what our customers need and our customers are asking us for significant help in automation digital transformation they're trying to drive new business outcomes and this this will provide that recognition on on who to partner with in the market it's so important I remember when Cisco helped a lot of the partner ecosystem build data center practices went from the silos and now embracing you've got the hardware the software we're talking multi cloud it's the practice that is needed today going forward to help customers with where they're going it really is and and another benefit that we're finding and talking to our partners is we're packaging this up and rolling it out is not only will it help them from a recognition standpoint from a practice standpoint and from a competitive differentiation standpoint but it'll also help them attract challenge I mean it's no secret there is a talent shortage right now if you talk to any CEO that's top of mind and how these partners are able to attract these new skills and attract smart people smart people like working on smart things right and so this has really been a big traction point for them as well it's also giving ways to really specifically train for new job roles so some of the ways that you can combine the new definite certifications with the network engineering certifications we've looked at it and said you know there's there's a role of Network automation developer that's a new role everyone we ask in one of our sessions who needs that person on their team so many customers partners raise their hands like we want the network Automation developer on our team and you can combine you know your CCNP Enterprise with a definite certification and build up the skills to be that Network automation developer certainly has been great buzz I got to get your guys thoughts because certainly it's for careers and you guys are betting on the the people and the people are betting on Cisco mm-hmm yes this is what's going on submit surety of Devin it almost it's like a pinch me moment for you guys because you continue to grow I got to ask you what are some of the cool things that you're showing here as you mature you still have the start here session which is intro to Python and other things pretty elementary and then there's more advanced things what are some of the new things that's going on yeah that you could share so some of the new things we've got going on and one of my favorites is the IOT insecurity demonstration there's a an industrial robot arm that's picking and placing things and you can see how it's connected to the network and then something goes wrong with that robot alarm and then you can actually show how you can use the software and security tools to see was there code trying to access you know something that that robot was it was using it's getting in the way of it working so you could detect threats and move forward on that we also have a whole automation journey that starts from modeling your network to testing to how you would deploy automation to a deep dive on telemetry and then ends with multi domain automation so really helping engineers like look at that whole progression that's been that's been really popular Park talked about the specialization which ones are more popular or entry-level which ones are people coming into getting certified first network engineering automation first or what's the yeah so we're so the program is going to roll out with three different levels one is a specialized level the second is an advanced level and then we'll look to that third level again they're anchored in the in the individual certs and so as we look for that entry level it's really all about automation right I mean some things you take for granted but you still need these new skills to be able to automate and scale and have repeatable scalable benefits from that this the second tier will be more cross-domain and that's where we're really thinking that an additional skill set is needed to deliver dashboard experience compliance experiences and then that next level again we'll anchor towards the expert level that's coming out but one thing I want to point out is in addition to just having the certified people on staff they also have to demonstrate that they have a practice around it so it's not just enough to say I've passed an exam as we work with them to roll out the practice and they earn the badge they're demonstrating that they have the full methodology in place so that it really there's a lot behind it that means we can't be in the 500 list then even if a 500 list I don't know that the cube would end up being specialized its advertising no seriously all fun it's all fun it's Cisco live in Europe is there a difference between European and USD seeing any differences in geographic talent you know in the first couple years we did it I think there was a bigger difference it felt like there were different topics that were very popular in the US slightly different in Europe last year and this year I feel like they have converged it's it's the same focus on DevOps automation security as a huge focus in both places and it also feels like the the interest and level of the people attending has also converged it's really similar congratulations been fun to watch the rise and success of Devon it continues to be strong how see in the hub here and the definite zone behind us pact sessions yes what's the biggest surprise for you guys in terms of things that you didn't expect or some of the success what's what's jumped out yeah I think you know one of the points that I want to make sure we also cover and it has been an added benefit we're hoping it would happen we just didn't realize it would happen this soon we're attracting new companies new partners so the specialization won't just be available for our traditional bars this is also available for our non resale and we are finding different companies accessing definite resources and learning these skills so that's been a really great benefit of Deb net overall definitely my favorite surprises are when I show up at the community events and I hear from someone I met last year what the what they went back and did and the change that they drove and they come in their company and I think we're seeing those across the board of people who start a grassroots movement take back some new ideas really create change and then they come back and we get to hear about that from them those are my favorite surprises and I tell you we've known for years how important the developer is but I think the timing on this has been perfect because it is no longer just oh the developer has some tools that they like in the corner the developer connected to the business and driving things forward exactly so perfect timing congratulations on this certification their thing that's been great is that our at Cisco itself we now have API is across the whole portfolio and up and down the stock so that's been a wonderful thing to see come together because it opens up possibilities for all these developers so Cisco's API first company we are building it guys everywhere we can and and that the community is is taking them and finding creative things to build it's been fun to watch you guys change Cisco but also impact customers has been great to watch far many thanks for coming up yeah games live coverage here in Barcelona for Cisco live 20/20 I'm John Ford Dave Dave Alon face to many men we right back with more after this short break [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] you live from Barcelona Spain it's the cube covering Cisco live 2020 brought to you by Cisco and its ecosystem partners hello and welcome back to the cubes live coverage here at Cisco live 20/20 and partial into Spain I'm John first evening men cube coverage we've got a lot of stuff going on with Cisco multi-cloud and cloud technologies of clarification of Cisco's happening in real time is happening right now cloud is here here to stay we got two great guests to unpack what's going on in cloud native and networking and applications as the modern infrastructure and software evolves we got eugene kim global product marketing and compute storage at cisco global part of marketing manager and fabio corey senior director cloud solutions marketing guys great comeback great thanks for coming back appreciate it thanks very much great to see a lot of guys so probably we've had multiple conversations and usually even out from the sales force given kind of the that the discussion and the motivation cloud is big it's here it's here to stay it's changing Cisco API first we hear and all the products it's changing everything what's the story now what's going on I would say you know the reason why we're so excited about the launch here in Barcelona it's because this time it's all about the application experience I mean the last two years we've been announcing some really exciting stuff in the cloud space right think about all the announcements with the AWS the Google's the Azure so the world but this time it really boils down to making sure that is incredibly hyper distributed world well there is an application explosion ultimately we will help for the right operations tools and infrastructure management tools to ensure that the right application experience will be guaranteed for the end customer and that's incredibly important because at the end what really really matters is that you will ensure the best possible digital experience to your customer otherwise ultimately nothing is gonna work and of course you're going to lose your brand and your customers one of the main stories that we're covering is the transformation of the industry also Cisco and one of the highlights to me was the opening keynote you had app dynamics first not networking normally it's like what's under the hood the routers and the gear no it was about the applications this is the story we're seeing it's kind of a quiet unveiling it's not yet a launch but it's evolving very quickly can you share what's going on behind this all this absolutely it's exactly along the lines of what I was saying a second ago in the end that the reason why we're driving the announcement if you want from the application experience side of the house is because without dynamics we already have a very very powerful application performance measurement tool which it's evolving extremely rapidly first of all after Amex can correlate not just the application performance to some technology kpi's but to true actual business KPIs so AB dynamics can give you for instance the real-time visibility of say a marketing funnel conversion rates transactions that you're having in your in your business operation now we're introducing an incredibly powerful new capability that takes the bar to a whole new level and that's the dynamics experience journey Maps what are those it's actually the ability of focusing not so much on front-ends and backends and databases performances but really focusing on what the user is seeing in front of his or her screen and so what really matters is capturing the journey that a given user of your application is is being and understanding whether the experience is the one that you want to deliver oh you have like a sudden drop of somewhere and you know why that is important because in the end we've been talking about is it a problem of the application performance user performance well it could be a badly designed page how do you know and so this is a very precious information is that were giving to application developers not just to the IT ops guys that is incredibly precious to get this in so you just brought up that journey so that's part of the news so just break down real quick one minute yeah what the news is yeah so we have three components the first one as you as you correctly pointed out is really introduction the application journey Maps right the experience journey Maps that's very very important the second is we are actually integrating after am it's with the inter-site action inter-site optimization manager the workload team is a workload promisor and so because there is a change of data between the two now you are in a position to immediately understand whether you have an application problem we have a workload problem or infrastructure problem which is ultimate what you really need to do as quickly as you can and thirdly we have introduced a new version of our hyper flex platform which is hyper-converged flat G flat for Cisco with a fully containerized version we tax free if you want as well there is a great platform for containerized application of parameter so you teen when I've been talking to customers last few years when they go through their transformational journey there's the modernization they need to do the patterns I've seen most successful is first you modernize the platform often HCI is you know and often for that it really simplifies the environment you know reduces the silos and has more of that operational model that looks closer to what the cloud experience is and then if I've got a good platform then I can modernize the applications on top of it but often those two have been a little bit disconnected it feels like the announcements now that they are coming together what are you seeing what are you hearing how is your solution set solving this issue yeah exactly I mean as we've been talking to our customers love them are going through different application modernisations and kubernetes and containers is extremely important to them and to build a container cloud on Prem is extremely one of their needs and so there's three distinctive requirements that they've kind of talked to us about a lot of it has to be able to it's got to be very simple very turnkey and a fully integrated ready to turn on the other one is something that's very agile right very DevOps friendly and the third being a very economic container cloud on Prem as far we mentioned high flex application platform takes our hyper-converged system and builds on top of it a integrated kubernetes platform to deliver a container as a service type capability and it provides a full stack fully supported element platform for our customers and the one of the best great aspects of is that's all managed from inside from the physical infrastructure to the hyper-converged layer to all the way to the container management so it's very exciting to have that full stack management and insight as well yeah it's great to you know John and I have been following this kubernetes wave you know since the early early days Fabio mentioned integrations with the Amazons and Google's the world because you know a few years ago you talked to customers and they're like oh well I'm just gonna build my own urbanity right back nobody ever said that is easy now just delivering at his service seems to be the way most people wanted so if I'm doing it on Amazon or Google they've got their manage service that I could do that or that they're through partners they're working with so explain what you're doing to make it simpler in the data center environment because I'm tram absolutely is a piece of that hybrid equation the customers need yes so essentially from the customer experience perspective as I mentioned it's very fairly turnkey right from the hyper flicks application platform we're taking our hyper grew software we're integrating a application virtualization layer on top of it Linux KVM based and then on top of that we're integrating the kubernetes stack on top as well and so in essence right it's a fully curated kubernetes stack right it has all the different elements from the networking from the storage elements and and providing that in a very turnkey way and as I mentioned the inner site management is really providing that simplicity that customers need for that management ok Fabio this the previous announcement you've made with the public clouds yeah this just ties into those hybrid environments that's exactly you know a few years ago people like oh is there gonna be a distribution that wins in kubernetes we don't think that's the answer but still I can't just move between kubernetes you know seamlessly yet but this is moving towards that direction so a lot of customers want to have a very simple implementation at the same time they want of course a multi cloud approach and I really care about you know marking the difference between you know multi-cloud hybrid cloud there's been a lot of confusion but if you think about it multi cloud is really rooted into the business need of harnessing innovation from whatever it comes from you know the different clouds PV different things and you know what they do today tomorrow it could even change so people want option maladie so they want a very simple implementation that's integrated with public cloud providers that simplifies their life in terms of networking security and application of workload management and we've been executing towards that goal to fundamentally simplify the operations of these pretty complex kind of hybrid environments I want you to nail that operations on ibrid that's where multi cloud comes in absolutely just a connection point absolutely you're not a shitty mice no isn't a shit so in order to fulfill your business like your I know business needs you then you have a hybrid problem and you want to really kind of have a consistent production rate environment between fins on Prem that you own and control versus things that you use and you want to control better now of course there are different school of thoughts but most of the customers who are speaking with really want to expand their governance and technology model right to the cloud as opposed to absorb in different ways of doing things from each and every clock I want to unpack a little bit of what you said earlier about the knowing where the problem is because a lot of times it's a point the finger at the other first and where's it's the application problem isn't a problem so I want to get into that but first I want to understand the hyper flex application platform Eugene if you could just share the main problem that you guys saw what did some of the pain points that customers had what problems does the AP solve yeah as I mentioned it's really the platform for our customers to modernize their applications on right and it addresses those things that they're looking for as far as the economics right really the ability to provide a full stack container experience without having to you know but you know bringing any third party hypervisor licenses as well as support cost so that's fully integrated there you have your integrated hyper-converged storage capability you have the cloud-based management and that's really developing you providing that developer DevOps simplicity from the data Julie that they're looking for internally as well as for their product production environments and then the other aspect is its simplicity to be able to manage all this right in the entire lifecycle management as well so it's the operational side of the whole yeah uncovers Papio on the application side where the problem is because this is where I'm a little bit skeptical you know normally rightfully so but I can see in a problem where it's like whose fault is it gasification is problem or the network I mean it runs into more serious workloads the banking app that's having trouble how do you know where it what the problem is and how do you solve that problem what what's going on for that specific issue absolutely and you know the name of the game here is breaking down this operational side right and I love what our app dynamics VP GM Danny winoker said you know it has this terminology beast DevOps which you know may sound like an interesting acrobatics but it's absolutely true the business has to be part of this operational kind of innovation because as you said you know developer edges you know drops their containers and their code to the IET ops team but you don't really know whether the problem a certain point is gonna be in the code or in how the application is actually deployed or maybe a server that doesn't have enough CPU so in the end it boils down to one very important thing you have to have visibility inside and take action and every layer of the stack I mean instrumentation absolutely there are players that only do it in their software overlay domain the problem is very often these kind of players assume that underneath links are fine and very often they're not so in the end this visibility inside inaction is the loop that everybody is going after these days to really get to the next if you want generational operation where you gotta have a constant feedback loop and making it more faster and faster because in the end you can only win in the marketplace right regardless of your IT ops if you're faster than your competitor well still still was questioning the GM of AppDynamics running observability and he's like no it's not to feature it's everywhere so he his comment was yeah but serve abilities don't really talk about it because it's big din do you agree with that absolutely it has to be at every layer of the stack and only if you have visibility inside an action through the entire stack from the software all the way to the infrastructure level that you can solve the problem otherwise the finger-pointing quote-unquote will continue and you will not be able to gain the speed that you need okay so the question on my mind I want to get both of you guys can weigh in on this is that you look at Cisco as a company you got a lot going on I mean a guy's huge customer base core routers - no applications there's a lot going on a lot of a lot of complexity you got IOT security Ramirez talked about that you got the WebEx rooms got totally popular it's kind of got a lot of glam to it having the WebEx kind of you know I guess what virtual presence was yeah telepresence kind of model and then you get cloud is there a mind share within the company around how cloud is baked into everything because you can't do IOT edge without having some sort of cloud operational things so there's stuff you're talking about is not just a division it's kind of gonna it's kind of threads everywhere across Cisco what's the what's the mind share right now within the Cisco teams and also customers around clarification well I would say it's it's a couple of dimension the first one is the cloud is one of the critical domains of this multi domain architecture that of course is the cornerstone of Cisco's technology strategy right if you think about it it's all about connecting users to applications wherever they are and not just the user the applications themselves like if you look at the latest stats from IDC 58% of workloads is heading to the public cloud and to the edge it's like the data center is literally exploding in many different directions so you have this highly distributed kind of fabric guess what sits in between all these applications and microservices is a secure network and that's exactly what we're executing upon now that's the first kind of consideration the second is if you look at the other silver line most of the Cisco technology innovation is also going a direction of absorbing cloud as a simplified way of managing all the components or the infrastructure you look at the IP flex ap is actually managed by inter site which is a SAS kind of component this journey started a long time ago with Cisco Meraki and then of course we have SAS properties like WebEx everything else is kind of absolutely migrants reporter we've been reporting eugen that from years ago we saw the movement where api's are starting to come in when you go back five years ago not a lot of the gear and stuff at Cisco had api's now you got api's building into all the new products that's right you see the software shift with you know you know intent-based networking to AppDynamics it's interesting it's you're seeing kind of this agile mindset this is some of you and I talk about all the time but agile now is the new model is it ready for customers I mean the normal Enterprise is still got the infrastructure and application it's separated okay how do I bring it together what are you guys seeing the customer base what's going on with with not that not the early adopters heavy-duty hardcore pioneers out there but you know the the general mainstream enterprise are they there yet have they had that moment of awakening yeah I mean I think they they are there because fundamentally it's all about that ensuring that application experience and you can only ensure that application experience right by having your application teams and your structure teams work together and that's what's exciting you mentioned the API is and what we've done there with AppDynamics integrating with inter-site workload optimizer as Fabio mentioned it's all about visibility inside action and what app dynamics is provides providing that business and end-user application performance experience visibility inner sites giving you know visibility on the underlining workload and the resources whether it's on Prem in your you know drive data center environment or in different type of cloud providers so you get that full stack visibility right from the application all the way down to the bottom and then inner side local optimizer is then also optimizing the resources to proactively ensure that application experience so before you know if we talk about someone at a checkout and they're about to have abandonment because the functions not working we're able to proactively prevent that and take a look at all that so you know in the end I think it's all about ensuring that application experience and what we're providing with app dynamics is for the application team is kind of that horizontal visibility of how that application is performing and at the same time if there's an issue the infrastructure team could see exactly within the workload topology where the issue is and insert' aeneas lee whether it be manual intervention or even automatically there's or a ops capability go ahead and provide that action so the action could be you know scaling out the VMS it's on-prem or looking at a new different type of ec2 template in the cloud that's what's very exciting about this it's really the application experience is now driving and optimizing infrastructure in real time and let me flip your question like do you even have a choice John when you think about in the next two years 50% more applications if you're a large enterprise you have 5 to 7,000 apps you have another to 3,000 applications just coming into into the the frame and then 50% of the existing ones that are gonna be refactor lifted and shifted or replace or retired by SAS application it's just like it's tsunami that's that's coming on you and oh by the way because of again the micro service is kind of affect the number of dependencies between all these applications is growing incredibly rapidly like last year we were eight average interdependencies for applications now we are 20 so imaging imaging what happens as as you are literally flooded with the way the scanner really you have to ensure that your application infrastructure fundamentally will get tied up as quickly as you can still and I have been toilet for at least five years now if not longer the networking has been the key kind of last changeover - clarification and I would agree with you guys I think I've asked the question because I wanted to get your perspective but think about it it's 13 years since the iPhone so mobile has shown people that a mobile app can change business but now if you look at the pressure the network's bringing the pressure on the network or the pressure for the network to be better than programmable is the rise of video and data I mean so you got mobile check now you've got video I mean more people doing video now than ever before videos of consumer oil as streaming you got data these two things absolutely forced yeah the customers to deal with it but what really tipped the the balance John is is actually the SAS effect is the cloud effect because as you know it's in IT sort of inflection points nothing is linear right so once you reach a certain critical mass of cloud apps and we're absolutely there already all of a sudden you're traffic pattern on your network changes dramatically so why in the world are you continuing kind of you know concentrating all of your traffic in your data center and then going to the internet you have to absolutely open the floodgates at the branch level as close to the users as possible and that implies a radical change I would even add to that and I think you guys are right on where you guys are going it may be hard to kind of tease out with all the complexity with Cisco but in the keynote the business model shifts come from SAS so you got all this technical stuff going on now you have this Asif ocation or cloud that's changes the business models so new entrants can come in and existing players can get better so I think that whole business model conversation yeah never was discussed at Cisco live before yeah in depth as well hey run your business connect your hubs campus move packets around that was applications in business model yeah but also the fact that there is increasing number of software capabilities and so fundamental you want to simplify the life of your customers through subscription models that help the customer by now using what they really need right at any given point in time all the way to having enterprise agreements I also think that's about delivering these application experiences for your business small different type experience that's really what's differentiating you from your different competitors right and so I think that's a different type of shift as well well you guys are good got some good angle on this cloud I love it I got to ask you the question what can we expect next from Cisco more progression along clarification what's next well I would say we've been incredibly consistent I believe in the last few years in executing on our cloud strategy which again is centered around helping customers really gluon this mix set of data centers and clouds to make it work as one write as much as possible and so what we really deliver is networking security and application of performance management and we're integrating there's more and more on the two sides of the equation right the the designer side and the powerful outside and more more integrating in between all of these layers again to fundamentally give you this operational capability to get faster and faster we'll continue doing so and you set up before we came on camera that you were talking to the sales teams what are they what's their vibe with the sales team they get excited by this what's that oh yeah feedback oh yeah absolutely from the inner side were claw optimizer and they have dynamics that's very exciting for them especially the conversations they're having with their customers really from that application experience and proactively insuring it and on the hyper flex application platform side this is extremely exciting with providing a container cloud to our customers and you know what's coming down is more and more capabilities for our customers to modernize their applications on hyper flex you guys are riding some pretty big waves here at Cisco I get a cloud way to get the IOT Security wave it's pretty exciting pretty big stuff thanks for coming in thanks for sharing the insights Fabio I appreciate it thank you for having us your coverage here in Barcelona I'm John Force dude Minutemen be back with more coverage fourth day of four days of cube coverage we right back after this short break [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] why Trump Barcelona Spain it's the cube covering Cisco live 2020 rot to you by Cisco and its ecosystem partners welcome back to Barcelona everybody we're here at Cisco live and you're watching the cube the leader in live tech coverage we got to the events and extract the signal from the noise this is day one really we started a zero yesterday Eric Hertzog is here he's the CMO and vice president of storage channels probably been on the cube more than [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Music] [Music] [Music] live from Barcelona Spain it's the cube covering Cisco live 2020 rot to you by Cisco and its ecosystem partners welcome back everyone's two cubes live coverage day four of four days of wall-to-wall action here in Barcelona Spain Francisco live 2020 I'm John Ferrier with mykos Dave Volante with a very special guest here to wrap up Cisco live the president of Europe Middle East Africa and Russia Francisco Wendy Mars cube alumni great to see you thanks for coming on to kind of put a bookend to the show here thanks for joining us right there it's absolutely great to be here thank you so what a transformation as Cisco's business model of continues to evolve we've been saying brick by brick we still think is a big move coming I think there's more action I can sense the walls talking to us like let's just go live in the US and more technical announcements in the next 24 months you can see you can see where it's going it's cloud its apps yeah its policy based program ability it's really a whole nother business model shift for you and your customers the technology shift and the business model shift so I want to get your perspective of this year opening key no you let it off talking about the philosophy of the business model but also the first presenter was not a networking guy it was an application person yeah app dynamics yep this is a shift what's going on with Cisco what's happening what's the story well you know if you look for all of the work that we're doing is but is really driven by what we see from requirements from our customers the change that's happening in the market and it is all around you know if you think digital transformation is the driver organizations now are incredibly interested in how do they capture that opportunity how do they use technology to help them but you know if you look at it really there's the three items that are so important it's the business model evolution it's actually the business operations for for organisations plus their people there are people in the communities within that those three things working together and if you look at it with you know it's so exciting with application dynamics there because if you look for us within Cisco that linkage of the application layer through into the infrastructure into the network and bringing that linkage together is the most powerful thing because that's the insight and the value our customers are looking for you know we've been talking about the in the innovation sandwich you know you got you know date in the middle and you got technology and applications underneath that's kind of what's going on here but you I'm glad you brought up the year the part about business model business operations and people in communities because during your keno you had a slide that laid out three kind of pillars yes people in communities business model and business operations there was no 800 series in there there was no product discussions this is fundamentally the big shift that business models are changing I tweeted provocatively the killer app and digital the business model because you think about it the applications are the business and what's running under the covers is the technology but it's all shifting and changing so every single vertical every single business is impacted by this it's not like a certain secular thing in the industry this is a real change can you describe how those three things are operating with that constitute think if you look from you know so thinking through those three areas if you look at the actual business model itself our business models as organizations are fundamentally changing and they're changing towards as consumers we are all much more specific about what we want we have incredible choice in the market we are more informed than ever before but also we are interested in the values of the organizations that were getting the capability from as well as the products and the services that naturally we're looking to gain so if you look in that business model itself this is about you know organizations making sure they stay ahead from a competitive standpoint about the innovation of portfolio that they're able to bring but also that they have a strong strong focus around the experience that their customer gains from an application a touch standpoint that all comes through those different channels which is at the end of the day the application then if you look as to how do you deliver that capability through the systems the tools and the processes as we all evolve our businesses you have to change the dynamic within your organization to cope with that and then of course in driving any transformation the critical success factor is your people and your culture you need your teams with you the way teams operate now is incredibly different it's no longer command and control its agile capability coming together you need that to deliver on any transformation never never mind let it be smooth you know in the execution there so it's all three together what I like about that model and I have to say we this is you know ten years to do in the cube you you see that marketing in the vendor community often leads what actually happens not surprising as we entered the last decade it was a lot of talk about cloud well it kind of was a good predictor we heard a lot about digital transformations a lot of people roll their eyes and think it's a buzzword but we really are I feel like an exiting this cloud era into the digital era it feels real and there are companies that you know get it and are leaning in there are others that maybe you're complacent I'm wondering what you're seeing in in Europe just in terms of everybody talks digital yeah be CEO wants to get it right but there is complacency there when it's a services say well I'm doing pretty well not on my watch others say hey we want to be the disruptors and not get disrupted what are you seeing in the region in terms of that sentiment I would say across the region you know there will always be verticals and industries that are slightly more advanced than others but I would say that then the bulk of conversations that I'm engaged in independence of the industry or the country in which we're having that conversation in there is a acceptance of transfer digital transformation is here it is affecting my business i if I don't disrupt I myself will be disrupted and be challenged help me so I you know I'm not disputing the end state I need guidance and support to drive the transition and a risk mythic mitigated manner and they're looking for help in that and there's actually pressure in the boardroom now around a what are we doing within within organizations within that enterprise the service right of the public said to any type of style of company there's that pressure point in the boardroom of come on we need to move it speed now the other thing about your model is technology plays a role in contribute it's not the be-all end-all but plays a role in each of those the business model of business operations and developing and nurturing communities can you add more specifics what role do you see technology in terms of advancing those three spheres so I think you know if you look at it technology is fundamental to all of those spheres in regard to the innovation the differentiation technology can bring then the key challenges one of being able to reply us in a manner where you can really see differentiation of value within the business so in then the customers organization otherwise it's just technology for the sake of technology so we see very much a movement now to this conversation of talk about the use case the use cases the way by which that innovation can be used to deliver the value to the organization and also different ways by which a company will work look at the collaboration capability that we announced earlier this week of helping to bring to life that agility look at the app D discussion of helping to link the layer of the application into the infrastructure the network's to get to root cause identification quickly and to understand where you may have a problem before you thought it actually arises and causes downtime many many ways I think the agility message has always been a technical conversation a gel methodology technology software development no problem check that's ten years ago but business agility mmm it's moving from a buzzword to reality exactly that's what you're kind of getting in here and teams how teams operate how they work you know and being able to be quick efficient stand up stand down and operate in that way you know we were kind of thinking out loud on the cube and just riffing with Fabio gory on your team on Cisco's team about clarification with Eugene Kim around just just kind of real-time what was interesting is we're like okay it's been 13 years since the iPhone and so 13 years of mobile in your territory in Europe Middle East Africa mobilities been around before the iPhone so with in more advanced data privacy much more advanced in your region so you got you out you have a region that's pretty much I think the tell signs for what's going on in North America and around the world and so you think about that you say okay how is value created how the economics changing this is really the conversation about the business model is okay if the value activities are shifting and be more agile and the economics are changing with sass if someone's not on this bandwagon it's not an in-state discussion where it's done deal yeah it's but I think also there were some other conversation which which are very prevalent here is in in the region so around trust around privacy law understanding compliance you look at data where data resides portability of that data GDP are came from Europe you know and as ban is pushed out and those conversations will continue as we go over time and if I also look at you know the dialogue that you saw so you know within World Economic Forum around sustainability that is becoming a key discussion now within government here in Spain you know from a climate standpoint and many other areas as well Dave and I've been riffing around this whole where the innovation is coming from it's coming from Europe region not so much the u.s. I mean us discuss some crazy innovations but look at blockchain us is like don't touch it pretty progressive outside United States little bit dangerous to but that's where innovation is coming from and this is really the key that we're focused on I want to get your thoughts on how do you see it going next level the next level next-gen business model what's your what's your vision so I think there'll be lots of things if we look at things like with the introduction of artificial intelligence robotics capability 5g of course you know on the horizon we have Mobile World Congress here in Barcelona in a few weeks time and if you talked about with the iPhone the smartphone of course when 4G was introduced no one knew what the use case would that would be it was the smartphone which wasn't around at that time so with 5g in the capability there that will bring again yet more change to the business model for different organizations and the capability and what we can bring to market when we think about AI privacy data ownership becomes more important some of the things you were talking about before it's interesting what you're saying John and when the the GDP are set the standard and and you see in the u.s. there are stovepipes for that standard California is going to do one every state is going to have a different center that's going to slow things down that's going to slow down progress do you see sort of an extension of a GDP are like framework of being adopted across the region and that potentially you know accelerating some of these you know sticky issues and public policy issues that can actually move the market forward I think I think the will because I think there'll be more and more you know if you look at there's this terminology of data is the new oil what do you do with data how do you actually get value from that data and make intelligent business decisions around that so you know that's critical but yet if you look for all of ours we are extremely passionate about you know where is our data used again back to trust and privacy you need compliance you need regulation you know I think this is just the beginning of how we will see that evolve you know when do I get your thoughts does Dave and I have been riffing for 10 years around the death of storage long live storage and but data needs to be stored somewhere networking is the same kind of conversation just doesn't go away in fact there's more pressure now forget the smartphone that was 13 years ago before that mobility data and video now super important driver that's putting more pressure on you guys and so hey we're networking so it's kind of like Moore's law it's like more networking more networking so video and data are now big your thoughts on video and data video but if you look at the Internet of the future you know what so if you look for all of us now we are also demanding as individuals around capability and access to that and inter vetted the future the next phase we want even more so there'll be more and more - you know requirement for speed availability that reliability of service the way by which we engage and we communicate there's some fundamentals there so continuing to to grow which is which is so so exciting for us so you talk about digital transformation that's obviously in the mind of c-level executives I got to believe security is up there as a topic what other what's the conversation like in the corner office when you go visit your customers so I think that there's a huge excitement around the opportunity realizing the value of the of the opportunity you know if you look at top of mind conversations are around security around making sure that you can make tank maintain that fantastic customer experience because if you don't the custom will go elsewhere how do you do that how do you enrich at all times and also looking at markets adjacencies you know as you go in and you talk at senior levels within within organizations independent of the industry in which they're in there are a huge amount of commonalities that we see across those of consistent problems by which organizations are trying to solve and actually one of the big questions is what's the pace of change that I should operate at and when is it too fast and when is what am I too slow and trying to balance that is exciting but also a challenge for companies so you feel like sentiment is still strong even though we're 10 years into this this bull market you know you got Briggs it you get you know China tensions with the US u.s. elections but but generally you see Tennessee sentiment still pretty strong and demand so I would say that the the excitement around technology the opportunity that is there around technology in its broadest sense is greater than ever before and I think it's on all of us to be able to help organizations to understand how they can consume I see value from us but it's you know it's fantastic science it tastes trying to get some economic indicators but really the real thing I'm trying to get you is Minh set of the CEO the corner office right now is it is it we're gonna we're gonna grow short-term by cutting or do we do are we gonna be aggressive and go after this incremental opportunity and it's probably both you're seeing a lot of automation yeah and I think if you look fundamentally for organizations it's it's that the three things helped me to make money how me to save money keep me out of trouble you know so those are the pivots they all operate with and you know depending on where an organization is in its journey whether a start-up there you know in in the in the mid or the more mature and some of the different dynamics and the markets in which they operate in as well there's all different variables you know so it's it's it's mix Wendy thanks so much for spending the time to come on the cube really appreciate great keynote folks watching if you haven't seen the keynote opening sections that's a good section the business model I think it's really right on I think that's going to be a conversation it's going to continue thanks for sharing that before we look before we leave I want to just ask you a question around what you what's going on for you here at Barcelona as the show winds down you had all your activities take us in the day of the life of what you do customer meetings what were some of those conversations take us inside inside what what goes on for you here well I'd say it's been an amazing it's been an amazing few days so it's a combination of customer conversations around some of the themes we just talked about conversations with partners and there's investor companies that we invest in a Cisco that I've been spending some time with and also you know spending time with the teams as well the DEF net zone you know is amazing we have this afternoon the closing session where we've got a fantastic external guest who's coming in it's going to be really exciting as well and then of course the party tonight and we'll be announcing the next location which I'm not gonna reveal now later on today we kind of figured it out already because that's our job and there's the break news but we're not gonna break it for you you can have that hey thank you so much for coming on really appreciate Wendy Martin expecting the Europe Middle East Africa and Russia for Cisco she's got our hand on the pulse and the future is the business model that's what's going on fundamental radical change across the board in all areas this the cue bringing you all the action here in Barcelona thanks for watching [Music] [Music] [Music] [Applause] [Music] [Music] [Music] [Music] [Applause] [Music] [Applause] [Music] [Music]

live from Barcelona Spain it's the cube covering Cisco live 2020s brought to you by Cisco and its ecosystem partners welcome back to Barcelona Spain everybody this is the cube the leader and live tech coverage and we're here day one for us at Cisco live Barcelona even though we did a little preview game preview yesterday my good friend kena Reilly is here he's the director of customer experience at Cisco and he's joined by Kyle winters Technical Marketing engineer for the customer experience technology and transformation group it's six to go guys great to see you thanks for coming on and you know we love talking customer experience Cisco is a it's a big company big portfolio and a lot of complexity for clients and so bring it all together and customer experience is very important can't we have it a conversation with Alastair early today and he was talking about Cisco's commitment from the top chuck Robbins on down to really improve that customer experience bring essentially a digital virtual experience to your customers and you guys obviously fit into that right absolutely so about two years ago when Chuck brought in Maria Martinez that was the first step into really pushing Cisco to focus more on successful outcomes for customers so we had already always sold that way but with the complexity of technology and how fast technology is moving accelerating value realization for customers has never been bigger especially in the security space because as we've talked before you know with everything that goes on today and the fact that the bad guys are trying to get data faster quicker and different getting the technology in play operational and production it has never been more important and we're gonna dig in with Kyle with some detail and double click into the lifecycle specifically and the different points of that journey but that's really important for any customer experience is really understanding that lifecycle that maturity model can you talk about that a little bit yeah so so with us you know we've been at it for about six years when we started as Lancope so we've got a great model and you know our approach to getting outcomes for customers is completely in line with with the strategy of our products and technologies and all security so it's really important that you align with that strategy because salespeople sell and they sell you the what we sell the how we're gonna get you and so you have to understand what it is that customers need and how that technology maps because you don't want a shelf where and you don't want products or technology sitting there waiting to be implemented because you know these days especially with the move to the cloud it's got to get up and running you know within an hour so our model has always been that way we built our model with customer first and so we are you know we are the security experts we're the trusted security adviser so when we go in and work with customers we completely know exactly those outcomes that they need and with all the sort of technologies and products that we have not only with stealthWatch but the other products that sent ulema tree to us we have in Kyle will talk about how our service is completely aligned with those outcomes and the journeys that we will take our customers on yes a faster adoption means faster time to value obviously let's focus in on stealthWatch Kenneth you came in with the stealthWatch acquisitions been very successful I mean Cisco security business grew 22% last quarter we'll talk more about the sort of umbrella but let's drill in with Kyle to stealthWatch services specifically maybe you could sort of take us through you know at a high level what what the areas are and then we can sort of follow up on yeah yes so so our customer maturity model when it comes to services there's kind of three different stages to it it starts with the visibility stage so we have services around being able to deploy an operational I stealthWatch will bring in our best practices and help customers get up to speed and using the system quickly and efficiently from there we also have services around detection capabilities so being able to use automation and integrations to further the detection capabilities of stealthWatch things like being able to classify host groups through automation from source like IP address management systems things like asset discovering classification service that helped drive segmentation efforts all of these things help improve the behavioral algorithms and processes that stealthWatch is using to detect these threats in real time and then from there we have an integration stage as well - which is all about bridging the gap between stealthWatch and the rest of not only Cisco's portfolio but the entirety of our customer security portfolio as well and some of those services include things like sim integrations being able to integrate stealthWatch with Splunk we have services such as our proxy integration service as well a lot of different types of services that we're able to help get our customers to the next stage with their stealth watch environments I got a lot of questions yeah we could get to it and you guys could take it by stage so yes the sort of visibility that's where you start that's when you do the discovery right so what what are you discovering how do you actually do that discovery so a lot of that is about making sure that we've got all the flow and telemetry that we need from the various different sources of our network coming into stealthWatch feeding into the processes and algorithms that are going on there so a lot of things is not only net flow data but getting ice integrated in there as well being able to pull that user attribution data and being able to find sources of data where we maybe can convert it into net flow if it's not already net flow and be able to ingest that data as well we also in that space typically to help set up customers with a lot of different best practices that kind of get them operationalized very quickly and things like being able to build custom reports and dashboards for them will work through them which is kind of understanding the system from a base level to more of a professional fully operational level a lot of times we come in during the stage two and customers don't even understand what's going on in their network they're seeing things that maybe they've never seen before one stealthWatch turns on a great example actually as we were at a large financial firm and we were able within 30 minutes of being on site with them through our services team we were able to identify rogue DNS servers unsecured telnet going on sequel injections suspicious SMB and that's the sage traffic this is all just within 30 minutes of us coming on there and taking a look at this stuff you don't even want to look at sometimes yeah so who's doing this can I mean is this sort of all automated you've got professionals sort of overseeing it in our society yeah so the team that we have the technology transformation team when we've talked about it before that team is kind of on the bleeding edge of helping customers and you know a lot of these services that that Kyle talked about is we are building services that customers are consuming based on their needs today and that's why the team is very flexible we build you know a lot of these integrations with those requirements in mind and then we take those and we can scale that so these are all field engineers we have developers so in in essence it is like a mini development team that goes out and works on the specific things that customers need to protect themselves okay and my understanding is there's a there's an ongoing learning with the customers and a it's a transfer of knowledge from day one right there the customer is with you on this in each of these phases and you're sort of learning as they go along and that's sort of part of the transfer of knowledge it's I would say even a tool a transfer knowledge too because we're teaching them our best practices and how to best be successful with these systems but we also learn from them what's going on what are the trends that they're seeing how can we help get them to the next stage and that's where our technology and transformation group comes and they're able to be on the cutting edge here the problems that the customers are talking about and be able to take stealthWatch to the next level okay let's dig it to the detection phase so this is where you're classifying things like host groups etc I'm interested in how that happens is that you know it used to be you'd get everybody in a room you start drawing pictures and that just doesn't scale it's too complicated today so can you auto classify stuff how does that all work and use them oh yeah genius math to do that so so traditionally the the you know the MIT's a manual effort to classify your whole group somebody who's very familiar with the network comes in and they say okay these are the DNS servers these are the web servers these are this network scanners oh oh today but the problem is that today's networks are so dynamic and fluid that what the network looks like today is not necessarily going to be the same tomorrow so there needs to be that relief from the analyst to be able to come in there needs to be that automation that they can go in each day and know that their system is going to be classified accurately and meaningfully that way the behavioral detection that is built into stealthWatch is also driven and accurate and meaningful - so we have this service so for example our host group automation service and through that we're able to pull in telemetry and data from various different sources such as IP address management systems cmdbs we can do threat feeds as well external threat feeds and we're able to drive the classification based off of the metadata that we see from these different sources so we're able to write different types of automation rules that essentially pull this data in detect the different patterns that we're seeing with that metadata and then drive that classification stealthWatch that way when you come in that next day you know that your network scanners are gonna be classified as Network scanners and your web servers are gonna be web servers etc etc so you you have that integrity of data coming in every single day yeah so a lot of different data sources data quality obviously really important I mean you'd love it if somebody had like you know a single CMDB from ServiceNow boom and pop it right in but that's not always the case we never always the case there's always a challenge and that's where kind of our services engineers come in they're able to work through these different environments and understand what the main admit what the metadata is where we need to go and how we need to classify and driving the classification from there so it does require a little bit of a human element on the front-end but once we get it worked out it can be fully automated you know there's lots of different sources and the quality of the data is not always there we've seen for example customers who have Excel spreadsheets and everything is just you're all over the place and we have to figure out a way to work with that and that's part of what our engineer success is so before we get to the integration piece can you been following this industry for for a while um security is really exciting space it's growing like crazy it's really hard I did a braking analysis piece you know a few weeks ago just talking about the fragmentation in the business you see startups coming out like crazy big valuations at the same time you see companies like Cisco with big portfolios yeah you mentioned Splunk before and they've kind of become a gold standard for for log files but very complex and you talk to security practitioners and they'll tell you our number one problem is just skillsets so get you know paint a picture of what's going on in the security world and what's in the house cisco is trying to address that so the security teams the analysts all the way up the management chain to the sea so they're under tremendous pressure their businesses are growing and so when their businesses are growing the sort of a tax base is growing and the business is growing faster than they can protect it so with the sort of increase in the economy more money more investment to build more point products so you've got a very stressed team a lot of turnover skill sets aren't great and what do we do as an industry we just give them more technology right more tools more tools complexity avalanche ok they're buried all right so we feel and we've made great strides within the security group within Cisco is we're taking the products that we have and we're integrating them under one platform so that it is in a bunch of point products and so that the that's what everybody else is doing I mean the other guys are acquiring companies then they're trying to integrate those because the customers are saying I don't need another point protocol yeah yeah it's too much so you know with us that's the way we approach it and now with the platform that's going to be launching this year the cisco threat response that we've launched you're gonna see later on in this year that we will be selling and positioned in implementing the entire platform yeah so I have a stat I came up with this and my one of my analyses it was the the worldwide economy is like 86 trillion and we spent about 0.014 percent on security so we're barely scratching the surface so this sort of tools avalanche probably isn't gonna change though integration becomes an extremely important aspect of the customer journeys and it's through that and to continue on that point you just made as well - I believe in our Cisco cybersecurity report from 2017 only fifty four six percent or fifty seven percent of actual threats are being investigated remediated so there's always that need to kind of help build bridge that gap make it easier for people to understand these threats and and mitigate and prioritize know what to go after right which part the integration exactly so we do have a lot of different integration services as well - for example I mentioned our sim integration service one thing that we can really do that's really awesome with that is we're able to deploy for example with Splunk a full-fledged stealthWatch for Splunk application that allows you to utilize stealth watches capabilities directly inside of Splunk without having to actually store an index any data inside of Splunk so all these api's are on demand inside of this app and available throughout the rest of the Splunk capabilities as well so you can extend it into other search reporting correlate that against other sets of data that you have and Splunk you can do quite a bit with it we also have other ways absolutely advantage of that is just obviously integration you're not leaving the environment plus its cost you're saving customers money a lot of a lot of customers kind of see their sim as a single pane of glass so being able to bring that stealthWatch value into that single pane is a huge win for our customers not to mention that reduction in licensing costs as well we have other ways to that we can reduce licensing costs some customers like to send their flow data into their sim for deeper analytics and long-term retention and we have a service we call it our flow adapter service and through this service we're essentially able to take buy flow off of the stealthWatch flow collectors and the buy flow is essentially when the raw net flow hits the stealthWatch flow collectors it's coming from multiple different routers and switches on the network this is gets converted into bi flow which is bi-directional deduplicated stitched together flow records so right there by sending that data into a sim or a data Lake as opposed to ronette flow we see data reduction cost anywhere from 15 to 80% depending on how the customers network is architected great any any favorite customer examples you have that you can share where ya guys have gone in you know provided these services and and it's had an outcome that got the customer excited or you found some bad guys or there's one that's one of my favorites so we have this service we call it our asset discovering classification service and I mentioned the host tree of automation service that's if you have some sort of authoritative source we can pull that information in but if a customer doesn't have that authoritative source they don't know what's on their network and a lot of times too they want to do a segmentation effort they're undergoing network segmentation but they need to understand what's on their network how these devices are communicating and that's where our asset discovery classification service comes in we're able to pull in telemetry not just from stealthWatch but other sources such as ice tetration Active Directory I Pam's again as well and we're able to essentially profile these different devices based off of the nature of their behavior so we were at a kind of a large technology company and we were essentially in this effort trying to segment their security cameras and upon segmenting their security cameras we were able to build this report where we can see the security camera and how its communicating with the other parts of the network and we noticed that there was essentially two IP addresses from inside of their network that were accessing all these different security cameras but they were not authorized to so with this service we were able to see that these different these two hosts were unauthorized actually accessing these devices that got reported up through the management chain and ultimately those two employees were no longer at that technology permanence that was discovered nice to love it alright bring us on we're here in the dev net zone sort of all about hit for structures code and software and and and and talk a little bit about the futures where you see this all going yeah so for us for Cisco security the future is really bright we've either built or acquired a portfolio that the customers really need that get absolute outcomes that customers need and through the customer experience organization certainly stealthWatch is fitting into the broader play to to get customers who have all those technologies get that operational and get them success so when we talked last summer I told you the jury was still out we would see how the journeys gonna go and the journey has started it has gotten much better since the summer and this year I think we're gonna be doing some great things for our customers just we can't get in too much of the business but stealthWatch customers are still expanding because I think we told you last time customers can never get enough stealthWatch okay the attack surface is too big right so so we we feel really good about that and the other technologies that they're building really fit into what customers need we're going to the cloud so they're gonna be able to consume cloud on-prem hybrid protect networks the campus protect their cloud infrastructure so we're really checking a lot of boxes in our group brings it all together and takes all the complexity out of that for customers just to get them the outcomes that I named us Cisco is one of my four star security companies for 2020 okay based on spending data that we share from our friends at ETR and the reason was because cisco has both a large presence in the market and but also you have spending momentum I mentioned 22% you know growth last quarter and the security business but you've also got the expertise you put your money where your mouth is you know the big portfolio which helps if you can bring it together and do these types of integrations it simplifies the customers environment and so that's a winner in my book so I named you along with some other high fliers right you know and you see some really interesting startups coming out and probably acquisition targets probably something that aren't your radar but guys thanks so much for coming on the cube thank you thank you I keep it right there everybody we'll be back with our next guest is a Dave Volante for the cubes 2 min Amanda John Faria are also in the house at Cisco live Barcelona right back

>> fly from San Francisco. It's the Cube covering Google Cloud next nineteen Tio by Google Cloud and its ecosystem partners. >> Welcome back, everyone live coverage here in San Francisco for the Cube, Google Cloud next twenty nineteen to show around Cloud, Google Cloud, I'm John Forest Do Minimum and Dave along. We've been here all week, three days of wall to wall coverage here on the floor with all the exhibitors. Write the mean all the action we've talked to all the thought leaders, Google executives, entrepreneurs, experts are in the cloud and around the ecosystem. Dave's stew wrapping up the wrap up segment. Kind of can I put the show to rest and look to next year and possibly Google summits. There's one in New York and some other shows we're looking to also cover. But if you look encapsulate the show, I want to get your guys reaction, too. What the main themes have been, we're seeing obviously anthems was the big news. That's the big deal. That's their platform. They want to bring all the connective tissue around data security and really on prim hybrid cloud multi cloud application modernization. Clearly, during my open source and enterprise developers, plus the ability to hybrid and multi cloud stew. Your thoughts on the show. >> Yeah. So, John, you know, when I first saw Antos, I was like, Well, this is CSP that they announced last year We were excited about that talk about things like Azure Stack and eight of us Outpost. But the more I learn about it, the more I understand it. It's more than just kind of g k e and a little bit of packaging here, Eric for David. I just interviewed a Google fellow and, you know, you expect the the Google Fellow to really be able to articulate, You know, the history of Google and the distributor architect doing is like we're going to enable cloud native. Of course, we always had that in the Google Cloud, but now we're going to make that easier for you to do that in your own environment. So when you're thinking about modernizing your applications, you know, I was a little bit tough on Google when I said, Oh, I hear a lot about lift and shift. Well, most customers can't lifted, shifted, not change, because then I'LL pull it back. It's too expensive, but if I could modernize wherever it makes the most sense. I talked to some customers here that said, Look, I need to kick the team and get it into the cloud And then I could modernize and start falling apart. But for someone customers, I can't move that. And they need to modernize it here and that Antos is the key enabler and therefore it's a good message, its extension of what they done with Cuba. Netease. That's a lot of other pieces here. But you know, I'm pretty impressed. >> They want to get your thoughts is one of things I'm seeing and, you know, in sports they wanna team, plays a game and wins. They call it a statement game. I think Google Cloud next twenty nineteen is a statement by Google saying, We're into the enterprise. We're not goingto waiver. We got hired Thomas Curry and mid savory. They're going to keep all the great talent. No one's believing. It's not like a new regime. Change came in. They're pivoting. They knows there's no pivot here. They put a stake in the ground saying we are going to invest in the clouds soon. DARPA Kai, the CEO of Google said that on stage of day one, they're clearly putting all the window dressing around enterprise with all the great phrases that we love. Digital transformation, data centric architecture, multi cloud hybrid monitors that applications They're invested, Dave. They are in it to play. They recognize that they're not gonna win right away because it's a long game. So Google clearly is playing the cards properly. They're saying, Look, if we're going to bring a lot of the table and this long time table, but we're in it to play and we're going to play well when invest. >> Yeah, I think it took a while for me to get there Stew, too. He is. I heard a lot about what Right we do get a global distributed infrastructure or we're doing the applications for digital transformation. We got industry specific solutions. Is what way d'Oh. Okay. Great. And I heard a lot of you know differentiators are unique value proposition. So, for civil, what I would have liked to hear it right up front was okay. We know that eighty percent of your workloads are on Prem. Well, guess what, and we're investing in scale and all that stuff, but We're the best at cloud native and and we're going to take and we have the tools and expertise. We're gonna bring those to you on your premises and show you how to get there. And then when you're ready, come to the cloud. If you're never ready, that's fine. But we're going to earn the right for your future business. Hey said that Stead that >> right way, the things we're wondering your business. But I don't think they can yet say were the best that cloud native and that I think that's that's still good self awareness studio for Google. >> I think they could say it now. Maybe it's debatable. >> I would debate that I do not think that Google is the best cloud native cloud at this point. I don't think they have the breath and depth Amazon has, but I don't think that that's the hard core stick in the ground. Because Cloud native is early cnc F, they're investing heavily in open source is a big bet that they're talking about. They got a lot more work to do but cloud needed. Still, it's still early because you said the workloads is still on premise for most of the enterprises, so we got plenty of time. The point is, if they had overplayed that card, I would have been more cautious. >> Well, I mean, Okay, fine, huh? Let's talk talk about that a little bit because it's new. It's Would you? Would you disagree that internally, Google's got the most sophisticated, the best cloud in the world internally, globally for Google. And they make that comment when they make that claim, right? That start there, we get the best cloud in the world. Yeah, >> well, I think it's got a great cloud, >> too. Okay, so there's stuff on there. I mean, they've got least got some credibility there, so I would have come from that position straight now. The other criticism I heard was where the numbers. Now, that doesn't bother me so much. How long did it take Amazon to show us the numbers? Nine years? I think so. Good. We'LL get there, it's clear it's growing. You look around here. There's what thirty thirty five thousand people don't know what was there last year. Twenty. Twenty five thousand. It's growing, it's growing nicely and the quality of the people is good. >> Here's what I'd say about Google Cloud Steward? Let's get your reaction. Sudhir has Bay said this. He's the director product. Mentioning about cloud fusion, he said This from a customer quote. Google's cloud is like an awesome highway, but I can't get my car on the road. So that's the on ramp. >> I can't get by giving car. Okay, so so this note about you Look at the >> technology from Spanner Cooper duties, which was founded inside Google. And they did that right. Big queries. Amazing. They have freaking amazing tech because they had to do it for Google. So I think that is a key strategy. And I, like other clouds that have come in and then died away, didn't have a lot of tech chops. So Cultural Shift is one of the big teams, but on ramping, getting people on board and the bed another source. I think there's a gestation period that's gives Google some time. I don't think they gotta have it overnight there some table stakes, but they're there checking the boxes just kind of grind it out. >> I mean, look, the critique has been for years is you know, Google's too smart for all of us. you know, way have love reading the papers and were really impressed with the technology. But the term you heard over and over again this week, we're going to meet customers where they are. And I I almost failed. They dialled it down a little too much here because I didn't have anything that I'm like. Wow, blown away. Like, you know, they had er's up on stage and it's like I'm used to seeing him flying out of a plane with a Google glass on his head. >> I was started by the way that was Google. I o like, you're >> gay. But, you know, you know, one of that's what you expect from a googol is you know, some of those pieces and there wasn't a G wow amazing moment for me, but the messaging solid, they absolutely you know, understanding or solving some real customer problems today and, you know, solid >> well and one hundred percent of the cloud providers now have a coherent and explainable hybrid on Prem strategy. You know, frankly, it's about time. I mean, they were denying that for a long time, and I think it's clear that's where the business is >> well to me. The big criteria on the cloud game is Do they have the global footprint? They do. Do they have the software at scale Check? Do they have the connective tissue to bring these disparity opportunity data services together Check working on it, continue to improve. And are they on the philosophy side of things? Meaning one of things that I am made Amazon really great. Wass they from day one. We're a P I center who will always has been part of web services. So they have that DNA. I think apogee is going to be the secret little dark horse. And all this is going to tell Signe because as a p, I become programmable. You saw Sisko of'em wear on stage. Can they build on ecosystem? Can they work with multiple vendors? Because the fact is, from our data and we've been reporting on this on silicon angle and Wiki bomb is that big enterprises and governments, whether it's a d, o. D. Or a big bank, are gonna have hundreds of cloud projects, hundreds of workloads that's going to require unique clouds selection criteria because you cannot separate real time data from software, and that's just the facts of the databases are moving all over the place. If I gotta work Lodi, any data? I gotta be agile with the data, but I then need a data plane to connect across other workload. So workload conversation, I don't think was front and center enough where workloads are for the key criteria. >> And still some of the message on where Google fits in that hybrid and multi cloud world is a little bit muddy to me. So how did they get, you know, on those in your data center? Well, it's a deep partnership with V m where, uh, you know, I heard some people here. It's like, Oh, well, the current Amazon VM wear deal, you know, is like up for renewal soon. It's like I don't see Veum Where an Amazon separating that Latino way. People engineering partnerships. We've heard directly from Andy Jazz sees talked about on the Cube how important that relationship is. S O Veum was going to play across all the cloud environment. But you know, where does Google, you know, really make their money? They're going to partner with all the open source companies. And you know, you're going to own your data. We're going to make sure the prophecies there. So is Dave Said the numbers and the business of how Google Khun start slow scaling and really growing the enterprise business beyond, you know, G sweets now, part of it. And we saw some of the android for enterprise, and they have lots of pieces, but the cloud revenue gets a little bit muddy like a Microsoft. So, you know, from the cloud piece itself, I'm not sure where you know they start gaining on a Microsoft or an Amazon today. >> Well, I think that they could gain ground, take territories. That said on on Day one, Jennifer Linds, demo of no code modification, migration of workloads. If that actually happens, that's going to be a critical piece of the pie that's going to move. Move the needle very quickly for at Google. But I >> want to get you >> guys take on surprises. What surprised you here at the show? What was something that you didn't expect happen? That was a surprise on a good way. To me, the big surprise is that the word customer was used a lot more here than ever before. Customer is the key to success in the enterprise, listening to customer and customer choice. That's the playbook from Amazon. You don't hear Andy Jassy or any other executive Amazon go three words without saying the word customer. If you had a tag cloud and be like customers, the biggest font here we've heard customer choice. That's been a big one for me. >> Surprises. I was going to say when you were asking that question to get to me. It was customer related as well. You know clearly when you in Amazon show it's just customer. Just get inundated with a cool injection of customers. It's very impressive, but you don't have that scale here. However, What did see is a lot of Fortune. One thousand company's senior people were here. Yeah, still kicking the tires but learning. And I think that usually leads to something. So I think Google's developing a lot of pipeline at this show that I think next year is going to translate. We had conversations John with companies that we can't mention on air, but they are seriously substantively looking at moving workloads into Google's Cloud Number one. Number two is if you look around here, Deloitte, Accenture at toes. You know, some of the biggest. I'd like to see more of those global s eyes, and I think you will. And that's where you're going to really start to see customers. >> Dave took the customer. I'll say partner. So we said in one of our analysis segments, that logo slides Good. But, you know, compare itto Microsoft or Amazon. It needs to quadruple where it is today. But in the conversations that I had from startups through some of those big logo's on here, partnering with Google is good for them and they're excited by it. And that's not necessarily the clay case for every one of the big cloud providers out there. >> All right, so a lot of multi cloud talk. I've said multi clouds all the rage, but it's really more a symptom of sort of multi vendor people going best of breed with different departments. Big news last night on Jet I John, I want to get your take. Google really wasn't I don't think ever in the running, but certainly, you know Amazon was the lead Oracle, IBM, Microsoft share the news in your analysis of that news. >> Well, yesterday there was news that the Department of Defense, this Jet I contract joint defense initiative that's going on joining the Price Defense Initiative system. The military cloud ten billion dollar contract was under a lot of It's the biggest story in Tech and DC in generations. It's the confluence of procurement being outdated. Clouds selection, one soul cloud for that workload, multi cloud across in the department and a lot of lost business, potentially for Oracle in IBM. So Amazon, Microsoft, Amazon, Webster's, Microsoft, Oracle and IBM. We're all fighting for this business. The incumbents IBM and Oracle. We're potentially at risk billions of dollars. So it's been a lot of dirty pool, so to speak, a lot of dirty politics, a lot of dirty smear campaigns going on, from Oracle to to Amazon to try to discredit them. So the D. O d. Oracle soothe d o d. Saying is unfair process conflict of interest? The D. O. D made a final selection. Amazon Web services and Microsoft are the final selections and basically kicking out Oracle and IBM at the process. So Oracle, IBM are out. Oracle's lawsuit's still pending that'LL probably be dismissed because Oracle tried three different times to claim conflict of interest. They tried to claim conflict of interest in. And where has three in my notes here July twenty eighteen, November twenty eighteen and April twenty nineteen. All three times competition has been not proven, and Oracle and IBM or out. The analysis here is, is that this proves what we've been saying on the Q and that is, is that you can have one cloud soul cloud for a workload. So the Department of Defense has hundreds of projects. But for the military project that ten billion dollar one Amazon or Microsoft, probably the Amazon to the front runner can serve that cloud. And that's the best architecture. That means that Microsoft will probably win the eight billion dollar contract of the D. O. E s contract for collaboration again. Soul Cloud Soul workload. This is the trendy. My analysis is that Oracle on IBM, mainly Oracle, knew that they were going to lose. They tried to do whatever it takes to kill the deal. And now the D. O. D. Has brought forward and their modernizing the application and all these lawsuits about procurement rules from nineteen eighty five all this trip wires, all these little nuances. This is a great win for the Department of Defense, and I think it is a tell sign for large enterprises because you could be multiple. You'd have multiple clouds, but you can have one cloud work on one workload. It could be a big monster workload like a ten billion dollar >> workload. >> There could be a small work. >> All the tech vendors want to eat it. The government trough, We know that. And so the why is this relevant? It's relevant to me because you're you're absolutely right for a particular set of workloads. Mission critical workloads, especially a single cloud, is going to be more cost effective, more secure, uh, higher availability, less complex. And that's really what the debate is here now is multi cloud gonna happen? Of course, for different workloads is going to be horses for courses. So multi cloud is a huge opportunity. Everybody's going after it stew uh, Google through its hat in the ring in a big way. We seem to have a couple of camps lining up and read. Had interesting, interesting leads in both camps. Kind of got the IBM redhead camp and of'em wear with now with Google Really interesting sort of chessboard matches going on? >> Yeah, absolutely. Every customer we talked to hear. There's no like, Oh, you know, I might be moving most of my stuff or even all of my stuff to the public cloud, but it is workload dependent, and that's how I'm choosing it. Google has some key strength. I took a little while to get the data and I and ML pieces that we know Google has some strength here. One of the questions I had coming into it Can they reclaim kind of that thought leadership space. I'd love to hear whether you guys think I think that was the case, but, you know, messaging point on good speed. You know T K has them talking to the Enterprise in a way that won't scare them away as to oh, geez, I'm not smart enough to work with Google so >> well, I think I think Google has to get enterprise compatible and they've been working really hard to do that, and they got it. Just grind it out. I said this on Tuesday. It's a grinding out game. They've got a got a fight to the trenches. We've got to get the check boxes, and this is what Amazon did that early on and helped them a lot. Google has been working hard, I think, their security angle with the from a device. I phoned the Android phone and onboard security at the edge is huge. I think data and Big Query and those kinds of on boarding tools is going to be a great accelerant. I think cloud code cloud Run Cloud build is a phenomenal construct. I think that's absolutely delivered Ella for friendly. If they can continue to serve the developer for the enterprise and make it easy to build and stand up applications that hit that sweet spot of the trend, which is the modernization of enterprise APS not develop, perhaps not like a startup started sort. Different styles are cloud born in the cloud enterprise that's gonna deal with legacy and all these compliance and all this risk. They could make that easy and make it Dev ops like That's a great check boxes. >> Just a quick note on that, because there was a lot of enterprise talk there. There's a nice group inside a Google, working with a lot of the startups, got to talk to a couple of the start up there, and Google's definitely company there looking to partner with. All >> right, guys, let's wrap this up. Google really leaning into the enterprise heavily. Obviously, they're not. They're not blinking. They're going to continue power forward thinking. I like the mojo they have here. They got a new CEO. We interviewed George Curry, and Thomas's brother Thomas couldn't make it on the Cube. He's super busy talking to customers were gonna get him on the cue soon, but you got a culture here. Google and the culture is innovation, and the cultures Dev ops. The culture's developed for the country's AP eyes D. That puts him in a good position, >> their thoughts. I mean, I've been saying for a decade I feel like a broken record. I said it so much. I stopped saying it that the marginal economics of the Cloud service providers who have scale are driving towards zero. In other words, the more volume they do, they're there. The cost of adding an extra customer goes down to zero, just like software. There's three companies in United States who have that scale Google, Amazon and Microsoft. Obviously some guys outside the U. S. And you look at the cap Ex numbers forty seven billion over the last three years by Google. Thirteen and a half billion year to date US data centers alone. It would take IBM three and a half years to spend that much on Affects Who take Oracle six years. Okay, they just do not have the marginal economics to compete. They'LL compete in other ways, but though these three are in it to win it this big market, they're trillion dollar market. There's enough room for each to carve out an opportunity and continue to grow for quite some time. Do >> and Google lining up their ecosystem of partners to help them get deep into the enterprise. Absolutely, There's good opportunity for Google to do a number of acquisitions. They have, you know, a big bank spend a lot of money not just on infrastructure, but all the partner engagements and definitely some acquisition to help them get there. Wouldn't be surprised if they, you know, made some nice acquisition to help them grow that enterprise. I am in a modern way way now that was mentioned to it was carrying twins could be back together, but sure, >> awesome stuff. Guys, I think my my final take is I've always said Google's the Dark Horse and the Cloud game. They don't have a lot of baggage like a lot of work to do, and they're they're working hard and they really bring in tech to the table that bringing that culture of innovation, they're there behind this. Opportunities for them to move the ball down the field in a big way. I think they can take territory and gain share quickly if global things follow the place. If those bets come home, this dark horse will be right up on number two really quickly. So great job. Wanna thank Google, Google's team Cool calms Team, Google's CMO and executive Thomas carrying for letting us come to the Cube. Bring the Cube here. Google's very co creation oriented. We appreciate the location. I want to thank Google one. Thanks to our sponsors about our sponsors, we wouldn't be here, so he city signal FX. We got net app. We got Saada. We got some great clients here supporting us. You, Fio. Thanks to our sponsors, they signal to the community they care and they support our programs. Our tenth year of Cube coverage at events one. Thank everyone for watching, listening, sharing hit us up on Twitter at Cube and also silken angle dot com. We now are adding on a new feature to our Cube, which is on silicon angle dot com special reports where we flow as many stories as it takes to get the truth out there. Get the story's right, of course. Used the cube and stream the data with you here on the Cube. We're here. Google Next in San Francisco. I'm John Faria student Min David Long. Thanks for watching.

from New York it's the cube covering blockchain week now here's John furry hello everyone welcome back to this special cube exclusive on the water coverage of the awesome cryptocurrency event going on this week blockchain week New York City D central Anthony do re oh seven a big special event launching some great killer products me up to cube alumni that we introduced at polycon 2018 Genevieve Dec Monroe and Jeromy Gartner great to see you guys thanks for having us so you guys look fabulous you look beautiful you're smart we're on a boat we're partying it feels like Prague it feels like prom feels like we are at the top of another bubble couldn't feel better five more boat parties and then the bubbles officially at the top but we're only had the first boat party well the real existential question is what do we view next you know we've we've graduated from nightclubs and strip clubs and now two super yachts like do we go on a spaceship neck's or a Boeing Jets yeah I mean the options are somewhat limited in how we scale up the crypto parties I actually heard today one of my clients is launching in space a crypto mining operation that's fueled by solar power so we might be going to space Elon Musk wants to get involved I agree like where are we going you guys are awesome I love the creative so this party to me is really a testament of the community talk about the community I see polycon was great in Puerto Rico they had restart week and that but I heard these guys saying here at the central that the community's fragmented is the community fragmented seems like it's not out there or just only one pocket of the community I think the community so we have 10,000 people at consensus okay so these are 10,000 people that have gone down the rabbit hole and they're all at the Hilton in midtown Manhattan kind of going like how'd you get involved why are you here 10,000 people is a lot but I think that yeah we're we're at the decentral party so some of the yeast communities are being fragmented but I think we're having like infrastructure built to kind of connect the broader world to the things whether it's custodial services whether it's like tonight the jocks 2.0 wallet and you know everything that's getting involved there I don't know Jeremy Jeremy it's like an international traveler so you Carly Jeremy it's 100 percent in an echo chamber more importantly rabbit holes are like dark and confusing places that there are they're winding and a lot of people are here for very different reasons and thus when you have all these new entrants to the industry to this technology here for all these different reasons of course you have some fragmentation you know in many regards the ideological and philosophical roots of Bitcoin and blotchy technology have been lost son on many of the new entrants and and so it takes time to get to the point where we're all winding I think different blockchains and different applications of this technology will have different kind of approaches to how people think about investors always gonna be pragma because this is a massively growing industry that touches upon every kind of business and governmental and non-governmental it's actually fragmentation is a relative chairman is Genevieve you I saw you and you guys are working with things from cannabis coin I think you had to cannabis cabin this week in New Yorker yeah we're doing that tomorrow night actually so crypto and cannabis are two the hottest millennial sectors right and so we kind of like to say Agri capital we like to dance on the edge of chaos I actually found out about a cannabis company in Vancouver so just outside Vancouver that is using a crypto mining operation and all the excess heat that is coming off that to power a grow-op so we're literally at the intersection of crypto and cannabis not just for our handling money but handling energy in a different way which is so fast that's real mission impact investing right there you know using energy to grow weed that's the Seidel impact isn't it good bad I mean even as you look at it you know better cannabis healthy cannabis is a mission people look care about we're helping people's wallets and we're helping people's minds right in like ways that the government banks and pharmaceutical companies are fighting against so you know if you can't beat them join them so I welcome Astra Zeneca and the Bank of Canada to come on board our mission this is specially turning into a cube after dark episode Jeremy I gotta get your thoughts on these industries because look at cannabis we joke about it but that's an example of another market this zilean markets that are coming online that are gonna be impacted so fragmentation is a relative terms but hey look at it I mean energy tech is infrastructure tech and solid that's what I'm concerned about who nails the infrastructure for network effects and what's the instrumentation for that that's the number one question that is essential question for the protocols whether it's Theory amore Bitcoin oreos Definity so forth the protocol that provides the strongest and and most adaptable and infrastructure and foundational technology is going to be one of the main ones are those will be the main winners and so the names I mentioned they're up there they're very competitive but it's anybody's game right now I think any blockchain can come along right now and be the winner a decade from now and for entrepreneurs represents a challenge because you have to figure out what blocks came to go build on this is why I am big on investing in interoperable Ledger's technologies that enable the kind of transfer smart contracts and crypto assets between blockchains it's a great great segue let's just get an update since we last talked what are you working on what are you investing in what's new in your world share the update on strangers so now my fund is officially launched where how much we launched with just over 15 million dollars and amazingly we launched at the perfect time we're already up 55% and we got making an investment for a venture fund we actually did the exact WA T investment which transferred over from my personal investment portfolio but doing great I have really run the gamut in terms of investments we're making on the equity side of things and in crypto assets but what we're seeing is really accomplished entrepreneurs coming to this space continue actually more optimism than I had felt at polygon poly car and I was like this market needs to correct in a real way today I think that Corrections been prolonged if we were gonna feel a lot of pain it was gonna be two months ago but instead I think it's gonna be one to three years before the market goes through the correction that we need to see for the real shakeout to happen because so many of these teams that I think are garbage have so much money yeah and they're just floating around they got has worked their way out it's just like a bad burrito at some point it's got a pass Genevieve what are you working on I'll see you've got grit capital what's the update on your end what's new yeah amazing actually literally tonight probably about 60 minutes ago my business partner and I signed one of the fastest-growing exchanges in Canada called Einstein exchanges of quiet so these guys have only ever raised like one and a half million u.s. and they're the biggest exchange in Canada by sign ups active accounts so they're probably doing like almost a hundred million in top-line transaction volumes and they're probably never going public somebody's probably gonna buy them but we're gonna be marketing them across the country getting customers I mean the tagline is it doesn't take I'm Stein to open an account it shouldn't take n Stein it by Bitcoin you can literally get this account set up in under 60 seconds so they're vampires ease-of-use surety reducing the steps it takes to do it and get it up and running fast absolutely like my dad could do it and like alright so we say now follow you on Instagram and Facebook which is phenomenal by the way I got a great lifestyle what's the coolest thing you've done since we last talked to Polycom Wow polycon was kind of a high really peaked and then everyone got sick like our team got said polymath untraceable cuz everybody just got the flu yeah we were like on adrenaline and we kept going ah what's the coolest thing that we've done since then I think it's signing up like cool companies like Einstein we also signed a big cannabis company in Colombia called Chiron they're about to go public I don't know Cole what do you think I don't know maybe what's the coolest thing you've done travel what's your good so last night Jeremy and I just met we're together on a blockchain Research Institute project that Sonova Financial is backing and meeting him so you guys working together on a special project right now how's that going what's that about JCO which is a new sort of financial services firm they're creating what it could effectively be understood as a compliant coin offering that is available to more than just accredited investors and that's they're making ico something that falls within the pre-existing regulatory framework and also accessible to your average Joe which I think it's really important if we're going to follow the initial vision for both blockchain technology and offerings all right final question I know you guys want to get back to your dancing and schmoozing networking doing big deals having fun what is blockchain New York we call about we could pop chain we here in New York what the hell's happening there's been a lot of events what's your guy's assessment of you observed and saw anything can you share for the people who didn't make it to New York or not online reading all the action what's happened so as someone that did not attend consensus spoke at three other events or speaking at three other events I can say with certainty that the New York box chain week has been about bringing together virtually everyone in the industry to connect and kind of catch up with one another which is really important we we don't have that many events Miami was too short the industry's gotten too big but having a full week of activities in New York City has enabled me to kind of foster relationships are oh I yeah man get a lot of work John well I've gotten so much work done I haven't had to actually be a date conferences to reconnect with just about everyone that I want to industry that's really special Genevieve what is your observation what have you observed share some in anecdote some insight on what happened this week I know fluid he started I saw Bilt's I was just chatting with him about it it was started in over the weekend it's gone up and we're now into Thursday tomorrow coming up well I don't think it's a coincidence that Goldman Sachs came out today and said that they were launching some sort of digital currency marketing yeah exactly using the power of the 10,000 people i consensus but yeah i know i agree with what jeremy says it's not really about being at consensus it's about what happens like behind closed doors it's all these decentralized parties that are happening yeah open doors but like it's you know like we hosted a core capital asset we had a hundred people in a suite at the dream hotel and it was just like you put the biggest CEOs of the mining companies in the world together and like put those with investors in a room it's like you know 100 people and that's where the deals happen it's not like in the big you know huge auditorium where like nobody looks at each other and everyone's on their phone well I gotta tell you how do we know we the Entrepreneurship side is booming so I totally love the entrepreneurial side check check check access to capital new kinds of business model stuff economics so we reported on all that to me the big story is Wall Street in New York City has been kind of stuck the products kind of like our old is antiquated like the financial products and like that's why Goldman's coming out they got nothing what they don't have anything what are they got so you see in a stagnant they got a traditional product approximately nothing really like new fresh so you got in comes crypto just do a crypto washer so I think I see the New York crowd going this is something that is exciting and we could product ties potentially so I don't think they know yet what that is but I think some of the things that are going on you guys I like I like so I my dad's always the kind of barometer to this whole thing and he's like when are they gonna come out with like a Salesforce stock column for the blockchain right like some sort of application that it doesn't matter if you're like illegal if you're like in investment banking like some sort of pervasive application that just goes wild you have that yet what is that happening Jeremy Jeremy did the date was it's the Netscape moment if you will the moment that blotching technology becomes tangible and now and in retrospect a few years out we may decide that's great for all the young browsers is a browser the original browse for the Internet that was that moment may have already happened we don't really know it maybe it been something like a theory a more augered you know something where there's a use case but people haven't wrapped their heads around it yet but if that hasn't happened yet it's coming it's where we're on the cusp of it because people know what bitcoin is they've heard of the blockchain it is part of the zeitgeist now and and that cultural relevance it's so important for having that Netscape moment Jeremy Jeremy thanks so much to spend the time here on the ground on the water for our special cube coverage of blockchain week new york city consensus you had all kinds of different events you had the crypto house where we were at tons of fluidity conference all this stuff going on good to see you guys you look great thanks for sharing the update here and the cube special coverage I'm John Faria thanks for watching Thanks

hello everyone welcome to the cube conversations here in our studio in Palo Alto California I'm John Faria co-host of the cube co-founder Sylvania media special guest today inside the cube in Palo Alto Steve Lucas the new CEO of Marketo formerly of sa P industry veteran a lot of experience in the enterprise space now the chief executive officer at Marquette Oh welcome to this cube conversation great to see you yeah great to see you again so Marketo has been on our radar spent on everyone's radar it's been one of the hottest marketing companies that have come out of this generation of SAS what I call SATs cloud offerings and certainly as burn burn in the field in terms of reputation in terms of quality high customer scale a lot of other companies have been bought out you see Oracle doing a lot of stuff you got Salesforce the SAS business is booming oh yeah and you have a rocket ship that you're now the CEO now for two months first question what's it like here now compare a CPA yeah Marketo what's it what's happening well it's I mean s if he's a fantastic company and loved it it's the the the kind of metaphor I've used is it you know with sa P it's it's a bigger it's a bigger vehicle you're driving a bus and you can carry a lot of people with you takes a little bit longer to make a u-turn Marketo is a Formula One car I mean this thing is just in and out of traffic and it's it's unbelievably nimble so it's it's been a big kind of shift culturally but absolutely love it for the folks that are watching you might not know but Steve was in the HANA analytics president of that division with ASAP which was a real interesting transformation because Hana and and and s ap was a traditional big enterprise software company yeah but had to move very quickly Hana was basically built before Hadoop was even conceived and it was built before the big cloud explosion but kind of well built for the cloud so you have to kind of move quickly oh yeah from scratch into the cloud oh yeah with sa Pease resources yeah so compare construct contrast butBut your expense from sa p what is Marquette O's prospects I mean what's going on there I mean I'll see you got a formula speedboat but the big aircraft carriers are thrown pretty big wake they are how are you gonna maneuver yeah yeah well it's it's a fascinating environment right now because you know going from us if he I'd say that my experience they're kind of highly tuned me or prepared me for what I'm doing in Marketo si P had to move nimbly at the time really nimbly you're entering a market where you've got oracle microsoft at a database level they're the incumbents they own massive share how does si penetrate that but we were successful at the time at sa p and i loved that experience coming into Marketo really i mean it's a couple things one is you got to out-innovate the competition this is not rest on your laurels and wait for the release a year and a half from now that doesn't happen so this is about moving quickly but the second thing it's about I believe is it's all about putting the customer at the center of your strategy they have to drive everything I've talked to more marketers more CMOS in the last two months than I have in my last 20 years putting them the center is all about that Marketo their heritage was marketing solutions built by marketers for market what are the people saying you made with a lot of those CMOS more in the past since the past two months what are they saying what's on their agenda what do they care about what's important to them brand revenue and impact they want to know how do I Drive my brand how do I drive revenue and how do I show that impact to my CEO the board whomever it may be but the thing that scares marketers right now the most is what is digital transformation changing relative you know the big trend in macro trend globally how is it changing buyer expectation how is it changing the customer brand relationship that's top of mind Peter Paris who heads up by research for wiki bond and he used to do the b2b practice at Forrester around digital and stay Volante now we're talking yesterday that digital now is everything right so if you look at digital it's not just oh marketing need some tools to send emails out or oh I need to get a website up call IT up and provision or landing page this is now a fabric of pure infrastructure yet the infrastructure was built in the web days and you can go back to your business object days and go back again even back in the 90s that infrastructure now is so hard and as instrumentation there's no agility so that I feel that and we here in our in our teams and our customers that I want agility but I also want to control what the infrastructure might look like but then I don't want to touch it again I wanted to work for me do you see that same dynamic and how does that play out because I mean it's kind of the nuance point but the end of the day shadow marketing is going on shadow IT oh it's happening and it's on this unequivocally I mean so the the it literally the what's crushing the marketer right now is every time we get a new touch point a a watch so we go from just a watch that tells me the time to an Apple watch right every time there's a new touch point there's a new point solution for it and it's crushing the marketer so if it's social there's point solutions if it's mobile there's point solutions if it's a watch there's point solutions I blew my mind I literally saw it start up this is we can do you know monitoring and engagement of people on a watch it's just it's overwhelming the marketer and so their landscape of applications is looking like 30 40 different apps and their big win single sign-on that's the big win for the marketer internally it's just crushing them so what they're looking for your point is the Mahr tech or marketing technology graph and map is so big each one of their own underlying stack database software is that kind of what you're getting at absolutely absolutely you pick a marketing cloud it really doesn't matter you could say Oracle's marketing cloud sales force marketing cloud Adobe's marketing cloud it's just convoluted the the graph or chart of what's out there so point solutions just put together cobble together that's exactly right and so we're the benefit are that this is the the problem with that is what well the problem with that is that you first of all you lose any context relative to who you are there's no way that I can across 30 or 40 systems keep a consistent definition of job for you it's just impossible to do and our notion is we're looking at and what we're driving is a single engagement platform where the definition of you who you are no matter what touch point how we listen to you how we learn from you and how we engage with you it's all the same it's all integrated so let's get back to this point because I think an engagement platform and then the applications are interesting so I mentioned the CMOS earlier there's more development going on in marketing with like programmers developing apps because creig's of course okay so they're using the cloud and the marketing cloud is not like a one-off it has to be part of the core infrastructure so one of the things that wiki bonds gonna be releasing a new research coming up but I saw David floor yesterday who's a head of the research project that they're gonna show market share numbers of Amazon Google all the top cloud guys yeah interesting dynamic past is squeezing now platform-as-a-service is being squeezed down and SAS is increasing and then I as infrastructure stores is kind of shortening which means this automation in there so that the middle layer is gone but yet there's more sass how does that relate to the marketing cloud because the marketing cloud would be considered middleware or is it just the SAS app and does that speak to an explosion of SAS applications well I mean you're gonna see an explosion of SAS applications regardless I mean we reached that point of critical mass a while ago that's there's no going back at this point but if you look at kind of I think you're absolutely right there's compression at the IaaS layer in the past layer etc because these these these larger kind of SAS applications they are really ruling today and if you look at how that applies to marketing we actually think about three technology tiers within marketing there's the listen learn and engage tier the listen it's here is how do I listen on these digital channels the myriad that are out there and then the learned here is core to our platform the engagement platform it's all about an automation engine an AI engine and an analytics engine it's learning and then engaged here is how do I go back to those self same channels I was listening to and engage you the way that you want to be touched and so that's really the stack that comprises the Marketo engagement platform what's interesting the dynamic for us is we're actually seeing our own native applications that we're building on our engagement platform and then we have over 600 partners that are building applications are not building applications on our engagements they're writing software on top of the market absolutely so they're extending it so if social listening which I know is a big thing for Silicon anger that's like the I mean you guys are masters at it that if that's your thing then we have a not only do we have social listening capability but there's an app for that there's dozens so we could potentially plug into that oh absolutely so that's your vision so the vision let's go back to the so more apps a platform that enables more satisfaction yeah and and you mentioned people building on it that's an integration challenge and that's something that people they want to do more of they want to integrate other things with platforms which could be a challenge but it brings up the point data where does the data sit because now the data is the crown jewel yes and also a very important aspect to get real-time information so if you have information on me you won't have access to that data fast that's right and so there's an architectural challenge there there is your thoughts and reaction to the role of data well I first of all marketers still want to own their data and I think we need to be you know the reality is is that if you look a lot at a lot of these marketing clouds that are out there they're the vendor perspective is going to be will if I own your data I own you and our perspective is well you know that your data can sit within our platform but we can actually drive that data into you know on-premise warehouse etc etc so we're our goal is not to own your data ergo we own you that's not our goal I think the big thing like in the content you're saying is you want to use their data to give them value absolutely and so for us it's a matter of you know we can we can do to protect their data - exactly and so for me it's all about you know it's securing the data its but it's also the data is so complex now for the marketer so you've got social data highly unstructured you know you're listening for key words they still have to interpret that information you've got highly structured data demographic for example so it's how do you bring all that together you can bring that together in the Marketo engagement platform and then you can turn that into something meaningful it's always funny always to love to interview the new CEOs because we got the fresh perspective but I can't ask the tough questions cuz you lived in there for two months you get it say I won't even that two months I really can't answer that so I'll get the more generic on that what to try to get this at some of the hidden questions that I like to expose for the audience and really the main one is what attracted Univ Marketo I mean you left a pretty senior very senior position NSA p-president and Marketo is like the ship that's out there it's a motorboat but some are saying that the ways might be big enough and so you know be like okay but their public company so everything's out in the open what attracted you to market what God did say you know what I want to ride this speedboat well the trigger point for me was you know especially it s if he get exposed to kind of the big macro trends big macro trend everybody knows it is digital transformation as if he's talking that Microsoft Accenture picked the big company they're talking digital transfers and it is real the reality is you either are a digital native company were born digital uber or you're going digital ie you know you're a hospitality company trying to compete with air B&B and you gotta go digital so it's yeah I wrote an article I want on go digital or die right that's that's the that's the notion and when I looked at that I said so how does that lens apply to marketing well the reality is is that the marketer in the digital economy is only going to win if they can engage with not two or three people but Millions in an authentic and personalized manner at scale so that it's kind of juxtaposed how do you do that how do you engage with millions of people but at scale but deliver personalized an authentic experience and I looked at Marketo and I saw this platform and I just said oh my gosh there they are there's like this this convergence of those two things that are going to happen and I just think that the whole kind of marketing automation space which is known as really I I want to transform that into the engagement space we're talking about things like this engagement economy trend I absolutely believe we are fully in this notion of the engagement economy I think Marketo is right there so I gotta ask you a question is this is interesting you mentioned getting personalized information one of the things that's apparent we talked about on my Silicon Valley Friday show if you go to soundcloud.com /john for every year that people watching can get the copies of those but the thing was the recent election highlighted an issue around trust right v news younger natives digital natives younger kids they actually don't know what fake news is and what real news is a lot of people are moving off cable TV into digital which opens up the snapchats of the world different channels omni-channel like things and so this brings up this notion of communities because what people are turning to in this time of no trusting the mainstream media right news or Trump or what they were saying it's causing a lot of theater but it highlights an issue which is what's real what's not its content content is also has a relationship with users content is marketing content is trust is now a huge deal how do marketers now deal with the fact that content marketing coming from a company it could be fake news but there's a real or not and how do they get the context jewel connections is it the communities and we see that election people kind of going back to their tribe and saying oh anti Trump or Trump or whatever so tribal communities are a big part of data it is what's your thoughts on this trust factor and data and the content yeah yeah well so I think I mean a couple things first of all you know the I I think you or I as a consumer you know where anybody really we don't respond well to stare I'll moderately creepy advertisements that show up that you you know you know okay you're tracking my cookie you know in my browser and that that is just that's a non-starter I think that that in and of itself is is not interesting now we respond well to there's I said that that kind of personalized and I use that word authentic content so if there's content it's not just hey I know that you visited you know three websites about cars so I'm just going to pump you with ads full of cars but if we deliver thoughtful content it could be a comparison of vehicles that you've been looking at and take a look so there's more thoughtful content that you can deliver that that I think can come through a Mar tech platform like what we have our engagement platform no I will tell you that that trust to me it's it's not just the the authentic nature it's also a consistent engagement you can't show up show me an ad one time and I'm just gonna buy from you it doesn't work that way anymore so it's about having a relationship digital at scale but you know it's it's delivering that human touch I wrote a blog on this one where I said how do you deliver the human touch its Kate for blog addresses it it's on Marquitos website actually yeah right on our website so we talked about that as well and as companies are moving away from you or I managing the social engagement to the AI engines the machines engaging with us I think that we run the risk the marketer runs the risk of reinforcing the stare aisle you know kind of engagement and that's not what we want we want warm human touch that breeds trust sowhat's marcado's technology I mean people look at Marketo and people in marketing general yeah they're just hiring agencies to do all this work this isn't real maar tech marketing technology going on I like some of the technology for the folks watching because yeah I think it's pretty interesting most people don't understand that's a lot of machine learning a lot of technology involved in databases from security to trust also enabling real-time yeah share some insight into what's going on there so so this so there's a notion of engagement platform which we believe is is just fundamentally different than your run-of-the-mill marketing cloud so the engagement platform for Marketo is all about that listen learn and engage kind of methodology that we think about and the listening notion as I said literally as we can listen to anything your custom data social channels smoke signals if we had to we can read and consume almost anything and if we can't do it one of our partners can with like a DMP for example they learn the core of our engagement engine and this is pretty neat so we have three engines in our engagement engine we have the automation engine which is all about I hear you say something on Facebook I can engage with you then there's the analytics engine so I can help you understand what are people talking about on Facebook what are you talking on a LinkedIn and then there's the AI engine now this is where I think the the merger of the marketer and the machine is going to start coming together in a big big way so our AI engine allows you to not just say well if people say Silicon angle on Twitter then send them this but you can actually have it adapt and customize learn and reason learn and reason so X writes out and do some it's right it's predictive Oh not only just predictive actually have it I think it's borderline kind of clairvoyant but understand well I'm not just gonna immediately react to something that you put on Twitter I'm gonna go and I'm gonna check the rest of your digital persona there's a digital assistant basically not a sales rep it's more of an assistant it is it is and and so the future of marketing is simple I can build a marketing or an engagement campaign and I can click a button that says make it adaptive and then that's when the machine in the marketer come together and so on top of that engine we have our marketing applications our native apps like marketing automation we have an account based marketing which is a pretty big deal especially in the enterprise account based marketing is all about going from the single buyer to the consensus buying that you know behavior that's see in the enterprise and then we have other technologies like mobile marketing so we can track when you open an app if you close it if you click on it so it's not just one thing we have a range of marketing apps that sit on the platform right so I want to get the final question I get your thoughts on just the future of the business obviously a year you're there two months you got to get to know the team you've got to get to know the players any changes on the horizon that he let's shop so you got a big launch coming up with it well Ryan codename Orion which is there a new engagement platform that you guys pre-announce and get the announcement coming up there got a book you going on but if for Marketo what's the guiding Northstar for you what do you what do you say to customers and kind of the vision and and what changes you look that might be coming down the pike yeah so I think so the vision really there's two elements to that one is that our core focus like at its core is we're going to help the CMO build the lasting relationship derive revenue for the company and the way that we're going to do that is deliver the engagement platform which we are now rolling out I mean we've been working on a ryan for a long time way before I showed up and Orion takes the ability for a marketer to go from millions of interesting touch points per year social mobile did you know digital touch points to quadrillions of touch points we are ready for that digital transformation what we call the engagement economy era I'm writing a book on there the whole notion of engagement economy we're entering this new era where if you're not able to engage with people and and also things because things will be out there too at scale you won't win you just won't we want to get your thoughts on one final point I know we're kind of running up on time in this segment but if you look at the cloud go back to 2008 2007 timeframe when it really emerged and Amazon is already you know had a couple years under their belts with what they were doing you saw the DevOps movement developed merging development and operators be the real catalyst those early adopters you know those you know Navy SEALs the Green Berets you know eating nails and spit and glass out so so that was Facebook that was the big web scalars Yahoo essentially invented Hadoop which became big data you saw all these companies that were new natives build their own stuff not buy off-the-shelf equipment and they became the the canary in the coal mines for everybody else now everyone wants to be like AWS and even Microsoft's changes to be more like AWS and competing directly with them Google is changing so there was early guys on Facebook what they're doing drones and virtual reality you know what these stuff they're doing with open open compute those are now leaders so they're the predictors of the future in my opinion so I look at it so the question I want to ask you is how does Marketo rank up because companies that don't have huge early adopters of the scale side of it platforms that can't scale probably won't have any Headroom so do you have an example where your business has guys pushing the tech scaling it up that are gonna be that canary in the coal mine you guys have that mix of business can you give some examples yeah first of all we have fantastic customers that are using us today kind of scale Oh at scale absolutely whether it's a GE for example GE is literally attributing billions in revenue to the the Marketo engine and the campaigns and efforts that they're driving through that but ge is a perfect example Microsoft another great when there's lots of great examples of customers of ours that are doing what I would I would call hyper scale in engagement within marketing data and they're with marketing data etc so they're using your tools at large large scale yeah and I'd say it's the scale that that today you get these hyper scale example points but tomorrow everybody's gonna have to do it it's just what's neat for us you see the same thing I was mentioned that those hyper scales are gonna be the you know the pioneers that are gonna let the settlers come in and and behind them do you see that more typically and the neat part for us is is because as a marketing automation technology or an engagement platform we're fully integrated with Facebook Linkedin etc so they actually pull us forward we get that I think we get that we've got the telescope to see the canary in the coalmine a little bit further down the road assuming it's a well-lit coal mine but we get to see that a little bit further down the road so I it's an advantage for us strategically I got to ask you the question because in the database world the systems of record the services of engagement and then systems of AI IBM calls it cognitive yes how do you guys play in that new era is that just all marketing for them well I mean everybody has their cognitive exist yeah and you have something it's so they're every two degrees so everyone has tech and we certainly have what what I characterize as adaptive and intuitive that's my version of AI you know I think saying artificially intelligent it's kind of like I've met a bunch of teenagers that I consider to be artificially intelligent but the reality is is that everybody to a degree has this brochure layer tech that they run around waving it really comes down to what's practical what's usable and for us that's we're focused on is what is adaptive and intuitive technology that's going to merge the marketer in the machine final question final final question is what's the top three priorities for you if we look back on your performance next year this time what are the top three things you want to accomplish as the new CEO of Marketo well number one champion engagement economy that whole we're there and I think people just need to understand what it is to is help the market or win I mean the reality is if you boil it down you ask the question what does the marketer what they want to win they just want to win help their company win and so we want to help the marketer win and then three is really engage our marketing nation we've got a community of an online community talking about communities over a hundred thousand marketers that are working inside of that community it's just absolutely huge and so I want to engage the community if we can do that and be just customer centric and oriented our technology the AI all of those things part of our engagement platform it's gonna help us win to stick congratulations on being the co-chief executive Marketo great to see you Steve Lucas here inside the cube and Paul all those new Studios here in Pella 4,500 square feet you see a lot more content live programming as well as featured interviews with top CEOs of Silicon Valley and top technology companies I'm John Fourier thanks for watching