>>Hey everyone. Welcome back to Chicago. Lisa Martin here with John Furrier. We're live with the Cube at Ansible Fest 2022. This is not only Ansible's 10th anniversary, John Wood. It's the first in-person event in three years. About 14 to 1500 people here talking about the evolution of automation, really the democratization opportunities. Ansible >>Is money, and this segment's gonna be great. Cub alumni are back, and we're gonna get an industry perspective on the automation journey. So it should be great. >>It will be great. We've got two alumni back for the price of wine. Scott Canine joins us, Director of Worldwide Automation at Kendra. A Nelson Shoe is back as well. Product marketing director at Red Hat. Guys, great to have you back on the, on the live cube. >>Oh, thank you for having us. And, and you know, it's really great to be back here live and in person and, and, you know, get a chance to see you guys again. >>Well, and also you get, you get such a sense of the actual Ansible community here. Yeah. And, and only a fraction of them that are here, but people are ready to be back. They're ready to collaborate in person. And I always can imagine the amount of innovation that happens at these events, just like off the show floor, people bumping into each other and go, Hey, I had this idea. What do you think, Scott? It's been just about a, a year since Kenel was formed. Talk to us about the last close to a year and what that's been like. Especially as the world has been so, chops >>The world been Yeah, exactly. Topsy turvy. People getting back to working in person and, and everything else. But, you know, you know, throw on that what we've done in the last year, taking Kendra, you know, outside of being a part of ibm Right. In our own company at this point, you know, and you know, you hear a lot of our executives and a lot of our people when we talk about it, like, Oh yeah, it's, you know, it's a $19 billion startup. We got freedom of action. We can do all these different things. But, you know, one of the ways I look at it is we are a $19 billion startup, which means we've got a lot of companies out there that are trusting us to, no matter what change we're doing, continue to deliver their operations, do it flawlessly, do it in a way so they can continue to, to service their clients effectively and, and don't break 'em. And, and so that to me, you know, the way we do that and the way I focusing on that is automation Ansible, obviously corridor strategy, getting there. >>Yeah. And I'd like to get your thoughts too, because we seeing a trend, we've been reporting on this with the cloud growth and the scale of cloud and distributed computing going cloud native, the automation is the front and piece center of all conversations. Automate this, make developers go faster. And with the pandemic, we're coming out of that pandemic. You post pandemic with large scale automation, system architecture, a lot more like architectural conversations and customers leaning on new things. Yeah. What are you seeing in this automation framework that you guys are talking about? What's been the hot playbook or recipe or, or architecture to, you know, play on words there, but I mean, this is kind of the, the key focus. >>Yeah. I mean, if you, one of the things that I com customer comp talks, I've been pulled into a lot recently, have all been around thinking about security, right? A lot in terms of security and compli, I think, I mean, think about the world environment as a whole, right here, everything that's been going on. So, so people are, are conscious of how much energy that's being used in their data centers, right? And people are conscious of how secure they are, right? Are they, you know, the, their end customers are trusting them with data information about them, right? And, and they're trusting us to make sure that those systems are secure to make sure that, you know, all that is taken care of in the right way. And so, you know that what's hot security and compliance, right? What can we do in the energy space, right? Can we do things to, to help clients understand better their energy consumption as, as, you know, especially as we get now in Europe to the winter months, can we do things there that'll help them also be better in that space, Right? Reduce their >>Costs and a lot more cloud rails obviously right there. You got closer and you got now Ansible, they're kind of there to help the customers put it together at scale. This has been the big conversation last year, remember was automate, automate, automate, right? This year it's automation everywhere, in every piece of the, the landscape edge. It's been big discussion tomorrow here about event driven stuff. This is kind of a change of focus and scope. Can you like, share your thoughts on how you see how big this is in terms of the, the, the customer journey >>In terms, I'm sorry, in terms of, >>In terms of their architecture, how they're rolling out automation, >>What's their Yeah, yeah. So, so in terms of their rolling out arch, arch in terms of them consuming architecture, right? And the architecture or consuming automation. Yeah. And rolling out the architecture for how they do that. You know, again, it, to me it's, it's a lot of, it's been focused around how do we do this in the most secure manner possible? How do we deliver the service to them and the most secure managers possible? How do they understand that it, that they can trust the automation and it's doing the right things on their environments, right? So it's not, you know, we're not pushing out or, or you know, it's not making bad policies >>And they're leaning on you guys. >>It's, it's not being putting malware out there, right? At the same time we're doing different things. And so they really rely on, on our customers, rely on us to really help them with that journey. >>I think a, a big part of that with Kendra as such a great partner and so many customers trusting them, is the fact that they really understand that enterprise. And so as, as Scott talks about the security aspect, we're not just talking to the IT operations people, right? We're talking across the enterprise, the security, the infrastructure, and the automation around that. So when we talk about hybrid cloud, we talk about network and security edge is a natural conversation to that, cuz absolutely at the edge network and security automation is critical. Otherwise, how are you gonna manage just the size of your edge as it grows? >>Yeah. And, and we've been, and that's another area that we've been having a a lot more conversations with clients on, is how do you do automation for IOT and edge based devices, right? We, you know, traditionally data center cloud, right? Kind of the core pieces of where we've been focusing on, but I, you know, recently I've been seeing a lot more opportunities and a lot more companies coming forward saying, you know, help us with the network space, help us with the iot space. We really wanna start getting to that level of automation and that part of our environments. And what >>Are some of the key barriers that customers are coming to you with saying, help us overcome these so that they can, you're smiling so that they can, can obviously attract and retain the right talent and also be able to determine what processes to automate to extract the most value and the most ROI for the organization. >>Yeah. And, and, and you know, that's, that's an interesting, the ROI conversation's always an interesting one, right? Because when you start having that with customers, some of the first things they think about, or the first, the natural place people go is, >>Oh, >>Labor takeout. I can do this with less people. Right? But that's not the end all be all of automation. In fact, you know, my personal view is that's, you know, maybe the, the the bottom 30%, right? That's kind of, then you have to think about the value you get above and beyond that standard operations, standardized processes, right? How are you gonna able to do those faster? How's that enabling your business, right? What's all the risks that's now been taken out by having these changes codified, right? By having them done in a manner that is repeatable, scalable, and, and, and really gets them to the point of, you know, what their business needs from an operational standpoint and >>Extracting that value. Nelson, talk about the automation journey from your perspective, How have you seen that evolve from your lens, especially over the last couple of years? >>It's a great question. You know, it's interesting because obviously all of our customers are at different stages of their automation journey. We have someone that just beginning looking at automation, they've been doing old scripts, if you will, the past. And then we have more that are embracing it, right? As a culture. So we have customers that are building cultures of automation, right? They have standups, they have automation guilds. It's, it's kind of a little bit of a, of a click. It's kind of, you know, building up steam in that momentum. And then we have, you know, the clients that Kindra works with, right? And they're very much focused on automation because they understand that they have a lack of resources, they don't have the expertise, they don't have the time to be able to deliver all this. Yeah. And that's really, Kendra really comes into effect to really help those customers accelerate their automation. Yeah. Right. And to that point, you know, we're doing a lot of innovation work with Kendra and we lean on them heavily because, you know, they're willing to make that commitment as a partner both on the, the, the day to day work that we do together as well as Ford looking at different architectures. >>Yeah. And, and the community aspect from our side internally has been tremendous in terms of us being able to expand what we'll be doing with automation and, and what a's been able to do with that community to get there. Right? Yeah. So to last month we did about 33 million day one, day two operations through automation, right? So that's what we've done. If you look at it, you know, if I break it down, it's really 80% of that standard global process stuff that we bring to the table. 20% of that is what our, our account teams are bringing specifically to their clients based on their needs and what they need to get done. Right. You know, one of my favorite examples of of, of this, right? We have a automation example out there for a, a client we've got in Japan, right? They tie, you know, they're, they're obviously concerned, you know, security a everything else that we've been talking about. >>They're also concerned about resiliency, right? In the face of natural disasters. Yeah. So they took our automation, they said, Okay, we're gonna tie your platform to seismic data that's coming through, and we understand what seismic data's happening. Okay, it's hitting a certain event. Let's automatically start kicking off resiliency operations so we can be prepared and thus keeps serving our clients when that's happening. Right? And that's not something like when you talk about a global team coming in and, and saying, we're gonna do all this. It's that community aspect, getting, getting the account focus, getting to that level, right? That's really brings value to clients. And that's one of the use cases, you know, and aaps enabled us to do with the a the community approach. We've got >>Now talk about this partnership. I think earlier when we were talking to Stephanie and Tom, the bottoms up Ansible community with top down kind of business objectives kind of come into play. You guys have a partnership where it's, there's some game changing things happening because Ansible's growing, continuing to have that scope grow from a skill set standpoint, expand the horizons, doing more automation at scale, and then you got business objectives where people wanna move faster in their, in their digital transformation. So to me, it's interesting that this part kind of hits both. >>It does really hit both. I mean, you know, the community cloud that Kendra has is so critical, right? Because they build that c i CF architecture internally, but they follow that community mantra, if you will. And community is so important to us, right? And that's really where we find innovation. So together with what we were call discussing about validated content earlier today becomes critical to build that content to really help people get started, Right? Validated content, content they can depend on and deliver, right? So that becomes critical on the other side, as you mentioned, is the reality of how do we get this done? Yeah. Right? How do we mature, how do we accelerate? And without the ability to drive those solutions to them to fix, if you are the problems that the line of business has. Well, if you don't answer those questions with the innovation, with the community, and then with the ap, it's, it, it does, it's gotta all come >>Together as, I mean, that community framework is interesting. I think we hear a lot in the cube, you know, Hey, let's do this. Sounds good. Who's gonna do it? Someone who's the operator. So there's a little skills gap going on. It's also a transformation in the roles of the operators in particular, and the dev, So the DevOps equation's completely going to the next level, right? And this is where people wanna move faster. So you're seeing a lot more managed services, a lot more Yes. Services that's, I won't say so much top down, but more like, let's do it and here's a play to get it done, right? Then backfill on the hiring, whether it's taking on a little bit of technical debt or going a little faster to get the proof points, >>Right? And I think one of the critical aspects is, you know, Ansible has it certified collections, right? And oftentimes we, we don't, I don't, I meet with customers two, three times a week, right? There's not a single one that doesn't emphasize the importance of partners and the importance of certified collections, Right? And kindra is included in that, right? Because they bring a lot of those certified collections. Use them, leverage them, it's helps customers get a jumpstarter, right? It's a few, it's their easy button, right? But they only get that and they value that because of the support that's there. >>Yeah. Right? They get the with >>The cert. Yeah. I was gonna say, just adding on the certified collections, right? We, so, you know, it was, it was great to see the hub come out with those capabilities because, you know, as we've gone through the last 12 months and, and change, one of the things that we focused more in on is network devices, network support, right? And, and so, you know, some of the certified collections out there for Cisco for F five, right? Some of those things we've been able to take back in and now build on top of with the expertise that we, we have in that space as well. And then use that as a starting point to more value for our clients. >>How is Kentrell working together with, with Red Hat and with Ansible to help organizations like you mentioned Nelson, they're on the journey varies considerably. Some are well on their way, others aren't. But for those to really start developing an automation, first culture, we talked a lot about cultural ship, we talked about it this morning. You can feel the power of that community and driving it, but how do you guys work together to help companies and any industry kind of really start understanding what an automation first culture is and then building it internally and getting some grounds? Well, >>Well, it's interesting, right? One of the, one of the things that really is we found really helpful is assessments, right? So you have silos and pockets of automation, and that's that challenge, right? So to be able to bring that, if you are automation community within an enterprise together, we often go out and we'll do an assessment, right? An automation assessment to really understand holistically how the enterprise could leverage automation not just in the pockets, but to bring it together. And when they bring that automation together, they can share, playbooks can share their experiences, right? And with Kindra and the multiple and the practices they have, right? They really bring that home from an industry perspective. They also bring that home, if you will, from a technology perspective. And they bring that together. So, you know, Kindra in that respect is the glue for our customer success. >>What's news? What's the next big thing that you guys see? Because if this continues down the road, this path, people are gonna get, the winds gonna get the successes. The new beachhead, if you will, is established. You got the edge around the corner. What's next for you guys in the partnership? How do you see it developing? >>No, we're looking at >>No, it's all good. So really, you know, I, I mentioned it earlier and, and the jour the automation journey paralleled by innovation, right? Customers today are automating, they're doing a great job. There's multiple tools out there. We understand we're not gonna be the only tool in the shed, but Ansible can come in and integrate that entire environment. And in a hybrid cloud environment, you want that there, right? I think what next is obviously the hybrid cloud is critical. The edge is critical, right? And I think that, you know, the needs and the requirements that Kindra hears that we have is kind of that future. And, you know, we, we often, often in, in Red Hat, we talk about a north star, right? And when I work with partners, ikin, do we talk about the North Star, where we want to get to? And that is the acceleration of automation. And I think both by the practical aspect of working with our customers and the innovation as partners, as business partners, technology partners will help accelerate >>That. Yeah. Scott, your perspective to bridge to the future is obviously hybrid and edge, how you bringing your customers along? >>Yes. So, so we see, you know, when we talk about my, when I talk about my automation strategy, our automated strategy, right? It's about being automated, orchestrated and intelligent, right? Kind of those, those three layers of the stack. We've been building out a lot of work, what we call our integrated AIOps layer for actionable insights, right? We've got a, you know, a goal to integrate that and, and we have integrated into our automation service for how we're delivering the whole package to our clients so they can better see opportunities for automation. What's the best way to go about it? You know, what are the, what are some of the, the issues they have, vulnerabilities they have in their environment and really bringing it to them in, in a real holistic manner. In fact, we internally, we call it our F five steering wheel, right? Based on the, the race thing, right? >>Because you think about the, the racing cars, f fives know they're right there, right? They got everything they need in front of 'em. Yeah. So our goal is been to, to include that into our automation view and service and build that out, right? So that's one way we're doing it. The additional way is, is through some announcements you probably heard, hopefully heard the last couple weeks through something called Kendra Bridge, right? Kendra Bridge is more the digitization of, of the way we deliver services for our clients to make it easier for them to consume and, and to, to make the barrier to entry for things like getting automation, getting it more in their environment, right? Lower as much as possible, right? So really integrated AIOps kind bridge. Those are really the two ways we see it as, as going forward. >>It's interesting, you know, we live through a lot of these different inflection points in the industry. Every time there's a big inflection point, there's more complexity that needs to be tamed, you know? And so you got innovation. If you got innovation coming and you got the clients wanna simplify and tame the complexity, this is a big part of what you guys do. >>Absolutely. Yeah. I mean, how do we, you know, most, when the clients come to us, right? Like I said, one, it's about trust. They trust us to do it because we can make it easy for them to not have to worry about that, right? Yeah. They don't have to worry about what it takes to secure the environment, manage it, run it, design it, build it for the, the cloud. We give 'em the ability, we give them the ability to focus on their core business while we do the stuff that's important to them, which >>Is absolutely critical that you, you can't emphasize trust in this relationship enough. I wish we had more time, guys, you're gonna have to come back. I think that's basically what this is boil down to. But thanks so much guys for talking with John and me about how Kendra and and Ansible are working together, really enabling your customers to, to unlock the value of automation across their organization and really make some big business changes. We appreciate your insights and your time. Fantastic. Thank you. Happy to do it and happy to do it any time. All right. Our pleasure. Thank you so much for our guests and John Furrier. I'm Lisa Martin. You're watching The Cube Live from Chicago. This is day one of our coverage of Ansible Fest 22. Don't go anywhere. Our next guest joins us in just a minute.

>> Announcer: theCUBE presents "Dell Technologies World," brought to you by Dell. >> Hey, everyone. Welcome back to theCUBE's coverage of day one of "Dell Technologies World 2022" live from the Venetian in Las Vegas. They're excited. I dunno if you heard that, a group behind me very excited to be here. Lisa Martin, Dave Vellante. We're very pleased to welcome Jules Johnston, the SVP of channel from Equinix. Jules, welcome to the program. >> Thank you for having me. I appreciate it. >> And those people back there are very excited, if you heard that big applause when we went live. (Jules laughing) So the vibe here is fantastic for the first live "Dell Technologies World" since 2019. A lot of people here, this Expo Hall is packed. A lot of momentum here, but there's also a lot of momentum at Equinix. Talk to us about what's going on. >> Well, so many exciting things for Equinix and this partnership of Dell sort of gives us a chance to share that with partners here throughout the conference. So we are very excited, as you said about and we just were named to the Fortune 500 this year, 77 quarters of growth consecutively. But underpinning that is having made huge investments in what is the world's largest footprint of global data centers, 240 of them on six continents in 66 markets but then interconnecting them. So they have the connections that Dell customers need to the clouds. They have the connections that they need to all of the future SaaS providers. So that foresight to put together that interconnection network across our footprint has set us on the path we're on today, which we're very grateful to be at in. And really, the things that are happening with Equinix and Dell together couldn't be more of the moment. >> Talk to me about the last two years. The moments of the last two years have been very challenging >> They have. >> For everyone. How has the partnership evolved in that time? >> Well, we, together, Dell and Equinix, what we're doing is really helping our shared interface customers navigate the complexities of their digital transformation. And digital transformation is hard. It's not a one and done and it's not an overnight solution. And so, what we are doing is partnering with Dell to think about putting a dedicated Dell IT stack in an Equinix data center to give customers that sovereign adjacency so that they can have that security proximate to all the clouds and everything else they need to participate in the ecosystem. And then pairing that with these interconnected enterprises. So, Dell and we are helping customers then be able to have some of their solution on-prem, some of their solution in the cloud, access public clouds and use that collectively to define what we're calling the intelligent edge, together. And that intelligent edge means so many different things to customers but it is really our honor to work together with Dell to help each customer define that for themselves. >> Equinix is an amazing company. Like you said, it's... I didn't realize it was that many consecutive quarters but it's a 60 billion plus market cap. If you look at the stock chart, it'll blow your mind. Really incredibly successful. And part of the reason... It's funny, 10, 15 years ago, people thought, well... Or, 10 years ago, anyway, the cloud is going to hurt companies like Equinix. It was the exact opposite. And that's because Charles Phillips used to joke, "Friends don't let friends build data centers." >> Yes. >> And it's not a good use of capital for most companies, unless you're in the data center business. Now, of course, you have some of your own as a service offerings. >> We do. >> What's the overlap with Dell? How do they compliment each other? >> It's a good question because... And we get that. Are you and Dell in fact competitors? No, we see them as wholly complimentary. And in fact, we're working with Dell to bring to market things like something we call PowerEdge, which involves their servers. And PowerStore, which involves their storage, and then VxRail, which is really the hyper-converged infrastructure. And those are just a few first of a series of offerings we expect to bring to market with Dell. And if you think about Metal, and it's Equinix Metal that people sometimes think is a competitor, but what Metal does for customers is it really allows them to advance, have the equipment placed in our data centers so that they can access that capacity and according to spikes or needs that they have. That equipment in our data centers that's there for them to avail themselves of that capacity is most often Dell equipment. So we are really doing and executing that bare Metal as a service together. >> What are some of the things that you're hearing from your partner community, in terms of the partnership with Dell? Partners must be excited, the momentum there. What's going on in the partner community? >> So, that's what's near and dear to my heart since that's what I'm responsible for, Equinix's global partnerships. And they're just very excited about what we're doing with Dell. And to be honest with you, all of our top partners are also top partners of Dell. So it makes sense that we bring it together. So, big categories of partners like the world's largest global network service providers, some of whom are here and who we'll meet with, AT&T, Orange Business Services, those folks in addition to the world's largest global systems integrators, Kendra, Deloitte, Accenture, WiPro, DXC. All of these are partners that Dell and we will meet with together to further our, what we call Power of Three, that together we're better. Because as much as Dell and Equinix are delivering, the customers most often don't have the experience they need to execute it without a partner. So they are relying on those partners to take what we are doing and make it their own. And so, they're excited about it. You see, it's a big opportunity for them from a... Of revenue services and an opportunity for them to step into a next level trusted advisor status. So partners are excited and we're going to be spending a lot of time with them the next few days. >> Do you see Equinix... 'Cause these partnerships are not bespoke partnerships. It's an ecosystem that's organic and evolving and growing. Are you a dot connector in a way? Can it be a flywheel effect in your ecosystem? >> Well, so our ecosystems that we provide, wide range of those from high frequency trading to connected cars, to the internet of things and content providers, we do see it as our role to the 10,000 and growing customers that are in our 240 data centers on six continents that provide those ecosystems. It is our mission to continue to grow that, enrich it, because that does differentiate us greatly from another data center provider. And it's the combination of the ecosystem that you'd find and the people you can connect to at Equinix. And then also the leverage of our fabric in order to be able to access your future needs. >> And it's a lot of technology underneath these. It's that first layer one, I guess, if you will, of the data center, right? And so, a lot of your customers or your partner's customers, they just don't want to be in that business as we were saying before. I mean, it's just too expensive. The power requirements are going through the roof. So you got to be really good at managing power. >> You do. In fact... So first of all, you're right. It's extremely difficult for them to also be able to make that commitment to keep a data center they would manage themselves at the level that Equinix is able to invest. So it's very difficult for people to do it themselves. But even show... Another point you mentioned actually about the power, is near and dear to our hearts because Equinix is super committed to sustainability. And so we've made a commitment to wholly renewable energy. And it's something that we talk a lot about how we also help partners like Dell meet their initiatives. So partners like AT&T meet their connected climate goals. So we are actually using that and coming together with Dell on that story, and then helping to amplify that with our partners. >> And that's... How do you do that? That's putting data centers where you can cool with ambient air. Is it being near the Columbia River? What's your strategy in that regard? >> On sustainable... I have to be honest to you. I would be out of my depth if I didn't say... >> This is the high level, yeah. >> So we are deploying some of the latest technologies about that and then experts people who, all they do is really help us to reduce the carbon footprint and be able to offset that, be able to use solar, be able to use wind, be able to take advantage of that. And then also to navigate what's available when you're in 240 locations on six continents. It's not the same options to reduce your power consumption and your burden are different in Africa as we just discovered with our main one acquisition than they are in India or than they are in other parts of the world. So it is for us a journey, and we've been assembling a lot of the talent to do that, >> But you're so large now, even a small percentage improvement can really move the needle. >> And I think because we are the largest, it is incumbent upon us to really set the standard and be committed to it. And we do see other people following, which is a good thing for all of us. >> Well, how important is that in your partnership conversations. That partners have that same focus and commitment on ESG that Equinix has. >> Partners care a lot about it, but customers ask us both all the time. We increasingly see a portion of an RFP or scope of work asking, "Before I decide to go with Equinix and Dell, tell me how you're going to impact the environment. Tell me about your commitment." And so, we are committed to it, but customers are demanding it too. >> So it's... >> Where do you... Go ahead please. >> Oh, I was just going to say, it's coming from the voice of the customer, which Equinix is listening to, we know Dell is listening to it as well. >> I'm sorry, one more time. >> That the sustainability, the ESG demand is coming from the customers, as you were saying. >> Both. I mean, we want to do the right thing and we've made commitments to it, but our customers are holding us accountable to it. And sustainability is now a board level priority. It is for us. And it is for companies like Dell and it is for partners and customers. >> It really is... It's up there with security in terms of the board level conversation. Where do you want to see the partner ecosystem in the next let's call it three to five years. In your business you can look out that far. >> Well, I think that our partners and by that I mean Dell's and our mutual partners, We've been listening to customers with Dell to deliver a flexible set of options for how customers would consume Equinix and Dell. So our partners are going to be integrating a variety of those in order to meet the customer where they are in that journey. Whether they want to buy Apex as a service, whether they want to buy Equinix Metal, whether they want to have a partner put together bespoke, do-it-yourself combination with other services. I mean, the customers are going to demand a choice of options. I think partners are going to embrace multiple versions of that so that they can to meet the customer where they are and take them. >> Well. That's incredibly important these days to meet the customer where they are, the customers have a lot of choice. >> It is. >> But everything that we're all doing is for the customer ultimately at the end of the day. >> Yes, it is. And you know, the customers are getting savvier, but we are all still early in this journey as far as the edge. I think we are all still grappling that. Right now we like to say that as customers are looking to define that, the footprint that we offer together with Dell gives them an awfully robust set of choices for now. And then we want to continue to invest and expand to be wherever they need us. >> Well, that's the thing about your business? It's optionality. I mean, the cloud has a lot of stuff, but you can't get everything you want in the cloud. >> Jules: You can, >> And you can put anything in your data center. That's IT. >> You can, but you may not know what you need yet. And so that's one of the things we spend a lot of time having our solutions, architects and our sales to people together, but they'll talk about future proofing, their strategy. So future proofing, that combination of on-prem and in an Equinix data center, and maybe some public and future proofing, leveraging our fabric so that they might elect different SaaS space services or cloud-based services a year to five years from now than they are even thinking about today. And, they may expand their edge over time, because they may see that as at the customer end point. Today, most businesses are still using a footprint like ours as their edge, but that could change. And so we want to be there when it does. >> Yeah. That's a great point because you don't want to necessarily have to rip it out every co couple of years. If you can have an architecture that can grow. Yeah, sure. You might want to upgrade it. >> Well, and that's one of the most appealing things about services like Metal where they also do prevent that sort of rip and replace, but they also help people navigate the supply chain shortages that are going on right now. So this has been a trying two years for supply chain shortages. And being able to take advantage of Dell equipment already staged at an Equinix data center and partners can then bring their customers a quicker immediate response. >> Have you also seen this? You mentioned the supply chain shortages, some of the many challenges that we've experienced in a last few years. How much of a factor has the great resignation been? The labor shortages, the cybersecurity skills gap, on folks coming to Equinix saying, "Help, we don't have the resources here to do this ourselves." >> We have been fortunate to be... If you're asking me how the reservation has affected us as a company. >> No your customers. >> Oh customers it has. Oh, okay I get it. So it is a challenge for them, but it's an opportunity for our partners. So what I see there is it's been challenging for customers to hold onto that talent, but partners are filling that gap. And we with Equinix being forced to hold onto a lot of our best and brightest. And so we put them together with our partners and we try to help customers fill those gaps. >> Well that's the most important thing, filling those gaps. >> You ever been inside one of these ultra modern data centers? >> I have not, not yet. It's pretty cool, isn't it? >> Have you ever had a tour of one? >> I've never had a tour of an Equinix data center, but I've seen some modern data centers that will blow your mind? >> Well, they come with all the requisite biometrics and man traps and all of the sort of bells and whistles that are actually the first slay of physical security, but then once you get into the data center, then we get into the virtual and the digital security that you would expect. >> Yeah, it's good. And you know, it's not like you drive by the data center, and there's a big sign that says, here's the data center. They're trying to stay a little hidden and then like getting in, it's like getting into Fort Knox. It's probably harder. And then, but then the it's like this giant clean room. It's amazingly clean and just huge. It'll blow your mind. >> And inside the data centers, all the world's networks come together and peer, and then we have inside their, the most direct roam reps to the cloud. So you would expect there's a lot of wires and pipes running very neatly through a very secure clean... >> Cooling systems and power systems that are just... >> Pristine environment for sure. >> Amazing engineering. >> It is really. >> We need a tour. >> Do you let people tour your data center? >> I will bring both of you on a tour. >> Awesome. >> Be my guests. >> I would love to. Great. >> Sounds fantastic. Would love to. >> We'll bring a camera. (laughing) Oh, no, we're not allowed. >> Not today. >> No phones, no phones sequester. So what are some of the things that you're excited about seeing and hearing the next couple of days as this is the first time we've all gotten to be together in so long? >> We are excited about the conversations that we're going to have, power of three that I was talking about. So, we really pride ourselves on having that combination add up to more to benefit the customer. And so this will be sort of a coming out party of sorts. Equinix and Dell will meet with almost 20 different global partners that are really important to both of us. So I am most excited about those conversations and about the education I'm going to get on the ways they're thinking about integrating it differently, because that is good choice for the market. That is good choice for the customer set, for the enterprises out there. So that's what I'm most excited about. >> Awesome, sounds like tremendous opportunity, lots going on this week. But thank you for coming on Jules, >> Oh my pleasure, thank you. talking about... >> How Equinix and Dell better together, the way that your channel partner program is growing and of course the momentum of the company. Can't wait to see what happens next year. >> Thank you. Thank you. Well, we will aim to deliver and thank you again for having us. >> Thanks Jules. >> Our pleasure. For Dave Vellante, I'm Lisa Martin and you're watching theCUBE's live coverage day one, "Dell Technologies World" live from Las Vegas. Stick around, we'll be right back with our next guest. (slow upbeat music)

>>Welcome to the cubes coverage of Dell tech world 2022. My name is Dave Volante and I'm currently in our studios outside of Boston. As we prepare to gather for the first in person Dell technologies world since 20 19, 1 of the major structural change and the technology business during the pandemic was IBM's spin out of Kendra. A world class technology services provider that lived inside of IBM. Kendra is a large business with trailing 12 month revenues north of 18 billion. It's got 90,000 employees worldwide. Kendra has long term predictable cash flows. And in my view is one of the most undervalued companies in the technology sector. As a separate company, Kendra is able to turn many of its former internal IBM roadblocks into tailwinds and ecosystem. Partnerships are one of the best examples of new opportunities that are opening up for the newly separate at company. In this next segment, we're gonna dig into a new partnership between Kendra and Dell technologies and what is the most critical priority for organizations today? Cyber resiliency and with me are two really impressive and talented guests. Chris Lovejoy is global security and resiliency practice leader at Kendra. Michelle Weston is vice president of, of global offerings for security and resiliency also at kindred ladies. Welcome to the cube. Thanks for coming on and spending some time with us. >>Thank thank you. >>Okay. Let's zoom out a little bit and start with a big picture. What would you say are, are the one or two major trends or changes even in cyber that you've seen since the pandemic, maybe Chris, you could start us off and Michelle, you can chime in. >>Sure. Happy to. And, um, you know, I think part of this actually preceded the pandemic and, um, you know, the fact is, you know, a lot of organizations have been engaging in the adoption of new technologies, you know, be it cloud AI IOT, what, what, whatever that may be. Um, and they've been introducing that technology without, um, adequate security control and during the COVID pandemic, um, when, you know, technology transformation happened for existential reasons, what we were seeing is organizations throwing at even more technology at cyclic, right, with absolutely no security control whatsoever. And in the meantime, the regulators who are, you know, watching this in, you know, horror are introducing new requirements in and around, um, what we're calling cyber resilience today. And it's all based on this concept that, you know, conventional cybersecurity assume that the adversaries could be kept out of organizations. >>Um, you could protect the organization and sort of block it, um, as rising numbers of disruptive attacks, like, you know, ransomware attacks have shown those approaches don't work. And so, um, what we're seeing is that the market is really moving toward this concept of cyber resiliency, which goes beyond cybersecurity. It assumes that the advanced a adversaries are frankly, many adversaries can overcome, um, conventional protections and that, um, they, that organization need to prepare to recover. Um, so our approach, the approach that we're taking to the market is really to help organizations in binding security plus continuity plus disaster recovery, then giving them the ability to anticipate, protect, um, with stand and recovery from any adverse condition associated with their cyber real estate. Um, and this is why we're so excited to work with Dell, uh, because they're really, uh, paving the roads for us to actually, you know, work together in solving these needs for our clients. >>Got it. That makes sense. And now Michelle, as Chris was saying, these worlds are coming together. What used to be adjacencies, oftentimes they, after thoughts, bolted on, and now you've got the work from home and, and hybrid work, not to mention, as Chris was saying, you're injecting AI and all this data, you know, this is a complicated situation for a lot of people, isn't it? >>Yeah. And it was only even more complicated during, during the pandemic as well. I think, uh, another trend that we saw was the end enterprise was outside the enterprise, right? Uh, everyone was working from home. They weren't in the data centers, their own resiliency and security protocols were already at risk because they were so manual and people intensive. And yet we know, you know, the bad actors actually took advantage of, of that right. Uh, data centers were, uh, less monitored. Um, we had all of the employees working from home. Now, the enterprise is outside of the enterprise, but you still need security and resiliency for all of those endpoints. Right. And I think that's driving a higher need, um, coming out of the PA the pandemic and even with this hybrid model, okay. We'll return to work, but not, not in the same fashion that we did prior to the pandemic. >>That's the new reality. The other thing that I would say is that those customers that had adopted cloud already and cloud enabled their business, they were able to fare, um, the best during the pandemic. They were able to sustain their businesses. Um, alternatively, and it's kind of a different lens to it. I think the pandemic actually drove new ways of working and some really creative solutions. I mean, if you look at, um, you know, food delivery services that, uh, proliferated during the pandemic, or, uh, that are now offering fitness online, um, fitness classes online, people had to think, um, intelligently and, and creatively on how they sustain their businesses. So I think all of that's coming together, but certainly this need of, as you said, not thinking of security and resiliency as an afterthought, but as a forethought planning for those things efficiently and effectively, that we find customers that do that, uh, do it the best. And, uh, I think that Kendra offers a unique value pro in here because bringing both together is a journey that we started a couple of years ago that we've only accelerated with the, uh, spin of the Kendra company. >>Yeah. Interesting. So I wanted to talk about that partnership because mm-hmm, <affirmative>, you know, Dell's got this massive channel, it's got infrastructure technology expertise, uh, but Dell, you know, Dell's a product company, Kendra is a services company, so it's a really good match in that sense. Right. Uh, maybe you could talk about how the partnership came together and, you know, what are the critical aspects that folks need to be aware of? >>Yeah. I would say Dell's an excellent partner for us and they have been for a number of years. So in a lot of ways that's not new. Okay. Uh, we've been partnering in market together for quite quite some time. In fact, the solution that we'll talk about today was first put into market in 2018. And you're absolutely right. We, we come together in the best ways. They're leveraging our strengths with regard to manage services, professional services. And we are certainly looking at them as a key technology provider, um, for our portfolio, we've worked together for years. Uh, we manage backup environments based on their data protection solutions, including data domain, but what was unique. And I think we were both ahead of the market at the time, um, was the 2018 solution that we put in to market and have only enhanced and augmented it ever since it's, it's called, um, cyber volt is, is the solution from Dell technologies. >>We certainly manage that solution in market for them today. And then we have unique differentiation in our Kindra portfolio that we've integrated with that and add to, um, their cyber incident recovery features, um, Dell initially put the solution in market coming out of, um, some of the ransomware attacks that they had cyber attacks that they had. They realized there was a need to protect the large data domain install base around the world. Um, they developed some proprietary solar solution, uh, software on top of their large data domain boxes and, and any cyber incident recovery solution. You need a, a few things you need the ability to assure imutable storage, a, a copy that you can assure has not been altered so that when you initiate the recovery, you know that you've got a clean copy and you're not propagating whatever is there. Um, so the solution has that, um, it has the other component that you need, which is the ability to scan the data for anomalies, right? >>So they're scanning the backup files continuously to look for anomalies. And then lastly, you need some form of data mover, which the data domain, um, solution offers. So they came to us in 2018 and said, look, we've got this solution. We think we're ahead of the market. Uh, we were also investing in cyber incident recovery with a key asset that we acquired in market in 2015, um, that we've continued to bake cyber incident recovery features and functions into, and they said, let's marry the two. And let's have you provide all of the managed services capabilities around this for clients. Um, that is a key piece because when it comes to cyber, uh, there's always a level of confidence that customers have, right? Yes. I can recover from any adverse condition. If you ask them, can you recover from a cyber attack with a hundred percent assurance? I don't think there's a customer today that could say given how sophisticated and how much these, these attack vectors are changing, that, that they, they have that a hundred percent confidence level. So a managed service provider, a phone, a friend in the event of is a, is a unique value proposition. Um, and that's what the two companies are bringing together, uh, for customers today. >>Got it. Thank you. So, so Chris, maybe as a services company, you, you, you have to be ignite, you know, to technology, you know, the best fit, et cetera. But, but prior to the spin, we never would've heard it, something like this. And so what, maybe you could talk about the partnership from your perspective. >>Yeah, no, absolutely. And I, I do wanna, um, you know, sort of double click on this a little bit, you, and you mentioned it in your opening, you know, headwinds being wins now. And I think this is important, incredibly important. You know, what people don't realize about Kendra is that, you know, we were never able to, as the services organization, um, that was really focused on strategic outsourcing and providing other kinds of services to, uh, clients while under the IBM banner are really never able to talk about the technical depth that we had across any number of platforms, including, um, the hyperscalers. And we have thousands upon thousands of people with hyperscaler certifications. Um, we have experience with pretty much every security and resilience technology out there. Um, we have broad and early with organizations like yours, that we were never able to speak about now, you know, when it comes to a client, you know, let's be realistic. >>Everybody is engaged in some sort of it modernization program. And while, and we have to realize also that those it modernization programs, you know, oftentimes they have no destination per se. You know, we talk about them as a journey, but we, if no destination, they just keep going and going and going. And the directions change every day, depending on, you know, what the strategic, uh, requirements are from whatever C-suite, you have, you know, sitting at the table, uh, what the competitive trends are, what the market is telling you, et cetera. And so what clients are saying to us is that the value we offer is that we can untangle the mess. That is their environment. We can meet them where they are, we can get them where they wanna go. And so, you know, when it comes to a relationship with Dell, you know, we believe that, you know, particularly in the area of security, in resilience, that there is a unique proposition to be had around the services and the cross platform experience and certifications and skills that our, um, our teams have married with the technology advances that Dell has made in the, in, in the world, as well as our experience in, you know, sort of the two that has have been frankly, hidden over the past few years. >>I think we have some, uh, something unique that we can offer to the market. Particularly, as I said, in this space of security and resilience, where all of our clients are, you know, looking for some sort of solution to this, you know, gee, I can't spend enough money to protect myself. I need to make sure that if the worst happens that I can bring myself back again, that's what we can do for our clients. >>Great. Thank you, Michelle. I wanna go back to the solution for a moment. You mentioned a number of things, integrations. I got like a zillion questions here. I'm interested in what kind of integrations you talked about imutability where does, where does that occur? Is that in the cloud? Is that the, you know, Dell technology is scan for anomalies again, what is that? Is that some kind of, you know, AI magic, you got a high speed data mover. Is there an air gap involved, maybe help me fill in some of those gaps. >>Yeah. And I think you, I think you've netted out the solution. Any cyber incident recovery solution in my mind would have those three things. They have some form of imutable storage. Uh, this could be cloud object storage in the case of the Dell solution, they're actually using their retention lock feature on the large data domain devices. Right? So think of this solution as having two data domains, they both have this retention lock feature. That's the imutable storage. They're able to move data and forth between the two, uh, that's another key piece. And then finally, for any incident recovery solution, you need the ability to scan and make sure that there aren't anomalies, um, in this case, in the backup files. So they're using a, a third party to scan thatno scan those files for anomalies. And when when's detected, that kind of gives the indication that something may be there and then they can go in and triage it and, and, and clean the environment if needed. >>Um, so we certainly manage that end to end, and that is one approach. It is an on-premise approach. It uses the data domain, uh, technologies. We know that clients have a lot more than that, right? So where Kendra comes in with its cyber incident recovery solution that also integrates with Dell's cyber incident recovery solution is we support cloud, um, multiple infrastructure. We have also imutable storage that we leverage. Um, and then in terms of our anomaly scanning capabilities, in this case, we're using technology that we had originally developed in IBM research that we integrated into the software product. Um, again, this is on an acquisition we did in market five years ago, called son Nobi. It's a software product. Um, it ingests and automates all of your workflows in the, in, in the event of any failover failback, any, uh, outage, including cyber and that technology underpin a lot of what we do on the incident recovery perspective, Dells use data domain. >>We've used the software, all both solutions have all three components of the cyber incident recovery, uh, solution when they're integrated, there's real power there, right? Because now you're looking at protection, not just of the backup environ, um, but all environments, including production, you're looking at being able to scale beyond OnPrem. Um, and more importantly, you're looking at the speed to recover, right? The not needing to rehydrate the data, but to be able to recover with the RTOs and RPOs that are expected, um, of our customers on the resiliency orchestration side, the Kendra solution. Um, this is, this is push of a button fail over, fail back in the event of an outage. Um, you can recover the entire hybrid estate in the matter of minutes and what we know with respect to any outage it's costly. We know know that downtime is costly, but with respect to cyber, we know that that's more costly than a typical outage, sometimes four X, um, you don't always recover from the brand damage from the loss of customers. So being down and, and coming up as quickly as you can, with the additional data verification, data validation and assurance that you're not propagating, whatever is there is the value prop, um, that both CU, both companies are really serving. >>And where does an air gap fit in into this equation? Is that yet another layer of protection what's best practice there? >>Um, so think of the air gap is just between the data movement and the immune storage, right? You need to be able to cut connection in a way, right. That is an air gap solution. And it's based on the imutable storage that both have. >>Okay. And that would be, it could be local, I guess, but it also could be, it should be maybe remote. Yes. Mm-hmm >><affirmative> okay. Exactly. And, and the ability to manage and orchestrate that air gap is a key value prop again, of the Kendra solution. >>Okay. And so I've mentioned local or remote. I mean, obviously the trade off is recovery time, you know, uh, I guess RTO, um, but, but <laugh> and RPO. So a lot of layers is, is what I'm hearing is that's always security pros in this framework. >>Let me give you another example, the reason why this is so important. Um, most of our Dr. Processes today, they all rely on people, right? We had a large client that was impacted when we were IBM. They were impacted with pet. They had a great Dr plan. They were a customer of ours. Um, we managed that service for them. Their Dr. Plan was still people intensive. And when that attack happened, it took out the badge readers to the people that you've invested in. Can't get on site to manage the incident, can't bring up the environment. And then if you look at going back to the very beginning of our conversation, COVID being sort of, uh, another way that that happened with access and the ability to continuously monitor and have the people on site that ability was impacted. So this is where you need to invest in technology, uh, P and processes to make sure that you are as robust as you can be. And as Chris said, your ability to anticipate with stand and recover from any adverse condition, that's, that's the value prop that our global practice brings. Yeah. >>To your, to your point, the adversary is well funded and motivated. Chris, we'll give you the last word, where do, where do you wanna see this partnership go? You know, kinda what what's next? What should we look for in the coming months and in, in years? >>Yeah. I'm, you know, I think, you know, very simply, and I'm going put my CISO hat on right. For a minute, because I think it's important to speak, you know, for the customer as a customer, you know, at the end of the day, I, I think most C-suite executives do don't realize the extent to which security, continuity and disaster recovery have been separate silos. And what is shocking to our clients when they get into a ransomware event in particular is the fact that they have their, um, systems, their services, their data is locked up, their backups have been sort of implemented or have, have been, you know, sort of subverted. They call in the pros, they call in the folks that help them with the incident response. The incident responders are able to identify the ransomware strain. They're able to contain the ransomware strain, but the damage is done. >>Now, what, how do you bring the environment back? How do you that the data is good? How do you, how do you find the system configurations and load them again? In what order do you load them? What they don't realize is that security and recovery, they have to be merged together. And so what I think that we can do it, it's not just, you know, build customer demand is not just sell a solution. We can really help clients. And so my hope is that we are able to bring cyber resilience into every organization, every large enterprise out there that needs to, you know, continually service their clients and their employees. They need to stay in business that we're able to bring the solution to them in such a way that they're able to, you know, bring back their environments to serve their clients when the worst does happen. >>Great. Yes. Thank you. We're definitely seeing that data protection world and the cybersecurity world. They, they adjacencies, but they really are coming together and part of a comprehensive plan. Okay. We have to leave it there. Thanks so much folks for coming on the cube really appreciate your time and your insights. >>Thanks for having us. And >>Thank you. Thank you for watching the Cube's coverage of Dell technologies world 2022. Keep it right there. We're running all week with live coverage from the show floor. We're pumping in deep dives like this one throughout the week. So don't go away.

>>The cube presents, Dell technologies world brought to you by Dell. >>Hey everyone. Welcome back to the cubes coverage of day. One of Dell technologies world 2022. Live from the Venetian in Las Vegas. They're excited. I dunno if you heard that a group behind me, very excited to be here. Lisa Martin, Dave ante. We're very pleased to welcome Jules Johns SVP of channel from McQuin. Jill, welcome to the program. >>Thank you for having me. I appreciate it. >>And those people back there are very excited. If you heard that big applause >>That >>Went live <laugh> so the, the vibe here is fantastic for the first live Dell technologies world since 2019. A lot of people here, this expo hall is packed a lot of, of momentum here, but there's also a lot of momentum critics. Talk to us about what's going on. >>Well, and you know, so, so many exciting things for Equinex and, you know, in this partnership of Dell, it gives us a chance to, to share that, uh, with partners here throughout the conference. So we are very excited, as you said about, and we just, we named to the fortune 500 this year, 77 quarters of growth consecutively, but underpinning that is having made huge investments in what is the world's largest footprint of global data centers, 240 of them on six continent in 66 markets, but then interconnecting them. So they have the connections that Dell customers need to the clouds. They have the connections that they need to all of the future SaaS providers, so that foresight to put together that interconnection network across our footprint has set us on the path we're on today, which we're very grateful, um, to be at in. And, and really this, the things that are happening with Equinex and Dell together can, couldn't be more of the moment. >>Talk to me about that. The, the last two years, the moments of the last two years have been very challenging. They have for everyone. How has the partnership evolved in that time? >>Well, you know, we at together, Dell and Equinix, what we're doing is really helping, helping our shared interface, customers navigate the complexities of their digital transformation and, and digital transformation is hard and it's not a one and done, and it's not an overnight solution. And so what we are doing is partnering with Dell to think about putting a dedicated Dell it stack in an Equinex data center to give customers that sovereign adjacency so that they can have that security proximate to our, all the clouds and, and, and all, everything else. They need to participate in the ecosystem. And then pairing that with, you know, these interconnected enterprises. So Dell and we are helping customers then be able to have some of their solution on Preem some of their solution in the cloud access, public clouds, and use that collectively to diff fine. We're calling the intelligent edge together. And that intelligent edge means so many different things to customers, but it is really our honor to work together with Dell to help each customer define that for themselves. >>E's amazing company, like you said, it's, it's, you know, I didn't realize it was that many consecutive quarters, but it's a 60 billion plus market cap. If you look at the stock chart, blow your mind, really incredibly successful. And part of the reason it's funny, you know, 10, 15 years ago, people thought, well, oh, 10 years ago, anyway, the cloud is gonna hurt companies like equity. It was exact opposite it. And, and that's because, you know, Charles Phillips used to joke friends. Don't let friends build data centers. Yes. Right. And, and it's not a good use of capital for most companies, unless you're in the data center business. Now, of course you have some of your own as a service offerings. We do. What's the overlap with, with Dell? How do they compliment each other? It, >>It's a good question because, you know, and we get that, are you and Dell in fact competitors, and no, we see them as who complimentary. And in fact, we're working with Dell to bring to market things like something we call power edge, which involves their servers and power store, which involves their storage. And, and then V RIL, which is really the hyperconverged infrastructure. And those are just few first of a series of offerings we expect to bring to market with Dell. And if you think about metal and, and it's Equinex metal that people sometimes think is a competitor, but what metal does for customers is it really allows them to advance, have the equipment placed in our data centers so that they can access that capacity. And according to spikes or needs that they have that equipment in our data centers, that's there for them to avail themselves of that capacity is most often Dell equipment. So we are really doing and executing that bare metal is a service together. >>What are some of the, the things that you're hearing from, from your partner community, in terms of the partnership with Dell, what are partners supposed be excited, the momentum there what's going on in the partner community? >>So, you know, that is that's, that's what near and dear to my heart, since that's what I'm responsible for. Equinex is global partnerships, and they are very excited about what we're doing with Dell. And to be honest with you, all of our top partners are also top partners of Dell. So it makes that we bring it together. So, you know, big categories of partners like the world's largest global network service providers, some of whom are here and who will meet with the at T orange business services. Those folks, in addition to the world's largest global systems integrators, Kendra, Deloitte, Accenture, we pro, uh, all DXC. All of these are partners that Dell and we will meet with together to further our, what we call power three, that together we're better because as much as Dell and Equinex are delivering the customers, most often don't have the experience. They need to execute it without a partner. So they are relying on those partners to take what we are doing and make it their own. And so, so if they're excited about it, it is a, it's a big opportunity for them from a, a revenue services, a and an opportunity for them to step into a next level, trusted advisor status. So partners are excited and, and we're gonna be spending a lot of time with them the next few days. Do you >>See Equinix? You know, these cuz these partnerships are not bespoke partnerships, it's an ecosystem that's organic and evolving and, and growing. Can it be, are you a dot connector in a way, can it be a flywheel effect in your ecosystem? >>Well, I mean our, so our E ecosystems that, um, that we provide wide range of those from high frequency trading to connected cars, um, to the internet things, many and content providers that we are, we do see it as our role to, you know, the 10,000 and growing customers that are in our 240 data centers and six continents that provide those ecosystems. It's, it is our mission to continue to grow that and enrich it because that does differentiate us greatly from another data center provider. And it's the combination of the ecosystem that you find and the people you can connect to at Equinex, and then also the leverage of our fabric in order to be able to access your future needs. >>And it's a lot of technology underneath these, you know, it's that first layer one, I guess, if you will, of the data center, right. And so a lot of your, your customers or your cus your partner's customers, they just don't want to be in that business. As we were saying before, I mean, it's just too expensive. The, the power requirements are going through the roof, so you gotta be really good at managing power. >>You do. In fact, you know, so first of all, you're right, it's extremely difficult for them to also be able to make that kind of commitment, to keep a data center. They would ran, they would manage themselves at the level that Equinex is able to invest. So it's very difficult for people to do it themselves, but even show another, you mentioned actually about the power is near and dear to our hearts because is super committed to sustainability. And so we've made a commitment to holy renewable energy. And it's something that we talk a lot about how we also help partners like Dell meet their initiatives, so, or partners like at T meet their connected climate goals. So we, we are actually using that and coming together with Dell on that story, so that, and, and then helping to amplify that with our partners. And, >>And that's, that's how do you do that? That's putting data centers where you can cool with ambient air. Is it being near the Columbia river? How what's, what's your strategy in that regard, >>Uh, and sustainable. I have to be honest to you. I, uh, I would be out of my depth if I didn't say >>This is the high level. Yeah. >>So, um, we are deploying some of the latest technologies about that, and then experts people who, you know, who all they do is really help us to, um, to reduce the carbon footprint and be able to offset that, be able to use solar, be able to use wind, be able to take advantage of that. And then also to, um, to navigate what's available when you're in 240 locations on six cotton, it's not the same options to reduce your power consumption. And your burden are different in Africa, as you just discovered with our main one acquisition than they are in India, or then they are in, in other parts of the world. So it is for us a journey, and we've been assembling a lot of the talent to do that, but >>You're so large now, even a small percentage improvement can really move the needle. >>And I think because we are the largest, it is incumbent upon us to really set the standard and be committed to it. And, um, and we do see other people following, which is, is a good thing for all of us. Well, >>How important is that in your partnership conversations that partners have that same focus and commitment on ESG that Equinix has >>Partners care a lot about it, but, uh, customers ask us both all the time. I mean, we increasingly see a portion of an RFP or a scope of work asking before I decide to go with Equinex and Dell, tell me how you're going to impact the environment. Tell me about your commitment. And so, um, so we are committed to it, but customers are demanding it to >>Where >>Do you go ahead please? >>Oh, I was just gonna say, it's, it's coming from the, from the voice of a customer, which Equinox is listening to, we know Dell is listening to it as well. >>I'm so >>Sorry. One more time that, that the, the sustainability of the ESG demand is coming from the customers. You were saying, it, >>It both like, I mean, we wanna do the right thing and we've made commitments to it, but our customers are holding us accountable to it. And, you know, sustainability is now a board level priority. It is for us. And it is for companies like Dell and it is for partners and customers. >>It really is. It's it's, I mean, it's up there with security in terms of the board level conversation, where do you want to see the partner ecosystem in the, the, the next let's call it three to five years in your business? You can look out that far. >>Well, you know, I, I think that, um, they, our partners, um, and I, that, I mean, Dells and our mutual partners, you know, are, we've been listening to customers with Dell to deliver a flexible set of options for how customers would consume Equinex and Dell. So our partners are gonna be integrating a variety of those in order to meet the customer where they are in that journey, whether they wanna buy apex as a service, whether they wanna buy Equinex metal, whether they wanna have car some, uh, a partner put together, bespoke, do it yourself, combination with other services. Uh, I, I mean, the customers are going to demand a choice of options. I think partners are gonna embrace multiple versions of that so that they can, you know, to meet the customer where they are and take them >>Well, that's, that's incredibly important these days to meet customer where they are, the customers have a lot of choice. It is, but everything that we're all doing is for the customer, ultimately at the end of the day, <laugh> >>Yes, it, it, it, it is. And, and, you know, the customers are getting Savier, but we are all still early in this journey, as far as the edge, you know, I mean, I think we are all still, um, we're all still grappling at the, at for right now. We like to say that as customers are looking to define that the, the footprint that we offer together with Dell gives them an, an awfully robust set of choices for now. And then we wanna continue to invest and expand to be wherever they need us. >>Well, that's the thing about your business? It's it's optionality. I mean, you can't, I mean, the cloud has a lot of stuff, but you can't get everything you want in the cloud. You can, and you can put anything in your data center. That's, that's, you know, it, >>You can, but you may not know what you need yet. And so that's one of the things we spend a lot of time having our solutions, architects and our sales people together, but they'll talk about future proofing, their strategy. So future proofing, that combination of OnPrem and in an Equinex data center, and maybe some public and future proofing leveraging our fabric so that they might elect different SaaS space services or cloud based services a year to five years from now than the year, even thinking about today. And, and they may expand their edge over time, because they may, they may sort of see that as a, at the customer end point today, most businesses are still sort of using a footprint like ours as their edge, but that could change. And so we wanna be there when it does. >>Yeah. That's a great point because you don't wanna necessarily have to rip it out every cup of years. If you, if you, if you can have a, an architecture that can grow. Yeah, sure. You might want to upgrade it >>Well, and it's one, that's one of the most appealing things about services like metal, where they also, uh, they do sort of prevent that sort of rip and replace, but they also help people navigate the supply chain shortages that are going on right now. So this that's been, this has been a trying two years for supply chain shortages, and being able to take advantage of Dell equipment already staged at an Equinex data center and partners can then bring their customers a quicker immediate response. Have >>You also seen this? You mentioned the supply chain shortages, some of the many challenges that we've experienced in a last few years, how much of a factor has the great resignation been? The labor shortages, the cybersecurity skills gap on, on folks coming, Tolin saying help. We don't have the resources here to do this ourselves. >>We have been fortunate to, to not, to, to be, um, if you're asking about how the reservation has affected us as a company, no, >>Your customers >>Or customers that has oh, okay. Yes. So it is, it is a challenge for them, but it's an opportunity for our partners. So what I see there is it's been challenging for customers to hold onto that talent, but partners are filling that gap and we've access Aon fortunate to hold onto a lot of our best and brightest. And so we put them together with our partner and we try to help customers fill those gaps. >>Well, that's most important thing, filling those gaps. >>You, you ever been one in inside one of these ultra modern data centers? I have not, >>Not yet. >>It's pretty cool. Isn't it? I mean, >>Have you, have you ever had a tour of one? >>I I've never had a tour of an Equinix data center, but I've seen some modern data centers that will blow your mind. Well, >>I mean, they, they come with all the requisite, uh, bio and man traps and all of the bells and, and, and whistles that are actually the first slay of physical security. But then once you get into the data center, then we have sort, we get into the virtual and the digital security that you would expect. So it's, >>Yeah, it's good. And you know, it's not like you drive by the data center, it's a big sign. Here's the data center. It is kind of, you know, they're trying to stay a little hidden and then like, it's get in. It's like getting into fork knots. It's probably harder. And then, but then the it's, it's like this giant clean room, right? It's amazingly clean and just huge. >>There are all >>Your >>Mind. And inside this data centers, all the world's networks come together and peer, and then we have inside their, the, the most direct rom reps to the cloud. So you would expect there, there's a, there's a lot of wires and pipes running very neatly through a very secure, >>Clean systems and power system >>Environment. For sure. >>Amazing engineering. >>It is really >>A >>Tour. You should, you, if they do, you let people tour >>Your, I, I will bring both of you on a tour. Awesome. >>I, my guess >>Would love to. >>Yeah. Great. Sounds fantastic >>On that. So >>Last >>Couple, we'll bring a camera. <laugh> Oh, no, we're not allowed. Not today. >>No phones, no phones sequester. So what, what are some of the things that you're excited about seeing and hearing the next couple of days as this is the first time we've all gotten to be together in so long? >>So, um, well, you know, we are excited about the conversations that we're gonna have power of three that I was talking about. So, you know, we really pride ourselves on sort of having that combination add up to more, to benefit the customer. And so this will be sort of a coming out party of sorts for Equinex and Dell will meet with you almost 20 different global partners that are really important to both of us. So I am most excited about those conversations and about, uh, the education I'm gonna get on the ways they're thinking about integrating it differently, because that is good choice for the market. That is good choice for the customer set. So for the enterprises out there, so that I'm most excited about. Awesome. >>Sounds like tremendous opportunity, lots going on this week, but thank you for coming on, just talking An hour of Equinix and Dell better together, the way that your channel partner program is growing. And of course the momentum of the company will can't wait to see what happens next year. Thank >>You. Thank you. Well, we aim to deliver and thank you again for having us. Thanks, >>Jules. Our pleasure for Dave Volante. I'm Lisa Martin, and you're watching the cubes live coverage day one, Dell technologies world live from Las Vegas, stick around. We'll be right back with our next guest.

(upbeat music) >> Hey everyone, welcome back to theCUBE's continuous coverage of AWS reinvent 2021, I'm Lisa Martin. This is day four for theCUBE. We have two live sets, I'm here with Dave Nicholson, Dave two live sets, 100 guests on theCUBE for AWS Re:Invent 2021. >> Not all at the same time. >> Not all-- That's a good, he brings up a good point, not all at the same time, we are pleased to welcome Gretchen Peri who's going to be sitting down and chatting with Dave with me next. She is from Slalom, at the US State Local and Education, SLED leader. We're going to be talking about Slalom and AWS digital innovation in the public sector. Gretchen, it's a pleasure to have you on the program. >> Thank you for having me. >> For the audience that might not be familiar with Slalom before we dig into AWS and SLED in particular, talk to us about Slalom and what it is that you guys do. >> I'd love to. So Slalom's a modern business and technology consulting firm. We're headquartered in Seattle Washington, we have about 11,000 employees across 40 markets globally. And what's different about Slalom is we're local model firm, so our consultants live and work in the same locale, which means we're personally invested in our client's outcomes because they impact us directly in the communities in which we live. >> And you've been in a leader in SLED for a long time, talk to us about what's going on on SLED these days. Obviously the last 18, 22 months have been quite dynamic, but what's going on in the market? >> Absolutely. What we're seeing is an extra emphasis on data data data, obviously, data is king and data is queen right now, right? So when the pandemic hit, we saw a ton of digital innovation, as our SLED clients needed to get their services online. That had been going on for a long time but it absolutely accelerated when then pandemic it and then it was a public health hazard, to ask people to come into the location. So what we saw was for constituents, we saw just absolute blast of omni-channel service delivery, so we saw the advent of SMS and chat bots and the more tech services, right? Leveraging AWS Lex and Transcribe and other services of AWS really helped our SLED clients react to the pandemic and respond to make sure that their constituents were receiving the digital services they needed, and their employees were able to be productive at home. >> Well, that was one of the keys the employee productivity, the student productivity, when everything's went remote overnight, one of the most challenging things was the demand for collaboration tools. Then of course, there's security challenges, there was concerns there, but talk to us about, and we've seen so much innovation out of AWS in the last, I mean always, but even what they announced the last couple of days, the innovation flywheel of AWS is probably stronger than ever enabling organizations like SLED, FED, private sector, public sector to be data-driven. >> Absolutely. One thing that's really exciting right now is to see the evolution of how our SLED customers are thinking about data. So we've been working on like integrated visions in SLED for a long time, integrated justice, integrated health care, integrated eligibility, how do we bring all this information together so that we can supply the right information to the right people at the right time to deliver the right outcomes? And AWS has been a huge part of that. It's not the journey to get to the cloud, it's the destination once you get there, right? Because then you can leverage all their AIML tools, IOT, edge, container, blockchain. And so our customers, who have already made that switch to AWS, they're able to take advantage of that. It's not what you can do in the cloud anymore is what you can't do without it really, right? So we're seeing tons of advances, intelligent document processing is one area I'm really excited about for our SLED clients, and working very closely with AWS to make sure that we see our clients adopt that and achieve the value out of it. >> AWS is dominating the IT space, although what five to 15% of IT is in the cloud, which means the vast majority is still on premises. So there's a huge potential for growth. In this sort of wild, wild west that we're in, there are all sorts of different kinds of services and consultancy partners, that are seeking to bridge the gap between the technology that AWS delivers and the outcomes that customers desire. >> Right. >> Now I've had a couple of experiences actually with Slalom folks, that were very, very positive. And what I saw was that the Slalom people were embedded in a way that you don't see some other consultancies embedded. You mentioned that something that piqued my interest, you talked about the local nature, is that your superpower? Because it sure seemed to be powerful to see this person where some of these very, very large global companies had no idea who Slalom was, until they realized that Sally was the one who had the best relationship with the customer. So Sally's a fictitious name that I just came up with, but I want to hear a little more about Slalom and your superpower and your differentiation. 'Cause it's a crowded space, you've got global systems integrators, you got all kinds of people. What makes you special? >> It's really the breadth of professional services that we provide, combined with AWS's cloud technologies and services. What we do I think a little bit differently is whereas AWS works back from the customer, we work back from our customer's vision. And so what we do with our, especially with our SLED clients, but with all of our commercial clients, is we say, what is your business strategy and your business vision, and how do we design the technology solutions, working back from that. So you're able to answer the business questions through data-driven tech technology, that's really important to you. And when we look at that, it's not just generating data to create information to then garner insights, but let's go one step further. And how do we create knowledge and how do we create wisdom this space, right? Where we understand situational awareness, common operating pictures, that's really what we want to do. When we talk about criminal justice and public safety, I love how we're thinking about joining data in new and different ways. It's not necessarily applications anymore, right? How do we create data as a service? How do we create documents as a service? Where we're pulling out the exact information that we need from semi-structured, structured and unstructured data and providing it to the right people to make the right decisions. >> Talk to us about intelligent document processing, a lot of buzz going on with that. What is it? Where are public sector agencies in terms of embracing it, adopting it and having it be part of that vision? >> Yeah, the promise is huge for IDP. What IDP is basically is leveraging AWS AI services to create intelligent automation solutions that help extract information from printed documents, digital documents, paper documents, right? So leveraging AWS services like Amazon Textract, Comprehend, Augmented AI, things like, and Kendra. What that does in combination, is it helps our clients unlock the data from, you can imagine government, it's heavy, heavy documents, and in criminal justice and public safety in particular, these documents represent key milestones and processes, right? So we're never going to get rid of documents in SLED, they're going to be used in perpetuity, it's important for accessibility and practicality and everything else. But what this does is it lets us unlock the data from those kind of stale documents and create it into usable formats for so that people can make decisions. >> That's critical because there's, I mean, we talk about in Amazon, AWS been this week have been talking about it and Dave, we have too. Every company, public sector, private sector, it needs to be a data-driven company, but they need to be able to extract that value from the data and the data isn't just digital. And that's something that, to your point, that's going to be persistent within SLED, they have to be able to extract the value from it quickly. >> Yes. >> To be able to see what new products and services can we deliver? What directions should we be going? And what outcomes should we be driving based on that visibility? And that visibility is critical. >> Exactly. And right now we absolutely have to support our communities. And we have a lot of our slide clients who are talking about this is a time where we don't just respond in a way that helps people kind of navigate this pandemic, we have to build resiliency as well in our communities and we do that through helping people through these hard times and making sure that we're moving our services to places where people can access them, in any language from wherever they are, right? We're having to actually go into people's homes on their couches, to deliver government services. Where we used to bring them into a single location. >> Right. >> Typically public sector has often been seen as lagging behind the private sector in some ways, the pandemic, as I'm sure ignited a fire with, especially with federal acknowledgement of things that need to happen, budgets flowing, are you seeing even more of an awakening from a cloud perspective within public sector? >> We are, we are and we're seeing really interesting initiatives pop up like, behavioral health initiatives, that are meant to address some really serious concerns in our country like nationwide 988 suicide prevention projects, right? And the federal government is providing a lot of funding to states and local governments so that they can help take care of our communities and also make sure that we're moving our services online so everyone can access them. >> I'm curious about that point, the funding. >> Yeah. >> Do you find yourself almost in the position of prize patrol? Where were some of the state local governments aren't necessarily as aware as Slalom might be of programs that are coming down immediately. Is that part of the conversation? >> It is part of the conv-- That's a great point because what we do is we look at what's coming down from the federal government, how is it going to flow to the states? How is it going to land ultimately, and then helping governments come up with a strategy for how to spend that money in the right way is really important, right? And we saw with some of the funding that come out, that there were delays on getting like eviction prevention funding out to folks. And so making sure that we have the technology to support those outcomes. >> It's all about outcomes. >> Yes. >> Speaking of outcomes, something I want to congratulate Slalom on is winning the first ever National Essay Partner of the Year for the US. >> Yes. >> Nice. >> That's awesome, congratulations. >> What does that mean for Slalom and what direction can we expect the Slalom and AWS partnership to go? >> Up and up. >> To the right? >> Yes. For us it's about validating the relationship that we have, right? It's really, when we walk into a client conversation, what we want to do is develop trust that our clients know we're looking for their best interest and their best outcomes. We're not trying to sell them something we're trying to solve their problems together. And it validates that for us, our partnership with AWS obviously is so important. And what we're doing in terms of making sure that we have a strong bench full of certifications and we can go to market together in the right way for our clients. This is a huge award and the recognition is very powerful for us. >> Well, congratulations. And so last question, you mentioned AWS and we always talk about when we talk with them at their event, we talk about their customer obsession, right? They work backwards, as you said, from the customer. And you guys from customer vision. Talk to me about when you go in jointly together, work with the customer, what does that alignment look like? >> Absolutely. So what we typically do is, Slalom will focus on what is the business outcome that we want to generate? And we will help design, how are we going to go about solving that problem? And how is AWS going to help support us with enabling technology? And so we will go into client conversations together, say, what is the outcome we want from this initiative together? And how are both partners going to get aligned to support the client in that conversation, in that product. >> That alignment is (indistinct). Gretchen, thank you for joining Dave and me today, talking about Slalom, what you guys are doing, how you're really helping organizations in SLED transform and not just survive challenging time but really thrive and be data-driven. We appreciate your insights and congratulations again on the National Essay Partner of The Year. >> Thank you so much. >> All right. For Dave Nicholson, I'm Lisa Martin. You're watching theCUBE, the global leader in live tech coverage. (lively music)

>>from around the globe, >>It's the cube with digital coverage of IBM, think 2021 brought to you by IBM. Okay, welcome back everyone to the cubes coverage of IBM think 2021 john for your host of the QB here with a great guest Maria Winans, who's the CMO of the new spin out, the name Kendrell. Maria. Great to see you cube alumni. Thanks for coming on the Q appreciate it. >>Yes, no, thank you. Happy to be here. >>So I was really excited about this because the new name has been announced of the spin out, Kendra, what's the name? It's been some time, what's been the reception and well the strategy and the reception to get into the brain. But what's been the reception so far? The name Kendrell? >>Yeah, So let me, so let me start by saying that really again, excited to be here, this is think 2021 excited to kind of tell you a little bit about Kendra Kendra, we announced it on april 12, it was how a reveal of the name. Been long anticipated. So I think the, the response has been positive, it's been long anticipated and it was very well received by the market and buy our own kind of internal employees that are part of Kendrell. Um and the reason being that it's very different, it's very new and it also signals directly where this company is going and what this company is about because the underlining of the word Kindle is twofold one, it's kin which stands for kinship, so it's about partnerships, it's about the relationships, it's about the enduring and nurture relationships that we have worked with our customers as well as our employees and the way that we work and drill is from tendril tendrils, is about growth, it's about new growth, it's about continuous growth, so it's the growth that we want to set this company for but more importantly the growth around, you know, in conjunction with our customers. So kinship Kendrell, Kendrell and at the heart of our company it's all about the people and the relationships with our customers. >>That's awesome. Well thanks for giving some insight into the nature is going to ask that question, but you nailed it. So I like this because the theme here think this year and this is an industry theme, but it's really prominent how you guys are executing with the whole IBM red hat and the whole system coming together with hybrid cloud is the word ecosystems has come this new meaning and this vibe of working together in a network effect, creating integrations. So it's like up and down the stack, whether it's technical or personal relationships or business relationships, there's a communal effect here, whether it's a p is integrating together or relationships. So I love the name. What was the process? I'm always curious like how long does it take? Sure. It's like >>yeah, you know, it's a great question because it's not like it's not like we like naming anything right, It's not like naming your dog, like somebody says it's the corporate naming process is very rigorous. Um It has been a journey for us, like any other corporate business that's naming, you know, their strategy, their brand strategy. And um we worked with, as you can imagine with our legal teams, with our regulatory teams. We looked at uh linguistics, we work with linguistic experts from around the world over 70 because we're a global company. So it was very important for us not only to understand how Kendra would land in our global markets, but more importantly also is what it would stand for. And so we did a lot of interviews with our employees, we did interviews with, obviously with our customers and prospects. We looked at trends, we looked at our competitors, we did market research and you know, and within that we wanted to land on something that really was at the heart of what this company was about. Um, and after all of those uh, kind of legalities that we went to, it was, we were very, very fortunate that at the top of our list was actually one of our favorites from the beginning. Um and that was kinda cool because at the heart of Kendrell, it really is about our people. Um, and that's really what we wanted. This company is stand for, this is a business that in a company that his foothold is 90,000 experts in their field, they're going to be part of this amazing company. And what we wanted to do is speak to what was at the kind of at the core of the idea behind this brand, what did we want to stay again for and what we're going to be, and that it was that we were going to be a brand that stood at the heart of progress, um that's our brand idea for not only the businesses that we are part of or with, but at the heart of progress, and at the core was our people and the work that we do, the work that we do for our customers. So it's super exciting to be able to land on something that really can represent that, and also differentiates us from the rest of our competitors in the market. >>So I love the overview. Just real quick question on the language thing was that doesn't mean the same thing in different languages. >>Yeah. And that's something that now is what we're, what we're working on is how do we landed into all the different markets in the appropriate meeting again, That stands for relationships and growth, relationships and growth, and that's the work that we have to do across all of our major markets where we do business. And that's the exciting part to kind of work with our local teams because this company at the end it's foot hole, is what the work that we do in the markets that we compete with our people and with our customers, >>got to ask, you know what, remember I look at some of the branding exercises I've been involved in and talk to experts because I'm not a brand expert, but I see a lot of like there's a lot of work that goes into it. You mentioned a little bit of insight into how that is there. Is there like an architecture for the brand strategy? Because you have a high level I love you bring it into the purpose of the brand. What's the brand strategy for Kendrell? You mentioned some of the core principles. First principles. Is there like an architecture where here's the purpose, here's our mission and here's like the founding principles, take us through the brand strategy >>at the at the heart. There is a brand idea, right? It's a little bit of what I talked about. The brand idea is that we are at the heart of progress, the people and the work that we do. And so one of the things that we wanted to do is really look at the art and the science bring humanity into the way that we were going to activate this brand And that really is where our brand idea came about. Which is at the heart of progress, at the heart of progress, because our purpose as a brand is that together and that is at all levels together. Each of us, you know, advances the vital systems that power human progress together. Each of us advance the vital systems of power human progress, that is our purpose as a company. And the idea of the brand idea is that that, you know, at a nutshell, were at the heart of progress for our customers for each other. And underlining that is about the beliefs we want to really look at, how do we instill this healthy digital economy, um to ensure that we accelerate humanity's progress. And so that's, you know, the whole idea of healthy relationships, purposeful relationships that are about long term and sustainability with our customers, the openness that we want to encourage in the diverse perspectives across our company to promote stronger partnerships with our customers and with our strategic partners. And then more importantly, it really had to represent the belief that the right people, the right teams with the right mindset can do anything, you know, that they want, anything can be accomplished again at the horror were heart where the people. But what was also important in this is that we worked on our brand strategy and our purpose, our brand ideas and what we're going to be our believes around enduring relationships, open partnerships, right skills, right people. But at the same time there was a culture of platform. We wanted to be everything that we have been at. IBM brought the greatness of being part of the IBM company, but more importantly, what our customers look to us for. But then more importantly, what is it that we want to lean into as we move forward and what was very important was how do we activate our experts and really bring the continuum that what our customers expect from us, the expertise and that that we're about with our people and lean into this. We want to have and activate a culture. Where are people continue to be these devoted experts that are all about how they're focused and committed to shared success with? Our customers were empathetic, were and curious about really understanding where our customers are today and where they want to go tomorrow. We're restless and that's another word that we want to really activate in our culture, which were restless. That means we are continuously improving ourselves our skills and focused on the opportunity and every opportunity with bringing energy and bringing excitement to the work that we do. And then we're anticipating we're anticipating the what next? Bringing insights and looking at making these kind of connections outside of where our customers maybe today opportunities for tomorrow. And that really is at the heart of our cultural platform that we developed in conjunction with our brand strategy in support of continuing to do business with our customers in the way that we have and what they expect from us. Um coming from IBM. But the platform that we're sitting forward, >>that's a great uh masterclass gem you dropped there in terms of brand architecture, envision great culture. I love the progress because it feels like that's what people want. They want to move faster and they want a positive future. And I think this idea of, you know, open innovation, progress, inclusive nests inclusion, diversity community. It's the new way of working what what do you look for in the future as this all comes together? What's most exciting to you about? >>What's exciting is that this company is about the service and our people. So as part of any new independent company at the heart of what we do is and I really are off line are the people. And and that's why it's super important that here we are, a company that is at the heart of progress because of the people and the work that we do. We design. We run, we manage the most modern, efficient and reliable technology that our customers expect from us. And they run crucial, crucial parts of their organizations, their business. You know, where the heart and lungs were essential to these customers. And that's the opportunity ahead is how do we continue to build those enduring relationships And and more importantly, what excites me as CMO or this brand is at the heart of what I get to do is really our brand is our people. And how do we best show up every single day? And how do we build a culture? Because building a culture is how you show up for each other, how you show up for your customers. And how do you continuously improve and and lean on each other in the way that we kind of have set ourselves forward. So that to me is exciting to really work at the heart of progress because of the people and then the work that we do for our customers. >>That's super exciting. I love that cultural vibe because what that is is that's the future and now as people are connected, whether they go back to hybrid office or remote, the working together progress creates bonds of creation, this co creation. Something that we love here at the Q. We love working with you guys co creating content together. These experiences of the creation together the solutions for the future really makes a big difference. This is this is game changing it as a psychology and also people want to be part of that and that creates these expert network. It creates the people value the inclusiveness. If you can thread that needle, it's a magical formulas. Don't you agree? >>No, totally agree and it creates belief. Um and as much as I would like to say, we're super excited about the name, were super super excited about the way we're showing up. I don't know if you've seen even the brand creative, you're very different colours, very different twist on the way that our our brands written in a very warm red. That's what's exciting about it is, you know, is the best of companies are not just the brand in the logo is really the brand experience. Um, and that is the way that we need to show up with our best of service with the customer interactions that are best in class and culture platform that really, you know, provides that experience and shows up as a company that Kendrell has the opportunity to be in, growed to be >>Maria wine and CMO Kendrell, great to talk to you. What a great career you've having would have run. You had a great wave here with a great brand, great brand promise, love the progress, love the culture, love the name. Congratulations. Thanks for coming on the cube. >>No, thank you and thank you for having me here, appreciate it. >>Okay, this is IBM think 2021 Cube coverage. I'm John Kerry, your host. Thanks for watching.

>>From around the globe. It's the cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS, and our community partners. >>Hi everyone. Welcome back to the cubes. Virtual coverage of AWS reinvent 2020 virtual. We are the cube virtual I'm John ferry, your host with my coach, Dave Alante for keynote analysis from Swami's machine learning, all things, data huge. Instead of announcements, the first ever machine learning keynote at a re-invent Dave. Great to see you. Thanks Johnny. And from Boston, I'm here in Palo Alto. We're doing the cube remote cube virtual. Great to see you. >>Yeah, good to be here, John, as always. Wall-to-wall love it. So, so, John, um, how about I give you my, my key highlights from the, uh, from the keynote today, I had, I had four kind of curated takeaways. So the first is that AWS is, is really trying to simplify machine learning and use machine intelligence into all applications. And if you think about it, it's good news for organizations because they're not the become machine learning experts have invent machine learning. They can buy it from Amazon. I think the second is they're trying to simplify the data pipeline. The data pipeline today is characterized by a series of hyper specialized individuals. It engineers, data scientists, quality engineers, analysts, developers. These are folks that are largely live in their own swim lane. Uh, and while they collaborate, uh, there's still a fairly linear and complicated data pipeline, uh, that, that a business person or a data product builder has to go through Amazon making some moves to the front of simplify that they're expanding data access to the line of business. I think that's a key point. Is there, there increasingly as people build data products and data services that can monetize, you know, for their business, either cut costs or generate revenue, they can expand that into line of business where there's there's domain context. And I think the last thing is this theme that we talked about the other day, John of extending Amazon, AWS to the edge that we saw that as well in a number of machine learning tools that, uh, Swami talked about. >>Yeah, it was great by the way, we're live here, uh, in Palo Alto in Boston covering the analysis, tons of content on the cube, check out the cube.net and also check out at reinvent. There's a cube section as there's some links to so on demand videos with all the content we've had. Dave, I got to say one of the things that's apparent to me, and this came out of my one-on-one with Andy Jassy and Andy Jassy talked about in his keynote is he kind of teased out this idea of training versus a more value add machine learning. And you saw that today in today's announcement. To me, the big revelation was that the training aspect of machine learning, um, is what can be automated away. And it's under a lot of controversy around it. Recently, a Google paper came out and the person was essentially kind of, kind of let go for this. >>But the idea of doing these training algorithms, some are saying is causes more harm to the environment than it does good because of all the compute power it takes. So you start to see the positioning of training, which can be automated away and served up with, you know, high powered ships and that's, they consider that undifferentiated heavy lifting. In my opinion, they didn't say that, but that's clearly what I see coming out of this announcement. The other thing that I saw Dave that's notable is you saw them clearly taking a three lane approach to this machine, learning the advanced builders, the advanced coders and the developers, and then database and data analysts, three swim lanes of personas of target audience. Clearly that is in line with SageMaker and the embedded stuff. So two big revelations, more horsepower required to process training and modeling. Okay. And to the expansion of the personas that are going to be using machine learning. So clearly this is a, to me, a big trend wave that we're seeing that validates some of the startups and I'll see their SageMaker and some of their products. >>Well, as I was saying at the top, I think Amazon's really trying, working hard on simplifying the whole process. And you mentioned training and, and a lot of times people are starting from scratch when they have to train models and retrain models. And so what they're doing is they're trying to create reusable components, uh, and allow people to, as you pointed out to automate and streamline some of that heavy lifting, uh, and as well, they talked a lot about, uh, doing, doing AI inferencing at the edge. And you're seeing, you know, they, they, uh, Swami talked about several foundational premises and the first being a foundation of frameworks. And you think about that at the, at the lowest level of their S their ML stack. They've got, you know, GPU's different processors, inferential, all these alternative processes, processors, not just the, the Xav six. And so these are very expensive resources and Swami talked a lot about, uh, and his colleagues talked a lot about, well, a lot of times the alternative processor is sitting there, you know, waiting, waiting, waiting. And so they're really trying to drive efficiency and speed. They talked a lot about compressing the time that it takes to, to run these, these models, uh, from, from sometimes weeks down to days, sometimes days down to hours and minutes. >>Yeah. Let's, let's unpack these four areas. Let's stay on the firm foundation because that's their core competency infrastructure as a service. Clearly they're laying that down. You put the processors, but what's interesting is the TensorFlow 92% of tensor flows on Amazon. The other thing is that pie torch surprisingly is back up there, um, with massive adoption and the numbers on pie torch literally is on fire. I was coming in and joke on Twitter. Um, we, a PI torch is telling because that means that TensorFlow is originally part of Google is getting, is getting a little bit diluted with other frameworks, and then you've got MX net, some other things out there. So the fact that you've got PI torch 91% and then TensorFlow 92% on 80 bucks is a huge validation. That means that the majority of most machine learning development and deep learning is happening on AWS. Um, >>Yeah, cloud-based, by the way, just to clarify, that's the 90% of cloud-based cloud, uh, TensorFlow runs on and 91% of cloud-based PI torch runs on ADM is amazingly massive numbers. >>Yeah. And I think that the, the processor has to show that it's not trivial to do the machine learning, but, you know, that's where the infrared internship came in. That's kind of where they want to go lay down that foundation. And they had Tanium, they had trainee, um, they had, um, infrared chow was the chip. And then, you know, just true, you know, distributed training training on SageMaker. So you got the chip and then you've got Sage makers, the middleware games, almost like a machine learning stack. That's what they're putting out there >>And how bad a Gowdy, which was, which is, which is a patrol also for training, which is an Intel based chip. Uh, so that was kind of interesting. So a lot of new chips and, and specialized just, we've been talking about this for awhile, particularly as you get to the edge and do AI inferencing, you need, uh, you know, a different approach than we're used to with the general purpose microbes. >>So what gets your take on tenant? Number two? So tenant number one, clearly infrastructure, a lot of announcements we'll go through those, review them at the end, but tenant number two, that Swami put out there was creating the shortest path to success for builders or machine learning builders. And I think here you lays out the complexity, Dave butts, mostly around methodology, and, you know, the value activities required to execute. And again, this points to the complexity problem that they have. What's your take on this? >>Yeah. Well you think about, again, I'm talking about the pipeline, you collect data, you just data, you prepare that data, you analyze that data. You, you, you make sure that it's it's high quality and then you start the training and then you're iterating. And so they really trying to automate as much as possible and simplify as much as possible. What I really liked about that segment of foundation, number two, if you will, is the example, the customer example of the speaker from the NFL, you know, talked about, uh, you know, the AWS stats that we see in the commercials, uh, next gen stats. Uh, and, and she talked about the ways in which they've, well, we all know they've, they've rearchitected helmets. Uh, they've been, it's really a very much database. It was interesting to see they had the spectrum of the helmets that were, you know, the safest, most safe to the least safe and how they've migrated everybody in the NFL to those that they, she started a 24%. >>It was interesting how she wanted a 24% reduction in reported concussions. You know, you got to give the benefit of the doubt and assume some of that's through, through the data. But you know, some of that could be like, you know, Julian Edelman popping up off the ground. When, you know, we had a concussion, he doesn't want to come out of the game with the new protocol, but no doubt, they're collecting more data on this stuff, and it's not just head injuries. And she talked about ankle injuries, knee injuries. So all this comes from training models and reducing the time it takes to actually go from raw data to insights. >>Yeah. I mean, I think the NFL is a great example. You and I both know how hard it is to get the NFL to come on and do an interview. They're very coy. They don't really put their name on anything much because of the value of the NFL, this a meaningful partnership. You had the, the person onstage virtually really going into some real detail around the depth of the partnership. So to me, it's real, first of all, I love stat cast 11, anything to do with what they do with the stats is phenomenal at this point. So the real world example, Dave, that you starting to see sports as one metaphor, healthcare, and others are going to see those coming in to me, totally a tale sign that Amazon's continued to lead. The thing that got my attention was is that it is an IOT problem, and there's no reason why they shouldn't get to it. I mean, some say that, Oh, concussion, NFL is just covering their butt. They don't have to, this is actually really working. So you got the tech, why not use it? And they are. So that, to me, that's impressive. And I think that's, again, a digital transformation sign that, that, you know, in the NFL is doing it. It's real. Um, because it's just easier. >>I think, look, I think, I think it's easy to criticize the NFL, but the re the reality is, is there anything old days? It was like, Hey, you get your bell rung and get back out there. That's just the way it was a football players, you know, but Ted Johnson was one of the first and, you know, bill Bellacheck was, was, you know, the guy who sent him back out there with a concussion, but, but he was very much outspoken. You've got to give the NFL credit. Uh, it didn't just ignore the problem. Yeah. Maybe it, it took a little while, but you know, these things take some time because, you know, it's generally was generally accepted, you know, back in the day that, okay, Hey, you'd get right back out there, but, but the NFL has made big investments there. And you can say, you got to give him, give him props for that. And especially given that they're collecting all this data. That to me is the most interesting angle here is letting the data inform the actions. >>And next step, after the NFL, they had this data prep data Wrangler news, that they're now integrating snowflakes, Databricks, Mongo DB, into SageMaker, which is a theme there of Redshift S3 and Lake formation into not the other way around. So again, you've been following this pretty closely, uh, specifically the snowflake recent IPO and their success. Um, this is an ecosystem play for Amazon. What does it mean? >>Well, a couple of things, as we, as you well know, John, when you first called me up, I was in Dallas and I flew into New York and an ice storm to get to the one of the early Duke worlds. You know, and back then it was all batch. The big data was this big batch job. And today you want to combine that batch. There's still a lot of need for batch, but when people want real time inferencing and AWS is bringing that together and they're bringing in multiple data sources, you mentioned Databricks and snowflake Mongo. These are three platforms that are doing very well in the market and holding a lot of data in AWS and saying, okay, Hey, we want to be the brain in the middle. You can import data from any of those sources. And I'm sure they're going to add more over time. Uh, and so they talked about 300 pre-configured data transformations, uh, that now come with stage maker of SageMaker studio with essentially, I've talked about this a lot. It's essentially abstracting away the, it complexity, the whole it operations piece. I mean, it's the same old theme that AWS is just pointing. It's its platform and its cloud at non undifferentiated, heavy lifting. And it's moving it up the stack now into the data life cycle and data pipeline, which is one of the biggest blockers to monetizing data. >>Expand on that more. What does that actually mean? I'm an it person translate that into it. Speak. Yeah. >>So today, if you're, if you're a business person and you want, you want the answers, right, and you want say to adjust a new data source, so let's say you want to build a new, new product. Um, let me give an example. Let's say you're like a Spotify, make it up. And, and you do music today, but let's say you want to add, you know, movies, or you want to add podcasts and you want to start monetizing that you want to, you want to identify, who's watching what you want to create new metadata. Well, you need new data sources. So what you do as a business person that wants to create that new data product, let's say for podcasts, you have to knock on the door, get to the front of the data pipeline line and say, okay, Hey, can you please add this data source? >>And then everybody else down the line has to get in line and Hey, this becomes a new data source. And it's this linear process where very specialized individuals have to do their part. And then at the other end, you know, it comes to self-serve capability that somebody can use to either build dashboards or build a data product. In a lot of that middle part is our operational details around deploying infrastructure, deploying, you know, training machine learning models that a lot of Python coding. Yeah. There's SQL queries that have to be done. So a lot of very highly specialized activities, what Amazon is doing, my takeaway is they're really streamlining a lot of those activities, removing what they always call the non undifferentiated, heavy lifting abstracting away that it complexity to me, this is a real positive sign, because it's all about the technology serving the business, as opposed to historically, it's the business begging the technology department to please help me. The technology department obviously evolving from, you know, the, the glass house, if you will, to this new data, data pipeline data, life cycle. >>Yeah. I mean, it's classic agility to take down those. I mean, it's undifferentiated, I guess, but if it actually works, just create a differentiated product. So, but it's just log it's that it's, you can debate that kind of aspect of it, but I hear what you're saying, just get rid of it and make it simpler. Um, the impact of machine learning is Dave is one came out clear on this, uh, SageMaker clarify announcement, which is a bias decision algorithm. They had an expert, uh, nationally CFUs presented essentially how they're dealing with the, the, the bias piece of it. I thought that was very interesting. What'd you think? >>Well, so humans are biased and so humans build models or models are inherently biased. And so I thought it was, you know, this is a huge problem to big problems in artificial intelligence. One is the inherent bias in the models. And the second is the lack of transparency that, you know, they call it the black box problem, like, okay, I know there was an answer there, but how did it get to that answer and how do I trace it back? Uh, and so Amazon is really trying to attack those, uh, with, with, with clarify. I wasn't sure if it was clarity or clarified, I think it's clarity clarify, um, a lot of entirely certain how it works. So we really have to dig more into that, but it's essentially identifying situations where there is bias flagging those, and then, you know, I believe making recommendations as to how it can be stamped. >>Nope. Yeah. And also some other news deep profiling for debugger. So you could make a debugger, which is a deep profile on neural network training, um, which is very cool again on that same theme of profiling. The other thing that I found >>That remind me, John, if I may interrupt there reminded me of like grammar corrections and, you know, when you're typing, it's like, you know, bug code corrections and automated debugging, try this. >>It wasn't like a better debugger come on. We, first of all, it should be bug free code, but, um, you know, there's always biases of the data is critical. Um, the other news I thought was interesting and then Amazon's claiming this is the first SageMaker pipelines for purpose-built CIC D uh, for machine learning, bringing machine learning into a developer construct. And I think this started bringing in this idea of the edge manager where you have, you know, and they call it the about machine, uh, uh, SageMaker store storing your functions of this idea of managing and monitoring machine learning modules effectively is on the edge. And, and through the development process is interesting and really targeting that developer, Dave, >>Yeah, applying CIC D to the machine learning and machine intelligence has always been very challenging because again, there's so many piece parts. And so, you know, I said it the other day, it's like a lot of the innovations that Amazon comes out with are things that have problems that have come up given the pace of innovation that they're putting forth. And, and it's like the customers drinking from a fire hose. We've talked about this at previous reinvents and the, and the customers keep up with the pace of Amazon. So I see this as Amazon trying to reduce friction, you know, across its entire stack. Most, for example, >>Let me lay it out. A slide ahead, build machine learning, gurus developers, and then database and data analysts, clearly database developers and data analysts are on their radar. This is not the first time we've heard that. But we, as the kind of it is the first time we're starting to see products materialized where you have machine learning for databases, data warehouse, and data lakes, and then BI tools. So again, three different segments, the databases, the data warehouse and data lakes, and then the BI tools, three areas of machine learning, innovation, where you're seeing some product news, your, your take on this natural evolution. >>Well, well, it's what I'm saying up front is that the good news for, for, for our customers is you don't have to be a Google or Amazon or Facebook to be a super expert at AI. Uh, companies like Amazon are going to be providing products that you can then apply to your business. And, and it's allowed you to infuse AI across your entire application portfolio. Amazon Redshift ML was another, um, example of them, abstracting complexity. They're taking, they're taking S3 Redshift and SageMaker complexity and abstracting that and presenting it to the data analysts. So that, that, that individual can worry about, you know, again, getting to the insights, it's injecting ML into the database much in the same way, frankly, the big query has done that. And so that's a huge, huge positive. When you talk to customers, they, they love the fact that when, when ML can be embedded into the, into the database and it simplifies, uh, that, that all that, uh, uh, uh, complexity, they absolutely love it because they can focus on more important things. >>Clearly I'm this tenant, and this is part of the keynote. They were laying out all their announcements, quick excitement and ML insights out of the box, quick, quick site cue available in preview all the announcements. And then they moved on to the next, the fourth tenant day solving real problems end to end, kind of reminds me of the theme we heard at Dell technology worlds last year end to end it. So we are starting to see the, the, the land grab my opinion, Amazon really going after, beyond I, as in pass, they talked about contact content, contact centers, Kendra, uh, lookout for metrics, and that'll maintain men. Then Matt would came on, talk about all the massive disruption on the, in the industries. And he said, literally machine learning will disrupt every industry. They spent a lot of time on that and they went into the computer vision at the edge, which I'm a big fan of. I just loved that product. Clearly, every innovation, I mean, every vertical Dave is up for grabs. That's the key. Dr. Matt would message. >>Yeah. I mean, I totally agree. I mean, I see that machine intelligence as a top layer of, you know, the S the stack. And as I said, it's going to be infused into all areas. It's not some kind of separate thing, you know, like, Coobernetti's, we think it's some separate thing. It's not, it's going to be embedded everywhere. And I really like Amazon's edge strategy. It's this, you, you are the first to sort of write about it and your keynote preview, Andy Jassy said, we see, we see, we want to bring AWS to the edge. And we see data center as just another edge node. And so what they're doing is they're bringing SDKs. They've got a package of sensors. They're bringing appliances. I've said many, many times the developers are going to be, you know, the linchpin to the edge. And so Amazon is bringing its entire, you know, data plane is control plane, it's API APIs to the edge and giving builders or slash developers, the ability to innovate. And I really liked the strategy versus, Hey, here's a box it's, it's got an x86 processor inside on a, throw it over the edge, give it a cool name that has edge in it. And here you go, >>That sounds call it hyper edge. You know, I mean, the thing that's true is the data aspect at the edge. I mean, everything's got a database data warehouse and data lakes are involved in everything. And then, and some sort of BI or tools to get the data and work with the data or the data analyst, data feeds, machine learning, critical piece to all this, Dave, I mean, this is like databases used to be boring, like boring field. Like, you know, if you were a database, I have a degree in a database design, one of my degrees who do science degrees back then no one really cared. If you were a database person. Now it's like, man data, everything. This is a whole new field. This is an opportunity. But also, I mean, are there enough people out there to do all this? >>Well, it's a great point. And I think this is why Amazon is trying to extract some of the abstract. Some of the complexity I sat in on a private session around databases today and listened to a number of customers. And I will say this, you know, some of it I think was NDA. So I can't, I can't say too much, but I will say this Amazon's philosophy of the database. And you address this in your conversation with Andy Jassy across its entire portfolio is to have really, really fine grain access to the deep level API APIs across all their services. And he said, he said this to you. We don't necessarily want to be the abstraction layer per se, because when the market changes, that's harder for us to change. We want to have that fine-grained access. And so you're seeing that with database, whether it's, you know, no sequel, sequel, you know, the, the Aurora the different flavors of Aurora dynamo, DV, uh, red shift, uh, you know, already S on and on and on. There's just a number of data stores. And you're seeing, for instance, Oracle take a completely different approach. Yes, they have my SQL cause they know got that with the sun acquisition. But, but this is they're really about put, is putting as much capability into a single database as possible. Oh, you only need one database only different philosophy. >>Yeah. And then obviously a health Lake. And then that was pretty much the end of the, the announcements big impact to health care. Again, the theme of horizontal data, vertical specialization with data science and software playing out in real time. >>Yeah. Well, so I have asked this question many times in the cube, when is it that machines will be able to make better diagnoses than doctors and you know, that day is coming. If it's not here, uh, you know, I think helped like is really interesting. I've got an interview later on with one of the practitioners in that space. And so, you know, healthcare is something that is an industry that's ripe for disruption. It really hasn't been disruption disrupted. It's a very high, high risk obviously industry. Uh, but look at healthcare as we all know, it's too expensive. It's too slow. It's too cumbersome. It's too long sometimes to get to a diagnosis or be seen, Amazon's trying to attack with its partners, all of those problems. >>Well, Dave, let's, let's summarize our take on Amazon keynote with machine learning, I'll say pretty historic in the sense that there was so much content in first keynote last year with Andy Jassy, he spent like 75 minutes. He told me on machine learning, they had to kind of create their own category Swami, who we interviewed many times on the cube was awesome. But a lot of still a lot more stuff, more, 215 announcements this year, machine learning more capabilities than ever before. Um, moving faster, solving real problems, targeting the builders, um, fraud platform set of things is the Amazon cadence. What's your analysis of the keynote? >>Well, so I think a couple of things, one is, you know, we've said for a while now that the new innovation cocktail is cloud plus data, plus AI, it's really data machine intelligence or AI applied to that data. And the scale at cloud Amazon Naylor obviously has nailed the cloud infrastructure. It's got the data. That's why database is so important and it's gotta be a leader in machine intelligence. And you're seeing this in the, in the spending data, you know, with our partner ETR, you see that, uh, that AI and ML in terms of spending momentum is, is at the highest or, or at the highest, along with automation, uh, and containers. And so in. Why is that? It's because everybody is trying to infuse AI into their application portfolios. They're trying to automate as much as possible. They're trying to get insights that, that the systems can take action on. >>And, and, and actually it's really augmented intelligence in a big way, but, but really driving insights, speeding that time to insight and Amazon, they have to be a leader there that it's Amazon it's, it's, it's Google, it's the Facebook's, it's obviously Microsoft, you know, IBM's Tron trying to get in there. They were kind of first with, with Watson, but with they're far behind, I think, uh, the, the hyper hyper scale guys. Uh, but, but I guess like the key point is you're going to be buying this. Most companies are going to be buying this, not building it. And that's good news for organizations. >>Yeah. I mean, you get 80% there with the product. Why not go that way? The alternative is try to find some machine learning people to build it. They're hard to find. Um, so the seeing the scale of kind of replicating machine learning expertise with SageMaker, then ultimately into databases and tools, and then ultimately built into applications. I think, you know, this is the thing that I think they, my opinion is that Amazon continues to move up the stack, uh, with their capabilities. And I think machine learning is interesting because it's a whole new set of it's kind of its own little monster building block. That's just not one thing it's going to be super important. I think it's going to have an impact on the startup scene and innovation is going, gonna have an impact on incumbent companies that are currently leaders that are under threat from new entrance entering the business. >>So I think it's going to be a very entrepreneurial opportunity. And I think it's going to be interesting to see is how machine learning plays that role. Is it a defining feature that's core to the intellectual property, or is it enabling new intellectual property? So to me, I just don't see how that's going to fall yet. I would bet that today intellectual property will be built on top of Amazon's machine learning, where the new algorithms and the new things will be built separately. If you compete head to head with that scale, you could be on the wrong side of history. Again, this is a bet that the startups and the venture capitals will have to make is who's going to end up being on the right wave here. Because if you make the wrong design choice, you can have a very complex environment with IOT or whatever your app serving. If you can narrow it down and get a wedge in the marketplace, if you're a company, um, I think that's going to be an advantage. This could be great just to see how the impact of the ecosystem this will be. >>Well, I think something you said just now it gives a clue. You talked about, you know, the, the difficulty of finding the skills. And I think that's a big part of what Amazon and others who were innovating in machine learning are trying to do is the gap between those that are qualified to actually do this stuff. The data scientists, the quality engineers, the data engineers, et cetera. And so companies, you know, the last 10 years went out and tried to hire these people. They couldn't find them, they tried to train them. So it's taking too long. And now that I think they're looking toward machine intelligence to really solve that problem, because that scales, as we, as we know, outsourcing to services companies and just, you know, hardcore heavy lifting, does it doesn't scale that well, >>Well, you know what, give me some machine learning, give it to me faster. I want to take the 80% there and allow us to build certainly on the media cloud and the cube virtual that we're doing. Again, every vertical is going to impact a Dave. Great to see you, uh, great stuff. So far week two. So, you know, we're cube live, we're live covering the keynotes tomorrow. We'll be covering the keynotes for the public sector day. That should be chock-full action. That environment is going to impact the most by COVID a lot of innovation, a lot of coverage. I'm John Ferrari. And with Dave Alante, thanks for watching.

>> Hi, my name is Andy Clemenko. I'm a Senior Solutions Engineer at StackRox. Thanks for joining us today for my talk on labels, labels, labels. Obviously, you can reach me at all the socials. Before we get started, I like to point you to my GitHub repo, you can go to andyc.info/dc20, and it'll take you to my GitHub page where I've got all of this documentation, socials. Before we get started, I like to point you to my GitHub repo, you can go to andyc.info/dc20, (upbeat music) >> Hi, my name is Andy Clemenko. I'm a Senior Solutions Engineer at StackRox. Thanks for joining us today for my talk on labels, labels, labels. Obviously, you can reach me at all the socials. Before we get started, I like to point you to my GitHub repo, you can go to andyc.info/dc20, and it'll take you to my GitHub page where I've got all of this documentation, I've got the Keynote file there. YAMLs, I've got Dockerfiles, Compose files, all that good stuff. If you want to follow along, great, if not go back and review later, kind of fun. So let me tell you a little bit about myself. I am a former DOD contractor. This is my seventh DockerCon. I've spoken, I had the pleasure to speak at a few of them, one even in Europe. I was even a Docker employee for quite a number of years, providing solutions to the federal government and customers around containers and all things Docker. So I've been doing this a little while. One of the things that I always found interesting was the lack of understanding around labels. So why labels, right? Well, as a former DOD contractor, I had built out a large registry. And the question I constantly got was, where did this image come from? How did you get it? What's in it? Where did it come from? How did it get here? And one of the things we did to kind of alleviate some of those questions was we established a baseline set of labels. Labels really are designed to provide as much metadata around the image as possible. I ask everyone in attendance, when was the last time you pulled an image and had 100% confidence, you knew what was inside it, where it was built, how it was built, when it was built, you probably didn't, right? The last thing we obviously want is a container fire, like our image on the screen. And one kind of interesting way we can kind of prevent that is through the use of labels. We can use labels to address security, address some of the simplicity on how to run these images. So think of it, kind of like self documenting, Think of it also as an audit trail, image provenance, things like that. These are some interesting concepts that we can definitely mandate as we move forward. What is a label, right? Specifically what is the Schema? It's just a key-value. All right? It's any key and pretty much any value. What if we could dump in all kinds of information? What if we could encode things and store it in there? And I've got a fun little demo to show you about that. Let's start off with some of the simple keys, right? Author, date, description, version. Some of the basic information around the image. That would be pretty useful, right? What about specific labels for CI? What about a, where's the version control? Where's the source, right? Whether it's Git, whether it's GitLab, whether it's GitHub, whether it's Gitosis, right? Even SPN, who cares? Where are the source files that built, where's the Docker file that built this image? What's the commit number? That might be interesting in terms of tracking the resulting image to a person or to a commit, hopefully then to a person. How is it built? What if you wanted to play with it and do a git clone of the repo and then build the Docker file on your own? Having a label specifically dedicated on how to build this image might be interesting for development work. Where it was built, and obviously what build number, right? These kind of all, not only talk about continuous integration, CI but also start to talk about security. Specifically what server built it. The version control number, the version number, the commit number, again, how it was built. What's the specific build number? What was that job number in, say, Jenkins or GitLab? What if we could take it a step further? What if we could actually apply policy enforcement in the build pipeline, looking specifically for some of these specific labels? I've got a good example of, in my demo of a policy enforcement. So let's look at some sample labels. Now originally, this idea came out of label-schema.org. And then it was a modified to opencontainers, org.opencontainers.image. There is a link in my GitHub page that links to the full reference. But these are some of the labels that I like to use, just as kind of like a standardization. So obviously, Author's, an email address, so now the image is attributable to a person, that's always kind of good for security and reliability. Where's the source? Where's the version control that has the source, the Docker file and all the assets? How it was built, build number, build server the commit, we talked about, when it was created, a simple description. A fun one I like adding in is the healthZendpoint. Now obviously, the health check directive should be in the Docker file. But if you've got other systems that want to ping your applications, why not declare it and make it queryable? Image version, obviously, that's simple declarative And then a title. And then I've got the two fun ones. Remember, I talked about what if we could encode some fun things? Hypothetically, what if we could encode the Compose file of how to build the stack in the first image itself? And conversely the Kubernetes? Well, actually, you can and I have a demo to show you how to kind of take advantage of that. So how do we create labels? And really creating labels as a function of build time okay? You can't really add labels to an image after the fact. The way you do add labels is either through the Docker file, which I'm a big fan of, because it's declarative. It's in version control. It's kind of irrefutable, especially if you're tracking that commit number in a label. You can extend it from being a static kind of declaration to more a dynamic with build arguments. And I can show you, I'll show you in a little while how you can use a build argument at build time to pass in that variable. And then obviously, if you did it by hand, you could do a docker build--label key equals value. I'm not a big fan of the third one, I love the first one and obviously the second one. Being dynamic we can take advantage of some of the variables coming out of version control. Or I should say, some of the variables coming out of our CI system. And that way, it self documents effectively at build time, which is kind of cool. How do we view labels? Well, there's two major ways to view labels. The first one is obviously a docker pull and docker inspect. You can pull the image locally, you can inspect it, you can obviously, it's going to output as JSON. So you going to use something like JQ to crack it open and look at the individual labels. Another one which I found recently was Skopeo from Red Hat. This allows you to actually query the registry server. So you don't even have to pull the image initially. This can be really useful if you're on a really small development workstation, and you're trying to talk to a Kubernetes cluster and wanting to deploy apps kind of in a very simple manner. Okay? And this was that use case, right? Using Kubernetes, the Kubernetes demo. One of the interesting things about this is that you can base64 encode almost anything, push it in as text into a label and then base64 decode it, and then use it. So in this case, in my demo, I'll show you how we can actually use a kubectl apply piped from the base64 decode from the label itself from skopeo talking to the registry. And what's interesting about this kind of technique is you don't need to store Helm charts. You don't need to learn another language for your declarative automation, right? You don't need all this extra levels of abstraction inherently, if you use it as a label with a kubectl apply, It's just built in. It's kind of like the kiss approach to a certain extent. It does require some encoding when you actually build the image, but to me, it doesn't seem that hard. Okay, let's take a look at a demo. And what I'm going to do for my demo, before we actually get started is here's my repo. Here's a, let me actually go to the actual full repo. So here's the repo, right? And I've got my Jenkins pipeline 'cause I'm using Jenkins for this demo. And in my demo flask, I've got the Docker file. I've got my compose and my Kubernetes YAML. So let's take a look at the Docker file, right? So it's a simple Alpine image. The org statements are the build time arguments that are passed in. Label, so again, I'm using the org.opencontainers.image.blank, for most of them. There's a typo there. Let's see if you can find it, I'll show you it later. My source, build date, build number, commit. Build number and get commit are derived from the Jenkins itself, which is nice. I can just take advantage of existing URLs. I don't have to create anything crazy. And again, I've got my actual Docker build command. Now this is just a label on how to build it. And then here's my simple Python, APK upgrade, remove the package manager, kind of some security stuff, health check getting Python through, okay? Let's take a look at the Jenkins pipeline real quick. So here is my Jenkins pipeline and I have four major stages, four stages, I have built. And here in build, what I do is I actually do the Git clone. And then I do my docker build. From there, I actually tell the Jenkins StackRox plugin. So that's what I'm using for my security scanning. So go ahead and scan, basically, I'm staging it to scan the image. I'm pushing it to Hub, okay? Where I can see the, basically I'm pushing the image up to Hub so such that my StackRox security scanner can go ahead and scan the image. I'm kicking off the scan itself. And then if everything's successful, I'm pushing it to prod. Now what I'm doing is I'm just using the same image with two tags, pre-prod and prod. This is not exactly ideal, in your environment, you probably want to use separate registries and non-prod and a production registry, but for demonstration purposes, I think this is okay. So let's go over to my Jenkins and I've got a deliberate failure. And I'll show you why there's a reason for that. And let's go down. Let's look at my, so I have a StackRox report. Let's look at my report. And it says image required, required image label alert, right? Request that the maintainer, add the required label to the image, so we're missing a label, okay? One of the things we can do is let's flip over, and let's look at Skopeo. Right? I'm going to do this just the easy way. So instead of looking at org.zdocker, opencontainers.image.authors. Okay, see here it says build signature? That was the typo, we didn't actually pass in. So if we go back to our repo, we didn't pass in the the build time argument, we just passed in the word. So let's fix that real quick. That's the Docker file. Let's go ahead and put our dollar sign in their. First day with the fingers you going to love it. And let's go ahead and commit that. Okay? So now that that's committed, we can go back to Jenkins, and we can actually do another build. And there's number 12. And as you can see, I've been playing with this for a little bit today. And while that's running, come on, we can go ahead and look at the Console output. Okay, so there's our image. And again, look at all the build arguments that we're passing into the build statement. So we're passing in the date and the date gets derived on the command line. With the build arguments, there's the base64 encoded of the Compose file. Here's the base64 encoding of the Kubernetes YAML. We do the build. And then let's go down to the bottom layer exists and successful. So here's where we can see no system policy violations profound marking stack regimes security plugin, build step as successful, okay? So we're actually able to do policy enforcement that that image exists, that that label sorry, exists in the image. And again, we can look at the security report and there's no policy violations and no vulnerabilities. So that's pretty good for security, right? We can now enforce and mandate use of certain labels within our images. And let's flip back over to Skopeo, and let's go ahead and look at it. So we're looking at the prod version again. And there's it is in my email address. And that validated that that was valid for that policy. So that's kind of cool. Now, let's take it a step further. What if, let's go ahead and take a look at all of the image, all the labels for a second, let me remove the dash org, make it pretty. Okay? So we have all of our image labels. Again, author's build, commit number, look at the commit number. It was built today build number 12. We saw that right? Delete, build 12. So that's kind of cool dynamic labels. Name, healthz, right? But what we're looking for is we're going to look at the org.zdockerketers label. So let's go look at the label real quick. Okay, well that doesn't really help us because it's encoded but let's base64 dash D, let's decode it. And I need to put the dash r in there 'cause it doesn't like, there we go. So there's my Kubernetes YAML. So why can't we simply kubectl apply dash f? Let's just apply it from standard end. So now we've actually used that label. From the image that we've queried with skopeo, from a remote registry to deploy locally to our Kubernetes cluster. So let's go ahead and look everything's up and running, perfect. So what does that look like, right? So luckily, I'm using traefik for Ingress 'cause I love it. And I've got an object in my Kubernetes YAML called flask.doctor.life. That's my Ingress object for traefik. I can go to flask.docker.life. And I can hit refresh. Obviously, I'm not a very good web designer 'cause the background image in the text. We can go ahead and refresh it a couple times we've got Redis storing a hit counter. We can see that our server name is roundrobing. Okay? That's kind of cool. So let's kind of recap a little bit about my demo environment. So my demo environment, I'm using DigitalOcean, Ubuntu 19.10 Vms. I'm using K3s instead of full Kubernetes either full Rancher, full Open Shift or Docker Enterprise. I think K3s has some really interesting advantages on the development side and it's kind of intended for IoT but it works really well and it deploys super easy. I'm using traefik for Ingress. I love traefik. I may or may not be a traefik ambassador. I'm using Jenkins for CI. And I'm using StackRox for image scanning and policy enforcement. One of the things to think about though, especially in terms of labels is none of this demo stack is required. You can be in any cloud, you can be in CentOs, you can be in any Kubernetes. You can even be in swarm, if you wanted to, or Docker compose. Any Ingress, any CI system, Jenkins, circle, GitLab, it doesn't matter. And pretty much any scanning. One of the things that I think is kind of nice about at least StackRox is that we do a lot more than just image scanning, right? With the policy enforcement things like that. I guess that's kind of a shameless plug. But again, any of this stack is completely replaceable, with any comparative product in that category. So I'd like to, again, point you guys to the andyc.infodc20, that's take you right to the GitHub repo. You can reach out to me at any of the socials @clemenko or andy@stackrox.com. And thank you for attending. I hope you learned something fun about labels. And hopefully you guys can standardize labels in your organization and really kind of take your images and the image provenance to a new level. Thanks for watching. (upbeat music) >> Narrator: Live from Las Vegas It's theCUBE. Covering AWS re:Invent 2019. Brought to you by Amazon Web Services and Intel along with it's ecosystem partners. >> Okay, welcome back everyone theCUBE's live coverage of AWS re:Invent 2019. This is theCUBE's 7th year covering Amazon re:Invent. It's their 8th year of the conference. I want to just shout out to Intel for their sponsorship for these two amazing sets. Without their support we wouldn't be able to bring our mission of great content to you. I'm John Furrier. Stu Miniman. We're here with the chief of AWS, the chief executive officer Andy Jassy. Tech athlete in and of himself three hour Keynotes. Welcome to theCUBE again, great to see you. >> Great to be here, thanks for having me guys. >> Congratulations on a great show a lot of great buzz. >> Andy: Thank you. >> A lot of good stuff. Your Keynote was phenomenal. You get right into it, you giddy up right into it as you say, three hours, thirty announcements. You guys do a lot, but what I liked, the new addition, the last year and this year is the band; house band. They're pretty good. >> Andy: They're good right? >> They hit the queen notes, so that keeps it balanced. So we're going to work on getting a band for theCUBE. >> Awesome. >> So if I have to ask you, what's your walk up song, what would it be? >> There's so many choices, it depends on what kind of mood I'm in. But, uh, maybe Times Like These by the Foo Fighters. >> John: Alright. >> These are unusual times right now. >> Foo Fighters playing at the Amazon Intersect Show. >> Yes they are. >> Good plug Andy. >> Headlining. >> Very clever >> Always getting a good plug in there. >> My very favorite band. Well congratulations on the Intersect you got a lot going on. Intersect is a music festival, I'll get to that in a second But, I think the big news for me is two things, obviously we had a one-on-one exclusive interview and you laid out, essentially what looks like was going to be your Keynote, and it was. Transformation- >> Andy: Thank you for the practice. (Laughter) >> John: I'm glad to practice, use me anytime. >> Yeah. >> And I like to appreciate the comments on Jedi on the record, that was great. But I think the transformation story's a very real one, but the NFL news you guys just announced, to me, was so much fun and relevant. You had the Commissioner of NFL on stage with you talking about a strategic partnership. That is as top down, aggressive goal as you could get to have Rodger Goodell fly to a tech conference to sit with you and then bring his team talk about the deal. >> Well, ya know, we've been partners with the NFL for a while with the Next Gen Stats that they use on all their telecasts and one of the things I really like about Roger is that he's very curious and very interested in technology and the first couple times I spoke with him he asked me so many questions about ways the NFL might be able to use the Cloud and digital transformation to transform their various experiences and he's always said if you have a creative idea or something you think that could change the world for us, just call me he said or text me or email me and I'll call you back within 24 hours. And so, we've spent the better part of the last year talking about a lot of really interesting, strategic ways that they can evolve their experience both for fans, as well as their players and the Player Health and Safety Initiative, it's so important in sports and particularly important with the NFL given the nature of the sport and they've always had a focus on it, but what you can do with computer vision and machine learning algorithms and then building a digital athlete which is really like a digital twin of each athlete so you understand, what does it look like when they're healthy and compare that when it looks like they may not be healthy and be able to simulate all kinds of different combinations of player hits and angles and different plays so that you could try to predict injuries and predict the right equipment you need before there's a problem can be really transformational so we're super excited about it. >> Did you guys come up with the idea or was it a collaboration between them? >> It was really a collaboration. I mean they, look, they are very focused on players safety and health and it's a big deal for their- you know, they have two main constituents the players and fans and they care deeply about the players and it's a-it's a hard problem in a sport like Football, I mean, you watch it. >> Yeah, and I got to say it does point out the use cases of what you guys are promoting heavily at the show here of the SageMaker Studio, which was a big part of your Keynote, where they have all this data. >> Andy: Right. >> And they're data hoarders, they hoard data but the manual process of going through the data was a killer problem. This is consistent with a lot of the enterprises that are out there, they have more data than they even know. So this seems to be a big part of the strategy. How do you get the customers to actually wake up to the fact that they got all this data and how do you tie that together? >> I think in almost every company they know they have a lot of data. And there are always pockets of people who want to do something with it. But, when you're going to make these really big leaps forward; these transformations, the things like Volkswagen is doing where they're reinventing their factories and their manufacturing process or the NFL where they're going to radically transform how they do players uh, health and safety. It starts top down and if the senior leader isn't convicted about wanting to take that leap forward and trying something different and organizing the data differently and organizing the team differently and using machine learning and getting help from us and building algorithms and building some muscle inside the company it just doesn't happen because it's not in the normal machinery of what most companies do. And so it always, almost always, starts top down. Sometimes it can be the Commissioner or CEO sometimes it can be the CIO but it has to be senior level conviction or it doesn't get off the ground. >> And the business model impact has to be real. For NFL, they know concussions, hurting their youth pipe-lining, this is a huge issue for them. This is their business model. >> They lose even more players to lower extremity injuries. And so just the notion of trying to be able to predict injuries and, you know, the impact it can have on rules and the impact it can have on the equipment they use, it's a huge game changer when they look at the next 10 to 20 years. >> Alright, love geeking out on the NFL but Andy, you know- >> No more NFL talk? >> Off camera how about we talk? >> Nobody talks about the Giants being 2 and 10. >> Stu: We're both Patriots fans here. >> People bring up the undefeated season. >> So Andy- >> Everybody's a Patriot's fan now. (Laughter) >> It's fascinating to watch uh, you and your three hour uh, Keynote, uh Werner in his you know, architectural discussion, really showed how AWS is really extending its reach, you know, it's not just a place. For a few years people have been talking about you know, Cloud is an operational model its not a destination or a location but, I felt it really was laid out is you talked about Breadth and Depth and Werner really talked about you know, Architectural differentiation. People talk about Cloud, but there are very-there are a lot of differences between the vision for where things are going. Help us understand why, I mean, Amazon's vision is still a bit different from what other people talk about where this whole Cloud expansion, journey, put ever what tag or label you want on it but you know, the control plane and the technology that you're building and where you see that going. >> Well I think that, we've talked about this a couple times we have two macro types of customers. We have those that really want to get at the low level building blocks and stitch them together creatively however they see fit to create whatever's in their-in their heads. And then we have the second segment of customers that say look, I'm willing to give up some of that flexibility in exchange for getting 80% of the way there much faster. In an abstraction that's different from those low level building blocks. And both segments of builders we want to serve and serve well and so we've built very significant offerings in both areas. I think when you look at microservices um, you know, some of it has to do with the fact that we have this very strongly held belief born out of several years of Amazon where you know, the first 7 or 8 years of Amazon's consumer business we basically jumbled together all of the parts of our technology in moving really quickly and when we wanted to move quickly where you had to impact multiple internal development teams it was so long because it was this big ball, this big monolithic piece. And we got religion about that in trying to move faster in the consumer business and having to tease those pieces apart. And it really was a lot of impetus behind conceiving AWS where it was these low level, very flexible building blocks that6 don't try and make all the decisions for customers they get to make them themselves. And some of the microservices that you saw Werner talking about just, you know, for instance, what we-what we did with Nitro or even what we did with Firecracker those are very much about us relentlessly working to continue to uh, tease apart the different components. And even things that look like low level building blocks over time, you build more and more features and all of the sudden you realize they have a lot of things that are combined together that you wished weren't that slow you down and so, Nitro was a completely re imagining of our Hypervisor and Virtualization layer to allow us, both to let customers have better performance but also to let us move faster and have a better security story for our customers. >> I got to ask you the question around transformation because I think that all points, all the data points, you got all the references, Goldman Sachs on stage at the Keynote, Cerner, I mean healthcare just is an amazing example because I mean, that's demonstrating real value there there's no excuse. I talked to someone who wouldn't be named last night, in and around the area said, the CIA has a cost bar like this a cost-a budget like this but the demand for mission based apps is going up exponentially, so there's need for the Cloud. And so, you see more and more of that. What is your top down, aggressive goals to fill that solution base because you're also a very transformational thinker; what is your-what is your aggressive top down goals for your organization because you're serving a market with trillions of dollars of spend that's shifting, that's on the table. >> Yeah. >> A lot of competition now sees it too, they're going to go after it. But at the end of the day you have customers that have a demand for things, apps. >> Andy: Yeah. >> And not a lot of budget increase at the same time. This is a huge dynamic. >> Yeah. >> John: What's your goals? >> You know I think that at a high level our top down aggressive goals are that we want every single customer who uses our platform to have an outstanding customer experience. And we want that outstanding customer experience in part is that their operational performance and their security are outstanding, but also that it allows them to build, uh, build projects and initiatives that change their customer experience and allow them to be a sustainable successful business over a long period of time. And then, we also really want to be the technology infrastructure platform under all the applications that people build. And we're realistic, we know that you know, the market segments we address with infrastructure, software, hardware, and data center services globally are trillions of dollars in the long term and it won't only be us, but we have that goal of wanting to serve every application and that requires not just the security operational premise but also a lot of functionality and a lot of capability. We have by far the most amount of capability out there and yet I would tell you, we have 3 to 5 years of items on our roadmap that customers want us to add. And that's just what we know today. >> And Andy, underneath the covers you've been going through some transformation. When we talked a couple of years ago, about how serverless is impacting things I've heard that that's actually, in many ways, glue behind the two pizza teams to work between organizations. Talk about how the internal transformations are happening. How that impacts your discussions with customers that are going through that transformation. >> Well, I mean, there's a lot of- a lot of the technology we build comes from things that we're doing ourselves you know? And that we're learning ourselves. It's kind of how we started thinking about microservices, serverless too, we saw the need, you know, we would have we would build all these functions that when some kind of object came into an object store we would spin up, compute, all those tasks would take like, 3 or 4 hundred milliseconds then we'd spin it back down and yet, we'd have to keep a cluster up in multiple availability zones because we needed that fault tolerance and it was- we just said this is wasteful and, that's part of how we came up with Lambda and you know, when we were thinking about Lambda people understandably said, well if we build Lambda and we build this serverless adventure in computing a lot of people were keeping clusters of instances aren't going to use them anymore it's going to lead to less absolute revenue for us. But we, we have learned this lesson over the last 20 years at Amazon which is, if it's something that's good for customers you're much better off cannibalizing yourself and doing the right thing for customers and being part of shaping something. And I think if you look at the history of technology you always build things and people say well, that's going to cannibalize this and people are going to spend less money, what really ends up happening is they spend less money per unit of compute but it allows them to do so much more that they ultimately, long term, end up being more significant customers. >> I mean, you are like beating the drum all the time. Customers, what they say, we encompass the roadmap, I got that you guys have that playbook down, that's been really successful for you. >> Andy: Yeah. >> Two years ago you told me machine learning was really important to you because your customers told you. What's the next traunch of importance for customers? What's on top of mind now, as you, look at- >> Andy: Yeah. >> This re:Invent kind of coming to a close, Replay's tonight, you had conversations, you're a tech athlete, you're running around, doing speeches, talking to customers. What's that next hill from if it's machine learning today- >> There's so much I mean, (weird background noise) >> It's not a soup question (Laughter) And I think we're still in the very early days of machine learning it's not like most companies have mastered it yet even though they're using it much more then they did in the past. But, you know, I think machine learning for sure I think the Edge for sure, I think that um, we're optimistic about Quantum Computing even though I think it'll be a few years before it's really broadly useful. We're very um, enthusiastic about robotics. I think the amount of functions that are going to be done by these- >> Yeah. >> robotic applications are much more expansive than people realize. It doesn't mean humans won't have jobs, they're just going to work on things that are more value added. We're believers in augmented virtual reality, we're big believers in what's going to happen with Voice. And I'm also uh, I think sometimes people get bored you know, I think you're even bored with machine learning already >> Not yet. >> People get bored with the things you've heard about but, I think just what we've done with the Chips you know, in terms of giving people 40% better price performance in the latest generation of X86 processors. It's pretty unbelievable in the difference in what people are going to be able to do. Or just look at big data I mean, big data, we haven't gotten through big data where people have totally solved it. The amount of data that companies want to store, process, analyze, is exponentially larger than it was a few years ago and it will, I think, exponentially increase again in the next few years. You need different tools and services. >> Well I think we're not bored with machine learning we're excited to get started because we have all this data from the video and you guys got SageMaker. >> Andy: Yeah. >> We call it the stairway to machine learning heaven. >> Andy: Yeah. >> You start with the data, move up, knock- >> You guys are very sophisticated with what you do with technology and machine learning and there's so much I mean, we're just kind of, again, in such early innings. And I think that, it was so- before SageMaker, it was so hard for everyday developers and data scientists to build models but the combination of SageMaker and what's happened with thousands of companies standardizing on it the last two years, plus now SageMaker studio, giant leap forward. >> Well, we hope to use the data to transform our experience with our audience. And we're on Amazon Cloud so we really appreciate that. >> Andy: Yeah. >> And appreciate your support- >> Andy: Yeah, of course. >> John: With Amazon and get that machine learning going a little faster for us, that would be better. >> If you have requests I'm interested, yeah. >> So Andy, you talked about that you've got the customers that are builders and the customers that need simplification. Traditionally when you get into the, you know, the heart of the majority of adoption of something you really need to simplify that environment. But when I think about the successful enterprise of the future, they need to be builders. how'l I normally would've said enterprise want to pay for solutions because they don't have the skill set but, if they're going to succeed in this new economy they need to go through that transformation >> Andy: Yeah. >> That you talk to, so, I mean, are we in just a total new era when we look back will this be different than some of these previous waves? >> It's a really good question Stu, and I don't think there's a simple answer to it. I think that a lot of enterprises in some ways, I think wish that they could just skip the low level building blocks and only operate at that higher level abstraction. That's why people were so excited by things like, SageMaker, or CodeGuru, or Kendra, or Contact Lens, these are all services that allow them to just send us data and then run it on our models and get back the answers. But I think one of the big trends that we see with enterprises is that they are taking more and more of their development in house and they are wanting to operate more and more like startups. I think that they admire what companies like AirBnB and Pintrest and Slack and Robinhood and a whole bunch of those companies, Stripe, have done and so when, you know, I think you go through these phases and eras where there are waves of success at different companies and then others want to follow that success and replicate it. And so, we see more and more enterprises saying we need to take back a lot of that development in house. And as they do that, and as they add more developers those developers in most cases like to deal with the building blocks. And they have a lot of ideas on how they can creatively stich them together. >> Yeah, on that point, I want to just quickly ask you on Amazon versus other Clouds because you made a comment to me in our interview about how hard it is to provide a service to other people. And it's hard to have a service that you're using yourself and turn that around and the most quoted line of my story was, the compression algorithm- there's no compression algorithm for experience. Which to me, is the diseconomies of scale for taking shortcuts. >> Andy: Yeah. And so I think this is a really interesting point, just add some color commentary because I think this is a fundamental difference between AWS and others because you guys have a trajectory over the years of serving, at scale, customers wherever they are, whatever they want to do, now you got microservices. >> Yeah. >> John: It's even more complex. That's hard. >> Yeah. >> John: Talk about that. >> I think there are a few elements to that notion of there's no compression algorithm for experience and I think the first thing to know about AWS which is different is, we just come from a different heritage and a different background. We ran a business for a long time that was our sole business that was a consumer retail business that was very low margin. And so, we had to operate at very large scale given how many people were using us but also, we had to run infrastructure services deep in the stack, compute storage and database, and reliable scalable data centers at very low cost and margins. And so, when you look at our business it actually, today, I mean its, its a higher margin business in our retail business, its a lower margin business in software companies but at real scale, it's a high volume, relatively low margin business. And the way that you have to operate to be successful with those businesses and the things you have to think about and that DNA come from the type of operators we have to be in our consumer retail business. And there's nobody else in our space that does that. So, you know, the way that we think about costs, the way we think about innovation in the data center, um, and I also think the way that we operate services and how long we've been operating services as a company its a very different mindset than operating package software. Then you look at when uh, you think about some of the uh, issues in very large scale Cloud, you can't learn some of those lessons until you get to different elbows of the curve and scale. And so what I was telling you is, its really different to run your own platform for your own users where you get to tell them exactly how its going to be done. But that's not the way the real world works. I mean, we have millions of external customers who use us from every imaginable country and location whenever they want, without any warning, for lots of different use cases, and they have lots of design patterns and we don't get to tell them what to do. And so operating a Cloud like that, at a scale that's several times larger than the next few providers combined is a very different endeavor and a very different operating rigor. >> Well you got to keep raising the bar you guys do a great job, really impressed again. Another tsunami of announcements. In fact, you had to spill the beans earlier with Quantum the day before the event. Tight schedule. I got to ask you about the musical festival because, I think this is a very cool innovation. It's the inaugural Intersect conference. >> Yes. >> John: Which is not part of Replay, >> Yes. >> John: Which is the concert tonight. Its a whole new thing, big music act, you're a big music buff, your daughter's an artist. Why did you do this? What's the purpose? What's your goal? >> Yeah, it's an experiment. I think that what's happened is that re:Invent has gotten so big, we have 65 thousand people here, that to do the party, which we do every year, its like a 35-40 thousand person concert now. Which means you have to have a location that has multiple stages and, you know, we thought about it last year and when we were watching it and we said, we're kind of throwing, like, a 4 hour music festival right now. There's multiple stages, and its quite expensive to set up that set for a party and we said well, maybe we don't have to spend all that money for 4 hours and then rip it apart because actually the rent to keep those locations for another two days is much smaller than the cost of actually building multiple stages and so we thought we would try it this year. We're very passionate about music as a business and I think we-I think our customers feel like we've thrown a pretty good music party the last few years and we thought we would try it at a larger scale as an experiment. And if you look at the economics- >> At the headliners real quick. >> The Foo Fighters are headlining on Saturday night, Anderson Paak and the Free Nationals, Brandi Carlile, Shawn Mullins, um, Willy Porter, its a good set. Friday night its Beck and Kacey Musgraves so it's a really great set of um, about thirty artists and we're hopeful that if we can build a great experience that people will want to attend that we can do it at scale and it might be something that both pays for itself and maybe, helps pay for re:Invent too overtime and you know, I think that we're also thinking about it as not just a music concert and festival the reason we named it Intersect is that we want an intersection of music genres and people and ethnicities and age groups and art and technology all there together and this will be the first year we try it, its an experiment and we're really excited about it. >> Well I'm gone, congratulations on all your success and I want to thank you we've been 7 years here at re:Invent we've been documenting the history. You got two sets now, one set upstairs. So appreciate you. >> theCUBE is part of re:Invent, you know, you guys really are apart of the event and we really appreciate your coming here and I know people appreciate the content you create as well. >> And we just launched CUBE365 on Amazon Marketplace built on AWS so thanks for letting us- >> Very cool >> John: Build on the platform. appreciate it. >> Thanks for having me guys, I appreciate it. >> Andy Jassy the CEO of AWS here inside theCUBE, it's our 7th year covering and documenting the thunderous innovation that Amazon's doing they're really doing amazing work building out the new technologies here in the Cloud computing world. I'm John Furrier, Stu Miniman, be right back with more after this short break. (Outro music)

>> Narrator: From theCUBE Studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is theCUBE Conversation. >> Hello everyone, welcome to this special CUBE virtual coverage of AWS Summit 2020 Online. This is the 80th summit that has now moved from a physical event to a digital event, a virtual event, it's all online. Of course theCUBE, normally at the summits, are virtual as well. We have an all day program of CUBE coverage here from our Palo Alto studios with our quarantine crew. Great team, who's been sheltering in place for the past two and a half months as well as our team in Boston with Dave Vellante and Stu Miniman. theCUBE is virtual because we have to be and we are going to be continuing doing more coverage and we're going to continue to do that with all the other big events in the enterprise and emerging tech business. Stu and Dave are going to join me. >> Hey John, good to see you, thank you. >> Stu, we're going to do a segment later on more a breakdown in some of the news and highlights. We got Matt Garman coming on, who's the new vice president of sales and marketing. He ran EC2. He now reports to Andy Jassy he's run the field. We got Sanjay Poonen, the chief operating officer at VMware. Coming on as well. And then we got a customer there. We've got a slew of great guests, Swami, Dave Brown, who now runs EC2. The GM of Analytics. Stu, are you going to do a segment with Corey Quinn? Which should be fun. And Dave, of course, you can do a breaking analysis at the end of the day. And we've got a lot of other great content on theCUBE.net. Check it out. Guys let's just jump into it. AWS is really feeling all the pressure as all these cloud guys are. Everyone's working at home. The cloud is on the front stage of the world in terms of delivering capacity, compute everything else. And now they're got to run a digital event. So pretty crazy times. What you guys think?. Dave what's your thoughts? Stu. >> Do you want me to jump in there? >> Yeah. >> So really impressive watching Werner Vogels. First of all last year I saw him up on stage at the New York City summit. Of course, we've seen him on stage at re:Invent many times. But well produced really looks good. You know, challenging to have that keynote feel when you're sitting at home. But they did a nice job of editing. They put him up on it on a big white space here. But what Werner talked about is the scale of cloud. This is what they've been building for. You never know when you're going to have a Cyber Monday. And I just need to be able to scale. He talked about examples like Netflix more than doubling. How many minutes they're doing and walking through all the ways that Amazon is stepping up. You know something we've been looking at close, Dave has been digging into the analysis here. You know, public cloud is being put under the spotlight right now can they react? And Amazon, to their credit is doing a really good job have not been hearing any challenges. They're not leaving their customers behind. They're having lots of people coming and wanting more. They don't want to get people, yeah. >> I want to dig into that a little bit later on, in terms of uptime and high availability. The table stakes right now in this new virtualized world of living and working at home, competing with life is. What services stay up the most? Which ones are failing? Are the staffing levels there? Are they dealing with the remote workforce? All these things are going to impact the cloud. But ultimately, what we're talking about now is who's really leading this? Dave, you know you and I have been riffing on this around who really has the market share lead and what the numbers are. Clearly, Amazon is winning. The numbers all point that way. And some people even have Microsoft ahead of Amazon, don't know how they get there. But bottom line, Microsoft is catching up. But what is the real lead? What's the market share numbers look like? What are you finding in the research that we're doing? >> Well as you know John, we've been tracking this for a while now. And all three companies, the big three, Amazon, Google and Microsoft just reported it well. We actually have some data on this. Guys, if you can maybe share that with our audience. But we saw this last quarter. The reason why, John, that people some maybe people have Microsoft ahead is because they bundle a lot of the stuff into their intelligent cloud and includes GitHub, Azure stack, hybrid, private cloud services and. Oh, yeah, by the way, Azure. But nonetheless, they give us some clues as to what Azure looked like. So this is our estimate of infrastructure as a service and platform as a service. Both Google and Microsoft sort of hide the ball a little bit on the pure play. Amazon very cleanly provides that guidance. And so you can see here, I guess the key points are like you said, Azure and GCP are growing faster than Amazon. Amazon is much bigger. I would say though, if you go back to 2018, Amazon was well over 2x Azure. 2019 it was just kind of around 2x, you're seeing that now with the trailing twelve months. And this last quarter dipping a little bit below. So you are seeing Azure close that gap. But as I say, the numbers are fuzzy. So you have to do your best to squint through them. I look, I read 10ks till my eyes bleed. So you don't have to. >> Stu, what are you talking hearing in terms of uptime Azure had some fails, Google had some fails. But you starting to see the cloud starting to differentiate. See Google doing much more vertical focus. They're obviously going after retail. It's an easy one. Microsoft with Office 365. Doing well on the enterprise. The numbers are there. What's your thoughts on the reliability and uptime? >> Yes so, John first of all Amazon I'm not hearing any reports of issues there. As you noted, where are Microsoft and Google going after Amazon? Where they can. So retail is an obvious one. The ecosystem how well can they partner with companies? Because the fear of many companies is if I partner with Amazon, are they going to come after my business? So when I looked at the online events, John, I got a sneak peek last night of where the Asia-Pacific region. I kind of logged in as if I was from Australia or New Zealand. >> John: I did that too. >> You know, they have regional partner things set up. So, once again, Amazon, a huge global presence, doing a really good job there. And as Dave showed in the numbers while Azure and Google have much higher growth rates, if you just look at raw numbers, Amazon just adding another Google cloud like every quarter to their revenue. So it is still Amazon in the clear lead out in front. >> You know, I think it's important to point out that these clouds have different capabilities. You know, Microsoft put out a blog just very recently saying that it was going to prioritize some of the essential businesses some of the health care workers and several others that were, quote unquote, essentials. So if you're one of those essential business, they were going to sort of allocate capacity toward you. So they're clearly having some scaling issues and they're somewhat using the COVID-19 pandemic as a bit of a heat shield there. Or by the way, they're prioritizing teams as well for the work from home. So it's caveat emptor there, as I said in my breaking analysis, I mean unless you're one of those sort of priority customers and maybe even if you are, you might want to sort of be careful as to what you're actually running in Azure. At the same time you know, clearly Microsoft's doing well. It's got a lot of spending momentum for its platform. And so that's undeniable. A lot of workloads are kind of good enough. >> Yeah and I think just to put a quick plug, if you're watching this segment now, Dave will do a breaking analysis at three o'clock on our stream here. And of course, it'll be on demand on theCUBE.net as well as YouTube. Guys, I want to get your thoughts on some of the hot spots here. Usually around this time, Amazon comes out and shows a lot of GA, general availability. A lot of stuff they announce that reinvents. So, Kendra is going general availability as well as some other services. But one of the things that was interesting to me, I'll get your thoughts on it, because I held the processor in my hand. Jassi tweeted about yesterday, the new arm, EC2 M6G, which is their graviton two processor. It's like super small. This has really been the competitive Edge for Amazon's performance. The stuff that they're doing now is they're lowering the cost and increasing the performance. That's their Amazon law. That's what they do. So, you got the processor, you got analytics. You start to see these GAs. Can you squint through some of the announcements and try to get a feel for where this is going? How's this machine learning? If I'm an enterprise, I got to make some tough calls right now because I've got to double down on the products that are working that are going to get me through the pandemic. And on a growth trajectory and I've got to get rid of the people in the projects or redeploy them quickly. This is going to impact, positioning and ultimately revenues. >> I mean, I think if you look at the Edge specifically and you think about Arm, I think what Amazon's got right is they're not just throwing traditional data center boxes over the fence to the Edge and say, "Okay, here you go, data center in a box." What they're doing is they're sort of rethinking it and then realizing that you're going to have real time workloads running at the Edge, processing very, you have to be very efficient and very inexpensive. So that's where Arm fits. And I think you're going to have to be able to do the processing at the Edge. Much of the data, if not most of that data, is going to stay at the Edge. And it's not a traditional processing architecture. New architectures are going to emerge. David Florrick calls these things matrix workloads. He's written a lot about it. It's just a whole new way of thinking about computing architectures. And really the Edge is going to be driving that. >> Stu, I want to get your opinion on something. And Dave, you can weigh in too, that'd b great. You know, I was watching a little bit of the Down Under APACS stuff yesterday, Stu as well. And I saw Ben Capps, one of our friends, CUBE alumni and co-host, helps the Saudis live in New Zealand. He brought a couple of interesting things I want to get your thoughts on this. It's more of a community angle. Andy Jass, he's been with Amazon for 23 years. Ben mentioned the cloud rod he's still going back. You know, thinking about cloud was 2008 around that timeframe was only a small cast of characters talking about what was going on. And finally, he mentioned the point about Jass's keynote a Fireside Chat. He mentioned, "One way door decisions versus "two door decisions. "The former cannot be undone hence need to be thought over." So you start to see Jass. Twenty three years of experience, you get the cloud arod kind of ecosystem influencers that are out there that we all know. We've been covering this for that long of time. And you've got this notion of the two way door. You started to connect the dots here and what's going on. You start to see a maturation of AWS. But not only that, the community, the truth is out there and it's interesting to see how this plays out in terms of how they talk about the information as we're all on virtual online. Who are the experts? Who are the YouTubers trying to get a flash in the pan? What's the real story? The data, the misinformation is flying around. There's a ton of that going on, I want to see more of it with virtual. But you've got to experience set in the table with Amazon and the community, your thoughts? >> Yes, so John, absolutely it's about you need to have optionality. We know that things change really fast. 2020 key example of having to react to things that I weren't prepared for. Dave was just talking about Edge computing. What I need to succeed an Edge is very different from how I was attacking clouds before. So is Amazon a walled garden? Everything goes in, Hotel California that it was active for years? Or are they going to be flexible? You know, you see Google and Microsoft really trying to attack Amazon here. Many of us that are proponents of open source have attacked Microsoft, have attacked Amazon for years. They've hired some really good people for Adrian Cockcroft couple years ago, Peder Ulander more recently. They've even hired some people from Red Hat and the Linux Foundation. So getting involved in open source and they've been leading some of the efforts when you talked about Edge. But emerging technologies like Serverless and Edge computing. Is it the Amazon way or everything else? Or will they play in an open ecosystem? Will they allow things to be more flexible? You know, we we've talked for a bunch of years. They really softened on their hybrid stance in 2020. Will Amazon soften on their multi cloud stance, especially if you start burrowing in where Edge fits in this environment? It can't be a one way ladder to everything for public cloud. We know it needs to be a diverse environment. And therefore, you know that net community and ecosystem, you know, wants to play with Amazon but also wants a mature and competitive marketplace. We've all seen what happens when there's a monopoly or duopoly out there. It's not good for innovation. It's not good for the customers long term. >> Dave the reality of the marketplace is changing. Customers are going to be virtualize in their world, literally, physically and digitally. How the work's going to get done is to mention open source ones, probably see a revolution of new applications Cambrian explosion of new kinds of capabilities, new demands, new expectations. There's going to be favor here for the people with the steep learning curve who have those has that trajectory as Amazons, as you know, there's no compression algorithm for experience. This is a real kind of nuance point. It's kind of exposed for the next year. Who's got the juice in the marketplace? Your thoughts? >> Well, Werner Vogels today talked about he said, "There's a shift, a fundamental shift going on, "a sort of early COVID-19. "It's not just about the technology, "but it's about how we access applications, "how we build applications." And Amazon is clearly making some bets and betting on data. We know that. And they are also betting on video because they know that's where a lot of the data comes from. When you talk about who's got experience, I mean, clearly Amazon is seeing a huge demand for video services and we're seeing a giant disruption in content distribution networks. And Amazon, I think, is at the heart of that. So, I mean, it's you know, it's interesting to see him doubling down on that, talking about the whole workflow. So I think in terms of experience, obviously at Amazon, they're going to, that's one of their clear sweet spots. But there are obviously other. >> You know, I've heard the term reinvent many times in the past couple of months, especially during the COVID crisis. And it wasn't in context to the Amazon show. There's a real reinvention going on in the marketplace, in enterprises, in small, medium sized enterprises to every business they have to rethink and reinvent what they're doing to get a growth trajectory. And traditionally, we look at these crisis of 2008. Companies that came out on the upswing became a real master master class, examples of growth and a lot of people who weren't prepared, flatline or dropped off. So we are in this point. Even theCUBE we're are digital, we're virtual. We're rethinking it. We're open to new ideas. There's going to be an experimentation phase at the same time, how do you leverage what's out there? This is going to be an opportunity for the cloud, guys. How do you guys react to all that? >> Well, the last downturn was good for cloud, and still you we've talked about how this one certainly is shaping up to be a tailwind as well for cloud. Cloud is doing better than others. I think Gartner put out a stat today they've seen like a 5x increase in inquiries around cloud. Not surprising companies that previously wouldn't even think about cloud now they really have no choice. >> Guys, we've got to cut it there, we've got to go to Cocky. We had all day with theCUBE. CUBE Virtual AWS Summit Online. Check out they got a big portal. It's complicated. Is a lot of a lot of education going on there. It's the classic Emison Summit. We've got great interviews. Guys we've got a great interview coming up next with Matt Garman, who's the new senior vice president or vice president of sales and marketing. He runs all the field, public sector, both of those areas under massive growth opportunities. So, we're going to hear from him. Thanks for coming on, guys. Really appreciate it. Good to celebrate as well in Boston.. And thanks for the insight. So, we'll be right back with more CUBE coverage after the short break. And Matt Garman up next. (upbeat music)

>> Announcer: From theCUBE studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is theCUBE Conversation. >> Everyone welcome back to our CUBE virtual coverage of AWS Summit Online, also a virtual event. I'm John Fourier, host of theCUBE. We're here in our studios in Palo Alto with our quarantine crew, for the past two and a half months, continuing to keep theCUBE rolling, keeping the lights on, talking to everyone that's out there, also covering the top events. AWS Summit, theCUBE can't be there, the event's not happening. We're happening virtually. Got a great guest here, Herain Oberoi, Director of product marketing, database analytics blockchain, he understands data, understands infrastructure. Great to see you again, thanks for coming on. Virtual CUBE! >> Thanks for having us, and this is a cool way to do it. >> Yeah, you know, now there's no excuse when I hit you up on LinkedIn, we're going to do a video. Lot more to do. Anyway, all seriousness. It's a tough time. At-scale problems are here, we're seeing more and more things going on at the Summit here, Kendra general availability, general availability of the ultra warm for Amazon elastic search on a non-augmented AI, a lot of the GAs are coming from reinvents, so a lot of the cadence of AWS, are happening now. You're involved in the elastic search, the ultra warm. This kind of gets to the role of data, warm data, cold data, hot data. This is a big part of the machine learning. Can you give it set up for why this is getting so popular, what's the big deal here? >> Absolutely, yeah. So I'll start off by just setting some context on elastic search itself, and why it's gotten so popular more recently. So, you know, we talk about data, and having to grow exponentially over a long period of time, and it's because, you know, so many people are now building apps in the cloud using Microsoft's architectures and the amount of log data that's being generated by these applications is being used to monitor and assess the operational performance of these systems, and so a lot of customers are moving to elastic search service, because it allows customers to collect and analyze and visualize all of this unstructured and semi-structured log data, this machine-generated log data, in order to look at how the applications are doing. And so, elastic search service is sort of the fully-managed cloud version of the plastic search, that allows customers to run elastic search in a fully-managed way, which means I'm not spending time doing configuration and setup, or, you know, figuring out scalability for my clusters, I can focus more on actually analyzing the data itself. So that's kind of just a little bit of what elastic search is, and so what's been going on, is as customers have been using elastic search, the amount of data that they want to be able to analyze is increasing, and so one of the one of the challenges is that elastic search, the file format itself is really optimized for search so it makes it really quick and interactive. But it's not optimized for storage, and so it's somewhat inefficient for storage and so what customers end up doing, is they want store months of operational data, it's actually hundreds of terabytes, and so what happens is it becomes expensive, and customers either start to store that in archives, or they don't store it at all. And so, if you store in our archives now, you've got DevOps engineers and no security experts that have to spend days to restore that data from the archive like an ordnance, to sort of search and analyze that data. And so what ultra warm does, is it's a new high-performance, low-cost, warm storage, or elastic search service. And this allows customers to store up to three petabytes of data, at about a tenth of the cost of existing options. And so, it gives customers the ability to now store months of data for interactive analysis than they could before. >> That's a great description, thanks for sharing that. I think one of the things that I've been seeing is a trend kind of old guard mentality was "hey here's some storage, "you're going to pay for it "oh let's do some tearing, and pay for that," and then that's cool, but then as you get more and more data, when you said the log file's an unstructured data, you need to use that not only to store it, but you use it in the applications. the data is actually part of the user experience, right, so, I think that's where I see it now. What you're saying is that in the old model, or even the cloud model was getting costly, because they were storing the data, cause they needed low latency. So, is warm implying lower latency, faster access to data, as well? So I get the pricing thing, so it's the lower cost, we'll get to that in a second, but is it a speed issue around access to data? >> Yeah, so ultra warm, so that gives you the best of both. So it's like I said, you know, it's optimized for search, so you can get that fast interactive query and visualization of the data, but it's not optimized for storage. so with ultra warm, you now have a warm storage sphere that's sort of optimized for both, you can actually still get that interactive query and visualization capability that you would expect from elastic search, but you can do it at lower cost, in a much larger amount of data. >> What are you talking about in terms of order magnitude here? Give us a taste for the warm cost structure, versus the alternative. >> Yeah, so it's roughly about 80% lower than warm tier storage from other in a managed elastic search services and you'll get about 50% faster query execution. And so, that's enough for customers to be able to get that interactivity they want from that elastic search experience that they're looking for. >> That's pretty significant numbers there, that just comes from the Amazon architecture, Nitro. What's the secret sauce on all this? >> So ultra warm, effectively it's a distributed cache and it's a distributed cache for more frequently accessed data. So what it does is, it uses these advanced placement techniques to determine specifically which blocks of data are going to be accessed less frequently, and it moves those outside of the cache into S3, that's low cost storage, and then for the more frequently accessed blocks, it'll keep that in the cache, you can get that interactivity, so it's effectively doing really really smart caching, on really large volumes of data, directly inside an elastic search service itself. >> And the value for me as the customer, is what, I've got acts better integration, for data intelligence into the app is it a machine-learning? I mean, it's a multitude problem. >> You can now do operational analytics and log analytics on a longer period of time than you would at a much, much lower cost and so if I'm a firm that's doing analysis of my security logs, and I'm only able to do it cost-effectively, by looking at my security logs for the past week, I can now cost-effectively do that same analysis by looking at the security logs for the past month, and that might actually give me the ability to identify new trends and new patterns, that I wouldn't have seen. >> So more usable actual data, for the same price it was before, just in a scale, so more scale for data, making it usable with the application. >> Yeah, more scale, at lower cost. >> More scale. (laughing) It sounds like the Amazon formula. All right, so what's the most important thing to take away from this? Cost structure, scale, anything else that we should know about around ultra warm for elastic search? >> Yeah, I mean the biggest thing it's how your analysis changes, you can now go from storing just kind of a few days, maybe weeks, worth of operational data, to months of operational data, at really low cost. And so, without the warm now, you can now use elastic search, so this, for a broader set of use cases as well. >> Talk about the impact in Europe, I'm going to put it put you on the spot here, for a second, around this new reality right, we're in an at-scale crisis. You guys in Amazon are under a lot of pressure to deliver, I talked with the folks from the EC2 group, Matt Garmin came on as well, David Brown, you guys deliver in massive capacity with compute, I got to imagine, there's going to be a data opportunity to kind of have more data lakes, I saw the Kendra news general availability, augmented AI, so data will be killer here, feature for the future. This has to be more ubiquitous, in terms of capability. What's your vision on this, post-pandemic, and how do companies reset and reinvent, to take advantage of that, so that their outcomes are on the up slope, post-pandemic, when it's still going to be a quasi-work at home, more teams are going to be distributed, it's a virtualization model, and media, and life, I mean, we're going to be virtualized. >> Yeah, I think you know, like everything we do, when you think about roadmap, it all starts and stems from working backwards, from what our customers are looking for. And given the environment now, more than ever, moving to the cloud is helping customers you know, lower cost, be more agile, scale up, scale down, more effectively. And so, it's actually accelerating the need for customers to start to use a lot of data analytics services in the cloud, as well. And as customers continue to look at ways to analyze the applications, and how they're running, and how to scale the applications, they're going to use a lot of our data and analytics services as well. And so, continuing to find ways to give customers better performance, better service and applying at lower cost, will continue to be what we focus on, and we're certainly having those conversations with customers today. >> And what's your advice to app developers out there, and developers who are really going to be in the front lines. The workloads are going to look differently, they're going to have more video, more data, there's going to be more cloud native, more micro-services, as you pointed out. So, how should developers leverage and build great products? What's your best practice? >> I again I think for developers, just like for us, building great product starts with working backwards, from the customer. It's really listening to what are the customer paying points that you're solving, how are you going to solve it in a way that's unique and different, better than how it's been solved today, and then being able to run that in an operationally efficient way, that's going to provide a high quality of service, in terms of performance, in terms of availability, and in terms of cost. All of those things continue to hold true. And, you know, our job is to give developers the tools that they need to help them to do that. >> Well, what else is new with you? How you you doing out there, you got cabin fever yet? I mean you got all the tools with Amazon, everyone kind of seems like they're in okay mood, how are you doing? >> Yeah, no, we're doing good. you know I'm here with my family, I have two kids who are doing some version of remote schooling, so juggling time with the kids and balancing that with commitments at work. But, you know, here at Amazon, we're kind of very focused on continuing to help customers as they go through this challenging time, and so, I think, getting the teams aligned on, you know, what can we do to help, and getting our teams involved in finding new ways to give customers what they need is the ongoing focus. And, you know, we recently released a data leak that's got a lot of information around the whole Covid-19 data sets that are publicly available, and we're trying to see customers use that, in particular around the public health space, to do analysis on that data as well. >> A lot of AWS goodness, you guys are doing a lot of tech for good there, congratulations. Thanks for coming on and sharing the insights, stay safe, everyone's got cabin fever. Certainly if you've got kids, I have four, you know how hard it is. So stay safe and we'll see you soon, and we'll be remote from now. CUBE Virtual here with AWS Summit 2020, online virtual. I'm John Fourier, thanks for watching. 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>> Narrator: From theCUBE Studios in Palo Alto and Boston, connecting with thought leaders all around the world, this is a CUBE conversation. >> Hello everyone, welcome to this special CUBE interview. We are here at theCUBE Virtual covering AWS Summit Virtual Online. This is Amazon's Summits that they normally do all around the world. They're doing them now virtually. We are here in the Palo Alto COVID-19 quarantine crew getting all the interviews here with a special guest, Vice President of Machine Learning, we have Swami, CUBE Alumni, who's been involved in not only the machine learning, but all of the major activity around AWS around how machine learning's evolved, and all the services around machine learning workflows from transcribe, recognition, you name it. Swami, you've been at the helm for many years, and we've also chatted about that before. Welcome to the virtual CUBE covering AWS Summit. >> Hey, pleasure to be here, John. >> Great to see you. I know times are tough. Everything okay at Amazon? You guys are certainly cloud scaled, not too unfamiliar of working remotely. You do a lot of travel, but what's it like now for you guys right now? >> We're actually doing well. We have been I mean, this many of, we are working hard to make sure we continue to serve our customers. Even from their site, we have done, yeah, we had taken measures to prepare, and we are confident that we will be able to meet customer demands per capacity during this time. So we're also helping customers to react quickly and nimbly, current challenges, yeah. Various examples from amazing startups working in this area to reorganize themselves to serve customer. We can talk about that common layer. >> Large scale, you guys have done a great job and fun watching and chronicling the journey of AWS, as it now goes to a whole 'nother level with the post pandemic were expecting even more surge in everything from VPNs, workspaces, you name it, and all these workloads are going to be under a lot of pressure to do more and more value. You've been at the heart of one of the key areas, which is the tooling, and the scale around machine learning workflows. And this is where customers are really trying to figure out what are the adequate tools? How do my teams effectively deploy machine learning? Because now, more than ever, the data is going to start flowing in as virtualization, if you will, of life, is happening. We're going to be in a hybrid world with life. We're going to be online most of the time. And I think COVID-19 has proven that this new trajectory of virtualization, virtual work, applications are going to have to flex, and adjust, and scale, and be reinvented. This is a key thing. What's going on with machine learning, what's new? Tell us what are you guys doing right now. >> Yeah, I see now, in AWS, we offer broadest-- (poor audio capture obscures speech) All the way from like expert practitioners, we offer our frameworks and infrastructure layer support for all popular frameworks from like TensorFlow, Apache MXNet, and PyTorch, PowerShell, (poor audio capture obscures speech) custom chips like inference share. And then, for aspiring ML developers, who want to build their own custom machine learning models, we're actually building, we offer SageMaker, which is our end-to-end machine learning service that makes it easy for customers to be able to build, train, tune, and debug machine learning models, and it is one of our fastest growing machine learning services, and many startups and enterprises are starting to standardize their machine learning building on it. And then, the final tier is geared towards actually application developers, who did not want to go into model-building, just want an easy API to build capabilities to transcribe, run voice recognition, and so forth. And I wanted to talk about one of the new capabilities we are about to launch, enterprise search called Kendra, and-- >> So actually, so just from a news standpoint, that's GA now, that's being announced at the Summit. >> Yeah. >> That was a big hit at re:Invent, Kendra. >> Yeah. >> A lot of buzz! It's available. >> Yep, so I'm excited to say that Kendra is our new machine learning powered, highly accurate enterprise search service that has been made generally available. And if you look at what Kendra is, we have actually reimagined the traditional enterprise search service, which has historically been an underserved market segment, so to speak. If you look at it, on the public search, on the web search front, it is a relatively well-served area, whereas the enterprise search has been an area where data in enterprise, there are a huge amount of data silos, that is spread in file systems, SharePoint, or Salesforce, or various other areas. And deploying a traditional search index has always that even simple persons like when there's an ID desk open or when what is the security policy, or so forth. These kind of things have been historically, people have to find within an enterprise, let alone if I'm actually in a material science company or so forth like what 3M was trying to do. Enable collaboration of researchers spread across the world, to search their experiment archives and so forth. It has been super hard for them to be able to things, and this is one of those areas where Kendra has enabled the new, of course, where Kendra is a deep learning powered search service for enterprises, which breaks down data silos, and collects actually data across various things all the way from S3, or file system, or SharePoint, and various other data sources, and uses state-of-art NLP techniques to be able to actually index them, and then, you can query using natural language queries such as like when there's my ID desk-scoping, and the answer, it won't just give you a bunch of random, right? It'll tell you it opens at 8:30 a.m. in the morning. >> Yeah. >> Or what is the credit card cashback returns for my corporate credit card? It won't give you like a long list of links related to it. Instead it'll give you answer to be 2%. So it's that much highly accurate. (poor audio capture obscures speech) >> People who have been in the enterprise search or data business know how hard this is. And it is super, it's been a super hard problem, the old in the old guard models because databases were limiting to schemas and whatnot. Now, you have a data-driven world, and this becomes interesting. I think the big takeaway I took away from Kendra was not only the new kind of discovery navigation that's possible, in terms of low latency, getting relevant content, but it's really the under-the-covers impact, and I think I'd like to get your perspective on this because this has been an active conversation inside the community, in cloud scale, which is data silos have been a problem. People have had built these data silos, and they really talk about breaking them down but it's really again hard, there's legacy problems, and well, applications that are tied to them. How do I break my silos down? Or how do I leverage either silos? So I think you guys really solve a problem here around data silos and scale. >> Yeah. >> So talk about the data silos. And then, I'm going to follow up and get your take on the kind of size of of data, megabytes, petabytes, I mean, talk about data silos, and the scale behind it. >> Perfect, so if you look at actually how to set up something like a Kendra search cluster, even as simple as from your Management Console in the AWS, you'll be able to point Kendra to various data sources, such as Amazon S3, or SharePoint, and Salesforce, and various others. And say, these are kind of data I want to index. And Kendra automatically pulls in this data, index these using its deep learning and NLP models, and then, automatically builds a corpus. Then, I, as in user of the search index, can actually start querying it using natural language, and don't have to worry where it comes from, and Kendra takes care of things like access control, and it uses finely-tuned machine learning algorithms under the hood to understand the context of natural language query and return the most relevant. I'll give a real-world example of some of the field customers who are using Kendra. For instance, if you take a look at 3M, 3M is using Kendra to support search, support its material science R&D by enabling natural language search of their expansive repositories of past research documents that may be relevant to a new product. Imagine what this does to a company like 3M. Instead of researchers who are spread around the world, repeating the same experiments on material research over and over again, now, their engineers and researchers will allow everybody to quickly search through documents. And they can innovate faster instead of trying to literally reinvent the wheel all the time. So it is better acceleration to the market. Even we are in this situation, one of the interesting work that you might be interested in is the Semantic Scholar team at Allen Institute for AI, recently opened up what is a repository of scientific research called COVID-19 Open Research Dataset. These are expert research articles. (poor audio capture obscures speech) And now, the index is using Kendra, and it helps scientists, academics, and technologists to quickly find information in a sea of scientific literature. So you can even ask questions like, "Hey, how different is convalescent plasma "treatment compared to a vaccine?" And various in that question and Kendra automatically understand the context, and gets the summary answer to these questions for the customers, so. And this is one of the things where when we talk about breaking the data silos, it takes care of getting back the data, and putting it in a central location. Understanding the context behind each of these documents, and then, being able to also then, quickly answer the queries of customers using simple query natural language as well. >> So what's the scale? Talk about the scale behind this. What's the scale numbers? What are you guys seeing? I see you guys always do a good job, I've run a great announcement, and then following up with general availability, which means I know you've got some customers using it. What are we talking about in terms of scales? Petabytes, can you give some insight into the kind of data scale you're talking about here? >> So the nice thing about Kendra is it is easily linearly scalable. So I, as a developer, I can keep adding more and more data, and that is it linearly scales to whatever scale our customers want. So and that is one of the underpinnings of Kendra search engine. So this is where even if you see like customers like PricewaterhouseCoopers is using Kendra to power its regulatory application to help customers search through regulatory information quickly and easily. So instead of sifting through hundreds of pages of documents manually to answer certain questions, now, Kendra allows them to answer natural language question. I'll give another example, which is speaks to the scale. One is Baker Tilly, a leading advisory, tax, and assurance firm, is using Kendra to index documents. Compared to a traditional SharePoint-based full-text search, now, they are using Kendra to quickly search product manuals and so forth. And they're able to get answers up to 10x faster. Look at that kind of impact what Kendra has, being able to index vast amount of data, with in a linearly scalable fashion, keep adding in the order of terabytes, and keep going, and being able to search 10x faster than traditional, I mean traditional keyword search based algorithm is actually a big deal for these customers. They're very excited. >> So what is the main problem that you're solving with Kendra? What's the use case? If I'm the customer, what's my problem that you're solving? Is it just response to data, whether it's a call center, or support, or is it an app? I mean, what's the main focus that you guys came out? What was the vector of problem that you're solving here? >> So when we talked to customers before we started building Kendra, one of the things that constantly came back for us was that they wanted the same ease of use and the ability to search the world wide web, and customers like us to search within an enterprise. So it can be in the form of like an internal search to search within like the HR documents or internal wiki pages and so forth, or it can be to search like internal technical documentation or the public documentation to help the contact centers or is it the external search in terms of customer support and so forth, or to enable collaboration by sharing knowledge base and so forth. So each of these is really dissected. Why is this a problem? Why is it not being solved by traditional search techniques? One of the things that became obvious was that unlike the external world where the web pages are linked that easily with very well-defined structure, internal world is very messy within an enterprise. The documents are put in a SharePoint, or in a file system, or in a storage service like S3, or on naturally, tell-stores or Box, or various other things. And what really customers wanted was a system which knows how to actually pull the data from various these data silos, still understand the access control behind this, and enforce them in the search. And then, understand the real data behind it, and not just do simple keyword search, so that we can build remarkable search service that really answers queries in a natural language. And this has been the theme, premise of Kendra, and this is what had started to resonate with our customers. I talked with some of the other examples even in areas like contact centers. For instance, Magellan Health is using Kendra for its contact centers. So they are able to seamlessly tie like member, provider, or client specific information with other inside information about health care to its agents so that they can quickly resolve the call. Or it can be on internally to do things like external search as well. So very satisfied client. >> So you guys took the basic concept of discovery navigation, which is the consumer web, find what you're looking for as fast as possible, but also took advantage of building intelligence around understanding all the nuances and configuration, schemas, access, under the covers and allowing things to be discovered in a new way. So you basically makes data be discoverable, and then, provide an interface. >> Yeah. >> For discovery and navigation. So it's a broad use cat, then. >> Right, yeah that's sounds somewhat right except we did one thing more. We actually understood not just, we didn't just do discovery and also made it easy for people to find the information but they are sifting through like terabytes or hundreds of terabytes of internal documentation. Sometimes, one other things that happens is throwing a bunch of hundreds of links to these documents is not good enough. For instance, if I'm actually trying to find out for instance, what is the ALS marker in an health care setting, and for a particular research project, then, I don't want to actually sift through like thousands of links. Instead, I want to be able to correctly pinpoint which document contains answer to it. So that is the final element, which is to really understand the context behind each and every document using natural language processing techniques so that you not only find discover the information that is relevant but you also get like highly accurate possible precise answers to some of your questions. >> Well, that's great stuff, big fan. I was really liking the announcement of Kendra. Congratulations on the GA of that. We'll make some room on our CUBE Virtual site for your team to put more Kendra information up. I think it's fascinating. I think that's going to be the beginning of how the world changes, where this, this certainly with the voice activation and API-based applications integrating this in. I just see a ton of activity that this is going to have a lot of headroom. So appreciate that. The other thing I want to get to while I have you here is the news around the augmented artificial intelligence has been brought out as well. >> Yeah. >> So the GA of that is out. You guys are GA-ing everything, which is right on track with your cadence of AWS laws, I'd say. What is this about? Give us the headline story. What's the main thing to pay attention to of the GA? What have you learned? What's the learning curve, what's the results? >> So augmented artificial intelligence service, I called it A2I but Amazon A2I service, we made it generally available. And it is a very unique service that makes it easy for developers to augment human intelligence with machine learning predictions. And this is historically, has been a very challenging problem. We look at, so let me take a step back and explain the general idea behind it. You look at any developer building a machine learning application, there are use cases where even actually in 99% accuracy in machine learning is not going to be good enough to directly use that result as the response to back to the customer. Instead, you want to be able to augment that with human intelligence to make sure, hey, if my machine learning model is returning, saying hey, my confidence interval for this prediction is less than 70%, I would like it to be augmented with human intelligence. Then, A2I makes it super easy for customers to be, developers to use actually, a human reviewer workflow that comes in between. So then, I can actually send it either to the public pool using Mechanical Turk, where we have more than 500,000 Turkers, or I can use a private workflow as a vendor workflow. So now, A2I seamlessly integrates with our Textract, Rekognition, or SageMaker custom models. So now, for instance, NHS is integrated A2I with Textract, so that, and they are building these document processing workflows. The areas where the machine learning model confidence load is not as high, they will be able augment that with their human reviewer workflows so that they can actually build in highly accurate document processing workflow as well. So this, we think is a powerful capability. >> So this really kind of gets to what I've been feeling in some of the stuff we worked with you guys on our machine learning piece. It's hard for companies to hire machine learning people. This has been a real challenge. So I like this idea of human augmentation because humans and machines have to have that relationship, and if you build good abstraction layers, and you abstract away the complexity, which is what you guys do, and that's the vision of cloud, then, you're going to need to have that relationship solidified. So at what point do you think we're going to be ready for theCUBE team, or any customer that doesn't have the or can't find a machine learning person? Or may not want to pay the wages that's required? I mean it's hard to find a machine learning engineer, and when does the data science piece come in with visualization, the spectrum of pure computer science, math, machine learning guru to full end user productivity? Machine learning is where you guys are doing a lot of work. Can you just share your opinion on that evolution of where we are on that? Because people want to get to the point where they don't have to hire machine learning folks. >> Yeah. >> And have that kind support too. >> If you look at the history of technology, I actually always believe that many of these highly disruptive technology started as a way that it is available only to experts, and then, they quickly go through the cycles, where it becomes almost common place. I'll give an example with something totally outside the IT space. Let's take photography. I think more than probably 150 years ago, the first professional camera was invented, and built like three to four years still actually take a really good picture. And there were only very few expert photographers in the world. And then, fast forward to time where we are now, now, even my five-year-old daughter takes actually very good portraits, and actually gives it as a gift to her mom for Mother's Day. So now, if you look at Instagram, everyone is a professional photographer. I kind of think the same thing is about to, it will happen in machine learning too. Compared to 2012, where there were very few deep learning experts, who can really build these amazing applications, now, we are starting to see like tens of thousands of actually customers using machine learning in production in AWS, not just proof of concepts but in production. And this number is rapidly growing. I'll give one example. Internally, if you see Amazon, to aid our entire company to transform and make machine learning as a natural part of the business, six years ago, we started a Machine Learning University. And since then, we have been training all our engineers to take machine learning courses in this ML University, and a year ago, we actually made these coursework available through our Training and Certification platform in AWS, and within 48 hours, more than 100,000 people registered. Think about it, that's like a big all-time record. That's why I always like to believe that developers are always eager to learn, they're very hungry to pick up new technology, and I wouldn't be surprised if four or five years from now, machine learning is kind of becomes a normal feature of the app, the same with databases are, and that becomes less special. If that day happens, then, I would see it as my job is done, so. >> Well, you've got a lot more work to do because I know from the conversations I've been having around this COVID-19 pandemic is it's that there's general consensus and validation that the future got pulled forward, and what used to be an inside industry conversation that we used to have around machine learning and some of the visions that you're talking about has been accelerated on the pace of the new cloud scale, but now that people now recognize that virtual and experiencing it firsthand globally, everyone, there are now going to be an acceleration of applications. So we believe there's going to be a Cambrian explosion of new applications that got to reimagine and reinvent some of the plumbing or abstractions in cloud to deliver new experiences, because the expectations have changed. And I think one of the things we're seeing is that machine learning combined with cloud scale will create a whole new trajectory of a Cambrian explosion of applications. So this has kind of been validated. What's your reaction to that? I mean do you see something similar? What are some of the things that you're seeing as we come into this world, this virtualization of our lives, it's every vertical, it's not one vertical anymore that's maybe moving faster. I think everyone sees the impact. They see where the gaps are in this new reality here. What's your thoughts? >> Yeah, if you see the history from machine learning specifically around deep learning, while the technology is really not new, especially because the early deep learning paper was probably written like almost 30 years ago. And why didn't we see deep learning take us sooner? It is because historically, deep learning technologies have been hungry for computer resources, and hungry for like huge amount of data. And then, the abstractions were not easy enough. As you rightfully pointed out that cloud has come in made it super easy to get like access to huge amount of compute and huge amount of data, and you can literally pay by the hour or by the minute. And with new tools being made available to developers like SageMaker and all the AI services, we are talking about now, there is an explosion of options available that are easy to use for developers that we are starting to see, almost like a huge amount of like innovations starting to pop up. And unlike traditional disruptive technologies, which you usually see crashing in like one or two industry segments, and then, it crosses the chasm, and then goes mainstream, but machine learning, we are starting to see traction almost in like every industry segment, all the way from like in financial sector, where fintech companies like Intuit is using it to forecast its call center volume and then, personalization. In the health care sector, companies like Aidoc are using computer vision to assist radiologists. And then, we are seeing in areas like public sector. NASA has partnered with AWS to use machine learning to do anomaly detection, algorithms to detect solar flares in the space. And yeah, examples are plenty. It is because now, machine learning has become such common place that and almost every industry segment and every CIO is actually already looking at how can they reimagine, and reinvent, and make their customer experience better covered by machine learning. In the same way, Amazon actually asked itself, like eight or 10 years ago, so very exciting. >> Well, you guys continue to do the work, and I agree it's not just machine learning by itself, it's the integration and the perfect storm of elements that have come together at this time. Although pretty disastrous, but I think ultimately, it's going to come out, we're going to come out of this on a whole 'nother trajectory. It's going to be creativity will be emerged. You're going to start seeing really those builders thinking, "Okay hey, I got to get out there. "I can deliver, solve the gaps we are exposed. "Solve the problems, "pre-create new expectations, new experience." I think it's going to be great for software developers. I think it's going to change the computer science field, and it's really bringing the lifestyle aspect of things. Applications have to have a recognition of this convergence, this virtualization of life. >> Yeah. >> The applications are going to have to have that. So and remember virtualization helped Amazon formed the cloud. Maybe, we'll get some new kinds of virtualization, Swami. (laughs) Thanks for coming on, really appreciate it. Always great to see you. Thanks for taking the time. >> Okay, great to see you, John, also. Thank you, thanks again. >> We're with Swami, the Vice President of Machine Learning at AWS. Been on before theCUBE Alumni. Really sharing his insights around what we see around this virtualization, this online event at the Amazon Summit, we're covering with the Virtual CUBE. But as we go forward, more important than ever, the data is going to be important, searching it, finding it, and more importantly, having the humans use it building an application. So theCUBE coverage continues, for AWS Summit Virtual Online, I'm John Furrier, thanks for watching. (enlightening music)

>>from the Cube Studios in Palo Alto and Boston connecting with thought leaders all around the world. This is a cube conversation. >>Everyone. Welcome back to the Cube's coverage of AWS Summit Online. Virtual Conference Is the Virtual Cube doing the remote? Interviews from our studio in Palo Alto? I'm John Furrier, host of the Cube. We're here with our quarantine crew. We're getting all the interviews out there. Also covering all the greatest in the cloud. We're in the cloud or in the coverage. Our got a great guest here practitioner who's really riding the innovation wave at the same time, taking advantage of the scale of a ws and putting into practice. Chris Foster, who's the CEO of TC Energy. Chris, Thanks for spending the time to come on the Cube. Appreciate it. >>Pleasure, John. Thanks for the opportunity. >>So you've got a great innovation story. That's something that we've been reporting a lot on is how companies can really reinvent, reset, reinvent, grow and put things in place from a Dev Ops cloud scale perspective. You doing it within the energy area. Take a minute to first explain what TC energy is and your role. >>Yeah, for sure, John TC Energy. You know, we're one of the biggest energy companies in North America. So the fastest way to explain it, You know, we like to think we provide the energy that you know in a enables and powers people's lives and about one in four of every molecules that gets delivered in North America. That's us on my role there. I'm very fortunate I >>lead the the >>I s team I have done since January 1st of 2019. Um, and our AWS journey started a little bit before that. I've had the pleasure of sort of jumping on the ah, the exciting part of it. I like to think where we've got a lot of that enabled and we're moving toe a lot of the innovation phases of that implementation. >>I love the innovation story. We love talking about how the new reality that's upon us certainly were in this covert crisis where people are actually seeing the impact at scale problems. You have a job where your product really cannot have disruption, right? At the same time, there is a large scale to it. And so as you guys think about what's going on on the pressure under at the same time, you can't just cut project. You can just cut costs for cutting costs sake. They're actually really needs to be an investment or doubling down in this case, take us through that that process because if you're on the cloud native wave and the AWS way, which you are on, you've been rolling out thinking about Dev ops. You ever thinking about agility? But now, as these new pressures emerge and even more new realities, certainly not a new normal. I hate the term, but it's the people using it. It's a new reality, and that is the right projects need to be funded because of the consequences of not having everything in place. This >>is >>where cloud shines, and this is where innovation and good management kind of comes into play. Can you share your perspective on that? >>Yeah. Be happy to John. You know, safety is our number. One concern always has been, always will be. And so, you know, we we look at everything we do from that lens of doing things safely and reliability as well. Of course, it's not just the safety in the way people would you know, I think about every day. It's also the reliability of that energy people rely on every day. And that has to be almost in our in our thoughts and then everything that we do. Um so I mean, as an example, I would say, you know, some of the, you know, around the periphery of what we did with our AWS implementation. We also took a hard look at our network implementations and how things were working in the background, how we were connected up. And that's one of the reasons that when we transitioned, you know, literally we went from a hey, we should start thinking about working from home sort of on a Wednesday, Thursday, and by Monday, the entire company was working from home, right? And that was the story for a lot of folks. I think on it was seamless. You know, we were not just able todo Obviously the primary focus was safety, reliability, and of course, you know, that was what preoccupied people in the early days we went even beyond that, I would say very quickly we were actually talking to people about, you know, I asked projects that didn't reach the criticality of safety and reliability, but was still important. And we were telling our stakeholders the delivery dates haven't changed. I mean, we were working in the office on Friday. We're working up home on Monday. No big deal. >>So what? The agility piece of that? Because I think that puts an exclamation point around what agility is supposed to be unformed. Seen situation. You implement your business as usual in kind of a weird way. It's not usual, but Cloud allows you to put the speed and scale and reliability together. What was the partnership with Azure? How did that change things or help things? Can you just unpack that a little bit? >>Yeah, by the way, I explain it to my business partners That work within TC energy is Look, it used to take us, you know, several weeks to get you any kind of compute capacity. So when we start talking about innovation and trying new things, the entry cost was high in terms of time and in terms of money, right? Like you'd have to give us a pile of cash. Let us go away. Design servers, you know, get all the right equipment racket and everything else, and that's a huge impediment to trying new things and being truly agile. What AWS has really given us. Yes, we're out of the business of looking after our own servers. And so I'm able to move my people, too. What I would say is more valuable work for the company that really focuses on the outcomes. But what's also very cool for our business partners is I can say that. Look, if you want more compute power than you've ever had before this afternoon, you know, give me, give me an hour and we'll have it for you on the Great part. Two is if on Monday you change your mind and you decide that that idea you had wasn't so great after role and oops, that's fine. I'll just turn it off for you, right? And there's no big deal. Where is in the old days? You phoned me on Monday and said it was a bad idea and say, Well, that's great, But I already bought the server and you, you're living with it for five years. >>That's a great example. You know, I've seen both pieces of the puzzle here. One side, the waterfall provisioning is a lot of risk involved at many levels of processing at scale or if it fails, you got the costs and then the agility side. You've got those example that you just pointed out. But I got to ask you as a manager, you know, some enterprises that are going into this area get stressed out, and things seem to be last minute. How >>do you >>manage that? When does it tip over to be part of the culture where it's like, don't worry about it. It's gonna hurt, because when new things have a full of process, process is great, you know, Don't break anything sweet last minute. So experimentation, as you pointed out, is the key to innovation getting things out there. But managing it is a hard part. What's your experience and what your best practice? >>Yeah, I think if I understand your question right, the journey. A lot of this goes to me towards culture, and, you know, we you can be, I think, coming from a place where perhaps your your your view of risk needs to change to get you into this new space. So obviously, like I said at the outset, in the safety and reliability is number one. We never do anything that would compromise any of those things. The reality and I asked, if I look at it is that you know, 80 90% of what I do doesn't have those types of implications associated with it. And so it becomes, you know, a different conversation about about risk and saying What's the worst thing that could happen? And, you know, you know, if that's not going Teoh intact, any safety and reliability, then let's take a look at it. And so I think the other thing that people are frightened off when it comes to implementing a change like this is obviously the impact on people, right? And I take that part of it very seriously to what I've been really pleased by in our journey is that we've managed to bring people along and give them new skill sets, and we're continuing to do that. We actually introduced what I call next year or the team. Sorry they came up with us, not me. But it's called next TC University, and it's this fabulous, you know, ability for people start signing on and getting new skill sets, you know, retraining themselves. And so we're starting to try and give people that sense of what's in it for them. Because that's the human element, right? So for people that love servers, you know, a You know, it was a big change to say, I'm not gonna get to touch it anymore. I'm not going to get a rack. That server, that's what I'm good at. No, But you're still going to get to do these other skills, right? >>Yeah, that's a great point. Well, if you love service, you love compute. So when you see the compute in action, they got to get excited about that. And I think that's one of the things I think having that on demand compute, almost dial, start dialing it up. And you guys probably agree with that. And your business is having that on one hand. But the team piece, I want to get back to that, cause I think that's the thing you mentioned earlier. Your team can be deployed in new new things. You have a next TC, which is more of a learning aspirational ladder or kind of way to make people feel good about themselves by getting new skills and reapplying it. It's a nice flywheel for the people side of the business. People process technology, as they say, but talk about the impact of the teams working with AWS and Cloud in general. What are some of those things they're working on? How do you shift? How do u flex that with some of the commentary around team the work that they dio and value? >>Yeah, It's a great question, John, and it's what I like to talk about, because what we've been able to do is to draw much more of, ah, clear line for our people between you know what they do and how it impacts the business. And I like to talk to people about the fact that we're blurring the lines now between IOS and the business. I think like it's never been tree done before, right? You know, I love to tell a story about one of my earlier in career folks who was presenting to a very senior group of senior group of VPs, one of whom came to me at the end of the meeting and said, you know which which one of our business units is that young man from And I said he's a nice guy you know? He said, The guy that was talked about line, pack and all those other things And I said, No, he's he's and I asked, right? And he was in disbelief. And that's what I would tell you is the biggest impact of the teams is it's blurring that line now where they're getting much more engaged on the business side, but also the, You know, the business folks are getting much more engaged in the IAS sites. This this kind of meshing now that you know, I asked, People have always striven for I always said, You know, be a partner. Don't be an order taker in my mind. A lot of this makes that possible cause you're getting out of those technical conversations you're having connecting much more with the with the outcomes that you can produce for the business, because it's mostly >>for the action to with this do you get there near the business. They can see it. They can feel the victories and also participate in that upside, and also take some of the learnings doing a lot of steep learning curve that go on for through the experimentation that you mentioned. This is this >>is >>the fun part. But also, it could be rewarding if you look at it that way. So how do you guys deal with the failures and learnings? And you know a lot about failure. But in a sense, if you can try out that you've gotta have that mindset of growth mindset where you're like, Okay, we're to fail, we're not gonna take it. Personal zones, you learn from it. How do you handle >>that? Yeah, it's a great question, John. You mentioned your sort of sick of the words new normal. And I'm I get a little tired of the of the Fail fast for similar reasons. Right to me, it's it's not fail fast as much as fail small and fail. Quick. Well, fail fast. But it's it's making sure you fail on the small things. So we have had failures. What I say to my business partners is look, in the past, I would have failed off the nine months and a couple $1,000,000 of your money. And probably more importantly, you've lost nine months of getting to that solution. Now I'm going to fail in six weeks or less. Andi were going very quickly. Weed out ideas and what I try and get very excited about is, you know, stop worrying about women. Idea is a good idea or a bad idea and spending months of analysis and time trying to figure it out. Let's do things on. You'll find it's cheaper to do. Some of these ideas figure out quickly going to cost way too much money. So we had one that was targeting some improvements in our field experience, and we underestimated the complexity of the systems it was gonna tie back into and all the legacy stuff that was in there wasn't a Greenfield. Nice clean thing to do. We did. We found out after a couple months, this isn't gonna work, right? Um, well, better after two months than two years and several $1,000,000. And that's how we kind of position that internally, >>you know, the whole fail fast thing. You know, you got me going on that couple terms. I always first talk a lot of jargon, so it's always kind of calm. The pot black but fail fast is no one wants to fail, right? So this whole glamorization of failure, any entrepreneur, any leader, no one rebels and failure failure is avoided. No one loves to say no fails, but it's more engineering. It's more getting the iteration. That's that's That's the real issue Here is not so much I look at me. I failed, you know that's got to be put to the side. But what you're getting at is really engineer architect ing really working the problem. And you need to make those iterations which essentially failure. But this whole idea of failing is just And that Data Lake don't get me going. >>It was true that example I gave you. We've actually just launched a very successful pilot from the learnings of that so called failure. Not really. I was just >>talking to another entrepreneur. I'm like, you know, when you're in the business and you're ahead of the curve, the whole world realizes that all of the pandemic these are some things. There are some companies that have those deep learnings, and they have an advantage because those endeavors give them that that courage to try something. But when it's now something obvious to do, those learnings Aaron advantage not a disadvantage. So to your point, that's awesome stuff. Um, tell about the, um, the machine learning side. And I'd love to get your take on. Are you tapping into some of the Amazon machine learning outside the compute stuff? I can see that being killer for you guys. What are some of the higher level services that come out of having some of these new things available? Like sage maker? There's a machine learning a ton of stuff coming out of the the wood work, if you will, From an Amazon standpoint, How are you looking at that? >>Yeah, there's some fabulous tools in there that we're definitely you know, we're fairly early in the in the journey, I would say, but we're already starting to see some great opportunities and great possibilities. So, you know, for example, assess. People probably realize we're quite rightly ah, heavily regulated. And we, you know, quite correctly have to produce a lot of information for regulators to establish that we're doing all of the right things. You know, sometimes when you've grown by acquiring different companies, you know, putting your hands on the right information at the right time could be challenging on dso we're using things like machine learning to help us find documentation quicker and faster to make sure that we can pull out, you know, certificates or regulation. You know, testing results, things like that much faster than we could in the past. Right? Um so that's one use that we already see for that that has the potential to speed up our interactions of regulators, help us refocus some costs internally on, you know, safe initiatives and that type of thing. So that's one example. We're also using machine learning to tell us more about how you can continue to operate the pipe, you know, more safe, you know, always more safely, more reliably, all the time. And, you know, the I truly believe, you know, all roads lead back to the data and how you get at that data, right. And so machine learning is most people in this audience who understand is is really another way of getting that data to tell you everything that's hidden within it. >>Once you get your team set up with the mindset, the culture having that compute, working on new things, you take advantage machine learning. Then you've got things like Kendra just announced general availability. These become abstractions of services, so that kind of leads me to. My final question for you is we're living in a time where Post Pandemic is gonna be exposed, that there's a lot of gaps. People realize that, you know, the tide has pulled out and you can see all the rocks that exposed opportunities out there, and there's also challenges. So we expecting a lot of projects will be cut me personnel as But there's a lot of projects being funded. So the funding versus cutting is going to be, I think, going all level out. But as people get back in and want to go the cloud, how should they be thinking about this? Actually, they be coming into the market because at your level, the CSO levels. It's more visibility than ever on resetting, reinventing and growing right, getting back on track or doubling down on a win. So what's your advice to people out there? The practitioners of Google Amazon summit and other folks that really need to take the step into the cloud native scale world. What's your advice? >>Well, yeah, it's definitely a challenging world, John, for a lot of people, and we're not immune to that. You know, we are seeing in my local community for sure lots of lots of people pulling back on projects and, um, expenditures. Right now, my advice to any of the folks out there is when I talk to my business partners, I try and talk about funding outcomes and not funding projects. Right? And so, you know, rather than when you might my biggest concern. Whenever we talk about budgets, everyone has to go for budget conversations that I don't care what industry you're in or what your position is. I want to make sure that when we decide where we set the budget, if we're gonna set it here, do we know what's above the line and below the line in business terms, right. So it's very easy to cut technology and not really see a business impact on DSO. What I like to talk about with our business partners internally is to talk about everything in terms of the outcomes you're trying to fund. And so if for me it's a enhancement infield productivity, you know, reducing the windshield time of our people in the field because that's a primary safety issue. That's the outcome I'm going for and their bi projects behind it and that that's the biggest advice I can give people when it's now. There's so much scrutiny on, you know, is that a dollar that's worth spending? If you talk about technology in most you know, boardrooms or leadership tables around North America, you're gonna lose people. Very first, you gotta focus it back to what the business is trying to do with it and create teams that can really zero in together. You know, blur the lines. Like I said previously, between IOS and the business people, where everyone's got the outcome that's pasted up on the wall, that's what we're going to deliver. We're gonna, you know, come to ah, conclusion quickly on whether we can do it. >>Yeah, it's not a shiny new toy. It's how the engine of innovation hits the business object. That's great stuff. Final final question. What are you excited about these days? Obviously, we're in a tough time. Um, there are new realities we're gonna come out of this is going to be a hybrid world in this virtual interactions. We're having the cube virtual Amazon summit. Virtual life isn't now part of everybody's immersion. You've got the edge of the network exploding. You've got all the you know it's chaotic. But if you squint through that there's opportunities. Start up a big business. What are you excited about? >>I agree with you, John. I think you have to be glass half full. And I don't mean to be just the sort of overly optimistic, but I think you have to look at this as an opportunity for a bit of a rebirth of the shift, right? And, you know, I don't wanna downplay the fact that change is hard for people. I don't downplay the fact that people are going through some very tough things right now. So, you know, not not trying to put sort of, but too much of sweetener on things. But I think if you're looking for a positive angle, you look at it the rebirth of the opportunities that will come out of that right. I think there's incredible, you know, technology opportunities coming out of it. I talked to my people all the time about focus on what you can control on what you can control. This staying relevant right. We know we're entering a digital world. We know that things are gonna look differently when we come back. We may not know what they are yet, but companies are gonna continue to need great technology. You know, our partnership with AWS has given us access to great technology. Focus on that. Because that's what you can control on. I think you know, you'll see that some opportunities will come out of this. We probably didn't expect >>and also that it's an inflection point as well. 2000 and eight. When we had the financial crisis there, there were clear coming. They're on the up trajectory and stayed up here. I think we're going to see something similar. So I think there's gonna be a right side of history coming out of this. And it's going to be one of those things where you can tell by who's growing and who's the trajectories of their business outcomes. Um, well, tried a lot of that. >>Yeah, I would agree. A lot of there's a there's always someone that's that you don't realize till later was was quietly making making hay right? Well, this was happening, and I would encourage people to think about that. >>You don't want to be that company. As expression goes, Chris, thank you so much for taking the time to share your insights on the Cube virtual as part of our AWS summit coverage. This is the Cube virtual. Thanks for coming on. Appreciate it. >>Pleasure. Thanks for having me. >>I'm John Furrier here in the Palo Alto studios covering AWS Summit online. Virtual. Is the Cube virtual doing our part here with our quarantine crew getting all the data sharing that with you. I'm John Furrier. Thanks for watching. Yeah. Yeah, yeah, yeah.

>>from the Cube Studios in Palo Alto and Boston connecting with thought leaders all around the world. This is a cube conversation. >>Everyone. Welcome back to the Cube's virtual coverage of AWS Summit Online. Their virtual conference. I'm John Furrier here in the Cube studio for a conversation with Matt Garman, Vice president. Sales amount of AWS. We're here with our quarantine crew. Matt. Thanks for joining me. I know your remote as well. We're living in a virtualized world. Thanks for coming on. AWS Summit is now online. You're running sales and market for the company. This is really caught a lot of companies by surprise this this situation sheltering in place. It's highlighted a lot of scale problems. One of them is events. So we're here at the AWS Summit online, and you guys are still pulling it off A lot of content. Great to see you. >>Great. Thanks. Thanks for having me. >>So before we get into some of the announcements in the customer focus things that you guys are doing, you and I both met. We did an interview when you were running the EEC to you've been with Amazon for a long time, Got a storied history. You were there from one E. C two launched saw Amazon grow. This really kind of ties into some reporting that we've been doing where cloud native a scale of what advice became it really was a game changer and that showed the at scale opportunity for startups. And now the enterprise. This covert 19 is really showing companies and individuals their living it, of being disrupted, where the Internet and large scale tools and technologies can help them, but also exposes gaps in their lives or in companies, cases, things like provisioning VP ends. Maybe they didn't figure out 100% would be at home, but then going forward, the applications are now thinking about this new virtualized world. Even when it comes back to normal, be somewhat of a hybrid, you know, integrated world. This will put pressure on you guys as Amazon to build more capacity like you did with the see too, but at a whole nother level. So I want to get into that and more. But this covert 19 really has changed the game for the world. What do you guys see in your customer base? This is a big part of the conversation. What's going on? >>Thanks, John, And you're right. This is an unprecedented time for us, and on day eight of us as well as our customers are all trying to figure it out. I think you know, part of part of what we've seen from our customers as we talk out there, whether they're public service or private customers is is really that that demands that they're seeing from their customer bases are rapidly changing. Some customers have their businesses have seen much fewer lower demands and others before. But others they're seeing 10 21 100 x more business than they were before. And what we're seeing is that those customers that have their business running in the cloud are able to handle that on quickly. Our ableto adapt and change and grow with their changing customer base, and sometimes that's internal. Sometimes you're like you said. That's because, um, they need to scale up their VPN or they need to scale up their virtual workstations. Other times, it's customers who maybe they run a large call center business. But their call center folks are no longer able to come into the office, and they quickly spin up a virtual call center. We've seen our Amazon connect business really, really take off as customers quickly united to figure out how they can manage the actually increased call Williams they're seeing, but in a virtual location. And finally, we're just seeing some customers, whether they're from entertainment from communication or online education. Many of these businesses they're scaling rapidly wouldn't have been able to do it if they're running in their own data center. But because they're in the cloud, they're able to quickly spin up more instances, spin up more storage and meet the demands of their customers. So I think it's been nice to see. Fortunately for us, we've had many years, as you mentioned, I used to run the C two team on, and we've been thinking for over a decade about how we really manage that supply chain. How do we ensure that we're able to handle rapidly scaling? So we've really optimized our supply chain Unfortunately, in a good position where we can continue to operate, continue to scale and continue to handle the demands are growing customer base even unprecedented times like this. >>You know, you mentioned that I want to get into that concept. You wrote a block post the other day on the Amazon Day one blawg keeping organizations running during Covad 19 and you kind of teased out this point about average connected time. And if you think about this crisis, this really is that the true test for scale and elasticity of having that cloud model and some of the clouds have not done as well as Amazon. There's been some stories out there. Google and Microsoft has had the up time you guys had, but this really has been the future pulled forward. So you guys have a lot of customers like Netflix like slack, that are really taken advantage of this. This is the true test of cloud and only the beginning again. Like I said, this is going to show a lot of gaps in most other traditional enterprises. But this highlights the tests that you guys were waiting for. I won't say that you're waiting for a crisis, but cloud, this is ultimately the test. Your thoughts on Netflix, who Lou Slack, A bunch of other names land and he throws the slide. But we have re invent. But the >>big I think if you look at, obviously we have a lot more time at home, right? I'm at home here in Seattle. A lot of us are spending more time at home. And so a lot of the streaming services like you said, the Netflix is the who lose that Disney Pluses of the world. Also games. Think about how many kids were playing fortnight or playing a or the video games. A lot of those businesses have really seen an increase in their demand on they have been able to just seamlessly scale along with eight of us on the work side. Think about everybody from slack that runs entirely on AWS Zoom, who runs the vast majority of their infrastructure and aws all of these communication on work from home capabilities. These are all running on AWS enabled many of the scale, and we think all of our kids, our kids are all trying to figure out what a school look like. You don't actually go to school. I was talking from the team at Blackboard. They've seen a 10 sometimes even 100 X increase in their business. America will just seamlessly scale up on demand. I mean, really overnight just exploded. >>I was on Twitter just the other day, talking with some folks because the whole jet, I think, is going down. I was gonna wing of my normal commentary. Um and this is the public sector challenge as well. You mentioned schools. These air traditionally? No, I t or enterprise like chops. They need scale now. They need it fast. They have to stand up. I imagine this is the kind of scenario that this is also gonna hit the small, medium sized enterprises as well as some of the big ones. So the big guys have legacy problems, data silos, whatever we've had, great. Comes with some of your team members there. But that's just one sector. You got small, medium size enterprises that don't have any I t public sector and education. They're gonna be in market in months, if not >>tomorrow. Public sector is a super interesting one. And, frankly, our public sector team I don't know that they have slept in the past three months working to try to help governments, both the United States and internationally, everything from me. If you think about it, our our unemployment systems in states across the United States have gone from something like 3% unemployment claims to 15% unemployment claims within a two month period. Those systems are not meant to scale like that, and they reached out to us pretty quickly to see how we could help them start to scale. You think about some of the the systems that are trying to send out checks to people, systems that are trying to send out small making loans to folks. We've been really working deeply with many of those government agencies to try to figure out how we can get the money in the hands of the individuals that need it as quickly as possible and really help those legacy systems. Sometimes they're built on, you know, legacy databases or Oracle's or Microsoft sequel systems. And those things just aren't scaling. And they're trying to figure out How can they get to a more modern architecture that can really keep scaling with the needs of the new demand that they're reaching? It's just something that didn't anticipate before. >>Yeah, and I think your customers, as you're now going to be overseeing the larger global organization, sales and marketing, um, it's not like you guys are preaching to the customers because you're living through the same crisis in an environment that they are. You certainly can align with their empathy and certainly help them solve problems. But now we're in a business climate where we're seeing unemployment numbers of massive numbers. Usually companies come out of these challenges, and we think it could be highly accelerated on an upward trajectory, flat or negative. In 2008. That crisis we saw the winners come out of that one. You guys rode that wave with AWS. Easy to can. You know that world now coming out of this next pandemic, it's going to be hybrid or virtualization of meat of life. >>How are >>you leading your team? How are you talking to customers? I'm out of this empathy, but you got to run an organization. You have to still sell services and market your products You got reinvent was a physical event. I mean, >>these air, >>huge challenges you're living them to. What's your >>take on >>all this? >>Yeah, part of I think you know, in my new role. And as you mentioned, I used to run the computing with AWS, including easy to many compute services for about 13 years before coming and running. Now the sales and marketing, or AWS >>and And in >>that role, you know, a lot of what I would think about is how we really help our customers understand how critical it >>is to the >>her hair. The cloud gives you just so much more flexibility, so much more agility. And we would you know, there's a bunch of the early adopters would lead into that and really got it. And once they got onto the cloud, they saw their innovation level went up, their agility goes up all those things. But, you know, there was still a lot of folks that were they're interested. I mean, we obviously have, ah, decent sized business today and many, many millions of customers that are using the cloud today. But some of them are have been slower to kind of fully adopt and really move all of their business critical workloads to the cloud. I firmly believe that coming out of this crisis, you're gonna have two types of of businesses. You're gonna have some that just go into their shell, right? They're just going to say I'm just gonna try to survive. I'm just gonna try that to get by, going to try to conserve every little bit of something. I can just protect what I have. You know, I don't think those are long term. I'm not optimistic of. Those are going to be the businesses that right. I think every time you see a crisis, you have businesses that lean into it. They're smart about it. They think about long term. What are the things that are going to help me compete in this new world? And I think Cloud is gonna be one of those things. We've talked to everybody from airlines to traditional Fortune 500 enterprises, and they see that like they're still leaning into the cloud, even even airlines. No one's been hit harder than the airlines. And even I've talked to several executives and airlines their saying Look, my cloud initiative, that's the thing I'm not cutting. I'm gonna cut everything else. But this is the thing that's gonna let me succeed when I really get into that new world. And so I really think you're going to see some of those folks that maybe you were hesitant before so again in the next 34 years. Maybe I'll get to the cloud. I really think that they're going to start to lead in because they're going to realize if my competitors or in the cloud and I'm not that is gonna be a significant disadvantage and, you know, knock on wood. Hopefully, there's no other global pandemic, but they have to deal with. But I think it just really highlights any uncertainty in the world. There's going to be differences and they just are unable to deal with to the flexibility and the scale that they want to go up and down, by the way that they're unable to really handle whatever the world throws up. But I think we're going to be living in a continually uncertain environment. >>Yeah, I definitely would agree with you, and I think it's going to get back to normal at some point, but even is gonna have an impact into 2021 as many people are kind of figuring out the window, people saying no spring 2021 Maybe, you know, there we started get some semblance of normality the way it was, but still that environment and this brings up the whole summit online that you guys are doing. Your summits have been a great set of events. We've covered many of them with the real key physical cube. Now we're doing the Virtual Cube. They've been a practitioner and user, the developer builder event. It's a free event. Nutrition had. Now you have them all over the world. They're going on virtual. People still need to build out these projects. There's still a demand, and some projects are being cut. Some are, as you guys look over the horizon with your customer base conversations around what to fund whatnot the fund. As you mentioned. What are some of the things that you're seeing and recommending to customers that they should continue to double down on? Because smart manager is going to step back and say, Hey, I can see some gaps. We're going to double down on that and we're gonna kill that. We're gonna move this over here. There's going to be a reinvention and growth strategy that they have to figure out quickly. There's no yet playbooks emerging, but it's clear out the video virtual interactions. But those projects get double down your thoughts on the customer builders out there. >>I think that's absolutely right in it and expands every industry you can think about. Think about, you know, I was talking Teoh several customers in the healthcare space. And how long has it been five years that people have been touting that telemedicine is really gonna be that thing that eventually comes and eventually becomes a big thing? This has really accelerated that, such that. Now I've talked to probably dozens and dozens of people who, for the very first time of talk to their doctors over being their cell phone because they don't want to go into the hospital for you're getting, you know, six or something like that. Then they just have a minor medical things you need to do. Telemedicine is one of those things that is really taking off, and there's been really enabling, frankly, that customers have been able to do telemedicine. That's really helps, knows that that wanted to stay safe but also get good medical advice. I think that's just one example where we're gonna continue to see this go. I think coming out of this the other thing, our custom, lot of our customers were thinking about, and anytime you really go into an uncertain economic world. You want to think about capital preservation. Now is not the time you want to go spend money to build your own data center or to buy your own servers. If ever there was a time where the cloud makes the most sense, capital preservation >>is E >>particularly we don't know if there's gonna be an economic recession. We don't know how long this is going to take. All businesses, whether they're severely impacted, should be really thinking about that capital preservation. But they've also got to be thinking about how they innovate. You know, I've talked to ah, popular ride sharing customer the other day, and they were talking about how ride sharing his way down. But they're still using this as a time to lean forward into innovation because they know coming out of this, they want to be ahead of where their competitors are going to be. And they really want to use this as an opportunity to take their own internal teams, focus them on where they think the biggest potential is gonna be. And then once the economy turns around people out and about again, they can hit the accelerator and really take off. So I think that's really how a lot of our customers were thinking about situation where they're right now. >>You know, you guys haven't had a steep learning curve over the years with cloud and cloud scale. I think as the world comes in, the human capital piece becomes interesting, too, not just on of spending with money, monetary, the human capital to work, how people are contributing. So this brings up the whole reinvention. It's funny to watch as people are forced with these first generation problems of how to make things digital, how to get scale going. You have people who have learned it, have a learning curve, and again there's no compression algorithm for experience, as you guys like to point out. So >>this is >>creating this kind of like, How do I change the roles of my company? And so I want to get your thoughts because we're looking for proof points because a lot of the answers are not yet evolved and usually things they're not understood before they become mainstream. But people have to react really fast. What are some examples? Can you give around how Cove in applications are rolling out because that's truly a indicator in my mind of what people are doing with the cloud. Because Covert was an instant response. We've already interviewed a few folks that are on Amazon around Covitz Solutions, where the standing of either analytics or doing some things Could you use the covert of example of how rapid deployment or reinvention of data or business models our rendering themselves? >>Yeah, absolutely. I think there's a couple of different what one is. But for the very first thing that most people look at is how do we get data like we just need to find data around this space. And so we've worked with a number of partners and customers on How do we really go, help build Data Lakes in the cloud and coming getting all that data in one place so that both governments as well as private enterprises, can really start to think of that Data slices in different ways on get to look at what is the actual data, whether it's one of the number of hospital that's available one of the number of tests that are happening, you know, one of the number of oh infections that we're seeing, where the rate of change, etcetera. We also work with a number of our analytics partners, and we have a wide range of analytics partners that are really taking this as an opportunity where they can rapidly then take that data and slice it a number of different ways to try to help understand how they respond. I think you know, the first part of that was on the healthcare side where folks were saying, Where do we need enough ventilators? Where we where do we need to go? Build hospitals? Are we start to identify hot spots right where I see if you can really look at kind of second order derivatives of kind of changes, and you can look at it close enough, you could say, Oh, there's a hot spot popping up in this particular area and eventually you know, if we can get some better data, contract tracing and things like that where you can open up the economy and still have, you know very quickly identify where a hot spot might be a merging. Those are the types of data pieces that you know what the right levels of of security and data privacy, but with but with access to that data, we can get a handle on how some of these things are happening. Then I think you go and you look at s So that's that's kind of some of the data analytics pieces. Right? Then you also go look at what are folks doing on the testing side? And I think, you know, there's a lot of discussion about how well testing is done. I think we all >>know that there >>are ways that we always thought maybe it was a little bit further along with it is, but there's a number of private places that are actually really speeding up. I think this is one of the big areas that Amazon best, right? And I don't I don't know. We'll see if we are able to get there faster than some of the other places, but we we see a real need for testing. Testing is one of those such a critical component if we could do rapid testing, frequent testing, both for our own employees. But frankly, for for all the industries that we all rely on, I have come to rely on, particularly in this virtual world. We know that the faster we can get testing and more reliable, we can get testing. The better we are able to then isolate, get people to self quarantine and really kind of control that mass spread >>of the >>disease. >>I know >>you know >>healthcare is interesting. One of the emerging things we're seeing coming out of the summit here and some of the conversations we had is how the enterprise has always been kind of a hard environment to find stuff. As people live at home and working at home, working remotely, working in remote teams, the idea of searching for stuff becomes interesting. So you guys announced the general availability, Kendra. The timing couldn't have been better for that, because that's really giving you a Google like vibe feel for funding information. But it's really an integration play under the covers, so I think that's the kind of trend that we're seeing. We're seeing also startups putting up APS out there so you see a lot of activity. That's kind of in line with this. That you guys are announcing anything >>at any >>update on the Kendra or >>Canada is fantastic, and it's it's really I think struck a nerve with folks where the traditional way of thinking about search, particularly internal for internal Internets just doesn't work. You know how many hits you get and how many millions of people across billions and billions of people on the Internet that that model works on the Internet. You might be looking for very specific things. Um, and with machine learning, we're able to tell what is the intent of the requests that people are looking for and take you to the right place so that if you say you know one of the hours of my help desk, there's a very specific page that you're looking for, which is this number. In fact, you're not looking for a job to go to. You're not looking for information about help desks. You're looking for the actual hours of my internal help desks, particularly probably from my building. And as we do build these ML models that can start to learn on how your Internet works and how people are thinking about it and what's helpful or not, we've been able to improve an Internet search orders of magnitude. I've used it internally for our own. I'm instrumented it. It's night and day compared to what we used before was kind of your keyword search type of thing. So I think applying ML, particularly when people remote and really relying on resource, is like that where they can't just, you know, lean over to a cube next to them and say, Hey, we're still you know what time is the help desk open? >>I think getting breaking down the silos to just we build that abstraction layer a data leak really kind of makes a big difference. >>That's right. >>So final question for you as companies settle into the new realities that are upon them, what's the outlook for the rest of 2020 for you guys? And what do you say? That customers that are here on the online trying to consume the virtual content that they should be building out because you've got not just customers. You've got commercial customers, you got public sector and you got an ecosystem. You got partners out there who are building on top of AWS. Um, rolling this together. What's your message to them? What's on the outlook? >>2020 Number one. I encourage everyone to take advantage. I think In many ways, some of these virtual summits are great opportunity, maybe, for those were unable to travel to the summit or to be able to actually physically get there. It's a great opportunity to learn, really dive in trying to do some virtual labs really get in and understand some of the new features and functionality that are out there from a partner perspective. Many of the things that we're building, whether it's our outflow service that we just launched a couple of weeks ago, that helps us to really connects to our various partners into a data lake. As John was mentioning those air, these were really some of the things that you know, if you think about our broad swath of our partner ecosystem, encourage our customers to really look at all of the partners that are running on AWS who have great solutions. Like the Cube. You're looking for virtual events. They have. They have an awesome product you should check out, but we have a wide set of partners that will help you. Yeah, put together the virtual world that you all are trying to work through right now and encourage you just to learn >>I really appreciate the plug, actually, one for the cube. A new event Cloud. What? We're trying to figure it out. I think this kind of reminds me of a famous quote I heard on the queue, which is a notable one, is that everything in the future that is going to be invented was on Star Trek or Star Wars. So I assume we're gonna have video cameras and everyone's office, and we'll be able to go and talk to folks. So looking forward to again, standing up content, getting the content and connecting people. Thanks for spending >>the >>time out of your day to come in and talk with me and share your insights. And, ah, Amazon Summit Web services Summit online Virtual cube Virtual. Thanks for your time. Appreciate your insights. >>Great. Thank you. >>OK, Cube here. Virtual in our studio covering remotely all the top content out there covering AWS summit online. There's a whole new reality rolling it together. I'm John Furrier. Thanks for watching. Yeah, yeah, yeah, yeah

>> Narrator: From theCUBE Studios in Palo Alto and Boston connecting with thought leaders all around the world. This is a CUBE conversation. >> Hello everyone, welcome to this special CUBE virtual coverage of the AWS summit virtual online. This is an event that Amazon normally has in-person in San Francisco, but now it's virtual around the world, Seoul, Korea, in Tokyo, all over the world and Asia-Pacific and in North America. I'm John Furrier here joined with Stu Miniman. So Stu, we're kicking off AWS virtual with theCUBE virtual. I'm in Palo Alto with the quarantine crew. You're in Massachusetts, in Boston and the quarantine crew there. Stu, great to have you on to talk about AWS virtual summit. >> Yeah, John, it's great to see you. It's been, you know, interesting times doing all these remote interviews. As many of us say, I sure don't miss the planes and the hotels, but I do miss the communities. I do miss the hallway conversation, but great to see you John. Love the Midnight Madness shirt from re:Invent last year. >> Well, we want to thank Amazon for stepping up with some sponsorship for allow us to do the virtual CUBE alongside their virtual event, because now it's a global community. It's all virtual, there are no boundaries theCube has no boundary. Stu, we've got a great program. We have Corey Quinn coming up and expect to hear from him last week in AWS. He's known for, he's a rising star in the community, certainly CUBE guest and also guest host and analyst for theCUBE. We expect to hear all the latest from his big Zoom post controversy, to really what's going on in AWS, around what services are high. I know you're going to do a great interview with him, but let's start with Amazon. We're seeing a ton of activity. Obviously most recently, last week was the JEDI thing, which was an agency protest, kind of confidential. Microsoft blew that up big time with a post by their worldwide comms person Frank Shaw, countered by Drew Herdener, who's the comms global lead for AWS. And so a war of words is ensuing. This is again, pointing to the cloud native war that's going on with a JEDI conference. I mean, the JEDI contract for $10 billion, which is worth to Microsoft. This shows that the heat is on, Stu. This is a absolute bloodbath between AWS and Microsoft. We're seeing it play out now virtually with Amazon, A.I. large scale cloud. This is huge, this is another level. A DEFCON one basically, your thoughts? >> Yeah, John, you've covered this really well. It's been really interesting plot, number one, you talked about the security requirement, when AWS launched the GovCloud had the CIA as a client, early on many years ago. It was the green light for many companies that go from "Wait, is the cloud secure enough?" to "Well, if it's good enough for "the federal government in the U.S., "it's probably good enough for the enterprise." When Microsoft won JEDI, they didn't have all the certification, to meet what was in the contract. They had a ticking clock to make sure that they could meet those security engagements, as well as one of the pieces on the task board that moved was Oracle made a partnership announcement with Azure. We know the federal government uses Oracle quite a bit, so they can now run that in Azure and not have the penalties from Oracle. So that many have said, "Hey AWS, "why don't you kind of let that one piece of business go? "You've got federal business." But those ripple effects we understand from one contract kind of move things around. >> Well, my take on this is just the tempest in the teapot. Either Microsoft's got something that we don't know or they're running scared. My prediction, Stu, is that the clock is going to tick out. D.O.D. is going to award the contract again to Microsoft because I don't think the D.O.D. wants to change based upon the data that I'm getting from my reporting. And then ultimately Amazon will keep this going in court because Microsoft has been deficient on winning the deal. And that is by the judge and in government contracts, as you know, when you're deficient, you're ineligible. So essentially on the tech specs, Microsoft failed to meet the criteria of the contract and they're deficient. They still can't host top secret content even if they wanted to. This is going to be a game changer. If this comes out to be true, it will be a huge tech scandal. If it's true, then AWS is going to have egg on their face. Okay, so moving past JEDI, this speaks to the large scale problems that are having with COVID. You seeing Amazon, they're all working at home, but they still get to run the servers. They can do it, they've got cloud native, you got DevOps, but for their customers Stu, but people who are trying to do hybrid, what are you hearing in terms of the kinds of situations that people are doing? Are they still going to work with masks on? Are there still data centers that need to be managed? What are you hearing Stu, in the tech worlds do around COVID-19 and as the cloud becomes more apparent, it's obvious that if you're not cloud native, you're going to be on the wrong side of history here, it's pretty obvious. >> Well, absolutely John, there is a bit of a tailwind behind cloud or with COVID-19, everything from, you mentioned work from home. Everybody needs to be on their VPN. They need to access their services, where they are. If you've got a global workforce, if you thought that your infrastructure was going to be able to handle that, you might not be in for a good story. AWS is meeting that need. There's been some of the cloud providers that have had performance issues, that have had to prioritize which customers can get access to things. AWS is standing strong, they're meeting their customers and they're answering the call of cloud. We know that AWS puts a huge investment into their environment. If you compare an availability zone or from AWS, it is very, very sturdy. It's not just, you know, a small cluster and they say, "Hey, we can run all over the place." To be specific Azure, has been having some of those performance issues and there's been some concerns. Corey actually wrote a really good article talking about that it actually puts a bad view on public cloud in general, but we know not all public clouds are the same. So, Google has been doing quite well, managing the demand spike, so has AWS. Microsoft has needed to respond a little bit. >> Since you just mentioned, Microsoft's outages, Microsoft actually got caught on their 8K filing, which I just had me going through and I noticed that they said they had all this uptime for the cloud. It turns out it wasn't the cloud, it was the team's product. They had to actually put a strike a line through it legally. So a lot of people getting called out, but it doesn't matter, it's a crisis. I think that's not going to be a core issue. This is going to be what technology has been needed the most. And I got to ask you Stu, when was the last time you and I talked about virtual desktops? Because hey, if you're working at home and you're not at your desk, you might need some stuff on your desk. This is a real issue. I mean it's kind of a corner case in tech, but virtual desktops, if you're not at the office, you need to have that at home. This is a huge issue and it's been a surge of demand. >> Yeah, there were jokes in the community that, you know, finally at the year of V.D.I., but desktop as the service John, is an area that took a little while to get going. So, Dave Vellante and I were just having a conversation about this. You and Dave interviewed me when Amazon released workspaces and it was like, you know, Citrix is doing so well and V.D.I. isn't the hotness anymore, but desktop as a service, has grown, if you talk about desktop as a service compared to VDI, VDI is still a bit of a heavy lift. Even if you've got hyper converged infrastructure, roll this out, it's a couple of months to put these whole solutions together. Now if you have some of that infrastructure, can you scale it, can you build them up much faster? Yes you can. But if you're starting to enable your workforce a little bit faster, desktop as a service is going to be faster. AWS has a strong solution with workspaces. It really is that enablement and it's also putting pressure on the SaaS providers. One, they need scale and two, they need to be responsive that some of their customers need to scale up really fast and some of them need to dial things down. Always worry about, some of these contracts that the SaaS providers put you in. So, customers need to make sure they're being loud and clear with their providers. If you need help, if you need to adjust something, push back on them because they should be responsive, because we know that there is a broad impact on this, but it will not be a permanent impact. So, these are the times that companies need to work closely with customers, because otherwise you will, either make a customer for life or you will have somebody that will not be saying good about you for a long time. >> Well Stu, so let's just quickly run through some of the highlights so far on the virtual conference, virtual event. Obviously Amazon pre-announced last month, the Windows migration service, which has been a big part of their business. They've been doing it for 11 years. So we're going to have an interview with an AWS person to talk about that. Also AppFlow is announced as well as part of the virtual kind of private connects. So, you know, you're seeing that right here, large scale data lakes breaking down those silos, moving data from the cloud, from the console into the top applicants, like Salesforce is the big one. So that was kind of pre announced. The big story here is the Kendra availability and the augmented A.I. availability, among other things. This is this big story. This kind of shows the Amazon track record. They pre-announced that re:Invent and try to run as fast as they can to get it shipping. The focus of AI, the focus of large scale capacity, whether it's building on top of EC2, serverless, Lambda, A.I., all this is kind of coming together. Data, high capacity operational throughput and added value. That seems to be the highlights, your reaction? >> Yeah, so John, AppFlow is an interesting one, we were just talking about task providers. An area that we've been spending a lot of time talking with the East coast system is my data is all over the place. Yes, there's my data centers, public cloud, but there's all of these task providers. So, if I have data in ServiceNow I have it in Workday, I have it in Salesforce, how do I have connectors there? How do I secure that? How do I protect that? So Amazon, working with a broad ecosystem and helping to pull that together is definitely an interesting one to watch. Kendra definitely been some good buzz in the ecosystem for a while there. The question is on natural language processing and A.I., where are the customers with these deployments? Because some of them, if they're a little bit more longterm strategic might be the kind of projects that get put on pause rather than the ones that are critical for me to run the business today. >> And I just did a podcast with the VMware ecosystem last week talking about which projects will be funded, which ones won't. It brings up this new virtual work environment, where some people are going to get paid and some people aren't. If you're not core to the enterprise, you're probably not going to get paid. If you're not getting a phone call to come into work, you're probably going to get fired. So there will be projects that will be cut and projects that will be funded. Certainly virtual events, which I want to talk to you about in a minute, to applications that are driving revenue and or engagement around the new workforce. So the virtualization of business is happening. Now, we joke because we know server virtualization actually enabled the cloud, right? So I think there's going to be a huge Cambrian explosion of applications. So I want to get your thoughts, the folks you've been talking through the past few months, what are you hearing in terms of those kinds of projects that people are going to be leaning into and funding, versus ones they might put on hold? Have you heard anything? >> Yeah, well, John, it's interesting, when you go back at its core, what is AWS? And they want to enable build. So the last couple of years we've been talking about all of the new applications that will get built. That's not getting put on hold, John. What I do, not just to run the business but grow the business. I need to still have applications at the core of what we do. Data and application really are what driving companies today. So that piece is so critically important and therefore AWS is a very strategic partner there. >> Yeah, I've been seeing the same things too. I think the common trend that I would just add to that would be I'm seeing companies looking at the COVID crisis as an opportunity. And frankly in some cases an excuse to lay people off and that's kind of, you're seeing some of that. But at the end of the day that people are resetting, re-inventing and then putting new growth strategies together, that still doesn't change. business still needs to get done, so great point. All right, Stu, virtual events. We're here with the AWS summit. Normally we're on the show floor with theCUBE, we are here with the virtual CUBE doing our virtual thing. It's been interesting, Stu. A lot of our events have converted to virtual, some have been canceled but most of them have been been running on the virtual. We've been plugged in. But theCUBE is evolving, and I want to get your thoughts on how you see theCube evolving. I've been getting a lot of questions. This came up again on the VMware community podcast. How has theCUBE morphed? And I know that we've been working hard with a lot of our customers, how have we evolved? Because we're in the middle of this digital wave. This is a virtualization wave. theCUBE is in there. We've been successful, there's been different use cases. Some have been embedded into the software. Amazon's got their own run a show. But events are more than just running the show content. There's a lot more community behind this Stu, your thoughts on how theCUBE has evolved and what are you seeing? >> I'm glad John, you just mentioned community. So you and I have talked many times on air and did this too about theCUBE is as much a network and a community as it is a media company. So, first of all it's been so heartening over the last couple of months that we've been putting out content. We're still getting some great feedback from the community. One of the things I personally miss is, when we step off the stage and you walk the hallway and you bump into people that know and they ask you questions or they share some of the things that they're going through. That data that we always look for is something we still need. So I'm making sure to reach out to friends diving back into the social panels to make sure that we understand the pulse of what's going on. But, John, our community has always been online so a big piece of theCUBE is relatively unchanged other than we're doing all of the interviews remote. We have to deal with everyone's home systems and home network. Every once in a while you hear a dog barking in the background or a child running, but it actually humanized. So there's that opportunity for the communities to rally together. Some of my favorite interviews have been, the open source communities that are gathering together to work on common issues. A lot of them specifically for the global pandemic. And so there are some really good stories out there. I worry when you talk about companies that are saying, Hey, this is the-- (sound cuts out) There have been so many job losses, in this pandemic that it just is heartbreaking. So, we love when the tech community is helping to spur new opportunities, great new industries. I had a great interview that I did with our friends from A Cloud Guru and they've seen about a 20 to 30% increase on people taking the online training. And one of the main things that they're taking training on is the 101 courses on AWS, on Google and on Azure as well as an interesting point John, they said multicloud is something that has come up. So, 2020, we've been wondering is AWS going to admit that multicloud is a thing? Or are they going to stick with their hybrid message and ask that their partners not talk about multicloud? >> It's been interesting on the virtual queue, because we and Amazon's been a visionary in this and letting theCUBE be virtual with them. It's become a connective tissue, Stu, between the community and if you think about how much money the companies are saving by not running the physical events and with the layoffs as you mentioned, I think there could be an opportunity for theCUBE to be that connective tissue to bring people together. And I think that's the mission that we hope will unfold. But ultimately digital investments will probably go up from this. I'm seeing a lot of great conversion around, okay, so the content, what does it mean to me? Is that my my friend group, how are my friends involved? How do I learn, how do I discover? How do I connect? And I think the interesting thing about theCube is we've seen that upfront and I think there's a positive sign ahead, Stu, around virtualization of the media and the community and I think is going to be an economic opportunity and I hope that we could help people find either jobs or ways to reengage and reconnect. So again, re:Invent's coming, you've got VMworld, all these big shows too, they drop so much cash! Can you imagine if they put all that cash into the community? I think that's a viable scenario. >> Yeah, no, absolutely, John. There is big money in events. Yes, there are less costs. There are also almost none of them are charging for people to attend and very few of them are charging their sponsors. So, big shift in how we have to look at these. It needs to be a real focus on content. I mean, from our standpoint, John, from day one, and we've been doing this a decade now, in the early days when it was a wing and a prayer on the technology, it was always about the content and the best people help extract that signal from the noise. So, some things have changed, the mission overall stays the same. >> And you know what, Amazon is being humble. They're saying we're figuring it out. Of course, we're psyched that we're there with the virtual CUBE. Stu, thanks for spending the time kicking off this virtual coverage, wrap up. Not as good as face-to-face, love to be there on site, but I think it's going to be easier to get guests too Stu in the virtual world, but we're going to go to a hybrid as soon as it comes back to normal. It sounds like cloud Stu, public hybrid virtual. There it is. Stu, thanks so much. >> Thanks John. >> Okay, that's theCUBE coverage for AWS Summit Virtual Online. It's theCUBE virtual coverage. I'm John Furrier, Stu Miniman. Thanks for watching. Stay tuned for the next segment. (upbeat music)

>>from the Cube Studios in Palo Alto and Boston connecting with thought leaders all around the world. >>This is a cube conversation >>live on. Welcome to the Special Cube Virtual coverage of AWS Summit Online. This is an event of virtual event by AWS. We're covering with the Virtual Cube his Amazon, so it would have no >>looking started. We started. Thank you. Right >>everyone, welcome to this Special Cube. Virtual coverage of the AWS Summit Virtual Online This is an event that Amazon normally has in person in San Francisco, but now it's virtual around the world. Seoul, Korea, in Tokyo, all over the world, in Asia Pacific and in North America, I'm John Furrier Dave Jones Stew Minimum. Let's do We're kicking off aws Virtual with the Cube Virtual. I'm in Palo Alto with the quarantine crew. You're in Massachusetts in Boston when the quarantine crew there still great to have you on to talk about AWS Virtual summit. >>Yeah, John, it's it's great to see you. Ah, it's been ah, you know, interesting times doing all these remote interviews A Z Many of us say I don't blame hotels, but I do miss the communities I do miss the hallway conversation. But great to see you, John. Love the Midnight Madness shirt. We >>want to thank Amazon for stepping up with some sponsorship for allow us to do the Virtual Cube alongside their virtual event because now it's a global community. It's all virtual. There are no boundaries. The Cube has no boundaries to We've got a great program. We have Cory Quinn coming up. Expect to hear from him last week in AWS is known for is a rising star in the community. Certainly Cube guest and also guest host and analyst for the Cube. We spent to hear all the latest from his big zoom post controversy to really what's going on in AWS around what services are hot. I know you're going to a great interview with him, but that's not what Amazon we're seeing a ton of activity, obviously, most recently last week was the jet, I think, which was an agency protest kind of confidential. Microsoft blew that up big time with a post by their worldwide comes person. Frank Shaw countered by Drew Heard Who's the coms globally for end of us and so a war of words is ensuing. This is again pointing to the cloud Native War that's going on with a jet I conference gets Jedi contract a $10 billion which is awards to Microsoft. This shows that the heat is on to do. This is a absolute bloodbath between AWS and Microsoft. We're seeing it play out now virtually with Amazon ai Large scale cloud. This is huge. This is this is another level. A def con one. Basically your thoughts. >>Yeah, John, you know, you've covered this really well and really impressing plot number one you talk about You know, this requirement When AWS launched the govcloud had the CIA as a client early on many years ago. It was the green light for many companies to go from. Wait. Is the club secure enough? Do well, good enough for the federal government in the US It's probably good enough for the enterprise. When Microsoft one jet I they didn't have all the certifications to meet what was in the contract? They had a ticking clock. Make sure that they could meet those security engagements. Aziz. Well, as you know what, one of the pieces the esports that move was working, made a partnership announced with Azure. We know the federal government uses Oracle quite a bit, though they can now run that in azure and not have the penalties from Oracle. So you know that many have said, you know Hey, AWS, why don't you kind of let that one go? You got federal business, but those ripple effect we understand from one contract kind of move things around. >>Well, my take on this is just the tip of the teapot. Either Microsoft's got something that we don't know where they're running scared. My predictions do is that the clock is gonna take out D o. D. Is going award the contract again to Microsoft because I don't think the d. O. D. Wants to change basically on the data that I'm getting from my reporting. And then, ultimately Amazon will keep this going in court because Microsoft has been deficient on winning the deal. That is by the judge and in government contracts. As you know, when you're deficient, you're ineligible. So, essentially on the tech specs, Microsoft failed to meet the criteria the contract and they're deficient. They still can't host top secret content even if they wanted to. This is going to be a game changer when if this comes out to be true, it will be a huge tech scandal. If it's true, then am I gonna have egg on their face? OK, so we passed. This speaks to the large scale problems that are having with Cove it. You're seeing Amazon. They're all working at home, but they still got to run the servers. They >>can do >>it. They got cloud native. You've got Dev ops. But for their customers to be people who are trying to do hybrid. What >>are you >>hearing in terms of the kinds of situations that people are doing? Are they still going to work with maths on our There's still data centers that need to be managed. What >>are >>you hearing in the tech world's do around Covad 19. And as the cloud becomes more apparent, it's obvious that if you're not cloud native, you're going to be on the wrong side of history. Here is pretty obvious. >>Yeah, well, absolutely. John. There there is a bit of a Elwyn behind cloud. Everything from you mentioned work from home. Everybody needs to be on their VPN. They need to access their service access their services where they are. If you've got a global workforce, if you thought that your infrastructure was going to be able to handle that, you might not be in for a WS is meeting that need. There's been some of the cloud providers that have had performance issues have had to prioritize which customers can get access to things AWS standing strong. They're meeting their customers and their answering the call of cloud. You know, we know that AWS puts a huge investment into their environment. If you compare an availability zone from AWS, you know, it is very, very sturdy. It's not just, you know, a you know, a small cluster on. And they say, Hey, we can run all over the place, you know, to be specific It's, you know, John Azure has been having some of those performance issues and has been from concerns. Corey actually wrote a really good article talking about that. It actually put a bad you on public cloud in general. But we know not all public cloud with the same, though, you know, Google has been doing quite well, you know. Managing the demand spike, though, has AWS. Microsoft has needed to respond a little bit. >>It's just mentioned Microsoft's outages. Microsoft actually got caught on eight K filing, which you just have to be going through, and they noticed that they said they had all this up. Time for the cloud. Turns out it wasn't the cloud. It was the teams product. They had to actually put a strike a line through it legally. So a lot of people getting called out, it doesn't matter. It's a crisis. I think that's not gonna be a core issue is gonna be what technology has been needed the most. And I got to ask you still, when was the last time you and I talked about virtual desktops? Because, hey, if you're working at home and you're not at your desk, you need might need some stuff on your desk. This >>is a real issue. >>I mean, it's a >>kind >>of a corner case in tech, but virtual desktops. If >>you're not >>at the office, you need to have that at home. This is a huge issue. It's been a surge >>in demand. Yeah, there were jokes in the community that you know, finally, it's the year of VD I, but desktop as a service. John is an area that took a little while to get going. You know, Dave Volante and I were just having about this. You and Dave interviewed me when Amazon released workspaces, and it was like, Ah, you know, Citrix is doing so well and VD I, you know, isn't the hotness anymore, But that's not service as grown. If you talk about desktop as a service compared to V i p. I is still, you know, a bit of a heavy lift. Even if you've got, you know, hyper converged infrastructure. Roll this out. It's a couple of months to put these whole solutions together. Now, if you have some of that in perspective, can you scale it and you build them up much faster? Yes, you can. But if you're starting to enable your workforce a little bit faster, desktop as a service is going to be faster. AWS has a strong solution with work base. Is it really is that enablement? And it's also putting pressure on the SAS providers. One. They need scale and do they need to be responsive that some of their customers need to scale up really fast and some of them dial things down. Always worry about some of these on track that the SAS providers, but you in. So you know, customers need to make sure they're being loud and clear with their providers. If you need help. If you need to adjust something, you know, push back on them because they should be responsive because we know that there is a broad impact on this. But it will not be a permanent impact, though you know, these are the times that companies need to work closely with customers because otherwise you will. You will either make a customer for life, or you will have somebody that will not be saying about you for a long >>while. Still, let's just quickly run through some of the highlights so far on the virtual conference virtual event. Aussie Amazon Pre announced last month the Windows Migration Service, which has been a big part of their business. They've been doing it for 11 years, so we're gonna have an interview with an AWS person to talk about that also app Flows announced as well as part of the virtual kind of private, you know, private checks. So you're seeing that right here. Large scale data lakes breaking down those silos, moving data from the cloud from the console into the top. Applicants like Salesforce is a big one. That was kind of pre announced. The big story here is the Kendra availability and the augmented AI availability. Among other things, this is the big story. This kind of shows the Amazon track record they pre announced at reinvent, trying to run as fast as they can to get it shipping the focus of AI. The focus of large scale capacity, whether it's building on top of GC, too. Server list. Lambda ai. All this is kind of coming together data, high capacity, operational throughput and added value. That seems to be the highlights. Your reaction? >>Yeah, John, You know, at flow is an interesting one. We were just talking about asp providers. An area that we've been spending a lot of time talking with. The system is you know, my data is all over the place, you know? Yes, there's my data centers public, but there's all of these past provides. So, you know, if I have data in service now, I have it in workday. I have a sales force you know, how do I have connectors there? How do I You're that How do I protect that, though? Amazon, you know, working with a broad ecosystem and helping to pull that together. Eyes definitely an interesting one. What? Kendra definitely been some good buzz in the ecosystem for a while. They're You know, the question is on natural language processing and a I, you know, where are the customers with these deployments? Because some of them, if they're a little bit more long term, Egypt might be the kind of projects that get put on pause rather than the ones that are critical for me to run the business today. >>And I just did a podcast with the VM ware ecosystem last week talking about which projects will be funded. Which ones won't. It brings up this new virtual work environment where, you know, some people are going to get paid and some people aren't. If you're not core to the enterprise, you're probably not going to get paid. If you're not getting a phone call to come into work, you're probably gonna get fired. So there will be project that will be cut and projects that will be funded certainly virtual events, which I want to talk to you about in a minute to applications that are driving revenue and or engagement around the new workforce. So the virtualization of business is happening now. We joke because we know server virtualization actually enabled the cloud. Right? So I think there's going to be a huge Cambrian explosion of applications. So I want to get your thoughts. The folks you've been talking to the past few months, what are you hearing in terms of those kinds of projects that people will be leaning into and funding versus ones they might put on hold? Have you heard anything? >>Yeah. Well, you know, John, it's interesting when you go back at its core, what is AWS and they want to enable built. So, you know, the last couple of years we've been talking about all of the new applications that will get built. That's not getting put on hold, Jones. You know it. What? I do not just to run the business but grow the business. I need the We'll have applications at the core of what we do. Data and applications, Really. Or what? Driving companies today. So that piece is so critically important and therefore AWS is a very strategic partner there. >>I'm saying the same things Do I think the common trend that I would just add to that would be I'm seeing companies looking at the covert crisis is the opportunity and frankly in some cases, an excuse to lay people off, and that's kind of you're seeing some of that. But the >>end of >>the day that people are resetting, reinventing and then putting new growth strategies together that still doesn't change business still needs to get done. So great point. It's to virtual events were here with the AWS summit. Normally run the show floor. The Cube. We're here with the Virtual Cube doing our virtual thing. It's been interesting to a lot of our events have converted to virtual. Some have been canceled, but most of them have been been running on the virtual. We've been plugged in, but the cube is evolving, and I want to get your thoughts on how you see the Cube evolving. I've been getting a lot of questions that came again on the VM Ware community podcast. How is the Cube morphed and I know that we've been working hard with a lot of our customers. How have we evolved? Because we're >>in the >>middle of this digital way, this virtualization away. The Cube is in there. We've been successful. That's been different use cases. Some have been embedded into the software. Amazon's got their own run a show. But events are more than just running the show content. >>Yeah, more John, >>more community behind us to your thoughts and how well Cube has evolved. And what are you seeing? >>I'm glad, John. You just mentioned community. So you know, you and I have talked many times on air that, you know, the Cube is much network in the community as it is a media company. So, you know, first of all, it's been so heartening over the last couple of months that we've been putting out. We're still getting some great feedback from the community. One of things I personally miss is, you know, when we step off the stage and you walk the hallway and you bump into people that know when they ask your questions were you know, they share some of the things that they're going through. That data that we always look for is something we still need. So I'm making sure that reach out to friends, you know, diving back into the social channels to make sure that we understand the pulse of what's going on. But you know, John, you know, our community has always been online, though a big piece of the Cube is relatively unchanged. Other than we're doing all the interviews, we have to deal with everyone's home systems in home network. Every once in a while you hear a dog barking in the background or, you know, a child running, but it actually humanized. So there's that opportunity or the communities to rally together. Some of my favorite interviews have been, you know, the open source communities that are gathering together toe work on common issues, a lot of them specifically for the global endemic, you know, And so there are some really good stories out there. I worry when you talk about companies that are think, Hey, this There have been so many job losses in this pandemic that it just is heartbreak. So, you know, we've loved when the tech community is helping to spur new opportunities, great new industries. I had a great interview that I did with our friends from a cloud guru, and they've seen about a 20 to 30% increase on people taking the online training. And one of the main things that they're taking training on is the one on one courses on AWS on Google and on Azure, as well as an interesting point. John, they said, Multi cloud is something that come up. So you know, 2020 we've been wondering. Is aws going to admit that multi cloud is a thing, or are they going to stick with their hybrid message and, you know, as their partners not talk about? It's >>been interesting on the virtual queue because we and Amazon's been a visionary and this leading Q B virtual with them. It's become a connective tissues to between the community. And if you think about how much money the companies they're saving by not running the physical events and with the layoffs, as you mentioned, I think that could be an opportunity for the Cube to be that connective tissue to bring people together. I think that's the mission that we hope will unfold, but ultimately, digital investments will probably go up from this. I'm seeing a lot of great conversion around. Okay, So the content, What does it mean to me? Is that my friend group are my friends involved? How do I learn? How do I discover? How do I connect? And I think the interesting thing about the Cube is we've seen that up front. And I think there's a positive sign of heads do around virtualization of the media and the community. And I think it's going to be economic opportunity. And I hope that we could help people find either jobs or ways to re engage and reconnect. So again, reinvents coming. You got VM World. All >>these big shows do They dropped so much cash. Can you answer? They >>put all that cash with the community. I think that's a viable scenario. >>Yeah. No, Absolutely. John. There there is, you know, big money and events, you know? Yes, there are less cost. They're also, you know, almost none of them are charging for people to attend, and very few of them are urging the bunker. So, you know, big shift in and how we have to look at these. It needs to be a real focus on content. I mean from our standpoint, John, from day one. We've been doing this a decade now. In the early days when it was a wing and a prayer on the technology, it was always about the content. And the best people help extract that signal from the noise. So, you know, some things have changed the mission overall days. >>And you know what? Amazon is being humble. They're saying we're figuring it out. Of course, we're psyched that we're there with the Virtual Cube students do. Thanks for spending the time kicking off this virtual coverage wrap up. Not >>as good as face to face. >>Love to be there on site. But I think it's easy to get guests used to in the virtual world. But we're gonna go to a hybrid as soon as it comes back to normal. Sounds like clouds to public hybrid virtual. There it is too. Thanks so much. Okay, that's the cube coverage for AWS Summit. Virtual online. That's the Cube virtual coverage. I'm sure. First Amendment, Thanks for watching. Stay tuned for the next segment. Yeah, >>yeah, yeah, yeah

la from Las Vegas it's the cube covering AWS reinvent 2019 brought to you by Amazon Web Services and in care along with its ecosystem partners hey welcome back everyone cubes live coverage of eight of us reinvent 2019 this is the cube seventh year covering Amazon reinvent it's their eighth year of the conference and want to just shout out to Intel for their sponsorship for these two amazing sets without their support we would be able to bring our mission of great content to you I'm John Force to many men we're here with the chief of AWS the chief executive officer Andy chassis tech athlete and himself three our keynotes welcome to the cube again great to see you great to be here thanks for having me guys congratulations on a great show a lot of great buzz thank you a lot of good stuff your keynote was phenomenal you get right into you giddy up right into as you say three hours 30 announcements you guys do a lot but what I liked the new addition in the last year and this year is the band house man yeah they're pretty good they hit the Queen note so that keeps it balanced so we're going to work on getting a band for the cube awesome so if I have to ask you what's your walk-up song what would it be there's so many choices depends what kind of mood I'm in but maybe times like these by the Foo Fighters these are unusual times right now Foo Fighters playing at the Amazon intersect show they are Gandy well congratulations on the intersect you got a lot going on intersect is the music festival I'll get that in a second but I think the big news for me is two things obviously we had a one-on-one exclusive interview and you laid out essentially what looks like was gonna be your keynote it was transformation key for the practice I'm glad to practice use me anytime yeah and I like to appreciate the comments on Jedi on the record that was great but I think the transformation story is a very real one but the NFL news you guys just announced to me was so much fun and relevant you had the Commissioner of NFL on stage with you talking about a strategic partnership that is as top-down aggressive goals you could get yeah I have Roger Goodell fly to a tech conference to sit with you and then bring his team talk about the deal well you know we've been partners with the NFL for a while with the next-gen stats are they using all their telecasts and one of the things I really like about Roger is that he's very curious and very interested in technology in the first couple times I spoke with him he asked me so many questions about ways the NFL might be able to use the cloud and digital transformation to transform their various experiences and he's always said if you have a creative idea or something you think that could change the world for us just call me is it or text me or email me and I'll call you back within 24 hours and so we've spent the better part of the last year talking about a lot of really interesting strategic ways that they can evolve their experience both for fans as well as their players and the player health and safe safety initiative it's so important in sports and particularly important with the NFL given the nature of the sport and they've always had a focus on it but what you can do with computer vision and machine learning algorithms and then building a digital athlete which is really like a digital twin of each athlete so you understand what does it look like when they're healthy what and compare that when it looks like they may not be healthy and be able to simulate all kinds of different combinations of player hits and angles and different plays so that you can try to predict injuries and predict the right equipment you need before there's a problem can be really transformational so it was super excited about it did you guys come up with the idea it was the collaboration between there's really a collaboration I mean they look they are very focused on player's safety and health and it's it's a big deal for their you know they have two main constituents that the players and fans and they care deeply about the players and it's a it's a hard problem in a sport like football but you watch it yeah I gotta say it does point out the use cases of what you guys are promoting heavily at the show here of the stage maker studio which is a big part of your keynote where they have all this data right and they're dated hoarders they've the hoard data but they're the manual process of going through the data it was a killer problem this is consistent with a lot of the enterprises that are out there they have more data than they even know so this seems to be a big part of the strategy how do you get the customers to actually a wake up to the fact that they got data and how do you tie that together I think in almost every company they know they have a lot of data and there are always pockets of people who want to do something with it but when you're gonna make these really big leaps forward these transformations so things like Volkswagen is doing with they're reinventing their factories in their manufacturing process or the NFL where they're gonna radically transform how they do players health and safety it starts top-down and if they if the senior leader isn't convicted about wanting to take that leap forward and trying something different and organizing the data differently and organizing the team differently and using machine learning and getting help from us and building algorithms and building some muscle inside the company it just doesn't happen because it's not in the normal machinery of what most companies do and so it all wait almost always starts top-down sometimes it can be the commissioner or the CEO sometimes it can be the CIO but it has to be senior level conviction or it does get off the ground and the business model impact has to be real for NFL they know concussions hurting their youth pipelining this is a huge issue for them is their business model they they lose even more players to lower extremity injuries and so just the notion of trying to be able to predict injuries and you know the impact it can have on rules the impact it can have on the equipment they use it's a huge game changer when they look at the next 10 to 20 years all right love geeking out on the NFL but no more do you know off camera a 10 man is here defeated season so everybody's a Patriots fan now it's fascinating to watch you and your three-hour keynote Vernor in his you know architectural discussion really showed how AWS is really extending its reach you know it's not just a place for a few years people have been talking about you know cloud as an operation operational model it's not a destination or a location but I felt that really was laid out is you talked about breadth and depth and Verna really talked about you know architectural differentiation people talk about cloud but there are very there are a lot of differences between the vision for where things are going help us understand and why I mean Amazon's vision is still a bit different from what other people talk about where this whole cloud expansion journey but put over what tagger label you want on it but you know the control plane and the technology that you're building and where you see that going well I think that we've talked about this a couple times we we have two macro types of customers we have those that really want to get at the load level building blocks and stitch them together creatively and however they see fit to create whatever is in there in their heads and then we have this second segment of customers who say look I'm willing to give up some of that flexibility in exchange for getting 80% of the way they're much faster in an abstraction that's different from those low level building blocks in both segments of builders we want to serve and serve well and so we built very significant offerings in both areas I think when you look at micro services you know some of it has to do with the fact that we have this very strongly held belief born out of several years at Amazon where you know the first seven or eight years of Amazon's consumer business we basically jumbled together all of the parts of our technology and moving really quickly and when we wanted to move quickly where you had to impact multiple internal development teams it was so long because it was this big ball this big monolithic piece and we got religion about that and trying to move faster in the consumer business and having to tease those pieces apart and it really was a lot of the impetus behind conceiving AWS where it was these low-level very flexible building blocks that don't try and make all the decisions for customers they get to make them themselves and some of the micro services that you saw Verner talking about just you know for instance what we what we did with nitro or even what we do with firecracker those are very much about us relentlessly working to continue to to tease apart the different components and even things that look like low-level building blocks over time you build more and more features and all of a sudden you realize they have a lot of things that are they were combined together that you wished weren't that slowed you down and so nitro was a completely reimagining of our hypervisor and virtualization layer to allow us both to let customers have better performance but also to let us move faster and have a better security story for our customers I got to ask you the question around transformation because I think it all points to that all the data points you got all the references goldman-sachs on stage at the keynote Cerner and the healthcare just an amazing example because I mean this demonstrating real value there there's no excuse I talked to someone who wouldn't be named last night and then around the area said the CIA has a cost bar like this cost up on a budget like this but the demand for mission based apps is going up exponentially so there's need for the cloud and so seeing more and more of that what is your top-down aggressive goals to fill that solution base because you're also very transformational thinker what is your what is your aggressive top-down goals for your organization because you're serving a market with trillions of dollars of span that's shifting that's on the table a lot of competition now sees it too they're gonna go after it but at the end of the day you have customers that have that demand for things apps yeah and not a lot of budget increase at the same time this is a huge dynamic what's your goals you know I think that at a high level are top-down aggressive goals so that we want every single customer who uses our platform to have an outstanding customer experience and we want that outstanding customer experience in part is that their operational performance and their security are outstanding but also that it allows them to build and it build projects and initiatives that change their customer experience and allow them to be a sustainable successful business over a long period of time and then we also really want to be the technology infrastructure platform under all the applications that people build and they were realistic we know that that you know the market segments we address with infrastructure software hardware and data center services globally are trillions of dollars in the long term it won't only be us but we have that goal of wanting to serve every application and that requires not just the security operational performance but also a lot of functionality a lot of capability we have by far the most amount of capability out there and yet I would tell you we have three to five years of items on our roadmap that customers want us to add and that's just what we know today well and any underneath the covers you've been going through some transformation when we talked a couple years ago about how serverless is impacting things I've heard that that's actually in many ways glue behind the two pizza teams to work between organizations talk about how the internal transformations are happening how that impacts your discussions with customers that are going through that transformation well I mean there's a lot of a lot of the technology we build comes from things that we're doing ourselves you know and that we're learning ourselves it's kind of how we started thinking about microservices serverless - we saw the need we know we would have we would build all these functions that when some kind of object came into an object store we would spin up compute all those tasks would take like three or four hundred milliseconds then we spin it back down and yet we'd have to keep a cluster up in multiple availability zones because we needed that fault tolerance and it was we just said this is wasteful and that's part of how we came up with lambda and that you know when we were thinking about lambda people understandably said well if we build lambda and we build the serverless event-driven computing a lot of people who are keeping clusters of instances aren't going to use them anymore it's going to lead to less absolute revenue for us but we we have learned this lesson over the last 20 years at Amazon which is if it's something it's good for customers you're much better off cannibalizing yourself and doing the right thing for customers and being part of shaping something and I think if you look at the history of Technology you always build things and people say well that's gonna cannibalize this and people are gonna spend less money what really ends up happening is they spend spend less money per unit of compute but it allows them to do so much more that the ultimately long-term end up being you know more significant customers I mean you are like beating the drum all the time customers what they say we implement the roadmap I got that you guys have that playbook down that's been really successful for you yeah two years ago you told me machine learning was really important to you because your customers told what's the next tranche of importance for customers what's on top of mine now as you look at this reinvent kind of coming to a close replays tonight you had conversations your your tech a fleet you're running around doing speeches talking to customers what's that next hill from from my fist machine learning today there's so much I mean that's not it's not a soup question you know I think we're still in this in the very early days of machine learning it's not like most companies have mastered yet even though they're using it much more than they did in the past but you know I think machine learning for sure I think the edge for sure I think that we're optimistic about quantum computing even though I think it'll be a few years before it's really broadly useful we're very enthusiastic about robotics I think the amount of functions are going to be done by these robotic applications are much more expansive than people realize it doesn't mean humans won't have jobs they're just going to work on things that are more value-added I thought we're believers in augmented and virtual reality we're big believers and what's going to happen with voice and I'm also I think sometimes people get bored you know I think you're even bored with machine learning maybe already but yet people get bored with the things you've heard about but I think just what we've done with the chips you know in terms of giving people 40% better price performance in the latest generation of x86 processors it's pretty unbelievable and the difference in what people are going to be able to do or just look at big data I mean big date we haven't gotten through big data where people have totally solved it the amount of data that companies want to store process and analyze is exponentially larger than it was a few years ago and it will I think exponentially increase again in the next few years you need different tools the service I think we're not we're not for with machine learning we're excited to get started because we have all this data from the video and you guys got sage maker yeah we call it a stairway to machine learning heaven we start with the data move up what now guys are very sophisticated with what you do with technology and machine learning and there's so much I mean we're just kind of again in this early innings and I think that it was soaked before sage maker was so hard for everyday developers and data scientists to build models but the combination of sage maker and what's happened with thousands of companies standardizing on it the last two years Plus now sage maker studio giant leap forward we hope to use the data to transform our experience with our audience and we're on Amazon Cloud I really appreciate that and appreciate your support if we're with Amazon and Instant get that machine learning going a little faster for us a big that'll be better if you have requests so any I'm you talked about that you've got the customers that are builders and the customers that need simplification traditionally when you get into the you know the heart of the majority of adoption of something you really need to simplify that environment but when I think about the successful enterprise of the future they need to be builders yeah so has the model flipped if you know I normally would said enterprise want to pay for solutions because they don't have the skill set but if they're gonna succeed in this new economy they need to go through that transformation that yeah so I mean are we in just a total new era when we look back will this be different than some of these previous waves it's a it's a really good question Stu and I I don't think there's a simple answer to it I think that a lot of enterprises in some ways I think wish that they could just skip the low level building blocks and and only operate at that higher level abstraction it's why people were so excited by things like sage maker or code guru or Kendra or contact lens these are all services that allow them to just send us data and then run it on our models and get back the answers but I think one of the big trends that we see with enterprises is that they are taking more and more of their development in-house and they are wanting to operate more and more like startups I think that they admire what companies like Airbnb and Pinterest and slack and and you know Robin Hood and a whole bunch of those companies stripe have done and so when you know I think you go through these phases and errors where there are waves of success at different companies and then others want to follow that success and and replicate and so we see more and more enterprises saying we need to take back a lot of that development in-house and as they do that and as they add more developers those developers in most cases like to deal with the building blocks and they have a lot of ideas on how they can create us to creatively stitch them together on that point I want to just quickly ask you on Amazon versus other clouds because you made a comment to me in our interview about how hard it is to provide a service that to other people and it's hard to have a service that you're using yourself and turn that around and the most quoted line in my story was the compression algorithm there's no compression outliving for experience which to me is the diseconomies of scale for taking shortcuts yeah and so I think this is a really interesting point just add some color comments or I think this is a fundamental difference between AWS and others because you guys have a trajectory over the years of serving at scale customers wherever they are whatever they want to do now you got micro services it's even more complex that's hard yeah how about that I think there are a few elements to that notion of there's no compression algorithm I think the first thing to know about AWS which is different is we just come from a different heritage in a different background we sweep ran a business for a long time that was our sole business that was a consumer retail business that was very low margin and so we had to operate a very large scale given how many people were using us but also we had to run infrastructure services deep in the stack compute storage and database in reliable scalable data centers at very low costs and margins and so when you look at our our business it actually today I mean it's it's a higher margin business in our retail business the lower margin business and software companies but at real scale it's a it's a high-volume relatively low margin business and the way that you have to operate to be successful with those businesses and the things you have to think about and that DNA come from the type of operators that we have to be in our consumer retail business and there's nobody else in our space that does that you know the way that we think about cost the way we think about innovation and the data center and and I also think the way that we operate services and how long we've been operating services of the company it's a very different mindset than operating package software then you look at when you think about some of the issues and very large scale cloud you can't learn some of those lessons until you get two different elbows of the curve and scale and so what I was telling you is it's really different to run your own platform for your own users where you get to tell them exactly how it's going to be done but that's nothing really the way the real world works I mean we have millions of external customers who use us from every imaginable country and location whenever they want without any warning for lots of different use cases and they have lots of design patterns and we don't get to tell them what to do and so operating a cloud like that at a scale that's several times larger the next few providers combined is a very different endeavor and a very different operating rigor well you got to keep raising the bar you guys do a great job really impress again another tsunami of announcements in fact you had to spill the beans early with quantum the day before the event tight schedule I gotta ask you about the music festival because I think there's a really cool innovation it's the inaugural intersex conference yeah it's not part of replay which is the concert tonight right it's a whole new thing big music act you're a big music buff your daughter's an artist why did you do this what's the purpose what's your goal yeah it's an experiment I think that what's happened is that reinvent has gotten so big with 65,000 people here that to do the party which we do every year it's like a thirty five forty thousand person concert now which means you have to have a location that has multiple stages and you know we thought about it last year when we were watching it and we said we're kind of throwing like a four hour music festival right now there's multiple stages and it's quite expensive to set up that set for our partying we said well maybe we don't have to spend all that money for four hours in the rip it apart because actually the rent to keep those locations for another two days is much smaller than the cost of actually building multiple stages and so we we would try it this year we're very passionate about music as a business and I think we are I think our customers feel like we throw in a pretty good music party the last few years and we thought we were trying at a larger scale as an experiment and if you look at the economics the headliners real quick the Foo Fighters are headlining on Saturday night Anderson Park and the free Nashville free Nationals Brandi Carlile Shawn Mullins Willie Porter it's a good set Friday night it's back in Kacey Musgraves so it's it's a really great set of about 30 artists and we're hopeful that if we can build a great experience that people want to attend that we can do it it's scale and it might be something that you know both pays for itself and maybe helps pay for reinvent to overtime and you know I think that we're also thinking about it as not just a music concert and festival the reason we named it intersect is that we want an intersection of music genres and people and ethnicities and age groups and art and Technology all there together and this will be the first year we try it it's an experiment and we're really excited about I'm gone congratulations all your success and I want to thank you we've been seven years here at reinvent we've been documenting the history two sets now once-dead upstairs so appreciate a cube is part of reinvent you know you guys really are a part of the event and we really appreciate your coming here and I know people appreciate the content you create as well and we just launched cube 365 on Amazon Marketplace built on AWS so thanks for letting us cool build on the platform appreciate it thanks for having me guys Jesse the CEO of AWS here inside the cube it's our seventh year covering and documenting they're just the thunderous innovation that Amazon is doing they're really doing amazing work building out the new technologies here in the cloud computing world I'm John Force too many men be right back with more after this short break [Music]

>> Announcer: Live from Orlando Florida, it's theCUBE, covering Microsoft Ignite. Brought to you by Cohesity. >> Good morning everyone. You are watching theCUBE's live coverage of Microsoft Ignite 2019 here in Orlando, Florida. I'm your host Rebecca Knight, co-hosting alongside of Stu Miniman. We are joined by Donovan Brown. He is the Principal Cloud Advocate Manager of Methods and Practices Organizations at Microsoft. (laughing) A mouthful of a title. >> Yes. >> Rebecca: We are thrilled to welcome you on. >> Thank you so much. >> You are the man in the black shirt. >> I have been dubbed the man in the black shirt. >> So tell us what that's all about. You're absolutely famous. Whenever we were saying Donovan Brown's going to be here. "The man in the black shirt?" >> Yes. >> So what's that about? >> So it was interesting. The first time I ever got to keynote in an event was in New York in 2015 for Scott Guthrie, the guy who only wears a red shirt. And I remember, I was literally, and this is no exaggeration, wearing this exact black shirt, right, because I bring it with me and I can tell because the tag in the back is worn more than the other black shirts I have just like this one. And I bring this one out for big events because I was in a keynote yesterday and I knew I was going to be on your show today. And I wore it and it looked good on camera. I felt really good. I'm an ex-athlete. We're very superstitious. I'm like I have to wear that shirt in every keynote that I do from now on because if you look further back, you'll see me in blue shirts and all other colored shirts. But from that day forward, it's going to be hard pressed for you to find me on camera on stage without this black shirt on or a black shirt of some type. And there's a really cool story about the black shirt that was. This is what\ I knew it was a thing. So I pack about six or seven black shirts in every luggage. I'm flying overseas to Germany to go Kampf to do a keynote for, I think it was Azure Saturday. Flights were really messed up. they had to check my bag which makes me very uncomfortable because they lose stuff. I'm not too worried about it, it'll be okay. Check my bag, get to Europe. They've been advertising that the black shirt is coming for months and they lose my luggage. And I am now, heart's pounding out of my chest. (laughing) We go to the airport. I'm shopping in the airport because I don't even have luggage. I cannot find a black shirt and I am just thinking this is devastating. How am I going to go to a conference who's been promoting "the black shirt's coming" not wearing a black shirt? And my luggage does not show up. I show up at the event I'm thinking okay, maybe I'll get lucky and the actual conference shirt will be black and then we're all good. I walk in and all I see are white shirts. I'm like this could not be worse. And then now the speakers show up. They're wearing blue shirts, I'm like this cannot be happening. So I'm depressed, I'm walking to the back and everyone's starts saying, "Donovan's here, Donovan's here." And I'm looking to find my polo, my blue polo I'm going to put on. They're like no, no, no, no Donovan. They printed one black shirt just for me. I was like oh my goodness, this is so awesome. So I put the black shirt on, then I put a jacket on over it and I go out and I tell the story of how hard it was to get here, that they lost my luggage, I'm not myself without a black shirt. But this team had my back. And when I unzipped my shirt, the whole place just starts clapping 'cause I'm wearing >> Oh, I love it. >> a black shirt. >> Exactly. So now to be seen without a black shirt is weird. Jessica Dean works for me. We were in Singapore together and it was an off day. So I just wore a normal shirt. She had to take a double take, "Oh no, is that Donovan, my manager "'cause he's not wearing a black shirt?" I don't wear them all the time but if I'm on camera, on stage you're going to see me in a black shirt. >> Rebecca: All right, I like it. >> Well, Donovan, great story. Your team, Methods and Practices makes up a broad spectrum of activities and was relatively recently rebranded. >> Yeah. >> We've talked to some of your team members on theCUBE before, so tell our audience a little bit about the bridges Microsoft's building to help the people. >> Great. No, so that's been great. Originally, I built a team called The League. Right, there's a really small group of just DevOps focused diehards. And we still exist. A matter of fact, we're doing a meet and greet tonight at 4:30 where you can come and meet all five of the original League members. Eventually, I got tasked with a much bigger team. I tell the story. I was in Norway, I went to sleep, I had four direct reports. I literally woke up and I had 20 people reporting to me and I'm like what just happened? And the team's spanned out a lot more than just DevOps. So having it branded as the DevOps Guy doesn't really yield very well for people who aren't diehard DevOps people. And what we feared was, "Donovan there's people who are afraid of DevOps "who now report to you." You can't be that DevOps guy anymore. You have to broaden what you do so that you can actually focus on the IT pros in the world, the modern operations people, the lift and shift with Jeremy, with what Jeramiah's doing for me right, with the lift and shift of workloads . And you still have to own DevOps. So what I did is I pulled back, reduced my direct reports to four and now I have teams underneath me. Abel Wang now runs DevOps. He's going to be the new DevOps guy for me. Jeramiah runs our lift and shift. Rick Klaus or you know the Hat, he runs all my IT Pro and then Emily who's just an amazing speaker for us, runs all of my modern operations. So we span those four big areas right. Modern operations which is sort of like the ops side of DevOps, IT pros which are the low level infrastructure, diehard Windows server admins and then we have DevOps run by Abel which is still, the majority of The League is over there. And then we have obviously the IT pros, modern ops, DevOps and then the left and shift with Jeramiah. >> I'd like to speak a little bit as to why you've got these different groups? How do you share information across the teams but you know really meet customers where they are and help them along 'cause my background's infrastructure. >> Donovan: Sure. >> And that DevOps, was like that religion pounding at you, that absolutely, I mean, I've got a closet full of hoodies but I'm not a developer. Understand? >> Understood. (laughs) It's interesting because when you look at where our customers are today, getting into the cloud is not something you do overnight. It takes lots of steps. You might start with a lift and shift, right? You might start with just adding some Azure in a hybrid scenario to your on-prem scenario. So my IT pros are looking after that group of people that they're still on prem majority, they're trying to dip those toes into the cloud. They want to start using things like file shares or backups or something that they can have, disaster recovery offsite while they're still running the majority of what they're doing on-prem. So there's always an Azure pool to all four of the teams that I actually run. But I need them to take care of where our customers are today and it's not just force them to be where we want them tomorrow and they're not ready to go there. So it's kind of interesting that my team's kind of have every one of those stages of migration from I'm on-prem, do I need to lift and shift do I need to do modern operations, do I need to be doing full-blown DevOps pull all up? So, I think it's a nice group of people that kind of fit the spectrum of where our customers are going to be taking that journey from where they are to enter the cloud. So I love it. >> One of the things you said was getting to the cloud doesn't happen overnight. >> No, it does not. >> Well, you can say that again because there is still a lot of skepticism and reluctance and nervousness. How do you, we talked so much about this digital transformation and technology is not the hard part. It's the people that pose the biggest challenges to actually making it happen. >> Donovan: Right. >> So we're talking about meeting customers where they are in terms of the tools they need. But where do you meet them in terms of where they are just in their approach and their mindset, in terms of their cloud readiness? >> You listen. Believe it or not, you can't just go and tell people something. You need to listen to them, find out what hurts and then start with that one thing is what I tell people. Focus on what hurts the most first. Don't do a big bang change of any type. I think that's a recipe for disaster. There's too many variables that could go wrong. But when I sit down with a customer is like tell me where you are, tell me what hurts, like what are you afraid of? Is it a compliancies? Let me go get you in contact with someone who can tell you about all the comp. We have over 90 certifications on Azure. Let me. whatever your fear is, I bet you I can get you in touch with someone that's going to help you get past that fear. But I don't say just lift, shift, move it all like stop wasting, like no. Let's focus on that one thing. And what you're going to do is you're going to start to build confidence and trust with that customer. And they know that I'm not there just trying to rip and replace you and get out high levels of ACR. I'm trying to succeed with you, right, empower every person in every organization on the planet to achieve more. You do that by teaching them first, by helping them first. You can sell them last, right? You shouldn't have to sell them at all once they trust that what we we're trying to do together is partner with you. I look at every customer more as a partner than a customer, like how can I come with you and we do better things together than either one of us could have done apart. >> You're a cloud psychologist? Almost, right because I always put myself in their position. If I was a customer, what would I want that vendor to do for me? How would they make me feel comfortable and that's the way that I lead. Right, I don't want you going in there selling anything right. We're here to educate them and if we're doing our job on the product side, the answer is going to be obvious that you need to be coming with us to Azure. >> All right. So Donovan, you mentioned you used to be an athlete? >> Donovan: Yes. >> According to your bio, you're still a bit of an athlete. >> Donovan: A little bit, a little bit. >> So there's the professional air hockey thing which has a tie to something going on with the field. Give us a little bit of background. I've got an air hockey table in my basement. Any tips for those of us that aren't, you know? You were ranked 11th in the world. >> At one point, yeah, though I went to the World Championships. It was interesting because that World Championships I wasn't prepared. My wife plays as well. We were like we're just going to go, we're going to support the tournament. We had no expectations whatsoever. Next thing you know, I'm in the round playing for the top 10 in the world. And that's when it got too serious for me and I lost, because I started taking it too serious. I put too much pressure on myself. But professionally, air hockey's like professional foosball or pool. It's grown men taking this sport way too seriously. It's the way I'd describe it. It is not what you see at Chuck E. Cheese. And what was interesting is Damien Brady who works for me found that there is an AI operated air hockey table here on this floor. And my wife was like, oh my gosh, we have to find this machine. Someone tape Donovan playing it. Six seconds later, my first shot I scored it. And I just looked at the poor people who built it and I'm like yeah, I'm a professional air hockey player. This thing is so not ready for professional time but they took down all my information and said we'd love to consult with you. I said I'd love to consult with you too because this could be a lot of fun. Maybe also a great way for professionals to practice, right, because you don't always have someone who's willing to play hours and hours which it takes to get at the professional level. But to have an AI system that I could even teach up my attack, forcing me to play outside of my comfort zone, to try something other than a left wall under or right well over but have to do more cuts because it knows to search for that. I can see a lot of great applications for the professionalized player with this type of AI. It would actually get a lot better. Literally, someone behind me started laughing. "That didn't take long" because it in six seconds I had scored on it already. I'm like okay, I was hoping it was going to be harder than this. >> I'm thinking back to our Dave Cahill interview of AI for everyone, and this is AI for professional air hockey players. >> It is and in one of my demos, Kendra Havens showed AI inside of your IDE. And I remember I tell the story that I remember I started writing software back in the 90s. I remember driving to a software store. You remember we used to have to drive and you'd buy a box and the box would be really heavy because the manuals are in there, and not to mention a stack of floppy discs that you're going to spend hours putting in your computer. And I bought visual C++ 1.52 was my first compiler. I remember going home so excited. And it had like syntax highlighting and that was like this cool new thing and you had all these great breakpoints and line numbers. And now Kendra's on stage typing this repetitives task and then the editor stops her and says, "It looks like you need to do this a little bit more. "You want me to do this for you?" And I'm like what just happened? This is not syntax highlighting. This is literally watching what you do, identifying a repetitive task, seeing the pattern in your code and suggesting that I can finish writing this code for you. It's unbelievable. >> You bring up a great point. Back when I used to write, it was programming. >> Yes. >> And we said programming was you learn the structure, you learn the logic and you write all the lines of what's going to be there. Coding on the other hand usually is taking something that is there, pulling in the pieces, making the modification. >> Right. >> It sounds like we're talking about even the next generation where the intelligence is going to take over. >> It's built right inside of your IDE which is amazing. You were talking about artificial intelligence, not only for the air hockey. But I love the fact that in Azure, we have so many cognitive services and you just like pick these off the shelf. When I wanted to learn artificial intelligence when I was in the university, you had to go for another language called Lisp. That scared half of us away from artificial intelligence because you have to learn another language just to go do this cool thing that back then was very difficult to do and you could barely get it to play chess, let alone play air hockey. But today, cognitive services search, decision-making, chat bots, they're so easy. Anyone, even a non developer, can start adding the power of AI into their products thanks to the stuff that we're doing in Azure. And this is just lighting up all these new possibilities for us, air hockey, drones that are able to put out fires. I've just seen amazing stuff where they're able to use AI and they add it with as little as two lines of code. And all of a sudden, your app is so much more powerful than it was before. >> Donovan, one of the things that really struck me over the last couple years, looking at Microsoft, is it used to be, you'd think about the Microsoft stack. When I think about developers it's like, oh wait are you a .NET person? Well, you're going to be there. The keynote this morning, one of your team members was on stage with Scott Hanselman and was you know choose your language, choose your tools and you're going to have all of them out there. So talk to us a little bit about that transition inside Microsoft. >> Sure. One of the mantras that I've been saying for a while is "any language, any platform". No one believes me . So I had to start proving it. I'm like so I got on stage one year. It was interesting and this is a really rough year because I flew with three laptops. One had Mac OS on it, one of them had Linux on it and one of them had Windows. And what I did is I created a voting app and what I would do is I'd get on stage and say okay everyone that's in this session, go to this URL and start voting. They got to pick what computer I use, they got to pick what language I programmed in and they got to pick where in Azure-eyed I deployed it to. Was it to an app service was it to Docker? I'm like I'm going to prove to you I can do any language in any platform. So I honestly did not know what demo I was going to do. 20 minutes later, after showing them some slides, I would go back to the app and say what did you pick? And I would move that computer in front of me and right there on stage completely create a complete CI/CD pipeline for the language that that audience chose to whatever resources that they wanted on whatever platform that they wanted me. Was like, have I proven this to you enough or not? And I did that demo for an entire year. Any language that you want me to program in and any platform you want me to target, I'm going to do that right now and I don't even know what it's going to be. You're going to choose it for me. I can't remember the last time I did a .NET demo on stage. I did Python this week when I was on stage with Jason Zander. I saw a lot of Python and Go and other demos this year. We love .NET. Don't get us wrong but everyone knows we can .NET. What we're trying to prove right now is that we can do a lot of other things. It does not matter what language you program in. It does not matter where you want to deploy. Microsoft is here to help you. It's a company created by developers and we're still obsessed with developers, not just .NET developers, all developers even the citizen developer which is a developer which is a developer who doesn't have to see the code anymore but wants to be able to add that value to what they're doing in their organization. So if you're a developer, Microsoft is here to help full-stop. It's a powerful mission and a powerful message that you are really empowering everyone here. >> Donovan: Right. >> Excellent. >> And how many developers only program in one language now, right? I thought I remember I used to be a C++ programmer and I thought that was it, right. I knew the best language, I knew the fastest language. And then all of a sudden, I knew CSharp and I knew Java and I knew JavaScript and I brought a lot of PowerShell right now and I write it on and noticed like wow, no one knows one language. But I never leave Visual Studio code. I deploy all my workloads into Azure. I didn't have to change my infrastructure or my tools to switch languages. I just switched languages that fit whatever the problem was that I was trying to solve. So I live the mantra that we tell our customers. I don't just do .NET development. Although I love .NET and it's my go-to language if I'm starting from scratch but sometimes I'm going to go help in an open source project that's written in some other language and I want to be able to help them. With Visual Studio online, we made that extremely easy. I don't even have to set up my development machine anymore. I can only click a link in a GitHub repository and the environment I need will be provisioned for me. I'll use it, check in my commits and then throw it away when I'm done. It's the world of being a developer now and I always giggle 'cause I'm thinking I had to drive to a store and buy my first compiler and now I can have an entire environment in minutes that is ready to rock and roll. It's just I wish I would learn how to program now and not when I was on bulletin boards asking for help and waiting three days for someone to respond. I didn't have Stack Overflow or search engines and things like that. It's just an amazing time to be a developer. >> Yes, indeed. Indeed it is Donovan Brown, the man in the black shirt. Thank you so much for coming on theCUBE. >> My pleasure. Thank you for having me. >> It was really fun. Thank you. >> Take care. >> I'm Rebecca Knight for Stu Miniman. Stay tuned for more of theCUBE's live coverage of Microsoft Ignite. (upbeat music)