>> Massachusetts, it's theCUBE! Covering WTG Transform 2019. Brought to you by Winslow Technology Group. >> Welcome back, I'm Stu Miniman, and we're here at WTG Transform 2019, across the Mass Pike from Fenway Park where we're hoping the rain's going to stop in time for the game tonight where we have 189 users here with Winslow Technology, digging in a lot of technology, networking with their peers, and I'm thrilled to have on another one of the ED users on the program. Plamen Dimitrov is director of Information Technology at Kiawah Island Golf Resorts coming to us from South Carolina. Thank you so much for joining us. >> Thank you for having me. >> All right, as I was actually telling you, I'm familiar with Kiawah, my father is retired down to John's Island right off of Charlestown, South Carolina. You have a beautiful golf course there, there've been professional events there, we actually have one of our Cubeos, does some PGA coverage, John Walls, so he and I have talked about Kiawah a few times, but for those of our audience that aren't as familiar, haven't been able to enjoy it, tell us a little bit about Kiawah. >> Kiawah is a beautiful island, over about 10 miles of oceanfront, side, where the Kiawah Golf Resort is spread out. We have different accommodations with a lot of different activities for all ages, starting with the Sanctuary Hotel, which is a Five Star by Forbes and a Five Diamond by AAA. Or you can choose any of our villas from one to eight bedroom villas. We have five beautiful golf courses, which one of them is ocean course, previously hosted Ryder Cup in 1991, and PGA in 2012, and we are also proud to be a host of the PGA 2021, very exciting. Apart of that, we are announced to be Tennis Resort #1 in the world by tennisresortonline.com. We have over 22 tennis course, different variations from car course to clay. On top of that, we have a lot of pools, swimming pools, water parks, a lot of recreation, kayaking. It can be a beautiful journey for any visitors. >> Yeah, so, Plamen I know some of the IT people listening to this are going to be like, "Boy, he's got a tough job there!" Sounds gorgeous, right on the ocean, so many things there, bring us a little bit inside the IT, your world, what that entails, and, boy, there's got to be some different challenges and opportunities that you face, versus the kind of traditional business IT. >> As every island, we have all of our friends, like salty water and all things like that. And besides that, I've mentioned that the company's spread out over 10 miles, we have a total of 23 locations, and all they share the same systems and applications. Our current challenges, from an IT standpoint, are things that not all of the vendors that can keep up with the current technology and the all new and moderns, so we have some, what we call, old school applications, they can't keep up, and then you have the new applications that can be hosted on the Cloud, for instance. In the same time, those applications need to somewhat work with each other and have some interfaces, so this is where we face the, these days a challenge, a little bit, and where our partnership with Winslow, were able to help us determine which is the best route for us. And we determined that having a data center on island, and they have another one off the island, is the best for us to go. They helped us go through the planning of what's the right set up to be used, and I think we're in the right direction. >> Okay, great, so you have two data centers and you're also using Cloud services, if I heard right? >> Correct. >> Okay. There's been a big discussion here, is like, all right, what is the Cloud's strategy and it is an ever changing world and there is no one right answer, so, when you look at yourselves, what is your Cloud strategy today and what makes you help determine where you'll be moving in the future? >> In one of the sessions, they mentioned it's all about checks and balance, and it's to be able to measure how to apply your cash in a way that it makes sense, and one day, maybe, for some applications makes sense to be on premise, another day makes sense to bring it on the Cloud. And I can give you an example, recently what we did was, we were looking into switching to Office 365, pretty much everybody knows about it, and there's a good study that, after you go over a certain threshold, it's much easier to, and much more cost effective, to have something on premise versus going to a Cloud version. Now, again, it depends on the size of the company, it depends on the... Your future projects and goals, for some people it may be different than us. But I think that the future more and more, things will be what's called colocating the Cloud, which is mainly by other providers, and we're going to have two called a key that you can get to those applications from anywhere. >> Plam, bring us inside a little bit that the data centers, you said you have two of them, what's your infrastructure stack look like today? >> We've been looking at the various solutions, hyper-converged, and hybrids, and with the help of Winslow, we determined that sticking to the 3-2-1 traditional solution is the way we go. We use their Compellent products, all flash erase, very flexible and very reliable, very nice speed it provides, performance-wise they're a great product. Then, after that story solution, you have two data switches and then a number of servers. We use, on top of that, the VMware as our hypervisor, along with their VDI environment called Horizon for some remote clients that they don't need much, but that's basically our setup. >> Great, and how long have you been using the Compellent solutions? >> The Compellent solutions, we've been using them for a year and a half, since I joined the company, but my relationship with Winslow goes far back, since 2013 where I used to work for another company here in Nantucket. And the very first person I worked with was John Cliffords from Winslow. Very great guy, and he introduced us to the Dell world. This is when we bought the first EqualLogic and afterwards, I went to Belmont, where we also bought (mumbles), and we just keep going along. >> All right, great, Plamen, last question I have for you, what brings you to an event like this, what were you hoping to get out of it, and how's it been going for you so far? >> Well, what brings me to an event like this, most of the time is on one side to see what Dell has to offer, and some people attend, they'll conference, but I think a place like this, where you have smaller scale conference, it's much more beneficial for me. A, from a learning experience and B, from creating connections, making connections with other users, which this is the best because sales rep can say, "Yeah, this is what you need." But then, from a user perspective, it's priceless to absorb experience. >> All right, well, Plamen Dimitrov, I really appreciate you sharing your journey, and everything that Kiawah Golf Resorts is doing, thank you so much. >> Thank you very much. >> All right, we'll be back with more coverage here from WTG Transform 2019, I'm Stu Miniman, thanks for watching theCUBE. (funky electro music)

>> Narrator: theCUBE's live coverage is made possible by funding from Dell Technologies. Creating technologies that drive human progress. (upbeat music) >> Welcome back to Barcelona, Spain, everyone. It's theCUBE live at MWC '23, day three of four days of CUBE coverage. It's like a cannon of CUBE content coming right at you. I'm Lisa Martin with Dave Nicholson. We've got Dell and VMware here. Going to be talking about the ecosystem partnerships and what they're doing to further organizations in the telco industry. Please welcome Jared Woodrey, Director of Partner Engineering Open Telecom Ecosystem Lab, OTEL. Odded Solomon is here as well, Director of Product Management, VMware Service Provider and Edge Business Unit at VMware. Guys, great to have you on the program. >> Thank you for having me. >> Welcome to theCUBE. So Jared, first question for you. Talk about OTEL. I know there's a big announcement this week, but give the audience context and understanding of what OTEL is and how it works. >> Sure. So the Open Telecom Ecosystem Lab is physically located at Round Rock, Texas, it's the heart and soul of it. But this week we also just announced opening up the Cork, Ireland extension of OTEL. The reason for our existence is to to try and make it as easy as possible for both partners and customers to come together and to re-aggregate this disaggregated ecosystem. So that comes with a number of automation tools and basically just giving a known good testing environment so that tests that happen in our lab are as close to real world as they possibly can be and make it as transparent and open as possible for both partners like VMware as well as customers. >> Odded, talk about what you're doing with Dell and OTEL and give us a customer example of maybe one that you're working with or even even mentioning it by a high level descriptor if you have to. >> Yeah. So we provide a telco cloud platform, which is essentially a vertical in VMware. The telco cloud platform is serving network function vendors, such as Ericsson, Nokia, Mavenir, and so on. What we do with Dell as part of this partnership is essentially complementing the platform with some additional functionality that is not coming out of the box. We used to have a data protection in the past, but this is no longer our main business focus. So we do provide APIs that we can expose and work together with Dell PPDM solution so customer can benefit from this and leverage the partnership and have overall solution that is not coming out of the box from VMware. >> I'm curious, from a VMware perspective. VMware is associated often with the V in VMware, virtualization, and we've seen a transition over time between sort of flavors of virtualization and what is the mix currently today in the telecom space between environments that are leveraging what we would think of as more traditional virtualization with full blown Linux, Windows operating systems in a VM versus the world of containerized microservices? What does that mix look like today? Where do you see it going? >> Yeah, so the VMware telco cloud platform exists for about eight years. And the V started around that time. You might heard about open stack in addition to VMware. So this has definitely helped the network equipment providers with virtualizing their network functions. Those are typically VNF, virtualized network functions, inside the VMs. Essentially we have 4G applications, so core applications, EPC, we have IMS. Those are typically, I would say maybe 80 or 90% of the ecosystem right now. 5G is associated with cloud native network functions. So 5G is getting started now, getting deployed. There is an exponential growth on the core side. Now, when we expand towards the edge of the network we see more potential growth. This is 5G ran, we see the vRAN, we see the open RAN, we see early POCs, we see field trials that are starting. We obviously has production customer now. You just spoke to one. So this is really starting, cloud native is really starting I would say about 10 to 20% of the network functions these days are cloud native. >> Jared, question for you. You mentioned data protection, a huge topic there obviously from a security perspective. Data protection used to be the responsibility of the CSPs. You guys are changing that. Can you talk a little bit about how you're doing that and what Dell's play there is? >> Yeah, so PowerProtect Data Management is a product, but it's produced by Dell. So what this does is it enables data protection over virtual cloud as well as the physical infrastructure of specifically in this case of a telecoms ecosystem. So what this does is enables an ability to rapidly redeploy and back up existing configurations all the way up to the TCP and TCA that pulls the basis of our work here with VMware. >> So you've offloaded that responsibility from the CSPs. You freed them from that. >> So the work that we did, honestly was to make sure that we have a very clear and concise and accurate procedures for how to conduct this as well. And to put this through a realistic and real world as if it was in a telecoms own production network, what did that would actually look like, and what it would take to bring it back up as well. So our responsibility is to make sure that when we when we provide these products to the customers that not only do they work exactly as their intended to, but there is also documentation to help support them and to enable them to have their exact specifications met by as well. >> Got it. So talk about a little bit about OTEL expansion into Cork. What you guys are doing together to enable CSPs here in EMEA? >> Yeah, so the reason why we opened up a facility in Cork Island was to give, for an EMEA audience, for an EMEA CSPs and ability to look and feel and touch some of the products that we're working on. It also just facilitates and ease especially for European-based partners to have a chance to very easily come to a lab environment. The difference though, honestly, is the between Round Rock, Texas and Cork Island is that it's virtually an extension of the same thing. Like the physical locations can make it easier to provide access and obviously to showcase the products that we've developed with partners. But the reality is that it's more than just the physical location. It's more about the ability and ease by which customers and partners can access the labs. >> So we should be expecting a lot of Tito's vodka to be consumed in Cork at some point. Might change the national beverage. >> We do need to have some international exchange. >> Yeah, no, that's good to know. Odded, on the VMware side of things. There's a large group of folks who have VMware skillsets. >> Odded: Correct. >> The telecom industry is moving into this world of the kind of agility that those folks are familiar with. How do people come out of the traditional VMware virtualization world and move into that world of cloud native applications and serve the telecom space? What would your recommendation be? If you were speaking at a VMUG, a VMware Users Group meeting with all of your telecom background, what would you share with them that's critical to understand about how telecom is different, or how telecom's spot in its evolution might be different than the traditional IT space? >> So we're talking about the people with the knowledge and the background of. >> Yeah, I'm a V expert, let's say. And I'm looking into the future and I hear that there are 80,000 people in Barcelona at this event, and I hear that Dell is building optimized infrastructure specifically for telecom, and that VMware is involved. And I'm an expert in VMware and I want to be involved. What do I need to do? I know it's a little bit outside of the box question, but especially against the backdrop of economic headwinds globally, there are a lot of people facing transitions. What are your thoughts there? >> So, first of all, we understand the telco requirements, we understand the telco needs, and we make sure that what we learn from the customers, what we learn from the partners is being built into the VMware products. And simplicity is number one thing that is important for us. We want the customer experience, we want the user experience to be the same as they know even though we are transitioning into cloud native networks that require more frequent upgrades and they have more complexity to be honest. And what we do in our vertical inside VMware we are focusing on automation, telco cloud automation, telco cloud service assurance. Think of it as a wrapper around the SDDC stack that we have from VMware that really simplifies the operations for the telcos because it's really a challenge about skillset. You need to be a DevOps, SRE in order to operate these networks. And things are becoming really complex. We simplify it for them with the same VMware experience. We have a very good ability to do that. We sell products in VMware. Unlike our competition that is mostly selling professional services and support, we try to focus more on the products and delivering the value. Of course, we have services offering because telcos requires some customizations, but we do focus on automation simplicity throughout our staff. >> So just follow up. So in other words the investment in education in this VMware ecosystem absolutely can be extended and applied into the telecom world. I think it's an important thing. >> I was going to add to that. Our engagement in OTEL was also something that we created a solutions brief whether we released from Mobile World Congress this week. But in conjunction with that, we also have a white paper coming out that has a much more expansive explanation and documentation of what it was that we accomplished in the work that we've done together. And that's not something that is going to be a one-off thing. This is something that will stay evergreen that we'll continue to expand both the testing scope as well as the documentation for what this solution looks like and how it can be used as well as documentation on for the V experts for how they can then leverage and realize the the potential for what we're creating together. >> Jared, does Dell look at OTEL as having the potential to facilitate the continued evolution of the actual telco industry? And if so, how? >> Well, I mean, it would be a horrible answer if I were to say no to that. >> Right. >> I think, I honestly believe that one of the most difficult things about this idea of having desired ecosystem is not just trying to put it back together, but then also how to give yourself choice. So each time that you build one of those solution sets like that exists as an island out of all the other possibilities that comes with it. And OTEL seeks to not just be able to facilitate building that first solution set. Like that's what solutions engineering can do. And that's generally done relatively protected and internally. The Open Telecom Ecosystem seeks to build that then to also provide the ability to very easily change specific components of that whether that's a hardware component, a NIC, whether a security pass just came out or a change in either TCP or TCA or we talked a little bit about for this specific engagement that it was done on TCP 2.5. >> Odded: Correct. >> Obviously there's already a 2.7 and 3.0 is coming out. It's not like we're going to sit around and write our coattails of what 2.7 has happened. So this isn't intended to be a one and done thing. So when we talk about trying to make that easier and simpler and de-risk all of the risk that comes from trying to put all these things together, it's not just the the one single solution that you built in the lab. It's what's the next one? And how do I optimize this? And I have specific requirements as a CSP, how can I take something you built that doesn't quite match it, but how do I make that adjustment? So that's what we see to do and make it as easy and as painless as possible. >> What's the engagement model with CSPs? Is it led by Dell only, VMware partner? How does that work? >> Yeah, I can take that. So that depends on the customer, but typically customers they want to choose the cloud vendor. So they come to VMware, we want VMware. Typically, they come from the IT side. They said, "Oh, we want to manage the network side of the house the same way as we manage the IT. We don't want to have special skill sets, special teams." So they move from the IT to the network side and they want VMware there. And then obviously they have an RSP process and they have hardware choices. They can go with Dell, they can go with others. We leverage vSphere, other compatibility. So we can be flexible with the customer choice. And then depending on which customer, how large they are, they select the network equipment provider that the runs on top. We position our platform as multi-vendor. So many of them choose multiple network functions providers. So we work with Dell. So assuming that the customer is choosing Dell. We work very closely with them, offering the best solution for the customer. We work with them sometimes to even design the boxes to make sure that it fits their use cases and to make sure that it works properly. So we have a partnership validation certification end-to-end from the applications all the way down to the hardware. >> It's a fascinating place in history to be right now with 5G. Something that a lot of consumers sort of assume. It's like, "Oh, hey, yeah, we're already there. What's the 6G thing going to look like?" Well, wait a minute, we're just at the beginning stages. And so you talk about disaggregation, re-aggregation, or reintegration, the importance of that. Folks like Dell have experience in that space. Folks at VMware have a lot of experience in the virtualization space, but I heard that VMware is being acquired by Broadcom, if it all goes through, of course. You don't need to comment on it. But you mentioned something, SDDC, software-defined data center. That stack is sometimes misunderstood by the public at large and maybe the folks in the EU, I will editorialize for a moment here. It is eliminating capture in a way by larger hyperscale cloud providers. It absolutely introduces more competition into the market space. So it's interesting to hear Broadcom acknowledging that this is part of the future of VMware, no matter what else happens. These capabilities that spill into the telecom space are something that they say they're going to embrace and extend. I think that's important for anyone who's evaluating this if they're concern. Well, wait a minute. Yeah, when I reintegrate, do I want VMware as part of this mix? Is that an unknown? It's pretty clear that that's something that is part of the future of VMware moving forward. That's my personal opinion based on analysis. But you brought up SDDC, so I wanted to mention that. Again, I'm not going to ask you to get into trouble on that at all. What should we be, from a broad perspective, are there any services, outcomes that are going to come out of all of this work? The agility that's being built by you folks and folks in the open world. Are there any specific things that you personally are excited about? Or when we think about consumer devices, getting data, what are the other kinds of things that this facilitates? Anything cool, either one of you. >> So specific use cases? >> Yeah, anything. It's got to be cool though. If it's not cool we're going to ask you to leave. >> All right. I'll take that challenge. (laughs) I think one of the things that is interesting for something like OTEL as an exist, as being an Open Telecom Ecosystem, there are going to be some CSPs that it's very difficult for them to have this optionality existing for themselves. Especially when you start talking about tailoring it for specific CSPs and their needs. One of the things that becomes much more available to some of the smaller CSPs is the ability to leverage OTEL and basically act as one of their pre-production labs. So this would be something that would be very specific to a customer and we would obviously make sure that it's completely isolated but the intention there would be that it would open up the ability for what would normally take a much longer time period for them to receive some of the benefits of some of the changes that are happening within the industry. But they would have immediate benefit by leveraging specifically looking OTEL to provide them some of their solutions. And I know that you were also looking for specific use cases out of it, but like that's a huge deal for a lot of CSPs around the world that don't have the ability to lay out all the different permutations that they are most interested in and start to put each one of those through a test cycle. A specific use cases for what this looks like is honestly the most exciting that I've seen for right now is on the private 5G networks. Specifically within mining industry, we have a, sorry for the audience, but we have a demo at our booth that starts to lay out exactly how it was deployed and kind of the AB of what this looked like before the world of private 5G for this mining company and what it looks like afterwards. And the ability for both safety, as well as operational costs, as well as their ability to obviously do their job better is night and day. It completely opened up a very analog system and opened up to a very digitalized system. And I would be remiss, I didn't also mention OpenBrew, which is also an example in our booth. >> We saw it last night in action. >> We saw it. >> I hope you did. So OpenBrew is small brewery in Northeast America and we basically took a very manual process of checking temperature and pressure on multiple different tanks along the entire brewing process and digitized everything for them. All of that was enabled by a private 5G deployment that's built on Dell hardware. >> You asked for cool. I think we got it. >> Yeah, it's cool. >> Jared: I think beer. >> Cool brew, yes. >> Root beer, I think is trump card there. >> At least for folks from North America, we like our brew cool. >> Exactly. Guys, thank you so much for joining Dave and me talking about what Dell, OTEL, and VMware are doing together, what you're enabling CSPs to do and achieve. We appreciate your time and your insights. >> Absolutely. >> Thank you. >> All right, our pleasure. For our guests and for Dave Nicholson, I'm Lisa Martin. You watching theCUBE live from MWC '23. Day three of our coverage continues right after a short break. (upbeat music)

>>We're back in Boston, the Cube's coverage of AWS reinforced 2022. My name is Dave ante. Steve Malanney is here as the CEO of Aviatrix longtime cube alum sort of collaborator on super cloud. Yeah. Uh, which we have an event, uh, August 9th, which you guys are participating in. So, um, thank you for that. And, yep. Welcome to the cube. >>Yeah. Thank you so great to be here as >>Always back in Boston. Yeah. I'd say good show. Not, not like blow me away. We were AWS, um, summit in New York city three weeks ago. I >>Took, heard it took three hours to get in >>Out control. I heard, well, there were some people two I, maybe three <laugh>, but there was, they expected like maybe nine, 10,000, 19,000 showed up. Now it's a free event. Yeah. 19,000 people. >>Oh, I didn't know it >>Was that many. It was unbelievable. I mean, it was packed. Yeah. You know, so it's a little light here and I think it's cuz you know, everybody's down the Cape, >>There are down the Cape, Rhode Island that's after the fourth. The thing is that we were talking about this. The quality of people are pretty good though. Yeah. Right. This is there's no looky lose it's everybody. That's doing stuff in cloud. They're moving in. This is no longer, Hey, what's this thing called cloud. Right. I remember three, four years ago at AWS. You'd get a lot of that, that kind of stuff. Some the summit meetings and things like that. Now it's, we're a full on deployment mode even >>Here in 2019, the conversation was like, so there's this shared responsibility model and we may have to make sure you understand. I mean, nobody's questioning that today. Yeah. It's more really hardcore best practices and you know how to apply tools. Yeah. You know, dos and don't and so it's a much more sophisticated narrative, I think. Yeah. >>Well, I mean, that's one of the things that Aviatrix does is our whole thing is architecturally. I would say, where does network security belong in the network? It shouldn't be a bolt on it. Shouldn't be something that you add on. It should be something that actually gets integrated into the fabric of the network. So you shouldn't be able to point to network security. It's like, can you point to the network? It's everywhere. Point to air it's everywhere. Network security should be integrated in the fabric and that wasn't done. On-prem that way you steered traffic to this thing called a firewall. But in the cloud, that's not the right architectural way. It it's a choke point. Uh, operationally adds tremendous amount of complexity, which is the whole reason we're going to cloud in the first place is for that agility and the ability to operationally swipe the card and get our developers running to put in these choke points is completely the wrong architecture. So conversations we're having with customers is integrate that security into the fabric of the network. And you get rid of all those, all those operational >>Issues. So explain that how you're not a, a checkpoint, but if you funnel everything into one sort of place >>In the, so we are a networking company, uh, it is uh, cloud networking company. So we, we were born in the cloud cloud native. We, we are not some on-prem networking solution that was jammed in the cloud, uh, wrapped >>In stack wrapped >>In, you know, or like that. No, no, no. And looking for wires, right? That's VM series from Palo. It doesn't even know it's in the cloud. Right. It's looking for wires. Um, and of course multicloud, cuz you know, Larry E said now, could you believe that on stage with sat, Nadela talking about multi-cloud now you really know we've crossed over to this is a, this is a thing, whoever would've thought you'd see that. But anyway, so we're networking. We're cloud networking, of course it's multi-cloud networking and we're gonna integrate these intelligent services into the fabric. And one of those is, is networking. So what happens is you should do security everywhere. So the place to do it is at every single point in the network that you can make a decision and you embed it and actually embed it into the network. So it's that when you're making a decision of does that traffic need to go somewhere or not, you're doing a little bit of security everywhere. And so what, it looks like a giant firewall effectively, but it's actually distributed in software through every single point in a network. >>Can I call it a mesh? >>It's kind of a mesh you can think of. Yeah, it's a fabric. >>Okay. It's >>A, it's a fabric that these advanced services, including security are integrated into that fabric. >>So you've been in networking much of >>Your career career, >>37 years. All your career. Right? So yay. Cisco Palo Alto. Nicera probably missing one or two, but so what do you do with all blue coat? Blue coat? What do you do with all that stuff? That's out there that >>Symantics. >>Yes. <laugh> keep going. >>Yeah, I think that's it. That's >>All I got. Okay. So what do you do with all that stuff? That's that's out there, you rip and replace it. You, >>So in the cloud you mean yeah. >>All this infrastructure that's out there. What is that? Well, you >>Don't have it in the right. And so right now what's happening is people, look, you can't change too many things. If you're a human, you know, they always tell you don't change a job, get married and have a kid or something all in the same year. Like they just, just do one of 'em cuz you it's too much. When people move to the cloud, what they do is they tend to take what they do on Preem and they say, look, I'm gonna change one thing. We're gonna go to the cloud, everything else. I'm gonna keep the same. Cuz I don't wanna change three things. So they kind of lift and shift their same mentality. They take their firewalls, their next gen fire. I want them, they take all the things that they currently do. And they say, I'm gonna try to do that in the cloud. >>It's not really the right way to do it. But sometimes for people that are on-prem people, that's the way to get started and I'll screw it up and not screw it up and, and not change too many things. And look, I'm just used to that. And, and then I'll, then I'll go to change things, to be more cloud native, then I'll realize I can get rid of this and get rid of that and do that. But, but that's where people are. The first thing is bring these things over. We help them do that, right? From a networking perspective, I'll make it easier to bring your old security stuff in. But in parallel to that, we start adding things into the fabric and what's gonna happen is eventually we start adding all these things and things that you can't do separately. We start doing anomaly detection. We start doing behavioral analysis. Why? Because the entire network, we are the data plan. We see everything. And so we can start doing things that a standalone device can't do because not all the traffic steered to them. It can only control what's steered to you. And then eventually what's happening is people look at that device. And then they look at us and then they look at the device and they look at us and they go, why do I have both of this? And we go, I don't know. >>You don't need it. >>Well, can I get rid of that other thing? That's a tool. >>Sure. And there's not a trade off. There's not a trade off. You >>Don't have to. No. Now people rid belts and suspenders. Yeah. Cause it's just, who has, who has enough? Who has too much security buddy? They're gonna, they're gonna do belt suspenders. You know anything they can do. But eventually what will happened is they'll look at what we do and they'll go, that's good enough. That happened to me. When I was at Palo Alto networks, we inserted as a firewall. They kept their existing firewall. They had all these other devices and eventually all those went away and you just had a NextGen >>Firewall just through attrition, >>Through Atian. You're like, you're looking, you go, well, that platform is doing all these functions. Same. Thing's gonna happen to us. The platform of networking's gonna do all your network security devices. So any tool or agent or external, you know, device that you have to steer traffic to ISS gonna go away. You're not gonna need it. >>And, and you talking multi-cloud obviously, >>And then don't wanna do the same thing. Whether man Azure, you know the same. >>Yeah. >>Same, same experie architecture, same experience, same set of services. True. Multi-cloud native. Like you, that's what you want. And oh, by the way, skill, gap, skill shortage is a real thing. And it's getting worse. Cause now with the recession, you think you're gonna be able to add more people. Nope. You're gonna have less people. How do I do this? Any multicloud world with security and all this kind of stuff. You have to put the intelligence in the software, not on your people. Right? >>So speaking of recession. Yep. As a CEO of a well funded company, that's got some momentum. How are you approaching it? Do you have like, did you bring in the war time? Conig I mean, you've been through, you know, downturns before. This is you are you >>I'm on war time already. >>Okay. So yeah. Tell me more about how you you're kind of approaching this >>So recession down. So didn't change what we were doing one bit, because I run it that way from the very beginning. So I've been around 30 years, that's >>Told me he he's like me. You know what he said? >>Yeah. Or maybe >>I'm like, I want be D cuz he said, you know, people talk about, you know, only do things that are absolutely necessary during times like this. I always do things that are only, >>That's all I >>Do necessary. Why would you ever do things that aren't necessary? >><laugh> you'd be surprised. Most companies don't. Yeah. Uh, recession's very good for people like snowflake and for us because we run that way anyway. Mm-hmm <affirmative> um, I, I constantly make decisions that we have to go and dip there's people that aren't right for the business. I move 'em out. Like I don't wait for some like Sequoia stupid rest in peace. The world's ending fire all your people that has no impact on me because I already operated that way. So we, we kind of operate that way and we are, we are like sat Nadel even came out and kind of said, I don't wanna say cloud is recession proof, but it kind of is, is we are so look, our top customer spends 5 million a year. Nothing. We haven't even started yet. David that's minuscule. We're not macro. We're micro 5 million a year for these big enterprises is nothing right. SA Nadel is now starting to count people who do billion dollar agreements with him billion over a period of number of years. Like that's the, the scale we have not even >>Gun billion dollar >>Agreements. We haven't even under begun to understand the scope of what's happening in the cloud. Right. And so yeah, the recession's happening. I don't know. I guess it's impacting somebody. It's not impacting me. It's actually accelerating things because it's a flight to quality and customers go and say, I can't get gear on on-prem anyway, cuz of the, uh, shortage, you know, the, uh, uh, get chips. Um, and that's not the right thing. So guess what the recession says, I'm gonna stop spending more money there and I'm gonna put it into the cloud. >>All right. So you opened up Pandora's box, man. I wanna ask you about your sort of management philosophy. When you come into a company to take, to go lead a company like that. Yeah. How, what, what's your approach to assess the team? Who do you, who do you decide? How do you decide who to keep on the bus? Who to throw off the bus put in the right seats. So how long does that take you? >>Doesn't take long. When I join, we were 30, 30, 8 people. We're now 525. Um, and my view on everything and I I've never met Frank Lubin, but I guarantee you, he has the same philosophy. You have a one year contract me included next year, the board might come to me and say, you were the right CEO for this year. You're not next year. Ben Horowitz taught me that it's a one year contract. There's no multi-year contract. So everybody in the company, including the CEO has a one year >>Contract. So you would say that to the board. Hey, if you can find somebody better, >>If, and, and you know what, I'll be the first one to pull myself, fire myself and say, we're, we're replacing me with somebody better right now. There isn't anybody better. So it's me. So, okay, next year maybe there's somebody better. Or we hit a certain point where I'm not the right guy. I'll I'll, I'll pull myself out as the CEO, but also internally the same thing just because you're the right guy this year. And we hire people for the, what you need to do this year. We're not gonna, we don't hire, oh, like this is the mistake. A lot of companies make, well, we wanna be a billion dollars in sales. So we're gonna go hire some loser from HPE. Who's worked at a company for a billion dollars. And by the way has no idea how they became a billion dollars, right. In revenue or billions of dollars. >>But we're gonna go hire 'em because they must know more than we do. And what every single time you bring them in what you realize, they're idiots. They have no idea how we got to that. And so you, you don't pre-hire for where you want to be. You hire for where you are that year. And then if it's not right, and then if it's not right, you'd be really nice to them. Have great severance packages, be, be respectful for people and be honest with them. I guarantee you Frank, Salman's not, if you're not just have this conversation with a sales guy before I came into here, very straight conversation, Northeast hockey player mentality. We're straight. If you're not working out or I don't think you're doing things right. You're gonna know. And so it's a one year, it's a one year contract. That's what you do. So you don't have time. You don't the luxury of >>Time. So, so that's probably the hardest part of, of any leadership job is, and people don't like confrontation. They like to put it off, but you don't run away from it. It's >>All in a confrontation, right? That's what relationships have built. Why do war buddies hang out with each other? Cuz they've gone through hell, right? It's in the confrontation. And it's, it's actually with customers too, right? If there's an issue, you don't run from it. You actually bring it up in a very straightforward manner and say, Hey, we got a problem, right? They respect you. You respect them, blah, blah, blah. And then you come out of it and go, you know, you have to fight like, look with your wife. You have to fight. If you don't fight, it's not a relationship you've gotta see in that, in that tension is where the relationship's >>Built. See, I should go home and have a fight tonight. You gotta have a fight with your wife. <laugh> you know, you mentioned Satia and Nadella and Larry Ellison. Interesting point. I wanna come back to that. What Oracle did is actually pretty interesting, do we? For their use case? Yeah. You know, it's not your thing. It's like low latency database across clouds. Yeah. Who would ever thought that? But >>We love it. We love it because it drives multi-cloud it drives. Um, and, and, and I actually think we're gonna have multi-cloud applications that are gonna start happening. Um, right now you don't, you have developers that, that, that kind of will use one cloud. But as we start developing and you call it the super cloud, right. When that starts really happening, the infrastructure's gonna allow that networking and network security is that bottom layer that Aviatrix helps once that gets all handled. The app, people are gonna say, so there's no friction. So maybe I can use autonomous database here. I can use this service from GCP. I can use that service and, and put it all into one app. So where's the app run. It's a multicloud app. Doesn't exist today. >>No, that doesn't happen today. >>It's it's happen. It's gonna happen. >>But that's kind of what the vision was. No, seven, eight years ago of what >>It's >>Gonna, that would be, you know, the original premise of hybrid. Right? Right. Um, I think Chuck Hollis, the guy was at EMC at the time he wrote this piece on, he called it private cloud, but he was really describing hybrid cloud application and running in both places that never happened. But it's starting to, I mean, the infrastructure is getting put in place to enable that, I guess is what you're saying. >>Yep. >>Yeah. >>Cool. And multicloud is, is becoming not just four plus one is a lot of enterprises it's becoming plus one, meaning you're gonna have more and more. And then there won't be infrastructure clouds like AWS and so forth, but it's gonna be industry clouds. Right? You've you've talked about that again, back to super clouds. You're gonna have Goldman Sachs creating clouds and you're gonna have AI companies creating clouds. You're gonna have clouds at the edge, you know, for edge computing and all these things all need to be networked with network security integrated. And you mentioned fact >>Aviatrix you mentioned Ben Horowitz, that's mark Andreesen. All, all companies are software companies. All companies are becoming cloud companies. Yeah. Or, or they're missing missing opportunities or they might get disrupted. >>Yeah. Every single company I talk to now, you know, whether you're Heineken, they don't think of themselves as a beer company anymore. We are the most technologically, you know, advanced brewer in the world. Like they all think they're a technology company. Now, whether you're making trucks, whether you're making sneakers, whether you're making beer, you're now a technology company, every single company in >>The world, we are too, we're we're building a media cloud. You're you know, John's, it's a technology company laying that out and yeah. That's we got developers doing that. That's our, that's our future. Yep. You know? Cool. Hey, thanks for coming on, man. Thank you. Great to see you. Thank you for watching. Keep it right there. We'll be back right after this short break. It keeps coverage. AWS reinforced 20, 22 from Boston. Keep it right there. >>You tired? How many interviewed.

we're back at vemma in 2022 we're here at the aria hotel in las vegas this is thecube's continuous coverage we're day two welcome to the cxo session we have ceo cto cso chief strategy officer brett diamond is the ceo justin jardina is the cto and dante orsini is the chief strategy officer for 11 11 systems recently named i guess today the impact cloud service provider of the year congratulations guys welcome thank you welcome back to the cube great to see you again thank you great likewise so okay brett let's start with you tell give us the overview of 11 1111 uh your focus area talk about the the the island acquisition what that what that's all about give us the setup yeah so we started 11-11 uh really with a focus on taking the three core pillars of our business which are cloud connectivity and security bring them together into one platform allowing a much easier way for our customers and our partners to procure those three solution sets through a single company and really focus on uh the three main drivers of the business uh which you know have a litany of other services associated with them under each platform okay so so justin cloud connectivity and security they all dramatically changed in march of 2020 everybody had to go to the cloud the rather rethink the network had a secure remote worker so what did you see from a from a cto's perspective what changed and how did 11 respond sure so early on when we built our cloud even back into 2008 we really focused on enterprise great features one of which being uh very flexible in the networking so we found early on was that we would be able to architect solutions for customers that were dipping their toe in the cloud and set ourselves apart from some of the vendors at the time so if you fast forward from 2008 until today we still see that as a main component for iaz and draz and the ability to start taking into some of the things brett talked about where customers may need a point-to-point circuit to offload data connectivity to us or develop sd-wan and multi-cloud solutions to connect to their resources in the cloud in my opinion it's just the natural progression of what we set out to do in 2008 and to couple that with the security um if you think about what that opens up from a security landscape now you have multiple clouds you have different ingress and egress points you have different people accessing workloads in each one of these clouds so the idea or our idea is that we can layer a comprehensive security solution over this new multi-cloud networking world and then provide visibility and manageability to our customer base so what does that mean specifically for your customers because i mean we saw obviously a rapid move toward endpoint um cloud security uh identity access you know people really started thinking rethinking that as opposed to trying to just you know build a moat around the castle right um what does that mean for for your customer you take care of all that you partner with whomever you need to partner in the ecosystem and then you provide the managed service how does that work right it does and that's a great analogy you know we have a picture of a hamburger in our office exploded with all the components and they say a good security policy is all the pieces and it's really synonymous with what you said so to answer your question yes we have all that baked in the platform we can offer managed services around it but we also give the consumer the ability to access that data whether it's a ui or api so dante i know you talk to a lot of customers all you do is watch the stock market go like this and like that you say okay the pandemic drove all these but but when you talk to csos and customers a lot of things are changing permanently first of all they were forced to march to digital when previously they were like we'll get there i mean a lot of customers were let's face it i mean some were serious about it but many weren't now if you're not a digital business you're out of business what have you seen when you talk to customers in terms of the permanence of some of these changes what are they telling you well i think we go through this for ourselves right the business continues to grow you've got tons of people that are working remotely and that are going to continue to work remotely right as much as we'd like to offer up hybrid workspace and things like that some folks are like hey i've worked it out i'm working out great from home right and also i think what justin was saying also is we've seen time go on that operating environment has gotten much more complex you've got stuff in the data center stuff it's somebody's you know endpoint you've got various different public clouds different sas services right that's why it's been phenomenal to work with veeam because we can protect that data regardless of where it exists but when you start to look at some of the managed security services that we're talking about we're helping those csos you get better visibility better control and take proactive action against the infrastructure um when we look at threat mitigation and how to actually respond when when something does happen right and i think that's the key because there's no shortage of great security vendors right but how do you tie it all together into a single solution right with a vendor that you can actually partner with to help secure the environment while you go focus on the things they're more strategic to the business i was talking to jim mercer at um red hat summit last week he's an idc analyst and he said we did a survey i think it was last summer and we asked customers to your point about there's no shortage of security tools how do you want to buy your security and you know do you want you know best to breed bespoke tools and you sort of put it together or do you kind of want your platform provider to do it now surprisingly they said platform provider the the problem is that's aspirational for a lot of platforms providers so they've got to look to a managed service provider so brett talk about the the island acquisition what green cloud is how that all fits together so we acquired island and green cloud last year and the reality is that the people at both of those companies and the technology is what drove us to making those acquisitions they were the foundational pieces to eleven eleven uh obviously the things that justin has been able to create from an automation and innovation perspective uh at the company is transforming this business in a litany of different ways as well so those two acquisitions allow us at this point to take a cloud environment on a geographic footprint not only throughout the us but globally uh have a security product that was given to us from from the green cloud acquisition of cascade and add-on connectivity to allow us to have all three platforms in one all three pillars so i like 11 11 11 is near and dear to my heart i am so where'd the name come from uh everybody asked me this question i think five times a day so uh growing up as a kid everyone in my family would always say 11 11 make a wish whenever you'd see it on the clock and uh during coven we were coming up with a new name for the business my daughter looked at the microwave said dad it's 11 11. make a wish the reality was though i had no idea why i'd been doing it for all that time and when you look up kind of the background origination derivation of the word uh it means the time of day when everything's in line um and when things are complex especially with running all the different businesses that we have aligning them so that they're working together it seemed like a perfect man when i had the big corner office at idc i had my staff meetings at 11 11. because the universe was aligned and then the other thing was nobody could forget the time so they gave him 11 minutes to be there now you'll see it all the time even when you don't want to so justin we've been talking a lot about ransomware and and not just backup but recovery my friend fred moore who you know coined the phrase backup is one thing recovery is everything and recovery time network speeds and and the like are critical especially when you're thinking cloud how are you architecting recovery for your clients maybe you could dig into that a little bit sure so it's really a multitude of things you know you mentioned ransomware seeing the ransomware landscape evolve over time especially in our business with backup and dr it's very singular you know people protecting against host nodes now we're seeing ransomware be able to get into an environment land and expand actually delete backups target backup vendors so the ransomware point i guess um trying to battle that is a multi-step process right you need to think about how data flows into the organization from a security perspective from a networking perspective you need to think about how your workloads are protected and then when you think about backups i know we're at veeam vmon now talking about veeam there's a multitude of ways to protect that data whether it's retention whether it's immutability air gapping data so while i know we focus a lot sometimes on protecting data it's really that hamburg analogy where the sum of the parts make up the protection so how do you provide services i mean you say okay you want immutability there's a there's a line item for that um you want faster or you know low rpo fast rto how does that all work for as a customer what what am i buying from you is it just a managed service we'll take care of everything platinum gold silver or is it if if you don't mind so i'm glad you asked that question because this is something that's very unique about us years ago his team actually built the ip because we were scaling at such an incredible rate globally through all our joint partners with veeam that how do we take all the intelligence that we have in his team and all of our solution architects and scale it so they actually developed a tool called catalyst and it's a pre-sales tool it's an application you download it you install it it basically takes a snapshot of your environment you start to manipulate the data what are you trying to do dave are you trying to protect that data are you backing up to us are you trying to replicate for dr purposes um you know what are you doing for production or maybe it's a migration it analyzes the network it analyzes all your infrastructure it helps the ses know immediately if we're a feasible solution based on what you are trying to do so nobody in the space is doing this and that's been a huge key to our growth because the channel community as well as the customer they're working with real data so we can get past all the garbage and get right to what's important for them for the outcome yeah that's huge who do you guys sell to is it is it more mid-sized businesses that maybe don't have the large teams is it larger enterprises who want to complement to their business is it both well i would say with the two acquisitions that we made the go-to-market sales strategies and the clientele were very different when you look at green cloud they're selling predominantly wholesale through msps and those msps are mostly selling to smbs right so we covered that smb market for the most part through our acquisition of green cloud island on the other hand was more focused on selling direct inbound through vars through the channel mid enterprise big enterprise so really those two acquisitions outside of the ip that we got from the systems we have every single go-to-market sale strategy and we're aligned from smb all the way up to the fortune 500. i heard a stat a couple months ago that that less than 50 of enterprises have a sock it blew me away and you know even small businesses need one they may not be able to afford but certainly a medium size or larger business should have some kind of sock is it does that stat jive with what you're seeing in the marketplace 100 if that's true the need for a managed service like this is just it's going to explode it is exploding yeah i mean 100 right there is zero unemployment in the cyberspace right just north america alone there's about a million or so folks in that space and right now you've got about 600 000 open wrecks just in north america right so earlier we talked about no shortage of tools right but the shortage of head count is a significant challenge big time right most importantly the people that you do have on staff they've got alert fatigue from the tools that they do have that's why you're seeing this massive insurgence in the managed security services provider lack of talent is number one challenge for csos that's what they'll tell you and there's no end in sight to that and it's you know another tool and and it's amazing because you see security companies popping up all the time billion dollar evaluations i mean lacework did a billion dollar raise and so so there's no shortage of funding now maybe that'll change you know with the market but i wanted to turn our attention to the keynotes this morning you guys got some serious love up on stage um there was a demo uh it was a pretty pretty cool demo fast recovery very very tight rpo as i recall it was i think four minutes of data loss is that right was that the right knit stat i was happy it wasn't zero data loss because there's really you know no such thing uh but so you got to feel good about that tell us about um how that all came about your relationship with with veeam who wants to take it sure i can i can take a step at it so one of the or two of the things that i'm um most excited about at least with this vmon is our team was able to work with veeam on that demo and what that demo was showing was some cdp-based features for cloud providers so we're really happy to see that and the reason why we're happy to see that is that with the veeam platform it's now given the customers the ability to do things like snapshot replication cdp replication on-prem backup cloud backup immutability air gap the list goes on and on and in our opinion having a singular software vendor that can provide all that through you know with a cloud provider on prem or not is really like the icing on the cake so for us it's very exciting to see that and then also coupled with a lot of the innovation that veeam's doing in the sas space right so again having that umbrella product that can cover all those use cases i'll tell you if you guys can get a that was a very cool demo if we can get a youtube of that that that demo i'll make sure we put it in the the show notes and uh of this video or maybe pop it into one of the blogs that we write about it um so so how you guys feel i mean this is a new chapter for you very cool with a couple of acquisitions that are now the main mainspring of your strategy so the first veeam on in a couple years so what's the vibe been like for you what's the nighttime activity the customer interaction i know you guys are running a lot of the back end demos so you're everywhere what's the what's the vibe like at veeamon and how does it feel to be back look at that one at dante as far as yeah you got a lot of experience here yeah let me loose on this one dave i'm like so excited about this right it's been it's been far too long to get face to face again and um veeam always does it right and i think that uh for years we've been back-ending like all the hands-on lab infrastructure here but forget about that i think the part that's really exciting is getting face-to-face with such a great team right we have phenomenal architects that we work with at veeam day in and day out they put up with us pushing them pushing and pushing them and together we've been able to create a lot of magic together right but i think it's you can't replace the human interaction that we've all been starving for for the last two years but the vibe's always fantastic at veeam if you're going to be around tonight i'll be looking forward to enjoying some of that veeam love with you at the after party yeah that's well famous after parties we'll see if that culture continues i have a feeling it will um brett where do you want to take 11 11. a new new phase in all of your careers you got a great crew out here it looks like i i love that you're all out and uh make some noise here people let's hear it all right let's see you this is the biggest audience we've had all week where do you want to take 11 11. i think you know if uh if you look at what we've done so far in the short six months since the acquisitions of green cloud and ireland obviously the integration is a key piece we're going to be laser focused on growing organically across those three pillars we've got to put more capital and resources into the incredible ip like i said earlier that just and his team have created on those front ends the user experience but you know we made two large acquisitions obviously mna is a is a key piece for us we're going to be diligent and we're probably going to be very aggressive on that front as well to be able to grow this business into the global leader of cloud connectivity and security and i think we've really hit a void in the industry that's been looking for this for a very long time and we want to be the first ones to be able to collaborate and combine those three into one when the when the cloud started to hit the steep part of the s-curve kind of early part of the last decade people thought oh wow these managed service providers are toast the exact opposite happened it created such a tailwind and need for consistent services and integration and managed services we've seen it all across the stack so guys wish you best of luck congratulations on the acquisitions thank you uh hope to have you back soon yeah thank you around the block all right keep it right there everybody dave vellante for the cube's coverage of veeamon 2022 we'll be right back after this short break

(pleasant music) >> We're back at Veeamon 2022. We're here at the Aria hotel in Las Vegas. This is theCube's continuous coverage. We're in day two. Welcome to the CXO session. We have CEO, CTO, CSO, chief strategy officer. Brett Diamond is the CEO, Justin Giardina is the CTO, and Dante Orsini is the chief strategy officer for 11:11 Systems recently named, I guess today, the impact cloud service provider of the year. Congratulations, guys. Welcome to theCube. Welcome back to theCube. Great to see you again. >> Thank you. >> Great. >> Likewise. >> Thanks for having us. Okay, Brett, let's start with you. Give us the overview of 11:11, your focus area, talk about the Island acquisition, what that's all about, give us the setup. >> Yeah, so we started 11:11, really, with a focus on taking the three core pillars of our business, which are cloud, connectivity, and security, bring them together into one platform, allowing a much easier way for our customers and our partners to procure those three solution sets through a single company and really focus on the three main drivers of the business, which, you know, have a litany of other services associated with them under each platform. >> Okay, so Justin, cloud connectivity and security, they all dramatically changed in March of 2020. Everybody had to go to the cloud, had to rethink the network, had to secure remote workers. So what did you see, from a CTO's perspective, what changed and how did 11:11 respond? >> Sure, so early on, when we built our cloud, even back into 2008, we really focused on enterprise grade features, one of which being very flexible in the networking. So we found early on was that we would be able to architect solutions for customers that were dipping their toe in the cloud and set ourselves apart from some of the vendors at the time. So if you fast forward from 2008 until today, we still see that as a main component for IaaS and DRaaS and the ability to start taking into some of the things Brett talked about, where customers may need a point to point circuit to offload data connectivity to us, or develop SD-WAN and multi-cloud solutions to connect to their resources in the cloud. In my opinion, it's just the natural progression of what we set out to do in 2008. And to couple that with the security, if you think about what that opens up from a security landscape, now you have multiple clouds, you have different ingress and egress points, you have different people accessing workloads in each one of these clouds, so the idea or our idea is that we can layer a comprehensive security solution over this new multi-cloud networking world and then provide visibility and manageability to our customer base. >> So what does that mean specifically for your customers? Because, I mean, we saw obviously a rapid move toward end point, cloud security, identity access. You know, people really started rethinking that as opposed to trying to just, you know, build a moat around the castle. >> Right. >> What does that mean for your customer? You take care of all that? You partner with whomever you need to partner in the ecosystem and then you provide the managed service? How does that work? >> Right. It does and that's a great analogy. You know, we have a picture of a hamburger in our office, exploded with all the components and they say, a good security policy has all the pieces and it's really synonymous with what you said. So to answer your question, yes. We have all that baked in the platform. We can offer managed services around it, but we also give the consumer the ability to access that data, whether it's a UI or API. >> So Dante, I know you talked to a lot of customers. All you do is watch the stock market go like this and like that and you say, okay, the pandemic drove all these, but when you talk to CISOs and customers, a lot of things are changing permanently. First of all, they were forced to march to digital when previously, they were like, eh, we'll get there. I mean, a lot of customers were. Let's face it. I mean, some were serious about it, but many weren't. Now, if you're not a digital business, you're out of business. What have you seen when you talk to customers in terms of the permanence of some of these changes? What are they telling you? >> Well, I think, you know, we go through this ourselves, right? The business continues to grow. You've got tons of people that are working remotely and they are going to continue to work remotely, right? As much as we'd like to offer up hybrid workspace and things like that, some folks are like, hey, I've worked it out. I'm working out great from home, right? And also, I think what Justin was saying also is, as we've seen time go on, that operating environment has gotten much more complex. You've got stuff in the data center, stuff in somebody's, you know, endpoint, you've got various different public clouds, different SAS services, right? That's why it's been phenomenal to work with Veeam because we can protect that data regardless of where it exists. But when you start to look at some of the managed security services that we're talking about, we're helping those CSOs, you know, get better visibility, better control, and take proactive action against the infrastructure when we look at threat mitigation and how to actually respond when something does happen, right? And I think that's the key because there's no shortage of great security vendors, right? But how do you tie it all together into a single solution, right, with a vendor that you can actually partner with to help secure the environment while you go focus on the things that are more strategic to the business? >> I was talking to Jim Mercer at Red Hat Summit last week. He's an IDC analyst and we did a survey, I think it was last summer, and we asked customers to your point about, there's no shortage of security tools. How do you want to buy your security? And, you know, do you want, you know, best to breed bespoke tools and you sort of put it together or do you kind of want your platform provider to do it? Now surprisingly, they said platform provider. The problem is, that's aspirational for a lot of platform providers, so they got to look to a managed service provider. So Brett, talk about the Island acquisition, what Green Cloud is, how that all fits together. >> So we acquired Island and Green Cloud last year and the reality is, the people at both of those companies and the technology is what drove us to making those acquisitions. They were the foundational pieces to 11:11. Obviously, the things that Justin has been able to create from an automation and innovation perspective at the company is transforming this business in a litany of different ways, as well. So, those two acquisitions allow us at this point to take a cloud environment on a geographic footprint, not only throughout the US but globally, have a security product that was given to us from the Green Cloud acquisition of Cascade, and add on connectivity to allow us to have all three platforms in one, all three pillars in one. >> So I like 11:11. 11:11 is near and dear to my heart. So where'd the name come from? >> Everybody asked me this question, I think, five times a day. So growing up as a kid, everyone in my family would always say 11:11 make a wish whenever you'd see it on the clock. And during COVID, we were coming up with a new name for the business. My daughter looked at the microwave, said, dad, it's 11:11, make a wish. The reality was though, I had no idea why I'd been doing it for all that time and when you look up kind of the background origination, derivation of the word, it means the time of day when everything's in line and when things are complex, especially with running all the different businesses that we have, aligning them so that they're working together, it seemed like the perfect thing >> So when I had the big corner office at IDC, I had my staff meetings at 11:11. >> Yep. >> Because the universe was aligned and then the other thing was, nobody could forget the time. So they gave me 11 minutes to be there, so they were never late. >> And now you'll see it all the time, even when you don't want to. (chuckles) >> So Justin, we've been talking a lot about ransomware and not just backup, but recovery. My friend, Fred Moore, who, you know, coined the phrase backup is one thing, recovery is everything, and recovery time, network speeds and the like are critical, especially when you're thinking cloud. How are you architecting recovery for your clients? Maybe you could dig into that a little bit. >> Sure. So it's really a multitude of things. You know, you mention ransomware. Seeing the ransomware landscape evolve over time, especially in our business with backup NDR, is very singular, you know, people protecting against host nodes. Now we're seeing ransomware be able to get into an environment, land and expand, actually delete backups, target backup vendors. So the ransomware point, I guess, trying to battle that is a multi-step process, right? You need to think about how data flows into the organization from a security perspective, from a networking perspective, you need to think about how your workloads are protected, and then when you think about backups, I know we're at Veeamon now talking about Veeam, there's a multitude of ways to protect that data, whether it's retention, whether it's immutability, air gapping data. So, while I know we focus a lot sometimes on protecting data, it's really that hamburger analogy where the sum of the parts make up the protection. >> So how do you provide services? I mean, do you say, okay, do you want immutability? There's a line item for that. You want low RPO, fast RTO? How does that all work as a customer? What am I buying from you? Is it just a managed service? We'll take care of everything, platinum, gold, silver, or is it? >> If you don't mind, so I'm glad you asked that question because this is something that's very unique about us. Years ago, his team actually built the IP because we were scaling at such an incredible rate globally through all our joint partners with Veeam that, how do we take all the intelligence that we have and his team and all of our solution architects and scale it? So they actually developed a tool called Catalyst, and it's a pre-sales tool. It's an application. You download it, you install it. It basically takes a snapshot of your environment. You start to manipulate the data. What are you trying to do, Dave? Are you trying to protect that data? Are you backing up to us? Are you trying to replicate it for DR purposes? You know, what are you doing for production, or maybe it's a migration? It analyzes the network. It analyzes all your infrastructure. It helps the SEs know immediately if we're a feasible solution based on what you are trying to do. So, nobody in the space is doing this and that's been a huge key to our growth because the channel community, as well as the customer, they're working with real data. So we can get past all the garbage, you get right to what's important for them for the outcome. >> Yeah, that's huge. Who do you guys sell to? Is it more mid-size businesses that maybe don't have the large teams? Is it larger enterprises who want to compliment to their business? Is it both? >> Well, I would say with the two acquisitions that we made to go to market sales strategies and the clientele were very different, when you look at Green Cloud, they're selling predominantly wholesale through MSPs and those MSPs are mostly selling to SMBs, right? So we covered that SMB market for the most part through our acquisition of Green Cloud. Island, on the other hand, was more focused on selling direct, inbound, through VARs through the channel, mid-enterprise, big enterprise. So really, those two acquisitions outside of the IP that we got from the systems, we have every single go to market sales strategy and we're aligned from SMB all the way up to the Fortune 500. >> I heard a stat a couple months ago that less than 50% of enterprises have a SAQ. That blew me away. And, you know, even small businesses need one. They may not be able to afford, but there's certainly a medium size or a larger business should have some kind of SAQ. Does that stat jive with what you're seeing in the marketplace? >> A hundred percent. >> If that's true, the need for a managed service like this, it's going to explode. It is exploding, I mean. >> Yeah, I mean, a hundred percent, right? There is zero unemployment in the cyberspace, right? Just North America alone, there's about a million or so folks in that space and right now you've got about 600,000 open recs just in North America, right? So earlier, we talked about no shortage of tools, right? But the shortage of headcount is a significant challenge, big time, right? Most importantly, the people that you do have on staff, they've got alert fatigue from the tools that they do have. That's why you're seeing this massive surgence in the managed security services provider. >> Lack of talent is number one challenge for CISOs. That's what they'll tell you and there's no end in sight to that. And it's, you know, another tool and it's amazing 'cause you see security companies popping up all the time. I mean, billion dollar valuations, I mean, Lacework did a billion dollar raise. And so, there's no shortage of funding. Now, maybe that'll change, you know, with the market but I wanted to turn our attention to the keynotes this morning. You guys got some serious love up on stage. There was a demo. It was a pretty cool demo, fast recovery, very tight RPO, as I recall. It was, I think, four minutes of, of data loss? Is that right? Is that the right stat? I was happy it wasn't zero data loss 'cause there's really, you know, no such thing, but so you got to feel good about that. Tell us about how that all came about, your relationship with Veeam. Who wants to take it? >> Sure, I can take a stab at it. So two of the things that I'm most excited about, at least with this Veeamon, is our team was able to work with Veeam on that demo, and what that demo was showing was some CDP based features for cloud providers. So we're really happy to see that and the reason why we're happy to see that is that with the Veeam platform, it's now given the customers the ability to do things like snapshot replication, CDP replication, on-prem backup, cloud backup, immutability air gap, the list goes on and on. And in our opinion, having a singular software vendor that can provide all that, you know, with a cloud provider on-prem or not is really like, the icing on the cake. So for us, it's very exciting to see that, and then also coupled with a lot of the innovation that's Veeam's doing in the SAS space, right? So again, having that umbrella product that can cover all those use cases. >> I'll tell you, that was a very cool demo. If you can get a YouTube of that demo, I'll make sure we put it in the show notes of this video or maybe pop it into one of the blogs that we write about it. So, how do you guys feel? I mean, this is a new chapter for you. Very cool, with a couple of acquisitions that are now the main spring of your strategy, so the first Veeamon in a couple years. So what's the vibe been like for you? What's the nighttime activity, the customer interaction? I know you guys are running a lot of the backend demos, so you're everywhere. What's the vibe like at Veeamon and how does it feel to be back? >> I'll give that one to Dante as far as the vibes, so far. >> Yeah, yeah, you got a lot of experience. >> Yeah, let me loose on this one, Dave. I'm like, so excited about this, right? It's been far too long to get face to face again and Veeam always does it right. And I think that for years, we've been back ending like, all the hands on lab infrastructure here, but forget about that. I think the part that's really exciting is getting face to face with such a great team, right? We have phenomenal architects that we work with at Veeam day in and day out. They put up with us, pushing them, pushing them, pushing them and together, we've been able to create a lot of magic together, right? But I think you can't replace the human interaction that we've all been starving for, for the last two years. But the vibe's always fantastic at Veeam. If you're going to be around tonight, I'll be looking forward to enjoying some of that Veeam love with you at the after party. >> Yeah, well, famous after parties. We'll see if that culture continues. I have a feeling it will. Brett, where do you want to take 11:11? New phase in all of your careers. You got a great crew out here, it looks like. I love that you're all out and, make some noise here, people. Let's hear it! (audience cheering) You see, this is the biggest audience we've had all week. Where do you want to take 11:11? >> I think, you know, if you look at what we've done so far in the short six months since the acquisitions of Green Cloud and Island, obviously the integration is a key piece. We're going to be laser focused on growing organically across those three pillars. We've got to put more capital and resources into the incredible IP, like I said earlier, that Justin and his team have created on those front ends, the user experience. But, you know, we made two large acquisitions, obviously M and A is a key piece for us. We're going to be diligent and we're probably going to be very aggressive on that front as well, to be able to grow this business into the global leader of cloud connectivity and security. And I think we've really hit a void in the industry that's been looking for this for a very long time and we want to be the first ones to be able to collaborate and combine those three into one. >> When the cloud started to hit the steep part of the S-curve, kind of early part of last decade, people thought, oh wow, these managed service providers are toast. The exact opposite happened. It created such a tailwind and need for consistent services and integration and managed services. We've seen it all across the stacks. So guys, wish you best of luck. Congratulations on the acquisitions, >> Thank you. >> And hope to have you back soon. >> Absolutely, thanks for having us. >> All right, keep it right there everybody. Dave Vellante for theCube's coverage of Veeamon 2022. We'll be right back after this short break. (pleasant music)

>>The cube presents. Dell technologies world brought to you by Dell. >>Welcome to Las Vegas. Lisa Martin, with Dave Volante. The cube is live at Dell technologies world 2022. Dave, hope you say live, live <laugh>. We are live. We are in person. We are three-D. We are also here on the first day of our coverage with an eight time, right? Eight time cube alum, GA Norris joins us the senior vice president of edge portfolio solutions at Dell technologies. Welcome back our friend. >>Thank you. It's great to be here in this forum with live people, you know, and 3d, >>Isn't it. We're amazing. We're not, we're not via a screen. This is actually real. So Gill a a lot, a lot of buzz, great attendance at this first event, since 20, lot's been going on since then, we're talking a lot about edge. It's not new, but there's a lot changing what's going on there. >>Well, you know, edge has been around for a while. Um, actually since, you know, the beginning of time people were doing, you know, compute and, and applications, they in the, um, in the physical space where data it, but more and more, um, data is based on sensors in cameras and machine vision. And if you wanna make real time decisions, there's a few reasons why you can't just send everything back to a data center or a cloud. Maybe you don't have the right latency, maybe, um, you it's too costly. Maybe you don't have the right end with maybe you have security challenges, maybe have compliance challenges. So the world's moving more and more resources towards where the data is created and to make real time decisions and to generate new business values, things are changing and they're becoming much more, um, um, involved than before, much more. Um, so basically that that's, what's changing. You know, we need to deal with distributed architectures much more than we needed before. >>I think one of the things we've learned in the last very dynamic two years is that access to realtime data is no longer a nice to have it's table stakes for whether we're talking about retail, healthcare, et cetera. So that the, the realtime data access is critical for everybody to these days. >>Right? And it, it could be a real time decision, or it could even be data collection either way. You need to place some device, some comput next to the source. And then, you know, you have a lot of them and you just multiply by multiple use cases and you be, you basically, you have a very complex problem to solve. And if you ask me what's new is that complexity is big coming more and more, um, critical to solve >>Critical. >>Oh, go ahead, please. >>I was just gonna say, talk to me about some of the, from a, from a complexity resolution perspective, what are some of the things that Dell is doing to help organizations as they spread out to the edge more to meet that consumer demand, but reduce that complexity from an infrastructure standpoint. >>So we focus on simplifying. I think that's what people need right now. So there are two things we do. We, we optimize our products, um, whether they need regularization or different temperature envelopes or, uh, management capability, remote management capability, and we create solutions. And so we develop, um, solutions that look at specific, um, outcomes and we size it and we create deployment guides. Um, we do everything we can, um, to simplify the, uh, the edge uses for our customers. >>You know, you guys is talking about, it's not new. I, and I know you do a lot in retail. I think of like the NCR cash register as the, the original edge, you know, but there's other use cases. Uh there's you Gil, you and I have talked about AI inferencing in, in real time, there was a question today in the analyst forum, uh, I think it went to Jeff or nobody wanted to take it. No, maybe it was Michael, but the metaverse, but that there's edge space is the edge industrial I OT. So how do you, I mean, the Tam is enormous. How do you think about the use cases? Are there ones that, that aren't necessarily sort of horizontal for you that you don't go after, like EVs and TA the cars? Or how are you thinking about >>It? Depends. I agree that the, uh, edge business is very verticalized. Um, at the same time, there are very, uh, there is, there are themes that emerge across every industry. Um, so we're trying to solve things horizontally being Dell, we need to solve for, um, repeatability and scale, but we do package, you know, vertical solutions on top of them because that's what people need. Um, so for example, you know, you said, um, NCR being the, uh, the original edge. If I asked you today, name how many applications are, are running in a retail store to enable your experience? You'd say, well, there's self checkout. Maybe there is a, um, fraud detection, >>Let's say a handful >>It's handful. The fact is it's not, it's about 30 different applications, 30 that are running. So you have, you know, digital labels and you have, you know, a curbside delivery and you have inventory management and you have crowd management and you have safety and security. And what happens today is that every one of those solar is purchased separately and deployed separately and connected to the network separately and secured separately. Hence you see the problem, right? And so I know what we do, and we create a solution. For example, we see, okay, infrastructure, what can we consolidate onto an infrastructure that could scale over time? And then we look at it in the context of a solution. So, you know, the solution we're announcing, or we announced last week does just that on the left side, it looks at a consolidated infrastructure based on VxRail and VMware stack. So you can run multiple applications on the right side, it working with a company called deep north for Inso analytics and actually people that, um, and the show they can go and see this in action, um, in our, um, you know, fake retail store, uh, back at the edge booth. Um, but the point is those elements of siloed applications and the need to consolidate their true for every industry. And that's what we're trying to solve for. >>I was just wondering, you said they're true for every industry. Every industry is facing the same challenges there. What, what makes retail so prime for transformation right now? >>That's a great question. So, you know, using my example from before, if you are faced with this set, have a shopper that buys online and they now are coming back to the stores and they need to, they want the same experience. They want the stuff that they search for. They want it available to them. Um, and in fact, we research that 80% of people say, if they have a bad experience will not come back to a retail store. So you've got all of those use cases that you need to put to, you've got this savvy shopping that comes in, you've got heightened labor costs. You've got a supply chain problem in most of those markets, labor >>Shortages as >>Well. It's a perfect storm. And you wanna give an experience, right? So CIOs are looking at this and they go, how do I do all of that? Um, and they, they, as I said before, the key management, the key problem is management of all of those things is why they can innovate faster. And so retail is in this perfect storm where they need to innovate and they want to innovate. And now they're looking for options and we're here to help them. >>You know, a lot of times we talk about the in industrial IOT, we talk about the it and the OT schism. Is there a similar sort of dissonance between it, your peeps, Dell's traditional market, and what's happening, you know, at the near edge, the retail infrastructure sort of different requirements. How are you thinking about that and managing that >>About, um, 50% of edge projects today are, are somehow involving it. Um, usually every project will involve it for networking and security, so they have to manage it either way. And today there's a lot of what we used to call shadow it. When we talked about cloud, this has happens at the edge as well. Now this happened for a good reason because the expertise are the OT people expertise on the, the specific use case. It's true for manufacturing. It's also for true for, for retail. Um, our traditional audience is the it audience and, and we will never be able to merger two worlds unless it was better able to service the OT buyers. And even in the show, I I've had multiple conversations today. We, with people to talk about the divide, how to bring it together, it will come together when it can deliver a better service to the OT, um, constituents. And that's definitely a job for Dell, right? This is what we do. If we enable our it buyer to do a better job in servicing the OT crowd or their business crowd in retail, um, more innovation will happen, you know, across the, those different dimensions. So I'm happy you asked that because that's actually part of the mission we're taking on. >>Where is one of the things I think about when you, you talk about that consumer experience and we're very demanding as consumers. We wanna ha as you described, we wanna have the same experience we expect to have that regardless of where we are. And if that doesn't happen, you, you mentioned that number of 80% of people's survey said, if I have a bad experience with a merchant, I'm out, I'm going somewhere else. Right. So where is the rest of the Csuite in the conversation? I can think of, um, a COO the chief marketing officer from brand value, brand reputation perspective. Are you talking with those folks as well to help make the connective so reality? >>Um, I, I, I don't know that we're having those conversation with those business owners. We we're a, um, a system, an infrastructure company. So, you know, we get involved once they understand, you know, what they want to do. We just look at it in. And so if you solve it one way, it's gonna be one outcome. Maybe there is a better way to look at it. Maybe there's an architecture, maybe there's a more, you know, thoughtful way to think about, you know, the problems before they happen. And, um, but the fact that they're all looking shows you, that their business owners are very, very concerned with, with this reality, their >>Key stakeholders. Can >>We come back to your announcement? Can you, can we unpack that a little bit, uh, for those who might not be familiar with it? What, what, what is it called again? And give us a peel, the onion a little bit Gil. Yeah. >>So, so we call it a Dell technologies validated design. Um, it is essentially reference architecture. Um, we take a use case, we size it. So we, you know, we, um, we save customers, the effort of, of testing and sizing. We document the deployment step by step. We just make it simpler. And as says, before we look for consolidation, so we took a VXL, which is our leading ACI product based on VMware technology with a VMware application management stack with Tansu. Um, and then we, we, we look at that as the infrastructure, and then we test it with a company called deep north and deep north, um, are, um, store analytics. So through machine vision, they can tell you where people are queuing up. If there is somebody in the store that needs help and nobody's approaching, if there is a water spill and somebody might, you know, slip and hurt themselves, if a fridge is open and something may get spot. >>And so all of those things together through machine vision and realtime decisions can have this much better experience. So we put all of this together, we created a design and now it's out there in the market for our partners to use for our customers to use. Um, this is an extension of our manufacturing solutions, where we did the same thing. We partner with a company called PTC. I know of obviously in a company called Litmos, um, to create, um, industrial and the leading solution. So this whole word of solutioning is supposed to look at the infrastructure and a use case and bring them together and document in a way that simplifies things for >>Customers. Do you ever see that becoming a Aku at some point in time or, >>Um, personal, if you ask me? I don't think so. And the reason is there's still a lot of variability in those and skewing, but that's a very formal, you know, internal discussion. Yeah. Um, the point is we are, we want people to buy as much of it as they need to, and, and we really want to help them if Aku could help them, we will get there, but we need to see repeatability before creating skews. >>Can you give us an example of a, of a retail or a manufacturing customer that's using this Dell validated design, this DVD, and that really has reduced or eliminated that complexity that was there before. >>So this solution is new. I mean, it's brand new, we just announced it. So, no, but, um, I don't know what names I can call out, cuz referenceability is probably examples though about generic, but I will tell you that most of the large retailers in the us are based in their stores on Dell technologies. Um, a lot of the trail is in, in those stores and you're talking about thousands of locations with remote management. Um, what we're doing here is we're taking it to the next step by looking at new use cases that they have not been implementing before and saying, look, same infrastructure is valid. You know, scalable is it's scalable. And here are the new use cases with machine vision and other things that here is how you do that. But we're seeing a lot of success in retail in the last few years. >>So what should we expect looking forward, you know, any gaps that customers are asking for trying to fill? What, what two to three years out, what should we expect? >>Um, I think we're gonna stay very true to our simplification message. We want to help people simplify. So if it's simplifying, um, maintenance, if it's simplifying management, if it's simplifying through solutioning, you're gonna see us more and more and more, um, investing in simplification of edge. Um, and that's through our own IP, through our partnerships. Um, there, there is a lot more coming if, if I may say it myself, but, but it's, it's a little too early to, uh, to talk about it. >>So for those folks that are here at the show that get to see it and play with it and touch it and feel it, what would you say some of the biggest impacts are that this technology can deliver tomorrow? >>Well, first of all, it's enabling to do what they want. See, we don't have to go and, and tell people, oh, you probably really need to move things through the edge. They know they need to do it. Our job is to tell them how to do it in a secure way, in a simplified way. So that's, that's a nice thing about this, this market it's happening, whether we want it or not. Um, people in this show can go see some things in action. They can see the solution in action. They can see the manufacturing solution in action and even more so. And I forgot to say part of our announcement was a set of solution centers in Limerick island and in Singapore, that was just open. And soon enough in Austin, Texas saw that, and we will have people come in and have the full experience of IOT OT and edge device devices in action. So AR and VR, I T IEN technology and scanning technology. So they could be, um, thinking about the art of the possible, right? Thinking about this immersive experience that will help them invent with us. And so we're expecting a lot of innovation to come out of those conversations for us and for them. >>So doing a lot of testing before deployment and really gleaning that testing >>Before deployment solution architecture, just ideation, if they're not there yet. So, and I've just been to Singapore in one of those, um, they asked me to, um, pretend I was a, um, retail ski enter in a distribution center and I didn't do so well, but I was still impressed with the technology. So, >>Well, eight time Q alumni. Now you have a career to fall back on if you need to. Exactly. >><laugh> >>GA it's been great to have you. Thank you so much for coming back, talking to us about what's new on day one of Dell technologies world 22. Thank >>You for having me again, >>Our pleasure for Dave Volante. I'm Lisa Martin, coming to you live from the Venetian in Las Vegas at Dell technologies world 2022. This is day one of our coverage stick around Dave and I will be right back with our next guest.

(upbeat music) >> Welcome everybody to VeeamON 2021 you're watching theCUBE. My name is Dave Villante. You know in 2020 cyber adversaries they seize the opportunity to really up their game and target workers from home and digital supply chains. It's become increasingly clear to observers that we're entering a new era of cyber threats where infiltrating companies via so-called Island Hopping and stealthily living off the land meaning they're using your own tools and infrastructure to steal your data. So they're not signaling with new tools that they're in there. It's becoming the norm for sophisticated hacks. Moreover, these well-funded and really sophisticated criminals and nation States are aggressively retaliating against incident responses. In other words, when you go to fix the problem they're not leaving the premises they're rather they're tightening the vice on victims by holding your data ransom and threatening to release previously ex filtrated and brand damaging information to the public. What a climate in which we live today. And with me to talk about these concerning trends and what you can do about it as Gil Vega, the CISO of Veeam Gil great to see you. Thanks for coming on. >> Great to see you, Dave. Thanks for having me. >> Yeah. So, you know, you're hearing my intro. It's probably understating the threat. You are a Veeam's first CISO. So how do you see the landscape right now? >> That's right. Yeah. And I've been with the company for just over a year now, but my background is in financial services and spent a lot of time managing cybersecurity programs at the classified level in Washington DC. So I've gleaned a lot of scar tissue from lots of sophisticated attacks and responses. But today I think what we're seeing is really a one-upmanship by a sophisticated potentially nation state sponsored adversaries, this idea of imprisoning your data and charging you to release it is it's quite frightening. And as we've seen in the news recently it can have devastating impacts not only for the economy, but for businesses. Look at the gas lines in the Northeast right now because of the quality of a pipeline, a ransomware attack. I just, the government just released an executive order this morning, that hopes to address some of the some of the nation's unpreparedness for these sophisticated attacks. And I think it's time. And I think everyone's excited about the opportunity to really apply a whole of government approach, to helping critical infrastructure to helping and partnering with private sector and imposing some risks, frankly, on some of the folks that are engaged in attacking our country. >> A number of years ago, I often tell this story. I had the pleasure of interviewing Robert Gates the former Defense Secretary. And it was a while ago we were talking about cyber and he sits on a number of boards. And we were talking about how it's a board level issue. And, and we're talking about cyber crime and the like and nation States. And I said, well, wait, cyber warfare, even. And I said, "But don't we have the best cyber tech. I mean, can't we go on the offense?" And he goes, "Yeah, we do. And we can, but we have more to lose." And to your point about critical infrastructure, it's not just like, okay, we have the most powerful weapons. It's really we have the most valuable infrastructure and a lot to lose. So it's really a tricky game. And this notion of having to be stealthy in your incident response is relatively new. Isn't it? >> It is. It is. And you know, there are, you mentioned that and I was surprised you mentioned because a lot of people really don't talk about it as you're going into your response your adversaries are watching or watching your every move. You have to assume in these days of perpetual state of compromise in your environments, which means that your adversaries have access to your environment to the point that they're watching your incident responders communicate with one another and they're countering your moves. So it's sort of a perverse spin on the old mutually assured destruction paradigm that you mentioned the United States has the world's largest economy. And quite frankly the world's most vulnerable, critical infrastructure. And I would concur with Director Gates or Secretary Gates rather it is assessment that we've got to be awfully careful and measured in our approach to imposing risks. I think the government has worked for many years on defining red lines. And I think this latest attack on the colonial pipeline affecting the economy and people's lives and potentially putting people's lives at risk is towing also the close to that red line. And I'm interested to see where this goes. I'm interested to see if this triggers even a, you know a new phase of cyber warfare, retaliation, you know proactive defense by the National Security Community of the United States government. Be interesting to see how this plays out. >> Yeah, you're absolutely right though. You've got this sort of asymmetric dynamic now which is unique for the United States as soon as strongest defense in the world. And I wanted to get it to ransomware a bit. And specifically this notion of ransomware as a service it's really concerning where criminals can actually outsource the hack as a service and the bad guys will set up, you know, on the dark web they'll have, you know, help desks and phone lines. They'll do the negotiations. I mean, this is a really concerning trend. And obviously Veeam plays a role here. I'm wondering as a, as a SecOps pro what should we be doing about this? >> Yeah, you mentioned ransomware as a service, whereas RWS it's an incredibly pernicious problem perpetrated by sophisticated folks who may or may not have nation state support or alliances. I think at a minimum certain governments are looking the other way as it relates to these criminal activities. But with ransomware as a service, you're essentially having very sophisticated folks create very complex ransomware code and distributed to people who are willing to pay for it. And oftentimes take a part of the ransom as their payment. The, issue with obviously ransomware is you know the age old question, are you going to pay a ransom or are you not going to pay a ransom? The FBI says, don't do it. It only encourages additional attacks. The Treasury Department put out some guidance earlier earlier in the year, advising companies that they could be subject to civil or criminal penalties. If they pay a ransom and the ransom goes to a sanction density. So there's danger on all sides. >> Wow okay. But so, and then the other thing is this infiltrating via digital supply chains I call it Island Hopping and the like, we saw that with the solar winds hack and the scary part is, you know different malware is coming in and self forming and creating different signatures. Not only is it very difficult to detect, but remediating, you know, one, you know combined self formed malware it doesn't necessarily take care of the others. And so, you know, you've got this sort of organic virus, like thing, you know, create mutating and that's something that's certainly relatively new to me in terms of its prevalence your thoughts on that and how to do it. >> Yeah, exactly right. You know, the advent of the polymorphic code that changes the implementation of advanced artificial intelligence and some of this malware is making our job increasingly difficult which is why I believe firmly. You've got to focus on the fundamentals and I think the best answers for protecting against sophisticated polymorphic code is,are found in the NIST cybersecurity framework. And I encourage everyone to really take a close look at implementing that cybersecurity framework across their environments, much like we've done here, here at Veeam implementing technologies around Zero Trust again assuming a perpetual state of compromise and not trusting any transaction in your environment is the key to combating this kind of attack. >> Well, and you know, as you mentioned, Zero Trust Zero Trust used to be a buzzword. Now it's like become a mandate. And you know, it's funny. I mean, in a way I feel like the crypto guys I know there's a lot of fraud in crypto, but but anybody who's ever traded crypto it's like getting into Fort Knox. I mean, you got to know your customer and you've got to do a little transaction. I mean, it's really quite sophisticated in terms of the how they are applying cybersecurity and you know, most even your bank isn't that intense. And so those kinds of practices, even though they're a bit of a pain in the neck, I mean it's worth the extra effort. I wonder if you could talk about some of the best practices that you're seeing how you're advising your clients in your ecosystem and the role that Veeam can play in helping here. >> Yeah, absolutely. As I mentioned so many recommendations and I think the thing to remember here so we don't overwhelm our small and medium sized businesses that have limited resources in this area is to remind them that it's a journey, right? It's not a destination that they can continually improve and focus on the fundamentals. As I mentioned, things like multi-factor authentication you know, a higher level topic might be micro-segmentation breaking up your environment into manageable components that you can monitor a real time. Real time monitoring is one of the key components to implementing Zero Trust architecture and knowing exactly what good looks like in your environment in a situation where you've got real-time monitoring you can detect the anomalies, the things that shouldn't be happening in your environment and to spin up your response teams, to focus and better understand what that is. I've always been a proponent of identity and access management controls and a key focus. We've heard it in this industry for 25 years is enforcing the concept of least privilege, making sure that your privileged users have access to the things they need and only the things that they need. And then of course, data immutability making sure that your data is stored in backups that verifiably has not been changed. And I think this is where Veeam comes into the equation where our products provide a lot of these very easily configured ransomware protections around data and your ability to the ability to instantly back up things like Office 365 emails, you know support for AWS and Azure. Your data can be quickly restored in the event that an attacker is able to in prison that with encryption and ransom demands. >> Well, and so you've certainly seen in the CISOs that I've talked to that they've had to obviously shift their priorities, thanks to the force march to digital, thanks to COVID, but Identity access management, end point security cloud security kind of overnight, you know, Zero Trust. We talked about that and you could see that in some of these, you know, high flying security stocks, Okta Zscaler, CrowdStrike, they exploded. And so what's in these many of these changes seem to be permanent sort of you're I guess, deeper down in the stack if you will, but you, you compliment these toolings with obviously the data protection approach the ransomware, the cloud data protection, air gaps, immutability. Maybe you could talk about how you fit in with the broader, you know, spate of tools. I mean, your, my eyes bleed when you look at all the security companies that are out there. >> Yeah for sure. You know, I'm just going to take it right back to the NIST cybersecurity framework and the five domains that you really need to focus on. Identify, protect, detect, respond, and recover, you know and until recently security practitioners and companies have really focused on on the protect, identify and protect, right and defend rather where they're focused on building, you know, moats and castles and making sure that they've got this, you know hard exterior to defend against attacks. I think there's been a shift over the past couple of years where companies have recognized that the focus needs to be on and respond and recover activities, right? Assuming that people are going to breach or near breach, your entities is a safe way to think about this and building up capabilities to detect those breaches and respond effectively to those breaches are what's key in implementing a successful cybersecurity program where Veeam fits into this since with our suite of products that that can help you through the recovery process, right? That last domain of the NIST cybersecurity framework it'll allow you to instantaneously. As I mentioned before, restore data in the event of a catastrophic breach. And I think it provides companies with the assurances that while they're protecting and building those Zero Trust components into their environments to protect against these pernicious and well-resourced adversaries there's the opportunity for them to recover very quickly using the VM suite of tools? >> Well, I see, I think there's an interesting dynamic here. You're pointing out Gil. There's not no longer is it that, you know, build a moat the Queen's leaving her castle. I always say, you know there is no hardened perimeter anymore. And so you've seen, you know, the shift obviously from hardware based firewalls and you I mentioned those other companies that are doing great but to me, it's all about these layers and response is a big in recovery is a huge part of that. So I'm seeing increasingly companies like Veeam is a critical part of that, that security cyber data protection, you know, ecosystem. I mean, to me it's just as important as the frontline pieces of even identity. And so you see those markets exploding. I think it's, there's a latent value that's building in companies like Veeam that are a key part of those that data protection layer you think about you know, defense strategies. It's not just you, the frontline it's maybe it's airstrikes, maybe it's, you know, C etcetera. And I see that this market is actually a huge opportunity for for organizations like yours. >> I think you're right. And I think the proof is in, you know in the pudding, in terms of how this company has grown and what we've delivered in version 11 of our suite, including, you know features like continuous data protection, we talked about that reliable ransomware protection support for AWS S3 Glacier and Azure archive the expanded incident recovery, and then support for disaster recovery and backup as a service. You know, what I found most interesting in my year here at Veeam is just how much our administrators the administrators in our company and our customers companies that are managing backups absolutely love our products that ease of use the instant backup capabilities and the support they receive from Veeam. It's almost cultish in terms of how our customers are using these products to defend themselves in today's pretty intense cyber threat environment. >> Well, and you talked about the NIST framework, and again big part of that is recovery, because we talked about earlier about, do you pay the ransom or not? Well, to the extent that I can actually recover from having all my data encrypted then I've got obviously a lot more leverage and in many ways, I mean, let's face it. We all know that it's not a matter of if it's, when you get infiltrated. And so to the extent that I can actually have systems that allow me to recover, I'm now in a much much stronger position in many respects, you know and CISOs again, will tell you this that's where we're shifting our investments >> Right. And you've got to do all of them. It's not just there's no silver bullet, but but that seems to me to be just a a misunderstood and undervalued part of the equation. And I think there's tremendous upside there for companies like yours. >> I think you're right. I think what I'll just add to that is the power of immutability, right? Just verifiably ensuring that your data has not changed because oftentimes you'll have attackers in these low and slow live off the land types of attacks change your data and affect its integrity with the Veeam suite of tools. You're able to provide for immutable or unchanged verifiable data and your backup strategy which is really the first step to recovery after a significant event. >> And that's key because a lot of times the hackers would go right after the backup Corpus you know, they'll sometimes start there is that all the data, you know, but if you can make that immutable and again, it, you know there's best practices there too, because, you know if you're not paying the cloud service for that immutability, if you stop paying then you lose that. So you have to be very careful about, you know how you know, who has access to that and you know what the policies are there, but again, you know you can put in, you know so a lot of this, as you know, is people in process. It's not just tech, so I'll give you the last word. I know you got to jump, but really appreciate.. >> Yeah, sure. >> You know, the only, the only thing that we didn't mention is user awareness and education. I think that is sort of the umbrella key focus principle for any successful cybersecurity program making sure your people understand, you know how to deal with phishing emails. You know, ransomware is a huge threat of our time at 90% of ransomware malware is delivered by phishing. So prepare your workforce to deal with phishing emails. And I think you'll save yourself quite a few headaches. >> It's great advice. I'm glad you mentioned that because because bad user behavior or maybe uninformed user behaviors is the more fair way to say it. It will trump good security every time. Gil, thanks so much for coming to the CUBE and and keep fighting the fight. Best of luck going forward. >> Great. Thank you, Dave. >> All right. And thank you for watching everybody. This is Dave Villante for the CUBEs continuous coverage VeeamON 2021, the virtual edition. We will be right back. (upbeat music)

>> Narrator: From around the globe it's theCUBE with digital coverage of IBM Think 2021 brought to you by IBM. >> Hello and welcome back to the cube's ongoing coverage of IBM Think 2021, the virtual edition. My name is Dave Vellante and I'm excited to introduce our next segment. We're going to dig into the intersection of machines and humans and the changing nature of work, worker productivity, and the potential of humans. With me is Glenn Finch, who is the global managing partner for data and AI at IBM Glenn, great to see you again. Thanks for coming on. >> Dave. Good to be with you, always a lot of fun to chat. >> I'm interested in this concept that you've been working on about amplifying worker potential. You've got humans, you've got digital workers coming together. Maybe you could talk a little bit about what you're seeing at that intersection. >> You know, it's interesting for most of my career I've always thought about amplifying human worker potential. And, you know, I would say over the last five years, you know we start to think about this concept of digital workers and amplifying their potential so that human potential can extend even further. What's cool is when we get them both to work together: amplifying digital worker potential, amplifying human worker potential, to radically change how service is experienced by an end consumer. I mean, that's really the winner is when you start seeing the end consumer, the end user fundamentally feeling the difference in the experience. >> I mean, a lot of the, you see a lot of the trade press and the journalists, they like to focus on the sort of the negative of automation. But when you talk to people who have implemented things take, for example, RPA, they're so happy that they're not having to do these menial tasks anymore. And then it's sort of the interesting discussion is, okay, well, what are you doing with your free time? What are you doing with your weekends? So how should we be thinking about that? What you, what you called amplifying human worker potential, what has to occur for that outcome? >> And you know, that all my life I've spent time making money for people, right? And this last year I was involved in a project where it, it fundamentally changed is tied to answer that exact question. You know, the service men and women in America who are willing to risk their lives, you know for our country, they file claims for medical benefits. And on average, it would take 15 days to get a response. We actually, for about 70 or 80% of them we've taken that down to like 15 minutes. And to do that, you can't just drop in a RPA. You can't just drop in AI. You, it's not one thing, right? It's this, it's this seamless interaction between digital workers and human workers, right? So that a lot of the more routine mundane tasks can be done by AI and, and robotics, but all of the really hard complex cases that only a human being can adjudicate, that's what the folks that were doing the more mundane work can go focus on. So, I mean, that's what makes me come to work every day is if I can change the life of a service man or woman that was willing to risk their lives for our country. So that that's, that's the concept. Now, the critical piece of what I said, it's not about implementing AI and robotics anymore, because a lot of that starts to get very rote, but picking up on, okay, we've liberated this block of human capability. How do we reposition it? How do we re-skill it? How do we get them to focus on new things? That's just as important the human change aspect, incredibly important. >> Yeah. I mean, that's interesting, because you're right. I mean, the downside, you mentioned RPA a lot of it is paving the cow path and you know the human in the loop piece has been has been missing and that's obviously changing. But what about the flip side of that equation? Where, you know, you asked the question, okay what can humans do that machines can't do? That equation you know, continues to evolve, but maybe you could talk about where you've amplified the digital worker potential. >> Yeah. So, you know, one of our clients has Anthem and you know, they've been on a variety of programs with us to talk about this, but, you know we just recorded, you know, another session with them for Think where the Chief Technology Officer came and talked about how they wanted to radically change their member experience. And when you think about the last year, I mean, I don't know, Dave, I know you travel a lot cause I see you in all the places that I'm in. But I don't know if you remember, like 15 months ago if you had to wait on the phone for two minutes you thought it was an eternity, right? You're like, what's the matter with me? I'm a frequent flyer. I deserve a better service than this. Then as COVID started roll around, those wait times were two hours, and then 30 days into COVID, if you got a call back within two days or two weeks, it was a blessing, right? So all of our expectations changed in an instant, right? So I have to say over the last 12 to 15 months that's where we've been spending a lot of our time in all of those human contact, human touch places to radically transition the ability to be responsive and touch people with the same experience that we had 15 months ago to get an answer back in two minutes. You can't get enough people right now to do that. And so we're forced to make sure that the digital experience is what that needs to be. So the digital worker has to be up and on, and extending the brand experience the same way that the human worker was back when everybody could be at a call center. That make sense, Dave? >> Yeah. I mean, what I think I like about this conversation Glenn is it's not an either/or, it's not a zero-sum game, which it kind of, they sort of used to be, I mean we've talked about this before humans and machines have always replaced humans at certain tasks, but it never really had cognitive tasks. And that's why I think there's a lot of fear out there, but what you're talking about is, is a potential to amplify both human and digital capabilities. And I think that people might look at that and say, well, wait a minute. Isn't it a zero-sum game, but it but it's not. Explain why. >> Yeah. So we're never finding the zero-sum game, because there is always something for people to do, right? And so, you know I talked about the one amplification of digital worker at Anthem. Let me switch to an amplification of a human worker. So state of Rhode Island, you know, we had the great honor to work with their governor and their department of health and human services around again, around the whole COVID thing. We started out just answering basic questions and helping with contact racing. And then, from there, we moved into, you know helping them with their data in AI, being able to answer questions. Why are there hotspots? Why, you know, should I shut this portion of the city down? Should I shut bars down? Should I do this? And the governor and the health and human services director were constantly saying in press briefings in the morning. Well, you know, we learned from our partners IBM that we want to consider this, right? And we did pinpoint vaccinations and other things like that. To me, that's that whole continuum. So, you know, we liberated some people from one spot. They went to work in another spot, all human beings guided by AI. So, you know, I think this is all about, you know for the first time in our lives, being able to realize sort of the, the vaulted member experience or client experience that everybody's already talked about using a blend of digital workers and human workers. It's just, it's all about the experience I think. >> I mean, you're, you're laying out some really good outcomes and you mentioned some of the, you know, the folks in the military, the healthcare examples and I'm struck because if you think about the, look at the numbers, I mean the productivity gains over the last 20 years particularly in the US and Europe, it's not the case for China because their productivity is exploding, but but it's gone down. And so when you think about the big problems that we face in society: climate change, income inequality, I mean these are big chewy problems that, you know aren't going to, humans, you just can't throw humans at the problem that's, that's been been proven. And I'm curious as to if, you know how you see it in terms of some of those other outcomes of, and the potential that is there. And, can you give us a glimpse as to what tech is involved underneath all of this? >> Sure. So, you know the first one outcomes you know that whole picture changes with the business cycle, right? I'd love to tell you that it's always these three outcomes, but, you know during downturns and business cycles cost-based outcomes are, you know, are paramount, because people are thinking about survival, right? In upticks, people are worried about, you know converting new business, growth, they're worried about net promoter score, they're worried about experience score. And then over the last 12 to 18 months, you know we've seen this whole concept of carbon footprint and sustainability all tied into the outcomes. So, hey, did you realize that shifting these 22 legacy applications from here to the cloud would reduce your carbon footprint by 3%? No. Right? And so, the big hitters are always, you know, the, the cost metric, the sort of time to value or the whole cycle time and the process and net promoter score. Those are generally in all of the, you know all the plays, obviously the bookends, you know around what's happening with, you know, the the economy, what's happening with carbon, what's happening with sustainability are always in there. Now on the technology side, boy, that's the cool part about working for IBM, right? Is that there's a new thing that shows up on my door every two weeks from either the math and science labs, or from a new ecosystem partner. And that's one of the things that I will say about you know, over the last 12 to 15 months, you've seen this massive shift from IBM to go away from pure blue, to embrace the whole ecosystem. So, you know, Dave the stuff I work with every day is you know, AI, computer vision, blockchain, automation, quantum, connected operations, not just software robots but now human robots, digital twin, all these things where we are digitally rendering what used to be a very paper-based legacy, right? So, boy, I couldn't be more excited to be a part of that. And then now with the opening up to all the hyperscalers, the Microsoft, the Google, the Amazon, the, you know, Salesforce, Adobe, all those folks, it's like a candy store. And quite honestly, my single greatest challenge is to kind of bring all of that together and point it at a series of three or four buyers at a chief marketing officer, experience officer for the whole customer piece. At a chief human resource officer around the town piece and at a CFO or a chief procurement officer for finance and supply chain. I'm sorry to answer, so, you know, long-winded, but it's, it's awesome out there. >> That was a great answer. And I think, you know, I joked the other day, Glenn that Milton Friedman must be turning over in his grave because he said, you know the only job of a company is to make profits for its shareholders and increase shareholder value. But, ironically, you know things like ESG, sustainability, climate change, they actually make business sense. So it's really not antithetical to, you know Friedman economics necessarily, but it's a good business. And I think, I think the other thing that I'm excited about is that there is some like deep tech we're seeing an explosion of of something as fundamental as processing power like we've never seen before, but he talks about, you know Moore's law being dead well, okay. With the doubling of of processor performance every 24 months, we're now at a quadrupling when you include GPU's and NPUs and accelerators and all that. I mean, that is going to power the the next wave of machine intelligence. And that really is exciting. >> Yeah. I, you know, it's I feel blessed every day to come to work that you know, I can, amass all these technologies and change how human beings experience service. I mean that's, man, that whole service experience that's what I've lived for, for, you know two and a half decades in my career, is to not to just to make and deploy stuff that's cool technically, but to change people's lives. I mean, that's it for me, that's, you know, that's that's the way that I want to ride, so I couldn't be more excited to do that stuff. >> Well Glenn thanks so much for coming on your passion shows right through the camera. And hopefully we're, face-to-face, you know, sometime soon maybe, maybe later on this year, but for sure. Knock on wood, 2022. All right. Hey, great to see you, thank you so much >> Dave. Same to you, thanks. Have a great rest of the day. >> All right, thank you. And thanks for following along with our continuing broadcast of IBM Think 2021, you're watching the cube the leader, digital tech coverage, be right back.

>> Announcer: From around the globe, it's theCUBE, with digital coverage of IBM Think 2021, brought to you by IBM. >> Hey, welcome to theCUBE's coverage of IBM Think, the digital event experience. I'm your host, Lisa Martin, welcoming back to the program one of our CUBE alumn. Dominique Dubois joins me. She's the Global Strategy and Offerings Executive in the Business Transformation Services of IBM. Dominique, it's great to talk to you again. >> Hi Lisa, great to be with you today. >> So we're going to be talking about the theme of this interview. It's going to be the ROI of AI for business. We've been talking about AI emerging technologies for a long time now. We've also seen a massive change in the world. I'd love to talk to you about how organizations are adopting these emerging technologies to really help transform their businesses. And one of the things that you've talked about in the past, is that there's these different elements of AI for business. One of them is trust, right, the second is ease of use, and then there's this importance of data in all of these important emerging technologies that require so much data. How do those elements of AI come together to help IBM's clients be able to deliver the products and services that their customers are depending on? >> Yeah. Thank you, Lisa. So, when we look at AI and AI solutions with our clients, I think how that comes together is in the way in which we don't look at AI, or AI application solution, independently, right. We're looking at it and we're applying it within our customer's operations with respect to the work that it's going to do, with respect to the part of the operations and the workflow and the function that it sits in, right. So the idea around trust and ease of use and the data that can be leveraged in order to kind of create that AI and allow that AI to be self-learning and continue to add value really is fundamental around how we design and how we implement it within the workflow itself. And how we are working with the employees, with the actual humans, that are going to be touching that AI, right, to help them with new skills that are required to work with AI, to help them with what we call the new ways of working, right, 'cause it's that adoption that really is critical to get the use of AI in enterprises at scale. >> That adoption that you just mentioned, that's critical. That can be kind of table stakes. But what we've seen in the last year is that we've all had to pivot, multiple times, and be reactionary, or reactive, to so many things out of our control. I'm curious what you've seen in the last year in terms of the appetite for adoption on the employees front. Are they more willing to go, all right, we've got to change the way we do things, and it's probably going to be, some of these are going to be permanent? >> Yeah. Lisa, we've absolutely seen a huge rise in the adoption, right, or in the openness, the mindset. Let's just call it the mindset, right. It's more of an open mindset around the use of technology, the use of technology that might be AI backed or AI based, and the willingness to, and I will say, the willingness to try is really then what starts that journey of trust, right. And we're seeing that open up in spades. >> That is absolutely critical. It's just the willingness, being open-minded enough to go, all right, we've got to do this, so we've got to think about this. We don't really have any other choices here. Things are changing pretty quickly. So talk to me, in this last year of change, we've seen massive disruptions and some silver linings for sure, but I'd love to know what IBM and the state of Rhode Island have done together in its challenging time. >> Yeah, so, really interesting partnership that we started with the state of Rhode Island. Obviously, I think this year, there's been lots of things. One of them has been speed, so everything that we had to do has been with haste, right, with urgency. And that's no different than what we did with the state of Rhode Island. The governor there, Gina Raimondo, she took very swift action, right, when the pandemic started. And one of the actions she took was to partner with private firms, such as IBM and others, to really help get her economy back open. And that required a lot of things. One of them, as you mentioned, trust, right, was a major part of what the governor there needed with her citizenships, with her citizens, excuse me, in order to be able to open back up the economy, right. And so, a key pillar of her program, and with our partnership, was around the AI-backed solutions that we brought to the state of Rhode Island, so inclusive of contact tracing, inclusive of work that we had provided around AI-based analytics that allowed really the governor to speak to citizens with hard facts quickly, almost real time, right, and start to build that trust, but also competence, and competence was the main, one of the main things that was required during this pandemic time. And so, there were, through this, the AI-based solutions that we provided, which were, there were many pillars, we were able to help Rhode Island not only open their economy, but they were one of the only states that had their schools open in the fall, and as a parent, I always see that as a litmus, if you will, of how our state is doing, right. And so they opened in the fall, and they, as far as I know, have stayed open. And I think part of that was from the AI-based contact tracing, the AI-backed virtual, sorry, AI analytics, the analytics suite around infections and predictions and what we were able to provide the governor in order to make swift decisions and take action. >> That's really impressive. That's one of the challenges I've had living in California, is you (mumbles) you are going to be data-driven than actually be data-driven, but the technology, living in Silicon Valley, the technology is there to be able to facilitate that, yet there was such a disconnect, and I think that's, you bring up the word confidence, and customers need confidence, citizens need confidence, knowing that what we've seen in the last year has shown in a lot of examples that real time isn't a nice-to-have anymore, it's a requirement. I mean, this is clearly life-and-death situations. That's a great example of how a state came to IBM to partner and say, how can we actually leverage emerging technologies like AI to really and truly make real-time data-driven decisions that affect every single person in our state. >> Mm-hmm. Absolutely, absolutely! Really, really, I think, a great example of the public-private partnerships that are really popping up now, more and more so because of that sense of urgency and that need to build greater ecosystems to create better solutions. >> So that's a great example in healthcare, one that our government in public health, and I think everybody, it will resonate with everybody here, but you've also done some really interesting work that I want to talk about with AI-driven insights into supply chain. We've also seen massive changes to supply chain, and so many organizations having to figure out, whether they were brick-and-mortar only, changing that, or really leveraging technology to figure out where do we need to be distributing products and services, where do we need to be investing. Talk to me about Bestseller India, and what it is that you guys have done there with intelligent workflows to really help them transform their supply chain. >> Yeah, Bestseller India, really great, hugely successful fashion forward company in India, and that term fashion forward always is mind boggling to me because basically, these are clothing retailers who go from runway to store within a matter of days, couple of weeks, which always is just hugely impressive, right, just what goes into that. And when you think about what happens in a supply chain to be able to do that, the requirements around demand forecasting, what quantities, of what style, what design, to what stores, and you think about the India market, which is notoriously a difficult market, lots of micro-segments, and so very difficult to serve. And then you couple that what's been happening from an environmental sustainability perspective, right. I think every industry has been looking more about how they can be more environmentally sustainable, and the clothing industry is no different. And when, and there is a lot of impact, right, so a stat that really has hit home with me, right: 20% of all the clothes that are made globally goes unsold. That's all a lot of clothing, that's a lot of material, and that's a lot of environmental product that goes into creating it. And so, Bestseller India really took it to heart to become not only more environmentally sustainable, but to help itself and be digitally ready for things like the pandemic that ultimately hit. And they were in a really good position. And we worked with them to create something called Fabric AI. So Fabric AI is India's only, first and only, AI-based platform that drives their supply chain, so it drives not only their decisions on what design should they manufacture, but it also helps to improve the entire workflow of what we call design to store. And the AI-based solution is really revolutionary, right, within India, but I think it's pretty revolutionary globally, right, globally as well. And it delivered really big impact, so, reductions in the cost, right, 15-plus reduction in cost. It helped their top line, so they saw a 5% plus top line, but it also reduced their unsold inventory by 5% and more, right. They're continuing to focus on that environmental sustainability that I think is a really important part of their DNA, right, the Bestseller India's DNA. >> And it's one that so many companies and other industries can learn from. I was reading in that case study on Bestseller India on the IBM website that I think it was 40 liters of water to make a cotton shirt. And to your point about the percentage of clothing that actually goes unsold and ends up in landfills, you see there the opportunity for AI to unlock the visibility that companies in any industry need to determine what is the demand that we should be filling, where should it be distributed, where should we not be distributing things. And so I think it was an interesting kind of impetus that Bestseller India had about one of their retail lines or brands was dropping in revenue, but they had been able to apply this technology to other areas of the business and make a pretty big impact. >> Yeah, absolutely. So they had been been very fortunate to have 11 years of growth, right, in all of their brands. And then one of their brands kind of hit headwinds, but the CIO and head of supply chain at that time really had the foresight to be able to say, you know what, we're hitting a problem, one of our brands, but this really is indicative of a more systemic problem. And that problem was lack of transparency, lack of data-driven, predictive, and automation to be able to drive a more effective and efficient kind of supply chain in the end, so, really had the forethought to dive into that and fix it. >> Yeah. And now talk to me about IBM Garage Band, and how's that, how did that help in this particular case? >> Yeah. So, in order to do this, right, it was, they had no use of AI, no use of automation, at the time that we started this. And so to really not only design and build and execute on Fabric AI, but to actually focus on the adoption, right, of AI within the business, we really needed to bring together the leaders across many lines of businesses, IT and HR, right. And when you think about pulling all of these different units together, we used our IBM Garage approach, which really is, there are many attributes and many facets of the IBM Garage, but I think one of the great results of using our IBM Garage approach is being able to pull from across all those different businesses, all of which may have some different objectives, right, they're coming from a different lens, from a different space, and pulling them together around one focus mission, which for here was Fabric AI. And we were able to actually design and build this in less than six months, which I think is pretty dramatic and pretty incredible from a speed and acceleration perspective. But I think even more so was the adoption, was the way in which we had, through all of it, already been working with the employees 'cause it's really touched almost every part of Bestseller India, so really being able to work with them and all the employees to make sure that they were ready for these new ways of working, that they had the right skills, that they had the right perspective, and that it was going to be adopted. >> That, we, if we unpack that, if we had time, that can be a whole separate conversation because the important, the most important thing about adoption is the cultures of these different business units have to come together. You said you rolled this out in a very short period of time, but you also were taking the focus on the employees. They need to understand the value in it. why they should be adopting it. And changing that culture, that's a whole other separate conversation, but that's an, that's a very interesting and very challenging thing to do. I wish we had more time to talk about that one. >> Yeah. It really is an, that the approach of bringing everyone together, it makes it just very dynamic, which is what's needed when you have all of those different lenses coming together, so, yeah. >> It is, 'cause you get a little bit of thought diversity as well when we're using AI. Well, Dominic, thank you for joining me today. Talked to me about what you guys are doing with many different types of customers, how you're helping them to integrate emerging technologies to really transform their business and their culture. We appreciate your time. >> Well, thank you, Lisa. Thanks >> For Dominique Dubois, I'm Lisa Martin. You're watching theCUBE's coverage of IBM Think, the digital event. (upbeat music)

>> From theCUBE studios in Palo Alto, in Boston bringing you data-driven insights from theCUBE and ETR. This is Breaking Analysis with Dave Vellante >> The latest Arm Neoverse announcement further cements our opinion that it's architecture business model and ecosystem execution are defining a new era of computing and leaving Intel in it's dust. We believe the company and its partners have at least a two year lead on Intel and are currently in a far better position to capitalize on a major waves that are driving the technology industry and its innovation. To compete our view is that Intel needs a new strategy. Now, Pat Gelsinger is bringing that but they also need financial support from the US and the EU governments. Pat Gelsinger was just noted as asking or requesting from the EU government $9 billion, sorry, 8 billion euros in financial support. And very importantly, Intel needs a volume for its new Foundry business. And that is where Apple could be a key. Hello, everyone. And welcome to this week's weekly bond Cube insights powered by ETR. In this breaking analysis will explain why Apple could be the key to saving Intel and America's semiconductor industry leadership. We'll also further explore our scenario of the evolution of computing and what will happen to Intel if it can't catch up. Here's a hint it's not pretty. Let's start by looking at some of the key assumptions that we've made that are informing our scenarios. We've pointed out many times that we believe Arm wafer volumes are approaching 10 times those of x86 wafers. This means that manufacturers of Arm chips have a significant cost advantage over Intel. We've covered that extensively, but we repeat it because when we see news reports and analysis and print it's not a factor that anybody's highlighting. And this is probably the most important issue that Intel faces. And it's why we feel that Apple could be Intel's savior. We'll come back to that. We've projected that the chip shortage will last no less than three years, perhaps even longer. As we reported in a recent breaking analysis. Well, Moore's law is waning. The result of Moore's law, I.e the doubling of processor performance every 18 to 24 months is actually accelerating. We've observed and continue to project a quadrupling of performance every two years, breaking historical norms. Arm is attacking the enterprise and the data center. We see hyperscalers as the tip of their entry spear. AWS's graviton chip is the best example. Amazon and other cloud vendors that have engineering and software capabilities are making Arm-based chips capable of running general purpose applications. This is a huge threat to x86. And if Intel doesn't quickly we believe Arm will gain a 50% share of an enterprise semiconductor spend by 2030. We see the definition of Cloud expanding. Cloud is no longer a remote set of services, in the cloud, rather it's expanding to the edge where the edge could be a data center, a data closet, or a true edge device or system. And Arm is by far in our view in the best position to support the new workloads and computing models that are emerging as a result. Finally geopolitical forces are at play here. We believe the U S government will do, or at least should do everything possible to ensure that Intel and the U S chip industry regain its leadership position in the semiconductor business. If they don't the U S and Intel could fade to irrelevance. Let's look at this last point and make some comments on that. Here's a map of the South China sea in a way off in the Pacific we've superimposed a little pie chart. And we asked ourselves if you had a hundred points of strategic value to allocate, how much would you put in the semiconductor manufacturing bucket and how much would go to design? And our conclusion was 50, 50. Now it used to be because of Intel's dominance with x86 and its volume that the United States was number one in both strategic areas. But today that orange slice of the pie is dominated by TSMC. Thanks to Arm volumes. Now we've reported extensively on this and we don't want to dwell on it for too long but on all accounts cost, technology, volume. TSMC is the clear leader here. China's president Xi has a stated goal of unifying Taiwan by China's Centennial in 2049, will this tiny Island nation which dominates a critical part of the strategic semiconductor pie, go the way of Hong Kong and be subsumed into China. Well, military experts say it was very hard for China to take Taiwan by force, without heavy losses and some serious international repercussions. The US's military presence in the Philippines and Okinawa and Guam combined with support from Japan and South Korea would make it even more difficult. And certainly the Taiwanese people you would think would prefer their independence. But Taiwanese leadership, it ebbs and flows between those hardliners who really want to separate and want independence and those that are more sympathetic to China. Could China for example, use cyber warfare to over time control the narrative in Taiwan. Remember if you control the narrative you can control the meme. If you can crawl the meme you control the idea. If you control the idea, you control the belief system. And if you control the belief system you control the population without firing a shot. So is it possible that over the next 25 years China could weaponize propaganda and social media to reach its objectives with Taiwan? Maybe it's a long shot but if you're a senior strategist in the U S government would you want to leave that to chance? We don't think so. Let's park that for now and double click on one of our key findings. And that is the pace of semiconductor performance gains. As we first reported a few weeks ago. Well, Moore's law is moderating the outlook for cheap dense and efficient processing power has never been better. This slideshows two simple log lines. One is the traditional Moore's law curve. That's the one at the bottom. And the other is the current pace of system performance improvement that we're seeing measured in trillions of operations per second. Now, if you calculate the historical annual rate of processor performance improvement that we saw with x86, the math comes out to around 40% improvement per year. Now that rate is slowing. It's now down to around 30% annually. So we're not quite doubling every 24 months anymore with x86 and that's why people say Moore's law is dead. But if you look at the (indistinct) effects of packaging CPU's, GPU's, NPUs accelerators, DSPs and all the alternative processing power you can find in SOC system on chip and eventually system on package it's growing at more than a hundred percent per annum. And this means that the processing power is now quadrupling every 24 months. That's impressive. And the reason we're here is Arm. Arm has redefined the core process of model for a new era of computing. Arm made an announcement last week which really recycle some old content from last September, but it also put forth new proof points on adoption and performance. Arm laid out three components and its announcement. The first was Neoverse version one which is all about extending vector performance. This is critical for high performance computing HPC which at one point you thought that was a niche but it is the AI platform. AI workloads are not a niche. Second Arm announced the Neoverse and two platform based on the recently introduced Arm V9. We talked about that a lot in one of our earlier Breaking Analysis. This is going to performance boost of around 40%. Now the third was, it was called CMN-700 Arm maybe needs to work on some of its names, but Arm said this is the industry's most advanced mesh interconnect. This is the glue for the V1 and the N2 platforms. The importance is it allows for more efficient use and sharing of memory resources across components of the system package. We talked about this extensively in previous episodes the importance of that capability. Now let's share with you this wheel diagram underscores the completeness of the Arm platform. Arms approach is to enable flexibility across an open ecosystem, allowing for value add at many levels. Arm has built the architecture in design and allows an open ecosystem to provide the value added software. Now, very importantly, Arm has created the standards and specifications by which they can with certainty, certify that the Foundry can make the chips to a high quality standard, and importantly that all the applications are going to run properly. In other words, if you design an application, it will work across the ecosystem and maintain backwards compatibility with previous generations, like Intel has done for years but Arm as we'll see next is positioning not only for existing workloads but also the emerging high growth applications. To (indistinct) here's the Arm total available market as we see it, we think the end market spending value of just the chips going into these areas is $600 billion today. And it's going to grow to 1 trillion by 2030. In other words, we're allocating the value of the end market spend in these sectors to the marked up value of the Silicon as a percentage of the total spend. It's enormous. So the big areas are Hyperscale Clouds which we think is around 20% of this TAM and the HPC and AI workloads, which account for about 35% and the Edge will ultimately be the largest of all probably capturing 45%. And these are rough estimates and they'll ebb and flow and there's obviously some overlap but the bottom line is the market is huge and growing very rapidly. And you see that little red highlighted area that's enterprise IT. Traditional IT and that's the x86 market in context. So it's relatively small. What's happening is we're seeing a number of traditional IT vendors, packaging x86 boxes throwing them over the fence and saying, we're going after the Edge. And what they're doing is saying, okay the edge is this aggregation point for all these end point devices. We think the real opportunity at the Edge is for AI inferencing. That, that is where most of the activity and most of the spending is going to be. And we think Arm is going to dominate that market. And this brings up another challenge for Intel. So we've made the point a zillion times that PC volumes peaked in 2011. And we saw that as problematic for Intel for the cost reasons that we've beat into your head. And lo and behold PC volumes, they actually grew last year thanks to COVID and we'll continue to grow it seems for a year or so. Here's some ETR data that underscores that fact. This chart shows the net score. Remember that's spending momentum it's the breakdown for Dell's laptop business. The green means spending is accelerating and the red is decelerating. And the blue line is net score that spending momentum. And the trend is up and to the right now, as we've said this is great news for Dell and HP and Lenovo and Apple for its laptops, all the laptops sellers but it's not necessarily great news for Intel. Why? I mean, it's okay. But what it does is it shifts Intel's product mix toward lower margin, PC chips and it squeezes Intel's gross margins. So the CFO has to explain that margin contraction to wall street. Imagine that the business that got Intel to its monopoly status is growing faster than the high margin server business. And that's pulling margins down. So as we said, Intel is fighting a war on multiple fronts. It's battling AMD in the core x86 business both PCs and servers. It's watching Arm mop up in mobile. It's trying to figure out how to reinvent itself and change its culture to allow more flexibility into its designs. And it's spinning up a Foundry business to compete with TSMC. So it's got to fund all this while at the same time propping up at stock with buybacks Intel last summer announced that it was accelerating it's $10 billion stock buyback program, $10 billion. Buy stock back, or build a Foundry which do you think is more important for the future of Intel and the us semiconductor industry? So Intel, it's got to protect its past while building his future and placating wall street all at the same time. And here's where it gets even more dicey. Intel's got to protect its high-end x86 business. It is the cash cow and funds their operation. Who's Intel's biggest customer Dell, HP, Facebook, Google Amazon? Well, let's just say Amazon is a big customer. Can we agree on that? And we know AWS is biggest revenue generator is EC2. And EC2 was powered by microprocessors made from Intel and others. We found this slide in the Arm Neoverse deck and it caught our attention. The data comes from a data platform called lifter insights. The charts show, the rapid growth of AWS is graviton chips which are they're custom designed chips based on Arm of course. The blue is that graviton and the black vendor A presumably is Intel and the gray is assumed to be AMD. The eye popper is the 2020 pie chart. The instant deployments, nearly 50% are graviton. So if you're Pat Gelsinger, you better be all over AWS. You don't want to lose this customer and you're going to do everything in your power to keep them. But the trend is not your friend in this account. Now the story gets even gnarlier and here's the killer chart. It shows the ISV ecosystem platforms that run on graviton too, because AWS has such good engineering and controls its own stack. It can build Arm-based chips that run software designed to run on general purpose x86 systems. Yes, it's true. The ISV, they got to do some work, but large ISV they have a huge incentives because they want to ride the AWS wave. Certainly the user doesn't know or care but AWS cares because it's driving costs and energy consumption down and performance up. Lower cost, higher performance. Sounds like something Amazon wants to consistently deliver, right? And the ISV portfolio that runs on our base graviton and it's just going to continue to grow. And by the way, it's not just Amazon. It's Alibaba, it's Oracle, it's Marvell. It's 10 cents. The list keeps growing Arm, trotted out a number of names. And I would expect over time it's going to be Facebook and Google and Microsoft. If they're not, are you there? Now the last piece of the Arm architecture story that we want to share is the progress that they're making and compare that to x86. This chart shows how Arm is innovating and let's start with the first line under platform capabilities. Number of cores supported per die or, or system. Now die is what ends up as a chip on a small piece of Silicon. Think of the die as circuit diagram of the chip if you will, and these circuits they're fabricated on wafers using photo lithography. The wafers then cut up into many pieces each one, having a chip. Each of these pieces is the chip. And two chips make up a system. The key here is that Arm is quadrupling the number of cores instead of increasing thread counts. It's giving you cores. Cores are better than threads because threads are shared and cores are independent and much easier to virtualize. This is particularly important in situations where you want to be as efficient as possible sharing massive resources like the Cloud. Now, as you can see in the right hand side of the chart under the orange Arm is dramatically increasing the amount of capabilities compared to previous generations. And one of the other highlights to us is that last line that CCIX and CXL support again Arm maybe needs to name these better. These refer to Arms and memory sharing capabilities within and between processors. This allows CPU's GPU's NPS, et cetera to share resources very often efficiently especially compared to the way x86 works where everything is currently controlled by the x86 processor. CCIX and CXL support on the other hand will allow designers to program the system and share memory wherever they want within the system directly and not have to go through the overhead of a central processor, which owns the memory. So for example, if there's a CPU, GPU, NPU the CPU can say to the GPU, give me your results at a specified location and signal me when you're done. So when the GPU is finished calculating and sending the results, the GPU just signals the operation is complete. Versus having to ping the CPU constantly, which is overhead intensive. Now composability in that chart means the system it's a fixed. Rather you can programmatically change the characteristics of the system on the fly. For example, if the NPU is idle you can allocate more resources to other parts of the system. Now, Intel is doing this too in the future but we think Arm is way ahead. At least by two years this is also huge for Nvidia, which today relies on x86. A major problem for Nvidia has been coherent memory management because the utilization of its GPU is appallingly low and it can't be easily optimized. Last week, Nvidia announced it's intent to provide an AI capability for the data center without x86 I.e using Arm-based processors. So Nvidia another big Intel customer is also moving to Arm. And if it's successful acquiring Arm which is still a long shot this trend is only going to accelerate. But the bottom line is if Intel can't move fast enough to stem the momentum of Arm we believe Arm will capture 50% of the enterprise semiconductor spending by 2030. So how does Intel continue to lead? Well, it's not going to be easy. Remember we said, Intel, can't go it alone. And we posited that the company would have to initiate a joint venture structure. We propose a triumvirate of Intel, IBM with its power of 10 and memory aggregation and memory architecture And Samsung with its volume manufacturing expertise on the premise that it coveted in on US soil presence. Now upon further review we're not sure the Samsung is willing to give up and contribute its IP to this venture. It's put a lot of money and a lot of emphasis on infrastructure in South Korea. And furthermore, we're not convinced that Arvind Krishna who we believe ultimately made the call to Jettisons. Jettison IBM's micro electronics business wants to put his efforts back into manufacturing semi-conductors. So we have this conundrum. Intel is fighting AMD, which is already at seven nanometer. Intel has a fall behind in process manufacturing which is strategically important to the United States it's military and the nation's competitiveness. Intel's behind the curve on cost and architecture and is losing key customers in the most important market segments. And it's way behind on volume. The critical piece of the pie that nobody ever talks about. Intel must become more price and performance competitive with x86 and bring in new composable designs that maintain x86 competitive. And give the ability to allow customers and designers to add and customize GPU's, NPUs, accelerators et cetera. All while launching a successful Foundry business. So we think there's another possibility to this thought exercise. Apple is currently reliant on TSMC and is pushing them hard toward five nanometer, in fact sucking up a lot of that volume and TSMC is maybe not servicing some other customers as well as it's servicing Apple because it's a bit destructive, it is distracted and you have this chip shortage. So Apple because of its size gets the lion's share of the attention but Apple needs a trusted onshore supplier. Sure TSMC is adding manufacturing capacity in the US and Arizona. But back to our precarious scenario in the South China sea. Will the U S government and Apple sit back and hope for the best or will they hope for the best and plan for the worst? Let's face it. If China gains control of TSMC, it could block access to the latest and greatest process technology. Apple just announced that it's investing billions of dollars in semiconductor technology across the US. The US government is pressuring big tech. What about an Apple Intel joint venture? Apple brings the volume, it's Cloud, it's Cloud, sorry. It's money it's design leadership, all that to the table. And they could partner with Intel. It gives Intel the Foundry business and a guaranteed volume stream. And maybe the U S government gives Apple a little bit of breathing room and the whole big up big breakup, big tech narrative. And even though it's not necessarily specifically targeting Apple but maybe the US government needs to think twice before it attacks big tech and thinks about the long-term strategic ramifications. Wouldn't that be ironic? Apple dumps Intel in favor of Arm for the M1 and then incubates, and essentially saves Intel with a pipeline of Foundry business. Now back to IBM in this scenario, we've put a question mark on the slide because maybe IBM just gets in the way and why not? A nice clean partnership between Intel and Apple? Who knows? Maybe Gelsinger can even negotiate this without giving up any equity to Apple, but Apple could be a key ingredient to a cocktail of a new strategy under Pat Gelsinger leadership. Gobs of cash from the US and EU governments and volume from Apple. Wow, still a long shot, but one worth pursuing because as we've written, Intel is too strategic to fail. Okay, well, what do you think? You can DM me @dvellante or email me at david.vellante@siliconangle.com or comment on my LinkedIn post. Remember, these episodes are all available as podcasts so please subscribe wherever you listen. I publish weekly on wikibon.com and siliconangle.com. And don't forget to check out etr.plus for all the survey analysis. And I want to thank my colleague, David Floyer for his collaboration on this and other related episodes. This is Dave Vellante for theCUBE insights powered by ETR. Thanks for watching, be well, and we'll see you next time. (upbeat music)

[Music] welcome back to red hat summit 2021 my name is dave vellante and you're watching the cube where we go out to the events and extract the signal from the noise of course virtually in this case and i'm pleased to welcome victor carumpus who is the senior vice president of digital banking at bank mandiri coming in from jakarta welcome to the cube victor great to see you hi dave great to see you and great to be invited here thank you yeah you're very welcome i i wonder if you could just give us an overview of the bank maybe talk a little bit about your strategy your customers you know what the what the focus is of your company and what your role is there okay uh maybe i'm i'll give a short overview about bang mandir itself so bang money is a state-owned enterprise owned by the government but we also public company currently we already have a very big distribution channel in so uh you know indonesia is an island country it's very huge country so we are we are representing all over indonesia from province of aceh and i'm up to profits of papua and we have about 2600 branches all over indonesia and about uh 15 000 atms all over indonesia so bangladesh itself is focused on a lot of segment customers like indonesia from the corporate side small medium enterprise and also retail banking now uh we are we are currently focused in turning ourselves to become having to have more digital capability and currently in our uh current situations actually it is very good uh about 95 percent of our transactions is already coming from the electronic channel so it's only about five percent that coming from the branches but we know that this is still a journey uh and we are building more digital capability and features and functions on our digital channels to our customer got it um okay and so your your your digital journey kind of coincides i guess in a way with your your your container uh adoption journey uh i think that started a few years ago um and so maybe you could talk a little bit about that i i mean in thinking about modernizing your application portfolio obviously containers been around forever but they weren't packaged in a way that could actually be easily you know utilized and now you're seeing people in i.t roles like yourself really leaning in maybe you could talk about some of the technology considerations that impacted that desire to actually leverage containers i think uh first it's about the scalability because with a monolithic architecture it's kind of difficult to scale up for only specific features by doing container microservices we have options to scale up in a very fast way because one of the features is auto scaling on the container architectures uh one monitor is a very focused on the transaction banking so you might say bangladesh is supporting the economy of the country because in a in any given time in bangladesh we we're running about four thousand transactions per seconds that's a huge transactions number and have having said that uh our channel like i told you already running about 95 percent of the transactions so scalability is always important for us because especially like like now is the the in indonesia is a festive month it's a ramadan month where muslim is actually doing fasting but at the same time actually there's a lot of needs and people do a lot of transactions and on this kind of festive seasons the transition can be increased up to 40 or 50 suddenly and that's kind of things always happen in bangladesh and we must be ready and we must have a scalability on demand now containerization is enabling us to do that other thing is about flexibility because on the old days actually when we want to set up a new environment it's very difficult and takes a lot of time and that's affecting the time to market our products by doing the containerizations and putting it on a ci cd continuous integration called the development plan platform we are we call devsecops platform that kind of things becoming automatic because we set up the devsecos platform and the third one is the consistency actually so by by doing the contact investigations we can put the the apis on our back-end apis in the container itself and actually it's deliverable environment and a consistent experience to our customer because for example we promise our customer that every transaction should be finished within two seconds from their mobile banking up to our hosts and back forward to their mobile banking is only two seconds so that kind of thing is driving us to move to the current technology which we're using containerization and micro services great okay so 4 000 transactions per second you can't can't do that on erc20 ethereum for all you crypto fans out there that's that's pretty high volume uh and if i understand it correctly victor your role is really to envision this digital environment and then ultimately make it happen from a technology standpoint is that correct that's product that's got it yeah so okay so you now have a number of of product lines and teams you're using the same container platform maybe you could share with our audience some of the best practices and learnings that that you've taken away on this journey so i think first of all we can reuse a lot of components by doing this containerization platform is different when we still use the monolithic platform like the application server of java application server uh by using containerization actually uh be providing like a service banking as a service so whenever we build a new channel for example the first one we built a new service for example like a fun transfer service but when we create another channel for example a corporate banking electronic channel or we create another uh let's say wealth management channel whatever we already built before can be reusable instantly by using this technology so uh if i might say that actually there is a lot of best practices coming by using this platform and my team get a lot of benefit in terms of faster development time and also they can deliver the product and service in a high quality manner minimize the number of errors as well you know there's a lot of choices out there obviously i wonder if you could share what led you to the choice of red hat and open shift okay so first of all before we choose the platform actually we also comparing ourselves with the with the fintechs and also with the big tech in indonesia as well so we see we see that actually they already start using kubernetes and uh their platform is quite stable and even they can support about 90 to 100 million of customers without any issues at all so when we see this uh we choose a lot of we learn about a lot of platform and we finally choose opencv because we think that openshift and we we already do our research openshift is quite stable and for banks like us that have for having 4500 transaction per seconds stability is number one uh availability is also number one now uh having said that after doing our research we choose openshift and we implemented openshift in our environment because we promise our customers to provide 99.95 percent uh availability can i just i'm sorry to interrupt you victor can you just repeat that you cut out a little bit so you you said you you promised your customers to deliver and then you cut out a little bit can you just repeat what you just said there okay so we're giving a promise to our to our customer providing a 99.95 availability so this is the starting point of our channel sure in the efficiency we have efficient also to providing four nines which is 99.99 but i mean the starting point is 99.95 and because we have that the demand that requirement that's one of the reason we choose the openshift and red hat as our technology stack platform got it okay and so i have a question um what was it like in terms of just the skills and the adoption uh for your developers uh was it was it a big gap to go from where you were to you know where you are today did you have to what kind of training did you have to do did you have to do any sort of outsourcing to accelerate that maybe you could describe that how you close that skills gap so definitely in the beginning is quite challenging because although they are using modern languages like jaffa or kotlin but uh to understand the concept and to design correctly yes we we did a lot of training to them uh it takes a it takes me about three months to give them the proper training uh in terms of building the right uh microservices platform and also to building modular architecture in terms of the customer channel because this will be the fundamental when you build it correctly in the beginning and actually at the later point you will enjoy the benefit so the first three months actually is training and doing research and development and doing a lot of trial and errors but after the three months actually we already have the right technology stack have the right models and our devsecops is already working then actually after that the speed is very fast because uh it sprints uh we do agile way of working the agiles dlc it's only one month so every one month we already have new features coming in so that's what we call a huge transformation a digital transformation inside of our bank it's three months actually not bad i mean i would i would have thought on average it's going to take five or six months to get people up to speed so three months is pretty good and i'm also inferring that you weren't just paving the cow path you weren't just saying okay let's take our traditional and then you know re refactor it to digital you had to re-envision what digital looked like because the digital is different uh than the traditional uh so so that's actually pretty good uh ramp rate i wonder if you could just go ahead and comment if you could because when you say about uh revamp so actually it's not on the id side not only but also the business side we implement new way as well so actually if clearly they're implementing a new model so they're using a design thinking and also a co-creation model where now when we building a product so we're not writing the old product in a new way no we totally building it from from scratch and involving our key customer and our stakeholder when we're building this product so actually we implementing new models what we call design thinking and also uh co-creation with our customer so that's actually changing the face of the customer electronic channel a lot and and actually when we when we want to to deploy we invite our customer to test it first we call it like usability testing if they like it we continue to design if they they don't like it they give us a feedback how they would like it to be changed and and that's we appreciate our customer feedback because customers experience is everything now yeah so so the product can be accepted if the experience on that product is really making customer uh solving their problem solving the customer problem and making them enjoying uh doing transactions in our mobile banking product i think this is a really important point for people to understand so you weren't just paving the cow path i call it you're taking the old and and just trying to refactor it and make it exactly turn it into digital you had to really think about the business the business processes the dependencies the customer experience and then bring it back um what have been some of the business outcomes of this initiative and maybe you could we then after that we can get into some of the the future plans so so the outcome uh i think this journey uh since last year uh not last year actually since no october 2019 we already started the journey uh what took us by surprise is actually the pandemic uh suddenly the first three months when we have the pandemic of coffee we are being forced to close a lot of branches for temporary because we want to avoid the pandemic situations and that time actually the the demand using our digital channel is increasing a lot but because we already prepared actually we get the benefit one of the thing is uh the business benefit is relating so during the pandemic nobody can come to the branch and mostly the account opening actually happening online so uh we even got about 9000 account opening per day which is something that we are not imagining before so uh the benefit is very clear by using this this technology actually enabling us to provide digital capability for our customer and enabling us to open more accounts we see ourselves can grow even not linear but exponentially grow by using this platform uh talking about that indonesia is a is a huge country with we have about 200 250 million populations and actually there's still a lot of people is not having a bank account at all now by doing this actually we open opportunity doing financial inclusion for those people that need a banking account now they can reach us by using the digital platform as well yeah that's an awesome story and it goes back to the to the reason the real motivator for for moving to kubernetes and containers was scale uh and and you know it's you obviously started your digital journey prior to the pandemic but a lot of customers and i'm sure you as well were were forced to speed up a portion anyway of the digital component uh because of the pandemic like you said you couldn't people couldn't walk into the branches so but now you've got some more time to think about that journey you've had a lot of learnings 2020 was like a petri dish of experimentation but but in real time having to serve customers what's the future look like for the bank's technology journey okay so basically we uh we are not stopping only on the retail side yeah uh we want to redefine our customer journey also on the wholesale side and also on the small medium enterprise there is still a lot of things that need to be done uh and required by the customer actually so uh on the on the on the sme side we want to give them easier access uh for uh financing their businesses i think when we are back to the new normal uh the business need to have funding for for starting their business again so building an sme platform for them will will help a lot and will help the country as well on the retail side actually like i told you uh we are focusing on the more financial inclusion because uh i give you example right uh from the 230 million of indonesians uh populations i think by today maybe it's only about 50 million customers that already have a banking account so there is still a lot of people that need an access faster and cheaper and more efficient way for doing banking transactions so that's this also will become our focus and the last part is actually corporate what we see now a lot of the corporate require us to open uh api connectivity doing open banking with them the government actually the central bank supporting it supporting all the banks they are trying to create an api playbooks now and then they create they want to create an api standard for all the core all the use corporate also can connect it to the bank directly using api so this is also our focus because it will help the country economy when the economy costs the transaction costs getting more efficient getting more cheaper and there's a lot of transaction can be supported by our bank as well so i think i think that's the the future that we are imagining and i'm really hope that the pandemi will be finished and we come back to the to the new normal and we can support more transactions for this country yeah you're here to that i call it the new abnormal but so this is this is a great story everybody loves to talk about disruption we do as well and but people think oh it's out with out with the old in with the new and it's not like that this is a great story victor of uh of an established incumbent that is modernizing its its applications and its digital experience and of course the incumbent has the advantage of it's a real business it has customers that has a data it has experiences it and if it can modernize its infrastructure and and it's in its application portfolio it actually has an advantage because it's got way more features way more data way more customers and more resources so victor thanks so much for coming on thecube i really appreciate you sharing your story thank you dave thank you for inviting me thank you that was our pleasure and thank you for watching red hat summit 21 this is thecube you

(serene music) >> From around the globe, it's theCUBE, with digital coverage of IBM Think 2021, brought to you by IBM. >> Hey, welcome to theCUBE's coverage of IBM Think, the digital event experience. I'm your host, Lisa Martin, welcoming back to the program one of our CUBE alumn. Dominique Dubois joins me. She's the Global Strategy and Offerings Executive in the Business Transformation Services of IBM. Dominique, it's great to talk to you again. >> Hi Lisa, great to be with you today. >> So we're going to be talking about the theme of this interview. It's going to be the ROI of AI for business. We've been talking about AI emerging technologies for a long time now. We've also seen a massive change in the world. I'd love to talk to you about how organizations are adopting these emerging technologies to really help transform their businesses. And one of the things that you've talked about in the past, is that there's these different elements of AI for business. One of them is trust, right, the second is ease of use, and then there's this importance of data in all of these important emerging technologies that require so much data. How do those elements of AI come together to help IBM's clients be able to deliver the products and services that their customers are depending on? >> Yeah. Thank you, Lisa. So, when we look at AI and AI solutions with our clients, I think how that comes together is in the way in which we don't look at AI, or AI application solution, independently, right. We're looking at it and we're applying it within our customer's operations with respect to the work that it's going to do, with respect to the part of the operations and the workflow and the function that it sits in, right. So the idea around trust and ease of use and the data that can be leveraged in order to kind of create that AI and allow that AI to be self-learning and continue to add value really is fundamental around how we design and how we implement it within the workflow itself. And how we are working with the employees, with the actual humans, that are going to be touching that AI, right, to help them with new skills that are required to work with AI, to help them with what we call the new ways of working, right, 'cause it's that adoption that really is critical to get the use of AI in enterprises at scale. >> That adoption that you just mentioned, that's critical. That can be kind of table stakes. But what we've seen in the last year is that we've all had to pivot, multiple times, and be reactionary, or reactive, to so many things out of our control. I'm curious what you've seen in the last year in terms of the appetite for adoption on the employees front. Are they more willing to go, all right, we've got to change the way we do things, and it's probably going to be, some of these are going to be permanent? >> Yeah. Lisa, we've absolutely seen a huge rise in the adoption, right, or in the openness, the mindset. Let's just call it the mindset, right. It's more of an open mindset around the use of technology, the use of technology that might be AI backed or AI based, and the willingness to, and I will say, the willingness to try is really then what starts that journey of trust, right. And we're seeing that open up in spades. >> That is absolutely critical. It's just the willingness, being open-minded enough to go, all right, we've got to do this, so we've got to think about this. We don't really have any other choices here. Things are changing pretty quickly. So talk to me, in this last year of change, we've seen massive disruptions and some silver linings for sure, but I'd love to know what IBM and the state of Rhode Island have done together in its challenging time. >> Yeah, so, really interesting partnership that we started with the state of Rhode Island. Obviously, I think this year, there's been lots of things. One of them has been speed, so everything that we had to do has been with haste, right, with urgency. And that's no different than what we did with the state of Rhode Island. The governor there, Gina Raimondo, she took very swift action, right, when the pandemic started. And one of the actions she took was to partner with private firms, such as IBM and others, to really help get her economy back open. And that required a lot of things. One of them, as you mentioned, trust, right, was a major part of what the governor there needed with her citizenships, with her citizens, excuse me, in order to be able to open back up the economy, right. And so, a key pillar of her program, and with our partnership, was around the AI-backed solutions that we brought to the state of Rhode Island, so inclusive of contact tracing, inclusive of work that we had provided around AI-based analytics that allowed really the governor to speak to citizens with hard facts quickly, almost real time, right, and start to build that trust, but also competence, and competence was the main, one of the main things that was required during this pandemic time. And so, there were, through this, the AI-based solutions that we provided, which were, there were many pillars, we were able to help Rhode Island not only open their economy, but they were one of the only states that had their schools open in the fall, and as a parent, I always see that as a litmus, if you will, of how our state is doing, right. And so they opened in the fall, and they, as far as I know, have stayed open. And I think part of that was from the AI-based contact tracing, the AI-backed virtual, sorry, AI analytics, the analytics suite around infections and predictions and what we were able to provide the governor in order to make swift decisions and take action. >> That's really impressive. That's one of the challenges I've had living in California, is you (mumbles) you are going to be data-driven than actually be data-driven, but the technology, living in Silicon Valley, the technology is there to be able to facilitate that, yet there was such a disconnect, and I think that's, you bring up the word confidence, and customers need confidence, citizens need confidence, knowing that what we've seen in the last year has shown in a lot of examples that real time isn't a nice-to-have anymore, it's a requirement. I mean, this is clearly life-and-death situations. That's a great example of how a state came to IBM to partner and say, how can we actually leverage emerging technologies like AI to really and truly make real-time data-driven decisions that affect every single person in our state. >> Mm-hmm. Absolutely, absolutely! Really, really, I think, a great example of the public-private partnerships that are really popping up now, more and more so because of that sense of urgency and that need to build greater ecosystems to create better solutions. >> So that's a great example in healthcare, one that our government in public health, and I think everybody, it will resonate with everybody here, but you've also done some really interesting work that I want to talk about with AI-driven insights into supply chain. We've also seen massive changes to supply chain, and so many organizations having to figure out, whether they were brick-and-mortar only, changing that, or really leveraging technology to figure out where do we need to be distributing products and services, where do we need to be investing. Talk to me about Bestseller India, and what it is that you guys have done there with intelligent workflows to really help them transform their supply chain. >> Yeah, Bestseller India, really great, hugely successful fashion forward company in India, and that term fashion forward always is mind boggling to me because basically, these are clothing retailers who go from runway to store within a matter of days, couple of weeks, which always is just hugely impressive, right, just what goes into that. And when you think about what happens in a supply chain to be able to do that, the requirements around demand forecasting, what quantities, of what style, what design, to what stores, and you think about the India market, which is notoriously a difficult market, lots of micro-segments, and so very difficult to serve. And then you couple that what's been happening from an environmental sustainability perspective, right. I think every industry has been looking more about how they can be more environmentally sustainable, and the clothing industry is no different. And when, and there is a lot of impact, right, so a stat that really has hit home with me, right: 20% of all the clothes that are made globally goes unsold. That's all a lot of clothing, that's a lot of material, and that's a lot of environmental product that goes into creating it. And so, Bestseller India really took it to heart to become not only more environmentally sustainable, but to help itself and be digitally ready for things like the pandemic that ultimately hit. And they were in a really good position. And we worked with them to create something called Fabric AI. So Fabric AI is India's only, first and only, AI-based platform that drives their supply chain, so it drives not only their decisions on what design should they manufacture, but it also helps to improve the entire workflow of what we call design to store. And the AI-based solution is really revolutionary, right, within India, but I think it's pretty revolutionary globally, right, globally as well. And it delivered really big impact, so, reductions in the cost, right, 15-plus reduction in cost. It helped their top line, so they saw a 5% plus top line, but it also reduced their unsold inventory by 5% and more, right. They're continuing to focus on that environmental sustainability that I think is a really important part of their DNA, right, the Bestseller India's DNA. >> And it's one that so many companies and other industries can learn from. I was reading in that case study on Bestseller India on the IBM website that I think it was 40 liters of water to make a cotton shirt. And to your point about the percentage of clothing that actually goes unsold and ends up in landfills, you see there the opportunity for AI to unlock the visibility that companies in any industry need to determine what is the demand that we should be filling, where should it be distributed, where should we not be distributing things. And so I think it was an interesting kind of impetus that Bestseller India had about one of their retail lines or brands was dropping in revenue, but they had been able to apply this technology to other areas of the business and make a pretty big impact. >> Yeah, absolutely. So they had been been very fortunate to have 11 years of growth, right, in all of their brands. And then one of their brands kind of hit headwinds, but the CIO and head of supply chain at that time really had the foresight to be able to say, you know what, we're hitting a problem, one of our brands, but this really is indicative of a more systemic problem. And that problem was lack of transparency, lack of data-driven, predictive, and automation to be able to drive a more effective and efficient kind of supply chain in the end, so, really had the forethought to dive into that and fix it. >> Yeah. And now talk to me about IBM Garage Band, and how's that, how did that help in this particular case? >> Yeah. So, in order to do this, right, it was, they had no use of AI, no use of automation, at the time that we started this. And so to really not only design and build and execute on Fabric AI, but to actually focus on the adoption, right, of AI within the business, we really needed to bring together the leaders across many lines of businesses, IT and HR, right. And when you think about pulling all of these different units together, we used our IBM Garage approach, which really is, there are many attributes and many facets of the IBM Garage, but I think one of the great results of using our IBM Garage approach is being able to pull from across all those different businesses, all of which may have some different objectives, right, they're coming from a different lens, from a different space, and pulling them together around one focus mission, which for here was Fabric AI. And we were able to actually design and build this in less than six months, which I think is pretty dramatic and pretty incredible from a speed and acceleration perspective. But I think even more so was the adoption, was the way in which we had, through all of it, already been working with the employees 'cause it's really touched almost every part of Bestseller India, so really being able to work with them and all the employees to make sure that they were ready for these new ways of working, that they had the right skills, that they had the right perspective, and that it was going to be adopted. >> That, we, if we unpack that, if we had time, that can be a whole separate conversation because the important, the most important thing about adoption is the cultures of these different business units have to come together. You said you rolled this out in a very short period of time, but you also were taking the focus on the employees. They need to understand the value in it. why they should be adopting it. And changing that culture, that's a whole other separate conversation, but that's an, that's a very interesting and very challenging thing to do. I wish we had more time to talk about that one. >> Yeah. It really is an, that the approach of bringing everyone together, it makes it just very dynamic, which is what's needed when you have all of those different lenses coming together, so, yeah. >> It is, 'cause you get a little bit of thought diversity as well when we're using AI. Well, Dominic, thank you for joining me today. Talked to me about what you guys are doing with many different types of customers, how you're helping them to integrate emerging technologies to really transform their business and their culture. We appreciate your time. >> Well, thank you, Lisa. Thanks >> For Dominique Dubois, I'm Lisa Martin. You're watching theCUBE's coverage of IBM Think, the digital event. (upbeat music)

>>from >>Around the globe. It's the cube with digital coverage of IBM think 2021 brought to you by IBM >>Hello and welcome back to the cubes ongoing coverage of IBM Think 2021. The virtual edition, my name is David and I'm excited to introduce our next segment. We're going to dig into the intersection of machines and humans and the changing nature of work, worker productivity and the potential of humans with me is Glenn Finch, who's the global managing partner for data and ai at IBM Glenn great to see you again. Thanks for coming on. >>Dave good to be with you. Always a lot of fun to chat. >>So I'm interested in this concept that you've been working on about amplifying worker potential. You've got humans, you've got digital workers coming together and maybe you could talk a little bit about what you're seeing at that intersection. >>You know, it's um it's interesting for most of my career, I've always thought about um amplifying human worker potential. And you know I would say over the last five years we start to think about this concept of digital workers and amplifying their potential so that human potential can extend even further. What's cool is when we get them both to work together, amplifying digital worker potential. Amplifying human worker potential to radically change how services experienced by an end consumer. I mean that's really the winner is when you start seeing the end consumer, the end user fundamentally feeling the difference in the experience. >>I mean a lot of the you see a lot of the trade press and the journalists they like to focus on the sort of the negative of automation. But when you talk to people who have implemented things they take it, for example R. P. A. They're so happy that they're not have to do these menial tasks anymore. And then it sort of the interesting discussion is, okay well what are you what are you doing with your free time? What are you doing with your weekend? So how should we be thinking about that? What you what you called? Amplifying human worker potential? What has to occur for that outcome? >>You know? Um The all my life I've spent time making money for people, right? And this uh last year I was involved in a project where it fundamentally changed. It's tied to answer that exact question. You know the servicemen and women in America who are willing to risk their lives. Um you know for our country um they file claims for medical benefits. And on average it would take 15 days to get a response Actually for about 70 or 80 of them. We've taken that down to like 15 minutes and to do that. You can't just drop in a R. P. A. You can't just drop in a. I. It's not one thing right? It's this it's this seamless interaction between digital workers and human workers right? So that a lot of the more routine mundane tasks can be done by ai and robotics. But all of the really hard complex cases that only a human being can adjudicate. That's what the folks that were doing, the more monday work can can go focus on. So I mean God that's what makes me come to work every day is if I can change the life of a serviceman or woman that was willing to risk their lives for our country. So that's that's the concept now. The critical piece of what I said, it's not about implementing Ai and robotics anymore because a lot of that started to get very wrote but picking up on okay we've liberated this block of human capability. How do we reposition it? How do we re skillet? How do we get them to focus on new things? That's just as important. The human change aspect incredibly important. >>Yeah, I mean that's interesting because you're right. I mean the downside, you mentioned our P. A. A lot of it is paving the cow path and you know the human in the loop piece has been it's been missing and that's obviously changing. But what about the what about the flip side of that equation? Where you know you ask the question okay what can humans do that machines can't do that equation continues to evolve. But maybe you could talk about where you have amplified the digital worker potential. >>Yeah. So you know um one of our clients is anthem and you know we've you know they've been on a variety of programs with us to talk about this. But you know, we just recorded, um, you know, another session with them for think where, um, the chief technology officer came and talked about how they wanted to radically change their member experience. And when you think about the last year, I mean, I don't know. Dave, I know you travel a lot because I see you in all the places that I'm in, right? But I don't remember like 15 months ago, if you had to wait on the phone for two minutes, you thought it was an eternity, right? You're like, what's the matter with me? I'm a frequent flyer. I deserve a better service on this. Then as Covid started to roll around those wait times or two hours and then 30 days into Covid. If you got a call back within two days or two weeks, it was a blessing. Right? So all of our expectations changed in an instant. Right? So I have to say, over the last 12-15 months, that's where we've been spending a lot of our time in all of those human contact human touch places to radically transition the ability to be responsive, touch people with With the same experience that we had 15 months ago to get an answer back in two minutes. You can't get enough people right now to do that. And so we're forced to make sure that the digital experience is what that needs to be. So the digital worker has to be up and on and extending the brand. Experience the same way that the human worker was back when everybody could be at a call center. That makes sense. Yeah. I >>mean, I think I like about this conversation, Glenn is it's not an either or. It's not a zero sum game, which is kind of, it's sort of used to be. I mean, we've talked about this before. Humans have machines have always replaced humans at certain tasks, but never really a cognitive task. And that's why I think there's a lot of fear out there. But what you're talking about is is the potential to amplify both human and digital capabilities. And I think people might look at that and say, well wait a minute, is it isn't a zero sum game, but it's not explain why. >>Yes, So we're never finding the zero sum game because there is um there is always something for people to do, right? And so, you know, I talked about the one an amplification of digital worker at anthem, let me let me switch to an amplification of a human worker, right? So state of Rhode Island, Um you know, we had the great honor to work with their governor and their Department of Health and Human Services, around again, around the whole covid thing. We started out just answering basic questions and helping with contact tracing. And then from there we moved into helping them with their data and ai being able to answer questions. Why are there are hotspots? Why should I shut this person of the city down? Should I shut fires down? Should I do this? And the Governor and Health and human Services Director were constantly saying on press briefings in the morning. Well, you know, we learned from our partners, IBM, that we want to consider this, right? And we we did pinpoint vaccinations and and other things like that. To me, that's that whole continuum. So, you know, we liberated some people from one spot. They went to work in another spot. All human beings guided by ai so, you know, I think this is all about, you know, for the first time in our lives being able to realize sort of the vaulted member experience or client experience that everybody has already talked about using a blend of digital workers and human workers. It's just it's all about the experience. I think >>you're laying out some really good outcomes. You mentioned some of the folks in the military, the healthcare examples. Um and I'm struck because if you think about look at the numbers, I mean the productivity gains over the last 20 years, particularly in the US. and Europe, doesn't it's not the case for China the productivity exploding, but but it's gone down. And so when you think about the big problems that we face in society, um climate change, income inequality, I mean, these are big, chewy problems that, you know, what kind of humans, you just can't throw humans at the problem that's, that's been proven. Um, and I'm curious as to if you know how you see it in terms of some of those other outcomes of the potential that is there and, and, and can you give us a glimpse as to what tech is involved underneath all this? Sure. >>So, you know, um, the first of all on outcomes, you know, that whole picture changes with the business cycle, right? I'd love to tell you that it's always these three outcomes, but you know, during downturns in business cycles, costs based outcomes are, you know, are paramount because people are thinking about survival right? In upticks, people are worried about, you know, converting new business growth, they're worried about net promoter score, they're worried about experience score. And then Over the last 12 to 18 months, you know, we've seen this whole concept of carbon footprint and sustainability All tied into the outcomes. So hey, did you realize that shifting these 22 legacy applications from here to the cloud would reduce your carbon footprint by 3%? No. Right. And so, so you know, the big hitters are always, you know, the cost metric, the sort of time to value or the whole cycle time of the process and net promoter score. Those are generally in all of the, you know, all the plays, obviously the book ends, you know, around, um, what's happening with, you know, the, the economy, what's happening with carbon, what's happening with sustainability are always in there. Now, the technology side boy, that's the cool part about working for IBM, right, is that there is a new thing that shows up on my door every two weeks from either the math and science labs or from a new ecosystem partner. Right. And that's one of the things that I will say about over the last 12 to 15 months, you've seen this massive shift from IBM to to go away from pure blue to embrace the whole ecosystem. So you know, Dave the stuff I work with every day is, you know, ai computer vision, Blockchain automation, quantum uh connected operations. Uh not just software robots, but now human robots, Digital Twin, all these things where we are digitally rendering um what used to be a very paper based legacy. Right. So boy, I couldn't be more excited to be a part of that. And then now with the opening up to all the hyper scholars, the Microsoft, the google the amazon, the, you know, uh salesforce adobe, all those folks. It's like a candy store. And quite honestly, my single greatest challenge is to kind of bring all of that together and point it at a series of three or 4 buyers at a chief marketing officer experience officer for the whole customer piece, at a chief human resource officer around the town peace and at a CFO or a chief procurement officer for finance and supply chain. I'm sorry to answer. So, you know, long winded, but it's it's awesome out there. >>It was a great answer. And I think, you know, I joke the other day, glenn that Milton Friedman must be turned over his grave because he said, you know, the only job of a company has to make profits for shareholders and increase shareholder value. But but you're but but ironically, you know, things like E. S. G. Sustainability, his climate change, he said they actually make business sense. So it's really not antithetical to Friedman economics necessarily but it's good business. And I think I think the other thing that I'm excited about is that there is some like deep tech we're seeing an explosion of of something as fundamental as processing power like we've never seen before but he talks about Moore's law being dead. Well okay with the doubling of of of of processor performance every 24 months. We're now at a quadrupling when you include GPU S. And N. P. U. S. And accelerators and all. I mean that is gonna power the next wave of machine intelligence and that really is exciting. >>Yeah I am. You know it's I feel blessed every day to come to work that you know I can you know a mass all these technologies and change how human beings experience service. I mean that's man, that whole service experience. that's what I've lived for for, you know, 2.5 decades in my career is to not just just to make and deploy stuff. That's cool, technically, but to change people's lives. I mean, that's it for me. That's you know, that's that's the way that I want to ride. So I couldn't be more excited to do that stuff. Well, glad >>Thanks so much for coming on. Is your your passion shows right through the camera and hopefully we'll face to face, you know, sometime soon, maybe, maybe later on this year. But for sure Lockwood 2022. All right. Hey, great to see you. Thank you so much. >>Dave same to you. Thanks have a great rest of the day. >>All right. Thank you. And thanks for following along with our continuing broadcast of IBM think 2021 you're watching the cube the leader in digital tech coverage right back. Mhm. Yeah.

>>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. Live coverage cube live program for re:Invent 2020. This is our Q virtual. We're not in person like we normally are. Today is the AWS public sector. Worldwide celebration day. A lot of content coming from Teresa Carlson and her team and highlighting everything. Of course, the cube channel on the re:Invent events site. Well, the content we streaming there, if you go to the description, you can click on the link and check out all the on-demand interviews. We've done hundreds of videos live before the event pre recorded as well as here live today for public sector day, I'm showing Lisa Martin co-hosts of the cube. Who's been involved in a lot of those interviews. Uh, Lisa, great to see you before we good to see you. Thanks for coming on. >>Likewise. Good to see you too, John. Glad that you're staying safe. >>Well, a lot of good action. And before we get started, I do want to put a plug out for, um, some Salesforce, big party virtual event. Uh, Salesforce is having a big party at re:Invent 2020 a virtual house party with chance the rapper performing an exclusive set with surprise celebrities and DJ in residence December 10th that's tomorrow at 5:00 PM Pacific, go to salesforce.com/big party to check out chance the rapper. Uh, I'm a big fan. Of course my kids are more fans than, uh, check out the sales report. Okay. Back to cube virtual Lisa. Great to see you. >>Likewise John. So public sector day, a lot of transformation mean re:Invent being reinvented, being virtual 500,000 registered. And so, so much has changed, but a lot also that Teresa Carlson spoke about in her keynote and this morning about the transformation across the public sector, that's really been driven by necessity with COVID. It was really impressive to hear and see all of the good things that AWS is facilitating across healthcare, government, education, state, and local. You name it. >>Yeah. The thing I love about Theresa is she's always been ever since I've known her now she's been on the cube every year, since 2013, since we've been covering re:Invent, she's always had a big, bold vision, and she's always kind of stayed on that track. And this year that was really clear out of the box on her, her leadership session. You got to think big and you got to look at the value of the data. That was the key message from her, her and her group public sector, by the way, has been highly active with the COVID pandemic. A lot of public services have been leveraging Amazon cloud to serve, uh, their, their, their people, whether it's getting them the checks for entitlements or getting them, you know, pharmacy drugs and whatnot, and helping them with the pandemic. But clearly Amazon has stepped up and helped education with, with, uh, remotes. So Theresa's team has been pretty busy. So I think that they had more time to prepare for the virtual keynote. I should've gotten chock full of more announcements. >>Yeah. And also some great examples. As you mentioned, we heard from UK biobank, some of the interviews also that have already happened on the kid that you've done showed some amazing work that AWS has helped to facilitate for school districts in Los Angeles, for example, the government of Rhode Island. And those are some of the great things cabbage, what they were able to enable Kevin's to do, to deliver small business loans of so quickly. A lot of that, I thought, I wish we're hearing more about how technology is facilitating so much. Goodness, in COVID on the news. Of course, we're hearing a lot of the challenges with online learning, but there's a lot of amazing things that AWS has been able to facilitate incredibly quickly. >>You know, one of the concerns I have with Theresa and her team years and years ago was this idea of national parks, right? You know, we have spaces where we can go visit and why isn't there a cyber version of that. And so you S you saw that progression and she'd been doing a lot of deals where they're using the cloud and donating their technology for the betterment of society. And one of the things that was, um, news today was an advancement of their open data registry, which has been kind of this open commons of, you know, health data and whatnot. And now they have all the sequencing data that's searchable, readable, uh, from the national Institute of health for DNA sequencing. So this is going to be, again, more commons, like approach is starting to see that I think this is going to be a real big trend lease. >>I think you're going to start to see the big companies have to really contribute to society in a way that we've never seen before, because they have the large scale. You can donate large compute to say research projects. So you starting to see, uh, from Teresa's team, the bubbling up of these new shared experiences around technology for the betterment of society. I think that sequencing was one, the renewable energy project. Another one, again, they're investing in women owned businesses and underrepresented minorities, and at small, medium size businesses to fund them, we saw a guy launching stuff in space that can create, you know, synthetic satellites. So you can look through clouds. This is new. I mean, this is interesting. >>It is interesting. And it actually, to your point is impactful at every level across the globe, going from when they talked about we farm creating this network of small scale of farmers, connectivity was their biggest problem. And now there's over a million. I'm sure that number it's probably even bigger. I've connected farmers due to AWS. You talked about also it's the cord 19 search, which is the expansion of their open research dataset. COVID open research data set that is only possible because of cloud computing and AWS hundreds of thousands of assets in there. Um, 200 plus open data sets for genomic research. She talked about how that's been at the of some of the things that we've seen go on so quickly with operation work speed, uh, with respect to the vaccine. So a lot of acceleration when we know public sector kind of traditionally not necessarily fast movers, but of course, as we've all said, a number of times recently necessity is the mother of invention and the speed element and the connectivity element were things that really spoke loudly to me with what Teresa said today, about the importance of extracting value from data. >>You know, when I talked to Andy Jassy and he talked about this in his keynote, the digital transformation is on full display. And the necessity being the mother of invention is a great phrase, the system and sticking because you can't hide. I mean, you have to deliver these services in the public sector, or, you know, people's lives are going to be impacted in certainly this there's death involved, right? So you have that and then you've got education. I mean, people want to see that changed quicker. There's always been conscious, Oh, education has got to be re-imagined well, guess what? There's no school open. So we got to re-imagine it now. So you get a lot of pressure, unprecedented demand. She said, Theresa said, three's a crosswind actually set onstage for education change. Um, so that's huge. Right? And then the other thing that she mentioned, I think that's going to be a big focus. >>It's not as, um, you know, headline news oriented is this whole jobs training piece. Um, that's a huge deal because the, the tsunami that hits so fast on this digital transformation, because the COVID, we're going to have a post COVID era of rapid acceleration of new skills. So people gotta get trained. So this ain't going to be the boring training programs, the guy who get kind of get better. So I think you're going to see some innovation Lisa, around how people think about delivering and constructing training programs to be much more real world thinking outside the box, you're going to start to see new things. Otherwise it's just going to be too slowly, the training right now. It's just, you know, sign up for the courseware and get a certification. Yeah, you got to do those things, but how can you get sort of cases done faster? How do you get people with the skills in their hands and virtual hands, if you will, to stand up more cloud, more AI, the pressure's there. So we can, that's going to be a huge thing to watch. >>Okay. The pressure is there. You're right. And a need is there. She talked about a lot of the demand that their customers are driving for some of the services and the education services as well that they're offering. But I'd like to point about upskilling focusing on the people, not just the people, but also the diversity inclusion. And we all know how impactful thought diversity is. So their, their dedication, their in their focus there, and also her recommendation to be bold. And I think in the education, respect was really critical. There is no time like now to move digital transformation. If education systems aren't there, then you know, it's a huge challenge and it impacts every person, every element of every family. So what they're able to do there, by focusing on the people and enabling folks to get trained faster, more resources online can only be a good, you know, Theresa >>Has always, um, has her own flare to style to her. She's incredible business woman and have such respect for her. She's been so successful. Um, but she always sends her presentations with the, kind of the, the kind of her to dues. Um, and you kind of pointed that out. So just review them with you. And I want to get your reaction. Number one, she said, you got to re-imagine and enable a digital, a digitally enabled business. Number two, identify data has an realized value and then increase your diversity. And she pointed to avis.training. Um, and that's kind of her kind of get out there and do those things so digitally enabled business, get that unrealized day to get it into work and increase your diversity. And then she had had a big party every year just said, instead of a party go out and do a random act of kindness act. So, yeah, typical, three's a flare, you know, she kind of ended it with a random act of kindness, but, but her bold vision, those are practical, uh, mandates. What's your reaction to, to that? >>I bold vision. I absolutely 100% I think right now is the time that no business can afford to be hiding under the covers. We have to be, they have to be very thoughtful and very prescriptive, but be bold. There's so much opportunity right now. We're seeing a ton of invention and innovation, John, that we've seen over the last nine months. There's a lot of COVID catalysts that we've been talking about on the cube that are really fantastic. So I think that recommendation to set a bold vision is absolutely imperative, not easy to achieve, but I think right now more than ever, it could really be what sets apart, the winners and losers of tomorrow. >>Yeah. I love it. I just say that on this final note, um, cloud and AI is really in play cloud-scale machine learning, which essentially feeds AI is all about data compute going down to the chip level, AI and software and data is critical for cloud. So really awesome keynote again, leadership session by Teresa Carlson, and there's a whole site of content available. Checkout the cube page, click down on the main page. You'll see that description. You'll see a link to the re:Invent page and check on public sector. A lot of great content. Lisa final question for us to kind of close out this keynote leadership session analysis here on all sector day. I want to get your take on, um, the interviews you've done with the Amazon folks and partners and customers. What are the themes that have been boiling out of those? What have you have been hearing? What's your take and observation of the common pattern? >>You know, given the fact that we haven't all been able to be together at my last cube event in person was reinvent 2019. And we're so used to having, you know, three, four days of wall-to-wall coverage, two sides, being able to have those close personal conversations with our guests this year really did a phenomenal job of recreating that same experience, digitally there's tremendous amount of innovation happening. I think that was the one thing that really jumped out at me, the speed with which it's happening, how so many different types businesses have pivoted, not once, but again and again, and again, as times are changing and how even I yesterday I interviewed Boone, supersonic CEO, some of the things that they're facilitating to get commercial supersonic flight back that fully cloud and AI machine learning can do that. There was no stoppage of innovation this year. In fact, that actually got faster. And I think that was a resounding theme and a lot of positivity from the guests. >>You know, the cue, his business was to go to events and extract the signal from the noise. Guess what? There's no physical events. We have the cube virtual. We have pivoted. We are now in our eighth, ninth month of cube virtual. It's been a new model. We've gotten more interviews, more people can just click into the cube virtual. We have more virtual sets, the Cuban virtualized Lisa. Although I miss them in real life as a whole new ballgame for us, >>It is a whole new ball game. And it also provides a lot of opportunities for businesses to get their messaging out and connect and engage with their audience, which is important. >>Well, I miss real life. I miss everybody out there. I wish we could be there in person. Uh, the world will stay hybrid. I think with virtual, I think this has been a great format. There's been some great benefits, but we want to be in person. I want you on the desk with us. So, and all the folks out there I wish we could see. And then we'll see you next year. Thanks everyone for watching the key. This is our keynote analysis and leadership analysis of the worldwide public sector. Teresa Carlson, Kenya. I'm John from Lisa Martin. Thanks for watching.