Live from Las Vegas. It's the Cube covering AWS Reinvent 2017 presented by AWS, Intel, and our ecosystem of partners. >> Hello, welcome back. This is live coverage of the Cube's AWS re:Invent 2017. Two sets, a lot of action, day one of three days of wall to wall coverage. I'm John Furrier with my co-host Keith Townsend. Our next guest cube alumni is Yaron Haviv who's the founder and CTO of Iguazio, a hot new start up. And big news coming next. We got a big announcement. In following their work, Yaron, good to see you again. Thanks for coming back on. >> Hi, thanks! >> Hey you got a new shirt. Share that logo there. >> That's nuclio. That's our new serverless brainwork which is open source. Really kicks ass, it's about 100 times faster than Amazon. >> Word says it's 200 times faster. >> Yeah we don't want to shame. >> You set the bar. >> We doing 400,000 events per second on a single process. They do about 2000. Most of the open source project around the same ball park. >> Yaron, I got to get this off the bat. And then we can have a nice discussion afterwards. A pleasant discussion. Serverless. Let's first define what that means. Because there's a bunch of- I can take nuclio, install it in my data center, run it, am I serverless? >> You know so I mean I'm in the serverless working group. >> For CNCF >> for CNCF. And a we had a hot debate between the open source start ups. Doing what is called functional service and Amazon and others trying to push the notion of serverless. Which is serverless stands for server less. Meaning you don't manage server. And the way we position nucleo, it's actually both. Because on one end you can consume it as an open source project. Very easy to download. Single docker instruction and it's up and running unlike some other solutions. And on the other hand you can consume it as something within the Iguazio data platform. There is a slide from Amazon which I really like. Which is about serverless. They show serverless is attached to kinesis, DynaomoDB, S3 and Athena. Four services of data that attach to Lamda. Iguazio has API compatibility with kineses, DynamoDB with S3 and Presto, which is Athena as well. So exactly the same four data services that they position as far as the service ecosystem are supported on our platform. So we provide one platform, all the data services at Amazon has or at least interesting ones, serverless functions which are a hundred times faster, a few more tricks that they don't have-- >> So what is the definition then. In a pithy way, for someone out there who's learning about serverless. What is it? What's the definition? >> So the notion as a developer, you're sort of avoiding IT. You go, open a nice portal, you write the function, or you write your function in a get up repository somewhere. You click on a button and it gets deployed somewhere. Right now you know where it's going to get deployed. In the future, you may not know. >> Instead of an EC2 instance, get that prepared >> It's not really an EC2. >> The old way. The old way was. Right? >> The old way there were infrastructure guys building your EC2 instance, security layers, milware, etc. You go develop on your laptop and then you need to go and conform and all the continuous integration play was very complicated. Serverless comes inherently with scale out without the scale in, with continuous integration. You have versioning for the code. You can downgrade the version, you can upgrade the version. So essentially its a package version of a cloud native solution. That's the general idea. >> So I can do that if I'm doing it and managing it myself. It functions as a server. And if I'm doing it and it's a provided it as a cloud provider as a server, as a service, it's serverless. None of my operations team is dealing with servers. It's just writing code and just go. >> Yeah, you're writing a function. Push commit. You should play with nucleo, not just other things. But you'll see you're writing a function. Even see it has a built in editor. You write, you push deploy and it's already deployed somewhere. >> So give us some perspective before you move on. On the game what the impact is to a developer. Apples to oranges. Our old way you described it, new ways, it sounds easier! What's the impact? Is it time? Money? Can you quantify? >> The biggest challenge for businesses is to transform. I saw an interesting sentence. It's not about digital transformation, it's about businesses that need to work in a digital world. Okay? Because again, most of the communication of customers to businesses is becoming digital. Okay? Whether it's today from mobile apps tomorrow through Alexa. >> As Luke Cerney says, it's all software. Your business is the software. >> It's all about interactive really. Okay. As a business I always position there are two things you need to take care of as a business. One is increasing the revenue. And that's by engaging more customers. And increasing the revenue per customer. How do you engage more customer? Through digital services. Whether it's Twitters or proving a new service through your web portal. And the next thing is how do you generate more revenue from a customer is by showing recommendations. >> Finding more value. >> And the other aspect is operational efficiency. How do you automate your reparations to reduce the cost. You know Amazon uses robots to do the shipping and packing. So their margins can now be lower. So the generator is both those things. Reducing cost is becoming more and more dependent on automation which is digital. And increasing revenue become more about customer engagement which is digital. Okay so now you're a traditional enterprise. And you have your exchange to worry about. And all the legal stuff and the mainframes. But if you're not going to work on the transformation piece. You're going to die. Because some other start up is going to build insurance company which is sort of agile and all that. >> So you made an interesting comment earlier when you were talking about nucleo. And integrating the functions that really matter. The services that matter. Amazon releases 800 new services a year. >> Actually 1300. >> I'm sorry 1300. >> This time less, no? >> Right now they're at 1130 and they expect 1500, 1700 by the end of the year. Two years ago it was like 750 and then the year before that was 600. >> So is that an indicator as to Amazon's leading this race between the big, I don't know, three, four cloud providers. Rack and stack them for us. How do we assess the capability? >> It's a matter of mentality. Okay. Persos thinks like a supermarket. Just like an Amazon market. I could say I need a cover for my iPad. I'm gonna get 100 covers for my iPad. No one really, I need to now choose. So their strategy is we'll put dozens of services that do similar things. One is better at this, one is better at that. We control the market we'll sell more. We have a different approach. We do fewer services but each one sort of kicks ass. Each one is much better, much faster, much better engineered. Okay? This is also why we are on data plus provides 10 different data APIs and not 10 different individual data platforms. >> Alright so let's talk about the scoreboard. Even though they might be thinking about the supermarket. You've got Amazon, Azure Microsoft and Google. I've looked at some of the data. I mean, Microsoft's been international for a while from their MSN business. They now have Skype. They have data centers, they know a little bit about cloud. Amazon's got a lot more services. They support multiple versions of things. Google is kind of non-existent on the scale of comprehensiveness. >> Have you looked at their serverless functions? By the way? >> There's new stuff. Tensorflow, serverless. >> But serverless they only support an OJS. They have very few triggers and it's still defined as beta. >> That's the point, so people are touting my Forbes article. They're touting like a feature. There's a lot more that needs to get done. So the question I have for you is. There's a level of comprehensiveness that you need now. And I know you guys spend a lot of time building your solution. We've talked abut this at our last Cube interview. So the question is the whole MVP cousin, minimal viable product. Is great when you're building a consumer app for an iPhone. But when you start talking about a platform and now cloud. Question to you is there a level of completeness bar to be hurdled over for a legit cloud or cloud player? >> I don't think you need 1000 services to build a good cloud. But you do need a bunch of services. Okay? Now the way we see the world like Satya. Okay? Which is there is a core cloud. But there is sort of a belt around it which is what we call intelligence cloud. We would define ourselves as the intelligence cloud. So if someone is building a machine learning model and it needs a 5 year worth of data. And it just needs to do crawling on top of it. It's not really an interesting problem. It's commoditized, lots of CPO power, object storage. But the bigger challenge is doing game referencing close to the edge. This is what needs to happen in real time. You need fewer services but you need to be real time. >> Smarter integration to do that. Right? I mean. >> You have density problems. You don't have a lot of room to put a 100 servers. It needs to be a lot more integrated. You know look at Azure stack. Their slogan is consistency. Look at a slide that shows which Azure services are part of Azure stack. Less than 20%. Because it's a lot more complicated to take technology design whereas hyper scale and put them on few servers. >> How do customers figure it out? What does a customer do? It's all mind boggling. >> I love that concept of core services and then value around those core services. What are those core services that a cloud must have before I start to invest in that cloud providers strategy? >> So the point again, there's a lot of legacy that you need to grab with you. Especially someone like Amazon. So they have to have VMs and migration services from Oracle, etc. But let's assume I'm a start up and building a new client native applications. Do I need any of that? No. I can probably can do with containers. I don't really need to be VMs. I can use something like cybernetics, I can use sequel databases maybe some like sequel. So I can redesign my application differently with a lot fewer services. The problem for someone like Amazon in order to grow and be a supermarket, you have to have ten of everything. If I'm someone that focus on new applications I don't need so many services and so much legacy. >> Well I'll say one thing. You can call them a supermarket, use that retail analogy, I buy that analogy only to the extent that you used it. But if that's the case, then everyone's hungry for food. And they're the only supermarket in town. >> But Wholefoods maybe less stuff on the shelf. >> Everyone else is like a little hot dog stand compared to the supermarket. Amazon is crushing it. Your thoughts? I say that. Are they kicking ass? >> Obviously Amazon is kicking ass. But I think Azure is ramping up faster. Amazon is generating more alienation among people that they are starting to compete with. You know. >> Azure is copying Amazon. Right? >> Yeah. But they have a different angle. They know how to sell to enterprises. They already have the foot in the door for Office 365. I've talked to a customer. We're going Azure. I say why? >> Together: They've got 365. >> We already certify the security with 365 for us to use Azure it's a- >> Right up until that next breech. >> So the guys owning ITs, it's easier for them to go to Azure. The developers want Amazon. Because Amazon is sexier. >> We got to break. We debated this on the intro segment with he analyst. Question. IT buyers have been driven by a top down CIO driven, CXO driven waterfall, whatever you want to call it, old way. With developers now at the driver's seat, with all of this serverless function, serverless coming around the corner very fast. Are developers driving the buying decisions or not? Or is it IT? The budget's still there. They want to eliminate labor. They want more efficiencies. Are you seeing it again? Will it happen? >> Yeah because we are just in the middle. On one end we're an infrastructure. We're an infrastructure consumed by developers. So we keep on having those challenges within the accounts themselves. IT doesn't get what we're doing. Serverless, and database is serverless. Because they like to build stuff. They want to take the nutanix and take a hundred services on top of it. And it will take them two years to integrate it. By that time the business already moved somewhere else. >> So IT could be a dinosaur like the mainframe? >> Right. I think the smart ITs understand they need to adopt cloud instead of fight it. And more the line further up the step. And that sort of the thing we are trying to provide to them. When you are building stuff you are buying EMC storage. You are not just taking discs. So why do you focus on this low level block storage when you're buying infrastructure. Why no buy database as a service. And then you don't need all the hassle. Streaming is a service. Serverless is a service. And then you don't need all that stack. >> Yaron, you should be our guest analyst. But you're too busy building a company. We're going see you next week in Austin for Cubicon. Congratulations. I know you guys have worked hard. The founder and CTO of Iguazio. You're going to hear a lot about these guys. Smart team. They're either going to go big or go home. I think they're going to go big. Congratulations. More coverage here at AWS Re:Invent after this short break. I'm John Furrier with Keith Townsend.