>> We're back at the Big Apple, theCUBE's coverage of MongoDB World 2022. Sahir Azam is here, he's the Chief Product Officer of MongoDB, and Guillermo Rauch who's the CEO of Vercel. Hot off the keynotes from this morning guys, good job. >> Thank you. >> Thank you. >> Thank you for joining us here. Thanks for having us. Guillermo when it comes to modern web development, you know the back-end, the cloud guys got to it kind of sewn up, >> you know- >> Guillermo: Forget about it. >> But all the action's in the front end, and that's where you are. Explain Vercel. >> Yeah so Vercel is the company that pioneers front-end development as serverless infrastructure. So we built Next.js which is the most popular React framework in the world. This is what front-end engineers choose to build innovative UI's, beautiful websites. Companies like Dior and GitHub and TikTok and Twitch, which we mentioned in the keynote, are powering their entire dot-coms or all of their new parts of their dot-coms with Next.js. And Vercel is the serverless platform where you can deploy frameworks like in Next.js and others like Svelte and Vue to create really fast experiences on the web. >> So I hear, so serverless, I hear that's the hot trend. You guys made some announcements today. I mean when you look at the, we have spending data with our friends at ETR right down the street. I mean it's just off the charts, whether it's Amazon, Google, Azure Functions, I mean it's just exploding. >> Sahir: Yeah, it's I think in many ways, it's a natural trend. You know, we talk a lot about, whether it be today's keynote or another industry talks you see around our industry that developers are constantly looking for ways to focus on innovation and the business logic that defines their application and as opposed to managing the plumbing, and management of infrastructure. And we've seen this happen over and over again across every layer of the stack. And so for us, you know MongoDB, we have a bit of, you know sort of a lens of a broad spectrum of the market. We certainly have you know, large enterprises that are modernizing existing kind of core systems, then we have developers all over the world who are building the next big best thing. And that's what led us to partner with Vercel is just the bleeding edge of developers building in a new way, in a much more efficient way. And we wanted to make sure we provide a data platform that fits naturally in the way they want to work. >> So explain to our audience the trade-offs of serverless, and I want to get into sort of how you've resolved that. And then I want to hear from Guillermo, what that means for developers. >> Sahir: Yeah in our case, we don't view it as an either or, there are certain workloads and definitely certain companies that will gravitate towards a more traditional database infrastructure where they're choosing the configuration of their cluster. They want full control over it. And that provides, you know, certain benefits around cost predictability or isolation or perceived benefits at least of those things. And customers will gravitate towards that. Now on the flip side, if you're building a new application or you want the ability to scale seamlessly and not have to worry about any of the plumbing, serverless is clearly the easier model. So over the long term, we certainly expect to see as a mix of things, more and more serverless workloads being built on our platform and just generally in the industry, which is why we leaned in so heavily on investing in Atlas serverless. But the flexibility to not be forced into a particular model, but to get the same database experience across your application and even switch between them is an important characteristic for us as we build going forward. >> And you stressed the cost efficiency, and not having to worry about, you know, starting cold. You've architected around that, and what does that mean for a developer? >> Guillermo: For a developer it means that you kind of get the best of both worlds, right? Like you get the best possible performance. Front-end developers are extremely sensitive to this. That's why us pioneering this concept, serverless front-end, has put us in a very privileged position because we have to deliver that really quick time to first buy, that really quick paint. So any of the old trade-offs of serverless are not accepted by the market. You have to be extremely fast. You have to be instant to deliver that front-end content. So what we talked about today for example, with the Vercel Edge network, we're removing all of the cost of that like first hit. That cold start doesn't really exist. And now we're seeing it all across the board, going into the back-end where Mongo has also gotten rid of it. >> Dave: How do you guys collaborate? What's the focus of integration specifically from, you know, an engineering resource standpoint? >> Yeah the main idea is, idea to global app in seconds, right? You have your idea. We give you the framework. We don't give you infrastructure primitives. We give you all the necessary tools to start your application. In practice this means you host it in a Git repo. You import it onto Vercel. You install the Mongo integration. Now your front-end and your data back-end are connected. And then your application just goes global in seconds. >> So, okay. So you've abstracted away the complexity of those primitives, is that correct? >> Guillermo: Absolutely. >> Do do developers ever say, "That's awesome but I'd like to get to them every now and then." Or do you not allow that? >> Definitely. We expose all the underlying APIs, and the key thing we hear is that, especially with the push for usage-based billing models, observability is of the essence. So at any time you have to be able to query, in real time, every data point that the platform is observing. We give you performance analytics in real time to see how your front-end is performing. We give you statistics about how often you're querying your back-end and so on, and your cache hit ratios. So what I talked about today in the keynote is, it's not just about throwing more compute at the problem, but the ability to use the edge to your advantage to memoize computation and reuse it across different visits. >> When we think of mission critical historically, you know, you think about going to the ATM, right? I mean a financial transaction. But Mongo is positioning for mission critical applications across a variety of industries. Do we need to rethink what mission critical means? >> I think it's all in the eye of the beholder so to speak. If you're a new business starting up, your software and your application is your entire business. So if you have a cold start latency or God forbid something actually goes down, you don't have a business. So it's just as mission critical to that founder of a new business and new technology as it is, you know, an established enterprise that's running sort of a more, you know, day-to-day application that we may all interact with. So we treat all of those scenarios with equal fervor and importance right? And many times, it's a lot of those new experiences that the become the day-to-day experiences for us globally, and are super important. And we power all of those, whether it be an established enterprise all the way to the next big startup. >> I often talk about COVID as the forced march to digital. >> Sahir: Mm-Hmm. >> Which was obviously a little bit rushed, but if you weren't in digital business, you were out of business. And so now you're seeing people step back and say, "All right, let's be more thoughtful about our digital transformation. We've got some time, we've obviously learned some things made some mistakes." It's all about the customer experience though. And that becomes mission critical right? What are you seeing Guillermo, in terms of the patterns in digital transformation now that we're sort of exiting the isolation economy? >> One thing that comes to mind is, we're seeing that it's not always predictable how fast you're going to grow in this digital economy. So we have customers in the ecommerce space, they do a drop and they're piggybacking on serverless to give them that ability to instantly scale. And they couldn't even prepare for some of these events. We see that a lot with the Web3 space and NFT drops, where they're building in such a way that they're not sensitive to this massive fluctuations in traffic. They're taking it for granted. We've put in so much work together behind the scenes to support it. But the digital native creator just, "Oh things are scaling from one second to the next like I'm hitting like 20,000 requests per second, no problem Vercel is handling it." But the amount of infrastructural work that's gone behind the scenes in support has been incredible. >> We see that in gaming all the time, you know it's really hard for a gaming company to necessarily predict where in the globe a game's going to be particularly hot. Games get super popular super fast if they're successful, it's really hard to predict. It's another vertical that's got a similar dynamic. >> So gaming, crypto, so you're saying that you're able to assist your customers in architecting so that the website doesn't crash. >> Guillermo: Absolutely. >> But at the same time, if the the business dynamic changes, they can dial down. >> Yeah. >> Right and in many ways, slow is the new down, right? And if somebody has a slow experience they're going to leave your site just as much as if it's- >> I'm out of here- >> You were down. So you know, it's really maintaining that really fast performance, that amazing customer experience. Because this is all measured, it's scientific. Like anytime there's friction in the process, you're going to lose customers. >> So obviously people are excited about your keynote, but what have they been saying? Any specific comments you can share, or questions that you got that were really interesting or? >> I'm already getting links to the apps that people are deploying. So the whole idea- >> Come on! >> All over the world. Yeah so it's already working I'm excited. >> So they were show they were showing off, "Look what I did" Really? >> Yeah on Twitter. >> That's amazing. >> I think from my standpoint, I got a question earlier, we were with a bunch of financial analysts and investors, and they said they've been talking to a lot of the customers in the halls. And just to see, you know, from the last time we were all in person, the number of our customers that are using multiple capabilities across this idea of a developer data platform, you know, certainly MongoDB's been a popular core database open source for a long time. But the new capabilities around search, analytics, mobile being adopted much more broadly to power these experiences is the most exciting thing from our side. >> So from 2019 to now, you're saying substantial uptick in adoption for these features? >> Yeah. And many of them are new. >> Time series as well, that's pretty new, so yeah. >> Yeah and you know, our philosophy of development at MongoDB is to get capabilities in the hands of customers early. Get that feedback to enrich and drive that product-market fit. And over the last three years especially, we've been transitioning from a single product kind of core, you know, non relational modern database to a data platform, a developer data platform that adds more and more capabilities to power these modern applications. And a lot of those were released during the pandemic. Certainly we talked about them in our virtual conferences and all the zoom meetings we had over the years. But to actually go talk to all these customers, this is the largest conference we've ever put on, and to get a sense of, wow all the amazing things they're doing with them, it's definitely a different feeling when we're all together. >> So that's interesting, when you have such a hot product, product-led growth which is what Mongo has been in, and you add these new features. They're coming from the developers who are saying, "Hey, we need this." >> Yip. >> Okay so you have a pretty high degree of confidence, but how do you know when you have product-market fit? I mean, is it adoption, usage, renewals? What's your metric? >> Yeah I think it's a mix of quantitative measures that you know, around conversion rates, the size of your funnel, the retention rate, NPS which obviously can be measured, but also just qualitative. You know when you're talking to a developer or a technology executive around what their needs are, and then you see how they actually apply it to solve a problem, it's that balance between the qualitative and the quantitative measurement of things. And you can just sort of, frankly you can feel it. You can see it in the numbers sure, but you can kind of feel that excitement, you can see that adoption and what it empowers people to do. And so to me, as a product leader, it's always a blend of those things. If you get too obsessed with purely the metrics, you can always over optimize something for the wrong reason. So you have to bring in that qualitative feedback to balance yourself out. >> Right. >> Guillermo, what's next? What do you not have that you want from Sahir and Mongo? >> So the natural next step for serverless computing is, is the Edge. So we have to auto-scale, we have to tolerate fares. We have to be avail. We have to be easy, but we have to be global. And right now we've been doing this by using a lot of techniques like caching and replication and things like this. But the future's about personalizing even more to each visitor depending on where they are. So if I'm in New York, I want to get the latest offers for New York on demand, just for me, and using AI to continue to personalize that experience. So giving the developer these tools in a way where it feels natural to build an application like this. It doesn't feel like, "Oh I'm going to do this year 10 if I make it, I'm going to do it since the very beginning." >> Dave: Okay interesting. So that says to me that I'm not going to make a round trip to the cloud necessarily for that experience. So I'm going to have some kind, Apple today, at the Worldwide Developer Conference announced the M2, right. I've been looking at the M1 Ultra, and I'm going wow look at that! And so- >> Sahir: You were talking about that new one backstage. >> I mean it's this amazing pace of Silicon development and they're focusing on the NPU and you look at what Tesla's doing. I mean it's just incredible. So you're going to have some new hardware architecture that emerges. Most of the AI that's done today is modeling in the cloud. You're going to have a real time inferencing at the Edge. So that's not going to do the round trip. There's going to be a data store there, I think it has to be. You're going to persist some of the data, maybe not all of it. So it's a whole new architecture- >> Sahir: Absolutely. >> That's developing. That sounds very disruptive. >> Sahir: Yeah. >> How do you think about that, and how does Mongo play there? Guillermo first. >> What I spent a lot of time thinking about is obviously the developer experience, giving the programmer a programming model that is natural, intuitive, and produces its great results. So if they have to think about data that's local because of regulatory reasons for example, how can we let the framework guide them to success? I'm just writing an application I deployed to the cloud and then everything else is figured out. >> Yeah or speed of light is another challenge. (Sahir and Guillermo laugh) >> How can we overcome the speed of light is our next task for sure. >> Well you're working on that aren't you? You've got the best engineers on that one. (Sahir and Guillermo laugh) >> We can solve a lot of problems, I'm not sure of that one. >> So Mongo plays in that scenario or? >> Yeah so I think, absolutely you know, we've been focused heavily on becoming the globally distributed cloud data layer. The back-end data layer that allows you to persist data to align with performance and move data where it needs to be globally or deal with data sovereignty, data nationalism that's starting to rise, but absolutely there is more data being pushed out to the Edge, to your point around processing or inference happening at the Edge. And there's going to be a globally distributed front-end layer as well, whether data and processing takes apart. And so we're focused on one, making sure the data connectivity and the layer is all connected into one unified architecture. We do that in combination with technologies that we have that do with mobility or edge distribution and synchronization of data with realm. And we do it with partnerships. We have edge partnerships with AWS and Verizon. We have partnerships with a lot of CVM players who are building out that Edge platform and making sure that MongoDB is either connected to it or just driving that synchronization back and forth. >> I call that unified experience super cloud, Robbie Belson from Verizon the cloud continuum, but that consistent experience for developers whether you're on Prim, whether you're in you know, Azure, Google, AWS, and ultimately the Edge. That's the big- >> That's where it's going. >> White space right now I'm hearing, Guillermo, right? >> I think it'll define the next generation of how software is built. And we're seeing this almost like a coalition course between some of the ideas that the Web3 developers are excited about, which is like decentralization almost to the extreme. But the Web2 also needs more decentralization, because we're seeing it with like, the data needs to be local to me, I need more privacy. I was looking at the latest encryption features in Mongo, like I think both Web2 need to incorporate more of the ideas of Web3 and vice versa to create the best possible consumer experience. Privacy matters more than ever before. Latency for conversion matters more than ever before. And regulations are changing. >> Sahir: Yeah. >> And you talked about Web3 earlier, talked about new protocols, a new distributed you know, decentralized system emerging, new hardware architectures. I really believe we really think that new economics are going to bleed back into the data center, and yeah every 15 years or so this industry gets disrupted. >> Sahir: Yeah. >> Guillermo: Absolutely. >> You know you ain't see nothing yet guys. >> We all talked about hardware becoming commoditized 10, 15 years ago- >> Yeah of course. >> We get the virtualization, and it's like nope not at all. It's actually a lot of invention happening. >> The lower the price the more the consumption. So guys thanks so much. Great conversation. >> Thank you. >> Really appreciate your time. >> Really appreciate it I enjoyed the conversation. >> All right and thanks for watching. Keep it right there. We'll be back with our next segment right after this short break. Dave Vellante for theCUBE's coverage of MongoDB World 2022. >> Man Offscreen: Clear. (clapping) >> All right wow. Don't get up. >> Sahir: Okay. >> Is that a Moonwatch? >> Sahir: It is a Speedmaster but it's that the-

>> Man Offscreen: Standby. Dave is coming you in 5, 4, 3, 2. >> We're back at the Big Apple, theCUBE's coverage of MongoDB World 2022. Sahir Azam is here, he's the Chief Product Officer of MongoDB, and Guillermo Rauch who's the CEO of Vercel. Hot off the keynotes from this morning guys, good job. >> Thank you. >> Thank you. >> Thank you for joining us here. Thanks for having us. Guillermo when it comes to modern web development, you know the back-end, the cloud guys got to it kind of sewn up, >> you know- >> Guillermo: Forget about it. >> But all the action's in the front end, and that's where you are. Explain Vercel. >> Yeah so Vercel is the company that pioneers front-end development as serverless infrastructure. So we built Next.js which is the most popular React framework in the world. This is what front-end engineers choose to build innovative UI's, beautiful websites. Companies like Dior and GitHub and TikTok and Twitch, which we mentioned in the keynote, are powering their entire dot-coms or all of their new parts of their dot-coms with Next.js. And Vercel is the serverless platform where you can deploy frameworks like in Next.js and others like Svelte and Vue to create really fast experiences on the web. >> So I hear, so serverless, I hear that's the hot trend. You guys made some announcements today. I mean when you look at the, we have spending data with our friends at ETR right down the street. I mean it's just off the charts, whether it's Amazon, Google, Azure Functions, I mean it's just exploding. >> Sahir: Yeah, it's I think in many ways, it's a natural trend. You know, we talk a lot about, whether it be today's keynote or another industry talks you see around our industry that developers are constantly looking for ways to focus on innovation and the business logic that defines their application and as opposed to managing the plumbing, and management of infrastructure. And we've seen this happen over and over again across every layer of the stack. And so for us, you know MongoDB, we have a bit of, you know sort of a lens of a broad spectrum of the market. We certainly have you know, large enterprises that are modernizing existing kind of core systems, then we have developers all over the world who are building the next big best thing. And that's what led us to partner with Vercel is just the bleeding edge of developers building in a new way, in a much more efficient way. And we wanted to make sure we provide a data platform that fits naturally in the way they want to work. >> So explain to our audience the trade-offs of serverless, and I want to get into sort of how you've resolved that. And then I want to hear from Guillermo, what that means for developers. >> Sahir: Yeah in our case, we don't view it as an either or, there are certain workloads and definitely certain companies that will gravitate towards a more traditional database infrastructure where they're choosing the configuration of their cluster. They want full control over it. And that provides, you know, certain benefits around cost predictability or isolation or perceived benefits at least of those things. And customers will gravitate towards that. Now on the flip side, if you're building a new application or you want the ability to scale seamlessly and not have to worry about any of the plumbing, serverless is clearly the easier model. So over the long term, we certainly expect to see as a mix of things, more and more serverless workloads being built on our platform and just generally in the industry, which is why we leaned in so heavily on investing in Atlas serverless. But the flexibility to not be forced into a particular model, but to get the same database experience across your application and even switch between them is an important characteristic for us as we build going forward. >> And you stressed the cost efficiency, and not having to worry about, you know, starting cold. You've architected around that, and what does that mean for a developer? >> Guillermo: For a developer it means that you kind of get the best of both worlds, right? Like you get the best possible performance. Front-end developers are extremely sensitive to this. That's why us pioneering this concept, serverless front-end, has put us in a very privileged position because we have to deliver that really quick time to first buy, that really quick paint. So any of the old trade-offs of serverless are not accepted by the market. You have to be extremely fast. You have to be instant to deliver that front-end content. So what we talked about today for example, with the Vercel Edge network, we're removing all of the cost of that like first hit. That cold start doesn't really exist. And now we're seeing it all across the board, going into the back-end where Mongo has also gotten rid of it. >> Dave: How do you guys collaborate? What's the focus of integration specifically from, you know, an engineering resource standpoint? >> Yeah the main idea is, idea to global app in seconds, right? You have your idea. We give you the framework. We don't give you infrastructure primitives. We give you all the necessary tools to start your application. In practice this means you host it in a Git repo. You import it onto Vercel. You install the Mongo integration. Now your front-end and your data back-end are connected. And then your application just goes global in seconds. >> So, okay. So you've abstracted away the complexity of those primitives, is that correct? >> Guillermo: Absolutely. >> Do do developers ever say, "That's awesome but I'd like to get to them every now and then." Or do you not allow that? >> Definitely. We expose all the underlying APIs, and the key thing we hear is that, especially with the push for usage-based billing models, observability is of the essence. So at any time you have to be able to query, in real time, every data point that the platform is observing. We give you performance analytics in real time to see how your front-end is performing. We give you statistics about how often you're querying your back-end and so on, and your cache hit ratios. So what I talked about today in the keynote is, it's not just about throwing more compute at the problem, but the ability to use the edge to your advantage to memoize computation and reuse it across different visits. >> When we think of mission critical historically, you know, you think about going to the ATM, right? I mean a financial transaction. But Mongo is positioning for mission critical applications across a variety of industries. Do we need to rethink what mission critical means? >> I think it's all in the eye of the beholder so to speak. If you're a new business starting up, your software and your application is your entire business. So if you have a cold start latency or God forbid something actually goes down, you don't have a business. So it's just as mission critical to that founder of a new business and new technology as it is, you know, an established enterprise that's running sort of a more, you know, day-to-day application that we may all interact with. So we treat all of those scenarios with equal fervor and importance right? And many times, it's a lot of those new experiences that the become the day-to-day experiences for us globally, and are super important. And we power all of those, whether it be an established enterprise all the way to the next big startup. >> I often talk about COVID as the forced march to digital. >> Sahir: Mm-Hmm. >> Which was obviously a little bit rushed, but if you weren't in digital business, you were out of business. And so now you're seeing people step back and say, "All right, let's be more thoughtful about our digital transformation. We've got some time, we've obviously learned some things made some mistakes." It's all about the customer experience though. And that becomes mission critical right? What are you seeing Guillermo, in terms of the patterns in digital transformation now that we're sort of exiting the isolation economy? >> One thing that comes to mind is, we're seeing that it's not always predictable how fast you're going to grow in this digital economy. So we have customers in the ecommerce space, they do a drop and they're piggybacking on serverless to give them that ability to instantly scale. And they couldn't even prepare for some of these events. We see that a lot with the Web3 space and NFT drops, where they're building in such a way that they're not sensitive to this massive fluctuations in traffic. They're taking it for granted. We've put in so much work together behind the scenes to support it. But the digital native creator just, "Oh things are scaling from one second to the next like I'm hitting like 20,000 requests per second, no problem Vercel is handling it." But the amount of infrastructural work that's gone behind the scenes in support has been incredible. >> We see that in gaming all the time, you know it's really hard for a gaming company to necessarily predict where in the globe a game's going to be particularly hot. Games get super popular super fast if they're successful, it's really hard to predict. It's another vertical that's got a similar dynamic. >> So gaming, crypto, so you're saying that you're able to assist your customers in architecting so that the website doesn't crash. >> Guillermo: Absolutely. >> But at the same time, if the the business dynamic changes, they can dial down. >> Yeah. >> Right and in many ways, slow is the new down, right? And if somebody has a slow experience they're going to leave your site just as much as if it's- >> I'm out of here- >> You were down. So you know, it's really maintaining that really fast performance, that amazing customer experience. Because this is all measured, it's scientific. Like anytime there's friction in the process, you're going to lose customers. >> So obviously people are excited about your keynote, but what have they been saying? Any specific comments you can share, or questions that you got that were really interesting or? >> I'm already getting links to the apps that people are deploying. So the whole idea- >> Come on! >> All over the world. Yeah so it's already working I'm excited. >> So they were show they were showing off, "Look what I did" Really? >> Yeah on Twitter. >> That's amazing. >> I think from my standpoint, I got a question earlier, we were with a bunch of financial analysts and investors, and they said they've been talking to a lot of the customers in the halls. And just to see, you know, from the last time we were all in person, the number of our customers that are using multiple capabilities across this idea of a developer data platform, you know, certainly MongoDB's been a popular core database open source for a long time. But the new capabilities around search, analytics, mobile being adopted much more broadly to power these experiences is the most exciting thing from our side. >> So from 2019 to now, you're saying substantial uptick in adoption for these features? >> Yeah. And many of them are new. >> Time series as well, that's pretty new, so yeah. >> Yeah and you know, our philosophy of development at MongoDB is to get capabilities in the hands of customers early. Get that feedback to enrich and drive that product-market fit. And over the last three years especially, we've been transitioning from a single product kind of core, you know, non relational modern database to a data platform, a developer data platform that adds more and more capabilities to power these modern applications. And a lot of those were released during the pandemic. Certainly we talked about them in our virtual conferences and all the zoom meetings we had over the years. But to actually go talk to all these customers, this is the largest conference we've ever put on, and to get a sense of, wow all the amazing things they're doing with them, it's definitely a different feeling when we're all together. >> So that's interesting, when you have such a hot product, product-led growth which is what Mongo has been in, and you add these new features. They're coming from the developers who are saying, "Hey, we need this." >> Yip. >> Okay so you have a pretty high degree of confidence, but how do you know when you have product-market fit? I mean, is it adoption, usage, renewals? What's your metric? >> Yeah I think it's a mix of quantitative measures that you know, around conversion rates, the size of your funnel, the retention rate, NPS which obviously can be measured, but also just qualitative. You know when you're talking to a developer or a technology executive around what their needs are, and then you see how they actually apply it to solve a problem, it's that balance between the qualitative and the quantitative measurement of things. And you can just sort of, frankly you can feel it. You can see it in the numbers sure, but you can kind of feel that excitement, you can see that adoption and what it empowers people to do. And so to me, as a product leader, it's always a blend of those things. If you get too obsessed with purely the metrics, you can always over optimize something for the wrong reason. So you have to bring in that qualitative feedback to balance yourself out. >> Right. >> Guillermo, what's next? What do you not have that you want from Sahir and Mongo? >> So the natural next step for serverless computing is, is the Edge. So we have to auto-scale, we have to tolerate fares. We have to be avail. We have to be easy, but we have to be global. And right now we've been doing this by using a lot of techniques like caching and replication and things like this. But the future's about personalizing even more to each visitor depending on where they are. So if I'm in New York, I want to get the latest offers for New York on demand, just for me, and using AI to continue to personalize that experience. So giving the developer these tools in a way where it feels natural to build an application like this. It doesn't feel like, "Oh I'm going to do this year 10 if I make it, I'm going to do it since the very beginning." >> Dave: Okay interesting. So that says to me that I'm not going to make a round trip to the cloud necessarily for that experience. So I'm going to have some kind, Apple today, at the Worldwide Developer Conference announced the M2, right. I've been looking at the M1 Ultra, and I'm going wow look at that! And so- >> Sahir: You were talking about that new one backstage. >> I mean it's this amazing pace of Silicon development and they're focusing on the NPU and you look at what Tesla's doing. I mean it's just incredible. So you're going to have some new hardware architecture that emerges. Most of the AI that's done today is modeling in the cloud. You're going to have a real time inferencing at the Edge. So that's not going to do the round trip. There's going to be a data store there, I think it has to be. You're going to persist some of the data, maybe not all of it. So it's a whole new architecture- >> Sahir: Absolutely. >> That's developing. That sounds very disruptive. >> Sahir: Yeah. >> How do you think about that, and how does Mongo play there? Guillermo first. >> What I spent a lot of time thinking about is obviously the developer experience, giving the programmer a programming model that is natural, intuitive, and produces its great results. So if they have to think about data that's local because of regulatory reasons for example, how can we let the framework guide them to success? I'm just writing an application I deployed to the cloud and then everything else is figured out. >> Yeah or speed of light is another challenge. (Sahir and Guillermo laugh) >> How can we overcome the speed of light is our next task for sure. >> Well you're working on that aren't you? You've got the best engineers on that one. (Sahir and Guillermo laugh) >> We can solve a lot of problems, I'm not sure of that one. >> So Mongo plays in that scenario or? >> Yeah so I think, absolutely you know, we've been focused heavily on becoming the globally distributed cloud data layer. The back-end data layer that allows you to persist data to align with performance and move data where it needs to be globally or deal with data sovereignty, data nationalism that's starting to rise, but absolutely there is more data being pushed out to the Edge, to your point around processing or inference happening at the Edge. And there's going to be a globally distributed front-end layer as well, whether data and processing takes apart. And so we're focused on one, making sure the data connectivity and the layer is all connected into one unified architecture. We do that in combination with technologies that we have that do with mobility or edge distribution and synchronization of data with realm. And we do it with partnerships. We have edge partnerships with AWS and Verizon. We have partnerships with a lot of CVM players who are building out that Edge platform and making sure that MongoDB is either connected to it or just driving that synchronization back and forth. >> I call that unified experience super cloud, Robbie Belson from Verizon the cloud continuum, but that consistent experience for developers whether you're on Prim, whether you're in you know, Azure, Google, AWS, and ultimately the Edge. That's the big- >> That's where it's going. >> White space right now I'm hearing, Guillermo, right? >> I think it'll define the next generation of how software is built. And we're seeing this almost like a coalition course between some of the ideas that the Web3 developers are excited about, which is like decentralization almost to the extreme. But the Web2 also needs more decentralization, because we're seeing it with like, the data needs to be local to me, I need more privacy. I was looking at the latest encryption features in Mongo, like I think both Web2 need to incorporate more of the ideas of Web3 and vice versa to create the best possible consumer experience. Privacy matters more than ever before. Latency for conversion matters more than ever before. And regulations are changing. >> Sahir: Yeah. >> And you talked about Web3 earlier, talked about new protocols, a new distributed you know, decentralized system emerging, new hardware architectures. I really believe we really think that new economics are going to bleed back into the data center, and yeah every 15 years or so this industry gets disrupted. >> Sahir: Yeah. >> Guillermo: Absolutely. >> You know you ain't see nothing yet guys. >> We all talked about hardware becoming commoditized 10, 15 years ago- >> Yeah of course. >> We get the virtualization, and it's like nope not at all. It's actually a lot of invention happening. >> The lower the price the more the consumption. So guys thanks so much. Great conversation. >> Thank you. >> Really appreciate your time. >> Really appreciate it I enjoyed the conversation. >> All right and thanks for watching. Keep it right there. We'll be back with our next segment right after this short break. Dave Vellante for theCUBE's coverage of MongoDB World 2022. >> Man Offscreen: Clear. (clapping) >> All right wow. Don't get up. >> Sahir: Okay. >> Is that a Moonwatch? >> Sahir: It is a Speedmaster but it's that the-

>> Live from San Francisco, it's theCUBE! Covering DockerCon 18, brought to you by Docker and it's ecosystem partners. >> Welcome back to theCUBE, I'm Lisa Martin with John Troyer we are live from DockerCon 2018 on a sunny day here in San Francisco at Moscone Center. Excited to welcome to theCUBE Chris Brown the Technical Marketing Manager at Nutanix, Chris welcome to theCUBE! >> Thank you so much for having me. >> So you've been with Nutanix for a couple years, so we'll talk about Nutanix and containers, you have a session control and automate your container journey with Nutanix. Talk to us about what you're gonna be talking about in the session, what's Nutanix's role in helping the customers get over this trepidation of containers? >> Yeah, definitely, and it's, it's a 20 minute session, so we've got a lot of information to cover there 'cause wanna go over a little bit about, you know, who Nutanix is from the beginning to end but, the main part I'm gonna be focusing on in that session is talking about how we, with our com product, can automate VMs and containers together and how we're moving towards being able to, you know, define you application in a blueprint and understand what you're trying to do with your application. You know, one of the things I always say is that nobody runs Sequel because they love running Sequel, they run Sequel to do something, and our goal with the com is to capture that something, what it depends on, what it relies on. Once we understand what this particular component is supposed to do in your application, we can change that, we can move that to another cloud, or we can move it to containers without losing that definition, and without losing its dependence on the other pieces of the infrastructure and exchange information back and forth. So we're talking a little bit about what we're doing today with com and where we're going with it to add Kubernetes support. >> Chris, we're sitting here in the ecosystem expo at DockerCon and your booth is busy, there's a lot of good activity. Are people coming up to you and asking, do they know Nutanix, do they understand who you are, do they just say oh you guys sell boxes? You know you're both a, you're a systems provider, you're a private cloud provider, and a hybrid-cloud provider, do people understand that, the crowd here, and what kinda conversations are you having? >> It's actually really interesting 'cause we're seeing a broad range of people, some customers are comin' up, or some people are coming up that they don't reali--they don't know that other pieces, places their company use Nutanix, but they wanted to learn more about us, so they've got some sort of initiative that you know, a lot of times it is around containers, around understanding, you know, they're starting to figure out, you know, how do we deploy this, how do we connect? You know, we've got something we wanna deploy here and there how do we do that in a scalable way? But we also have some that have no idea who we are and just comin' up like so you've got a booth and some awesome giveaways, (laughing) what do I have to do to get that, and what do you do? And you know, I really kinda summarize it as two main main groups of people that I've seen is, one of 'em is, the people who've been doing containers for forever, they know it, they've been doing it, they're very familiar with the command line, they're ret-- any gooey is too much gooey for them. And then we've got the people who are just getting started, they've kinda been told hey, containers are coming, we need to figure out how to do this, or we've got, we need to start figuring out our containers strategy. And so they're here to learn and figure out how to begin that. And so it's really interesting because those, the ones that are just getting started or just learning, we obviously help out a ton because the people who came before had to go through all the fire, all the configuration, all of the challenges, and figure out there own solutions where as we can, now we kinda come in, there's a little bit more opinionated example of how to do these things. >> So DockerCon, this year is the fifth DockerCon, they've got between five thousand and six thousand people, I was talking with John earlier and Steve Singh as well, that how I really impressed when I was leaving the general session, it was standing room only a sea of heads so they've got, obviously developers here right, sweet spot, IT folks, enterprise architects, and execs, you talked about Nutanix getting those the two polar opposite ends of the spectrum, the container lovers, the ones who are the experts, and the ones going I know I have to do this. I'm curious, what target audience are you talking to that goes hey I'm tasked with doing this, are those developers, are those IT folks, are you talking with execs as well, give us that mix. >> For the most part they are IT folks, you're artusional operators who are trying to figure out this new shift in technology and we have to talk to some developers, and it's actually been interesting to have speak with developers because you know, in general that's not, that hasn't been Nutanix's traditional audience, we've sold this product called infrastructure to develop. But developers, the few developers I've talked to have gotten really receptive and really excited about what we can do and how we can help them do their job faster by getting their IT people on board but for the most part it'd be traditional IT operators who're looking at this new technology and you know, givin' it kind of a little squinty eye, trying to figure out where it's going, because at the end of the day, with any shift in IT, there's never a time where something is completely sunset, I mean people are still using mainframes today, people will be using mainframes forever, people are just starting their virtualization journey today they're just going from bare metal to VMs, so, and then even with that shift, there's always something that gets left behind, so, they're trying to figure out how can we get used to this new container shift because at the end of the day not everything is gonna be containerized because there's just simply some things that won't be able to or they'll scope out the project and then it'll end up falling by the wayside or budget will go somewhere else. So they're trying to figure out how they can understand the container world from the world that they come from, the VM-centric world, and then, you know, it's really interesting to talk to them and show them how we're able to bring those two together and give you, not only bring the container journey up another step, but also carry your VMs along the way as well. >> Chris, Nutanix is at a, the center of several different transitions, right, both old school hardware to kind of hyper converge, but not now also kind of private hybrid-cloud to more kind of multi-cloud, hybrid-cloud. When we're not at DockerCon, so when you're out in the field, how real is multi-cloud, how real is containers in a normal enterprise? >> Definitely, so, multi-cloud is a very hot topic for sure, everyone, there's no company, no IT department that doesn't have some sort of cloud strategy or analyzing it or looking at it. The main way that we get there, or one of the core tools we have is com once again, so, and I'm obviously biased because that's my wheelhouse, right, in marketing, so I talk about that day in day out, but, with com you can add, we support today AHV and EXSi both on and off Nutanix, as well as AWS, AWS gov cloud and GCP, and Azure's coming in down the line that's where Kubernetes will come in as well, so we see a lot of people looking a this and saying hey you know, we do wanna be able to move into AWS, we do wanna be able to move into GCP and use those clouds or unify them together, and some com lets us do that. There's a couple other of prongs to that as well, one of them is Beam, Nutanix Beam, which is a product we announced at DotNext last month, which is around multi-cloud cost optimization, Beam came from an acquisition that of bought metric--the company was called milinjar, I'm probably saying that horribly wrong, but made a product called bought metric which we've rebranded and are integrating into the platform as Nutanix Beam. So what that allows you to do is, you can, it's provided as a SaaS service, so you can go use it today, there's a trial available, all that, you give it AWS credentials and it reaches out and takes a look at your billing account and says hey, we noticed that these VMs are running 50% of the time at no capacity, or they're not being used at all, you can probably cut that down shrink these and save it or hey we noticed that in general you're using this level, this baseline level, you should buy these in reserved instances to save this much per month. And it presents all that up in a really easy to use interface, and then, depending on how you wanna use it, you can even have it automatically go and resize your VMs for you, so it can say, hey you've got a T2 medium or an M2 medium running, it really would make a lot more sense as a you know M2 small. You can, it'll give you the API call, you can go make it on your own, or you can have, if you give crede-- authorization of course, it can go ahead and run that for you and just downsize those and start saving you that money, so that's another fork of that, the multi-cloud strategy. And the last one is one of the other announcements we made around last month which was around--excuse me extract for VMs, so extract is a portfolio of products, we've got extract for DBs where we can scan your sequel databases and move into ESXi or AHV, both from bare metal, or wherever the sequel databases running, extract for VMs allows us to scan the ESXi VMs, and move them over to AHV. And then, we're taking extract for VMs to the next step and being able to scan your AWS VMs and pull them on, back on-prem, if that's what you're looking for as well, so that's right now in beta and they're working on fine tuning that. Because at the end of the day, it's not just enough to view and manage, we really need to get to someplace where we can move workloads between, and put the workload in the right place. Because really with IT, it's always a balance of tools, there's never one golden bullet that solves every problem, every time a new project comes out you're trying to choose the right tool based on the expertise of the team, based on what tools are already in use, based on policy. So, we wanna be able to make sure that we have the tool sets across, that you can choose and change those choices later on, and always use the right thing for the particular application you're running. >> Choice was a big theme this morning during the general session where Docker was talking about choice agility and security. I'm curious with some of the things that were announced, you know they're talking about the only multi-cloud, multi-OS, multi-Linux, they also were talking about, they announced this federated, containerized application management saying hey, containers have always been portable but management hasn't been. I'm curious what your perspectives are on some of the of the evolution that Docker is announcing today, and how will that help Nutanix customers be able to successfully navigate this container journey? >> Definitely. And--(clears throat) you know federation's critical, being able to, container management in general is always a challenge, one of the things that I've heard time and time again is that getting are back to work for Kubernetes has always been very difficult. (laughs) And so, getting that in there, getting, that is such a basic feature that people expect, you're getting the ability to properly federate roles or federate out authentication is huge. There's a reason that SAML took the world by storm, it's that nobody wants to manage passwords, you wanna rely on some external source of truth, being able to pull that in, being able to use some cloud service and have it federated against having Docker federated against other pieces is very important there. I might've gone way off there, but whatever. (laughing) >> No, no, absolutely. >> And then, the other piece of it is that we, with a multi-cloud, with the idea of it doesn't matter whether you're running on-prem or in the cloud or, that is what people need, that's one of the true promises of containers has always been is the portability, so seeing the delivery of that is huge, and being able to provision it on-prem, on Nutanix obviously because that's who I'm here from. (laughing) but, and being able to provision to the cloud and bring those together, that's huge. >> Chris you talked about Kubernetes couple times now, obviously a big topic here, seems to be kind of emerging de facto application deployment configuration for multi-cloud. What's Nutanix doing with Kubernetes? >> Yeah, so I've definitely, Kubernetes is, it's really in many ways winning that particular battle, I mean don't get me wrong Swarm is great, and the other pieces are great, but, Kubernetes is becoming the de facto standard. One of the things we're working on is bringing containers as a service through Kubernetes, natively on Nutanix, to give you an easy way to manage, through Prism manage containers just the way you manage VMs, manage Kubernetes clusters, and you know it's, it's really important that that's, that is just one solution, because we, there's as many different Kubernetes orchestration engines as you can name, every, any name you bring in, so that's my-- >> It's like Linux, back in the day, they're a lot of different distributions or there're a lot of different ways to consume Kubernetes. >> Exactly. And so, we wanna be able to bring a opinionated way of consuming Kubernetes to the platform natively, just as a, so it's a couple of clicks away, it's very easy to do. But that's not the only way that we're doing it, we're also we do have a partnership with Docker where we're doing things like deploying Docker EE through com, or Docker, it's of course all sorts of legalese but, they're working on that so it's natively in everyone's Prism central you can just one click deploy Docker EE, we have a demo running at our booth deploying rancher using com as well, because we wanna be able to provide whatever set of infrastructure makes the most sense for the customer based on, this is what they've used in the past, this is what they're familiar with, or this is what they want. But we also want to offer an opinionated way to deliver containers as a service so that those of you that don't know, or just trying to get started, or that that's what they're looking for, this, when you've got a thousand choices to make everyone's gonna make slightly different ones. So we can't ever offer one, no one can offer the true, this is the only way to do Kubernetes, we need to offer flexibility across as well. >> One of the words we here all the time at trade shows is flexibility. So, love customer stories, as a customer marketing person, I think there's no greater brand validation you can get than the voice of the customer, and I was looking on the Docker website recently and they were saying: customers that migrate to Docker Enterprise Edition, are actually reducing costs by 50%, so, you're a marketing guy, what're some of your favorite examples of customers where Nutanix is really helping them to just kill it on their container journey? >> Yeah, so, there's a, wish I'd thought of this sooner, I shoulda. (laughing) No, but we have a, one of our customers actually, I, this always brings a smile to my face 'cause they they came and saw us last year at the booth, they're one of our existing long time customers, and they're looking to adopt Docker. They came up and we gave 'em a demo, showed them how all the pieces were doing all of the, and he's just looking at it and he's like man, I need this in my life right now, and it was mostly a demo around Docker EE, using the unified control plane, and showing off, using Nutanix drivers showing how we can back up the data and protect individual components of the containers in a very granular fashion. He's like man I need this in my life, this is incredible, and he went and grabbed his friend ran him over, and was like dude we're already using Nutanix look what they can do! And the perfect example of the two kinds of customers, this guy goes like hold on a second, jumps on the command line, like oh yeah I do this all the time from there. (laughing) >> But, that was the, that light up, the light in the eyes of the customer where they were like, this, I need to be able to see this, to be able to use this, and be able to integrate this, that's, I will not forget that anytime soon. That's really why I think we're going down a very good path there, because the ability to, when you have these tinkerers, the people who are really good at code, I mean I spend a lot of time on the command line myself even though I'm in marketing, so, I don't know what I'm doing there, Powerpoints maybe? (laughing) Just because I can understand it from the command line or an expert can understand it, doesn't mean you can share that. I've been tryin' to hand off some of the gear that I manage off to another person, and was like oh you just type out all these commands, and they're like I have no idea what's going on here. (laughing) And so, seeing the customers be able to, to understand what they're more in depth coworkers have done in a gooey fashion, that's just really, that makes a lot of sense to me and it's, I like that a lot. >> It's great. >> Are you seeing any, and the last question is, as we wrap up, some of the, one of the stats actually that was mentioned in the Docker press release this morning about the new announcements was, 85% of enterprise organizations have multi-cloud, and then we were talking with Scott Johnston, their Chief Product Officer, that said, upwards of 90% of IT budgets are spent on keeping the lights on for existing applications, so, there's a lot of need there for enterprises to go this road. I'm wondering, are you seeing at Nutanix, any particular industries that are really leading edge here saying hey we have a lot of money that we're not able to use for innovation, are you seeing that in any specific industries, or is it kinda horizontal? >> I, to be honest, I've seen it kind of horizontally, I mean I've had, I've spoken to many different customers, mostly around com because, but, and they come from all different walks of life. I've seen, I've talked to customers from sled, who've been really excited about their ability to start better doing hadoop, because they do thousands of hadoop clusters a year for their researchers. I've talked to, you know in the cloud or on-prem, or across. I've talked to people in governments, I've talked to people in hospitals and, you know, all sorts of-- >> I can imagine oil and gas, some of those industries that have a ton of data. >> Yeah and it's actually, the oil and gas is really fascinating because a lot of times they, for in a rig, they wanna be able to use compute, but they can't exactly get to a cloud, so how do you, how do you innovate there and on the edge, without, how do you make a change in the core without making it on the edge, and how do you bring those together? So it's, there's really a lot of really fascinating things happening around that, but, I haven't noticed any one industry in particular it's, it's across, it's that everyone is, but then again, by the time they get to me, it's probably self selected. (laughing) But it's across horizontally, is that everyone is looking at how can we use this vast storage, I just found out this is already being used in my environment because it's super easy, how do I, how do I keep a job? (chuckles) Or how do I adopt this and free up my investments in keeping the lights on into innovation, how do I save time, how do I-- Because one of the things that I've noticed with all of this cloud adoption or container adoption all of that is that many times a customer will start making this push, not always from a low level, maybe from a high level, but, they start making this push because they hear it's faster and better and that it'll just solve all their problems if they just start using this. And, because they rush into they don't often they don't solve the fundamental problems that gave 'em the issue to begin with, and so they're just hoping that this new technology fixes it. So, now there's, I am seeing some customers shift back and say hey, I do wanna adopt that, but I need to do it in a smart way, 'cause we just ran to it and that caused us problems. >> Well it sounds like with all the momentum, John, that we've heard in the keynote, the general session this morning, and with some of the guests, you know, I think even Steve Singh was saying only about half of the audience is actually using containers so it's sounds like, with what you're talking about, with what we've heard consistently today, it's sort of the tip of the iceberg, so lots of opportunity. Chris thank you so much for stopping by theCUBE and sharing with us all the exciting things that are going on at Nutanix with containers and more. >> Thank you so much for having me, it was a lot of fun. >> And we wanna thank you for watching theCUBE, Lisa Martin with John Troyer, from DockerCon 2018 stick around we will be right back with our next guest. (bubbly music)

>> Narrator: Live from the Wynn Hotel in Las Vegas. It's theCUBE. Covering Magento Imagine 2018. Brought to you by, Magento. >> Welcome back to theCUBE, our continuing coverage of Magento Imagine 2018. We're at the Wynn in Las Vegas. You can see it's happy hour behind me. I'm Lisa Martin, we are joined by Mark Teperson the Chief Digital Officer of Accent Group, customer of Magentos'. Thanks so much for stopping by theCUBE and having a chat. >> Thanks Lisa, great to be here. >> So you are an award finalist, the Imagined Excellence Awards are what, in just about an hour and a half. But this is really cool, you are a finalist in several categories. The best in class fulfillment with Platypus Shoes. The best mobile experience with Athlete's Foot. And you yourself are up for Commerce Leader of the Year, wow. >> Yeah. >> I feel like I should be asking for your autograph. >> No please, please, look it's really humbling to have been nominated for so many awards. I think, the thing for me is that it's a huge acknowledgement of the work of the entire team that makes this happen. You know, I have the privilege of being the face of it. But it is an extraordinary team that I get to lead and work with across the organization that really kind of makes all of the magic happen. So, I'm representing them tonight as well. >> Awesome. So tell our viewers who Accent Group is. Where you're located. All that good stuff before we kind of get into all the magic. >> Yeah sure. So the Accent Group Limited is a publicly listed company in Australia. We own and operate nine different retail formats and about 13 different wholesale distribution licenses. We are the largest footwear retailer in Australia. We have 445 stores across both Australia and New Zealand. We turn over in excess of around $800,000,000. So a big business in Australia. >> A big business, many many brands as well from Doc Martens to Timberlands to Sperry Top-sider. So quite a diverse set of brands as well. >> Yeah, look it's, one of the great things about my role is I get to work across the continuum of kind of consumers. And the way I describe it is, is I get to work, that we see everything from first walkers to last walkers and everything in between. And so, from a digital perspective that gives us a really unique opportunity to track and observe the behavior of consumers and their adoption rates of different technologies and different consumer patterns. Which allows us to perhaps be a little bit more responsive and a little bit more considered in our investments of technology. >> That's what we want as consumers right, we want a personalized experience. Mobile, huge. Mobile, pointing at the wrong thing, tablet whatever. We want that, we want, wouldn't we be marketed to but we want to have an experience that's relevant as that's seamless as well. How did you go about, well talk to us about the digital transformation of Accent Group. You've been there a long time. >> Mark: Yeah. >> How are you leveraging technology over the last few years to transform and be able to facilitate a true omni-channel business. >> Yeah look its a great question, it's been a long journey for us. You know this didn't happen overnight. This has been a very long journey. It was initially really backed by our board and we started on this journey five years ago. I've had fantastic support from our CEO, through the transformation process. And that really set the path for us to be able to start transforming ourselves. I think lots of retailers get it wrong when it comes to technology. They make the cardinal sin of building monuments to themselves. You know they build things that they think are great representations of their brand. But if they just stopped and considered you know, what does the consumer really want, what is that unmet need of the consumer or what is that problem that I'm trying to solve? I think we'd all make better investments and deliver better experiences for consumers. And, so we've been really diligent in kind of thinking about and understanding what our consumer was looking for, from us. And, really prioritizing, you know, the million things that we could be doing to a really strong set of, of foundation building blocks, that would set ourselves up for a digital transformation and hopefully a very prosperous future. >> So we mentioned the awards that your a finalist for. Talk to us about what you're doing with Magento, from your seat as the Chief Digital Officer. What were some of the key criteria that you said, you know we don't want to fall into the same trap that we've seen a lot of other retailers fall into and build a monument to ourselves. We're going to listen to consumers and be able to create this responsive experience for them that obviously reaps a lot of financial rewards for us. What were some of the key criteria that you set out with, saying we've got to be able to have technology that enables A, B, C. >> Yeah look, so when we were thinking about how to bring our strategy and our vision to life, there were a couple of things that we were really looking for. One was flexibility and the ability to, realize, I suppose, re-imagine a consumer experience. So we needed that flexibility and because we have so many brands that we retail and we represent, we needed something that could be multi-site, multi-platform as well. So that was some of the key considerations that we came to. But when we were thinking about the consumer experience it was really about the delivery of that front end experience. So, how do you deliver a really great click and collect experience for a consumer. How do we deliver, ship from store, with a high level in degree of accuracy for the consumer so that we don't disappoint them. And now as we kind of look forward, we're looking at how we can deliver same day delivery in three hour delivery, not just in a single city but across the entire country of Australia and even New Zealand. By re-imagining our stores not only as experience centers for consumers to really touch and feel the product but as distribution centers to be able to get product to customer much faster. And Magento has really enabled us to transform and realize that experience that we re-imagined for our customers. >> So I was telling you before we went live that I watched the video. The video testimonial that you guys have done with Magento and with the case study. And, I am a stats person. I love stats because it's really the voice of the customer is the best brand validation any vendor can get. But being able to show a positive business outcome that is quantitative, is huge. >> Mark: Yeah >> You guys achieved with one of your brands, a 10X increase in sales growth, in 10 months. >> Mark: Yeah >> Tell us a little bit about that. >> Look that was unexpected. I think it blew everybody away. We took a great brand and a great business, Platypus Shoes. And this brand is really geared up for the Millennial consumer. Really deeply ingrained in the culture of Millennial life. We sell fantastic brands, Nike, Addi, Vans and Timberlands through that business. And we have a fantastic in-store experience. And so our digital experience was just really kind of dragging the chain. It wasn't living up to that expectation that the consumer had, once they've experienced our physical retail. So we took an old platform and we decided to take the plunge into M2. We were one of the very first enterprise customers on M2. And in the delivery of that platform we launched and very soon after, followed up with click and collect. And ship from store, to really enhance and connect the consumer experience. Lots of people talk to this vision of omni-channel. It's much harder to execute. It's much easier in theory than it is in practice. >> Of course, yeah. >> But what we learnt in a very short period of time was that the consumers really wanted to transcend our channels. And they loved the experience that they were getting in each of the channels, separately but together as well. And so this halo effect, we had so much brand equity with our Platypus business that as soon as we were able to deliver on that unmet need that the customers were telling us that they wanted, they came to us in droves. And so we had a 10X increase in sales in 10 months which is a pretty staggering outcome. It's been fantastic for the whole business. >> It's interesting that you talk about the in-store experience. What are some of the other benefits that the stores are getting? I imagine if you can do like ship to store, there's going to be more store traffic as a result of having this seamless experience for the customers. >> Yeah. In the whole strategy when we think about omni-channel strategy, the best, the very best channel for a consumer to actually engage with us in and purchase is click and collect. And I'll tell you why. Because in click and collect, what you've done is you have captured that online demand that exists for products and they've said to you that I actually want to come and pick it up in your store. And when they come and pick it up in your store, by doing that the 12 other retailers that they have to walk through in the mall to kind of get to you. There not going to shop there because they have committed money, they've committed funds to your business. And so that gives us a fantastic opportunity when that customer walks into your store, you know that they are a serious consumer. And that gives us great additional opportunities to introduce new products or experiences to that customer. So by capturing that demand online and driving them into that in-store experience, we get to showcase the best of both environments. That really savvy fast, fun, content lead digital experience and that sensory experience in-store. Where you get to feel and touch the product and talk to our awesome team members. And really have a fun experience buying shoes. You know the wonderful thing about footwear is and I always joke about it, is that unlike the apparel space and fashion, shoes don't make you feel fat or thin. They just make you feel good. >> That is true. I feel really good in the shoes I'm wearing today. >> There you go. >> So, huge success with launching this with Platypus. Like you said, it even kind of surprised you guys. Do you have a line out the door of the next, from a strategic vision perspective, the dominoes all lined up. Ready to just launch this thing. >> Yeah, absolutely. So I think one of the things that's led us to be really successful is the discipline that we have around how we roll out strategy. And supported by a phenomenal team across the entire Accent Group. I think what's really important to kind of acknowledge is, is that it's not one person, it's not one division that makes this stuff possible. It's an entire organization. And it's entire groups of people that come together to really make this possible. So some of these initiatives involve more than 50 people across the entire organization representing every facet of the business. And so through the discipline that we bring to our strategy process, we've got a really, well planned pipeline of product and innovation that comes over the next 12 months. In fact our pipeline feels pretty full at the moment. Some of that looks like endless aisles. So what we've done was ship from store for our digital business in terms of driving and fueling sales, is in reverse. So endless aisle gives stores that same capability. So our regional store that might not have the full assortment of product can now tap into $110,000,000 worth of inventory across our entire business. >> Lisa: Find it anywhere. >> Find it anywhere and we can get it to that customer and not only will we get it to them free of charge. We'll do that next day. And that's a pretty amazing proposition for a consumer. In addition to that we're looking to roll out same day and three hour delivery again across the entire country. Both Australia and New Zealand. That requires a huge amount of coordinated effort a lot of integration, a lot of sales process. To make sure that we can, I'm not even sure if it's a word, systematize you know, how you do this because it's all very well to have this capability plugged into a business, but you've got to be able to deliver that fantastic experience for the consumer. When they un-box that product or when they come in-store to pick up that click and collect order, that it doesn't feel like a foreign experience for the sales team who are serving those customers. And the customer feels like it's a really well thought out process. >> So as we look back at your last question. The digital transformation that you're on with the Accent Group and the time that you've spent there, what excites you about you know the rest of 2018. Is it being able to take on advanced technologies like machine learning and Artificial Intelligence to make that experience transcendent across digital and physical stores, even better? >> Yeah you know, I often get asked the question, "What keeps you awake at night?" And they're two things. The first one is, the competition that doesn't exist today. And that includes technology so the rapid evolution and adoption of technology and how that can disrupt the market. And the second thing is, what the customer wants tomorrow. Those are two very salient things that keep me awake at night. So what keeps me excited I suppose is looking at the success and the way in which we adopt and roll technology and strategy through the business. It's not technology for technology sake. It's really easy to get caught up in the hype around some things so I've been following the A.I. trend now for three years. It finally feels like it's reaching commercialization in the market. And I think in the next 12 months we certainly will see a much greater adoption of parts of Artificial Intelligence in how it can power better consumer experiences and perhaps even better intelligence in decision making in our organization. It's a very humbling thought to think that, you know whilst I know a lot about the industry and space, there a 1,500 things that happened yesterday and the day before that and you just can't keep up. And nobody has the monopoly on good ideas so events like this and getting out and talking to people and figuring out you know, what is that next big idea. What is that trend that's riding you know in the market. That's how we try and figure out what the next big thing is going to be. >> And we've felt that all day with commerce is limitless, opportunities are limitless as well. Mark, thanks so much for, >> Not a problem. >> stopping by and telling us about what guys are doing down in A (mumbles), it sounds, pretty awesome. >> Fantastic, thanks for having me. >> Absolutely our pleasure. We want to thank you for watching theCUBE, we are live at Magento Imagine 2018, in Las Vegas. I'm Lisa Martin. Stick around, we'll be right back to wrap up the day. (light music)

>> So, we see this picture, right, of the hybrid cloud. And we've talked about how we do that for the private cloud. So, let's look over at the public cloud, and let's dig into this a little bit more deeply. You know, we're taking this incredible power of the VMware Cloud Foundation and making it available for the leading cloud providers in the world. And, with that, the partnership that we announced almost two years ago with Amazon, and on this stage, last year, we announced our first generation of products. No better example of the hybrid cloud. And for that, it's my pleasure to bring to the stage my friend, my partner, the CEO of AWS. Please welcome Andy Jassy. (crowd applauding) (upbeat music) Thank you, Andy. You know, you honor us with your presence. You know, and it really is a pleasure to be able to come in front of this audience and talk about what our teams have accomplished together over the last year. Can you give us some perspective on that, Andy, and what customers are doing with this? >> Well, first of all, thanks for having me. I really appreciate it. It's great to be here with all of you. You know, the offering that we have together, VMware Cloud and AWS, is very appealing to customers because it allows them to use the same software they've been using to manage their infrastructure for years, but be able to deploy it in AWS. And we see a lot of customer momentum, and a lot of customers using it. You see it in every imaginable vertical business segment. In transportation, you see it with Stagecoach. In media and entertainment you see it with Discovery Communications. In education, MIT and Cal Tech, in consulting, Accenture and Cognizant and DXC. You see it in every imaginable vertical business segment. And the number of customers using the offering is doubling at every quarter. So, people are really excited about it. And I think that probably the number one use case we see so far, although there are a lot of them, is customers who are looking to migrate on-premises applications to the cloud. And a good example of that is MIT, where they're right now in the process of migrating, in fact they just did migrate 3,000 VMs from their data centers to VMware Cloud and AWS. And this would've taken them years before, to do in the past, but they did it in just three months. >> Yeah, it was really, really spectacular. And they're just a fun company, and, you know, to work with, and the team there. But we're also seeing other use cases, as well. And, you know, probably the second most common example is, well I'll say, on demand capabilities for things like disaster recovery. And we have great examples of customers using it for that. And, one in particular is Brink's, right? Everybody knows the Brink's security trucks, and you know, armored trucks coming by. And they had a critical need to retire a secondary data center that they were using, you know, for DR. So we quickly built a DR protection environment for 600 of the VMs. You know, they migrated their mission-critical workloads, and voila, stable and consistent DR, and now they're eliminating that site, and looking for other migrations, as well. >> It saved 10 to 15 percent in the process, doin' it. >> Yeah, it was just great. You know, one of the things I believe, Andy, customers should never spend capital on DR, ever again, with this kind of capability in place. It is just that game changing. You know, and, obviously we've been working on expanding our reach. We promised to make the service available a year ago, with the global footprint of Amazon. And now we've delivered on that promise. And, in fact, today, or yesterday if your an Aussie, right down under, we announced in Sydney as well. And now we're in US, Europe, and in APJ. >> Yeah, it's really, I mean it's very exciting. Of course, Australia is one of the most virtualized places in the world, and it's pretty remarkable how fast European customers have started using the offering, too, in just the quarter that's been out there. And probably, of the many requests customers have had, you've had, probably the number one request has been that we make the offering available in all of the regions that AWS has regions. And, I can tell you, by the end of 2019, we'll largely be there, including with GovCloud. So, GovCloud-- >> Oh yeah, you guys have been, that's been huge for you guys. >> Yeah, it's a government-only region that we have, that a lot of federal government workloads live in. And, we are pretty close together having the offering, FedRAMP authority to operate, which is a big deal and a game-changer for governments, because then they'll be able to use the familiar tools that they use in VMware not just to run their workloads on premises, but also in the cloud as well, with the data privacy requirements and security requirements they need. So it's a real game-changer for government, too. >> Yeah, and as you can see by the picture here, basically before the end of next year, everywhere that you are, and have an availability zone, we're going to be there running on top of you. >> Giddyup! >> Yeah, let's get with it (laughs). Okay, we're a team, go faster, okay. You know, and, it's not just making it available, but this pace of innovation. And, you know, you guys have really taught us a few things in this respect. And since we went life, in the Oregon region, we've been on a quarterly cadence of major releases. M2 was really about mission-critical at scale, and we added our second region. We added our Hybrid Cloud Extension. With M3, we moved the global rollout, and we launched in Europe. With M4, we really added a lot of these mission-critical governance aspects, started to attack all of the industry certifications. And today, we're announcing M5, alright? And, with that, I think we have this little cool thing that we're doing with EBS and storage. >> Yeah, well you know, two of the most important priorities for customers are cost and performance. And so, we have a couple things to talk about today that we're bringing to you that I think hit both of those. On the storage side, we've combined the elasticity of Amazon Elastic Block Store, or EBS, with VMware's vSAN. And we've provided now a storage option that you'll be able to use that is much, it's very high-capacity and much more cost-effective. You'll start to see this initially on the VMware Cloud native USR5 instances, which are compute instances that are memory-optimized. And so, this will change the cost equation. You'll be able to use EBS by default, and it'll be much more cost-effective for storage or memory-intensive workloads. It's something that you guys have asked for, it's been very frequently requested, and it hits preview today. And then, the other thing is that we've worked really hard together to integrate VMware's NSX along with AWS's Direct Connect, to have a private, even higher performance connectivity between on-premises and the cloud. So, you know, very, very exciting new capabilities that show deep integration between the companies. >> Yeah, you know, and that aspect of the deep integration has really been the thing that we committed to. You know, we have large engineering teams that are working literally every day, right, on bringing together, and how do we fuse these platforms together at a deep and intimate way, so that we can deliver new services. Just like Elastic DRS, and the vSAN EBS, really powerful capabilities. And, that pace of innovation continues. So, M Next maybe, maybe M, maybe six? I dunno, we'll see. Alright, but we're continuing this toward pace of innovation. You know, completing all of the capabilities of NSX, you know, full integration for all of the direct-connect capabilities, really expanding that. You know, improving license capabilities on the platform. We'll be adding PKS on top of, for expanded developer capabilities. >> Yeah! >> So just, oh, thank you. (audience applauding) I think that was formerly known as storage Chad, so anyway, alright. And, you know, we're continuing this pace of innovation, going forward, but I think we also have a few other things to talk about today, Andy. >> Yeah, I think we have some news that hopefully people here will be pretty excited about. We have a pretty big database business in AWS, and it's both on the relational and on the non-relational side. And the business does billions of dollars in revenue for us. And, on the relational side, we have a service called Amazon Relational Database Service, or Amazon RDS, that we have hundreds of thousands of customers using, because it makes it much easier for them to set up, operate, and scale their databases. And, so many companies now are operating in hybrid mode, and will be for a while. And a lot of those customers have asked us, can you give us the ease of manageability of those databases, but on premises? And so, we talked about it, and we thought about it, and we worked with our partners in VMware, and I'm excited to announce today, right now, Amazon RDS on VMware. (audience applauding) And so that will bring all the capabilities of Amazon RDS to VMware's customers for their on-premises environments. So, what you'll be able to do is, you'll be able to provision databases, you'll be able to scale the compute, or the memory, or the storage for those database instances. You'll be able to patch the operating system or database engines. You'll be able to create read replicas, to scale your database reads. And you can deploy those replicas either on premises or in AWS. You'll be able to deploy in high-availability configuration by replicating the data to different VMware clusters. You'll be able to create online backups that either live on premises, or in AWS. And then, you'll be able to take all those databases, and if you eventually want to move them to AWS, you'll be able to do so rather easily. You have a pretty smooth path. This is going to be available in a few months. It'll be available on Oracle, SQL Server, MySQL, Postgres, and MariaDB. I think it's very exciting for our customers. And I think it's also a good example of where we're continuing to deepen the partnership, and listen to what customers want, and then innovate on their behalf. >> Absolutely. Thank you, Andy, it is thrilling to see this. (audience applauding) And as we said when we began the partnership, it was a deep integration of our offerings and our go-to-market. But also building this bi-directional hybrid highway to give customers the capabilities where they want it. Cloud, on premise, right, on premise to the cloud, it really is a unique partnership that we've built, the momentum we're feeling to our customer base, and the cool innovations that we're doing. Andy, thank you so much for joining us here, >> Yeah, thanks for having me. >> At the Emerald 2018. >> Thank you guys. Appreciate it. (upbeat music)