>> Announcer: From theCUBE studios in Palo Alto and Boston, it's theCUBE, covering IBM Think brought to you by IBM. >> Hi, there, this is Dave Vellante. We're back at the IBM Think 2020 Digital Event Experience are socially responsible and distant. I'm here in the studios in Marlborough, our team in Palo Alto. We've been going wall to wall coverage of IBM Think, Kit Chee here is the Vice President, and general manager of Cloud and Enterprise sales at Intel. Kit, thanks for coming on. Good to see you. >> Thank you, Dave. Thank you for having me on. >> You're welcome, and Evaristus Mainsah, Mainsah is here. Mainsah, he is the general manager of the IBM Cloud Pack Ecosystem for the IBM Cloud. Evaristus, it's good to see you again. Thank you very much, I appreciate your time. >> Thank you, Dave. Thank you very much. Thanks for having me. >> You're welcome, so Kit, let me start with you. How are you guys doing? You know, there's this pandemic, never seen it before. How're things where you are? >> Yeah, so we were quite fortunate. Intel's had an epidemic leadership team. For about 15 years now, we have a team consisting of medical safety and operational professionals, and this same team has, who has navigated as across several other health issues like bad flu, Ebola, Zika and each one and one virus then navigating us at this point with this pandemic. Obviously, our top priority as it would be for IBM is protecting the health and well being of employees while keeping the business running for our customers. The company has taken the following measures to take care of it direct and indirect workforce, Dave and to ensure business continuity throughout the developing situation. They're from areas like work from home policies, keeping hourly workers home and reimbursing for daycare, elderly care, helping with WiFi policies. So that's been what we've been up to Intel's manufacturing and supply chain operations around the world world are working hard to meet demand and we are collaborating with supply pains of our customers and partners globally as well. And more recently, we have about $16 Million to support communities, from frontline health care workers and technology initiatives like online education, telemedicine and compute need to research. So that's what we've been up to date. Pretty much, you know, busy. >> You know, every society that come to you, I have to say my entire career have been in the technology business and you know, sometimes you hear negative toward the big tech but, but I got to say, just as Kit was saying, big tech has really stepped up in this crisis. IBM has been no different and, you know, tech for good and I was actually I'm really proud. How are you doing in New York City? >> Evaristus: No, thank you, Dave, for that, you know, we are, we're doing great and, and our focus has been absolutely the same, so obviously, because we provide services to clients. At a time like this, your clients need you even more, but we need to focus on our employees to make sure that their health and their safety and their well being is protected. And so we've taken this really seriously, and actually, we have two ways of doing this. One of them is just on to purpose as a, as a company, on our clients, but the other is trying to activate the ecosystem because problems of this magnitude require you to work across a broad ecosystem to, to bring forth in a solution that are long lasting, for example, we have a call for code, which where we go out and we ask developers to use their skills and open source technologies to help solve some technical problems. This year, the focus was per AVADA initiatives around computing resources, how you track the Coronavirus and other services that are provided free of charge to our clients. Let me give you a bit more color, so, so IBM recently formed the high performance computing consortium made up of the feYderal government industry and academic leaders focus on providing high performance computing to solve the COVID-19 problem. So we're currently we have 33 members, now we have 27 active products, deploying something like 400 teraflops as our petaflop 400 petaflops of compute to solve the problem. >> Well, it certainly is challenging times, but at the same time, you're both in the, in the sweet spot, which is Cloud. I've talked to a number of CIOs who have said, you know, this is really, we had a cloud strategy before but we're really accelerating our cloud strategy now and, and we see this as sort of a permanent effect. I mean, Kit, you guys, big, big on ecosystem, you, you want frankly, a level playing field, the more optionality that you can give to customers, you know, the better and Cloud is really been exploding and you guys are powering, you know, all the world's Clouds. >> We are, Dave and honestly, that's a huge responsibility that we undertake. Before the pandemic, we saw the market through the lens of four key mega trends and the experiences we are all having currently now deepens our belief in the importance of addressing these mega trends, but specifically, we see marketplace needs around key areas of cloudification of everything below point, the amount of online activities that have spiked just in the last 60 days. It's a testimony of that. Pervasive AI is the second big area that we have seen and we are now resolute on investments in that area, 5G network transformation and the edge build out. Applications run the business and we know enterprise IT faces challenges when deploying applications that require data movement between Clouds and Cloud native technologies like containers and Kubernetes will be key enablers in delivering end to end data analytics, AI, machine learning and other critical workloads and Cloud environments at the edge. Pairing Intel's data centric portfolio, including Intel's obtain SSPs with Red Hat, Openshift, and IBM Cloud Paks, enterprise can now break through storage bottlenecks and have unconstrained data availability in the hybrid and multicloud environments, so we're pretty happy with the progress we're making that together with IBM. >> Yeah, Evaristus, I mean, you guys are making some big bets. I've, you know, written and discussed in my breaking analysis, I think a lot of people misunderstand IBM Cloud, Ginni Rometty arm and a bow said, hey, you know, we're after only 20% of the workloads are in cloud, we're going after the really difficult to move workloads and the hybrid workloads, that's really the fourth foundation that Arvin you know, talks about, that you and IBM has built, you know, your mainframes, you have middleware services, and in hybrid Cloud is really that fourth sort of platform that you're building out, but you're making some bets in AI. You got other services in the Cloud like, like blockchain, you know, quantum, we've been having really interesting discussions around quantum, so I wonder if you can talk a little bit about sort of where you're allocating resources, some of the big bets that, that you're making for the next decade. >> Well, thank you very much, Dave, for that. I think what we're seeing with clients is that there's increasing focus on and, and really an acceptance, that the best way to take advantage of the Cloud is through a hybrid cloud strategy, infused with data, so it's not just the Cloud itself, but actually what you need to do to data in order to make sure that you can really, truly transform yourself digitally, to enable you to, to improve your operations, and in use your data to improve the way that you work and improve the way that you serve your clients. And what we see is and you see studies out there that say that if you adopt a hybrid cloud strategy, instead of 2.5 times more effective than a public cloud only strategy, and Why is that? Well, you get thi6ngs such as you know, the opportunity to move your application, the extent to which you move your applications to the Cloud. You get things such as you know, reduction in, in, in risk, you, you get a more flexible architecture, especially if you focus on open certification, reduction and certification reduction, some of the tools that you use, and so we see clients looking at that. The other thing that's really important, especially in this moment is business agility, and resilience. Our business agility says that if my customers used to come in, now, they can't come in anymore, because we need them to stay at home, we still need to figure out a way to serve them and we write our applications quickly enough in order to serve this new client, service client in a new way. And well, if your applications haven't been modernized, even if you've moved to the Cloud, you don't have the opportunity to do that and so many clients that have made that transformation, figure out they're much more agile, they can move more easily in this environment, and we're seeing the whole for clients saying yes, I do need to move to the Cloud, but I need somebody to help improve my business agility, so that I can transform, I can change with the needs of my clients, and with the demands of competition and this leads you then to, you know, what sort of platform do you need to enable you to do this, it's something that's open, so that you can write that application once you can run it anywhere, which is why I think the IBM position with our ecosystem and Red Hat with this open container Kubernetes environment that allows you to write application once and deploy it anywhere, is really important for clients in this environment, especially, and the Cloud Paks which is developed, which I, you know, General Manager of the Cloud Pak Ecosystem, the logic of the Cloud Paks is exactly that you'll want plans and want to modernize one, write the applications that are cloud native so that they can react more quickly to market conditions, they can react more quickly to what the clients need and they, but if they do so, they're not unlocked in a specific infrastructure that keeps them away from some of the technologies that may be available in other Clouds. So we have talked about it blockchain, we've got, you know, Watson AI, AI technologies, which is available on our Cloud. We've got the weather, company assets, those are key asset for, for many, many clients, because weather influences more than we realize, so, but if you are locked in a Cloud that didn't give you access to any of those, because you hadn't written on the same platform, you know, that's not something that you you want to support. So Red Hat's platform, which is our platform, which is open, allows you to write your application once and deploy it anyways, particularly our customers in this particular environment together with the data pieces that come on top of that, so that you can scale, scale, because, you know, you've got six people, but you need 600 of them. How do you scale them or they can use data and AI in it? >> Okay, this must be music to your ears, this whole notion of you know, multicloud because, you know, Intel's pervasive and so, because the more Clouds that are out there, the better for you, better for your customers, as I said before, the more optionality. Can you6 talk a little bit about the rela6tionship today between IBM and Intel because it's obviously evolved over the years, PC, servers, you know, other collaboration, nearly the Cloud is, you know, the latest 6and probably the most rel6evant, you know, part of your, your collaboration, but, but talk more about what that's like you guys are doing together that's, that'6s interesting and relevant. >> You know, IBM and Intel have had a very rich history of collaboration starting with the invention of the PC. So for those of us who may take a PC for granted, that was an invention over 40 years ago, between the two companies, all the way to optimizing leadership, IBM software like BB2 to run the best on Intel's data center products today, right? But what's more germane today is the Red Hat piece of the study and how that plays into a partnership with IBM going forward, Intel was one of Red Hat's earliest investors back in 1998, again, something that most people may not realize that we were in early investment with Red Hat. And we've been a longtime pioneer of open source. In fact, Levin Shenoy, Intel's Executive Vice President of Data Platforms Group was part of COBOL Commies pick up a Red Hat summit just last week, you should definitely go listen to that session, but in summary, together Intel and Red Hat have made commercial open source viable and enterprise and worldwide competing globally. Basically, now we've65 used by nearly every vertical and horizontal industr6y. We are bringing our customers choice, scalability and speed of innovation for key technologies today, such as security, Telco, NFV, and containers, or even at ease and most recently Red Hat Openshift. We're very excited to see IBM Cloud Packs, for example, standardized on top of Openshift as that builds the foundation for IBM chapter two, and allows for Intel's value to scale to the Cloud packs and ultimately IBM customers. Intel began partnering with IBM on what is now called Pax over two years ago and we 6are committed to that success and scaling that, try ecosystem, hardware partners, ISVs and our channel. >> Yeah, so theCUBE by the way, covered Red Hat summit last week, Steve Minima and I did a detailed analysis. It was awesome, like if we do say so ourselves, but awesome in the sense of, it allowed us to really sort of unpack what's going on at Red Hat and what's happening at IBM. Evaristus, so I want to come back to you on this Cloud Pack, you got, it's, it's the kind of brand that you guys have, you got Cloud Packs all over the place, you got Cloud Packs for applications, data, integration, automation, multicloud management, what do we need to know about Cloud pack? What are the relevant components there? >> Evaristus: I think the key components is so this is think of this as you know, software that is designed that is Cloud native is designed for specific core use cases and it's built on Red Hat Enterprise Linux with Red Hat Openshift container Kubernetes environment, and then on top of that, so you get a set of common services that look right across all of them and then on top of that, you've got specific both open source and IBM software that deals with specific plant situations. So if you're dealing with applications, for example, the open source and IBM software would be the run times that you need to write and, and to blow applications to have setups. If you're dealing with data, then you've got Cloud Pack to data. The foundation is still Red Hat Enterprise Linux sitting on top of with Red Hat Openshift container Kubernetes environment sitting on top of that providing you with a set of common services and then you'll get a combination of IBM zone open, so IBM software as well as open source will have third party software that sits on top of that, as well as all of our AI infrastructure that sits on top of that and machine learning, to enable you to do everything that you need to do, data to get insights updates, you've got automation to speed up and to enable us to do work more efficiently, more effectively, to make your smart workers better, to make management easier, to help management manage work and processes, and then you've got multicloud management that allows you to see from a single pane, all of your applications that you've deployed in the different Cloud, because the idea here, of course, is that not all sitting in the same Cloud. Some of it is on prem, some of it is in other Cloud, and you want to be able to see and deploy applications across all of those. And then you've got the Cloud Pack to security, which has a combination of third party offerings, as well as ISV offerings, as well as AI offerings. Again, the structure is the same, REL, Red Hat Openshift and then you've got the software that enables you to manage all aspects of security and to deal with incidents when, when they arise. So that gives you data applications and then there's integration, as every time you start writing an application, you need to integrate, you need to access data security from someplace, you need to bring two pipes together for them to communicate and we use a Cloud Pack for integration to allow us to do that. You can open up API's and expose those API so others writing application and gain access to those API's. And again, this idea of resilience, this idea of agility, so you can make changes and you can adapt data things about it. So that's what the Cloud Pack provides for you and Intel has been an absolutely fantastic partner for us. One of the things that we do with Intel, of course, is to, to work on the reference architectures to help our certification program for our hardware OEMs so that we can scale that process, get many more OEMs adopt and be ready for the Cloud Packs and then we work with them on some of the ISV partners and then right up front. >> Got it, let's talk about the edge. Kity, you mentioned 5G. I mean it's a really exciting time, (laughs) You got windmills, you got autonomous vehicles, you got factories, you got to ship, you know, shipping containers. I mean, everything's getting instrumented, data everywhere and so I'm interested in, let's start with Intel's point of view on the edge, how that's going to evolve, you know what it means to Cloud. >> You know, Dave, it's, its definitely the future and we're excited to partner with IBM here. In addition to enterprise edge, the communication service providers think of the Telcos and take advantage of running standardized open software at the Telco edge, enabling a range of new workloads via scalable services, something that, you know, didn't happen in the past, right? Earlier this year, Intel announced a new C on second generation, scalable, atom based processes targeting the 5G radio access network, so this is a new area for us, in terms of investments going to 5G ran by deploying these new technologies, with Cloud native platforms like Red Hat Openshift and IBM Cloud Packs, comm service providers can now make full use of their network investments and bring new services such as Artificial Intelligence, augmented reality, virtual reality and gaming to the market. We've only touched the surface as it comes to 5G and Telco but IBM Red Hat and Intel compute together that I would say, you know, this space is super, super interesting, as more developed with just getting started. >> Evaristus, what do you think this means for Cloud and how that will evolve? Is this sort of a new Cloud that will form at the edge? Obviously, a lot of data is going to stay at the edge, probably new architectures are going to emerge and again, to me, it's all about data, you can create more data, push more data back to the Cloud, so you can model it. Some of the data is going to have to be done in real time at the edge, but it just really extends the network to new horizons. >> Evaristus: It does exactly that, Dave and we think of it and which is why I thought it will impact the same, right? You wouldn't be surprised to see that the platform is based on open containers and that Kubernetes is container environment provided by Red Hat and so whether your data ends up living at the edge or your data lives in a private data center, or it lives in some public Cloud, and how it flows between all of them. We want to make it easy for our clients to be able to do that. So this is very exciting for us. We just announced IBM Edge Application Manager that allows you to basically deploy and manage applications at endpoints of all these devices. So we're not talking about 2030, we're talking about thousands or hundreds of thousands. And in fact, we're working with, we're getting divided Intel's device onboarding, which will enable us to use that because you can get that and you can onboard devices very, very easily at scale, which if you get that combined with IBM Edge Application Manager, then it helps you onboard the devices and it helps you divide both central devices. So we think this is really important. We see lots of work that moving on the edge devices, many of these devices and endpoints now have sufficient compute to be able to run them, but right now, if they are IoT devices, the data has been transferred to hundreds of miles away to some data center to be processed and enormous pass and then only 1% of that actually is useful, right? 99% of it gets thrown away. Some of that actually has data residency requirements, so you may not be able to move the data to process, so why wouldn't you just process the data where the data is created around your analytics where the data is spread, or you have situations that are disconnected as well. So you can't actually do that. You don't want to stop this still in the supermarket, because there's, you lost connectivity with your data center and so the importance of being able to work offline and IBM Edge Application Manager actually allows you so it's tournament so you can do all of this without using lots of people because it's a process that is all sort or automated, but you can work whether you're connected or you're disconnected, and then you get replication when you get really, really powerful for. >> All right, I think the developer model is going to be really interesting here. There's so many new use cases and applications. Of course, Intel's always had a very strong developer ecosystem. You know, IBM understands the importance of developers. Guys, we've got to wrap up, but I wonder if you could each, maybe start with Kit. Give us your sense as to where you want to see this, this partnership go, what can we expect over the next, you know, two to five years and beyond? >> I think it's just the area of, you know, 5G, and how that plays out in terms of edge build out that we just touched on. I think that's a really interesting space, what Evaristus has said is spot on, you know, the processing, and the analytics at the edge is still fairly nascent today and that's growing. So that's one area, building out the Cloud for the different enterprise applications is the other one and obviously, it's going to be a hybrid world. It's not just a public Cloud world on prem world. So the whole hybrid build out What I call hybrid to DoD zero, it's a policy and so the, the work that both of us need to do IBM and Intel will be critical to ensure that, you know, enterprise IT, it has solutions across the hybrid sector. >> Great. Evaristus, give us the last word, bring us home. >> Evaristus: And I would agree with that as well, Kit. I will say this work that you do around the Intel's market ready solutions, right, where we can bring our ecosystem together to do even more on Edge, some of these use cases, this work that we're doing around blockchain, which I think you know, again, another important piece of work and, and I think what we really need to do is to focus on helping clients because many of them are working through those early cases right now, identify use cases that work and without commitment to open standards, using exactly the same standard across like what you've got on your open retail initiative, which we're going to do, I think is going to be really important to help you out scale, but I wanted to just add one more thing, Dave, if you if you permit me. >> Yeah. >> Evaristus: In this COVID era, one of the things that we've been able to do for customers, which has been really helpful, is providing free technology for 90 days to enable them to work in an offline situation to work away from the office. One example, for example, is the just the ability to transfer files and bandwidth, new bandwidth is an issue because the parents and the kids are all working from home, we have a protocol, IBM Aspera, which will make available customers for 90 days at no cost. You don't need to give us your credit card, just log on and use it to improve the way that you work. So your bandwidth feels as if you are in the office. We have what's an assistant that is now helping clients in more than 18 countries that keep the same thing, basically providing COVID information. So those are all available. There's a slew of offerings that we have. We just want listeners to know that they can go on the IBM website and they can gain those offerings they can deploy and use them now. >> That's huge. I knew about the 90 day program, I didn't realize a sparrow was part of that and that's really important because you're like, Okay, how am I going to get this file there? And so thank you for, for sharing that and guys, great conversation. You know, hopefully next year, we could be face to face even if we still have to be socially distant, but it was really a pleasure having you on. Thanks so much. Stay safe, and good stuff. I appreciate it. >> Evaristus: Thank you very much, Dave. Thank you, Kit. Thank you. >> Thank you, thank you. >> All right, and thank you for watching everybody. This is Dave Volante for theCUBE, our wall to wall coverage of the IBM Think 2020 Digital Event Experience. We'll be right back right after this short break. (upbeat music)

>> Host: Live from San Diego, California, it's the CUBE, covering Cisco Live US 2019. Brought to you by Cisco and its ecosystem partners. >> Hi, welcome back to the CUBE, Lisa Martin with Stu Miniman, covering day one of Cisco Live from sunny San Diego. We're pleased to welcome back a couple of our alumni. To my right Eric Herzog, CMO of IBM Storage. Eric it's always great to have you. >> Great. >> And you fashion choices on the CUBE. >> Always wear a Hawaiian shirt for the CUBE. >> I know, it's a thing. And we've also got Evaristus Mainsah, General Manager of IBM Cloud Private Ecosystem. Evaristus it's great to have you back on the program. >> Thank you very much, delighted to be here. >> So guys here we are, we're in the dove nut zone. Lots of collaboration, lots of conversations day one of Cisco Live. But this events been around for 30 years. Long time, I think Chuck Robins said this morning what also turned 30 this year is Tetris. Anybody a big fan of Tetris? So, so much progress, so much change. I know you've seen a lot of it. Eric lets start with you. The global economy, what are the impacts it's having on IT? >> Well I'd say the number one thing is everyone is recognized the most valuable asset is data. It's not gold, it's not silver, it's not plutonium and it definitely isn't oil, it's all about data. And whether it be a global Fortune 500, a midsize company or Herzogs Bar & Grill, data is your most valuable asset. So at IBM Storage, what we've done is making sure that our focus is on being data-driven. It's all about solutions, it's not about speeds and feeds. Of course, having done this for 35 years I could have whacked poetically on speeds and feeds. And even if you have some speeds and feeds that Stu may not even remember anymore. That said, it's really about data, it's not about storage speeds and feeds. How really storage is that critical foundation for applications, workloads and use cases. And that's what's most important. >> Yeah, so Eric, when they rolled out on stage this morning that 30 year old box with ribbon cable, yeah, that predated a little bit when I was looking at IT. But, I remember when I started in IT, when we talked about security, the main thing was lock the door of the cabinet that everything was in there, because it was kind of self-contained. Security's gone through a few changes in the last you know 20 25 years though. Maybe you could talk a little bit about that kind of security resiliency. Obviously, something that's impacted the network for a long time, something that IBM sees front and center. >> What I think the big deal is what most people think when they think of security, is I got to buy security software. So I got to call up IBM Security or RSA or the Intel Security Division and buy some security software. And while that's great the reality is as many people have written about, in fact Wikibon SiliconANGLE's written about it. Close to 98% of all enterprises, and I mean big enterprises now are going to get to be broken into. And you've seen this all over the news. So the key thing is once they're inside, storage can help you with a cyber resiliency play. And at IBM Storage whether that be data at rest encryption. Whether that be malware or ransomware protection. We put together a whole set of technology that when the bad guys in the house they can't steal the TV. Because we've locked it down. It's almost as if it was in a safe. Maybe it's almost like the cloak in science fiction where you can't even see the Romulan ship, because it's cloaked. Well guess what, that's what IBM storage can do for your data and it is your most valuable asset. So critical to cyber resiliency. >> So helping customers go from reactive to this expectation breach has happened very very frequently every few seconds to being proactive? >> Yeah, I mean. >> Eventually predictive? >> Well what we do is for example with our Spectrum Protect software. When there's a malware or ransomware attack, what happens is they always go after you're secondary data sets first. I know that sounds weird but they go after your backups, your snapshots and your replicas. 'Cause when they attack your primary data, if they've you can just recover from a backup they can't hold you for $10 million of ransom. So our Spectrum Protect software for example, when it sees anomalous activity in backup data sets, sends an email on a warning out to all the admins and says you have weird activity going on, you might want to check it out and that way you would know. Because secondarity is attacked first in a cyber resiliency strategy. >> You know, the other thing we're seeing a lot is just the scope of what's happening in IT. When you talk about things like scale and you talk about you know edge computing and so much change going on. There's got to be AI in there or machine learning to help us because humans alone can't keep up with what's going on here. Tell us a little bit about that Eric. >> So Big data and AI is like the hot topic right now. Cyber resiliency is important 'cause people obviously have been buying security software for a while. So it's more what we do is really an adjunct to that. In the case of Big data and AI, it's a brand new open field. Everyone is looking for solutions in both of those spaces. We have created a complete set of data infrastructure we've called the AI pipeline. It involves not only physical storage arrays but a whole bunch of software. In fact our Spectrum Discover software which allows you to create metadata catalogs about file and object data is being expanded. And we already publicly said this in the second half To include EMC and Netapp and AWS, not just IBM Storage. So it's a critical thing, you've got to make sure the other thing is when you're using AI. Let's say you're going to use AI to run a factory. If the storage goes down, those robots aren't working. So storage is that critical underlying foundation. A in a Big data network load to be able to have this pipeline to get the data. But if you don't have the resiliency, the performance and the availability of the underlying storage everything shuts down if the storage fails. 'Cause the AI software won't run. So that's how we see fitting in to their both the critical foundation also this AI data pipeline with all of our software. >> So before we get in to this Cisco partnership with Evaristus, it's one more question Eric for you. As Chief Marketing Officer, you talk about the customers all of the time. In that example that you just gave about the criticality of storage for AI where are you having conversations within customer organizations. Is it at the level of the storage girls and guys or has it gone up to lines of business to executives. >> Yeah so, from an AI perspective it runs a gamut. It could be sometimes the storage people. Sometimes the infrastructure people. A lot of times it's actually in the line of business or at the data scientist level. On the Big data side it's a little bit more mature so people know they need to do analytics versus AI. And so when you look at it from that perspective on that side it's often the storage guy but it's also the data scientist as well. So that's who we talk to to get things rolling. And it's not, we don't just talk to the storage admin for either of them, because they're both so new and they have such a big impact on the data scientists and the analytic engine committees inside of those giant enterprises. >> I can imagine eventually maybe question for you. Of that conversation elevating it up to the sweet sweet. Because if you can't access the data, if it can't be protected, what good is it? Right, it's really, to say it's the lifeblood is a silly thing, but we say it all the time. But it's critical, it's table stakes. >> Well one of the things that's interesting is I just got my Fortune 500 magazine at home, that had the Fortune 500 list in it. And there was an interesting article on AI and the enterprise. And they did a survey according to Fortune magazine, 50% of the CIO's that are in the Fortune 500 said they're using AI and Big data of some type. So it's sweeping the world. And it started of course in HPC in the academics. But now it's going into all enterprises of all types. >> Alright so we've talked a few years about the Versastack Partnership. But the last year or so we've really been talking about where Hybrid cloud and multi-cloud fit in to this. We talked a little bit at IBM Think. Evaristus we talked at another show about some of the IBM Cloud Private. Give us the update where we are with customers and how that fits, Eric lets start with you and Evaristus just go into the partnership. >> Sure from a storage version perspective, we've been talking about a Hybrid multi-cloud now for several years. And in fact I did a presentation two years ago at Cisco Live on Hybrid cloud using Versastack. Today I gave one on the data driven enterprise and why hybrid multi-cloud is important to use. So that was the 30 minutes presentation I did today. So I think the key thing is we make sure that we A our Hybrid it's not going to all public or all private. And we can move data seamlessly back and forth. And then also multi-cloud. When you look at enterprise shops, they're not just going to use IBM Cloud. I wish they would I'm an IBM shareholder but they're not. They use IBM, they're going to use ABS, they're going to use Amazon and in many cases they're going to use some smaller cloud provider. So we make sure that we can move data around across any multi-cloud of various different providers to accompany. But also Hybrid cloud as well. >> So the status talk to use about you know from a partnership Cisco IBM Cloud Private perspective, what's going on there Evaristus? >> Well Thank you very much. Well IBM and Cisco have been partners for a long long time. And what we are doing now is given the realities, the fact that those clients have found themselves in a multi-cloud environment, >> Hybrid multi-cloud environment. What we can do to help clients so they can develop they can test, they can manage the applications in a consistent manner, whether they are on prime or in the cloud. And there are a couple of initiatives that we are announcing. One of them is that IBM Cloud Private is going to run on Hyperflex, so Cisco's Hyperflex. As well as hyperflex, hyper-conversed infrastructure. What it means is a client who currently has hyperflex can have IBM Cloud Private on it. Which effectively means they have themselves a Private Cloud environment that also connects to other public cloud environments and allows you to really begin to work within a Hybrid cloud environment the way that most clients need to. The second initiative is that we will have ACI pods or V pods, virtual ACI, running in the IBM public cloud. Which basically means that again, Cisco customers, ACI Network customers who currently use the produce on Prime will be able to use exactly you know the same control pane to manage their deployments and to manage their security preferences on Prime as they do in the cloud. And this again surrounding the Public Cloud is running on bare metal on the IBM Cloud. >> Alright, Evaristus can you bring us inside a little bit the applications you know. Eric talked about you know data we know is so important. Really it's the applications that are driving that. It's where we're seeing the most change in customers, as to how they're moving or building new applications. And in Hyber cloud it's one of the biggest questions for customers is what do they do with that application portfolio? >> Yes so what we're seeing is clearly because you know. Clients have now lots of different Public clouds. They also have Private clouds to deal with them. They have lots of applications that are currently that need to move right. We believe 20% of those applications have moved, the remaining 80% are still on Prime. And so the trend that we are really seeing is applications moving to the cloud. And the two ways of doing it you could do this by simply lifting and shifting on VM, you get the contraction benefit of your stack right. So you can some cost impacts. But the really interesting way that you see lots of clients moving is modernizing the applications. Because the real valued driver with infinite cloud is not so much cost as innovation. And when you convert those applications into Microsoft this is the right and let me run them in containers it gives them plenty of flexibility. And wasting lots of clients that want to use IBM Cloud Private as a platform to enable that modernization journey. >> So as every industry is living in this Hybrid multi-cloud world for many reasons. But it sounds like to me is that the IBM Cisco relationship is deepening as a result to enable these organizations that are in these very amorphous environments. You know as we see the explosion of Edge and Mobile, that's what it sounds like to me. Is that this long standing partnership is getting deeper and maybe a stronger foundation. To help customers not just live in this Hybrid multi-cloud world but be successful so that their businesses gain competitive advantage. They can identify new products and services and revenue streams. >> Yeah, I think multi-cloud and Hybrid cloud actually requires partnerships. Because as Eric said later on of course you like everybody to be on the IBM Cloud and it's a great cloud. But we recognize that many clients who have a variety of different plights to deal with. They have a variety of different infrastructures. And that's why when you look at IBM Cloud Private which is you know our offering that really enables that Hybrid cloud. It is designed to managed that. So It is multi-model, so if you want to run it as a VM you can, you want to run your containers, you can run serverless, you can run them bare metal. But also, it supports a range of different infrastructure. So not only does it run on Z, it runs on power, it runs on Spectrum Storage. We announce running now on Hyperflex. It also runs on other peoples Public clouds. It runs on Azure, it runs on Amazon web services, it runs on Google Cloud platform, it runs on the IBM Cloud. And the intent here is to enable clients to basically manage and work with that infrastructure as if it was one. The way that Stu said in the data center where you locked everything up. Well it's not like that anymore. But the most that we can do is to enable clients to treat all of that infrastructure as one. And that's what sort of aim to do with our platforms. >> Alright, I guess last question I'd like to get both of your comments on. Is your advice for customers, you know, customers have that they have a lot of you know existing things that they have to deal with, that they're looking to modernize. What advice do you give them? Where do you start them you know I guess you know one of the things you're starting where they are. But you know what are some of the first steps and recommendations that you have for customers today? >> We have a process that works really well, which is called the IBM Garage. Which is effectively a way that we used to co-create with our clients to solve the immediate problems. So a client for example, who is looking at app modernization but isn't sure where to start, which app. What we do is we get their teams together with our teams line of business together with IT and our teams and we spend a couple of days in a design thinking workshop to identify a minimum viable product. Which is something that solves a problem not big enough that it will take forever, but big enough to matter. Then we get our teams to work side-by-side, we code it, we test it, we deploy it, we'll run it in the IBM Cloud. We manage it, at like in one week sprints. And then you spend another few days at the end of week four or five to do a see retrospective to see whether it solved the problem as you expected. And if it did, you pick the next piece of work to continue your journey. So before you know, five weeks in, you have your first application modernized. Or you have your first cloud negative ready. >> Now from a storage perspective it's a little bit easier. We supported storage on bare metal. We supported storage in all the virtual environments. KVM, OVM, obviously VM we're in Hyper V. And now, we've been supporting containers for over two years. So we say is leave no data behind. If certain data needs to stay on bare metal, that's fine we can support that. But we can also transparently migrate data back and forth between the various tiers of container-based virtualization-based or the old style bare metal. So from our perspective, we help them move data around where they need it. And if they're still running in a hybridized world in this case, containers, virtual and bare metal that's fine. If they just go containers that's fine. If they just go virtual it's fine. So for us, because of what we've been supporting now for several years, we can help them on that journey. And traverse from any one of those three layers, which is where data sits in today's data centers and cloud environments. >> So overall a lot of collaboration, a lot of customer choice. Gentlemen, Thank you for joining Stu and me the program this afternoon, great to have you back. >> Thank you >> Great, Thank you. Glad to be on the CUBE. >> Oooh our pleasure. For Stu Miniman, I am Lisa Martin. You're watching the CUBE, live from day one of our coverage on Cisco Live. Thanks for watching. (energetic music)

live from Las Vegas it's the queue covering del technology's world 2019 to you by del technologies and its ecosystem partners welcome back to the cubes live coverage of del technologies world here at the sands Expo in the Venetian in Las Vegas I'm your host Rebecca night along with my co-host stu minimun we have two guests this segment we have Everest us main saw he is the general manager IBM cloud private ecosystem and Brendan Kincaid vice-president strategic partners cloud and cognitive software both at IBM thanks so much for coming on the show thank you very much for having us so the word on the street it is a multi cloud world it is it is the debate over public and private cloud it's over we know it's both and when we know it's multi cloud so can you talk a little bit about how this partnership is making it easier for customers sure so first we have a very strong multifaceted partnership with the Delft Technologies family of companies so for instance our partnership with VMware dates back some 10 years IBM was the first major cloud provider to bring the full VMware sddc stack to clients we're also the world's largest operator of VMware workloads so for us we have great experience working with VMware and the Dell technologies family of companies on-premises as well as in the cloud so Dells a major infrastructure partner and supplier to us we also have created a new offer that we're showing here at the show and it is around what we're doing with IBM cloud private on Dell technologies VX rail in addition and IBM we partner with them for so long and in so many ways that we've seen great results we've seen consistent year-over-year growth with particularly with our VM for our partnership and we've established a connection as well between Delta protection solutions and IBM cloud with data domain being able to tear out to IBM cloud object storage so the relationship between IBM and Dell technologies allows our joint customers to really capitalize on what they're doing on premises on the public cloud and truly as a hybrid cloud all right so ever it's just wonder if you could help you know bring us into that IBM cloud private solution a bit you know I had long history looking at you know the IBM VMware you know IBM was one of the you know big companies that helped to bring virtualization I remember wonderful commercials used to be like I'm in the datacenter where did everything go it's like oh we virtualized it and it just you know had a big rack of you know IBM blade servers so I've been crowded cloud private something I'm familiar with I'm not sure how much of the world knows that piece of the IBM cloud story so maybe you just bring this up up to date as to where that is and I tell you myself a little surprised it's like oh you know a few years ago talking about like you know Dell hardware it's part of that solution what would have surprised a lot of people this is not IBM of a few years back oh absolutely thank you Stu so the IBM cloud private it really is a jewel in the crown of our overall hybrid cloud strategy so we talked about hybrid being pretty much everything now because every single client will have some infrastructure and some solutions and apps that even live in the private cloud they live in the datacenter they live in multiple public clouds that all need to be integrated and what IBM cloud private does is it provides a layer build around containers and kubernetes to enable clients to begin the journey to begin the modernization of their apps it's designed to the multimodal so because it's truly hybrid we want to meet clients where they are so if clients are running on Z for example it runs on it obviously runs on VX and the IBM tell Dell as well so I love you you're hitting about a buzzwords for me you know containerization kubernetes will have the cube I'll be at Q con Barcelona in just a few weeks I've talked to lots of IBM executives we know the commitment IBM in that space I'd love to talk a little bit about the application space there because hybrid applications and modern you know pieces there is still you know interesting to see where that is compared to say district virtualized environments that they might have had in the past yes so the value of having your applications sort of run as micro services in containers is that you can create small pieces of the app and you can get you can get to value much more quickly so the old days are the road apps you write one big monolithic application that did a lot of different things sometimes you have to shut down your data center in order to do upgrades but micro services running containers you can write ones in a small container you can then deploy that container across a variety of different both public and private clouds without having to rewrite that so it's basically it enables you to be able to write once and run anywhere and that really helps drive innovation can you give us some specific use cases I mean we I know that there is no cookie cutter solution every organizations needs are different but can you talk about how some companies even without naming names are using these products so we have companies that use this in reservation systems in order to deal with which changes with rebooking we have some clients have done that and in fact the best way to think about this is the results that we get from studies so recently we had a study done by ovum recently looking at clients that use both our IBM cloud private as well as a multi cloud manager multi card managers interesting product because it enables you to be able to see manage workload across a variety of different clouds both private and public as long as those clouds are built and open which is central to the way that we work and they found that there was a 75% productivity benefit from deploying cloud related apps from deploying IBM cloud private and multi cloud manager so Brendan in the keynote this morning pack elster the CEO of VMware said that their STD size sea stack is you know the you know infrastructure piece that's going to live in the multi cloud world talk about how that fits into you know your solution and you know what are what IBM seeing broadly about that well IBM strategy is really around five basic tenets it is hybrid hybrid multi-cloud open secure and managed so for us that's what we see from clients our research shows us that in the enterprise most over 94% of the customers are using multiple public clouds yet only 20% of the workloads have moved there today so the real opportunity is around the other 80% of business applications that need to be able to move to the cloud but they need to do so with security and the ability to manage across both on-premises private clouds and multiple public clouds so what causes that change that discrepancy I mean what would you say are the reasons for that is that is that sort of entrenched attitudes within the workforce I think that that process is largely manual today and it has major implications around security you know there's also a lack of consistent cloud management and automation services to make that easier for clients to deploy so how do you help customers deal with this I mean we know that there's certain people process and technology technology in a lot of ways this is the easy part so how do you bring customers along in that journey and make sure that everyone is on board one of the ways in which we do this is actually using the IBM garage where you bring all the key stakeholders together and it's a it's a process that begins with bringing the stakeholders together identifying a Minimum Viable Product that you can go implement something that's small enough that you can do with lower risks because the key is not to buy too much that you can chew but big enough that it's impactful because this is not something that you throw away then you code that solution and you run this solution you deploy it and then you manage it and then you do a retrospective to see how that worked and then you go through the same process again to pick your MVP - that way you can help clients in their journey by basically beginning where they are picking the most needy of solutions and then getting them on that journey and they're seeing results - which then reinforces the process and they can see results - and in fact if there's a forest report that came out recently looking at a subset of IBM cloud private customers that showed a 40 percent improvement in in the productivity of your developers including a return of a payback of 11 months and in return of more than 200% much of that driven client said by the ways in which IBM has configured the kubernetes and containers into a stable low-risk easy to consume and cost-effective offering so for any one of the things we've really seen at this show is delve technologies and VMware field and channel are really rallying together on them when it comes to go to market on the cloud solutions IBM is no slouch when it comes to services and go to market there so so how do all these pieces fit together so very highly complementary in fact so if we look at the work we've done with VMware on IBM cloud we have over 1,700 customers meteoric year-over-year growth we we have been able to deploy probably more enterprise workloads on VMware cloud than any other provider to date and I think that we really see that this all fits together IBM out of strength and services IBM services are you know one of the leading system integrators in the world we have capabilities from managing on-premises to the public cloud and our sweet spot is really working in the hybrid cloud and dealing with these complex workloads that enterprise customers have right these are the easy apps have already been put on the cloud it's it's the more difficult complex ones that still remain on-premises and the challenges around moving those and and taking advantage of a true hybrid environment that present an opportunity for clients to improve their business capabilities as well as for IBM Dell VMware cetera so for the customers who are watching at home and are tantalized by what they're hearing here what is the best way for them to get engaged and get more information about this partnership and the solutions that we've been talking about today I think the the the best thing is to get started where you are right and if you are Dell customer then of course the solution that runs on their EMC VX rail is a hyper-converged hybrid cloud platform which means you know you basically got your compute you've got your storage you got your networking all in one and one of the issues often is where the get started and customers get start sort of wondering about choices you've got something here that's effectively can think of it as a private cloud in a box will IBM cloud private on top of it you can basically get started and get started trying to write your very first up modernizing your existing app or writing new cloud natives on that platform I happen to see a big IBM booth when you first walk into the expo hall I'm curious are people surprised to see IBM here do they comprehend it what are some of the conversations you're having you know I don't think so I think last year we were Dell technologies system integrator partner of the year we were VMware's cloud partner of the year and this year just recently at partner Leadership Summit VMware announced us as their integrate public cloud partner of the year so that is really integrate public cloud is about what we do integrating on-premises with the public cloud so I don't think there should be any surprise where we're strategic partners with the Dell technologies family of companies there's a lot of synergy and complimentary offerings and we've got some powerful solutions that are differentiated and really bring value to clients well everest is Brendan thank you so much for coming on the cube it's been a great conversation thank you very much thank you very much I'm Rebecca Knight force 2 minimun we will have so much more coming up of the cubes live coverage from Dell technologies world stay tuned