>>from >>around the globe. It's the Cube with digital coverage of AWS reinvent 2020. Special coverage sponsored by A. W s Global Partner Network. >>Welcome back to the cubes. Coverage of reinvent 2020 virtual. Three weeks. We're here covering all the action. Virtually Mister Cube. Virtual normally were in person. This year. We're remote. It's cute. Virtual. We are the cube virtual. And I'm please have a great guest here, man. Who? Car Kumar, Who's the VP of product market Nutanix. Um, the tons of deep coverage on Nutanix over the years we followed the this company since its inception almost over just over 10 years ago. Uh, medic are Welcome to the Cube. Thanks for coming on today. >>Nice to be here, John. >>Were part of the A p. M. Partner experience programming in within. The reinvent is a big day here. Um, you guys are a big part of it. You you have such a great partnership with a W s. You have product on on a W s, which is a high distinction in the in the spirit of their partnership technology rise. Can you tell us real quick? A quick update on the partnership with AWS. What is it? How's it going? What's new? >>So I think about it. We had a dot next John, and as part of that, we announced something called Nutanix clusters. And as part of that cluster that's our hybrid, uh, solution. Basically, what we're saying is we have a lot of customers who certainly had to, you know, take years or maybe even months of digital transformation. And then all of a sudden, they have to now figure out how do I go toe elastic work Lord, in a few weeks. So we were seeing a lot of our customers coming to us and saying, Hey, we really need help with this. We no longer in a situation where we have to go on by a silver and rack and stack that and then, you know, manage all of that over a pair of month. We really need to do something in few weeks, and when we do that, we need some tools that we are really familiar with and something that can help us get toe cloud as quickly as possible. So we were seeing this a lot even before the macro conditions. So sometime around August, we as part of our annual conference. We did announce a partnership with Data Blue s where now you can run an entire Nutanix cluster with all of its products on AWS bare metal as well. And that's the hybrid solution that we're talking about John today. >>That's awesome. And in line with the major themes and waves from the announcements from Andy Jassy and slew of kind of higher level services because the co fit pandemic really highlights this digital transformation of cloud bursting Thio. You know, deploying quicker in the cloud, being more agile and having speed thio value because you need it because of the world's changed. But it's also highlighted. This is a key theme. I want to get your reaction. Teoh is the hybrid Cloud E. I mean, it's been out there. We saw Outpost two years ago, and it's been kind of filling in and and now the environment is clear, right? The enterprises they're saying, I have to operate on premises and in the cloud the same kind of way, but I'm going to do different things. It's not just lift and shift. Throw in the cloud that's been there, done that. It's different. Now it's operating models and environment. Two different environments operate the same. Your reaction. >>That's exactly right. In fact, what we're seeing is from an i d perspective. The new reality is multiple environments on those environments. You know, it could be your, of course, your private data center. It could be your public cloud. Sometimes it could even be the edge and so on. And every time what we see is if you don't have the portability off your workload, you have to kind of redo a whole bunch of things. You have to re factor your applications. You have to go maybe even re skill, your entire workforce. And so there's a lot of overhead involved. Whenever portability is involved in The new reality is that you have to have portability, which is the reason why we see, even with kubernetes, taking such a strong hole in a lot of these organizations. So we've we've been seeing a bunch of different use cases come to us as well. Some customers saying, Hey, that's great that we have all of these multiple tools, but I want consistency. I want consistency in the constructs off the way I manage my i t If I'm managing some workload abs in a different way on Prem, I want to maintain that also in Public Cloud. How do I do that? So clusters really tries to address that gap. In fact, another story I will tell you, John, is that disaster recovery is one of those use cases that we're seeing quite a lot in these conditions as well. We had one customer come to us based in Oregon and they had, of course, you've heard about the fires over there, and they did not really have a disaster recovery plan. So what do you do in situations like that? You have to rely on cloud. So within four hours, we were able to help them to take, you know, their entire infrastructure and have a recovery plan directly into the cloud. So you're seeing a lot off. You use cases like that to, >>you know, that's interesting. The d. R. That recovery is a great one of many use cases, but it highlights the pandemic surge of the change right that the sea change. It's so fast. Okay, Yeah, disaster recovery. We're gonna cloud great solution. But because of the personnel challenges. It also works well, too. So this is the theme. You know, personnel may or may not be available. I got to get to the cloud. I gotta have everything. Software run. Everything is being run by software. So this kind of brings up my favorite topic, which is a big part of the this year's event, which is architecture and edge. And you're starting to see not to pat myself on the back. But I kind of predicted a couple of years ago that there is no edge of its cloud, right. It's cloud public cloud you got on premise Edge data centers a big edge. I mean, it's all the one thing, right? So edges big now, right? And now people working at home, it's an edge, and it highlights all the security issues. So how do you operate that? Yeah, this is a huge challenge. Yeah, >>of course. I think what you touched upon is ah, massive shift that we have seen over the years. As you said, right? Even if you look at things like Calico, for example, first, over a massive shift from hardware specialized hardware to virtualized network functions, for example, which will virtual machines, and I think we are seeing a bigger shift also now where virtual machines are now moving over to containers. And because these are all micro services and very tiny, so to speak, you can run it anywhere and hopefully and commodity hardware. So throughout the years, if you look at if you followed Nutanix, we have followed the path where we started off with hyper hyper converge infrastructure, and that was virtual izing your entire data center stack so you could take storage. Network compute, and now it's completely software defined or virtualized. Whatever you wanna call it, you can run it on any commodity hardware or hardware off your choice. What we see now is that we want toe. Apply that same principle off, being ableto right once, and run anywhere and be agnostic to the underlying layers, even for cloud. So, just as you could take and run your entire Nutanix platform on, create virtual machines and containers on a HP or Dell box, you can now also take that and also run it on Public Cloud, for example. Yeah, that's a great >>point. I mean, I want to just that's the first. That's a great point that's been in your mission from day one. But I wanna ask you if I don't if you don't mind on the edge one topic that's come up a lot, um, this week on we've been reporting on this before. Reinvent I think a VM world that came up a few months ago, um, purpose built edge devices in the old days were purpose built. They were purpose built with, you know, up and down the stack from hardware supply chain all the way. It's software. But when you're kind of getting at is kind of this new use case where you can have a purpose built edge device, whether it's a you know, wearable or machine sensors or whatever machines and still run software on their trusted software suffer defined. This is a key point. Can you can you unpack that this piece? Because I think this is kind of where the rubber meets the road, because if you can be software operated, you can go to that device. It could still be purpose built. >>You still function >>with software >>that that's exactly right. So if you think about it at the end of the day, if you're running some sort of an application or a workload. I always say you need compute, you need storage and you need networking. And we started off with physical hardware than with virtual machines and now with containers. But at the containers level or at the virtual machine level, the application doesn't really care about the underlying pieces right, And that's been our principal when we created the entire Nutanix stack on virtualized everything. So with the Newtown in stock you could take, you know we have our own hyper visor, but we also support others as well, so you can create virtual machines. You can create containers, you could have storage network. And now, because we are agnostic, you can actually run it on hardware off your choice or an environment off your choice. What's more important, though here is that you know the same set of tools that you used to manage. Your data center is now also available available to you to be able to manage it on other environments to in this case it's AWS, or if you decide to run it in any other environment, it would be the exact same. Construct the exact same automation scripts. >>And that, really is what seamless really means. Matt Kuchar. Thanks for coming on and sharing that inside. I want to get your thoughts as we wrap up here. Um, if you could tease out the most important feature or benefit or technology solution up with of the Nutanix on AWS because you know and reinvent, there's a lot of sessions people can go to. You guys have your own. Build your workshop, build your own hybrid cloud workshop. People should check that out. But you know your product marketing your job is to figure out what people really love the most about it. So, you know, here at reinvent this week, what's the most important thing? What should people pay attention to with Nutanix and AWS? >>Yeah, I think it's for us. Uh, I see myself as a developer. Still are our technical person, and for me, what I what really excites me about clusters is through the freedom of choice. I can choose to run it on the environment of my choice in this case is AWS, But there are some Enberg cost benefit features that's in there, you know, as you know, if you create something in the cloud. You don't necessarily think off cloud or cost. You create something that runs all the time, but you often have to worry about Hey, how much is going to cost this? So one of things that we did right as part of clusters is a hibernate feature. And what it allows you to do is that when you're not using clusters, you just like your laptop. You close the screen, you hit the hibernate button on it takes the entire state of your cluster and saves it on s three bucket. And when you're ready, toe reignited. You just hit the resume button. So when you're not using it using the true fundamentals of cloud, you are actually saving costs. That's one of the thing I think is something that will really excite a lot of I. D folks like me. >>Well, you know, being technical, being on the right wave. Software defined software operated infrastructure, automation, speed, consistency, multiple environments operating consistently. This is the Holy Grail is what we want and you guys are doing it. Congratulations. And and have a good Have a good conference. Thanks. >>All right. Thanks. So >>Okay. So cubes coverage of aws reinvent 2023 weeks. We're here. Virtually this. The cube. We are the cube Virtual. I'm John Furry, your host. Thanks for watching.

>>Locke from Las Vegas. It's the cube hovering AWS reinvent 2019 brought to you by Amazon web services and along with its ecosystem partners. >>Welcome back to the cube Lisa Martin with Stu Miniman and we are alive on the show floor at AWS reinvent 19 with thousands of people. Stu and I have one of our cube Olam back. Joining us, we've got Gail Habermann, senior director of cloud services from new chats. Welcome back. Thank you for having me. And you're on brand with your Nutanix pin for president though. Nutanix right here. All right, so here we are, day three of re-invent 65,000 or so folks here. This is show floor has been nonstop for days. Big theme as been about outpost and what outposts and what AWS is doing there. But Newtanics you guys have been talking about hybrid cloud for years. What does all of the buzz about outpost? What does that mean for you guys? >>Yeah, I think, uh, this GA really validates our strategy and what we've been hearing from customers for many years around the need for hybrid and more broadly, I think consistency, consistency across the environments as a way or means to actually adopt hybrid, uh, ineffective manner is a longterm strategy. And I think, uh, AWS now realizing that and working in this direction, we see that with outpost and with a weather announcing with local as well. The idea is that you really need to have a consistent way to manage across different environments and ideally same construct as well. And that's what they're doing specifically with outpost. Uh, the direction we're being taking is the same where our software can run both on-prem but also in public cloud and edge so that the same applications, whether traditional or modern can run in the same way. So that not only mobility is easy, but people can use the same skill sets that they've developed over the many years, uh, across different environments. >>Yeah. Kelly, it's been fascinating for me to watch the maturation of the market. Of course. Newtanics his original design was, let's take these hyperscale type of architectures and bring it to the enterprise. Now we're seeing the intersection of what's happening at the enterprise and the public cloud and the environment. But you know, tile back a few years. The first time Newtanics came to this show, it was right after the acquisition of a small company called XY on and it was like, okay, it was exciting, but the Newtanics and Amazon connection was, we're trying to all figure out how the dots go together. Fast forward to today, uh, you know, bring us up to, you know, how Amazon, Nutanix and those solutions work together for your customers. >>Sure. So the latest initiative that we've announced as early access is Nutanix clusters where we use our software not only on prem now, but also on AWS bare metal instances. So for those who know, our software for many years have collapsed storage and compute into a single pool of resources that customers can deploy very easily and scale out as needed on a variety of hardware platforms. Traditionally in their data centers. Now we use the exact same software but on AWS, Bermuda instances. And what that means is that the same applications as is can be used either on prem or public cloud. So it's really easy for customers, for their business and mission. A mission critical applications. >>Yeah. I want to highlight a thing you talked about there, that bare metal service from Amazon, which is a relatively new thing. My understanding that was designed for the VMware on AWS, but they're opening up for ecosystem partners to do. And you said Nutanix clusters, is that what I had heard about at dot. Nexen was called XY clusters before. >>Yes. As part of this early access, we've renamed this, um, to Nutanix lessors, but this is the same idea, uh, in the idea is really that customers can now use our software. Uh, in AWS you see other cloud vendors also starting to offer bare metal services for this exact reason. And we are really evolving our company as well, where our software itself is going to be portable. So customers know they deploy our software, for example, on prem today they have a direct path to AWS. And other clouds in the future because we have heard from many customers that perhaps replatform let's say to AWS now, they're not sure what to do if they ever wanted to go to another vendor. Right. Um, so what we were trying to do is have a single platform that can go, can support multiple clouds and also the software itself has to be portable. And so that's the path we're on. >>What about portability? What are some of the key use cases that it will enable customers to achieve? >>Yeah, so many, many times now we hear that the customers are not looking to manage their physical infrastructure anymore. And so in cases where perhaps they acquired multiple companies and they have kind of a data center sprawl, they want to consolidate, one option is to consolidate into a data SQL data center. But another option now would be to consolidate into AWS location near them or in the region that they need. But the key here in the case of clusters is that the same VMs, same third party integrations that have had daily practices cannot work simply managed on AWS as opposed to managing their own data center. So it eases the operational burden, but it does not require a big lift and replatforming to achieve that. >>Yeah. So I was hearing, sorry, so I was hearing one of the loud and clear when you were saying that operational efficiency seems pretty loud and clear as a key benefit. >>Alright. So kill what you're describing there really reminds me of what I'm hearing from customers when they're talking about one of the reasons that they're adopting Coobernetti's. Uh, of course Amazon has a, you know, various ways to leverage Kubernetes socially EKS day down to the far gate, uh, it being supported there. Um, I know has carbon two carbon Nutanix clusters, how does that go together in the whole group and Eddie's story? Yes. >>So when I talk about clusters, it's really the, the entire South of that that we have that can be used across the, across the environments in that software stack includes many aspects to it. Of course the core is does having very resilient infrastructure software that you can run applications on, but it has many other phases to it. And one of them is containers. So like you run virtual machines either on our hypervisor or third party hypervisors. You can also run containers on any Coubernetties or our Kubernetes that we support as part of that software. And that whole thing is portable. So really what I'm talking about here is very foundational and definitely supports carbon as well. So customers know that both traditional and modern applications can, can be poured across clouds. Give us some customer examples where you've seen a legacy enterprise that has to transform in order to stay in business. >>I was working with Nutanix to do just that. Yes. So we have many customers, especially on the high end of the market and to your point, pharmaceuticals with security concerns, financial services that want to modernize, but they have very heavy investments in their traditional and business critical applications. And now that their cloud journey is maturing, they want to address those workloads. Those workloads are very hard to migrate or to replatform specifically. So they're looking for this way to maintain all the investments that they've done over years, but also get the benefits of public clouds where it's appropriate either for migration or for bursting. And so having that same software that could run the same VMs as is across multiple environments is a perfect solution for them. You know, eliminating the need to utilize different cloud native services. Maybe they'll do that over time, but right now this really helps them save millions because we hear from many customers. To your point, the CIO has the mandate to do this transformation, but I can't do it. Or my teams have resistance to do it because of this investments. >>Yeah, kill. I'm glad. Glad you're hitting on that transfer nation note because Nutanix itself has gone through a bit of a transformation recently, all software, that model, it feels like we've kind of gone through that transition. What does that help Nutanix learn when when you're working with your customers that you know, transformation is not easy, that the keynote talked about, that you need leadership involved and this chest can't be an incremental thing. You need to take bold moves to move things forward. And Nutanix itself has gone through some own of its own transformation. Absolutely. >>As always with Nutanix, we were very aggressive with execution, both in product velocity and here also in terms of business models. So we've moved from hardware to software and now to subscription. We find that customers absolutely love the notion that they have a lot more flexibility in terms of subscription. And as I mentioned before, we're evolving this further to support multiple clouds. And because we believe the, the five to 10 years ahead of us are going to be all about cloud everywhere rather than just on-prem. Uh, we need to support that in terms of our motto. And so we're going through that transformation ourselves. >>One of the things also that was talked about this week is just, well, maybe not talked about as multi-cloud, right? That's kind of a four letter word for Amazon, but it is often an operating model that we see a lot of customers are in for various reasons. Maybe not strategic. Maybe it's more we've inherited this or an enterprise as acquired smaller companies that have myriad cloud solutions and this is more of a reality than anything else. Some of the many announcements that AWS has made this week. You talked about this sort of validating the direction that Nutanix has been going in, but from what is the signal to you in terms of of Amazon's own evolution? >>Yes, I think we are really seeing an evolution, you know, while resisting the change to some extent. So I agree with you. Moldy cows, absolute no-no hybrid was a no-no. Now, hybrid is embraced, I think for a hybrid. There really are trying to reach for greater adoption for, I think the hard part. Like I mentioned before, business and mission critical applications, that's the main thing. I think with multi there's still resistance, but it's absolutely critical. Like you're saying, every EBC meeting that I've been here, customers talk about multi cloud because of organic adoption or evolution or acquisitions and so it's absolutely critical to have tuning like our hybrid cloud services that support multiple clouds. So we have services that support governance across clouds, cost optimization, security, compliance, automation, self-service. All these things really help customers, customers drive towards a more unified or harmonized way of managing multiple environments. And it's absolutely critical. I agree. >>We look into like a magic crystal ball kind of in the spirit of evolution. We look at cloud one. Dot. Oh, John furrier talks a lot about cloud two. Dot. Oh no. What if you look, say down the road the next five years, what do you think the state of cloud is going to look like? >>Yeah, I think our vision has been, and I really see this materializing as cloud everywhere rather than thinking about cloud is a centralized place where that is the cloud. Uh, if you think about even, uh, edge requiring heavy local processing, real compute, real storage, uh, very sensitive in terms of latency for networking. Uh, maybe our car is even right, are going to be a little mobile data centers. And so there's going to be a need to have cloud everywhere while still offloading some stuff for centralized processing. So we really need to find a way to bring that cloud everywhere. And what we've been working at Newtanics is towards that division of bringing that platform that has strong resiliency, uh, uh, very good latency sensitive workloads everywhere we might need it, uh, in preparation for that vision. And I think it's going to be very exciting to see how all these vendors and customers evolve their environment over time. It's going to be, I think, very different from what we thought about 20 years ago for sure. >>Do you see any one industry in particular as really right for this to be able to do, not just bring cloud everywhere but to live it and really completely flip an industry on its head? Anything that really kind of pops into your mind? >>Um, I'm not sure. I think in terms of vision it's going to be across the industries, but the more you have applications that do require that edge processing to be, again, low latency and robust. So IOT use cases, for example, with cus with retail, uh, maybe manufacturing and so on. I think we're going to see these guys lead the, the wave here because they simply cannot offload everything to the cloud, but others are going to follow it because it just makes sense. And if it's not an anomaly, then they'll be more comfortable in that process. >>So much change to come, but also so much opportunity. Gil, thank you for joining Stu and me on the cube this morning. Great to be here. Thank you very much. Our pleasure for Stu Miniman. I'm Lisa Martin and you're watching the cube live from AWS, reinvent 19 from Vegas. Thanks for watching.

>> Live from Washington, DC, it's TheCube, covering AWS Public Sector Summit 2018, brought to you by Amazon Web Services and its ecosystem partners. >> Welcome to TheCube, Silicon Angle Media's Production here at the NWS Public Sector show in Washington DC, I'm Stu Miniman, my host for this week will also be Dave Vellante and John Furrier, doing a day-and-a-half worth of programming, I've covered lots of Amazon ecosystem shows, happy to welcome to the program first-time guest, and first-time on the program Dan Fallon, who's the director of Public Sector Systems Engineers at Nutanix, Dan, great to see ya. >> Thank you, Stu, happy to be here. >> Alright, so you know, you and I have known each other for a number of years. I've been at every .NEXT actually that Nutanix has has, really most of the time at Nutanix, you know, we're talking about people's data centers, but you know, we've been watching how Nutanix really went from, you know, that hyper-converged term that we through out, but now you know, the messaging is around Enterprise Cloud, the portfolio has definitely expanded, as have the partnerships. Give us, Dan, why Nutanix is at the show, and a little bit about your role at the company. >> Yeah, yeah. So, I lead our public sector technical groups systems engineering, so we have all our government business, state, local, and federal, rolled up into one group. So, local show for me in the DC area, and this is our second year attending the Public Sector Summit, so you know, last year it was after our Calm acquisition, we're really starting to step into the space of, I'd say, solving the cloud problem for organizations, and blending your on-prem environment into your public cloud. So, that was you know, kind of our focus last year when the marketing team and we kind of get together, and figure out what shows we're at, we're like "Let's do, you know, AWS", it was kind of a new one, we're like "Alright, we'll be good." I would say it was a hit last year, and then this year, you know, we made some additional acquisitions, and now it's at our large .NEXT conference, and really focusing on Beam and cost optimization. >> Dan, I remember back a couple of years ago, people would, you know, knock on Nutanix, they're like "Ah, they're just VDI, and really, they only work on the government sector." You know, it's like federal is like a big thing, cause they can get to a certain price point that, you know, some person can sign off on, and we're like "Um, government's pretty, you know, pretty impressive segment." You know, you look at this show, I hear we're expecting about 10,000 people, which is typical for these regional shows, but this is more than that, the Public Sector, so tell us a little bit about your customers, and love to hear you talk about what use cases they are, and how they think about cloud, and look at Amazon, and look at Nutanix and how that fits for them. >> Yeah, and I actually just heard from our director of marketing here that it's approaching 14,000, so they're blowing up the attendance. Yeah, and I mean, definitely government is unique, that's kind of why we have it divided into a vertical, and Nutanix was very early on in the federal, and unlike a lot of startup small companies, instead of running away from the additional security burden, the compliance requirements, the leadership, Dheeraj, leaned into it. They said "Alright, let's build out our federal team, let's go our and do common criteria compliance.", some certifications that cost a lot of money. So they really, you know, leaned into that, and helped the organization grow in federal, and that kind became our beach head, and then obviously Nutanix has just grown around the world since then, but across public sector, really a couple different verticals. They actually combined the government units about a year ago, now, so I'm getting more and more familiar with the state and local business, as well as the education, and you can kind of look at those as three separate verticals, and then my kind of background is federal, I've been here doing contracting consulting work for the federal government, and now Nutanix. So, they all kind of have a different spin. In the federal government, since we're in DC, start there first. Really big focus on data center optimization, and Cloud First mandates, so you know, I get into discussions, cause there's really a larger conversation to be had on, like, what is cloud. A lot of people see it as a destination, but really they have scorecards that they need to close, consolidate data centers, and part of that involves moving to the cloud, part of that involves just refactoring their on-prem, and you know, could be hyper-converged, just really getting to a better optimized state in their on-prem data centers. >> Yeah, and one thing I like is when you talk to customers, they don't get into these arguments over, like, "Well, what is a private cloud? How do I measure these public clouds?" They're like "Yes, I have a cloud strategy", and you're right, the government has certain, here's the criteria we need to follow, here's the services you can buy, you know, I'm sure they've got GSA contracts for lots of different things that they can buy off of, but Nutanix has a tool that you're talking about at the show called Beam, why don't you explain how that fits into helping customers understand, you know, what applications they put where, and how they manage their entire infrastructure. >> Yeah, and I think whenever I get into those conversations with cloud, I always like to understand "Alright, why cloud, why are you moving into cloud?", and a lot of times it is higher-level mandates, you know, that there's a presidential memo, there's a new, you know, so there are laws they have to follow in terms of optimization of the data center, but if you peel it back, there are, you know, agility, and getting rapid time to market, but the cost is a big thing, and a lot of times because of those mandates, the cost kind of has to be a second factor, and so it might end up being more expensive because they're not really taking that into consideration. Cause, they're being told to go, so when Nutanix launched Beam at .NEXT, I really see it as a very good play in the public sector space, because I hear agencies kind of get the bill after the fact, and then they have this shock of like "Well our budget for cloud spend this year is going to be eaten up in our first couple months, you know, based on this first bill." So, with Beam, we have a lot of governance and cost control, but also the budgeting aspect, which I think will be huge in government, cause they have a fixed budget, they're not as used to doing things opex, they're very capex minded, so the cloud spend, they kind of have to change how they're thinking, and beam gives them that budget analysis so they can say "Alright, I'm going to spend this much a month", and do the allocation and break it down. >> Yeah, it's funny, for people that don't work with the government, they always hear like "Oh, well they've spent, you know, $100 for a hammer, they're overspending", and on my career, I've worked with government, and you get the calls at the end of the quarter, which is like "Oh my gosh, I haven't actually used up my budget, and I better use it now or I won't get it next quarter, or next year", so, you know, cost absolutely a key concern. Maybe drill us in one down level as to, you know, what kind of things, how does Beam help them, you said understand, optimize what they have, as well as plan for the future. >> Yeah, yeah, so you know, Beam hooks into the public cloud providers, as well as your on-prem staff. There are a couple different views, we've already refactored it into the nice Nutanix UI, so that you have the same look and feel. But, you have a couple different views, you have the cost visibility view, so your spend per day, per month, per year, and then you have an analyze view. So, there's a spend efficiency view, so you can actually get a quick visualization of "Am I getting the best value out of my cloud contract?", and this is, you know, really common in government. They'll cut some type of ELA or longer-term contract, but if you're not using all those credits, or taking the best benefit, you're not getting your RLI. So the spend efficiency will help in that aspect. You know, Beam goes beyond just visibility, so you have ability to do one-click cost controls. So maybe, you know, change things from spot to reserve instances. You can also drill down into the sub-services, so "Oh, that's costing more than I thought, you know, is it my NAT service or my load balancer service, like which exact spot is taking all that cost?" And then, the budget allows you to build cost centers within your org. So, build out and you know, charge back is hit or miss in government, sometimes it's way up at the top of the command, but you know, we are seeing more and more orgs, and especially on the service provider and fed integrator side, you know, common scenario is government contract awarded to a fed integrator, and they build out a private cloud and need to do charge back. So that's another big aspect. >> Yeah, it's so funny. Remember, you know, just a few years ago it's like "Oh, public cloud, it's super easy and super cheap, and like well, when you actually dig into it, well it's different.", is I guess what they would say. Simple isn't necessarily what I would say, and cost depends on what you're doing with it and how you do it, so we talked a little bit about federal. You were telling me off camera that you were seeing a lot of SLED customers here. Give a little insight as to what are some of the concerns, what are some of the real things that, you know, that segment of public sector are looking for at this show in the ecosystem. >> Yeah, it's one reason we love doing this show, and it's a great spot that brings together, cause state and local is so regionalized, you know, 50 states and then all the different counties, and cities, and a lot of them attend here. I, you know, kind of just gotten into public sector when this show happened last year, and I met a lot of our SLED customers here for the first time, so you know, bring them all to one spot, which is rare in state and local, it's a lot more regional conferences. So, the challenge of staying local is because it's so regionalized, and then you really have four verticals within state and local, you have the state business, which kind of mirrors federal in more large enterprise. Some states are adopting Cloud First strategies, some states are kind of still figuring it out. So, some states are mirroring fed government, and they have this kind of Cloud First, and trying to figure out how to make that work. And then, at the local level, you have the county and cities, and they're very scattered on their approach. We have some significant size counties that are using Nutanix with things like CloudConnect to backup into AWS, and then I would say higher ed is probably the most forward leaning in terms of their cloud usage. A lot of higher ed pushing aggressively in the cloud. Actually, where I used to work, Maryland, University of Maryland, aggressive push there. So, they still have a lot of fragmented IT on-prem though, they have different orgs, business school, engineering school with their own kind of little IT fiefdoms, and then you have central IT trying to standardize and make more public cloud usage. So, they have a lot of the same challenges of a big enterprise, where they need to kind of get that visibility and cost control across, not only, the on-prem, but also as they move into public cloud. >> Yeah Dan, one of the things I've loved when I dig into, you know, whether it's the federal government or even the local government, how technology and IT are helping drive innovation. You know, we often think of, you know, you think about government, you know, just mired in bureaucracy, wonder if you have any, you know, customer stories you can share about, you know, fun and interesting things people are doing, you know, on top of the infrastructure transformational type of activities? >> Yeah, I mean, I think you know kind of the buzzword maybe of this year seems to be a lot around the IOT and machine learning, so it's still a lot in the pilot phases, but Nutanix, we announced Project Sherlock at .NEXT, so kind of our approach to really a PAS IOT at the edge, so PAS machine learning at the edge, and we actually just deployed our first customer on the commercial side a week ago. So, still early days, but I would say the interest at the state and local level is huge, you know, Smart City initiatives, self-driving car initiatives, and just the data is overwhelming. So, they're planning ahead, some of them are pretty far along, but there's obviously starts and stops on where these initiatives are going, but the amount of data, and it's all dispersed, and just how to get their arms around that, how to control that, and then in federal there's a lot of requests for machine learning out at the tactical edge, so we have our, you know, soldiers forward deployed, how do they take their imagery and analyze that, and not have to wait 24 hours for someone to come back from the main data center, and that's real lifesaving, game changing. For them to be able to analyze it right then and there, and also big in disaster relief scenarios, so you know, being able to analyze. I was talking to one customer we had at a CXR round table last week at our local .NEXT event, and they were talking about after the hurricanes in Puerto Rico, just how to analyze like, where's there even power, where's the water good, and overlaying all that on imagery. But, right now, that's like 15 different sources that they were trying to pull together into one system, so a lot of challenges like that, that people are trying to address. >> And I love that, Dan. I think you hit right on it. It's data at the center of it. How can I leverage it? How can I get new value out of it. I've talked to some government agencies that are like, you know "How do I transform how we do parking in a city? I have the data, the have some sensors, oh wait, we can actually make an app." Sometimes it's partnering with the commercial side and business, but other times it's government just driving these. Dan, want to give you the final word, you know, we're just kicking off the event, but you know, give us a final takeaway for Nutanix AWS here at Public Sector Summit, what you want the takeaways to be. >> Yeah, well I mean, we're here both days, I encourage everyone to stop by and talk to Nutanix, and really, Beam was just launched, so the great thing is it's our first SAS offering, which is obviously a mind shift for us, but you can demo it just by signing up. But, it's kind of you know, traditional where we've been in the infrastructure market, where we get customers that are like "Oh, I want to try it out", and you have to ship them a system, or they have to download software. Now, it's just "Oh, go sign up on the SAS offering", so I think that'll be a great new delivery vehicle for Nutanix, and I think as we kind of shape our ecosystem of not only different ways to consume with Xi Cloud Services, Beam being SAS, but also different capital models in terms of way the customers purchase. I think that's another big driver around cloud is how the finance side consumes IT, so I think it's great to see, you know, we're kind of expanding, blending into the AWS ecosystem as well, but tying it all together, so people can manage everything from one spot. >> Alright, well Dan Fallon, pleasure chatting with you this morning helping me kick things up, and absolutely, the diversity of technologies, the how we are going to purchase things changing quite a lot, everything from, you know, modernizing our data center to SAS application. You know, I remember at .NEXT I said "Modernize the platform, then we can modernize the applications on top of it", so working through its customers through changes. Alright we have, just like Dan said, day-and-a-half work of coverage here on TheCube, of course, check TheCube dot net for all the recordings, as well as all the shows we'll be at. I'm Stu Miniman, and thanks so much for watching TheCube. (techno music)