(upbeat music) >> Hey everyone, welcome to theCUBE's special program series Women of the Cloud, brought to you by AWS. I'm your host, Lisa Martin. Very pleased to welcome Angie Perez Thomas the area sales leader from AWS as my next guest. Angie, welcome to theCUBE. It's great to have you here. >> I'm super excited. Thank you so much, Lisa. >> Of course. Talk to me a little bit about you a little bit about your role in sales at AWS. >> Yeah, absolutely. So I'm a tenure Amazonian so I've been with AWS for about 10 years here. And as you mentioned, I'm the area sales leader and so my team supports new enterprise customers and executives who are just starting their journey into the cloud. >> Talk a little bit about some of your career paths. Did you have a linear path? You said tenure Amazonian, linear path maybe more Zig-zaggy. I'd love to get some of your recommendations for those who may be early in their tech careers looking to grow their careers. What are some of the experiences that you've had that you think are have shaped your career? >> Yeah, absolutely. So, you know, mine have, I've gone back and forth through different roles, both in leadership and as an IC and I'd probably say I've got three recommendations for those looking to grow their career in technology. So the first one is prioritize your time to actually think about what career experiences you want in in your fullness of your career. And so this actually may look like sitting down reserving time to actually deep think about what are those experiences you're looking to gain but also doing research on other careers of those who may inspire you and kind of collecting those ideas. My second recommendation is around documenting, writing down those career aspirations and actually putting it within and memorializing it within a document. So I've applied Amazon's working backwards methodology myself and applied that on my career and writing my own career press release. And so it's dated in 2029. It's got a headline and you know, it's a physical document of my own career aspirations. And third, I recommend sharing this documentation with others. You know, I really enjoy receiving and reading what others are wanting to do with their career aspirations and helping provide feedback and guidance. And so what we find is people genuinely want to help others. >> I agree. I love your recommendations for really being mindful, being thoughtful about what it is that you want to do doing that research, and then actually documenting it. I think it's so wonderful that you're taking Amazon's working backward approach from the press release going this is where I want to be in five years or in 10 years. And then putting that on paper. I still connect a lot with things like you that you put down on paper that you want to accomplish or something about writing it down that actually helps to you bring it to fruition. And then to your point is great about sharing it with others that can be mentors, that can be sponsors. I'm sure you've had some great mentors and sponsors along your career path that have probably helped you pretty successful. >> Yeah, absolutely. It's been really an effective tool for communicating with those who have helped me navigate as well. >> Talk a little bit about some of the successes now we'll switch gears but we'll continue on the success train. Some of the successes that you've had helping organizations really navigate, migrate to the cloud and and become successful businesses as a result. >> Yeah, no, absolutely. So across my tenure at AWS, you know I've truly enjoyed working with our customer executives and helping them deliver on their business outcomes. And so just recently I met with the COO of a real estate firm here in the Pacific Northwest and the COO has an initiative to identify and modify home titles and deeds with decades old discriminatory language and restrictions. So, although not invisible, due to the Fair Housing Act of 1968, racial covenants they're still present in millions of home titles across the United States today. And so partnering with AWS and using our cloud technology, you know, our teams together were able to build an application that was able to where homeowners are able to look up their titles you know, analyze it for discriminatory language and be able to submit it for modification. And so this, you know, today it can be done manually, but partnering with AWS, our teams were able to address modifying titles and deeds at scale. And so it's truly incredible what cloud computing has enabled just all of us to accomplish together. And so I kind of think of it like this our a catalyst for change is our customers and AWS and our partners is the how to accelerate that change. So it's really this partnership >> I love that accelerating change is so important across so many aspects of life, but the example that you gave is so, it's such an interesting use case. I wouldn't think that there is discriminatory language in deeds for houses, but the fact that it's probably a pervasive problem globally and the ability to help organizations to be able to change that for the better with cloud, with automation at scale is huge. I can imagine that's a use case that can be replicated surely across the states and more. >> Yeah, it's definitely gained interest across with different real estate forms across the United States. So we're really excited to be partnering and having impact on this change. >> And it's also an example of tech for good. I mean, we talk about that all the time but the fact that there's discriminatory language and housing deeds is still kind of blows my mind. But and we've seen so much in tech in terms of diversity and equity and inclusion but from a diversity perspective there's still a lot more to do. I'd love to get your opinion on what you think some of the the present day challenges are with respect to diversity in tech and maybe some of the things you think can be changed to for the better. >> Yeah, so you know, there's been a huge focus on, you know hiring for diverse talent in the tech industry for a number of years. And where I think we as an industry have an opportunity is to improve in investing and developing in this diverse talent and try to really think about how are we building up the skillsets to build today's and tomorrow's leaders. And so when I think about this it requires senior leaders to be really intentional about building a diverse ecosystem of talent and investing in this diverse talent. And let me clarify a little bit when I talk about investing in diverse talent, you know, this expands outside of just mentoring. This includes sponsoring, coaching, really providing opportunities where this talent has the ability to have a seat at the table. Getting into the room where it all happens. And so by doing so we're helping this talent build their skillsets to learn what questions are being asked within, the room? How are others communicating with each other? So that they can build the skillset so not only have a seat at the table but can be really leading with that seat at the table. And I would say last, we as companies we tend to or you know, we in the industry, we tend to just focus on developing those within our companies. And where I see a need is to really challenge the industry to reach outside of our own companies in diverse talent. And so developing just that ecosystem because not just thinking about the roles that are open today but really building the skillsets for the roles and and senior level positions that are going to be open tomorrow and making sure we're developing this talent to raise their hand and be the leading candidate for those opportunities. >> I love how you said kind of really a couple things that you know, with all the women in this program that I've spoken to is a common theme in terms of diversity and it's really about senior leaders making investments. And another thing that you said that's spot on is doing it with intention. There's so much to be gained by having an intention with diversity, thought diversity. To your point, going outside, it sounds to me like kind of let's go outside of our comfort zones to bring in different thoughts, different perspectives be able to grow them in their career because of course technologies and products and solutions can only get better the more diversity of thought we have. >> Yeah, no, absolutely. It's really being intentional. We as senior leaders, we have a law on our plate. And so yes this is an additional thing to be thinking about but it really has impact and change in driving the right things both for our customers and for the industry as well. And so it's an investment that's worth making. >> And speaking of that investment worth making I liked how you said, let's have some forethought about what are some of the roles that are going to be there in the future. How are some of the roles today going to be evolving? How do you see your role evolving in the next few years? How do you see cloud evolving and what excites you about that? >> Yeah, well, cloud has really been helping our customers move faster and adapt to just the ever changing landscape. I mean it's over the last couple years it's been very real for all of us to see. And so my role has moved from just being an advisor to a CIO to actually being an advisor to both the CEO and board of directors and when they come speak to us, cost or cloud is not just about cost savings, it truly is about helping a CEO deliver on their business outcomes. So I'll give an example. We're working with a growing community bank and their executive team has embarked on a transformation to becoming a digital first bank. And so when we think about the economic factors that they're working with them to come to mind. The first, their move towards online banking has it's accelerated with the pandemic really creating that customer experience of which when you think about local banks, you think about community where everybody knows your name over in the brick and mortar down the road. Well they have to bridge that community and trust into the digital world. And second, they needed to improve on operational efficiencies. And so they have to strategically think about what investments they're going to make to balance inflation while driving growth. And so where I've been finding both myself and my teams is having a seat at the table with these executives, helping them make these strategic business decisions. And we know we're successful when our customers are able to deliver on those business outcomes. They meet those objectives, they exceed those objectives. And then we know we've just exceeded customer expectation when our partnership actually shows up in their next earnings call. You know, it's really special. >> Oh, I bet it is. I mean, being able to be that influential in terms of an organization's success I love how you talked about kind of a career evolution that your career has evolved from now you're really with the board of directors having a seat at the table there. My last question for you is kind of on that front Angie is what are some of the changes in in the tech workforce that you've seen the last few years and what are some of the things that you're excited about that are down the road? >> Yeah, so a couple things where I've really seen change and evolution has been in the leadership level. We are needing to lead with empathy and really think about inclusion as a cornerstone skillset. So for our customers, our partners, our employees we've really moved into this hybrid environment. We're both leaders and team norms. We're challenged to change. We have to adapt. And so really having inclusion as that foundational skillset is a requirement for both today and tomorrow's leaders. What I'm really excited about is on the innovation front. Anyone can innovate now, you don't need to be a part of the R&D division of a company. We're seeing that cloud is providing tools all the way down to the elementary student level. So when you think about that, just think the imagination of our youth, brought to life with cloud technology. I mean, the future really is bright. >> It is. That horizon is endless. And I'm going to take some of your advice, Angie I loved that you talked about from your own perspective and your recommendations for the audience. Write that down, write your own press release in terms of what you want to see down the road. I'm going to take your advice, I'm going to do that. I thank you so much for joining me on the program. You've been so inspiring. Your career path has been impressive. What you're seeing in terms of innovation and cloud coming next is incredibly exciting. Thank you so much for your time, Angie. >> Thank you Lisa. >> For Angie Perez Thomas. I'm Lisa Martin. You're watching theCUBE's special program series Women of the Cloud, brought to you by AWS. We'll see you soon. (upbeat music)

>>Hi, welcome to this cube conversation here in Palo Alto, California. I'm John fur, host of the cube here at our headquarters on the west coast in Palo Alto, California. Got a great news guest here. Matt McGill, Wayne managing director of Madrona venture group is here with me on the big news and drone raising their record 690 million fund and partnering with their innovative founders. Matt, thanks for coming on and, and talking about the news and congratulations on the dry powder. >>Well, Hey, thanks so much, John. Appreciate you having me on the show. >>Well, great news here. Oley validation. We're in a new market. Everyone's talking about the new normal, we're talking about a recession inflation, but yet we've been reporting that this is kind of the first generation that cloud hyperscale economic scale and technical benefits have kind of hit any kind of economic downturn. If you go back to to 2008, our last downturn, the cloud really hasn't hit that tipping point. Now the innovation, as we've been reporting with our startup showcases and looking at the results from the hyperscalers, this funding news is kind of validation that the tech society intersection is working. You guys just get to the news 430 million in the Madrona fund nine and 200. And I think 60 million acceleration fund three, which means you're gonna go stay with your roots with seed early stage and then have some rocket fuel for kind of the accelerated expansion growth side of it. Not like late stage growth, but like scaling growth. This is kind of the news. Is that right? >>That's right. You know, we, we've had a long time strategy over 25 years here in Seattle of being early, early stage. You know, it's like our friends at Amazon like to say is, well, we're there at day one and we wanna help build companies for the long run for over 25 years. We've been doing that in Seattle. And I think one of the things we've realized, I mean, this is, these funds are the largest funds ever raised by a Seattle based venture capital firm and that's notable in and of itself. But we think that's the reason is because Seattle has continued to innovate in areas like consumer internet software cloud, of course, where the cloud capital of the world and increasingly the applications of machine learning. And so with all that combination, we believe there's a ton more companies to be built here in the Pacific Northwest and in Seattle in particular. And then through our acceleration fund where we're investing in companies anywhere in the country, in fact, anywhere in the world, those are the kinds of companies that want to have the Seattle point of view. They don't understand how to work with Amazon and AWS. They don't understand how to work with Microsoft and we have some unique relationships in those places and we think we can help them succeed in doing that. >>You know, it's notable that you guys in particular have been very close with Jeff Bayo Andy Jesse, and the success of ABUS as well as Microsoft. So, you know, Seattle has become cloud city. Everyone kind of knows that from a cloud perspective, obviously Microsoft's roots have been there for a long, long time. You go back, I mean, August capital, early days, funding Microsoft. You remember those days not to date myself, but you know, Microsoft kind of went up there and kind of established it a Amazon there as well. Now you got Google here, you got Facebook in the valley. You guys are now also coming down. This funding comes on the heels of you appointing a new managing director here in Palo Alto. This is now the migration of Madrona coming into the valley. Is that right? Is that what we're seeing? >>Well, I think what we're trying to do is bring the things that we know uniquely from Seattle and the companies here down to Silicon valley. We've got a terrific partner in Karama Hend, Andrew he's somebody that we have worked together with over the years, co-investing in companies. So we knew him really well. It was a bit opportunistic for us, but what we're hearing over and over again is a lot of these companies based in the valley, based in other parts of the country, they don't know really how to best work with the Microsoft and Amazons are understand the services that they offer. And, you know, we have that capability. We have those relationships. We wanna bring that to bear and helping build great companies. >>What is your expectation on the Silicon valley presence here? You can kind of give a hint here kind of a gateway to Seattle, but you got a lot of developers here. We just reported this morning that MEA just open source pie, torch to the Linux foundation again, and Mary material kind of trend we are seeing open source now has become there's no debate anymore has become the software industry. There's no more issue around that. This is real. I >>Think that's right. I mean, you know, once, you know, Satya became CEO, Microsoft, and they started embracing open source, you know, that was gonna be the last big tech holdout. We think open source is very interesting in terms of what it can produce and create in terms of next generation, innovative innovation. It's great to see companies like Facebook like Uber and others that have had a long track record of open source capabilities. But what we're also seeing is you need to build businesses around that, that a lot of enterprises don't wanna buy just the open source and stitch it together themselves. They want somebody to do it with them. And whether that's the way that, you know, companies like MongoDB have built that out over time or that's, you know, or elastic or, you know, companies like opt ML and our portfolio, or even the big cloud, you know, hyperscalers, you know, they are increasingly embracing open source and building finished services, managed services on top of it. So that's a big wave that we've been investing in for a number of years now and are highly confident gonna >>Continue. You know, I've been a big fan of Pacific Northwest for a while. You know, love going up there and talking to the folks at Microsoft and Amazon and AWS, but there's been a big trend in venture capital where a lot of the, the later stage folks, including private equity have come in, you seen tiger global even tiger global alumni, that the Cubs they call them, you know, they're coming down and playing in the early state and the results haven't been that good. You guys have had a track record in your success. Again, a hundred percent of your institutional investors have honed up with you on this two fund strategy of close to 700 million. What's this formula says, why aren't they winning what's is it, they don't have the ecosystem? Is it they're spraying and praying without a lot of discipline? What's the dynamic between the folks like Madrona, the Neas of the world who kind of come in and Sequoia who kind of do it right, right. Come in. And they get it done in the right way. The early stage. I just say the private equity folks, >>You know, I think that early stage venture is a local business. It is a geographically proximate business when you're helping incredible founders, try to really dial in that early founder market fit. This is before you even get to product market fit. And, and so the, the team building that goes on the talking to potential customers, the ITER iterating on business strategy, this is a roll up your sleeves kind of thing. It's not a financial transaction. And so what you're trying to do is have a presence and an understanding, a prepared mind of one of the big themes and the kinds of founders that with, you know, our encouragement and our help can go build lasting companies. Now, when you get to a, a, a later stage, you know, you get to that growth stage. It is generally more of a financial, you know, kind of engineering sort of proposition. And there's some folks that are great at that. What we do is we support these companies all the way through. We reserve enough capital to be with them at the seed stage, the series B stage the, you know, the crossover round before you go public, all of those sorts of things. And we love partnering with some of these other people, but there's a lot of heavy lifting at the early, early stages of a business. And it's, it's not, I think a model that everybody's architected to do >>Well, you know, trust becomes a big factor in all this. You kind of, when you talk about like that, I hear you speaking. It makes me think of like trusted advisor meets money, not so much telling people what to do. You guys have had a good track record and, and being added value, not values from track. And sometimes that values from track is getting in the way of the entrepreneur by, you know, running the certain meetings, driving board meetings and driving the agenda that you see to see that trend where people try too hard and that a force function, the entrepreneur we're living in a world now where everyone's talking to each other, you got, you know, there's no more glass door it's everyone's on Twitter, right? So you can see some move, someone trying to control the supply chain of talent by term sheet, overvaluing them. >>You guys are, have a different strategy. You guys have a network I've noticed that Madrona has attracted them high end talent coming outta Microsoft outta AWS season, season, senior talent. I won't say, you know, senior citizens, but you know, people have done things scaled up businesses, as well as attract young talent. Can you share with our audience that dynamic of the, the seasoned veterans, the systems thinkers, the ones who have been there done that built software, built teams to the new young entrepreneurs coming in, what's the dynamic, like, how do you guys look at at those networks? How do you nurture them? Could you share your, your strategy on how you're gonna pull all this together, going forward? >>You know, we, we think a lot about building the innovation ecosystem, like a phrase around here that you hear a lot is the bigger pie theory. How do we build the bigger pie? If we're focusing on building the bigger pie, there'll be plenty of that pie for Madrona Madrona companies. And in that mindset says, okay, how are we gonna invest in the innovation ecosystem? And then actually to use a term, you know, one of our founders who unfortunately passed away this year, Tom Aber, he had just written a book called flywheel. And I think it embodies this mindset that we have of how do you create that flywheel within a community? And of course, interestingly enough, I think Tom both learned and contributed to that. He was on the board of Amazon for almost 20 years in helping build some of the flywheels at Amazon. >>So that's what we carry forward. And we know that there's a lot of value in experiential learning. And so we've been fortunate to have some folks, you know, that have worked at some of those, you know, kind iconic companies, join us and find that they really love this company building journey. We've also got some terrific younger folks that have, you know, some very fresh perspectives and a lot of, a lot of creativity. And they're bringing that together with our team overall. And you know, what we really are trying to do at the end of the day is find incredible founders who wanna build something lasting, insignificant, and provide our kind of our time, our best ideas, our, our perspective. And of course our capital to help them be >>Successful. I love the ecosystem play. I think that's a human capital game too. I like the way you guys are thinking about that. I do wanna get your reaction, cause I know you're close to Amazon and Microsoft, but mainly Jeff Bezos as well. You mentioned your, your partner who passed away was on the board. A lot of great props on and tributes online. I saw that, I know I didn't know him at all. So I really can't comment, but I did notice that Bezos and, and jazz in particular were complimentary. And recently I just saw Bezos comment on Twitter about the, you know, the Lord of the rings movie. They're putting out the series and he says, you gotta have a team. That's kinda like rebels. I'm paraphrasing, cuz these folks never done a movie like this before. So they're, they're getting good props and reviews in this new world order where entrepreneurs gotta do things different. >>What's the one thing that you think entrepreneurs need to do different to make this next startup journey different and successful because the world is different. There's not a lot of press to relate to Andy Jassey even on stage last week in, in, in LA was kind of, he's not really revealing. He's on his talking points, message, the press aren't out there and big numbers anymore. And you got a lot of different go-to market strategies, omnichannel, social different ways to communicate to customers. Yeah. So product market fit is becomes big. So how do you see this new flywheel emerging for those entrepreneurs have to go out there, roll up their sleeves and make it happen. And what kind of resources do you think they need to be successful? What are you guys advocating? >>Well, you know, what's really interesting about that question is I've heard Jeff say many times that when people ask him, what's gotta be different. He, he reminds them to think about what's not gonna change. And he usually starts to then talk about things like price, convenience, and selection. Customer's never gonna want a higher price, less convenience, smaller selection. And so when you build on some of those principles of, what's not gonna change, it's easier for you to understand what could be changing as it relates to the differences. One of the biggest differences, I don't think any of us have fully figured out yet is what does it mean to be productive in a hybrid work mode? We happen to believe that it's still gonna have a kernel of people that are geographically close, that are part of the founding and building in the early stages of a company. >>And, and it's an and equation that they're going to also have people that are distributed around the country, perhaps around the world that are some of the best talent that they attract to their team. The other thing that I think coming back to what remains the same is being hyper focused on a certain customer and a certain problem that you're passionate about solving. And that's really what we look for when we look for this founder market fit. And it can be a lot of different things from the next generation water bottle to a better way to handle deep learning models and get 'em deployed in the cloud. If you've got that passion and you've got some inkling of the skill of how to build a better solution, that's never gonna go away. That's gonna be enduring, but exactly how you do that as a team in a hybrid world, I think that's gonna be different. >>Yeah. One thing that's not changing is that your investor, makeup's not changing a hundred percent of your existing institutional investors have signed back on with you guys and your oversubscribed, lot of demand. What is your flywheel success formula? Why is Tron is so successful? Can you share some feedback from your investors? What are they saying? Why are they re-upping share some inside baseball or anecdotal praise? >>Well, I think it's very kind to you to frame it that way. I mean, you know, it does for investors come back to performance. You know, these are university endowments and foundations that have a responsibility to, to generate great returns. And we understand that and we're very aligned with that. I think to be specific in the last couple years, they appreciated that we were also not holding onto our, our stocks forever, that we actually made some thoughtful decisions to sell some shares of companies like Smartsheet and snowflake and accolade in others, and actually distribute capital back to them when things were looking really, really good. But I think the thing, other thing that's very important here is that we've created a flywheel with our core strategy being Seattle based and then going out from there to try to find the best founders, build great companies with them, roll up our sleeves in a productive way and help them for the long term, which now leads to multiple generations of people, you know, at those companies. And beyond that we wanna be, you know, partner with and back again. And so you create this flywheel by having success with people in doing it in a respectful. And as you said earlier, a trusted way, >>What's the message for the Silicon valley crowd, obviously bay area, Silicon valley, Palo Alto office, and the center of it. Obviously you got them hybrid workforce hybrid venture model developing what's the goals. What's the message for Silicon valley? >>Well, our message for folks in Silicon valley is the same. It's always been, we we're excited to partner with them largely up here again, cause this is still our home base, but there'll be a, you know, select number of opportunities where we'll get a chance to partner together down in Silicon valley. And we think we bring something different with that deep understanding of cloud computing, that deep understanding of applied machine learning. And of course, some of our unique relationships up here that can be additive to what the they've already done. And some of them are just great partners and have built, you know, help build some really incredible companies over >>The years. Matt, I really appreciate you taking the time for this interview, given them big news. I guess the question on everyone's mind, certainly the entrepreneur's mind is how do I get some of that cash you have and put it into work for my opportunity. One what's the investment thesis can take a minute to put the plug in for the firm. What are you looking to invest in? What's the thesis? What kind of entrepreneurs you're looking for? I know fund one is seed fund nine is seed to, to a and B and the second one is beyond B and beyond for growth. What's the pitch. What's the pitch. >>Yeah. Well you can, you can think of us as you know, any stage from pre-seed to series seed. You know, we'll make a new investment in companies in all of those stages. You know, I think that, you know, the, the core pitch, you know, to us is, you know, your passion for the, for the problem that you're trying to, trying to get solved. And we're of course, very excited about that. And you know, at, at, at the end of the day, you know, if you want somebody that has a distinct point of view on the market that is based up here and can roll up their sleeves and work alongside you. We're, we're, we're the ones that are more than happy to do that. Proven track record of doing that for 25 plus years. And there's so much innovation ahead. There's so many opportunities to disrupt to pioneer, and we're excited to be a part of working with great founders to do that. >>Well, great stuff. We'll see you ATS reinvent coming up shortly and your annual get together. You always have your crew down there and, and team engaging with some of the cloud players as well. And looking forward to seeing how the Palo Alto team expands out. And Matt, thanks for coming on the cube. Appreciate your time. >>Thanks very much, John. Appreciate you having me look forward to seeing you at reinvent. >>Okay. Matt, Matt here with Madrona venture group, he's the partner managing partner Madrona group raises 690 million to fund nine and, and, and again, and big funds for accelerated growth fund. Three lot of dry powder. Again, entrepreneurship in technology is scaling. It's not going down. It's continuing to accelerate into this next generation super cloud multi-cloud hybrid cloud world steady state. This is the cubes coverage. I'm John for Silicon angle and host of the cube. Thanks for watching.

(upbeat music) >> From our studios, in the heart of Silicon Valley, Palo Alto, California, this is a CUBE conversation. >> Hello everyone, welcome to this CUBE conversation here in the Palo Alto CUBE Studios. I'm John Furrier, host of theCUBE. We here have Dave Nuti, who is the Head of Channels for Open Systems. Open Systems just recently launched their partner network in 2019. Dave, welcome to theCUBE conversation. >> Thank you John, good to be here. >> So, security obviously is the hottest area we've been covering it like a blanket these days. It's only getting better and stronger in terms of number of players and options for customers. But that's also a double-edged sword. There's more options, more for customers. And security problems aren't going away. They're just getting more compounded. It's complicated global marketplace, global scale, regional clouds on-premise, no surface area. We've had these conversations with you guys a lot and it's super important, but opportunity to deliver solutions with channel partners has become a huge thing at Amazon re:Inforce, we had a big conversation what that even looks like. It's a new market opportunity for security players. You guys are forging there. Tell us about your partner's channel, just launched, give us a quick overview. >> Yeah I have a growing smile as you talk about the complexity of the space and how difficult it can be because we're the ones that eliminate that complexity, make it very simple. And for our partners that we've been engaging with, I joined the company just over a year ago and we began laying the groundwork of transitioning from a direct sales model to a partner only model and you fast forward to where we are today, we've already made that 180 degree turn and are working exclusively through partners throughout North America and executing around the world in that way. What's exciting for the partners is that they have a new supplier in the portfolio in the form of Open Systems that while it is a new name to them, is anything but new in experience and execution. It might arguably be one of the more seasoned suppliers in their entire portfolio they have today and it is opening doors and breaking down barriers to entry in a number of security categories that for years they've been on the outside looking in trying to figure out, how can I participate in these areas and how can I really unify a conversation around value for my customers that I am the trusted advisor to? And those are the exciting networks of hundreds and thousands of trusted advisors out there that we're engaging with today. >> You know, the security space is interesting. It's changing a lot, it's not just the one supplier, multiple suppliers, there are now hundreds and thousands of suppliers of something, the security market. There's a lot of venture capital being funded for startups, you got customers spending money so there's a lot of spend and activity flow and money flow and huge value creation opportunity. Yet customers are also looking at the cloud technologies as a disruptive enabler of how to deal with new things but also they're looking at their supplier relationships right now, they're evaluating you know, who do I want to do business with, they don't want to get another tool, they don't want to new thing. They don't want to get more and more sprawl. You guys have been Open System and been very successful with word of mouth customer growth. The CEO talked about that in the last interview, it's like you guys have been getting a lot of wins. Classic word of mouth, good product offerings. So you have success on the product side. As you go into the channel and enable the people in front of the customers every day to bring a solution to the table, what's the value proposition to the partners? Because they're fighting to be relevant, they want to be in front of the customers. The customers want their partners as well. So the opportunity for the people in front of your customers for the channel is big. What's the value proposition? >> Well establishing trust with the channel is critical. For years they've had solutions that roll into the portfolio that were written in a conference room a year and a half ago and they're only selling off of PowerPoint slides and now you're coming in with Open Systems and you have 20 years of experience accumulated, maturity and automation into a platform that they rarely see that type of door opened up for them. So when they lean in and they really start asking questions about Open Systems, we really check off boxes in a fantastic way for our partners. You talk about vendor sprawl and complexity and it all boils back, you're exactly correct, to the embracing of the cloud and that diversity of application origin, the diversity of the users trying to access those corporate resources, wherever they happen to be hosted and how do I unify a strategy and it's resulted in what is not uncommon having to engage 30, 40, 50, different vendors and then trying to unify that environment, let alone the problem that you can't hire the people to go and do it anyway. There's a negative unemployment issue in IT security categories today. So you know, there's a very, very fortune few that have the ability, the bench, the depth, the resource to do that and then an even fewer number of people who can lead an enterprise down that path and then you turn the corner and where usually there's this tug of war between agility and security. If I'm really agile, it means I'm compromising security. Or if I'm super secure, I'm going to be as slow as a sloth in doing anything. And then you have Open Systems sitting in the middle who says, that's not necessarily the case. You can have world class deployment in an agile platform where all that complexity and service chaining unification is handled for you and that really, that is mind boggling and I'll tell you, it's a whole lot of fun to demonstrate it. >> You know, Dave, we talked a lot of customers and user customers through our media business, CIOs, and now CISOs and they're all kind of working together. They have partners, they have partners they've worked with for many, many years from the old days of buying servers and rack and stacking 'em to software to applications but now the touch points for services are those traditional suppliers, application developers, but security's being bolted in everywhere, so almost all services need security, that's essentially what the main message with cloud is. So that gives the service opportunities for you guys but partners to enable you guys in there. As a partner, if I'm a partner of Open Systems, what do I get? 'Cause I want to make my, I want to keep my customer. I want to deliver security. What do I talk to my customer, what's the pitch that I can give as a partner to customer to ensure that they're going to get what they need from Open Systems? >> What I tell our partners is that we should be the services conversation that you lead with. There are a lot of other options out there and even if you don't mention it by name, if you approach the conversation in an open way with a customer with the mindfulness of the wide net of capabilities and value that you're able to execute on with Open Systems, it gives you your strongest footing. One of the big problems and you mentioned it, is that so often for years these technology conversations have been siloed and isolated and that always creates problems. I talked to a partner who works their way downstream on an SD-WAN conversation and at the very end they say, "This looks great, we just have "to get it passed by our security team." And the wind falls out of everybody's sails because that should've been part of the conversation all along or vice versa, starting from a security conversation and now I've got to get the network team to sign off on it. Open Systems really comes with a model that says all those viewpoints need to be in the room at the same time. That's how you execute and that's how you unify an environment so that you're not running into those bottlenecks later on. It's just madness, it needs to be simpler. >> We were talking before we came on camera about what it means to be disruptive and valuable to partners and to customers and you mentioned convergence of capabilities and manage services. What do you mean by that? I get convergence of services, we talk about that all the time from industrial IoT, we've been doing some segments on that to manage services, people get what that means. What do you mean by convergence of services and and manage services with respect to security and Open Systems? >> Absolutely. I mean convergences, we all carry one in our pocket so how many people carry a separate GPS device with a separate digital camera with a separate phone and a separate- Converging technologies just simplifies my environment and often times is a viewpoint of I'm compromising in certain areas that if I break everything out myself I can probably do it better off myself. And in some cases that's absolutely true. When you look at how Open Systems has taken a very diverse set of services and network and security categories and unified it into a single platform, we've taken, if you will, we've taken that stack of boxes and turned it into one by building a main services platform that's delivered as a service but what we've layered on top of it is the ability to manage it for our customers and I talk about modern managed services. It's very different. Before maintainence services was, I'm just too incapable to do something myself so I need somebody else to do it. When I talk to a partner, I like pointing out that I don't try to find somebody too dumb to do the things we do and they have to rely upon us. No, our best customers are very forward-leaning 'cause they realize that the automation that we've accumulated over 20 years that we're 85 to 90% of our detected incidents are handled by AI automation and Machine Learning and that type of monitoring automation that we have at the edge and the engine and the team of 115 level three plus engineers that are executing on our customer's behalf is we're force multiplier for our end customers to an ability that they will never achieve on their own, they'll never build that on their own. Those are the two, I think two of the biggest pillars in disruption are convergence and managed services and they are two enormous check boxes for Open Systems where it's hard to find someone more experienced in that than the team at Open Systems. >> And those are realities that the customers are dealing with but also the other reality on top of that to make it even more complicated and better for you guys and partners is you have more surface area to deal with. So the AI and the automation really play into the hands of, on the delivery side, so if I'm a partner, I'm standing up Open Systems, it's working. >> So you can't just develop that in a conference room. That's something that's accumulated over time, that's what comes with experience. And I usually really lean heavily into our maturity and our experience. We're in 183 countries with customers today. We have a 98% retention rate, a 58 NPS score. When I show the monitoring portals, the visibility tools, the maturity, and what has been developed isn't just Open Systems, you know, stubbornly telling the world what they need and should be doing. It's actually a very aggressive two way conversation with our existing customers and their guidance telling us, this is what we want, what we need to see, what we need to be able to pull and what we need your help in enforcing. I met with a customer in Pacific Northwest and he dropped a line on me that was terrific. He said, "I'm looking for a partner "that can tell us the questions we should be asking "that we haven't and the technologies "we should be evaluating that we haven't looked at yet." And I told him I was going to steal that line and I'm using it here today. Because that is an absolutely brilliant description of exactly the type of customer experience that we expect to deliver from Open Systems to our customers. >> So if I'm rep, I'm a person who's got a portfolio of customers and I want to bring Open Systems to the table, take me through that. I mean, am I asking the questions, what are some of those questions I should be asking, what's my engagement posture look like to my customer? >> That's a great question. I've been to a number of events and sat through kind of advanced training seminars and at the beginning of a seminar, you have somebody on stage saying, talk about security categories. If you talk about security, then you have a pathway to sell anything else on there. And then at the end of the event, all the SD-WAN guys were sitting on the stage saying, "Talk about SD-WAN, it's the glue "that holds everything together and if you can sell SD-WAN, "it'll give you pathway to everything else." And meanwhile I'm in the back of the room smiling just wondering, what if you didn't have to pick? What if you could just have a wide open conversation with your customer around application origins and remote users and how you're unifying security and application performance and routing intelligence for any application origin to any type of user trying to access it, how are you addressing that? And that's really at the core of what Open Systems has developed for its clients is that type of agility and flexibility where you're never trapped and opening up considerations around new and emerging threats and capabilities that you should be looking at where if it's not the time for you today, we've still already designed it in for you, so when you're ready it's there for you. >> Now the real question on the rep's mind, while he's asking those basic questions. How do I make money from this? Which is essentially, money making certainly is a great channel formula. It's indirect sales for you guys but also you have to have a couple table stakes. One, it's got to be a product that can be sold. The delivery has to be elegant enough where there's margin for the partner. And benefit the customer. So the money making is certainly the big part of not only trust as the supplier to the channel, but also as an engine of innovation and wealth creation. What's your pitch there, how am I making money? >> Well as a managed services model, that's always the beauty is you get to configure to the requirement of the individual customer so no one's force fed capability they don't need or an over subscription for what they might need in a year so just in case they want to, we're able to right size and deliver the capability that's specifically configured to the individual customer level but then also show them that they have a pathway to capability laid out for them and integrated and modern, we never go end of life, we never get shelved, this is something that is living, breathing, you're never buying boxes, again and service chaining and handling the complexity so we make that very simple for our partners in categories around security and SOC and manage services, and SIM, and CASB, these are things that they hear about but they don't know how to address them with their customers. And now Open Systems makes that very simple because we fully integrated the capabilities around those categories and many more into the same service-- >> So one of the psychology, I was just reading from that as a rep, if I was a rep I would be like, oh, I don't have to overplay my hand. I can get an engagement with my customer, they can get a feel for the service, grow into it because it's a managed service and go from there, it's not a big ask. >> Right. >> It's instant alignment. >> Yeah, often times what we do is a timing issue. Somebody just bought boxes in one category so fine, we'll coexist with that. We sit in parallel and in framework with current investments and subscriptions that happen to be in place but we give them a pathway that allows them to integrate it into fully unified and I like to really point this out is that, we don't go to a customer and say, "What do you need? "We'll build it for you." It's, what do you need? We've already built it, we just want to know how we configure it for you to match up to what your requirements are and maybe suggest some areas that should be a part of that consideration as well based upon 20 plus years of doing this with customers that we already have under our belt. >> Yeah, it gives them confidence that the operating model of say cloud, it's been around, it's proven and now you have a model there. Final question for you Dave is okay, my fear might be, are you going to be around tomorrow 'cause people want to know, are you going to be there for the long haul? What's your answer to that? >> We're a 30 year old security company founded out of Zurich and started in 1990 and transitioned as a service in 1999 and have grown on the backs, we're customer funded. So this is as battle-tested and bulletproof as anything that they may have in their portfolio and it shows extremely well in front of a customer. I spend more time talking to partners saying be the first one in the door to talk about Open Systems with your customer, don't let somebody else do it. Or certainly use the mindfulness of the net of capabilities of Open Systems and don't go in narrow-viewed because if somebody comes in behind you with our conversation, I don't think you're going to like what happens. >> One more question just jumped in my head, you reminded me of, we were talking before we came on camera around how channels are great leverage, great win-win, but we're in a modern area of computing, delivery of services, cloud has certainly shown that, whole nother wave coming behind it, security obviously the biggest challenge. You've been in the channel business for awhile, what's your take on what's happening in the channel business because it is changing, there's opportunities there, what's your take? >> Yeah, this is the second company I've had the opportunity to introduce into the channel and this one is a lot of fun, I'll say that. But the channel's traditionally thought of in more of a telecom space and for many of our partners, that's where they've been literally for decades in some cases is selling technology but is selling connectivity rather, networks, but what has happened is that technology has found its way into the network layer and because of cloud and SaaS app origins and remote users from coffee shops or theCUBE or our customer site accessing those applications, it's created a massive set of diversity in requirements on the IT team at the enterprise and how do you accommodate for all that? How do you keep up with it and maintain it? And now these things transition from these Capex buying boxes and maintenance agreements and rotating those out and that model is constantly being assaulted in the same way that we've seen so many services that we have come to our house. Nobody digs a well for water anymore, I've got a water company. Or makes their own electric power plant in the backyard, I've got the electric company. >> Everything's as a service. >> Absolutely. >> Dave Nuti, head of channels at Open Systems. Thanks for sharing the insight on your partner congratulations. Thanks for coming in. >> Pleasure, thank you. >> I'm John Furrier here at CUBE conversation in Palo Alto, thanks for watching. (upbeat music)

>> From the SiliconANGLE Media office, in Boston, Massachusetts, it's the CUBE. Now, here's your host, Stu Miniman. >> Hi, I'm Stu Miniman and welcome to a special presentation of CUBE Conversation here from our Boston area studio. Welcome back to the program from ClearSky Data, Ellen Rubin the CEO and Laz Vekiarides who is the CTO. Laz and Ellen, thanks so much for joining us. >> Us too, nice to be back. >> Hi, thanks for having us. >> All right, so, always good to talk to a local company, we talked about technology, I was actually in the Seaport district earlier, recently, and you know there's a lot happening in this space, as we know, it doesn't all happen, in Seattle for the cloud, Silicon Valley for all the VCs, so Ellen I've been speaking with your company since its early days-- >> Stealth mode, yeah. >> Stealth mode. First time I met you in person was at the Amazon reinvent shows, so still one of the focal points of the cloud and everything that happening there. But give us the update, you've got some new fundings, some new partnerships, tell us what's happening with ClearSky. >> Absolutely, I'm really happy to be back. So yeah, we've been, last night been building this company together, we started in 2013 with the, you know, sitting in a room with a white board but the company has really been actively funded and kind of building customers and our service offering since 2014. And we've just seen a tremendous amount of growth especially in the last year. So we're excited to be able to share that we are raising a 20 million funding round, and it includes some new investors, strategic investors as well as some of our existing investors from General Catalyst and Highland and Polaris. So it's very important for us but it's also great for our customers because it gives us a chance now to be in more places and have more people on our team to really grow and add to the support the operation of what we're doing. So that's kind of part A. And we're really looking forward to doing that. We've added a head of our sales organization, our chief revenue officer, Roger Cummings, and so we've really kind of filled out our team and our growing as a company overall. So that's kind of part A. >> So yeah congratulations on the numbers. The other piece, I think back to the first discussions we had when you talked about living in lots of environments and how do you help customers, there was somebody that you're partnering with now that I believe came up in that first discussion because they've got one of the largest global foot print on the planet that I'm aware of. >> Indeed, so yeah, also today we're announcing our partnership with Equinex and we've actually been working, we've been talking with Equinex since we were in stealth mode and we've been working with them over the past several years already in a couple of locations. And we can talk in a lot of detail about sort of where the great alignment fit is, but the news for us is that we're now gonna be able to really expand the reach of our service across the rest of the United States. So we're gonna triple the number of locations, and we're gonna be basically anywhere our customers need us to be, as you know we are a metro-based service so it's very important from a latency and access that we be in more locations. And we see it as basically a great jumping off for filling out the initial vision of being across United States and now it's starting to expand that side. >> Yes that's great. Laz, let's pull you in here. If you look at the data piece of it, we understand that latency is clearly important. That's the conversation we've had back in the storage world for a long time. Data has gravity, it's tough to move it, and having some locality is super important. So what are your, for people who aren't as familiar with the company, just give us the thumbnail, architecturally, and tell us what you've been seeing update wise, from a technology standpoint. >> Sure, so, our technology is really metro-based network, so we deliver caching services on the edge to make all of the resources, specifically the data management resources that are far away appear as if they're nearby. Now one of the problem is, as you know with the cloud, is that they are only in certain locations. So unless your nation is in Virginia or you happen to be in the Pacific Northwest, you have a latency problem. And so as a result, some certain types of applications aren't gonna work well. What we've built is really an edge-based data management network. We provide high performance file and block services. To systems at the edge that leverage the cloud for their back ends. And so as a result, you get all of the economics of the cloud and the flexibility that you get with those type of services. But you get the experience of enterprise class functionality and capability's and it's nearby. So you don't miss any of the things that you are kind of used to. >> All right, Laz I want you to help explain something, when you say edge, what does that mean to you and your customers because there are server providers edges, there are kind of the IO key end devices edges, there are some things in between there, so what specifically are you helping with? >> So this is true it's actually really interesting. So we have a very specific definition of edge, we call it the data center edge. And hence our alignment with Equinix, they are in this metro facilities when you look at our architecture we're either putting an edge appliance either in an Equinix facility or in a customer's facility and then tethering that into the Equinix facility. So that last hundred or so miles around an Equinix facility is our edge and that is gonna be our definition now. That could change over time, just like everything else in the cloud changes, because we basically have built software that can run in any type of Linux environment with some monocom activity but in our current market push, our edge is really the data center edge. >> Okay, Ellen I love that that really fit in into the discussions I've been having a lot over the last year or so. People talk about hybrid cloud when they talk about multicloud. It's, they're using lots of SAS, they're usually using more than one public cloud provider and then they have their own resources, and their data center often times has a rack in Equinix and leveraging things like direct connect from Amazon, the equivalent for Google and Microsoft, or expanding those definitions. Bring us inside what are you hearing from customers. I love to hear what you can share about specific customers or in general what's the need that they have and where you fit in into all of it. >> Yeah, no, you're totally on point for what we see everyday which is we deal with medium and large enterprises. So our customers are in health care, they're in financial services, they're in legal services and also in managed service providers now as a newer market for us. So we have customers that include companies like Partners HealthCare, Mass General Hospital, Nuance Communications. We've just added Unitas Global as a managed service provider. Special Olympics is a customer and some regional hedge firms and law services, like Miles and Stockbridge. So what you can kind of see is that we have this really nice set of experiences that are not just what is Facebook doing or what is Stage3 doing but we kind of have a broad range of what CIO and heads of IT are really struggling with. And it's exactly what you're saying which is the edge to a customer very much depends on how they're thinking about where their application are gonna run, and our philosophy is don't worry about it, we've got you covered, your data is gonna be high performance, low latency, you're totally protected and you can access it from wherever you need to. But for a lot of customers honestly we've seen everything. I won't embarrass anybody specifically but there are still some kind of scary, old data centers out there. There are server closets that are acting as data centers. People still have things in their buildings. And then you've got everything to like world class, Equinix, Colo, that is in Ashburn, or whatever. And then people are obviously trying to adapt multiple shades and flavors of public clouds. And I was just out at a customer's yesterday where the CIO was talking to us about the fact that they have grown through a tremendous amount of acquisition. So they've got one of everything. And then the cloud for them was a bunch of people did a bunch of things in Amazon five years ago. Then they decided to standardize on Azure. They don't really know why they standardize on Azure. And they realized that that was not actually answer for all their problems and then they started to think about how Google might actually be a much better fit because of some of the analytics works they're trying to do, and by the way they've got data centers all over the world. That is a very typical scenario that we see everyday and for the customers hedging their bets and not being locked into anything is really, really important to them, because the application keep evolving and new things are getting in some ways built for the cloud, but sometimes the edge actually is still critical, right? In terms of where the actual physical source systems are. >> Yeah, so, I would say the elephant in the room is that kind of how do I get my arms around this multi cloud environment and there's not one company that's gonna solve all of these issues. I've had everything-- >> And even if they did, would you really put everything in one cloud? Probably you wouldn't? >> Right, but it's the, okay, I've got all of these clouds out there and all of these things, I have licensing issues I have to worry about, I have identity management I have to worry about, there's the overall management of it. And it seems primarily it's the networking piece that you're helping with, maybe explain a little bit more, Laz it probably comes to you as to that elephant there, it's ClearSky data, we solve your networking challenge for multicloud and it's more than just that. >> Right, so, it's sometimes embarrassingly I actually started my career in the networking space and so a lot-- >> It's okay, I did, too, it's a training. >> So when Ellen and I started talking about what we wanted to do, we were really focused on networking. Maybe I had enough of storage. And so a lot of what we discovered was that the network is an extremely sort of undersold part of the overall cloud strategy of any company. If you really want to go to the cloud this is really about moving huge amount of data back and forth from these locations. And so we've built a very, very high performance one-hub network from our pops right to all of the various regions of the public clouds. So what this basically means for our customers is that they don't have to worry about the internet, they don't have to worry about the security that they need to set up in order to get into the cloud, and the amount of throughput that we can get through is really astonishing. So we've really built a system that can maximize this network pipes. So even our smallest customers can move in excess of 20 terabytes a day back and forward from the cloud. So this becomes a really really interesting solution if you have a lot of source system or you have a lot of data to move. We can outrun that Amazon truck. >> So I want you to, I think back five years ago, I heard Equinix, some of the other large data centers, they were like, "Oh we're just gonna give you "a cloud market place and there'll be all these services "and if you need to access something, we'll just be able to "throw a 10 gig wire between somebody's connections." It sounded really good but it sounds like you're helping fill a gap. Maybe explain what that is. >> Well so most of the networking pieces are actually very expensive, very complicated to set up, first of all. So you also have port charges and all sorts of high availability issues that you need to resolve with each one of the clouds. Additionally, although they are sort of on demand, you're not using all those bandwidths all the time and you don't know when you're gonna need it. What we've done on the network is to make it possible for you to utilize 40 gigabytes of throughput, our 40 gigabytes of throughput, into the clouds pretty much whenever you need it. So for example, latency from Boston to Amazon niche, for us 11 milliseconds. For most people if they don't have direct connect at some exuberant price they're gonna end up experiencing in the hundreds of milliseconds if they're going over the internet. So that and the bandwidth guarantee is you think you have a one gigabyte internet connection but that's not really what all the elements along your path are gonna provide you. So there's a lot of variability and we make that all go away we make the management go away, the security issues go away, and so it's totally seamless. You just need to connect into our network with our edge, it's as if the cloud really isn't there. And if you need to access your resources in the cloud, we can bring your data to EC2 and you can connect instances to it. So the whole process of moving things back and forth is so seamless and transparent, you don't just manage it. It's all sort of a byproduct of the architecture. >> I was just gonna add, Equinix invested early and bet early on becoming a cloud hub. This idea of having a cloud exchange and a lot of the other services that are plugged in, is a tremendous value to customers. But what we do see is that there is still a lot of customers out there and I'm sure this will persist for a while where there's still even yet further distributed last mile issues, and customers are moving into Equinix and Colocation sites for all the benefits that they bring and we take full advantage of that and help drive that from our side. But we also see that there are things that are just not moving and need to stay put and it's either because of legacy reasons, compliance reasons, they don't want to invest to re-platform things. There are a lot of reasons that are out there and because we both come from the enterprise infrastructure world, that does not scare us. So we understand that what you have to do is you have to meet the customers where they live, right? And you have to make it easy and accessible and as Laz has described in kind of a turn key situation where however your application wants to run and be best situated, we're gonna make sure that your data is available to you. >> Yeah you bring out some great points there. A line I used many times recently is there was the promise that cloud was going to be simple and cheap and it turned out to be neither of those. What do you see some of the biggest challenges, Ellen, we start with you maybe, what are your customers facing, what do you excited about that's actually made progress the last few years, and what do we still need to do as an industry as a whole? >> Well I always have to say this and of course it makes me just feel completely so old but I've been in the clouds since 2008, right? My last company's cloud switch was kind of that early, okay, there's a thing it's called the cloud, it happens to be Amazon but there'll be other clouds too. So you have to say fast-forwarding 10 years, a lot of really good progress has been made and it is for sure the case that now when you talk to enterprise customers and to the CIOs they're in the cloud, they've adopted the cloud, the cloud is in their mental picture of where things are gonna be, they've accepted the fact that they have developer groups are already in the cloud and have been for a very long time and it's part of their portfolio now, to make sure it's protected and highly available and compliant. So I think that is progress. The best thing that ever happened was, I don't have to convince people the cloud is more secure than what they're doing on Prem, because everybody kinda knows that, so that's good news. We don't have to have that conversation 20 times again et cetera. But what I do see that's surprising to me is that still some of the fundamental problems are still problems. Getting my data into the cloud. You think, c'mon we've got lots of solutions, tools, and toolkits and stuff like that. But it's still a very major problem. Networking of course still being a key issue for customers. I don't want to rollout a bunch of new lines, I don't want to have to hire a snowmobile, I don't want to- you know, rebuild everything form scratch. So that is still I think shows up more than I would have guessed. Right now what we see is there's a lot of focus on operational things, in terms of how to optimize what turned out to be the high cost of the cloud. Every one of our customers knows if that pull data back from the cloud that's not good. So they've learned that, they've found that out and they were kind of a little surprised the first time the bill came in and it was really high. So this idea of having tools that allow optimization of using the cloud more cost-effectively and figuring out which cloud is going to be more cost-effective based on the access patterns. There's more awareness of it but there's still a lot of struggling with that. >> Laz, would love your comments on that. >> Well there are, the whole notion of cost-optimization is deeply embedded in our technology. Every time we have a conversation with a customer the first thing they ask, they ask about egress fees, is it really just the same price no matter how much I use it? And they think about all these different, like things about IOPS for example. Because the cloud providers have sort of indoctrinated the market to think about what their IOPS needs are. In order to get them to the appropriate price point. So there's a lot of optimization there, that I still don't think that the customers really got. How many people really understand how many IOPS a particular application really needs? And how many should I buy and if I buy the wrong number oh my god everything is messed up. So the ability to solve those types of problems for people. In a way that it becomes a non-issue is still. Certainly we're doing it for storage but there are all sorts of issues just like that for compute, there are all sorts of issues like that for networking as well. So anyone who's trying to build an application on top of this platform really needs to think about those things. Thankfully our customers don't have to worry about a whole slew of things because we've actually arbitrized out all of the unusual aspects of terrace of network providers versus cloud providers, access fees and transaction fees et cetera. Anyone whose doing this need to think about this in a very analytical way, which I don't think IT has been used to up until now. They overbuy as you know, and they continue to overbuy and as long as there's no complaints about performance, and there's no complaints about excesses in cost everything is fine. That's not how the cloud works. I think we're getting to the point now where any serious move to the cloud now is going to require a lot more thinking and a lot more analysis. There's still a mentality that the cloud is cheaper, and then when people try it, they quickly realize "Oh my god look at this bill." And it's forever, it's not like you can just shut everything off. It's every month. It's not just like you spent forty thousand dollars in a month and you can shut it off. So it's a difficult problem and I don't think IT's prepared, in general. >> I think one of the things we've seen at ClearSky over the last several years is the willingness that customers have to use the cloud for data protection. I think when we started it was sort of, you know, everything's going to the cloud, the whole thing. Damn the torpedoes full speed ahead, right? I think a lot of what people are actually doing is archival back-up DR, those are comfortable, state of the industry is sort of there should be a connection between the, wherever the Prem is for the customer and then out to the cloud for things that are longer tail kinds of things. The problem is, what if you have to pull the data back? So these are thing we think about everyday. >> Right, Ellen want to give me the final word, 20 million dollar phrase, the partnership with Equinex that's going to increase availability. What's this mean to your customers and to the company ClearSky as we look forward. >> Well I think one of the things that's true about the fact that we are a network centric kind of company is that the power of the network is in how many access points you have. So what this means is that customers who are national, and then global will have more opportunity now to be able to access things with ClearSky. And to grow and expand with us, which is great. We've seen tremendous expansion business this year. Really like a huge percentage has already expanded at least once if not multiple times with us. And that begs a lot of questions, well that's great you're here with us in this metro how do we get across the rest of our locations. So I think that's very valuable and also obviously from our side making sure we can handle the care and support that our customers are expecting. We're fully managed 24 by 7. So the bar is high, right? This is not the, here's a toolkit in the cloud go figure it out, this is we take care of everything we're SLAU and that's it. And obviously the customer wants to see that scale. >> Well Ellen and Laz, congratulations on all the progress you've made and always great to catch up with you on all the updates. >> Great to see you. >> Yeah, great to see you. >> Alright and thank you so much for watching and be sure to check out The Cube .net for all of our coverage including. We're at all the cloud shows. Huge show at Amazon Reinvent at the end of November be sure to tune into that and everything else. Feel free to reach out if you've got questions for our team or teams that you'd like us to cover other events we should be at. I'm Stu Miniman and thank you for watching the CUBE.