>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. Hey, is Keith Townsend, principal at CTO Adviser, and you're watching the Cube virtual coverage of AWS reinvent 2020. I'm really excited whenever we get toe talk to actual end users. Builders. The conversation is dynamic. This is no exception. Back on the show, Al Vanish despondent head off architectures at logic I've been ish. Welcome back to the show. >>Thanks, Kate. Good to be here >>and on the other side of my screen or how you depend on how you're looking at it is Anthony Brooks Williams C E O off HBR Anthony, Welcome back to the Cube. I know your kind of tired of seeing us, but the conversation is gonna be good, I promise. >>Thanks very much. Look forward to being here and great as you said to talk about a use case for the customer in the real world. >>So I'll be let's start off by talking about lodge attacking. What are you guys doing in a W s in general? I mean, e no. Every company has public cloud, but Logitech and AWS and Public Cloud doesn't naturally come to mind. Help educate the audience. What do you guys doing? >>Sure, so traditionally, audience knows Logitech as the Mice and keyboard company, but we do have a lot of brands which are cool brands off logic tech If you know about gaming, Logitech G is a huge brand for us. We are in video collaboration space. We compete with the likes off Ciscos of the world, where we have hardware that goes on bond works with Zoom Google as well as Microsoft ecosystems. That has been a huge success in a B two b well for us. Beyond music industry gaming as an Astro gaming Jay Bird head phones for athletes. We are also in security system space. On top of that were also in the collaboration space off streaming as in stream labs so a Z can see logic has grown toe where that a lot off use cases, apart from just peripherals, is out there. We connected devices, so we're also looking to move towards a cloud ecosystem where we could be in on on our toes, toe provisioning information on DNA, make sure we are computing to the best of the world. So we are in AWS. We do a lot more in AWS now, compared to what we used to do in the past last five years has seen a change and a shift towards more cloud public cloud usage pure SAS environments in the ws as well And we provisioned data for analysis and essentially a data driven enterprise. Now more so on V as we move towards more future >>and Anthony talked to me about not necessarily just largest heck, but the larger market. How are you seeing companies such as logic? Heck take advantage off A W s and Public cloud. >>Yeah, but I think you mean ultimately we've seen it accelerated the show. Me Castle's just looking for a better way to connect with their prospects, you know, and leverage data in doing so. And we've seen this this driver around digital transformation and that's just being sped up the shirt, given what we've seen around covert and so a lot more companies have really pushed forward and adopting, you know, the infrastructure and the availability off systems and solutions that you find in a platform such as AWS on bets that we've seen grand deduction from our side of customers doing that, we provide the most efficient way of protesters to move data to so platforms such as I don't yes, and that's what we've seen. A big uptick picture. >>So let's focus the conversation around data data, the new oil. We've heard the taglines. Let's put some meat on the bone, so to speak and talk through How are you at logic Tech using real time data in the public cloud? >>Sure, Yeah. I mean, traditionally, if you look at it, uh, logic could selling hardware. Andi hope it >>works for >>the end consumer. Uh, we would not necessarily have an insight into how that product is being used. I think come fast forward. Today's world. It's a connected devices environment. You want to make sure when you sell something, it is working for that consumer. You would want them to be happy about that product, ensuring a seamless experience. Eso customer experience is big. You might want to see a repeat customer come about right. So So the intent is to have a lot off. It is connected experience where you could provisional feedback loop to the engineering team toe to ensure stability off the product, but also enhancements around that product in terms off usage patterns. And and we play a big role with hardware in what you're gaming, for example. And as you can see, that whole industry is growing toe where everything is connected. Probably people do not buy anything, which is a static discussing thing. It's all online gaming. So we want to ensure we don't add Leighton. See in the hardware that we have, ensuring a successful experience and repeat customers right? The essential intent is at the end of the day, to have success with what you sell because there's obviously other options on the market and you want to make sure our customers are happy with the hardware they are investing. Maurin that hardware platform and adding different, very fills along with it so that seamless experiences where we wanna make sure it's connected devices to get that insight. We also look at what people are saying about our products in terms off reviews on APS are on retail portals to ensure we we hear the wise off customer on channel. How's that energy in a positive way to improve the products as well as trying to figure out if there are marketing opportunities were you could go across sailing up cells, so that's essentially driving business towards that success, and at the end of it, that would essentially come up with a revenue generation model >>for us. So Anthony talked to me about how HBR fits into this, because when I look at cloud big, that can be a bit overbearing, like, where's where's the starting point? >>So I mean, for us, you mean the starting point Answer questions around. Acquiring the data data is generated in many places across organizations in many different platforms and many systems. And so we have the ability to have a very efficient technique in the way we go acquire data the way we capture data through this technique called CBC Chinese share the capture where you're feeding incremental updates off off the data across the network. That's the most efficient way to move this data. Firstly, across a wide area network cloud is an endpoint. Uh, you mean off that, And so, firstly, we specializing in supporting many different source systems and so we can acquire that data very efficiently, put it into our into a very scalable, flexible architecture that we have. That's that's a great foot for this modern world of great foot for the cloud. So not only can we capture data from many different source systems, their complexities and a lot of these type of the moments that customers have, we could take the data and move it very efficiently across that network at scale. Because we know, as you've said, data is the new oil that's the lifeblood of organizations today. So we can move that data efficiently at scale across the network and then put it into a system such a snowflake running in AWS like we do for a hobby and a larger taken. So that's really where we fit. I mean, we can, you know, we support data taken from many sources, too many different target systems. We make sure that data is highly accurate. When we move that data across that matches what was in the source of matches, what's in the in the target system. And we do that in this particular use case and what we see predominantly today, the source systems are capturing the data typically today. Still generated on Prem could be data that's sitting in an SFP environment. Unpack that data. Decode that data is to be complex to get out and understand it on moving across and put it in their target system, that predominance sitting in the cloud for all the benefits that we see that the cloud brings around elasticity and efficiency and operational costs the most type of things. And that's probably human in where we fit into this picture. >>You know, I think if I add a little bit there, right, So to Anthony's point for us, we generate a lot of data. You're looking at billions off rolls a day from the edge where people like you and I are using logic devices and we also have a lot off prp transactions That going so the three V s Typically that they call about big data is like the variety off data volume of data at velocity that you want to consume it. So the intent is if you need to be data driven, the data should be available for business consumption as it is being generated very near real time, and that the intent for some of these platforms like H we are, is How efficiently could you move that data, whether it's on Prem or a different cloud into AWS on giving it for business consumption of business analysis in near real time. So you know we strive, Toby Riel time. Whether it's data from China in our factory, on the shop floor, whether it's being generated from people like you and I playing a game for eight hours on generating so many events, we're gonna ensure all that data is being available for business analysis and gone out of those days where we would load that data once a day. And in the hope that we do a weekly analysis right today, we do analysis on make business decisions on that data as the data is being generated. And that's the key to success with such platforms, where we want to make sure we also look at build vs buy rather than us doing all that core and trying toe in just that data we obviously partner with which we are in certain application platforms to ensure stability off it. And they have proven with their experience the I P or the knowledge around how to build those platforms, which even if we go build it, we might need bigger teams to build that. I would rather rely on partners for that capability. And I bring more business value by enabling and implementing such solutions. >>So let's put a little color around that skill whenever I talk to CDOs. Chief data officers, data architects One of the biggest problems that they have in these massive systems you're talking about getting data from E. AARP uh, Internet of things devices, etcetera is simple data transformation. E t l data scientists spend a good droid at a time, maybe sometimes 80% of their time on that data transformation process that slows down the ability to get answers to critical business. Analytic questions. How is HBR assistant you guys and curling down at time for detail? >>Absolutely. So we we do not. We went to cloud about five years back, and the methodology that you talk about e t. L is sort of a point back in the day when you would do, you know, maybe a couple of times a day ingestion. So it's like in the the transition off the pipeline. As you are ingesting data, you would transform and massage the return, enhance the data and provisioned it for business consumption. Today we do lt we extract loaded into target and natively transform it as needed from business consumption. So So we look at each. We are, for example, is, uh, we're replicating all off our e r P data into snowflake in the cloud for real time ingestion and consumption. Uh, if you do all of this analysis on article side to it, typically you would have ah, processing where you would put put in a job toe, get that data out, and analysis comes back to you in a couple of hours out here, you could be slicing and dicing the data as needed on it's all self serve on provisioning. We do not build analysis foreign users. Neither do we do a lot off the data science. But we want to make sure when businesses using that data they can act on that as it's available on the example is we had a processing back in the day with demand forecasting, which we do for every product off logic for 52 weeks, looking ahead for for every week, right, and it will run for a couple of days that processing today with such platforms on in public Lot. We do that in an hour's time. Right now That's critical for business success because you want to know the methodologies you feel need Tofail or have challenges. You probably wanna have them now rather than wait a couple of days for that process in the show up, and then you do not have enough time to, at just the parameters are bringing back some other business process toe augmented. So that's what we look at. The return on investment for such investment are essentially ensuring business continuity and success outfront on faster time to deliver. >>Yeah, >>so, Anthony, this seems like this would really change the conversation within enterprises. The target customer or audience really changes from kind of this IittIe centric movement tome or strategic move. We talked to me about the conversations you've had, what customers and how this has transformed their business. >>Yeah, a few things to unpack there, um, one. You mean, obviously, customs wanna make decisions on the freshest data, so they typically relied on in the past on these batch orientated tough data movement techniques, which which will be touched on there and how we're able to reduce that that time window. Let them make decisions on the freshest data where that takes, you, choose into other parts of organizations. Because, Azzawi said, already, I mean, we know that is the lifeblood of them. There was many, I would say, Typically, I t semi, but let's call it data. Seven people sitting in the both side of organizations, if not Mawr, than used to sit in the legacy I t side. They want access to this data. They want to be able to access their daily easy. And so one of these things cloud based system SAS based systems have made that a lot easier for them. And the conversations. We have a very much driven from not only the chief data officers, but the CEOs. Now they know in order to get the advantage to win. To survive in today's times, they need to be data driven organizations, and it sounds cliche. We hear these digital transformation stories and data driven taglines. They get thrown out there, but what we've seen is where it's really it's been put to toss this year it is happening. Projects that would happen 9 12 months have been given to month Windows to happen because it's a matter of survival and so that's what's really driven. And then you also have the companies that benefit as well. You mean we're fortunate that we are able as a company globally, with composer of all to work from her very efficiently. But then support customers like Obvious who or providing these work from home technology systems that can enable another? The semester It's really moved. That's driven down from being purely I t driven to its CEO, CEO, CEO driven because its's what they've got to do. It z no longer just table stakes. >>I >>think the lines are great, right way we roll up into CEO and like I work for the CEO at at large detect. But we strive to be more service oriented than support. So I t was traditionally looked at as a support our right. But we obviously are enabling the enterprise to be data driven, so we strive to be better at what we do and how we position ourselves. As as more off service are connected to business problem, we understand the business problem and the challenge that they have on and ensuring we could find solutions and solution architectures around that problem to ensure success for that, right? And that's the key to it. Whether we build, vs, buy it. It's all about ensuring business doesn't have toe find stopgap solutions to be successful in finding a solution for their problem. >>Avi Anthony, I really appreciate you guys taking the time to peel back the layers and help the audience understand how to take thes really abstract terms and make them rial for getting answers on real time data and kind of blowing away these concepts of E t l and data transformations and how toe really put data toe work using public cloud resource sources against their real time data assets. Thank you for joining us on this installment of the Cube virtual as we cover A W s re event, make sure to check out the portal and Seymour great coverage off this exciting area off data and data analysis

>>from >>around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. >>Hello and welcome back to the Cube Coverage of eight of us reinvent 2020 Virtual. I'm John for your host of the Cube. Normally we're in person this year. It's a virtual event. It is reinvent and cube virtual here. We got great interview here. Segment with VM ware and A W s. Two great guests. Keep both Cube alumni. Marc Lemire, senior vice president, general manager, The Cloud Services Business Unit VM Ware and Dave Brown, Vice president Elastic Compute Cloud easy to from Amazon Web services Gentlemen, great to see you guys. Thanks for coming on. >>Great. Thank you. Good to be back. >>Thanks. Great to be back. >>So you know, Dave, we love having you on because ec2 obviously is the core building block of a device. Once the power engine, it's the core product. And Mark, we were just talking a few months ago at VM World of momentum you guys have had on the business front. It's even mawr accelerated with co vid on the pandemic. Give us the update The partnership three years ago when Pat and Andy in San Francisco announced the partnership has been nothing but performance. Business performance, technical integration. Ah, lots happened. What's the update here for reinvent? >>Yeah, I guess the first thing I would say is look, you know, the partnership has has never been stronger. You know, as you said, uh, we announced the partnership and delivered the initial service three years ago. And I think since then, both companies have really been focused on innovating rapidly on behalf of our customers bringing together the best of the VM, or portfolio, and the best of, you know, the entire AWS. A set of capabilities. And so we've been incredibly pleased to be able to deliver those that value to our joint customers. And we look forward to continue to work very closely together. You know, across all aspects of our two companies toe continue to deliver more and more value to our joint customers. >>Well, I want to congratulate you guys at VM where, you know, we've been following that story from day one. I let a lot of people skeptical on the partnership. We were pretty bullish on it. We saw the value. It's been just been great Synergy day. I want to get your thoughts because, you know, I've always been riffing about enabling technologies and and the way it works is enabling technologies. Allow your partners to make more money, too. Right? So you guys do that with the C two, and I know that for a fact because we're doing well with our virtual event cloud, but are easy to bills are up, but who cares? We're doing well. This is the trend you guys are enabling partners, and VM Ware in particular, has a lot of customers that are on AWS. What's your perspective on all this? >>You know the part. The part maker system is so important for us, right? And we get from our customers. We have many customers who, you know, use VM ware in their own environment. They've been using it for years and years, um, true for many other software applications as well and other technologies. Andi, when they moved to AWS there very often. When you use those tools on those services on AWS is well and so you know, we we partner with many, many, many, many companies, and so it's a high priority for us. The VM Ware partnership, I think, is being sort of role model for us in terms of, you know, sitting out outside Sana goal back in 2016. I think it waas and, you know, delivering on that. Then continue to innovate on features over the last three years listening to our customers, bringing larger customers on board, giving them more advanced networking features, improving. You know that the instance types of being whereas utilizing to deliver value to their customers and most recently, obviously, with Outpost AWS outposts and parking with VM ware on VM are enabled outposts and bringing that to our customers and their own data centers. So we see the whole partner ecosystem is critically important. Way were spent a lot of time with VM and other partners on something that our customers really value. >>Mark, I want to get your thoughts on this because I was just riffing with Day Volonte about this. Um, heightened awareness with that covert 19 in the pandemic has kind of created, which is an accelerant of the value. And one >>of the >>things that's a parent is when you have this software driven and software defined kind of environment, whether it's in space or on premise or in the cloud. Um, it's the software that's driving everything, but you have to kind of components. You have the how do you operate something, And then how does the software works? So you know, it's the hand in the glove operators and software in the cloud really is becoming kind of the key things. You guys have been very successful as a company with I t operations, and now you're moving into the cloud. Can you share your thoughts on how VM Ware cloud on AWS takes that next level for your customers? So I think that's a key point that needs to be called that. What's your What's your thoughts on that? >>Yeah, I think you hit the nail on the head, and I think, you know, look, every company is on a journey to transform the level of capability they're able to offer to their customers and their employees, right? And a big part of that is how do they modernize their application environment? How do they how do they deliver new applications and services? And so this has been underway for for a while now. But if if anything, I think Cove, it has only accelerated. Um, the need for customers to be able to continue to go down that path. And so, you know, between VM ware in AWS, um, you know, we're looking to provide those customers a platform that allows them to accelerate their path to application, modernization and new services and capabilities. And, um, you know, Dave talked about the ecosystem and the importance of the ecosystem that AWS and I think you know, together. What we've been able to do if you sort of think about it, is, you know, bringing together this rich set of VM Ware services and capabilities. Um, that we've talked about before, as well as new VM Ware capabilities, for example, the ability to enable kubernetes based applications and services on top of this Corby, um or platform with Tan Xue. Right. So customers can get access to all of that is they go down this modernization path. But, you know, right next door in the same ese is 375 native AWS services that they can use together in conjunction, uh, with that environment. And so if you think about accelerating that journey right Being ableto rapidly migrate those VM ware based workloads into the AWS cloud. When you're in the AWS cloud, be able to modernize that environment using the VM Ware Tansu capability, the native AWS services and then the infrastructure that needs to come together to make that possible, for example, the network connectivity that needs to be enabled, um, to take advantage of some of those services together. Um, you know, we're really we're trying to accelerate our delivery of those capabilities so that we can help our customers accelerate the delivery of that application value thio to their customers. >>David want to get your thoughts on the trends If you speak to the customers out there at VM Ware, customers that are on the cloud because you know the sphere, for instance, very popular on the Ws Cloud with VM Ware Cloud as well as these new modern application trends like Tan Xue, Project Monterey is coming around the corner that was announced that VM world what trends do you see from the two perspective that you could share to the VM ware eight of his customers? What's the key wave right now that they should be riding on. >>Yeah, I think a few things, you know, we definitely are seeing an acceleration in customers Looking Thio looking to utilize humor on AWS You know, there was a lot of interest early on, really, over the last year, I think we've seen 140% growth in the service, which has been incredibly exciting for both of us and really shows that we we're providing customers with the service that works. You know, I think one of the key things that Mark called out just talking previously was just how simple it is for customers to move. You know, often moving to the cloud gets muddled with modernization, and it takes a long time because customers to kind of think about how do they actually make this move? Or are they stuck within their own facility on data center or they need to modernize? We moved to a different hyper visor with PM on AWS. You literally get that same environment on AWS, and so whether it's a a migration because you want to move out of your on premise facility, whether it's a migration because you want to grow and expand your facility without needing to. You know, build more data centers yourself Whether you're looking to build a d. R site on AWS on whether you looking just, you know, maybe build a new applications tank that you wanna build in a modern way, you know, using PMR in Tanzania and all the AWS services, all of those a positive we're seeing from customers. Um, you know, I think I think as the customers grow, the demand for features on being were in AWS grows as well. And we put out a number of important features to support customers that really, really large scale. And that's something that's being exciting. It's just some of the scale that we're seeing from very, very large being, we customers moving over to AWS. And so I think you know a key messages. If you have a Vienna installation today and you're thinking about moving to the cloud, it's really a little that needs to stop you in starting to move. It is is very simple to set up, and very little you have to do to your application stack to actually move it over. >>Mark, that's a great point. I want to get your thoughts on that in reaction toe. What? Dave just said Because this is kind of what you guys had said many years ago and also a VM world when we were chatting, disrupting operations just to stand up the clubs shouldn't be in place. It should be easy on you. Heard what Dave said. It's like you got >>a >>lot of cultures that are operating large infrastructure and they want to move to the cloud. But they got a mandate toe make everything. Is a services more cloud native coming. So, yeah, you gotta check off the VM where boxes and keep things running. But you gotta add more modern tooling mawr application pressure there. So there's a lot of pressure from the business units and the business models to say We gotta take advantage of the modern applications. How do you How do you look at that? >>Yeah, yeah, I mean, I think Look, making this a simple is possible is obviously a really important aspect of what we're trying Thio enable for our customers. Also, I think the speed is important, right? How you know, how can we enable them? Thio accelerate their ability to move to the cloud, but then also accelerate their ability Thio, um, deliver new services and capabilities that will differentiate their business. And then how do we, uh, kind of take some of the heavy lifting off the customers plate in terms of what it actually takes to operate and run the infrastructure and do so in a highly available way that they could depend upon for their business? And of course, delivering that full capabilities of service is a big part of that. You know, one of my when my favorite customer examples eyes a company called Stage Coach, uh, European based transportation company. And they run a network of Busses and trains, etcetera, and they actually decided to use VM. Tosto run one of their most mission critical applications, which is involved with basically scheduling, scheduling those systems right in the people that they know, the bus drivers in the train conductors etcetera. And so if you think about that application right, its's a mission critical application for them. It's also one that they need to be able to iterate involved and improve very quickly, and they were able to take advantage of a number of fairly unique capabilities of the joint service we built together to make that possible. Um, you know, the first thing that they did is they took advantage of something called stretch clusters. The M we're cloud on AWS stretch clusters Where, uh, we basically take that VM Ware environment and we stretch it. We stretch the network across to aws availability zones in the same region, Onda. Then they could basically run their applications on top of that that environment. And this is a really powerful capability because it ensures the highest levels of s L. A. For that application for four nines. In this case, if anything happens, Thio fail in one of those, uh, Aziz, we can automatically fail over and restart the application in the second ese on DSO provides this high level of availability, but they're also able to take advantage of that without on day one. Talk about keeping it simple without on day one, requiring any changes to the application of myself because that application knew how to work in the sphere. And so you know that I work in the sphere in the cloud and it can fail over on the sphere in the cloud on dso they were able to get there quickly. They're able Thio enable that application and now they're taking the next step. Which is how do I enhance and make that application even better, you know, leveraging some of the VM or capabilities also looking to take advantage of some of the native AWS capabilities. So I think that sort of speed, um you know that simplicity that helps helps customers down that path to delivering more value to their employees and their customers. That and we're really excited that were ableto offer that your customers >>just love the philosophy that both companies work back from the customer customer driven kind of mentality certainly key here to this partnership, and you can see the performance. But I think one of the differentiations that I love is that join integration thing engineering that you guys were doing together. I think that's a super valuable, differentiated VM where Dave, this is a key part of the relationship. You know, when I talked to Pat Gelsinger and and again back three years ago and he had Raghu from VM, Ware was like, This is different engineering together. What's your perspective from the West side when someone says, Yeah. Is that Riel? You know, it is easy to really kind of tied in there and his Amazon really doing joint engineering. What do you say to that? >>Oh, absolutely. Yeah, it's very real. I mean, it's been an incredible, incredible journey together, Right? Right, Right from the start, we were trying to work out how to do this back in 2016. You know, we were using some very new technology back then that we hadn't honestly released yet. Uh, the nitrous system, right? We started working with family and the nitrous system back in late 2016, and we only launched our first nitrous system enabled instance that reinvent 2017. And so we were, you know, for a year having being a run on the nitrous system, internally making sure that, you know, we would support their application and that VM Ware ran well on BC around. Well, on aws on, that's been ongoing. And, you know, the other thing I really enjoy about the relationship is learning how to best support each other's customers on on AWS and being where, and Mark is talking about stretch clusters and are being whereas, you know, utilizing the availability zones. We've done other things in terms of optimizing placement with across, you know, physical reaction in data centers. You know, Mark and the team have put forward requirements around, you know, different instance types and how they should perform invest in the Beamer environment. We've taken that back into our instance type definition and what we've released there. So it happens in a very, very low level. And I think it's both teams working together frequently, lots of meetings and then, you know, pushing each other. You know, honestly. And I think for the best experience or at the end of the day, for our joint customers. So it's been a great relationship. >>It helps when both companies are very fluent technically and pushing the envelope with technology. Both cultures, I know personally, are very strong technically, but they also customer centric. Uhm, Mark, I gotta put you on the spot on this question because this comes up every year this year more than ever. Um, is the question around VM ware on A W S and VM ware in general, and it's more of a general industry theme. But I wanna ask you because I think it relates to the US Um vm ware cloud on aws. Um, the number one question we get is how can I automate my I t operations? Because it's kind of a no brainer. Now it's kind of the genes out of the bottle. That's a mandate. But it's not always easy. Easy as it sounds to dio, you still got a lot to dio. Automation gets you level set to take advantage of some of these higher level services, and all customers want to get there fast. Ai i o t a lot of goodness in the cloud that you kinda gotta get there through kinda automating the based up first. So how did how are your customers? How are you guys helping customers automate their infrastructure operations? >>Yeah, I mean, Askew articulated right? This is a huge demand. The requirement from our customer base, right? Uh, long gone are the days that you wanna manually go into a u I and click around here, click there to make things happen, right? And so, um, you know, obviously, in addition to the core benefit of hey, we're delivering this whole thing is a service, and you don't have to worry about the hardware, the software, the life cycle all of that, Um you know, at a higher level of the stack, we're doing a lot of work to basically expose a very rich set of AP eyes. We actually have enabled that through something called the VM, or Cloud Developer center, where you can go and customer could go and understand all of the a p i s that we make available to that they can use to build on top of to effectively automated orchestrate their entire VM or cloud on AWS based infrastructure. And so that's an area we've we've invested a lot in. And at the end of the day, you know we want Thio. Both enable our customers to take their existing automation tooling that they might have been using on their VM ware based environment in their own data center. Obviously, all of that should continue to work is they bring that into the emcee aws. Um but now, once we're in AWS and we're delivering, this is a service in AWS. There's actually a higher level of automation, um that we can enable, and so you know everything that you can do through the VM or cloud console. Um, you can do through a P. I s So we've exposed roughly a piece that allow you to add or remove instance capacity ap eyes that allow you to configure the network FBI's that allow you toe effectively. Um, automate all aspects of sort of how you want Thio configure and pull together that infrastructure. Onda. You know, as Dave said, a lot of this, you know, came from some of those early just customer discussions where that was a very, very clear expectations. So, you know, we've we've been working hard. Thio make that possible. >>So can customers integrate native Cloud native technologies from AWS into APS running on VM ware cloud on any of us? >>Yeah. I mean, I'll give you one example for so we you know, we've been able to support for cloud formation right on top of the M C. Mehta best. And so that's, you know, one way that you can leverage these 80 best tools on top of on top of the m. C at best. Um and you know, as we talked about before, uh, you know everything on the VM ware in the VM ware service. We're exposing through those AP eyes. And then, of course, everything it best does has been built that way from the start. And so customers can work. Um, you know, seamlessly across those two environments. >>Great stuff. Great update. Final question for both of you. Uh, Dave will start with you. What's the unique advantages? When you people watching? That's gonna say, OK, I get it. I see the momentum. I've now got a thing about post pandemic growth strategies. I gotta fund the projects, so I'm either gonna retool while I'm waiting for the world to open up. Two. I got a tail wind. This is good for my business. I'm gonna take advantage of this. How do they modernize our application? What? The unique things with VM Ware Cloud on AWS. What's unique? What would you say? I >>mean, I think the big thing for me eyes the consistency, um, the other way that were built This between the the sphere on prime environment and the the sphere that you get on aws with BMC on aws. Um you know, when I think about modernization and honestly, any project that I do, we do it Amazon I don't like projects that required enormous amount of planning and then tooling. And then, you know, you've this massive waterfall stock project before you do anything meaningful. And what's so great about what we built here is you can start that migration almost immediately, start bringing a few applications over. And when you do that, you can start saying, Okay, where do we want to make improvements? But just by moving over to aws NBN were on AWS, you start to reap the benefits of being in the child right from day one. Many of the things Mark called out about infrastructure management and that sort of thing. But then you get to modernize off to that as well. And so just the richness in terms of, you know, being where a tan xue and then the you know, I think it's more than 200 AWS services. Now you get to bring all that into your application stack, but at a time at a at a at a cadence or time that really matters to you. But you could get going immediately, and I think that's the thing that customers ready need to do if you find yourself in a situation you know, with just how much the world's changed in the last year. Looking Thio. Modernize your applications deck, Looking for the cost benefits. Looking to maybe get out of the data center. Um, it's a relatively easy both forward and just put in a couple of engineers a couple of technicians on to actually starting to do the process. I think you'll be very surprised at how much progress you can actually make in a short amount of time. >>Mark, you're in charge of the Cloud Services business unit at VM Ware CPM. Where cloud on AWS successful more to do a lot of action kubernetes cloud native automation and the list goes on and on. What are the most unique advantages that you guys have? What would you say? >>Yeah, I mean, I would maybe just build on Dave's comments a bit. I think you know, if you look at it through the customer lens three ability to reiterate and the ability to move quickly and not being forced into sort of a one size fits all model, right? And so there may be certain applications that they run into VM, and they want to run into VM forever. Great. We could enable that there might be other applications that they want to move from a VM into a container, remove into kubernetes and do that in a very seamless way. And we can enable that with, uh, with Tan Xue, right? By the way, they may wanna actually many applications. They're gonna require, uh, complex composite applications that have some aspects of it running in communities, other aspects running on VMS. You know, other aspects connecting to some native AWS services. And so, you know, we could enable those types of, you know, incremental value that's delivered very, very quickly that allows them at the end of the day to move, move fast on behalf of their own customers and deliver more about it to them. So I think this this sort of philosophy, right that Dave talked about I think is is one of the really important things we've tried to focus on, um, together. But, you know, on behalf of our joint customers and you know that that sort of capabilities just gets richer and richer. Overtime right. Both of us are continuing to innovate, and both of us will continue to think about how we bring those services together as we innovate in our respective areas and how they need to link together as part of this This intense solution. Um, so, uh, you know that I think that you're gonna see us continue to invest, continue to move quickly. Um, continue to respond to what our customers together are asking us. Thio enable for them. >>Well, really appreciate the insight. Thanks for coming on this cube virtual, um, segment. Um, virtualization has hit the cube where we have multiple virtual stages out there at reinvent on the site. Obviously, it's a virtual event over three weeks, so it's a little bit not four days or three days. It's three weeks. So, um, if you're watching this, check out the site. Tons of good V o D. The executive leaderships Check out the keynotes that air there. It's awesome. Big news. Of course. Check out the cube coverage, but I have one final final question is you guys are leaders in the industry and within your companies, and we're virtual this year. You gotta manage your teams. You still gotta go to work every day. You gotta operate your business is a swell as work with customers. What have you guys learned? And can you share any, um, advice or observations of how to be effective as a leader, a za manager, and as a customer interface point for your companies? >>Well, I I think, uh, let me go first, then Mark Mark and had some things, you know, I think we're moving to certainly in the last year, specifically with covert. You know, we've we've we've just passed out. I think we just passed out seven months off, being remote now on, obviously doing reinvent as well. Um, it zits certainly taken some adjusting. I think we've done relatively well, um, with, you know, going virtual. We were well prepared at Amazon to go virtual, but from a leadership point of view, you know, making sure that you have been some positives, right? So for one, I have I have teams all over the world, and, uh, being virtually actually helped a lot with that. You know, everybody is virtually all on the same stage. It's not like we have a group of us in Seattle and a few others scattered around the world. Everybody's on the same cold now. on that has the same you know, be able to listen to in the same way. But I better think a lot about sort of just my own time. Personally, in the time that my team spends, I think it's been very easy for us. Thio run a little too hot waken start a little too early and run a little too late in the evenings on DSO, making sure that we protect that time. And then, obviously, from a customer point of view, you know, we found that customers are very willing to engage virtually as well around the world s Oh, that's something we've been able to utilize very well to continue to have. You know what we call our executive briefing center and do those sorts of things customer meetings on in some ways. You know, without the plane trip on either side to the other side of the world, you're able to do more of those and stay even more in contact with your customers. So it's been it's been a lot of adjustment for us. I think we've done well. I think you know, a zay said. We've had a look at Are we keeping it balanced because I think it's very easy to get out of balance and just from a time point of view. But I think I'm sure it'll show. It'll change again as the world goes back to normal. But in many ways, I think we've learned a lot of valuable lessons that I hope in some cases don't go away. I think well will probably be more virtual going forward. So that's what a bit of from my side >>creating. Yeah. Confronting hot people run hard. You can, you know, miss misfire on that and burnout gonna stay, Stay tuned. Mark your thoughts. Is leader customers defeating employees? Customers? >>Yeah. I mean, in many ways, I would say similar experience. I think, uh, I mean, if you sort of think back, right, uh, it's in many ways amazing that within the course of literally a week, right, I think about some of the BMR experience we went from, uh, you know, 90 95% of our employees, at least in the US, working in an office right to immediately all working from home. And, uh, you know, I think having the technology is available to make that possible and really? For the most part, without skipping a beat. Um, it is pretty pretty amazing, right? Um and then, you know, I think from a productivity perspective, in many ways, you know, it z increased productivity. Right? Um, they have mentioned the ability engage customers much more easily you think about in the past, you would have taken a flight to Europe to maybe meet with, you know, 5 to 10 customers and spent an entire week. And now you can do that in, you know, in the morning, right? Um, and the way we sort of engaged our teams, I think in many ways, um, sort of online, uh, can create a very, very rich experience, right? In a way to bring people together across many locations in a much more seamless way than if maybe part of the team is there in the office. And some other part of the team is trying toe connect in through resume or something else. A little bit of a fragmented experience. But if everyone's on the same platform, regardless of where you are e think we've seen some benefits from that. >>It's interesting. You see virtualization. What that did to the servers created cloud, you know. Hey, Productivity. >>You also have to be careful. You don't run those servers too hot. You >>gotta have a cooling. You got the cooling Eso I You know, this is really an interesting, you know, social, uh, equation Global phenomenon of productivity Cloud. Combined with this notion of virtual changes, the workloads, the work flows, the workplace and the workforce, right, The future work. So I think, you know, we're watching this closely. I know you guys have both had great success from the pandemic with this new pressure on the cloud, because it's a new model, a new way to do things, So we'll keep watching it. Thanks for the insight. Thanks for coming on and and enjoy the rest of reinvent. >>Great. Thank >>you. Great to be here. >>Okay, this the cubes coverage. I'm John for your host of Cuban, remember? Go to the reinvent site. Three weeks of great virtual content over this month, Of course. Cube coverage for three weeks. Stay tuned off. All the analysis and a lot of great thought leadership in the industry commentary. Stay with us throughout the month. Thank you. Yeah,

>>from San Francisco. It's the Q covering pager duty Summit 2019. Brought to you by pager Duty. >>Hey, welcome back there. Ready, Geoffrey? Here with the cue, we're pager duty Summit in the historic Western St Francis Hotel, downtown San Francisco. I think they've outgrown the venue. The place is packed to the gills. Standing, rolling, the keynote Really excited of our next guest. Someone who's been to this industry for awhile really done some super cool creative things. He's given the closing keynote. We're happy to have him here right now. That's Mitchell Hashimoto from Hachiko. It's great to see you. >>Good to see you too. Thanks for having >>absolutely so just a quick overview before we get into it on hot chic or for the people in our familiar >>Sure, so hospitals a company that what we try to do is help people adopt cloud, but more, more realistically, Adolfo multi cloud and hybrid cloud the real world complexities. That cloud isn't just a technical landing point, but it's really way You deliver software. You want to deliver more applications, you want to connect them faster. You want to do this in an automated away infrastructure is code of all these modern practices way. Build a suite of tools Thio provisions secure, connect and run those applications for separate products that we sell that you could adopt separately. Good mix and match. That's That's what we've been doing for a long time. Based on open source Software, Way started purely as an open source community and have grown into an enterprise cos that's that's That's the elevator pitch. >>No, it's great, but it's a great story, >>right? Europe, Europe in Seattle got some access to some cloud infrastructure and really solve your own problem. Figured out other people of that problem and then really built a really cool, open source kind of based software company. >>Yeah, I mean, I think the amount of people that had the problem I was facing personally was orders of magnitude more than I expected. I've told other people we never expected to start even a business around this. It was just scratching and building technical solutions. But a CZ, as we sort of worked at startups, started talking a bigger and bigger companies. It just kept everyone kept saying, Yes, I have that problem and it's only grown since then, right surprising, >>and the complexity has only grown exponentially before. The you know, years ago, there was this bright, shiny new object called a W s. I mean, I love Bezos is great line that nobody even paid attention. You have six or seven years. They've got a head start and kind of this Russian. Now there's been a little bit of a fallback as people trying to figure out what to go where now it's hybrid cloud and horses for courses. So a lot of great complexity, which is nothing but good news for you. >>Absolutely. I told this story before, but our first year incorporated company I actually got hung up on by an analyst because I said way we're trying to solve a multi cloud problem and they said that's not a real problem when it will never be a real problem. They hung up on me on it was a bet, then, and and I think they're the expectation that was it was gonna be Eight of us is gonna be physical infrastructure and the physical infrastructure days were numbered. It was gonna get acts out. It was just gonna all go to eight of us and our conviction was that you would have both forever and or for a very long time. And then people like Azure, Google and others would pick up and and that's been true. But I think what we didn't expect, the complexity that got introduced with things like containers in Kubernetes because it's not like Clouded option finished in the next started It all came at once. So now Riel Cos they're dealing with the complexity of their still trying to move the clouds. They're trying to get more out of their physical infrastructure, trying to adopt kubernetes. Now people are starting to peck at them about server list. So there the complexity is is a bit crazy and review our job trying to simplify that adoption make you get the most out of >>right. And that was before you could get a piece of Ian where inside of AWS, get a get a piece of the Google Data Center inside your own data center. So it just continues to get crazier. >>Yes, yeah, So you're giving a closing keynote on a >>new project. You're working on fault, and it's an existing project. Justin cry. They're old, but but I think you talked about before we turn the cameras on. It's really more of a kind of an attitude in a and a point of view and a way to go after the problem. So I wonder if you could kind of dig into a little bit of What did you see? How did you decide to kind of turn the lens a little bit and reframe this challenge? Yeah, >>I think the big picture of story I'm trying to tell him the keynote is that everybody? Anything You look around the technical nontechnical, this table, that glass. Like everything you look at, it trickles back to the idea of one or a small group of people, and it takes an army to make it show up on this table. But it starts by somebody's vision, and everything was created by somebody. So I'm talking about vault, something we made and, you know, why don't we create it? And why do we make it the way we did? And you know, another thing I say is people ask, Why did you start hot record for having this vision? Something I constantly told myself was wine on me. I get someone's gonna do it. Why not make it? Could be anybody, like I'll give it a shot. Why not? And Bolt was that way. We Armand. I'm a co founder. Way took security classes in college, but we don't have a formal security background. We didn't work in security in industry. So the odds of us launching a security product that is so prevalent today whether you know it or not, it's behind the scenes very prevalent were stacked against us. How did that happen? And that's that's sort of what I've been going to talk about. >>Let's go. But do >>dive into a little bit on the security challenge because it's funny, right? Everyone always says, Right. Security's got to be baked in and you've got these complex infrastructure and everything's connected with AP eyes, the other people's applications and, oh yes, delivered through this little thing that you carry around. And maybe the network's not working well or the CPS running low are You're running iPhone five. And of course, it's not gonna work on most modern app. Yeah, bacon security always do, but that's easy to say. It's much harder to do, you know. Still, people want to build moats and castles and drawbridges, and that's just not gonna work anymore. >>Exactly. So you exactly hit upon the two major issues that we recognize there felt we recognize. One was that a lot of people were saying it. Very few people were doing it on. The reality was it was hard to do. Everyone knew theoretically what they should do. No one, no one thought. Oh yeah, saving somebody's personal information in plain text in the daytime. It's a good idea. Nobody thought that Everyone said it should be encrypted, but encryption is hard. So maybe one day, so no one was doing it. And then the other side of it was the people that were doing it where the world's largest companies, because the solutions were catered towards his mindset of of castle and moats, which works totally fine in a physical tradition environment but completely breaks down in a cloud world where there is no four perimeters anymore. It's >>still there, There. >>You're one AP I call away from opening everything to the Internet. So how do you protect this? And we've seen a lot of trends change towards zero Trust and ServiceMaster Mutual feel like there's a lot of stuff that happened way sort of jumped on that. >>Yeah, so So you're using, like, multi level encryption, and I've read a little bit on the website. It's way over my head, I think. But, you >>know, the basics are just making kryptonite. Christian makes security, cloud infrastructure, security approachable by anybody and a core philosophy. Our company, Hashi Hashi Hashi. My name means bridge, and that is a core part of our culture. Which is you can't just have, ah, theoretical thing or a shiny object and leave people hanging. You gotta give them a bridge, a path to get there, right? And so we say, with all our technology, one of the crawl, walk and run adoption periods and with security it's the same is that to say you're secure means something totally different everybody for a bank to be secure, it's a lot more than for a five person started to be secure. So how do you give somebody a solutions they could adopt? Check the security box for themselves at every path of the lake, and bald is one of the tools that way have individuals using it, and we have the world's largest companies, almost 10% of the global 2000 paying customers evolved many more open source users on its scales the entire spectrum. >>Wow. So you keep coming up >>with lots of new, uh, new projects as we get ready to flip the counter to 2020. What are some of the things you're thinking about? >>I think the big one, you know, that our focus is right now is service. Miss Vault is we're big enough company now where we always have teams working on every every one of our projects we have release is going out. The thing we've been talking about the most is the service mess thing. I think Cloud as a mainstream thing, Let's say, has has existed for seven or eight years. It's since it's been released. It's been over in almost 15 but as a thing that people have, that is a good idea. Seven or eight years and you know we've touched security. Now we've touched how infrastructures managed touch developers. I think a place that's been relatively untouched and has gotten by without anyone noticing has been networking and network security. They're they're really doing things the way they've always done things, and I think that's been okay because there's bigger fish to fry. But I think the time has come and networking as a bull's eye on it. And people are looking at What is networking mean in a cloud world and service mash appears to be the way that is gonna happen. Way have our own service mess solution called Council on Our Approaches Standard Hasta Corp. It's nothing new. It's We're gonna work with everything containers, kubernetes, viens physical infrastructure. We're gonna make it all work across multiple data centers. That is our approach service fashion, solving that challenge. >>What's the secret sauce? >>I mean, it's not that secret, right? >>It's just building. Just execute. Better understand that this header >>JD is the problem, right? Right, I said, This is our keynote a couple weeks ago that there are a lot of service messes out there, and nine out of 10 of them are solving a solution for a single environment, whether it's kubernetes or physical environment. And I think that's a problem. But it's not the problem. The problem to me is how do I get my kubernetes instances pods to communicate to my NSX service is on my physical infrastructure. That is the problem as people, whether that's temporary, not and they intend to move the communities or whatever. It's that's the reality. And how do you make that work? And that is what we're focused on solving that problem >>just every time I hear service mess. I think there was a company a while ago that sold the CSC. Probably like 2013. Didn't really get into That is a as a good, happy story. But they were early on the name. Yeah. Yeah. So last thing pager duty were Pedrie. What? You guys doing a page of duty? >>Sure. So we've been I've actually been a paying customer pager duty since before we even made this company in my previous job was a customer wear now, still customers. So we still use it internally. But in addition to that way, do integration across the board. So with terra form our infrastructure provisioning tool way have a way to manage all pager duty as code and as your complexion pager duty rises instead of clicking through a u. I being able to version and code everything and have that realize itself and how he works very valuable from like a service MASH consul standpoint. Hooking in the monitoring to the alerting of Pedro duty is a big thing that we do so tying those together. So it's very symbiotic. I love pager duty as a user and a partner. There's a lot here. >>Yeah, is pretty interesting slide when Jennifer put up in the keynote where it listed so many integration points with so many applications with on the outside looking in and you're like how you're integrating with spunk, that making how you're innovating with service. Now that doesn't make any sense. How Integrated was in Desperate. These were all kind of systems of record, but really, there's some really elegant integration points to make. This one plus one equals three opportunity between these applications. >>Yeah, I think it's very similar to the stuff we do with Walton Security. It's like the core permanence. Everybody needs him like with security. Everyone is an auto. Everyone needs traceability. Everyone needs access control. But rebuilding that functionality and every application is unrealistic. And paging and alerting an on call and events are the same thing. So it's you'd rather integrate and leverage those systems that make that your nexus for that specific functionality. And that's where Page duties. Awesome way. Step in, >>which was always great to catch up. Good luck on your keynote tomorrow. And really, it's a really amazing story to watch that you got You guys have built >>Well, thank you very much. >>All right. He's Mitchell. I'm Jeff. You're watching the cue. Were paid your duty, Simon in downtown San Francisco. Thanks for watching. We'll see you next time.

>> live from New York. It's the Q covering AWS Global Summit 2019 brought to you by Amazon Web service, is >> welcome back here in New York City on stew Minimum. My co host is Corey Quinn. In the keynote this morning, Warner Vogel's made some new announcements what they're doing and also brought out a couple of customers who are local and really thrilled and excited to have on the program the C i O and E V P from Finn Ra here in New York City. Steve Randall, thanks so much for joining us. You're welcome. Thank you. All right, so, you know, quite impressive. You know when when I say one of those misunderstood words out there to talk about scale and you talk about speed and you know, you were you know, I'm taking so many notes in your keynote this 1 500,000 compute note. Seven terabytes worth of new data daily with half a trillion validation checks per day, some pretty impressive scale, and therefore, you know, it's I t is not the organ that kind of sits in the basement, and the business doesn't think about it business and I t need to be in lobster. So, you know, I think most people are familiar with in Rome. But maybe give us the kind of bumper sticker as Thio What dinner is today and you know, the >> the organization. Yeah, I started it Fender and 2013. I thought I was gonna come into a typical regulator, which is, as you alluded to technologies, kind of in the basement. Not very important, not strategic. And I realized very quickly two things. Number one, The team was absolutely talented. A lot of the people that we've got on her team came from start ups and other technology companies. Atypical financial service is and the second thing is we had a major big data challenge on our hands. And so the decision to go to the cloud S I started in March 2013. By July of that year, I was already having dialogue with our board of directors about having to go to the cloud in orderto handle the data. >> Yeah, so you know, big data was supposed to be that bit flip that turned that. Oh, my God. I have so much data to Oh, yea, I can monetize and do things with their data. So give us a little bit of that, That data journey And what? That that you talk about the flywheel? The fact that you've got inside Finneran. >> Yeah. So we knew that we needed the way were running at that time on data warehouse appliances from E, M. C. And IBM. And which a data warehouse appliance. You go back 10 15 years. That was where big data was running. But those machines are vertically scalable, and when you hit the top of the scale, then you've got to buy another bigger one, which might not be available. So public cloud computing is all about horizontal scale at commodity prices to things that those those data data warehouse appliance didn't have. They were vertical and proprietary, inexpensive. And so the key thing was to come up to select the cloud vendor between Google, IBM, You know, the usual suspects and architect our applications properly so that we wouldn't be overly vendor dependent on the cloud provider and locked in if you will, and that we could have flexibility to use commodity software. So we standardized in conjunction with our move to the public cloud on open source software, which we continue today. So no proprietary software for the most part running in the cloud. And we were just very smart about architect ing our systems at that point in time to make sure that those opportunities prevailed. And the other thing I would say, this kind of the secret of our success Is it because we were such early adopters we were in the financial service industry and a regulator toe boots that we had engineering access to the cloud providers and the big, big date open source software vendors. So we actually had the engineers from eight of us and other firms coming in to help us learn how to do it, to do it right. And that's been part of our culture ever since. >> One thing that was, I guess a very welcome surprise is normally these keynotes tend to fall into almost reductive tropes where first, we're gonna have some Twitter for pet style start up talking about all the higher level stuff they're doing, and then we're gonna have a large, more serious company. Come in and talk about how we moved of'em from our data center into the cloud gay Everyone clap instead, there was it was very clear. You're using higher level, much higher level service is on top of the cloud provider. It's not just running the M somewhere else in the same way you would on premise. Was that a transitional step that you went through or did you effectively when you went all in, start leveraging those higher service is >> okay. It's a great question. And ah, differentiator for us versus a lot. A lot of the large organizations with a legacy footprint that would not be practical to rewrite. We had outsourced I t entirely in the nineties E T s and it was brought back in source in in house early in this decade. And so we had kind of a fresh, fresh environment. Fresh people, no legacy, really other than the data warehouse appliances. So we had a spring a springboard to rewrite our abs in an agile way to be fully cloud enabled. So we work with eight of us. We work with Cloudera. We work with port works with all the key vendors at that time and space to figure out how to write Ah wraps so they could take most advantage of what the cloud was offering at that time. And that continues to prevail today. >> That that's a great point because, you know so often it's that journey to cloud. But it's that application modernization, that journey. Right. So bring us in little inside there is. You know how it is. You know, what expertise did Finn Ra have there? I mean, you don't want to be building applications. It is the open stuff source. The things wasn't mature enough. How much did they have toe help work, you know, Would you call it? You know, collaboration? >> Yeah. The first year was hard because I would have, you know, every high performance database vendor, and I see a number of them here today. I'm sure they're paddling their AWS version now, but they had a a private, proprietary database version. They're saying if you want to handle the volumes that you're seeing and predicting you really need a proprietary, they wouldn't call it proprietary. But it was essentially ah, very unique solution point solution that would cause vendor dependency. And so and then and then my architects internally, we're saying, No way, Wanna go open source because that's where the innovation and evolution is gonna be fastest. And we're not gonna have vendor Lock in that decision that that took about a year to solidify. But once we went that way, we never looked back. So from that standpoint, that was a good bad, and it made sense. The other element of your question is, how How much of this did we do on our own, rely on vendors again? The kind of dirty little secret of our beginnings here is that we ll average the engineer, you know, So typically a firm would get the sales staff, right. We got the engineers we insisted on in orderto have them teach our engineers how to do these re architectures to do it right. Um and we use that because we're in the financial service industry as a regulator, right? So they viewed us as a reference herbal account that would be very valuable in their portfolio. So in many regards, that was way scratch each other's back. But ultimately, the point isn't that their engineers trained our engineers who trained other engineers. And so when I when I did the, uh um keynote at the reinvented 2016 sixteen one of my pillars of our success was way didn't rely overly on vendors. In the end, we trained 2016 1 5 to 600 of our own staff on how to do cloud architectures correctly. >> I think at this point it's very clear that you're something of an extreme outlier in that you integrate by the nature of what you do with very large financial institutions. And these historically have not been firms that have embraced the cloud with speed and enthusiasm that Fenner has. Have you found yourself as you're going in this all in on the cloud approach that you're having trouble getting some of those other larger financial firms to meet you there, or is that not really been a concern based upon fenders position with an ecosystem? >> Um, I would say that five years ago, very rare, I would say, You know, we've had a I made a conscious effort to be very loud in the process of conferences about our journey because it has helped us track talent. People are coming to work for us as a senior financial service. The regulator that wouldn't have considered it five years ago, and they're doing it because they want to be part of this experience that we're having, but it's a byproduct of being loud, and the press means that a lot of firms are saying, Well, look what Fender is doing in the cloud Let's go talk to them So we've had probably at this 50.200 firms that have come defender toe learn from our experience. We've got this two hour presentation that kind of goes through all the aspects of how to do it right, what, what to avoid, etcetera, etcetera. And, um, you know, I would say now the company's air coming into us almost universally believe it's the right direction. They're having trouble, whether it's political issues, technology dat, you name it for making the mo mentum that we've made. But unlike 45 years ago, all of them recognize that it's it's the direction to go. That's almost undisputed at this point. And you're opening comment. Yeah, we're very much an outlier. We've moved 97 plus percent of our APS 99 plus percent of our data. We are I mean, the only thing that hasn't really been moved to the cloud at this point our conscious decisions, because those applications that are gonna die on the vine in the data center or they don't make sense to move to the cloud for whatever reason. >> Okay, You've got almost all your data in the cloud and you're using open source technology. Is Cory said if I was listening to a traditional financial service company, you know, they're telling me all the reasons that for governance and compliance that they're not going to do it. So you know, why do you feel safe putting your your data in the cloud? >> Uh, well, we've looked at it. So, um, I spent my first year of Finn run 2013 early, 2014 but mostly 2013. Convincing our board of directors that moving our most critical applications to the public cloud was going to be no worse from the information security standpoint than what we're doing in our private data centers. That presentation ultimately made it to other regulators, major firms on the street industry, lobbyist groups like sifma nephi. AP got a lot of air time, and it basically made the point using logic and reasoning, that going to the cloud and doing it right not doing it wrong, but doing it right is at least is secure from a physical logical standpoint is what we were previously doing. And then we went down that route. I got the board approval in 2015. We started looking at it and realizing, Wait a minute, what we're doing here encrypting everything, using micro segmentation, we would never. And I aren't doing this in our private data center. It's more secure. And at that point in time, a lot of the analysts in our industry, like Gardner Forrester, started coming out with papers that basically said, Hey, wait a minute, this perception the cloud is not as safe is on Prem. That's wrong. And now we look at it like I can't imagine doing what we're doing now in a private data center. There's no scale. It's not a secure, etcetera, etcetera. >> And to some extent, when you're dealing with banks and start a perspective now and they say, Oh, we don't necessarily trust the cloud. Well, that's interesting. Your regulator does. In other cases, some tax authorities do. You provided tremendous value just by being as public as you have been that really starts taking the wind out of the sails of the old fear uncertainty and doubt. Arguments around cloud. >> Yeah, I mean, doubts around. It's not secure. I don't have control over it. If you do it right, those are those are manageable risks, I would argue. In some cases, you've got more risk not doing it. But I will caution everything needs to be on the condition that you've got to do it right. Sloppy migration in the cloud could make you less secure. So there there are principles that need to be followed as part of >> this. So Steve doing it right. You haven't been sitting still. One of the things that really caught my attention in the keynote was you said the last four years you've done three re architectures and what I want. Understand? You said each time you got a better price performance, you know, you do think so. How do you make sure you do it right? Yet have flexibility both in an architect standpoint, and, you know, don't you have to do a three year reserves intense for some of these? How do you make sure you have the flexibility to be able to take advantage of you? Said the innovation in automation. >> Yeah. Keep moving forward with. That's Ah, that's a deep technical question. So I'm gonna answer it simply and say that we've architected the software and hardware stack such. There's not a lot of co dependency between them, and that's natural. I t. One on one principle, but it's easier to do in the cloud, particularly within AWS, who kind of covers the whole stacks. You're not going to different vendors that aren't integrated. That helps a lot. But you also have architect it, right? And then once you do that and then you automate your software development life cycle process, it makes switching out anyone component of that stack pretty easy to do and highly automated, in some cases completely automated. And so when new service is our new versions of products, new classes of machines become available. We just slip him in, and the term I use this morning mark to market with Moore's Law. That's what we aspire to do to have the highest levels of price performance achievable at the time that it's made available. That wasn't possible previously because you would go by ah hardware kit and then you'd appreciate it for five years on your books at the end of those five years, it would get kind of have scale and reliability problems. And then you go spend tens of millions of dollars on a new kit and the whole cycle would start over again. That's not the case here. >> Machine learning something you've been dipping into. Tell us the impact, what that has and what you see. Going forward. >> It's early, but we're big believers in machine learning. And there's a lot of applications for at Venera in our various investigatory and regulatory functions. Um, again, it's early, but I'm a big believer that the that the computer stored scale, commodity costs in the public cloud could be tapped into and lever it to make Aye aye and machine learning. Achieve what everybody has been talking about it, hoping to achieve the last several decades. We're using it specifically right now in our surveillance is for market manipulation and fraud. So fraudsters coming in and manipulating prices in the stock market to take advantage of trading early days but very promising in terms of what it's delivered so far. >> Steve want to give you the final word. You know, your thank you. First of all for being vocal on this. It sounds like there's a lot of ways for people to understand and see. You know what Fenner has done and really be a you know, an early indicator. So, you know, give us a little bit. Look forward, you know what more? Where's Finn Ra going next on their journey. And what do you want to see more from, You know, Amazon and the ecosystem around them to make your life in life, your peers better. >> Yes. So some of the kind of challenges that Amazon is working with us and partnering Assan is getting Ah Maur, automated into regional fell over our our industries a little bit queasy about having everything run with a relatively tight proximity in the East Coast region. And while we replicate our data to the to the other East region, we think AIM or co production environment, like we have across the availability zones within the East, would be looked upon with Maur advocacy of that architecture. From a regulatory standpoint, that would be one another. One would be, um, one of the big objections to moving to a public cloud vendor like Amazon is the vendor dependency and so making sure that we're not overly technically dependent on them is something that I think is a shared responsibility. The view that you could go and run a single application across multiple cloud vendors. I don't think anybody has been able to successfully do that because of the differences between providers. You could run one application in one vendor and another application in another vendor. That's fine, but that doesn't really achieve the vendor dependency question and then going forward for Finn or I mean, riel beauty is if you architected your applications right without really doing any work at all, you're going to continuously get the benefits of price performance as they go forward. You're not kind of locked into a status quo, So even without doing much of any new work on our applications, we're gonna continue to get the benefits. That's probably outside of the elastic, massive scale that we take advantage of. That's probably the biggest benefit of this whole journey. >> Well, Steve Randall really appreciate >> it. >> Thank you so much for sharing the journey of All right for Cory cleanups to minimum back with lots more here from eight Summit in New York City. Thanks for watching the cue

>> live from Las Vegas. It's the cute covering knowledge sixteen Brought to you by service. Now here your host, Dave Alon and Jeffrey >> College sixteen everybody hashtag no. Sixteen. Check out crowd chat dot net slash No. Sixteen. Gonna crowd check going on. Frank's Luminous here is the president and CEO and not so invisible Hand of service now at the helm. Frank, it's great to see you again. Always looked so nice. Job on the keynote this morning. Eleven thousand plus right, actually closer to twelve thousand. About twenty registrations tweeted out again today. M c world was ten thousand this year. So you're bigger than the M C world, at least in attendance. Imagine what it's going to be when you're a twenty four billion dollars company with. But anyway, congratulations. Thank you. Great to see you again. So yeah. So you must feel good about where you were at the financial analyst meeting yesterday. You laid out the vision you guys were on track for sixteen. Still focused on four billion dollars by twenty twenty. We know a lot can happen between now and twenty twenty, but you gotta be feeling pretty good about the tam expansion the product portfolio. The customer acceptance. Give us the update. >> Yeah, way to feel good. I laid out yesterday for the capital markets. Folk folks are framework. Phase one was R R R zero to one hundred. Uh, that was really when we were startup, Fred Laddie was CEO of the company. It was reaching escape velocity. The night came in in two thousand eleven that was faced to, and we're really focused on scale on discipline and really delivering on the promise that have been created. And the company went from one hundred million two billion dollars last year. But now you know, we're we've entered phase three and face tree is a billion to four billion and we're changing. We're changing from a single product single mark, a single channel company to one that's multi products, multi channel and multi market. And it's a transition. We're not assuming that lather rinse repeat is going to take care of it. So we're raising ourselves to another level. We're questioning what we're doing just to keep things, keep everybody on their tell us >> and your keynote this morning to talk about the states. The first greatest yaar pcrm oracle ASAP. and the second greatest state popularized the course by by sales force. Others before salesforce boost sales force Really one and you guys are laying out a vision for a service management across the enterprise, and you touch deeply into those other estates described that strategy and how it's going to affect customers going forward. >> Yeah, our deep belief is that the way we made its work is going to change under the influence ofthe technology. And what's possible? Has it been that long that we sort of got wire to our in boxes and email became our reactive reflects of way off doing things right? There was a time before e mail. Well, there will be a time after e mail as well. A lot of work is going to be defined into work flows. And then the reason is we don't need to reinvent the wheel over and over and over again. Every single time we do something you know when we define work flows, we had the opportunity Teo plant for work. We have the opportunity to motto Orc, we can analyze work. We can figure out what it cost. We can figure out how well we're doing These are This is where efficiency comes from. Essentially, companies will become clouds. They will all becomes, offer companies right, and they all are going to start to manage themselves like that. So the future of rolls and enterprises and institution and jobs, it's less about being into processes that will be in terms of defining and building the process and then managed in the process. These are these are profound fundamental transformations how we >> work. And you spoke on the Kino to about kind of the different point of view within engagement model when you come from and some type of background versus some of the other interaction. Specifically contrast ing serum, Um, in the way that engagement method works. Versace somewhere. Yeah. You solved the problem. Help a person get up off the floor. I love your I followed that. I can't get up example, but then really get to the root cause. And now you know the good position you're in. As that methodology moves beyond just the chorus people, two people doing it functions in all different roles. >> This this this, this our heritage. We've always taking the service management model. It's basically an engagement model an engineering model because we need to do recalls analysis. Why are we talking in the first place and then to fix and change model? It's a holistic process if you just haven't engaged a model that's not that satisfying because we're just trying to relieve the pain of the moment. But we're not prosecuting general line cost. And even if we knew the underlying cause, we're doing nothing about it. And people keep coming back with the same problem over and over again. So it's not so much about just managing the quality, the service. It's about managing the underlying quality off the core product that we're providing, whether that probably product for that product is in service. >> So a few years ago, I said, I thought you were on a collision course with sales force, and you kind of bristled at that and say, I know we're just doing our thing, but you're Tam is now so large. I mean, you're good, becoming a very large software company. You're in rarified air, so essentially everybody's, you know, I'm gonna have you in their line of sites. That's good. In the other hand, you know, it's an interesting position to be in. So what? Your thoughts on that from >> industry landscape. It's a huge market. You know, we're not super fixated on a confrontation with this player, that player. But we have philosophical conviction that doing customer service, you know our way is the right way to do that. And with things moving to Coyote Internet Oh, thanks, it's becoming way more important. It's not enough to say, Hey, my device is not working, you know? Can I reset the device? Can I see what's going on by straight? People have to become way smarter a za function off the software technology that we have just saying Well, you know, take you call and try to figure out what's going on right? And these days, you're already when you have a conductivity problem with tea for your WiFi service and so on, they can already already tell you, you know, what the hell thiss off your device and what what the problem domain really is. We're going to go way further in that direction. I mean, somebody shows of the refrigerators busted somebody shows up at your door. That person knows nothing, right until they literally open the door and they start looking around right. That's going to change because they will already know. And they'LL have to write parts with them, right if parts are actually involved or they can fix it remotely. So that's desk for service models are moving >> well, your tent, You're celebrating your tent in tenth year anniversary now, and the interesting thing about service now is used. You started in it. You call them your peeps. Your fundamental assumption is that it is touching everything in making that bet That has been a tailwind fear. It's quite a bit different than some of the other software companies that you see going >> down. So he's not just touching everything. It is everything that >> sass cos a cloud of Takeda mean more sass Company's coming out of general business. Then there is the technology business. Do you see that trend? >> I think, by the way, salesforce. I commend them for this vision. They've always said every company becomes this offer company that is absolutely and profoundly true. We're all becoming clouds, Um, and we're literally, you know, running as hard as we can, uh, to catch that ball downfield. You know what? This is about >> you guys have built an incredibly viable business now with riel mo mentum. So as you look forward to next ten years, talk about sort of that vision that you see of service management going beyond I t into other functions of the company as well as growing the ecosystem. >> Yeah, so no, our vision and our approach is about looking at work, right? We're not managing records. Whether it's HR or financial records. It's not about the record. It's about the work. If you take a company like sales first, they're focused on the customer. We're focused on the service. The service is the unit of work. So we have a unique focus on zooming in on that unit of work and structuring, defining and managing that. So to us, everything looks like a service at every application, every task, every request. Everything we do has a beginning and an end. And as an opportunity for structuring, automating, analyzing, monitoring all those candle thanks. So our future world, you know, we'll still have email, but so much of what we do in the day to day basis will be structured in systems and by the way, our life is consumers were already living that way. He just don't notice it because that's natural. I mean, uber is a structure of workflow. Even Facebook, in many ways, is that way. Making a reservation is the structural work flow. Ordering something at Amazon structure workflow and it's lights out lightspeed sort of world is trying to go. >> And if you think about growing this company to the to the next phase lots going on, you making acquisitions, you're bringing in a new town. The ecosystem is really an interesting item here because we saw Accenture Pickup Cloud Sherpas this year. We saw fruition and CSC And so you're seeing the big guys now take notice. That's gotta make you feel great. Talk about the ecosystem a little bit, >> Yeah, it's definitely in on inflection in our world when people are not just saying put me in coach, you know I can do this, but they're starting to, you know, put out real capital on buying companies. Now. There's numbers behind service now, and we're not just on an opportunistic thing in their business, but we're an ongoing business on dare doubling down. They're not. There will be many acquisitions off a lot of our service partners and also our technology partner. So we have a hundred seventy partners here. This is really good because we don't want our customers to sort of feel like I'm dependent on service now for everything. We want them to have many choices, not just in deployment partners, but also technology integrations. No value at its offer products. They shouldn't be depending on you for everything on us. >> In terms of emanate, it's been selective. I mean, you know, you know, we see these larger legacy cos they live off of ebony because they can't innovate you guys doing a lot of innovation internally. But But take a minute to talk about Emma and the particular we're interested in how you integrate cos you don't bolt on to the platform, you essentially re platform. You rewrite talk about that a little bit? >> Yes. Are our eminent strategy has been focused on talent and technology. Tellem builds the technology. Technology without the talent is not very useful. You know, in the short time you'LL run out of gas on that so it's always the combination of the people and what they have built that you correct We don't integrate technology that we acquire, we take it apart and we re implement it on our platform. That is a core core commitment that we make to our customer base, that we are not going to saddle you with the problems you've had for the last thirty years, where you are constantly testing and retesting integrations between this assets versus that assets and have whole steps dedicated to sort of keep the patchwork operable. We take that on right. You don't have to worry about it. You turn on the service, it will work with everything else on. Our customers early on, recognized that we were different in that regard. It's very expensive. It's very time consuming. But when we go to buy an asset and a talent pool, we first look at Cannes, where you re platform it's and secondly, does the technical team that comes with it. I want to do that because if somehow there they're not bought in on that strategy, we don't want to go there >> right. I want to shift gears a little bit and talk about your customers. You guys have a very special relationship with your customers and David on the Q. We go to a lot of shows, and there are few people at that elicit the excitement within the room like Fred does when he comes on stage, you know, and we talk a lot about when the founder's still involved in the company. It's really important that I still remember the first time I saw the cakes and twenty thirteen like, What does it do with the cakes and still Crispo post on lengthen five cakes a day? I think he just doesn't follow him. You'LL see cakes from all OVER the WORLD What do you are hearing from your customers? As you guys go to this next phase because you've had a really special relationship, we've gone beyond just when when Fred was running it, you've taken it to a billion. Now you're going to four. What kind of feedback and engagement we haven't out in the field. Don't talk to customers all, >> you know. Yeah, I do a lot. We're very intensely customer phasing company, just just culturally, but we're incredibly dedicated to their success, the way we believe that the value of our company is sort of summed up in the aggregate in terms of how strongly a customers feel about us. Forget all the financial metro. It's how strongly customers feel about you is the ultimate value off your your franchise. The cakes. It's a celebration. One service now goals life. It is. People feel like we let him out of jail. I mean, they have. Pignon goes with the name of the product that they're replacing. Haven't >> seen the >> way, So it's it's what they go from one generation or two generations ago into, Ah, very modern, transformational, empowering, platform. Empowering thing is really important because they are now in charge, right? They're able to make changes on a daily basis. Before they could do nothing. They were dependent on bunch of people that they could never get access to, to make changes for them. It all goes away right, that that's the essence off. But what service now provides >> thiss concept of love, this customer discussion? Because I love initiatives that born in the customer, I think Siam was one of those. I think it came out of Europe. I'm not exactly sure talk about Siam what it is and how it relates to your business. >> Siam feels to us a little bit like the next installment on my tail, sort of the evolution ofthe vital because it's not just service management. It's service, integration and management. But they had a very, very precise definition and framework around what we did. What I till. It's also what we're doing. The Siam were really expanding the scope and sort of adapting it to a much broader context because we think Siam you take its narrow definition very useful, very productive. And we have lots of customers that are pursuing a Siam strategy. But we're saying what semen says, which is now we're going to reorganize our entire enterprise in terms ofthe our service assets, anything that produces the service. But it's an organization or a system or a group of people, whatever it is, as well as everybody that has toe have access to the service. And those were not just people. They're also systems. So they re conceptualize one of this to be an enterprise, very visionary and very, very transformational. You won't recognize enterprise is an institution in the future. There'll be so different that people won't no longer be on in the inside of the process. They will be on the outside of the process, right? Jobs are changing. It's gonna have profound. If one says there will be lots of jobs, well, there will be new jobs and a lot of the old jobs. You know, they're going to go by the wayside >> and, you know, you're obviously in Silicon Valley, and I know there's a lot of work being done about. This is probably not the way we're going to communicate in the future. You guys, this theme of a new way to work today in your keynote, you talked about I ot You threw that buzz word out there and you said, I know before you start rolling your eyes and you guys have a play actually, in I o t again As Jeff said, we go to a lot of these conferences. You hear the similar thing? Digital transformation. I ot your play on aisle is around wearables and really driving some platform innovation to your wrist you have the watch on is that I had guys announced a wearable today, I said, I think I just I tweeted. I think that service now just announced Well, I watch aware a bone some things that we did. And so what's that all about? >> Well, we we've been able Teo, deliver services on watch ever since. Yeah, watch came out because we're a platform. We've been able to do this literally from day one. We're just tryingto inspire our customers to figure out How do you really use a watch? Right? Warm of the struggles that Apple has where the watch is, What's the killer app? It's not replacing Fitbit. You know that that z not enough, right? What's the most killer app for a wearable? And we think you're really time and predictive business metrics. You know, at a glance, because that's where this gramophone you really have to, you know, work to device. This is at a glance, right? And we are really tryingto get to this real time predictive mode off doing things because it's just so much more productive. But as I said in the rap over the keynote right, there's a lot of sizzle people lost watches and *** bang stuff. What enables toe watch. And that's really what we think Apple needs. You know, Forest tries used what enables that watch to become a productive business device, and it's the underlying repository of data that's continually being updated. That's what makes the watch powerful. >> So how did this come about you guys? You obviously like you said you had apse for the watch Your you enable that. But it wasn't good enough for you just didn't fit the use case well enough. But he said, Hey, let's go build it. >> Yeah, there is. There is a design aspect to it. And, you know, it is you heard during the keynote whether people do typically, you know, we're just shrink down to you. I from the bigger form factor to watch. And that's always the first generation >> and my phone on a watch. And >> everybody goes like, Well, that's not it. So and then we go back to the drawing board and we really, really think through the usability off that form factor, which is so tiny >> one of things about knowledge is the content from the customers. So I want to ask you how you spend your time here. Yesterday was a financial analyst meeting. Today you're in the general session and the keynotes. You got a CEO event going on. You had a partner event going on. How do you know. Is there there three francs? >> No, it's, uh it's it's no I I couldn't be more thrilled. We have so much going on at this conference in in years to come. You know that we'LL be vertical Industry conference is going on because we see that as the next evolution next phase of our evolution is that vertical ization is happening already because we have someone e big customers and single verticals. Whether it's financials and pharma retail, those folks can get so much benefit from associating with their counterparts in the same line of business, especially when the value of moves from it to broader enterprise that becomes very pertinent. So we're worked over in the middle of figuring out how to sort of enable ourselves We've enabled ourselves as a multi product organization. That was the whole face three transition. But the vertical ization is something that sort of next in our revolution. >> I mentioned my last question for eventual Silicon Valley. Obviously you're part of of of really set of rising stars and your butchery. You know, Scott decent and saw him the other day seen Cem Riel innovations coming at the same time, hearing a lot of these Caesar. Real nervous. You don't sound nervous. You sound really hopeful. What's your What's your outlook for? >> You know, your situation. We had our financial analyst yesterday, and you know that the capital markets crowd is very nervous. All of us are trying to decide on my in or out, and some things they do both before noon. Uh, I can't run a company that way. Most of the decisions that we make on a daily basis are not with a quarterly oriented. They go on for years and years, so I can't get that excited. You know, about the second floor of the business on a very short term basis, we know were lashed to the mast. We're going to go down with the ship. Were committed, were not interrupt. We're in. We're completely in. So our mindset is that we're just We're fine to be on the ship in running us, right? In January, the capital market sold is off. And in April that came back in were the same company, right? There was no reason to be that excited either to the downside or the upside. Right? This this a marathon companies get billed over long periods of time. >> Yeah, you don't seem like you're on that ninety days shot. Claws clock. Of course, it helps when you have a great customer base together. You got a great team. Frank's Lumen. Thanks so much for first of all, for having us at knowledge, we love this event. It's one of our favorites. And thanks for coming. It's >> great beer. Thank you. >> Alright, keep right, everybody. We'Ll be back with our next guest right after this is the cue. We're alive. Service now. Knowledge. Sixteen. Right back. It's always fun to come back to the cube because