>>Welcome back to VMO 2022. We're in the home stretch. Now, Dave ante for Dave Nicholson, and we're excited to have drew Schlissel on he's the director of product marketing at wasabi, and he is joined by Dustin Albertson, the manager of cloud and application alliances, product, product management at Veeam software. Dustin, did I get that right? You got it right. All right. You're gonna explain all those little titles in a moment. So wasabi is a company cool name, but you may not know much about them drew. What does wasabi do? >>We do cloud storage, plain and simple. It is the one thing we do extremely well. It's S3 compatible, and it covers a broad range of use cases, right? Primarily we work with Veeam on backup and recovery, and >>We're gonna get into that. But when we, what there's a lot of people do cloud storage, a lot of people do object store. What makes you wasabi unique >>Simplicity, predictability performance security, right? Predictability. Let's talk about price, right? That's the thing that gets people's attention, right? Oh, sure. Okay. You can look at it. One of two ways. It's either one fit the price of all the hyperscalers, significant difference there, or right. For fundamentally the same price. You get five times more storage, which makes a huge difference, especially in the backup space. When you want to have a lot of backups, right. Folks would prefer to have months of backups as opposed to days or weeks. Right? >>How do you, how do you do that? Because, because there's, you know, maybe >>It sounds like magic, doesn't >>It? Yeah. Yeah. I mean, you know, look at us, we've all been around the block quite a few times and we know that the bits and the bites and the bolts are all basically the same. What are you doing to get that level of? >>I can't tell you >>Secret's secret. It's secret. >>Look, it, it doesn't have to be that expensive. Okay. Now granted, there's some things obviously we do that are proprietary and different from, >>Well, like stealing electricity from your neighbor or something. I mean, what, >>You just run a cord over a >>Absolutely that's one way to cut down on price. But because we are so focused on just the storage, right. And our founders, you know, the gentleman who founded Carbonite, no a thing or two about storage. Sure. Right. We have a very highly optimized stack, very efficient. You know, you guys know what raw to usable story is. Right? You've gone through that TCO analysis before, and we're highly efficient in how we use the raw storage. And we pass that price on to our customers. Right. We believe that a low price cloud storage, right? One tier always hot, always available. It gives our customers the ability to spend their money in other places. Right. >>Well, and, and there's a price umbrella that the public cloud guys have is kind of a gift that they've given you. Hey, look at Amazon's operating profits last quarter. It was 35%. Those are like Oracle operating margins. Not that I, we don't know what your operating margins are, but I I've followed David friend's career for a long, long time. He's got good nose for business. But so Dustin, when you, when you hear drew talk about the ability to retain that much data, what does that mean for Veeam customers? >>So the primary thing for Veeam customers is the ease of use. I would say, you know, the, the performance and things like that are all nice, right? They're, they're important. But primarily what I see is people say how easy it is to use and how easy it is to price. Now, the objective, you know, the alternative is you go to another cloud provider and you say, well, how much will this cost me per month? You really have to underst yes, you really have to understand object storage, how Veeam works, how we're moving data, all the API calls, all of that to really kind of correlate out a guesstimate of what your price would be per month. You know, with LASA it's, it's a flat fee it's per terabyte. You know what it is gonna be? That's it? There's no API charges. There's no egres. So the customers really love that. Ease of use this become one of the most popular endpoints for object storage for our customers. >>Imagine this, right? You go to best buy and you buy a refrigerator and you bring it home and you stock it with all your favorite drinks and snacks. Okay. You on game day, you go and you open the fridge and you hear a sound Bing. And it's your phone and it's your credit card company telling you that you've been charged a door opening fee. Okay. And then you grab a beer out of that fridge, Bing, Bing, and you hear another ring and now you're getting a beer extraction fee. Okay. Now I want to be fair to, you know, all the sponsors here, but okay. With wasabi, you can open that door. You could stand there. You can air condition, the whole house. You can take a beer out and put a beer back or whatever your favorite beverage is. And you're not gonna hear that noise. Okay. Very straightforward. Like in, in geometry class, right? The slope of a line Y equals MX plus B B equals zero. Okay. Well, >>Whoa. Well, you had me at free beer. You didn't, >>You don't, but you understand why? >>Why would you, you don't need to go see >>To open your fridge and take out a beverage, take out a snack. Okay. That's the predictable part of wasabi. That's what's resonating so strongly with folks where everything else is in this world. Unpredictable. >>So ease, simplicity. Maybe the answer to that is, well, there's all this other stuff in the cloud. I can just, it's convenient for me. It's right there. So how do you address that convenience factor? All these other services, you know, that I can get streaming and machine learning and all that other great stuff. How do you address that? >>Sometimes all you need is storage. Okay. That no, it that's yet put, okay. That's beauty of wasabi. We're not trying to be everything to everyone. We're trying to be one thing executed very well for a, a specific set of users and use cases. >>I may be a little objective here, but I, I, you know, I've grown up with you guys, right? You, you, you were one of the first partners that I started working with and, and, you know, I've seen you kind of grow, but one of the things I think that you've done a real good job at is, is like you say, sticking to your, your lanes, you know, just going after use cases that just need data. Right. I don't need to get into the AI or the analytics or all of this. We just do this and do it well. And, and people have resonated with that. Right? Yeah. >>So big topic here of course is ransomware. Yeah. 3, 2 11, 0. What is that? What are the threes? The twos, the ones >>That's you, you gotta explain that one. Okay. >>So forever we had the 3, 2, 1 rule, right? Like three copies of data, two different, two different copies, two different media types. Yeah. One offsite. And then one is, is testing. And then zero now is, is validation. BA basically reuse that data. Make sure that you're testing it because if you're not, if you're following through two one, and you're not actually testing your data, is it really good? You don't know. You're just, you may have bad copies spread out all over the place. So one of the things where wasabi shines is is that they don't have these E risk charges. They don't have these API charges. So you can test that data. You can, after you send a backup up there, restore it somewhere else and validate that it works and then get rid of it. And it's still sitting up there in BAA. >>So you're not trying to balance your activities and your operational requirements with your, with your bill. Correct. You're not getting yelled at, by the, the controller at the end of the month. >>You're unconstrained. Yeah. Right. And I think also imutability comes into play. Correct. As well. >>Talk about >>That. Right. So, you know, we heard this morning in the keynote, right? That backup data sets are, you know, one of the main attack vectors, right. For cyber criminals. And it makes sense, right. They take down your primary systems and they control your backup systems. They've got you. You have no choice, but to pay that ransom. Okay. So mutability, that means that your backups are untouchable, your root user, your admins, the folks at wasabi, the folks at Veeam, nobody can alter that data period. End of story. Okay. That saves you from yourself that saves you from the hackers, right? I mean the most disturbing story I've read about cyber warfare right now is that people are getting bribe offers from these cyber gangs. And they're just, you know, for a couple of Bitcoin handing over the keys to the kingdom with imutability, you're actually safe from that scenario. >>So that's a service, correct? >>No, it's a feature. >>Okay. So can I turn it off? >>Yeah. You don't have to use it. >>No. Can I, after I've, after I've turned it on, can I turn it off? >>Oh, it's up to you. I mean, why don't you talk about >>That? Yeah. Yeah. So it's, it's an API. So if let's say you send some backups up there today and you set it for two weeks and you decide today. Oh, I made a mistake. I wanna turn it off. You can't turn it off. Yeah. >>Okay. So as long as you set that policy, it's, it's a big warning, right? You can't undo this. Correct. Okay. So even if I come, come to jump to the admin with a bunch of Bitcoin yep. He or she can't undo, right? >>Nope. That's right. And you can set it for two weeks, two months, two years. Right. You can use it to secure your backups. Yep. Right. You can also use that same feature in compliance situations. Right. Regulatory environments, where you've gotta retain customer data for, you know, 5, 7, 10 years. Right. By using that imutability feature, you guarantee the integrity of that data for whatever period you set. >>And it's a feature it's not a paid for service. Is that right? >>It is included as part of the service. >>Okay. So I don't >>Free beer and free meat. >>I think I'm correct that some, some competitors you're paying for that service. So if you turn it off, there's a, if you don't stop paying, there's a, there's a theory. They could turn it off on you. They will warn you. >>Sure. But >>That says to me that somebody could be tempted by a few Bitcoin. >>That's not a mutable. Well's >>Notable. I agree. Yeah. Yeah. Yeah. >>Well, and, and there is a charge to use it in other places because it's an API request. Right. It's an action. It's opening the fridge. >>It's like texting. Yes. Maybe a charge. >>Yeah. I remember. I remember those days. Was it 10 cents? A 10 cents a message or something Telegraph. >>Yeah. >>Yeah. >>Yeah. You still get those messages. Right? Text, text fees may apply. I'm like really? Okay. So tell me more about, so you got me. I'm sold. Okay. I've I've David friends got good job. Got cred, got credibility. Okay. But I have some other questions. Like where's my data. You guys running your own data centers. What's your global footprint. How do you deal with data sovereignty? All that stuff. >>So right now, oh boy. Now I'm on the spot. I wanna say 11 locations around the world. It's our gear. We're running it in concert with folks who are helping us host that system. Right. But we have complete control of course, over our systems. We're everywhere. Right? Just open, let's see. Toronto Frankfurt, Paris, London, Sydney just spun up in the last week. We've got Singapore coming online. I think in the next two weeks. Two >>In Japan. >>Yep. Two in Japan, multiple locations in the United States. So in terms of sovereignty, right, as long as folks are keeping it within, you know, their, their physical boundaries, not a problem. And if folks want to use, you know, other locations in other countries, great. We can support that as well. >>So you got momentum as a business. I mean, that's pretty clear. Yeah. Just from the discussions I've had with, with folks like David, and obviously you you're excited about this, where's it coming from? Is it really that, that price factor that's driving people to you? Is it Dustin said simplicity. I mean, where are you seeing the momentum geographies? Where is it? Where's the action. >>I I'll say, you know, from my point of view, it's, it's been a combination of all that, right? It, it's simple. It's easy to use a, like a user can, any user who's not cloud friendly, right. Can log in and create one. It's a simple portal to create a bucket and then start sending stuff off site. But also they've, they've kind of, they reminded me of a younger Veeam, like when they first started, because they went after the channel and they went and started these partner programs and, and MSP programs and things like that that have been really successful as far as one of the key markets is MSPs. Right? Because they, you know, want a cheap place to put this data. They don't wanna have to buy appliances. They don't wanna have to go to AWS and things like that. So this has been really appealing to >>Them. You know, it's interesting. So I have a, we have a partnership with a data company down in New York called enterprise technology research. We write a breaking analysis every week and we use a lot of their data. One of the things that popped up recently, maybe a year ago, OpenStack I'm like OpenStack. So we dug in like where's OpenStack and what it was was MSPs didn't want pay the VTax. Right. So they were rolling their own with, with open source and open stack. It was red hat services, blah, blah, blah. But it sounds like a similar dynamic, especially with the MSPs. >>I, so I think we've, I, I hate to use the, the metaphor, but I will. Right. There's a perfect storm happening, right. Especially in the last, what, two years. All right. The cloud has been gaining traction, but we've been around long enough to see the pendulum swinging. Right. Some folks went crazy for the cloud and then they got their bill and then they went crazy to get back out of the cloud. But now, you know, with distributed workforces, with the, you know, the, the constant attacks on their, their on-prem systems, right. The growth in cloud across the board has been phenomenal. I know you're a market watcher. Right. I know you guys are keeping close eyes. I saw your recent analysis on the cybersecurity firms. Right. It continues to grow. There's no question about it. We're we're on that wave. Right. And I think we've, you know, we're not, we're, we're, I don't know if it's the long board or the short little snappy board. Yes. We actually identify and, and, and went after the opportunity to partner with Veeam very early on, because it's the perfect work case work, work load. >>How long can you sustain that? And still resist the temptation to come out with some new shiny object to distract people? >>I >>Mean, what, what, what does that, what does that look like in terms of, as you look out in this laser focused yeah. Addressable market that you're going after now. >>So, you know, the best part about being here this week is having great conversations and, and talking to folks about what they're seeing in the marketplace and the different verticals. I don't think we've even scratched the surface of any of the verticals that we are working in today. Right. First and foremost, when it comes to backup and recovery, there's so much more opportunity with Veeam, right? Whether it's healthcare, manufacturing, logistics, analytics, backup of IML, you know, analysis, I think it's almost limitless, right. Data's growing what, 40, 80% year, over year, depending on who you ask. Right. Then the other things that we do, which maybe folks don't even know about, we have a burgeoning business in video surveillance, right. We're working with all the top partners in that sector. And the takeup is phenomenal because they are tweaking their technology to maintain a relatively small cash, right. OnPrem or in the central office. And then they're just kind of, you know, tearing that off to the cloud to have essentially a bottomless backup or archive of that footage. And they can do it at 4k. Here's the best part, right. When AK comes out, guess what, you know, that data set doubles in size. >>Right. But that's right in your zone. That's not stepping out that that's not stepping after that's that's classic leveraging. Good >>Answer. In other words. Yeah. Yeah. Thank you. >>I mean, if >>You're, if you're, if you're hitting singles and doubles all day long, right. Do you have to switch to be a power hitter and go for the fences and drop your batting average down, but hope that your slugging percentage goes up. I think you keep hitting singles doubles, you know, in triples, >>A lot of people on Sandhill road or, you know, at the bar at the Rosewood would disagree with you. Wow. And so I, I appreciate the discipline. >>Yeah. And it's true. And, and as we know, the industry is littered with a lot of those names that just didn't didn't make it >>Let's stay positive, you know? >>Okay. No he's saying yeah, no, no. A lot of guys at sand hill road would say, no, you gotta go for it. Yeah. You gotta, you gotta forget these singles. We want, >>Yeah. We need home runs gotta be >>Shiny. Well, I mean, look at Vema as a, as a, as an example right. Of a disciplined approach. Right. Exactly. To, to a space that they have steadily grown. I mean, congratulations. Right. You guys have been identified by IDC, right. Is essentially, you know, co number ones. And I expect that to be the number one in the market. Right. I think, you know, David friend clearly has provided excellent guidance, right. To steer the company that way. And I'm just really happy >>To be about that. Oh. And the Tam is data. Right. And you're, you're just another node on the data universe. Right. Which is, that's what you want. You want, you don't necessarily wanna move it around. Yeah. If you don't have to. >>It is interesting though. I mean, we, we are seeing more and more analysts identifying with Sabi as like the fourth player. Yeah. Which is pretty cool. Right. And I also heard it from some good sources this week that let's say one of the hyperscalers has, you know, started to yeah. Have conversations about us. Let's just >>Leave it. That's good. It means you're bothering people. Yeah. Said, all right, guys, we gotta go. Thanks so much for coming on the queue. Thank you. Great to have you. That was easy. Thank you. Appreciate it. Very welcome. All right. Keep it right there. We'll be back to wrap up day one from VMO in 2022, right back.

from the cube studios in Palo Alto in Boston connecting with thought leaders all around the world this is a cube conversation hey welcome back here writer jeff rick here with the cube we're in our Palo Alto studios you know kind of continuing our leadership coverage reaching out to the community for people that we've got in our community to get their take on you know how they're dealing with the Kovach crisis how they're helping to contribute back to the community to to bring their resources to bear and you know just some general good tips and tricks of getting through these kind of challenging times and we're really excited to have one of my favorite guests he's being used to come on all the time we haven't had them on for three years which I can't believe it sabi Mehta the CEO of true SATA founder to say to obby I checked the record I can't believe it's been three years since we last that down great to see you Jeff there's well first of all it's always a pleasure and I think the only person to blame for that is you Jeff well I will make sure that it doesn't happen again so in just a check-in how's things going with the family the company thank you for asking you know family is great we have I've got two young kids who have become video conferencing experts and they don't teach me the tricks for it which I'm sure is happening a lot of families around the world and the team is great we vent remote at this point almost almost two months ago down and can't complain I think their intellectual property business like you are so it's been a little easier for us to go remote compared to a lot of other businesses in the world and in America but no complaints it'll be very fortunate we are glad that we have a business and a company that can withstand the the economic uncertainty and the family's great I hope the same for the queue family I haven't seen Dave and John and it's good to see you again and I hope all of you guys are helped happy and healthy great I think in we're good so thank you for asking so let's jump into it you know one of the things that I've always loved about you is you know really your sense of culture and this kind of constant reinforcing of culture in your social media posts and the company blog post at true SATA you know celebrating your interns and and you really have a good pulse for that and you know I just I think we may even talked about it before about you know kind of the CEOs and leadership and and social media those that do and that and those that don't and you know I think it's it's probably from any kind of a risk reward trade-off you know I could say something group it versus what am I getting at it but really it's super important and in these times with the distributed workforce that the the importance and value of communicating and culture and touching your people frequently across a lot of different mediums and topic areas is is more important than ever before share with us kind of your strategy why did you figure this out early how have you you know kind of adjusted you know your method of keeping your team up and communicating absolutely like I guess I owe you guys a little bit of gratitude for it which is we launched our company and you know I'm showing a member on the cube it was a social media launch you know if you say that say it like that I think there are two or three things that are very important Jeff and you hit on all of them one is the emphasis on information sharing it becomes more important than times like these and we as as a society value the ability to share a positive conversation of positive perspective and a positive outlook more but since day zero at the seder we've had this philosophy that there are no secrets it is important to be open and transparent both inside and outside the company and that our legacy is going to be defined by what we do for the community and not just what we do for our shareholders and by its very nature the fact that you know I grew up in a different continent now live and call America now a different continent my home I guess I was it's very important for me to stay connected to my roots it is a good memory or reminder that the world is very interconnected unfortunately the pandemic is the is the best or worst example of it in a really weird way but I think it's also a very important point Jeff that I believe we learned early and I hope coming out from this is something that we don't lose the point you made about kindness social media and social networking has a massively in my opinion massively positive binding force for the world at the same time there were certain business models it tried to capitalize on the negative aspects of it you know whether they are the the commercialized versions of slam books or not so nice business models that capitalize on the ability for people to complain I hope that people society and us humans coming out of it learn from people like yourself or you know the small voice that I have on social media or the messages we share and we are kinda in what we do online because the ability to have networks that are viral and can propagate or self propagate is a very positive unifying force and I hope out of this pandemic we all realize the positive nature's of it more than the negative nature's of it because unfortunately as you know that our business models built on the negative forces of social media and I really really hope they're coming out of this are positive voices drown out the negative voices that's great point and and it's a great I want to highlight a quote from one of your blog's again I think you're just a phenomenal communicator and in relationship to what's going on with kovat and and I quote we are fighting fear pain and anxiety as much as we are fighting the virus this is our humble attempt to we'll get into what you guys did to help the thousands of first responders clerks rockstars but I just really want to stick with that kindness theme you know I used to or I still joke right that the greatest smile in technology today is our G from signal FX the guys are gonna throw up a picture of him he's a great guy he looks like everybody's favorite I love that guy but therefore signal effects and actually it's funny signal FX also launched on the cube at big data a big data show I used to say the greatest smile intact is avi Mehta I mean how can I go wrong and and what I when I reached out to you I I do I consciously thought what what more important time do we have than to see people like you with a big smile with the great positive attitude focusing on on the positives and and I just think it's so important and it segues nicely into what we used to talk about it the strata shows and the big data shows all the time everyone wanted to talk about Hadoop and big data you always stress is never about the technology it's about the application of the technology and you focus your company on that very where that laser focus from day one now it's so great to see is we think you know the bad news about kovat a lot of bad news but one of the good news is is you know there's never been as much technology compute horsepower big data analytics smart people like yourself to bring a whole different set of tools to the battle than just building Liberty ships or building playing planes or tanks so you guys have a very aggressive thing that you're doing tell us a little bit about is the kovat active transmission the coat if you will tell us about what that is how did it come to be and what are you hoping to accomplish of course so first of all you're too kind you know thank you so much I think you also were the first people to give me a hard time about my new or Twitter picture I put on and he said what are you doing RV you know you have a good smile come on give me the smile die so thank you you're very kind Jeff I think as I as we as you know and I know I think you've a lot to be thankful for in life and there's no reason why we should not smile no matter what the circumstance we have so much to be thankful for and also I am remiss happy Earth Day you know I'm rocking my green for Earth Day as well as Ramadan Kareem today is the first day of Ramadan and you know I I wish everybody in the world Ramadan Kareem and on that friend right on that trend of how does do we as a community come together when faced with crisis so Court was a very simple thing you know it's I'm thank you for recognizing the hard work of the team that led it it was an idea I came up with it you know in the shower I'm like there are two kinds of people or to your you can we have we as humans have a choice when history is being made which I do believe I do believe history is being made right whether you look at it economically and a economic shock and that we have not felt as humanity since the depression so you look at it socially and again something we haven't seen sin the Spanish blue history is being made in in these times and I think we as humans have a choice we can either be witnesses to it or play our part in helping shape it and coat was our humble tiny attempt to when we look back when history was being made we chose to not just sit on the sidelines but be a part of trying to be part of the solution so all riddled with code was take a small idea I had team gets the entire credit read they ran with it and the idea was there was a lot of data being open sourced around co-ed a lot of work being done around reporting what is happening but nothing was being done around reporting or thinking through using the data to predict what could happen with it and that was code with code we try to make the first code wonder oh that came out almost two weeks ago now when you first contacted us was predicting the spread and the idea around breaking the spread wasn't just saying here is the number of cases a number of deaths and know what to be very off we wanted to provide like you know how firefighters do can we predict where it may go to next at a county by county level so we could create a little bit of a firewall to help it from stop you know have the spread of it to be slower in no ways are we claiming that if you did port you can stop it but if he could create firewalls around it and distribute tests not just in areas and cities and counties where it is you know spiking but look at the areas and counties where it's about to go to so we use a inner inner in-house Network algorithm we call that Orion and we were able to start predicting where the virus is gonna go to we also then quickly realize that this could be an interesting where an extra you know arrow and the quiver in our fight we should also think about where are there green shoots around where can recovery be be helped so before you know the the president email announced this it was surrender serendipitous before the the president came and said I want to start finding the green shoes to open the country we then did quote $2 which we announced a week ago with the green shoots around a true sailor recovery index and the recovery index is looking at its car like a meta algorithm we're looking at the rates of change of the rates of change so if you're seeing the change of the rates of change you know the meta part we're declining we're saying there are early shoots that we if as we plan to reopen our economy in our country these are the counties to look at first that was the second attempt of code and the third attempt we have done is we calling it the odd are we there yet index it got announced yesterday and now - you're the first public announcement of it and the are we there yet index is using the government's definition of the phase 1 phase 2 phase 3 and we are making a prediction on where which are the counties that are ready to be open up and there's good news everywhere in the country but we we are predicting there are 73 different counties that ask for the government's definition of ready to open are ready to open that's all you know we were able to launch the app in five days it is free for all first responders all hospital chains all not-for-profit organizations trying to help the country through this pandemic and poor profit operations who want to use the data to get tests out to get antibodies out and to get you know the clinical trials out so we have made a commitment that we will not charge for code through - for any of those organizations to have the country open are very very small attempt to add another dimension to the fight you know it's data its analytics I'm not a first responder this makes me sleep well at night that I'm at least we're trying to help you know right well just for the true heroes right the true heroes this is our our humble attempt to help them and recognize that their effort should not go to its hobby that that's great because you know there is data and there is analytics and there is you know algorithms and the things that we've developed to help people you know pick they're better next purchase at Amazon or where they gonna watch next on Netflix and it's such a great application no it's funny I just finished a book called ghost Bob and is a story of the cholera epidemic in London in like 1850 something or other about four but what's really interesting at that point in time is they didn't know about waterborne diseases they thought everything kind of went through the air and and it was really a couple of individuals in using data in a new and more importantly mapping different types of datasets on top of it and now this is it's as this map that were they basically figured out where the the pump was that was polluting everybody but it was a great story and you know kind of changing the narrative by using data in a new novel and creative way to get to an answer that they couldn't and you know they're there's so much data out there but then they're so short a date I'm just curious from a data science point of view you know um you know there there aren't enough tests for you know antibodies who's got it there aren't enough tests for just are you sick and then you know we're slowly getting the data on the desk which is changing all the time you know recently announced that the first Bay Area deaths were actually a month were they before they thought they were so as you look at what you're trying to accomplish what are some of the great datasets out there and how are you working around some of the the lack of data in things like you know test results are you kind of organizing pulling that together what would you like to see more of that's why I like talking to you so I missed you you are these good questions of me excellent point I think there are three things I would like to highlight number one it doesn't take your point that you made with the with the plethora of technical advances and this S curve shift that these first spoke at the cube almost eleven years ago to the date now or ten years ago just the idea of you know population level or modeling that cluster computing is finally democratized so everybody can run complicated tests and a unique segment or one and this is the beauty of what we should be doing in the pandemic I'm coming I'm coming I'm quite surprised actually and given the fact we've had this S curve shift where the world calls a combination of cloud computing so on-demand IO and technical resources for processing data and then the on-demand ability to store and run algorithms at massive scale we haven't really combined our forces to predict more you know that the point you made about the the the waterborne pandemic in the eighteen eighteen hundreds we have an ability as humanity right now to actually see history play out rather than write a book about it you know it has a past tense and it's important to do are as follows number one luckily for you and I the cost of computing an algorithm to predict is manageable so I am surprised why the large cloud players haven't come out and said you know what anybody who wants to distribute anything around predictions lay to the pandemic should get cloud resources for free I we are running quote on all three cloud platforms and I'm paying for all of it right that doesn't really make sense but I'm surprised that they haven't really you know joined the debate or contribute to it and said in a way to say let's make compute free for anybody who would like to add a new dimension to our fight against the pandemic number one but the good news is it's available number two there is luckily for us an open data movement you know that was started on the Obama administration and hasn't stopped because you can't stop open movements allows people companies like ours to go leverage know whether it's John Hancock Carnegie Mellon or the new data coming out of you know California universities a lot of those people are opening up the data not every single piece is at the level we would like to see you know it's not zip plus 4 is mostly county level it's available the third innovation is what we have done with code but not it's not an innovation for the world right which is the give get model so we have said we will curate everything is available lie and boo cost anybody is used but they're for purposes and computations you want to enrich it every organization who gives code data will get more out of it so we have enabled a data exchange keep our far-off purple form and the open up the rail exchange that my clients use but you know we've opened up our data exchange part of our software platform and we have open source for this particular case a give get model but the more you give to it the more you get out of there and our first installations this was the first week that we have users of the platform you know the state of Nevada is using it there are no our state in North Carolina is using it already and we're trying to see the first asks for the gift get model to be used but that's the three ways you're trying to address the that's great and and and and so important you know in this again when this whole thing started I couldn't help but think of the Ford plant making airplanes and and Keiser making Liberty ships in in World War two but you know now this is a different battle but we have different tools and to your point luckily we have a lot of the things in place right and we have mobile phones and you know we can do zoom and well you know we can we can talk as we're talking now so I want to shift gears a little bit and just talk about digital transformation right we've been talking about this for ad nauseam and then and then suddenly right there's this light switch moment for people got to go home and work and people got to communicate via via online tools and you know kind of this talk and this slow movement of getting people to work from home kind of a little bit and digital transformation a little bit and data-driven decision making a little bit but now it's a light switch moment and you guys are involved in some really critical industries like healthcare like financial services when you kind of look at this not from a you know kind of business opportunity peer but really more of an opportunity for people to get over the hump and stop you can't push back anymore you have to jump in what are you kind of seeing in the marketplace Howard you know some of your customers dealing with this good bad and ugly there are two towers to start my response to you with using two of my favorite sayings that you know come to mind as we started the pandemic one is you know someone very smart said and I don't know who's been attributed to but a crisis is a terrible thing to waste so I do believe this move to restoring the world back to a natural state where there's not much fossil fuels being burnt and humans are not careful about their footprint but even if it's forced is letting us enjoy the earth in its glory which is interesting and I hope you don't waste an opportunity number one number two Warren Buffett came out and said that it's only when the tide goes out you realize who's swimming naked and this is a culmination of both those phenomenal phrases you know which is one this is the moment I do believe this is something that is deep both in the ability for us to realize the virtuosity of humanity as a society as social species as well as a reality check on what a business model looks like visa vie a presentation that you can put some fancy words on even what has been an 11-year boom cycle and blitzscale your way to disaster you know I have said publicly that this the peak of the cycle was when mr. Hoffman mr. Reid Hoffman wrote the book bit scaling so we should give him a lot of credit for calling the peak in the cycle so what we are seeing is a kind of coming together of those two of those two big trends crises is going to force industry as you've heard me say many for many years now do not just modernize what we have seen happen chef in the last few years or decades is modernization not transformation and they are different is the big difference as you know transformation is taking a business model pulling it apart understanding the economics that drive it and then not even reassembling it recreating how you can either recapture that value or recreate that value completely differently or by the way blow up the value create even more value that hasn't happened yet digital transformation you know data and analytics AI cloud have been modernizing trends for the last ten years not transformative trends in fact I've also gone and said publicly that today the very definition of technology transformation is run a sequel engine in the cloud and you get a big check off as a technology organization saying I'm good I've transformed how I look at data analytics I'm doing what I was doing on Prem in the cloud there's still sequel in the cloud you know there's a big a very successful company it has made a businessman out of it you don't need to talk about the company today but I think this becomes that moment where those business models truly truly get a chance to transform number one number two I think there's going to be less on the industry side on the new company side I think the the error of anointing winners by saying grow at all cost economics don't matter is fundamentally over I believe that the peak of that was the book let's called blitzscaling you know the markets always follow the peaks you know little later but you and I in our lifetimes will see the return to fundamentals fundamentals as you know never go out of fashion Jeff whether it's good conversations whether it's human values or its economic models if you do not have a par to being a profitable contributing member of society whether that is running a good balance sheet individually and not driven by debt or running a good balance sheet as a company you know we call it financial jurisprudence financial jurisprudence never goes out of fashion and the fact that even men we became the mythical animal which is not the point that we became a unicorn we were a profitable company three years ago and two years ago and four years ago and today and will end this year as a profitable company I think it's a very very nice moment for the world to realize that within the realm of digital transformation even the new companies that can leverage and push that trend forward can build profitable business models from it and if you don't it doesn't matter if you have a billion users as my economic professor told me selling a watermelon that you buy for a dollar or fifty cents even if you sell that a billion times you cannot make it up in volume I think those are two things that will fundamentally change the trend from modernization the transformation it is coming and this will be the moment when we look back and when you write a book about it that people say you know what now Jeff called it and now and the cry and the pandemic is what drove the economic jurisprudence as much as the social jurisprudence obvious on so many things here we can we're gonna be we're gonna go Joe Rogan we're gonna be here for four hours so hopefully hopefully you're in a comfortable chair but uh-huh but I don't I don't sit anymore I love standing on a DD the stand-up desk but I do the start of my version of your watermelon story was you know I dad a couple of you know kind of high-growth spend a lot of money raised a lot of money startups back in the day and I just know finally we were working so hard I'm Michael why don't we just go up to the street and sell dollars for 90 cents with a card table and a comfy chair maybe some iced tea and we'll drive revenue like there's nobody's business and lose less money than we're losing now not have to work so hard I mean it's so interesting I think you said everyone's kind of Punt you know kind of this pump the brakes moment as well growth at the ethic at the cost of everything else right there used to be a great concept called triple-line accounting right which is not just shareholder value to this to the sacrifice of everything else but also your customers and your employees and-and-and your community and being a good steward and a good participant in what's going on and I think that a lot of that got lost another you know to your point about pumping the brakes and the in the environment I mean we've been kind of entertaining on the oil side watching an unprecedented supply shock followed literally within days by an unprecedented demand shock but but the fact now that when everyone's not driving to work at 9:00 in the morning we actually have a lot more infrastructure than we thought and and you know kind of goes back to the old mob capacity planning issue but why are all these technology workers driving to work every morning at nine o'clock it means one thing if you're a service provider or you got to go work at a restaurant or you're you're carrying a truck full of tools but for people that just go sit on a laptop all day makes absolutely no sense and and I'd love your point that people are now you know seeing things a little bit slowed down you know that you can hear birds chirp you're not just stuck in traffic and into your point on the digital transformation right I mean there's been revolution and evolution and revolution people get killed and you know the fact that digital is not the same as physical but it's different had Ben Nelson on talking about the changes in education he had a great quote I've been using it for weeks now right that a car is not a is not a mechanical horse right it's really an opportunity to rethink the you know rethink the objective and design a new solution so it is a really historical moment I think it is it's real interesting that we're all going through it together as well right it's not like there quake in 89 or I was in Mount st. Helens and that blew up in in 1980 where you had kind of a population that was involved in the event now it's a global thing where were you in March 20 20 and we've all gone through this indeed together so hopefully it is a little bit of a more of a unifying factor in kind of the final thought since we're referencing great books and authors and quotes right as you've all know Harare and sapiens talked about what is culture right cultures is basically it's it's a narrative that we all have bought into it I find it so ironic that in the year 2020 that we always joke is 20/20 hindsight we quickly found out that everything we thought was suddenly wasn't and the fact that the global narrative changed literally within days you know really a lot of spearhead is right here in Santa Clara County with with dr. Sarah Cody shutting down groups of more than 150 people which is about four days before they went to the full shutdown it is a really interesting time but as you said you know if you're fortunate enough as we are to you know have a few bucks in the bank and have a business that can be digital which you can if you're in the sports business or the travel business the hotel business and restaurant business a lot of a lot of a lot of not not good stuff happening there but for those of us that can it is an opportunity to do this nice you know kind of a reset and use the powers that we've developed for recommendation engines for really a much more power but good for good and you're doing a lot more stuff too right with banking and in in healthcare telemedicine is one of my favorite things right we've been talking about telemedicine and electronic medicine for now well guess what now you have to cuz the hospitals are over are overflowing Jeff to your point three stories and you know then at some point I know you have you I will let you go you can let me go I can talk to you for four hours I can talk to you for but days my friend you know the three stories that there have been very relevant to me through this crisis I know one is first I think I guess in a way all are personal but the first one you know that I always like to remind people on there were business models built around allowing people to complain online and then using that as almost like a a stick to find a way to commercialize it and I look at that all of our friends I'm sure you have friends have lots of friend the restaurant is big and how much they are struggling right they are honest working the hardest thing to do in life as I've been told and I've witnessed through my friends is to run a restaurant the hours the effort you put into it making sure that what you produce this is not just edible but it's good quality is enjoyed by people is sanitary is the hard thing to do and there was yet there were all of these people you know who would not find in their heart and their minds for two seconds to go post a review if something wasn't right and be brutal in those reviews and if they were the same people were to look back now and think about how they assort the same souls then anything to be supportive for our restaurant workers you know it's easy to go and slam them online but this is our chance to let a part of the industry that we all depend on food right critical to humanity's success what have we done to support them as easy as it was for us to complain about them what have we done to support them and I truly hope and I believe they're coming out of it those business models don't work anymore and before we are ready to go on and online on our phones and complain about well it took time for the bread to come to my table we think twice how hard are they working right number one that's my first story I really hope you do tell me about that my second story is to your have you chained to baby with Mark my kids I'm sure as your kids get up every morning get dressed and launch you know their online version of a classroom do you think when they enter the workforce or when they go to college you and me are going to try and convince them to get in a oil burning combustion engine but by the way can't have current crash and breakdown and impact your health impact the environment and show up to work and they'll say what do you talk about are you talking about I can be effective I can learn virtually why can't I contribute virtually so I think there'll be a generation of the next class of you know contribute to society who are now raised to live in an environment where the choice of making sure we preserve the planet and yet contribute towards the growth of it is no longer a binary choice both can be done so I completely agree with you we have fundamentally changed how our kids when they grew up will go to work and contribute right my third story is the thing you said about how many industries are suffering we have clients you know in the we have health care customers we have banking customers you know we have whoever paying the bills like we are are doing everything they can to do right by society and then we have customers in the industry of travel hospitality and one of my most humbling moments Jeff there's one of the no sea level executives sent us an email early in this in this crisis and said this is a moment where a strong David can help AV Goliath and just reading that email had me very emotional because they're not very many moments that we get as corporations as businesses where we can be there for our customers when they ask us to be their father and if we as companies and help our customers our clients who area today are flying people are feeding people are taking care of their health and they're well if V in this moment and be there for them we we don't forget those moments you know those as humans have long-term memories right that was one of the kindest gentlest reminders to me that what was more important to me my co-founder Richard you know my leadership team every single person at Reseda that have tried very hard to build automations because as an automation company to automate complex human process so we can make humans do higher order activities in the moment when our customers asked us to contribute and be there for them I said yes they said yes you said yes and I hope I hope people don't forget that that unicorns aren't important there are mythical animals there's nothing all about profits there's nothing mythical about fortress balance sheet and there's nothing mythical about a strong business model that is built for sustainable growth not good at all cost and those are my three stories that you know bring me a lot of lot of calm in this tremendous moment of strife and and in the piece that wraps up all those is ultimately it's about relationships right people don't do business I mean companies don't do business with companies people do business with people and it's those relationships and and in strong relationships through the bad times which really set us up for when things start to come back I me as always it's I'm not gonna let it be three years to the next time I hear me pounding on your door great to catch up you know love to love to watch really your your culture building and your community engagement good luck I mean great success on the company but really that's one thing I think you really do a phenomenal job of just keeping this positive drumbeat you always have you always will and really appreciate you taking some time on a Friday to sit down with us well first of all thank you I wish I could tell you I just up to you but we celebrate formal Fridays that to Seder and that's what this is all so I want to end on a good on a positive bit of news I was gonna give you a demo of it but if you want to go to our website and look at what everything we're doing we have a survival kit around a data survival kit around kovat how am I using buzzwords you know a is let's not use that buzzword right now but in your in your lovely state but on my favorite places on the planet when we ran the algorithm on who is ready as per the government definition of opening up we have five counties that are ready to be open you know between Santa Clara to LA Sacramento Kern and San Francisco the metrics today the data today with our algorithm there are meta algorithm is saying that those five counties those five regions look like I've done a lot of positive activities if the country was to open under all the right circumstances those five look you know the first as we were men at on cream happy Earth Day a pleasure to see you so good to know your family is doing well and I hope we see we talk to each other soon thanks AVI great conversation with avi Mehta terrific guy thanks for watching everybody stay safe have a good weekend Jeff Rick checking out from the cube [Music]