>> from Bahrain. It's the Q covering AWS Public sector Bahrain brought to you by Amazon Web service is >> over and welcome back to the Cube. Special coverage here in by rain in the Middle East for Amazon Web service is eight of US Summit. I'm John for the Cube our second year, where cloud computing has changed in the landscape. It's changing the entrepreneur equation. It's changing the money equation, and Fintech is very popular. Next guest. Special guests. Ideal worrying. Who's the Deputy Group? CEO Bank, ABC. A legend in the industry. Also the founder. The Fintech Forum Coming up on your fourth big event, But you're keynoting here at Teresa Carlson and A W s Summit car on digital only bank. Welcome to the Cube. Thank you, John. Thank you. Pleasure to speak to you today, so I got a lot to talk about, but digital only bank. This is a really special time in history. Now we're living in a digital error and the digital is driving business change and digital business is on the on the plate of every major executive in the world. How are you enabling digital business, >> John? The way, The way I look at things that two years ago I have went to my board. I said, I wanna disrupt the bank. I want to develop a business digital strategy. And to do that, we have three pictures. We have to run the band first and transform the back. To do that, we have to continue investing on modernizing the bank. Then you evolve the bank investment by creating new product. And finally you just hop the back and how you disrupt the bank. And she's using the digital highway and introducing the cloud computing on bringing a new tools wishes changed the framework and changed the mechanics of the bank. So we created way are not a digital only bank which will be going live in two months time. We launch a wallet on all that sitting on our eco systems it in the cloud the very brave and bold move. But I can tell you, without that you will lose the transformation. Banking today is different than they're gonna be banking of tomorrow. Yeah, we have to start getting into the journey of transformation. >> Bold moves require bold leadership obscenity. You are that this is hard. It sounds easy on paper. You got people to convince. I agree. Changes hard people. Cultural change. How did you do it? What >> was the great question? John are started that in December 2016 I went to my board when the frantic start moving heating our partnership. Look, I want to be on the transformation. Jr and I worked for about 6 to 9 months in greeting our niche with the board unit. Explain to them frantic abroad. Them actually a special fintech speakers guidelines. So I invested heavily. I would always take holder board level people, groups Vo and tell him about the impact of digitization. New cannot afford distant idea. Feel distant. I didn't do nothing. He parked the chain was moved. We'll go without you. So what you're saying is that investment is awareness. You have to explain to him why you cannot treat fintech with the threat. You have to embrace it. >> I love that. I love that leadership. It takes time to nurture and unset the table. Absolutely. And then understand the cloud only strategy. And then you got to sell it and then you gotta implement. These are the new dynamic >> fears fears. John is that most of the stakeholder. They think of cloud as secure and the spending of times They're not security. Instead, he was spending the time questioning spend their time to improve the security with Amazon. We are partners Now we sit with them and doing a demon years. And I tell you, I'm putting all my critical banking system on the ground. >> When you talk to Amazon, you're a bank. Thanks. Have money. Thanks can be act. There were people who worried about all this. Trust is important opportunity. What made you decide to go a W s? >> There's a very first of all. When I decided to individuals with my decision, I looked at you guys, the investment you made it in security, the investment you make or not. Indeed, I looked you committed to the region. I was someone my neighbor you guys have invested that made a bold move to be in Bahrain That did a lot, picked a lot of boxes for me and that was an important move from AWS. And I tell you many regulators today they were going to cloud eventually. So it's very important that anybody is Bridget himself in the >> region. But we love a W s because we covered them. And in depth is part of our media business. And we look at disruptions to and I want to get your thoughts on fintech disruption. We were talking before we came on camera about some key times in history where disruption happened in trade. That is a tale sign for what's happening in that. Tell the story. >> All right, let me tell you the story. In 1953 the first word cargo ship sent from New York to Houston. That chip change the word made history. Why? Because it has the container. So you could supplier trade, sending through the container to different destinations. You know, before how you used to be put them in the trade through It was a nightmare. That disruption have actually improved the globalization of increased trade business. Today all this equipment here comes Chicago comes through container and each container is labelled through computer. So we re vision today Fintech made the same making same disruption in banking on my notions, everything >> and wears a similarity. Scale >> matter, united disruption. This came a volume betrayed should become disrupted. Everybody start using your container. The business the globalization fintech, globalization, skin awareness. So what? The way I see similar to that we had a disruption. Trade become more familiar. Lifestyle has improved. You can now put your house. Your TV is coming From where? From? Your Maybe >> all the cargo containers have changed. Shipping fintech is changing banking, banking >> and lifestyle. You got it. You got a job. >> And so now, well, ironically, two containers or changing the cloud Because containers and kubernetes and frustration, This is about software. That's right. Software money has been a term kicked around. When you hear the word software defined currency software to find money, what do you think of? >> Look, at the end of the day, who writes software people? Human. So basically, the thinking has become from you and I for the people that sit and think about the codes. Yeah, programmer the corner. But there's somebody behind it thinking So you have a thinker on this thing? Got Arjun you the word not the coda. >> Big moves and Finn ticker happening. I want to get your thoughts on leadership in this world where cloud has pretty much instant benefits if you execute properly. Absolutely. There's also architectural thinking. So the word business architecture is not something that they teach in business school or sometimes has to be learned over time to operate a business and go have a growth strategy in changing technological landscapes requires a business. Architecture has to have a ballistic systems thinking this is hard. You've done that for multiple years. What if you learned what were some of the challenges that you came? >> You have to look at when you're running a big enterprise. You have a lot of investment around the world, and a lot of duplication are out of inefficiency at the leader. Money to show my steak stakeholder efficiency. I want our own better shop. Now, if technology can help me to do that, why not? You'll have to jump onto the wagon? Yeah, yeah, I cannot sit idle, and I see a better efficient shop but bank running more efficiently. So I looked with technology addition to disrupt the way I work, but positive disruption. Yeah. The main thing is that the disruption should be a catalyst for a positive change. So what I learned I learned efficiency would the digital disruption with the cloud today and instead of putting 25,000 servants to serve my 18 countries. I put in the cloud. You done it. You know the economy is Ken Jordan and the shaving >> the flywheels. Amazing. The operational efficiency are amazing. As an executive, you managed to results at the end of the day. Business is business. Results matter. How are your results? You gotta make money >> at the bank. It I have a good show. Uh, results. >> Got to make some money. How do you see that? Evolving digital only business. What's your strategy? What's your roadmap? For? How you see the money making kicking >> in, John, that our clients becoming sophisticated. My corporate client today if I don't deliver in a digital solution through his statement, give the payment, Foster. He's gonna go for a fintech company because today, front companies are competing with me eating my lunch. So I have to prove, if my client becoming digital Chevy more sophisticated, I cannot sit and watch. So I have to invest heavily. You make sure my client is satisfied giving the right cash management to transaction banking. All this the book payments or this have to be alternated. So I have to be continue looking after my client. That's where the money >> are you happy where you are, Where you're at right now? Are you happy with work? >> There's always room for improvement. I will continue. Invest on Are we innovate because you cannot stop. I mean, look, I'm a zone today. Would they stop? >> No, no, they're not stopping >> way. We need to continue. >> What's your areas that you think about for the next five years? Fintech. What are an important area? >> You know what? I think Joe's gonna affect our lifestyle. A I artificial intel. I feel way only seen the beginning. We have seen nothing out of the way. A bank, ABC. We just lost our first digital employees. Uh, her name is Fatima, and we will be coming live in November. I tell you, this is the beginning. I feel artificial intelligence is gonna affect our work force in the world. >> Tell me more about this digital employees concept. >> Well, that until passionate about what we worked with a company called So machine in you Zeeland on there are the same people who actually invented you've seen the movie of it all. Yeah. So the same people actually design movie and avatar work. We work with them to create a footman. Fatma is already being trained. Do help a new Crying Toe Bank, ABC. The Tissue Bank Open account. Two shoes. A correct credit cards for you Help you and also to be able to have a chat with her to be able to ask you a question. Jerry. A question about the Bahrain about the population but banking. It's a journey on. The journey's so far being successful, and I continue. If you ask me the question in a year's time, I would tell you probably thought it would be somebody else. >> This is helping augment the experience for your customers. That's the goal, >> absolutely. And from experience with my consumer. >> Okay, I want to change the subject and talk about the fact you're the founder of the Fintech Forum. You've had your third edition for the coming up. Talk about the event. What's the purpose? >> Uh, in in about 2016 December, I went to them sentimental by rain Governor and I said, We want to sponsor a frantic conference so self like impressed that immediately and British idea. And then I went back to my board my good CEO, I said, We want to sponsor the fish interconference on my papers at the time, the warning Because at that time in nearly 2017 we hear different around the region. Nobody actually sat there and say, Was the interactive printed on banking? You see, other victim. So I launched the first winter conference Was its success 2nd 1 also a sex. And the 3rd 1 was a kook because we put the top speaker on the world. And now people are judging me for the 4th 1 event business Now. No way about Responsive Bank. NBC's was the sole sponsor. >> That's exciting. And I think these events are changing, too. The fact that you're getting into events, you're contributing your knowledge, your also sponsoring providing some working capital >> contribution as a bank. International bank. At least I can do to support my reign infrastructure in the vision in a fintech. Sorry, >> no problem. Think out of the water. I want to say I want to get your thoughts on something. I feels important. I said this last year and the year before, when Amazon launches a new region, yeah, it creates a revitalisation. It has computing power has all those things. It's a center point of innovation. How do you see that same thing? And what's, um, things that people might not know about the Amazon relationship to the area? Because all this innovation and enablement fintech societal change the government ministries are coming online here by rain. Entrepreneurs are creating value. They're getting funded this liquidity banks, air going fintech A modernization wave is happening with a new generation of young people and existing businesses. This is a digital complete modernisation. Your thoughts on on all this digital transformation Societal at a societal level with Amazon >> Amazon already contributed to the digital economy was in it in the world. And I've seen already the impact this part of the world. The fact that this conference is summer today I can't answer your question. Look at the contribution. You have about 2000 people here look the excitement of what to bring into the region. I have seen people today from Chaudhary from Kuwait, from Morocco, from Amman, from Egypt here. So you are actually building the knowledge excitement and you also have been people to understand the ecosystem and what was missing. So what you doing any bill Us now actually investing heavily on educating awareness of the digital destruction and digital economy. You are participating in the digital economy. I mean, also today I heard from Malaysia. Very good. Exactly. Sponsoring a program a degree with University of Bahrain doesn't pass just free. So this is basically you Continue doing that. And you find AWS is already effective. Life like the clock is gonna be so I think it's body is already contributing the digital economy worldwide. >> You know, I'm fascinated. I'd love to have more conversations with you on this, Maybe at your forum. But one thing I want to get your thoughts on is with digital collaboration is not just face to face. You meet people here from different countries, but then we go back to our place is but we're still together digitally. So the scale of cloud computing and digital is impacting not just money collaboration. What's your vision on how collaboration and the role of people are going to play in this new dynamic? John, >> if you have asked me three years ago our video I was a threat with winter company with your banker. They're gonna eat my lunch. But today you realize with time the only way you can move on trust through collaborating with the company. That's why today I'm sitting with AWS sitting with other victim basically breaking people. I know my banks, but I don't know how to build a clock ticking. So I caught a break. I don't know how to move on a new Sophia or so I go with. I want to use it to get that. You see what I mean? >> Yeah, I think you have another good point that we reported on many times. And that is that when you collaborate with these technologies, it makes the domain expertise and the data that you >> have >> more intellectual, more emotional property because, you know, banking intimately. You have data, you have customers. That's your intellectual property. You could use that faster with the resource. This is a new competitive advantage >> with analytics would get the science. The data is the new order, if you should, but you need the tours. You need another unique data scientist. And when you have the distant scientist dental become than yours. >> So he'll thank you for sharing your awesome insights here and let you hear about rain. Really appreciated. Congratulations. Tino speaking. Bank, ABC. Thank you. Going all digital. Bold moves. Bold leadership. Thank you. Thank you very much. We're here in the Cube. We're live broadcasting here and by rain. 80. This summit. I'm John Ferrier. Thanks for watching.

>> Live from Orlando, Florida It's the que covering Accelerate nineteen. Brought to you by important >> Welcome back to the Cubes Coverage of Fortinet. Accelerate twenty nineteen. Live from Orlando, Florida I'm Lisa Martin with Peter Burress, and we're welcoming to the keep for the first time. Jeff Fully senior business development manager from Siemens. Jeff. Thanks for joining Peter and me today. >> Thanks for having me appreciate >> it. So everybody knows Seaman's in some form or fashion or capacity. Ah, here we are in a cyber security event. Talk to us a little bit about what Seamen's and Fortinet are doing together as partners and a little bit about your role in business. >> Sure, so the organization the part of semen that I'm a part of, is more of a digital industries. So what we do is ah, lot of NT operational technology environment area. So it's it's more of the harsh environments oil and gas, waste water, rail transportation. So we do a lot of the communication and the cyber security around that. We're working with Fortinet in order to bring the best of the practices on cybersecurity into that OT environment. So we're doing a collaboration between the two because there's that communication that needs to happen. They still need that access point into at OT environment >> Now. Explain why? Because because, you know, guys have grown up presuming that everything was going to be connected and a lot of business leaders presume that everything's going to be connected. The okey guys have had to work in a very, very different world where they had to do real time work, sometimes for thirty years. So take us a little bit through that dynamic. And why is it that today we actually Khun, start having conversations about how these two things come together, work together and generate value together? >> Sure, so typically from operational technology environment when they put something together, is normally for a twenty or thirty year span. They want to put something in the network and the environment that's going to last. That's going to be out there. It's not. They don't change it. They don't upgrade it normally, as they do in the ninety environment, which typically has like a five year life cycle. So in OT environment, what's happening? Noah's know times are changing and all these cyber attacks are happening. They're being mandated to do this. A good example is, in two thousand five, President Obama signed into a legislative order that you, we must in the US secure critical infrastructure and part of that securing that, saying We're going to make sure that you know we're not going to be happy because in the utility market, if we take down four of the major interconnects between their power grid than that stated that us had become a third world country in eight days. So what we're doing is >> not do that. >> No, we're trying to help prevent that. So by doing so, we need to add security. And historically, from noti environment, it's always been about there's not been remote access. There's not been that connectivity. It's always been about electrical and mechanical devices. But now is these devices are getting smarter. They're getting Mohr intelligent. There's more information to get out of it. You get more efficiency and more information out of so you can know. Do your job better. You could do remote access. And like in Florida, here we have a bunch of hurricanes. There's the ability to say after a hurricane, I could get remote access or I could do that communication out to these devices where you wouldn't be able to do periodically in the past. So because of that, because connectivity we need to start securing our infrastructure to make sure that no, as we get access to that potential, that the bad guys get access to those devices, too. So we're working with our product portfolio and partners like Fortinet in order to make sure that we're applying the best of the security in the O t world. >> So when this convergence, we're talking probably with folks who are not used to change. Change is hard for everybody. However, as you said and back in two thousand five became a presidential mandate. But also it >> was two thousand fifteen >> two thousand five. Obama signed in tow the listen president till two thousand. And I'm sorry. >> Thank you for the mass >> housing one. >> Yeah, just years ago on the math expert. So just a few years ago, there was this mandate from President Obama which we clarified was only four years ago. So but historically, folks that are not used to having to change system so quickly. Yet here's this mandate. There's also this increasing abundance of separate tax. How do you have those, I presume, difficult conversations with Theo Teesside about the opportunity for OT convergence and the benefits and why they have to get on board with this. >> So historically, from the OT side, they've been very reluctant to do something like this. They want to own their own environment. They want to do that. It's always been the perception that if you bring that cyber security of the world into that OT environment, it's going to hinder their operations. But that's not really the case. The convergence of T and O. T has been happening for decades now. I started my job seem it's in two thousand in the telecom world, and we were doing that convergence of n ot back in two thousand when we're doing voiceover. I pay right because that was happening back then. So this convergence of Tino Tee is It's an ongoing thing. It's just in. Different markets are different industries, so now that we're doing that, we're bringing it in there. They're starting to have that conversation, but then it becomes a really who owns that The operation are who owns that security? No ot still wants to drive their own. They want to own their own. Where I saying, Look, I know we have the knowledge we have experience. Let's help you get there So there's generally a demarcation point that they've come to an agreement on where I Teo say we're going to help you to this point. And then you can own all the critical assets out on the far end. >> So let's talk about that demarcation point. What constitutes what characterizes that demarcation point? What are where are we today? Because we're moving from hardwired, uh, thirty year footprint to increasingly wireless, uh, faster. We're moving towards that, but we're how far our way when you talk to customers. What is what are the attributes of that demarcation point? It's >> interesting because we sew it. That goes everything we saw of customers that are on dialogue, communication, serial communication, Ethernet fiber, wireless. Lt s o. There's a broad range of that we call the pipe. So you know the pipe is the communication just between the side down to the OT side really helps to find that demarcation is when you get down to what are the critical assets, what's really the operation or what's making money for that company on those of the assets, which really the operational organization's own and then the side really provides that communication down to that to that ball. >> Got it. So it's really business specific. But are we starting to see Are we started to see? Well, it's got a little bit more processing power or it's got a little bit more. There's the's security attributes that are associated with it or ot guys picking up on T related security, starting elements of it faster than others >> they are on. But really, it's it's ah, it's region and as industry specific and it's really what's driving it So like in the U. S. Like I meant in the utility sector, three utility sector has requirements called no exit, and these narcs IP requirements said you must do these things and they get very specific to the point of. You must have something that will detect anti virus or malware. You must do this if you look into Canada. Canada just recently passed away. Be requirements for Ontario and those are based upon framework cyber security framework to do that. So it's really debate the industry that they're in and the region that they're in. That's what's really driving that our how deeper and far they're going to go. >> And it goes back to your original point that it's being driven by regulatory edict or a past exposure and trying to make sure it doesn't happen again. >> They don't want to make the news, and they don't want to be pushed by the government. But those were really the two things in the operational technology or environment that's really driving for that cyber. >> Thank you, Sierra, One of your favorite success stories that really highlights the opportunities that O. T. And I t Convergence have enabled for customers of forty nine Seaman's >> Oh yeah, there's, ah again because I'm global experience. No, I've got around the world, but actually one of the favorites is Actually, there's two of them that have happened just here in North America, Oneness in Texas and one is in Canada. And both of these requirements came to say that they had a specific date, that they needed to make requirements to meet the regulatory otherwise, that they were going to get fined and they came to us and it is both home were pretty last minute. So what we're able to do is to say, Look, we have this platform that's rated for harsh environment. That's no into your networking to provide that communication. So then what we could do is we can work with our partners, put that application on that OT environment and then install and get certified for your application. So there was two of you, Like I said, one in the U. S. And one in Canada. Which way made the deadline's where they came back and said, No, thank you very much, very appreciative. >> And how quickly were you able to get this up and running is that they didn't miss the deadline and we're able to certain gleanings value from this. >> I just did a write up on one. We got a phone call on a Friday that they needed to provide a solution. So we worked over the weekend, and on Monday we proposed a solution. So once you do that, no, obviously they need to go through their value chain to get to sign offs, and we have to go through our process. But it was within thirty days were able to install it make their deadline and make sure that they were compliant. >> That's a pretty good marketing message to deliver that you guys could enable Such It is such a big convergence and it's a month's period >> of thirty days. >> Pretty impressive. >> That was, That was That was one thing that I think we all worked out. There was a deadline. We all work toward that. It was a trusted partner thing, you know. The customer came to us, they were asking for some stuff. They trusted us to do that. So like I said, we worked over the weekend, help them do that. We felt we had the right solution to address their requirements and at the end of the day were ableto meet that thirty day deadline. >> But the trust is not just with you. It's not just a seaman's. It's with an expanding array of cos it Seaman's is working. That's correct. What is it like working with a company like Ford Net to try to ensure that these new domains that are characterized by enormous uncertainty, technological operational organisational are not undermined by challenges of crafting that sushi solution together in such ways, it can be implemented quickly and with a high degree facility. >> I think it's a great opportunity for saying it's important not to be working together only from the fact of Fortinet has got the history. They've got the technology. They've got the name in their market space on DH. They've got the capability to deliver that Siemens. And for if you look from our customer space in our environment, no, we're very well developed, well entrenched in our customer. So to be able to bring the technology and the experience and the know how and bring that those cyber security requirements which are now being pushed down into the OT environment in and no amount of time it's not. There's no development needed, there's no additional stuff fourteen and already has that knowledge from the space. So to bring that into the environment, it's very beneficial. I think both of us, in order to help drive their customer opportunities in our market. >> And they talked a lot this morning during the keynote about where they are from the competitive leadership perspective that was peppered, ah, lot throughout the first at least ninety minutes of the keynote. But presumably obviously everybody has choice. Everybody likes choice. Simons has choice there. I'm just curious to get your take on some of the announcements that came out today from Fortinet. Does that excite Seaman's? Were you involved in that? In terms of being able to take the next set of customers who have the same challenge that you describe with the Texas based on Canada based customers and show them we can help you together? Seaman's importing that transform in thirty days. >> I think it's very exciting with fourteen that's doing in the new capabilities and functional yet they're coming out with. I think that's really going to be able to enhance our offering because it's really a differentiator for us. If you look at us from the operational technology side, there's not a lot of people out there that can actually do with porting that's able to bring to the table. So all these additional features functionality that was coming out by Fortinet to be able to put it on to our platform and our environment and to be able to offer that in the operational technology side. So I think it's a big differentiator from our competitors for both forty and for seeming to be able to jointly provide this offering to our customers. >> Just one question about your competition. A lot of companies like Siemens, especially that especially strong in the OT space, not just your customers. But suppliers like yourselves have also struggled a bit as they try to find a Z trying navigate that way forward to convergence of tea. No tea on appropriate convergence of tea. No tea. What is it about Seamans that has allowed you to not stub your toe or cut off your leg? Like some of the competitors, >> I believe that's because we've had a long history in both the A I T o T space. If you look at the vertical, are the digital industry that we're in right now. It's been very much ot centric for the last twenty five thirty years, but we have seen minces No. Three hundred seventy nine thousand people worldwide strong. We're very embracing the newer technology and the newer capabilities myself coming. No, starting with Siemens twenty years ago with a nice background being able to bring that knowledge that ability and doing that convergence of the idea no t within Seaman's for so long. I think we understand our customers, and we've been listening to them. And then we're partnering up with companies like Fortinet. Health says, Bring that technology that capability to our customers >> said that expertise, that partnership, What's your recommendation has be wrapped things up here for customers who are at the precipice of being able to understand why I know Teenie to converge with your recommendation for them to tackle this challenge successfully. >> I think the best advice I could have is let's sit down and have that conversation. Let's see what the requirements are. Let's see what they're trying to accomplish because I believe with the solutions that Siemens has between communication, the network in the security and then they technology and the capability that forty nets bring to the table we can to help design a customized solution for their environment in order to make sure that they can address their cyber security needs >> and do so quickly. Well, Jeff, thank you so much for joining Peter and me on the cute this afternoon. We appreciate your time. >> Thank you for >> for Peter. Boris. I'm Lisa Martin. You're watching the Cube

>> Las Vegas. Extensive signal from the noise. It's the Q covering interconnect 2016. Brought to you by IBM. Now your host, John Hurry and Dave Ilan. >> Okay, Welcome back, everyone. We are here live in Las Vegas for exclusive coverage of IBM interconnect 2016. This is Silicon Angles. The Q. That's our flagship program. We go out to the events and extract the signal from the noise. I'm John Ferrier with my Coast Day Volante. Our next guest, Steve Robinson News. The GM of client technical engagement before that, in the cloud doing all the blue mix now has the army of technical soldiers out there doing all the action because it's so much robust. So much demand for horizontally scale. The sluices with vertically targeted, prepackaged application development. That's horrible. First you name it big data. Welcome back. Good to see you, John. Thanks. Good to be with you again. Always, like great to have you on because you got a great perspective. You understand the executive viewpoint. A 20 mile stare in the industry. But also you got the in the nuts and bolts in under the hood. >> That's right. A >> lot of action happening under the hood. So let's get that right away. Blue, Mrs Hot Night. Now it's about the developers. What's going on under the hood right now that customers are caring about? >> I always love the Cube. You guys were like one of the first guys talking to us two years ago when we just launched a blue makes on stage. We walked off, got in front of cameras here, and it was great. Over the past year, it's been it's been outstanding. We we're writing about 20,000 folks toe blue mix right now on public, we came out with dedicated and then what people had really been warning was local blue mix as well. So we finally have full hybrid chain that goes from behind the firewall to a single client dedicated cloud all the way up to the public as well. So we've been building that out with service is as well, so have over 106 service is on top of it. You'll see things like Watson, which is unique, our Dash CB analytics, which is unique Internet of things coming in as well. So it's been a great year old building it out and getting more clients on top of it, >> it's like really trying to change the airplane engine in 30,000 feet. Or, in your case, you guys were taken off and from the runway. How has that been? It's been growing pains, of course. Unlearning What? What's going on? What have you learned? Give us the update on >> changing the engine while the plane is flying, and we've used that analogy quite a bit in the labs and way have to show relevance in this market. You know, this market is probably the fastest face technical market I think I've ever been in, and it's moving at such a rapid pace. We had to ship a lot of technology out last year is well, we have every new middleware group in IBM. Putting service is on top of blue mix, so let's get it out there. Let's get it out fast. Now, of course, this year we're gonna harden it up a little bit as well. So more architectures, more points of view. Better look on how this stuff works together hardening up our container strategy, pulling it all the way back to the virtual machine. So both continue to expand it out but let's make it enterprise grade at the same time. >> And also, some differentiation with Watts has been a big play around Catnip. Yeah, really is different because right now with the quote, um, market the way it is court monetization is on number one's mind. Start from startups to enterprises. If you're in business, you want you're top line if you're starting to get monetization. So there's a little bit of IBM in here for people to take in. Well, >> you know, if you look at Watson, you know, when we first started with it, you know, it was this very large big chunk of software that she had to buy. And and we work with Mike Rodents Team toe. Can we chop it up into a set of service is Let's really make this a set of AP eyes, and we started noticing, you know, you saw in Main stage the other day out from Otis. You know, this was a pure startup. He's started picking up the social semantics. Let's pick up the you know, some of the works to text etcetera, conversions, and all of a sudden they're starting to add it in. They said they would have never had access to this technology before way Have that a P I said. Not growing up to 28 we announced a couple cool things this morning. We even showed how would improve your dating life. Probably need some of that with my wife is well to translate between the sexes there, but what people are doing with it now, it's kind of like blowing people. His mind is far beyond what the initial exception waas. >> So your team of your niche is when they get right. It's a large team. It's, but it's a new initiative. New Justice unit, New role for you Talk about that >> way. Kinda had >> a couple pockets of this, but way clearly found that getting clients to the cloud is both a technology challenge as well as a cultural challenge as well. So he brought together some technical experts to kind of help through that entire life chain help up front. You know, many clients are trying to figure out what their overall cloud strategy is, where they truly today and where do they want to get to be? And how can we help him with a road map? That kind of helps them through the transition. Many accounts are very comfortable with the only wanting to be private and only glimpsing forward Thio Public Cloud Helping us bridge across that as well. Then we have the lab service's teams and these air the rial ninjas, the Navy seals. They go as low as you can go and what they're helping. A good way. Yeah, that's good. That's good. That's why they're helping with this very specific technical issue. Technical deployments. A lot of our dedicated local environment. These guys, they're they're really helping it wire in a cz Well, and then we have the garages, you know, we're up Thio. Five of those were going. We announced four new Blockchain garages as well. And this is where firms air coming in to kind of explore do the innovative type project as well. So I think all the way from the initial inception through rolling it out into production, having that team to be able to support him across the >> board. And so this capability existed in IBM previously, But it existed in a sort of bespoke fashion that coordinated >> couple pockets here and there. We always have supports. We had various pockets a lap service's. But we won't really wanna have the capability of seeing that client all the way through their journey, bringing it all under me. We now can easily pass the baton, Handoff says. We need to have that consistent skill there with the clients all the way through their >> journey and is the What's the life cycle of these service is? Is it Is it both pre sales in and post there? Just posted >> many times we'll get involved like our cloud advisers would get involved. Presale. They'll say a specific workload wants to go to the cloud. What are the steps we need to take to make that happen? A CZ well, with our Laps Service's teams, you know, we kind of have, you know, anywhere from a 4 to 6 week engagement. Thio do a specific technology. Let's get it in place. Let's get it wired in et cetera, and then in the garage is you know, we could just take a very novel idea and get it up to, ah, minimal viable product in about a six week period. So again, we're not doing dance lessons for life but strategically placing key skills in with accounts toe. Help him get over that next hump of their journey. >> Steve, when you look at the spectrum from from public all the way down to private and everything in between are you, I wonder if you could describe the level of capability that you are able to achieve with the best practice on Prem with regard to cloud ability. It's service is all the wonderful attributes of child that we've come to know and love. Are you able to, you know, somewhat replicate that roughly replicate that largely replicate, exactly. Replicate that. Where are we today? >> Yeah, I think >> it's a great question. I think. You know, I think most of the clients that we're dealing with have been dealing with some virtualized infrastructure, probably more VMC as they as they've been kind of progressing. That story. One of the things we did it IBM is Could we bring a true cloud infrastructure back behind the firewall? Could we bring an open stack? We bring a cloud foundry base past all the way back through because the goal, of course, is if we could have the same infrastructure private, dedicated and public as they continue to grow and got more comfortable with the public cloud that could start taking work clothes that they had built in one location and start to migrate it out with you. That that local cloud the Maur used for EJ cases. So taking that system of record and building a p i's and allowing to do extensions to that allowing you access into data records that you have today dealing with a lot of extension type cases, you know the core application still needs to be federally regulated. It needs to be under compliance domain. It's gotta be under audit. But maybe I wantto connect it in with a Fitbit or connected in with with a lot Soon are connected in with the Internet of things sensor. I gotta go public cloud for that as well. So locally we can bring that same infrastructure in and then they could doom or service. Is that extended out in the hybrid scenario >> code basis? Because this has come up. Oracle claims this is their big claim to fame. That code base is the same on premise hybrid public. Is that an issue with that? Is that just their marketing, or does it matter what's IBM take on this? >> But we've done ah lot of work with the open standard communities to let's get to a true reference implementation. So on open Stack, we've been doing a lot of work with them, and this is one of the reasons we picked up the Blue box acquisition. Could we really provide a standard open stack locally and also replicate that dedicated and, of course, have it match a reference architecture in public as well? We've also done the same thing with clout. Foundry worked with Sam Ram G to be one of the first vendors, have a certified cloud. Foundry instance is the same local dedicated in public. I think that's kind of the Holy Grail. If you could get the same infrastructural base across all, three, magic can happen. >> But management's important and integration piece becomes the new complexity. I mean, I would say it sounds easy, but it's really hard. Okay, developing in the clouds. Easy, easier ways always used to be right, right well, but not for large enterprises. The integration becomes that new kind of like criteria, right? That separates kind of the junior from the senior type players. I mean do you see the same thing and what we believe >> we do? I think there's usually two issues. We start to see that this model looks great. Let's have the same code base across all three environments. What things? We noticed that a lot of folks, when you get into Private Cloud, had tried to roll their own. You know, open Stack is an open source Project clout. Foundry is an open source project. Let's pull it down and let's see units roll it out and manage it ourselves. These air a little bit you they're very dynamic environments, and they're also a bit punishing if you don't stay current with them, both of them update on a very regular basis. And we found a lot of firms once they applied tenor well, folks to it, they just could not keep up with the right pace of change. So when the technologies we invented was a notion called relay on, this allowed us to actually to use the public cloud is our master copy and then we could provide updates to get down to the dedicated environment and down to the local. This takes the headache completely away from the firm's on trying to keep that local version current. It's not manage service, but it's kind of a new way that we can provide manage patches down to that environment. >> So one of the problems we hear in our community is and presume IBM has some visibility on this. I'm thinking about last year, John, we're at the IBM Z announcement in January, rose 1,000,000 company talked a lot about bringing transaction analytic capabilities together. But one of the problems that our community has practitioners in our community course the data for analytics. A lot of it's in the cloud and a lot of transaction data sitting, you know, on the mainframe, something. How do they bring those two together? Do I remove the data into the data center? Do I do I move pieces in how you see >> we're seeing a lot of that. A lot of it was. Bring the technology down to where the data is, and and now you know the three amount of integration you can do with public data sources, private data sources, et cetera. We're seeing a lot more of the compute want to go out to the cloud as well. You know, we've done some things like around the dash, CB Service's et cetera, where I can start to extract some of that transactional data, but maybe only need a few pieces to really make the data set. That is important to me as I move it out, so I can actually, you know, extract that record. I can actually mask it into being something brand new, and then I could minute we mix it with public data tohave. It do brand new things as well, so I think you're gonna see a lot of dynamic capability across that with or cloud computing technologies coming back behind the firewall and then more ability to release that data be intermixed with public data as well. >> What's the number one thing that you're seeing from customers that you guys were executing on? There's always the low hanging fruit for the easy winds from bringing a team of street team, if you will out. Technical service is out to clients where they really putting that gather, not their five year plans, but their one year. Of course, there's a lot of that agile going on right now. New technologies. You can't isolate one thing and break everything. Za new model. What a customer is caring about, right? What's that? What's the common thing? I think >> over there in 2015 I think the discussion changed and went from Are we going to go to the cloud or we're going to the cloud now? How are we going to do it? And the nice thing about I think a lot of enterprise architecture groups kind of took a step back to say, What do we truly have to do? What is a common platform? What is an integration layer? How do we take some of our old applications and decomposed those into a set of AP eyes? How can we then mix that with public AP eyes? So probably taking one or two projects to be proof points so they could say, this thing really has the magic associated with it. We can really build stuff fast. If we do it the right way, it's gonna be in a catalyst to have the I t. Organization now take the tough steps in what's gonna be the commonality? What common service is are we going to use and how do we start breaking up >> around things you know, we have our own data science and our backcourt operation and one of the things that we always looked at with bloom. It's way start our Amazon. But now, with blue mix, you have a couple things kind of coming together in real time. You said it's getting hard, but those hardened areas are important identity. For instance, where's the data is an instruction and structure. I want a little mongo year or something over there, but with blue mix and compose, I oh, really has a nice fit. I want to explain to the folks we talked before he came on about this new dynamic of composed Io and some of the things that are gluing around blue mix. Could you share this >> William Davis King right? And I think people look to the Cloud Data Service is air. Probably it's the most critical, the most visible, and the one we have to harden up the most is well, even though IBM has been well known for D. B two and we've been a >> wire composed right >> that we did Cognos first, and then we followed up with composed by you because recent waded about, we did compose. I know about eight months ago what we liked about it was all of your favorite flavors, you know? So your your progress, your mongo, you're you're ready. But really having it behave like Like what you would want an enterprise database to do. You can back it up. You can have multiple versions of it. We can replicate itself >> is a perfect cloud need of civic >> class. It has all the cloud properties to it and all the enterprise. Great capabilities with it. Yeah, we've got that now in public, and then you're gonna start seeing dedicated, and you want >> to go bare metal, Just go to soft layer. It's not required right on these things where this will work in the cloud, and then you get the bare metal object you want pushed up the bare metal. No problem. Well, I think >> you know it. Almost hybrid is not gonna get a new definition around it. So it's all gonna be around control and automation, more automation. You need to go all the way up to a cloud foundry where it's managing all the health, checking and keeping your apple. I've etcetera. If you want to go all the way down to bare metal so you can tune it audited et cetera. You can do that as well. I think I've got one of the broader spectrum, is there? >> I'm impressed with the composer. I got to say, Go ahead, get hotel Excited by what? I get excited by just about every way. Just love the whole Dev Ops has been just a game changer in extras. Code has been around for a while, but it's actually going totally mainstream. That's right. The benefits are just off the charts. With Mobile, we have the mobile first guys on. Earlier in the Swift, we had 10 made 12 year old kid. I mean, it's just really amazing. Now that the APS themselves aren't the discussion, it's the under the hood. That's right, so you can have an app look and feel like it's targeted for a vertical, say, retail or whatever. But the actions under the hood yeah, yeah, more than ever. Now >> it's, you know it's funny this year, you know, Dick Tino to the Devil Obsession yesterday and you're the amount of proof points we had around it last year. We were scrambling a little bit and this year it's just we always had to thin out. That's how many guys were having great success with this stuff is coming into its own. >> It totally is. And you guys are give you guys Props were running as fast as you can and you're working hard. And it's not just talk. Yeah, it's It's it's legit. I'm gonna ask you a question. What's the big learnings from last year? This year? What's happened? What do you look back and say? Wow, we really learned a lot or something that might have been Magda ified for you in this journey this past year. >> A lot of it goes back to, you know, this changing culture at IBM, you know, the amount of code we put out in two years was just just unbelievable. But I think also the IBM becoming a true cloud company. Some of that we did with our own shop some, but we did through injecting it with acquisitions. You know, like to compose Io the cloud and team, the blue box guys, et cetera. I think we got the chops now to play it play pro ball way worked very hard, Teoh. How many folks, Can we attract the blue mix? We're getting up to 20,000 week. Right now. We're starting. Get some great recognition and the successes are rolling in as well. So a lot of hard work and a lot of busted knuckles. A lot of guys are tired. Definitely, definitely straight in the game now. >> Ready for the crow bait? Taking the pro GameCube madness starts on cute madness. There were, you know, keep matched all the brackets of the Cube alumni and vote on it turns into a hack a phone because everyone stuffed the ballots. Let's talk about pro ball for next year, a CZ. You guys continue? Sure. The theme here obviously is developer. I mean, the show could be dedicated 100%. The blooming LeBlanc up there kind of going fast at the end of this booth on the clock anymore. Time >> right. Like the Star Wars trailer we had >> going up, he needed more time. So it's good props you got for this year. What's going on the road map this year? What if some of the critical goals that you guys see on your group and then just in general for the thing a >> lot of the activities were gonna be doing again is hardening the stack. I've got a brand new team now called a Solution Architecture, where we're looking at it from top to bottom, taking customer scenarios and really testing it out. How do you do? Back up. How do you do? Disaster recovery? How do you do? Multi geography, You know, things like PC I compliance. The rial enterprise problems are now coming to the class global and their global. And with security and compliance, they're changing in a very dynamic fashion. We have to show how you can do those in the cloud. You'd be amazed on how many conversations we have with Si SOS every single week. Is the cloud secure? How do we do enterprise? Great workloads. IBM is bringing that story to the cloud as well. That's the story of >> a potato that content >> Curation is unbelievable, right? That's the hardest part. And it's not that we have it fixed either. But you were doing more of aggregating it together so that we can really pull it all together. I call it the diamond Mine versus the jewelry store. You know, we always have really did you got yet? The great answers out there somewhere. But if you don't start to pull it together into a single place So one of things we did this year was launched the blue mixed garage methodology where we took all of our best practices. We took text test cases, even sample code, and brought it into a single methodology site where people start to go out, pull it down, use it, etcetera. Previously, we had it scattered all over the place, and we're gonna be doing more things like that. Bring in the assets to the programmers, things that we've tried, things we've tested being more open about it, putting in a single location. >> Well, we certainly would like to help promote that. Any kind of those kind of customer reference architectures. Happy to pump on silicon angle with the bond outlook for the vibe. I'm sorry. Five for the show things year. What's the vibe this year? You know, I think I've >> been very impressed with it, and I think, you know, I've been stepping up its game If you go down to the blue. Mixed garages are motives. A motorcycle on stage, you know, kind of getting a little more hip and happening as well. But I think the clients here and this is always about the customer stories and some of the things that we're hearing from the three guys start ups that are doing GPS logistical management 22 to the big accounts, and the big banks that you really see have embraced the cloud and doing great stories on it as well. I think people come to this show so they see what their peers were doing. And they definitely walk away with a sense that the cloud Israel it's happening and 2016. It is really going to driving it home. That has to be part of everybody. Strategy motorcycles I had put on the Harley Man. We'll take it for a spin guarantee. Come on down >> and give my wife. When I got married, it was terms of conditions. That's right. That's right. Last, Watson that Yeah, Thanks, Steve. Thanks. Taking the time and great to see you again. Congratulations. What? They get technical engagement team that you have all the work that you did that blue mix noted certainly by the cube. Congratulations and continued success with Loomis congratulating >> you guys. Well, always a pleasure. >> Okay. Cube Madness, March 15th Cube Gems go to Twitter. And speaking of jewelry, we have Cube gems hashtag Cube gems. That's the highlights of the videos up there. Real time. And, of course, we're gonna get that TV for all. All the action videos are up there right now. I'll be right back with more coverage after this short break here in Las Vegas.