>> live from Las Vegas. It's the queue covering del Technologies. World twenty nineteen, brought to you by Del Technologies and its ecosystem partners. >> Okay, welcome back. Everyone's cubes. Live coverage. Day three wrap up of Del Technologies World twenty nineteen Java is Dave a lot. There's too many men on set one. We get set to over there blue set, White said. We got a lot of content. It's been a cube can, in guise of a canon of content firing into the digital sphere. Great gas. We had all the senior executive players Tech athletes. Adele Technology World. Michael Dell, Tom Sweet, Marius Haas, Howard Ally As we've had Pat Kelsey, rco v M were on the key partner in the family. They're of del technology world and we had the clients guys on who do alien where, as well as the laptops and the power machines. Um, we've had the power edge guys on. We talked about Hollywood. It's been a great run, but Dave, it's been ten years Stew. Remember, the first cube event we ever went to was DMC World in Boston. The chowder there he had and that was it wasn't slogan of of the show turning to the private cloud. Yeah, I think that was this Logan cheering to the private cloud that was twenty ten. >> Well, in twenty ten, it was Cloud Cloud Cloud Cloud Cloud twenty nineteen. It's all cloud now. That difference is back then it was like fake cloud and made up cloud and really was no substance to it. We really started to see stew, especially something that we've been talking about for years, which is substantially mimicking the public cloud on Prem. Now I know there are those who would say No, no, no, no, no. And Jessie. Probably in one of those that's not cloud. So there's still that dichotomy is a cloud. >> Well, Dave, if I could jump in on that one of the things that's really interesting is when Veum, where made that partnership with a ws It was the ripple through this ecosystem. Oh, what's that mean for Del you know Veum, wherein Del not working together Well, they set the model and they started rolling out bm where, and they took the learnings that they had. And they're bringing that data center as a service down to the Dell environment. So it's funny I always we always here, you know, eight of us, They're learning from their partners in there listening and everything like that. Well, you know, Dylan Veum where they've been listening, they've been learning to in this, and it brings into a little bit of equilibrium for me, that partnership and right, David, you said, you know that you could be that cloud washing discussion. And today it's, you know, we're talking about stacks that live in eight of us and Google and Microsoft. And now, in, you know, my hosted or service lighter or, you know, my own data center. If that makes sense, >> I mean, if you want to just simplify the high order bit, Dave Cloud. It's simply this Amazon's trying to be enterprised everyone, the enterprise, trying to claw Amazon, right? And so what? The what that basically means is it's all cloud. It's all a distributed computer system. OK, Scott McNealy had it right. The network is the computer. If you look at what's going on here, the traditional enterprise of vendors over decades of business model and technology, you know, had full stack solutions from mainframe many computers to PC the local area networking all cobble together wires it up creates applications, services. All that is completely being decimated by a new way to roll out storage, computing and networking is the same stuff. It's just being configured differently. Throw on massive computer power with Cloud and Moore's Law and Data and A. I U have a changing of the the architecture. But the end of the day the cloud is operating model of distributed computing. If you look at all the theories and pieces of computer science do and networking, all those paradigms are actually playing out in in the clouds. Everything from a IIE. In the eighties and nineties you got distributed networking and computing, but it's all one big computer. And Michael Dell, who was the master of the computer industry building PCs, looks at this. Probably leg. It's one big computer. You got a processor and subsystems. So you know this is what's interesting. Amazon has done that, and if they try to be like the enterprise, like the old way, they could fall into that trap. So if the enterprise stays in the enterprise, they know they're not going out. So I think it's interesting that I see the enterprise trying to like Amazon Amazon trying to get a price. So at the end of the day, whoever could build that system that's scalable the way I think Dell's doing, it's great. I was only scaleable using data for special. So it's a distributed computer. That's all that's going on in the world right now, and it's changing everything. Open source software is there. All that makes it completely different, and it's a huge opportunity. Whoever can crack the code on this, it's in the trillions and trillions of dollars. Total adjustable market >> well, in twenty ten we said that way, noted the gap. There's still a gap between what Amazon could do and what the on Prem guys Khun Dio, we'd argue, is a five years is seven years, maybe ten years, whatever it is. But at the time we said, if you recall, lookit, they got to close the gap. It's got to be good enough for I t to buy into it like we're starting to see that. But my view, it's still not cloud. It doesn't have to scale a cloud, doesn't have the economics cloud. When you peel the onion, it doesn't certainly doesn't have the SAS model and the consumption model of cloud nowhere close yet. Well, and you know, >> here's the drumbeat of innovation that we see from the public cloud. You know where we hit the shot to show this week, the public have allowed providers how many announcements that they probably had. Sure, there was a mega launch of announcements here, but the public lives just that regular cadence of their, you know, Public Cloud. See a CD. We're not quite there yet in this kind of environment, it's still what Amazon would say is. You put this in an environment and it's kind of frozen. Well, it's thought some, and it's now we can get data set. A service consumption model is something we can go. We're shifting in that model. It's easier to update things, but you know, how do I get access to the new features? But we're seeing that blurring of the line. I could start moving services that hybrid nature of the environment. We've talked a few times. We've been digging into that hybrid cloud taxonomy and some of the services to span because it's not public or private. It's now truly that hybrid and multi environment and customers are going to live in. And all of >> the questions Jonah's is good enough to hold serve >> well. I think the reality is is that you go back to twenty ten, the jury in the private cloud and it's enterprises almost ten years to figure out that it's real. And I think in that time frame Amazon is absolutely leveled. Everybody, we call that the tsunami. Microsoft quickly figures out that they got to get Cloud. They come in there, got a fast followers. Second, Google's trying to retool Oracle. I think Mr Bo completely get Ali Baba and IBM in there, so you got the whole cloud game happening. The problem of the enterprises is that there's no growth in terms of old school enterprise other than re consolidate in position for Cloud. My question to you guys is, Is there going to be true? True growth in the classic enterprise business or, well, all this SAS run on clouds. So, yes, if it's multi cloud or even hybrid for the reasons they talk about, that's not a lot of growth compared to what the cloud can offer. So again, I still haven't seen Dave the visibility in my mind that on premises growth is going to be massive compared to cloud. I mean, I think cloud is where Sassen lives. I think that's where the scale lives we have. How much scale can you do with consolidation? We >> are in a prolonged bull market that that started in twenty ten, and it's kind of hunger. In the tenth year of a of a decade of bull market, the enterprise market is cyclical, and it's, you know, at some point you're going to start to see a slowdown cloud. I mean, it's just a tiny little portion of the market is going to continue to gain share cloud can grow in a downturn. The no >> tell Motel pointed out on this, Michael Dell pointed out on the Cubans, as as those lieutenants, the is the consolidation of it is just that is a retooling to be cloud ready operationally. That's where hybrid comes in. So I think that realization has kicked in. But as enterprises aren't like, they're not like Google and Facebook. They're not really that fast, so So they've got to kind of get their act together on premises. That's why I think In the short term, this consolidation and new revitalisation is happening because they're retooling to be cloud ready. That is absolutely happen. But to say that's the massive growth studio >> now looked. It is. Dave pointed out that the way that there is more than the market growth is by gaining market share Share share are areas where Dell and Emcee didn't have large environment. You know, I spent ten years of DMC. I was a networking. I was mostly storage networking, some land connectivity for replication like srd Evan, like today at this show, I talked a lot of the telco people talk to the service of idle talk where the sd whan deny sirrah some of these pieces, they're really starting to do networking. That's the area where that software defined not s the end, but the only in partnership with cos like Big Switch. They're getting into that market, and they have such small market share their that there's huge up uplift to be able to dig into the giant. >> Okay, couple questions. What percent of Dell's ninety one billion today is multi cloud revenue. Great question. Okay, one percent. I mean, very small. Okay. Very small hero. Okay? And is that multi cloud revenue all incremental growth isat going to cannibalize the existing base? These? Well, these are the fundamentals weighs six local market that I'm talking to >> get into this. You led the defense of conversations. We had Tom Speed on the CFO and he nailed us. He said There's multiple levers to shareholder growth. Pay down the debt check. He's got to do that. You love that conversation. Margin expansion. Get the margins up. Use the client business to cover costs. As you said, increased go to market efficiency and leverage. The supply chain that's like their core >> fetrow of cash. And that all >> these. The one thing he said that was mind blowing to me is that no one gets the valuation of how valuable Del Technologies is. They're throwing off close to seven billion dollars in free cash flow free cash flow. Okay, so you can talk margin expansion all you want. That's great, but there got this huge cash flow coming in. You can't go out of business worth winning if you don't run out of cash >> in the market. When the market is good, these guys are it is good a position is anybody, and I would argue better position than anybody. The question on the table that I'm asking is, how long can it last? And if and when the market turns down and markets always cyclical we like again. We're in the tenth year of a bull market. I mean, it's someone >> unprecedented gel can use the war chest of the free cash flow check on these levers that they're talking about here, they're gonna have the leverage to go in during the downturn and then be the cost optimizer for great for customers. So right now, they're gonna be taking their medicine, creating this one common operating environment, which they have an advantage because they have all the puzzle pieces. You A Packer Enterprises doesn't have the gaping holes in the end to end. They can't address us, >> So that is a really good point that you're making now. So then the next question is okay. If and when the downturn turn comes, who's going to take advantage of it, who's going to come out stronger? >> I think Amazon is going to be continued to dominate, and as long as they don't fall into the enterprise trap of trying to be too enterprising, continue to operate their way for enterprises. I think jazz. He's got that covered. I think DEL Technologies is perfectly positioned toe leverage, the cash flow and the thing to do that. I think Cisco's got a great opportunity, and I think that's something that you know. You don't hear a lot of talk about the M where Cisco war happening. But Cisco has a network. They have a developer ecosystem just starting to get revitalized. That's an opportunity. So >> I got thoughts on Cisco, too. But one of things I want to say about Del being able to come out of that stronger. I keep saying I've said this a number of times and asked a lot of questions this week is the PC business is vital for Del. It's almost half the company's revenue. Maybe not quite, but it it's where the company started it. It sucks up a lot of corporate overhead. >> If Hewlett Packard did not spin out HP HP, they would be in the game. I think spinning that out was a huge mistake. I wrote about a publicly took a lot of heat for it, but you know I try to go along with the HPD focus. Del has proven bigger is better. HP has proven that smaller is not as leverage. And if it had the PC that bee have the mojo in gaming had the mojo in the edge, and Dale's got all the leverage to cross pollinate the front end and edge into the back and common cloud operate environment that is going to be an advantage. And that's going to something that will see Well, let me let me >> let me counter what you just said. I agree. You know this this minute. But the autonomy was the big mistake. Once hp autonomy, you know what Meg did was almost a fatal complete. They never should've bought autonomy >> makers. Levi Protector he was. So he was there. >> But she inherited that bag of rocks. And then what you gonna do with it? Okay, so that's why they had to spend out and did create shareholder value. If they had not purchased autonomy, then he would return much better shape, not to split it up. And they would be a much stronger competitor. >> And I share holder Pop. They had a pop on value. People made some cash with long game. I think that >> going toe peon base actually done pretty well for a first year holding a standalone PC company. So, but again, I think Del. With that leverage, assuming pieces, it's going to be really interesting. I don't know much about that market. You were loving that PC conversation, but the whole, you know, the new game or markets and and the new wayto work throwing an edge in there, I don't know is ej PC and edges that >> so the peanut butter. And so the big thing that Michael get the big thing, Michael Dell said on the Cube was We're not a conglomerate were an integrated company. And when you have an integrated company like this, with the tech the tech landscape shifting to their advantage, you have the ability to cross subsidize. So strategy game. Matt Baker was here we'd be talking about OK, I can cross subsidize margin. You've brought it up on the client side. Smaller margins, but it pays a lot of the corporate overhead. Absolutely. Then you got higher margin GMC business was, you know, those margins that's contributing. And so when you have this new configuration. You can cross, subsidize and move and shift, so I think that's a great advantage. I think that's undervalued in the market place. And I think, you know, I think Del stock price is, well, undervalue. Point out the numbers they got VM wear and their question is, What what point is? VM where blink and go All in on del technology stew. Orcas Remember that Gus was gonna partner. You don't think the phone was ringing off the hook in Palo Alto from their parties? What? What's this as your deal? So Vienna. There's gotta be the neutral party. Big problem. The opportunity. >> Well, look, if I'm a traditional historical partner of'Em are, it's not the Azure announcement that has me a little bit concerned because all of them partner with Microsoft to it is how tightly combined. Del and Veum, where are the emcee, always kept them in arms like now they're in the same. It's like Dave. They're blending it. It's like, you know Del, from a market cap standpoint, gets fifty cents on the dollar. VM wears a software company, and they get their multiples. Del is not a software company, but VM where well, people are. Well, if we can win that a little bit, maybe we could get that. >> Marty still Isn't it splendid? No, no, I think the strategy is absolutely right on. You have to go hard with VM wear and use it as a competitive weapon. But, Stuart, your point fifty cents and all, it's actually much worse than that. I mean the numbers. If you take out of'Em, wears the VM wear ownership, you take out the core debt and you look at the market value you're left with, like a billion dollars. Cordell is undervalued. Cordell is worth more than a billion or two billion dollars. Okay, so it's a really cheap way to buy Veum. Where Right that the Tom Sweet nailed this, he said. You know, basically, these company those the streets not used to tech companies having such big debt. But to your point, John, they're throwing off cash. So this company is undervalued, in my view. Now there's some risks associated with that, and that's why the investors of penalizing them for that debt there, penalizing him from Michael's ownership structure. You know, that's what this is, but >> a lack of understanding in my opinion. I think I think you're right. I just think they don't understand. Look at Dale and they think G You don't look a day Ellen Think distributed computing system with software, fill in those gaps and all that extra ten expansion. It's legit. I think they could go after new market opportunities as as a twos to us as the client business. I mean mere trade ins and just that's massive trillions of dollars. It's, I think I think that is huge. But I'm >> a bull. I'm a bull on the value of the company. I know >> guys most important developments. Del technology world. What's the big story that you think is coming out of the show here? >> Well, it's definitely, you know, the VM wear on del I mean, that is the big story, and it's to your point. It's Del basically saying we're going to integrate this. We're going to hard, we're going to go hard and you know Veum wear on Dell is a preferred solution. No doubt that is top for Dell and PacBell Singer said it. Veum wearing eight of us is the first and preferred solution. Those are the two primary vectors. They're going to drive hard and then Oh, yeah, we'Ll listen to customers Whatever else you want Google as you're fine, we're there. But those two vectors, they're going to Dr David >> build on that because we saw the, um we're building out of multi cloud strategy and what we have today is Del is now putting themselves in there as a first class citizen. Before it was like, Oh, we're doing VX rail and Anna sex and, you know, we'LL integrate all these pieces there, but infrastructure, infrastructure, infrastructure now it is. It is multi cloud. We want to see that the big table, >> right, Jeff, Jeff Clarke said, Why are you doing both? Let's just one strategy, one company. It's all one Cash registers that >> saying those heard that before. I think the biggest story to me is something that we've been seeing in the Cuban laud, you know, been Mom. This rant horizontally scaleable operating environment is the land grab and then vertically integrate with data into applications that allow each vertical industry leverage data for the kind of intimate, personalized experiences for user experiences in each industry. With oil and gas public sector, each one has got their own experiences that are unique. Data drives that, but the horizontal and tow an operating model when it's on premises hybrid or multi cloud is a huge land grab. And I think that is a major strategic win for Dell, and I think, as if no one challenges them on this. Dave, if HP doesn't go on, emanate change. If H h p e does not do it em in a complete changeover from strategy and pulling, filling their end to end, I think that going to be really hurting I think there's gonna be a tell sign and we'LL see, See who reacts and challenges Del on this in ten. And I think if they can pull it off without being contested, >> the only thing I would say that the only thing I would say that Jonah's you know, HP, you know very well I mean, they got a lot of loyal customers and is a huge market out there. So it's >> Steve. Look at economic. The economics are shifting in the new world. New use cases, new step function of user experiences. This is this is going to be new user experiences at new economic price points that's a business model. Innovation, loyal customers that's hard to sustain. They'Ll keep some clutching and grabbing, but everyone will move to the better mousetrap in the scenario. So the combination of that stability with software it's just this as a big market. >> So John twenty ten Little Table Back Corner, you know of'em See Dylan Blogger World double set. Beautiful says theatre of present lot of exchange and industry. But the partnership in support of this ecosystem. It's something that helped us along the way. >> You know, when we started doing this, Jeff came on board. The team has been amazing. We have been growing up and getting better every show. Small, incremental improvements here and there has been an amazing production, Amazing team all around us. But the support of the communities do this is has been a co creation project from day one. We love having this conversation's with smart people. Tech athletes make it unique. Make it organic, let the page stuff on on the other literature pieces go well. But here it's about conversations for four and with the community, and I think the community sponsorship has been part of funding mohr of it. You're seeing more cubes soon will be four sets of eight of US four sets of V M World four sets here. Global Partners sets I'm used to What have we missed? >> Yeah, it's phenomenal. You know, we're at a unique time in the industry and honored to be able to help documented with the two of you in the whole team. >> Dave, How it Elias sitting there giving him some kind of a victory lap because we've been doing this for ten years. He's been the one of the co captains of the integration. He says. There's a lot of credit. >> Yeah, Howard has had an amazing career. I I met him like literally decades ago, and he has always taken on the really hard jobs. I mean, that's I think, part of his secret success, because it's like he took on the integration he took on the services business at at AMC U members to when Joe did you say we're a product company? No services company. I was like, Give me services. Take it. >> It's been on the Cube ten years. Dave. He was. He was John away. He was on fire this week. I thought bad. Kelsey was phenomenal. >> Yeah, he's an amazing guest. Tom Tom Suite, You know, very strong moments. >> What's your favorite Cuban? I'LL never forget. Joe Tucci had my little camera out film and Joe Tucci, Anna. One of the sessions is some commentary in the hallway. >> Well, that was twenty ten, one of twenty eleven, I think one of my favorite twenty ten moments I go back to the first time we did. The cue was when you asked Joe Tucci, you know why a storage sexy. Remember that? >> A He never came on >> again. Ah, but that was a mean. If you're right, that was a cube mean all for the next couple of years. Remember, Tom Georges, we have because I'm not touching. That was >> so remember when we were critical of hybrid clouds like twenty, twelve, twenty, thirteen I go, Pat is a hybrid cloud, a halfway house to the final destination of public loud. He goes to a halfway house, three interviews. This was like the whole crowd was like, what just happened? Still favorite moment. >> Oh, gosh is a mean so money here, John. As you said, just such a community, love. You know, the people that we've had on for ten years and then, you know, took us, you know, three or four years to before we had Michael Dell on. Now he's a regular on our program with luminaries we've had on, you know, but yeah, I mean, twenty ten, you know, it's actually my last week working for him. See? So, Dave, thanks for popping me out. It's been a fun ride, and yeah, I mean, it's amazing to be able to talk to this whole community. >> Favorite moment was when we were at eighty bucks our first show. We're like, We still like hell on this. James Hamilton, Andy Jazzy Come on up, Very small show. Now it's a monster, David The Cube has had some good luck. Well, we've been on the right waves, and a lot of a lot of companies have sold their companies. Been part of Q comes when public Unicorns New Channel came on early on. No one understood that company. >> What I'm thrilled about to Jonah's were now a decade, and we're documenting a lot of the big waves. One of one of the most memorable moments for me was when you called me up. That said, Hey, we're doing a dupe world in New York. I got on a plane and went out. I landed in, like, two. Thirty in the morning. You met me. We did to dupe World. Nobody knew what to do was back then it became, like, the hottest thing going. Now nobody talks about her dupe. So we're seeing these waves and the Cube was able to document them. It's really >> a pleasure. The Cube can and we got the Cube studios sooner with cubes Stories with Cube Network too. Cue all the time, guys. Thanks. It's been a pleasure doing business with you here. Del Technologies shot out the letter. Chuck on the team. Sonia. Gabe. Everyone else, Guys. Great job. Excellent set. Good show. Closing down. Del Technologies rose two cubes coverage. Thanks for watching

>> Live from Orlando, Florida it's theCUBE covering Cisco Live 2018. Brought to you by Cisco, NetApp and theCUBE's ecosystem partners. >> Hey, welcome back everyone. This is theCUBE's coverage here in Orlando, Florida at Cisco Live 2018. Our first year here at Cisco Live. We were in Barcelona this past year. Again, Cisco transforming to a next generation set of networking capabilities while maintaining all the existing networks and all the security. I'm John Furrier your host with Stu Miniman my co-host for the next three days. Our next guest is Arun Garg. Welcome to theCUBE. You are the Director of Product Management Converged Infrastructure Group at NetApp. >> Correct, thank you very much for having me on your show and it's a pleasure to meet with you. >> One of the things that we've been covering a lot lately is the NetApp's really rise in the cloud. I mean NetApp's been doing a lot of work on the cloud. I mean I've wrote stories back when Tom Georges was the CEO when Amazon just came on the scene. NetApp has been really into the cloud and from the customer's standpoint but now with storage and elastic resources and server lists, the customers are now startin' to be mindful. >> Absolutely. >> Of how to maximize the scale and with All Flash kind of a perfect storm. What are you guys up to? What's your core thing that you guys are talking about here at Cisco Live? >> So absolutely, thank you. So George Kurian, our CEO at NetApp, is very much in taking us to the next generation and the cloud. Within that I take care of some of the expansion plans we have on FlexPod with Cisco and in that we have got two new things that we are announcing right now. One is the FlexPod for Healthcare which is in FlexPod we've been doing horizontal application so far which are like the data bases, tier one database, as well as applications from Microsoft and virtual desktops. Now we are going vertical. Within the vertical our application, the first one we're looking in the vertical is healthcare. And so it's FlexPod for Healthcare. That's the first piece that we are addressing. >> What's the big thing with update on FlexPod? Obviously FlexPod's been very successful. What's the modernization aspect of it because Cisco's CEO was onstage today talking about Cisco's value proposition, about the old ways now transitioning to a new network architecture in the modern era. What's the update on FlexPod? Take a minute to explain what are the cool, new things going on with FlexPod. >> Correct, so the All Flash FAS, which is the underlying technology, which is driving the FlexPod, has really picked up over the last year as customers keep wanting to improve their infrastructure with better latencies and better performance the All Flash FAS has driven even the FlexPod into the next generation. So that's the place where we are seeing double-digit growth over the last five quarters consistently in FlexPod. So that's a very important development for us. We've also done more of the standard CVDs that we do on SAP and a few other are coming out. So those are all out there. Now we are going to make sure that all these assets can be consumed by the vertical industry in healthcare. And there's another solution we'll talk about, the managed private cloud on FlexPod. >> Yeah, Arun, I'd love to talk about the private cloud. So I think back to when Cisco launched UCS it was the storage partners that really helped drive that modernization for virtualization. NetApp with FlexPod, very successful over the years doing that. As we know, virtualization isn't enough to really be a private cloud. All the things that Chuck Robbins is talking about onstage, how do I modernize, how do I get you know, automation in there? So help us connect the dots as to how we got from you know, a good virtualized platform to this is, I think you said managed private cloud, FlexPod in Cisco. >> Absolutely. So everybody likes to consume a cloud. It's easy to consume a cloud. You go and you click on I need a VM, small, medium, large, and I just want to see a dashboard with how my VMs are doing. But in reality it's more difficult to just build your own cloud. There's complexity associated with it. You need a service platform where you can give a ticket, then you need an orchestration platform where you can set up the infrastructure, then you need a monitoring platform which will show you all of the ways your infrastructure's working. You need a capacity planning tool. There's tens of tools that need to be integrated. So what we have done is we have partnered with some of the premium partners and some DSIs who have already built this. So the risk of a customer using their private cloud infrastructure is minimized and therefore these partners also have a managed service. So when you combine the fact that you have a private cloud infrastructure in the software domain as well as a managed service and you put it on the on-prem FlexPod that are already sold then the customer benefits from having the best of both worlds, a cloud-like experience on their own premise. And that is what we are delivering with this FlexPod managed private cloud solution. >> Talk about the relationship with Cisco. So we're here at Cisco Live you guys have a good relationship with Cisco. What should customers understand about the relationship? What are the top bullet points and value opportunities and what does it mean to the impact for the customer? >> So we, all these solutions we work very closely with the Cisco business unit and we jointly develop these solutions. So within that what we do is there's the BU to BU interaction where the solution is developed and defined. There is a marketing to marketing interaction where the collateral gets created and reviewed by both parties. So you will not put a FlexPod brand unless the two companies agree. >> So it's tightly integrated. >> It's tightly integrated. The sales teams are aligned, the marketing, the communications team, the channel partner team. That's the whole value that the end customer gets because when a partner goes to a high-end enterprise customer he knows that both Cisco and NetApp teams can be brought to the table for the customer to showcase the value as well as help them through it all. >> Yeah, over in one of the other areas that's been talked about this show we talk about modernization. You talk about things like microservices. >> Yes. >> Containers are pretty important. How does that story of containerization fit into FlexPod? >> Absolutely. So containerization helps you get workloads, the cloud-native workloads or the type two native. Type two workloads as Gartner calls them. So our mode two. What we do is we work with the Cisco teams and we already had a CVD design with a hybrid cloud with a Cisco cloud center platform, which is the quicker acquisition. And we showed a design with that. What we are now bringing to the table is the ability for our customers to benefit with a managed service on top of it. So that's the piece we are dealing with the cloud teams. With the Cisco team the ACI fabric is very important to them. So that ACI fabric is visible and shown in our designs whether you do SAP, you do Oracle, you do VDI and you do basic infrastructure or you do the managed private cloud or FlexPod on Healthcare. All of these have the core networking technologies from Cisco, as well as the cloud technologies from Cisco in a form factor or in a manner that easily consumable by our customers. >> Arun, talk about the customer use cases. So say you've got a customer, obviously you guys have a lot of customers together with Cisco, they're doing some complex things with the technology, but for the customer out there that has not yet kinda went down the NetApp Cisco route, what do they do? 'Cause a lot of storage guys are lookin' at All Flash, so check, you guys have that. They want great performance, check. But then they gotta integrate. So what do you say to the folks watching that aren't yet customers about what they should look at and evaluate vis-a-vis your opportunity with them and say the competition? >> So yes, there are customers who are doing all this as separate silos, but the advantage of taking a converged infrastructure approach is that you benefit from the years of man experience or person experience that we have put behind in our labs to architect this, make sure that everything is working correctly and therefore is reduces their deployment time and reduces the risk. And if you want to be agile and faster even in the traditional infrastructure, while you're being asked to go to the cloud you can do it with our FlexPod design guides. If you want the cloud-like experience then you can do it with a managed private cloud solution on your premise. >> So they got options and they got flexibility on migrating to the cloud or architecting that. >> Yes. >> Okay, great, now I'm gonna ask you another question. This comes up a lot on theCUBE and certainly we see it in the industry. One of the trends is verticalization. >> Yes. >> So verticalization is not a new thing. Vertical industry, people go to market that way, they build products that are custom to verticals. But with cloud one of the benefits of cloud and kind of a cloud operations is you have a horizontally scalable capability. So how do you guys look at that, because these verticals, they gotta get closer to the front lines and have apps that are customized. I mean data that's fastly delivered to the app. How should verticals think about architecting storage to maintain the scale of horizontally scalable but yet provide customization into the applications that might be unique to the vertical? >> Okay, so let me give a trend first and then I'll get to the specific. So in the vertical industry, the next trend is industry clouds. For example, you have healthcare clouds and you'll have clouds to specific industries. And the reason is because these industries have to keep their data on-prem. So the data gravity plays a lot of impact in all of these decisions. And the security of their data. So that is getting into industry-specific clouds. The second pieces are analytics. So customers now are finding that data is valuable and the insight you can get from the data are actually more valuable. So what they want is the data on their premise, they want the ability all in their control so to say, they want the ability to not only run their production applications but also the ability to run analytics on top of that. In the specific example for health care what it does is when you have All Flash FAS it provides you a faster response for the patient because the physician is able to get the diagnostics done better if he has some kind of analytics helping him. [Interviewer] - Yeah. >> Plus the first piece I talked about, the rapid deployment is very important because you want to get your infrastructure set up so I can give an example on that too. >> Well before we get to the example, this is an important point because I think this is really the big megatrend. It's not really kinda talked much about but it's pretty happening is that what you just pointed out was it's not just about speeds and feeds and IOPs, the performance criteria to the industry cloud has other new things like data, the role of data, what they're using for the application. >> Correct. >> So it's just you've gotta have table stakes of great, fast storage. >> Yes. >> But it's gotta be integrated into what is becoming a use case for the verticals. Did I get that right? >> Yes, absolutely. So I'll give two examples. One I can name the customer. So they'll come at our booth tomorrow, in a minute here. So LCMC Health, part of UMC, and they have the UMC Medical Center. So when New Orleans had this Katrina disaster in Louisiana, so they came up with they need a hospital, fast. And they decided on FlexPod because within three months with the wire one's architecture and application they could scale their whole IT data center for health care. So that has helped them tremendously to get it up and running. Second is with the All Flash FAS they're able to provide faster response to their customer. So that's a typical example that we see in these kind of industries. >> Arun, thanks for coming on theCUBE. We really appreciate it. You guys are doing a great job. In following NetApps recent success lately, as always, NetApp's always goin' the next level. Quick question for you to end the segment. What's your take of Cisco Live this year? What's some of the vibe of the show? So I know it's day one, there's a lot more to come and you're just getting a sense of it. What's the vibe? What's coming out of the show this year? What's the big ah-ha? >> So I attended the keynote today and it was very interesting because Cisco has taken networking to the next level within 10 base networking, its data and analytics where you can put on a subscription mode on all the pieces of the infrastructure networking. And that's exactly the same thing which NetApp is doing, where we are going up in the cloud with this subscription base. And when you add the two subscription base then for us, at least in the managed private cloud solution we can provide the subscription base through the managed private cloud through our managed service provider. So knowing where the industry was going, knowing where Cisco was going and knowing where we want to go, we have come up with this solution which matches both these trends of Cisco as well as NetApp. >> And the number of connected devices going up every day. >> Yes. >> More network connections, more geo domains, it's complicated. >> It is complicated, but if you do it correctly we can help you find a way through it. >> Arun, thank you for coming on theCUBE. I'm John Furrier here on theCUBE with Stu Miniman here with NetApp at Cisco Live 2018. Back with more live coverage after this short break. (upbeat music)