(upbeat music) >> Announcer: From the keeps studios in Palo Alto in Boston, connecting with that leaders all around the world. This is theCube conversation. >> Welcome to theCube conversation here in Palo Alto, California. I'm John Furrier, host of theCube. With a special content series called, Leading with observability, and this topic is, Keeping watch over microservices and containers. With great guests, Patrick Lin, VP of Product Management for the observability product at Splunk. Patrick, great to see you. Thanks for coming on remotely. We're still in the pandemic, but thanks for coming on. >> Yeah, John, great to see you as well. Thanks for having me. >> So, leading with observability is a big theme of our content series. Managing end to end and user experience is a great topic around how data can be used for user experience. But now underneath that layer, you have this whole craziness of the rise of the container generation, where containers are actually going mainstream. And Gardner will forecast anywhere from 30 to 40 percent of enterprises still yet, haven't really adopted at full scale and you've got to keep watch over these. So, what is the topic about keeping watch over microservice and containers, because, yeah, we know they're being deployed. Is it just watching them for watching sake or is there a specific reason? What's the theme here? Why this topic? >> Yeah, well, I think containers are part of the entire kind of stack of technology that's being deployed in order to develop and ship software more quickly. And, the fundamental reasons for that haven't changed but they've been greatly accelerated by the impact of the pandemic. And so I think for the past few years we've been talking about how software's eating the world, how it's become more and more important that company go through the transformation to be more digital. And I think now that is so patently obvious to everybody. When your only way of accessing your customer and for the customer to access your services is through a digital media. The ability for your IT and DevOps teams to be able to deliver against those requirements, to deliver that flawless customer experience, to sort of keep pace with it the digital transformation and the cloud initiatives. All of that is kind of coming as one big wave. And so, we see a lot of organizations migrating workloads to the cloud, refactoring applications, building new applications natively. And so, when they do that oftentimes the infrastructure of choice is containers. Because it's the thing that keeps up with the pace of the development. It's a much more efficient use of underlying resources. So it's all kind of part of the overall movement that we see. >> What is the main driver for this use case microservices and where's the progress bar in your mind of the adoption and deployment of microservices, and what is the critical things that are there you guys are looking at that are important to monitor and observe and keep track of? Is it the status of the microservices? Is it the fact that they're being turned on and off, the state, non-state, I mean take us through some of the main drivers for why you guys are keeping an eye on the microservices component? >> Sure, well, I think that if we take a step back the reason that people have moved towards microservices and containers fundamentally has to do with the desire to be able to, number one, develop and ship more quickly. And so if you can parallelize the development have API is the interface between these services rather than having sort of one monolithic code base, you can evolve more quickly. And on top of that, the goal is to be able to deliver software that is able to scale as needed. And so, that is a part of the equation as well. So when you sort of look at at this the desire to be able to iterate on your software and services more quickly, to be able to scale infinitely, staying up and so on. That's all like a great reason to do it, but what happens along those lines, what comes with it is a few kind of additional layers of complexity because now rather than have, let's say an end to your app that you're watching over on some hosts that you could reboot when there's a problem. Now you have 10's, maybe 100's of services running on top of maybe 100,000's, maybe 10,000's of containers. And so the complexity of that environment has grown quite quickly. And the fact that those containers may go away as you are scale the service up and down to meet demand also adds to that complexity. And so from an observability perspective, what you need to be able to do is a few things. One is you need to actually be tracking this in enough detail and at a high enough resolution in realtime. So that you know when things are coming in and out. And that's been one of the more critical things that we've built towards a Splunk, is that ability to watch over it in realtime. But more important, or just as important in that is, understanding the dependencies and the relationships between these different services. And so, that's one of the main things that we worked on here is to make sure that you can understand the dependency so that when there's an issue you have a shot at actually figuring out where the problem is coming from. Because of the fact that there's so many different services and so many things that could be affecting the overall user experience when something goes wrong. >> I think that's one of the most exciting areas right now, on observability is this whole microservices container equation, because a lot of actions being done there, there's a lot of complexity but the upside, if you do it right, it's significant. I think people generally are bought into that concept, Patrick, but I want to get your thoughts. I get this question a lot from executives and leaders whether it's a cloud architect or a CXO. And the question is, what should I consider? What do I need to consider when deploying an observability solution? >> Yeah, that's a great question. Cause I think they're obviously a lot of considerations here. So, I think one of the main ones, and this is something that I think is a pattern that we are pretty familiar with in the this sort of monitoring and management tool world. Is that, over time most enterprises have gotten themselves a very large number of tools. One for each part of their infrastructure or their application stack and so on. And so, what you end up with is sprawl in the monitoring toolset that you have. Which creates not just sort of a certain amount of overhead in terms of the cost, but also complexity that gets in the way of actually figuring out where the problem is. I've been looking at some of the toolsets that some of our customers have pulled together and they have the ability to get information about everything but it's not kind of woven together in a useful way. And it sort of gets in the way actually, having so many tools when you are actually in the heat of the moment trying to figure something out. It sort of hearkens back to the time when you have an outage, you have a con call with like a cast of 1000's on it trying to figure out what's going on. And each person comes to that with their own tool, with their own view, without anything that ties that to what the others are seeing. And so, that need to be able to provide sort of an integrated toolset, with a consistent interface across infrastructure, across the application, across what the user experience is and across the different data types. The metrics, the traces, the logs. Fundamentally I think that ability to kind of easily correlate the data across it and get to the right insight. We think that's a super important thing. >> Yeah, and I think what that points out, I mean, I always say, don't be a fool with a tool. And if you have too many tools, you have a tool shed, and there are too many tools everywhere. And that's kind of a trend, and tools are great when you need tools. To do things. But when you have too many, when you have a data model where essentially what you're saying is, a platform is the trend, because weaving stuff together you need to have a data control plane, you need to have data visualization. You need to have these things for understanding the success there. So, really it's a platform, but platforms also have tools as well. So tools or features of a platform if I get what you're saying, right? Is that correct? Yeah, so I think that there's one part of this which is, you need to be able to, if I start from the user point of view, what you want is a consistent and coherent set of workflows for the people who are trying to actually do the work. You don't want them to have to deal with the impedance mismatches across different tools that exist based on, whatever, even the language that they use but how they bring the data in and how it's being processed. You go down one layer from that. You sort of want to make sure that what they're working with is actually consistent as well. And that's the sort of capabilities that you're looking at whether you're whatever, trying to chart something to be able to look at the details, or go from a view of logs to the related traces. You sort of want to make sure that the information that's being served up there is consistent. And that in turn relies on data coming in, in a way that is sort of processed to be correlated well. So that if you say, Hey, I'm I'm looking at a particular service. I want to understand what infrastructure is sitting on or I'm looking at a log and I see that it relates to a particular service. And I want to look at traces for that service. Those things need to be kind of related from the data on in and that needs to be exposed to the user so that they can navigate it properly and make use of it. Whether that's during kind of, or time during an incident or peace time. >> Yeah, I love that wartime conciliary versus peace time. I saw blog posts from a VC, I think said, don't be a Tom Hagen, which is the guy in The Godfather when the famous lines said, you're not a wartime conciliary. Which means things are uncertain in these times and you've got to get them to be certain. This is a mindset, this is part of the pandemic we're living in. Great point, I love that. Maybe we could follow up on that at the end, but I want to get some of these topics. I want to get your reactions to. So, I want you to react to the following, Patrick. it's an issue in a topic, and there it is, missing data results in limited analytics and misguided troubleshooting. What's your reaction to that? What's your take on that? What's the Splunk's take on that? >> Yeah, I mean, I think Splunk has sort of been a proponent of that view for a very long time. I think that whether that's from the log data or from, let's say, the metric data that we capture at high resolution or from tracing. The goal here is to have the data that you need in order to actually properly diagnose what's going on. And I think that older approaches, especially on the application side, tend to sample data right at the source and provide hopefully useful samples of it for when you have that problem. That doesn't work very well in the microservice world because you need to actually be able to see the entirety of a transaction, to a full trace across many services before you could possibly make a decision as to what's useful to keep. And so, the approach that I think we believe is the right one, is to be able to capture at full fidelity all of those bits of information, partly because of what I just said, you want to be able to find the right sample, but also because it's important to be able to tie it to something that may be being pulled in by different system. So, an example of that might be, in a case where you are trying to do real user monitoring alongside of APM, and you want to see the end to end trace from what the user sees all the way through to all the backend services. And so, what's typical in this world today is that, that information is being captured by two different systems independent sampling decisions. And therefore the ability to draw a straight line from what the end user sees all the way to what is effecting it on the backend is pretty hard. Where it gets really expensive. And I think the approach that we've taken is to make it so that that's easy and cost-effective. And it's tremendously helpful then to tie it back to kind of what we were talking about at the outset here where you were trying to provide services that make sense and are easy access and so on to your end user. to be able to have that end to end view because you're not missing data. It's tremendously valuable. >> You know what I love about Splunk is, cause I'm a data geek going back when it wasn't fashionable back in the 80's. And Splunk has always been about ingesting all the data. So they bring all the data, we'll take it all. Now from at the beginning it was pretty straightforward, complex but still it had a great utility. But even now, today, it's the same thing you just mentioned, ingest all the data because there's now benefits. And I want to just ask you a quick question on this, distributed computing trend, because I mean everyone's pretty much in agreement that's in computer science or in the industry and in technology says, okay, cloud is a distributed computing with the edge. It's essentially distributed computing in a new way, new architecture with new great benefits, new things, but science is still kicking apply some science there. You mentioned distributed tracing because at the end of the day that's also a new major thing that you guys are focused on and it's not so much about, it's also good get me all the data but distributed tracing is a lot harder than understanding that because of the environment and it's changing so fast. What's your take on it? >> Yeah, well fundamentally I think this goes back to, ironically one of the principles in observability. Which is that oftentimes you need participation from the developers in sort of making sure that you have the right visibility. And it has to do with the fact that there are many services that are being kind of strong together as it were to be able to deliver on some end user transaction or some experience. And so, the fact that you have many services that are part of this, means that you need to make sure that each of those components is actually kind of providing some view into what it's doing. And distribute tracing is about taking that and kind of weaving it together so that you get that coherent view of the business workflow within the overall kind of web of services that make up your application. >> So the next topic, I want to get into, we've got limited time, but I'm going to squeeze through, but I'm going to read it to you real quick. Slow alerts and insights are difficult to scale. If they're difficult to scale it holds back the meantime between resolving. And so, it's difficult to detect in cloud. It was easier maybe on premise, but with cloud this is another complexity thing. How are you seeing the inability to scale quickly across the environments for to manage the performance issues and delays that are coming out of not having that kind of in slow insights or managing that? What's your reaction to that? >> Yeah, well, I think there are a lot of tools out there that we'll take in events or where issues from cloud environments. But they're not designed from the very beginning to be able to handle the sort of scale of what you're looking at. So, I mentioned, it's not uncommon for a company to have 10's or maybe even 100's of services and 1000's of containers or hosts. And so, the sort of sheer amount of data you have to be looking at on an ongoing basis. And the fact that things can change very quickly. Containers can pop in and go away within seconds. And so, the ability to track that in realtime implies that you need to have an architectural approach that is built for that from the very beginning. It's hard to retrofit a system to be able to handle orders to magnitude more complexity and change in pace of change. You need to start from the very beginning. And the belief we have is that you need some form of a realtime streaming architecture. Something that's capable of providing that realtime detection and alerting across a very wide range of things in order to handle the scale and the ephemeral nature of cloud environments. >> Let me ask a question then, because I heard some people say, well, it doesn't matter. 10, 15 minutes to log in to an event is good enough. What would you react to that? (chuckles) What a great example of where it's not good enough? I mean, is it minutes is it's seconds, what are we talking about here? What's the good enough bar right now? >> Yeah, I mean, I think any anybody who has tried to deliver an experience digitally to an end user, if you think you can wait minutes to solve a problem you clearly haven't been paying enough attention. And I think that, I think it almost goes without saying, that the faster you know that you have a problem, the better off you are. And so, when you think about what are the objectives that you have for your service levels or your performance or availability. I think you run out of minutes pretty quickly, if you get to anything like say, three nines So, waiting 15 minutes, maybe would have been acceptable before people were really trying to use your service at scale. But definitely not any more. >> And the latest app requires it. It's super important. I brought that up and tongue in cheek kind of tee that up for you because these streaming analytics, streaming engines are super valuable, and knowing when to use realtime and not also matters. This is where the platforms come in. >> Yes, absolutely. The platform is the thing that enables that. And I think you have to sort of build it from the very beginning with that streaming approach with the ability to do analytics against the streams coming in, in order for you to deliver on this sort of promise of alerts and insights at scale and in realtime. >> All right, final point. I'll give you the last word here. Give a plug for the Splunk observability suite. What is it? Why is it important? Why should people buy it? Why should people adopt it? Why should they upgrade to it? Give the perspective, give the plug. >> Yeah, sure. I appreciate the opportunity. So, I think as we've been out there speaking to customers right over the last year as part of Splunk and before that, I think they've spoken to us a lot about the need for better visibility into their environments. Which are increasingly complex and where they're trying to deliver on the best possible user experience. And to sort of add to that, where they're trying to actually consolidate the tools. We spoke about the sprawl at the beginning. And so, with what we're putting together here with the Splunk observability suite. I'd say we have the industry's most comprehensive and powerful combination of solutions that will help both sort of IT and DevOps teams tackle these new challenges for monitoring and observability that other tools simply can't address. So you're able to eliminate the management complexity by having a single consistent user experience across the metrics and logs and traces, so that you can have seamless monitoring and troubleshooting and investigation. You can create a better user experiences by having that true end to end visibility, all the way from the front end to the backend services, so that you can actually see what kind of impact you're having on users and figure it out within seconds. I think we're also able to help increase developer productivity. As these high performance tools that help the DevOps teams get to a better quality code faster, because they can get immediate feedback on how their coachings are doing with each we would see each release and they're able to operate more efficiently. So, I think there's a very large number of benefits from this approach of providing a single unified toolset that relies on a source of data that's consistent across it but then has the sort of particular tools that different users need for what they care about. Whether you're the front end developer, needing to understand the user experience, whether you're backend service owner wanting to see how your service relates to others, whether you're owning the infrastructure, and needs to see, is it actually providing what the services are running on it need. >> Well, Patrick, great to see you. And I just want to say, congratulations has been following your work, going back in the industry specifically with SignalFx, you guys were really early and seeing the value of observability before it was a category. And so how has more often so relevant as you guys had saw it. So, congratulations and keep up the great work. We'll keep a competition's open. Thanks for coming on. >> Great, thanks so much, John. Great talking to you. >> All right, this is theCube, Leading with observability, it's a series, check it out. We have a multiple talk tracks. Check out the Splunk's a series, Leading with observability. I'm John Furrier with theCube. Thanks for watching. (upbeat music)

>>From around the globe. If the cube with digital coverage of AWS reinvent 20, 20 special coverage sponsored by AWS worldwide public sector. >>Okay. Welcome back everyone. To the cubes, virtual coverage of AWS reinvent 2020, this is the cube virtual. I'm your host John farrier with the cube. The cube normally is there in person this year. It's all virtual. This is the cube virtual. We're doing the remote interviews and we're bringing in commentary and discussion around the themes of re-invent. And this today is public sector, worldwide public sector day. And the theme from Teresa Carlson, who heads up the entire team is to think big and look at the data. And I wanted to bring in a special cube alumni and special guests. Alan Cohen. Who's a partner at data collective venture capital or DCVC, um, which we've known for many, many years, founders, Matt OCO and Zachary Bogue, who started the firm, um, to over at about 10 years ago. We're on the really the big data wave and have grown into a really big firm thought big data, data, collective big ideas. That's the whole purpose of your firm. Alan. You're now a partner retired, retired, I mean a venture capitalist over at being a collective. Great to see you. Thanks for coming on. >>Great to see you as well. John, thanks for being so honest this morning. >>I love to joke about being retired because the VC game, it's not, um, a retirement for you. You guys made, you made some investments. Data collective has a unique, um, philosophy because you guys invest in essentially moonshots or big ideas, hard problems. And if I look at what's going on with Amazon, specifically in the public sector, genome sequencing now available in what they call the open data registry. You've got healthcare expanding, huge, you got huge demand and education, real societal benefits, uh, cybersecurity contested in space, more contention and congestion and space. Um, there's a lot of really hard science problems that are going on at the cloud. And AI are enabling, you're investing in entrepreneurs that are trying to solve these problems. What's your view of the big ideas? What are people missing? >>Well, I don't know if they're missing, but I think what I'd say, John, is that we're starting to see a shift. So if you look at the last, I don't know, forever 40, 50 years in the it and the tech industry, we took a lot of atoms. We built networks and data warehouses and server farms, and we, we kind of created software with it. So we took Adam's and we turned them into bets. Now we're seeing things move in the other direction where we're targeting bits, software, artificial intelligence, massive amount of compute power, which you can get from companies like, like AWS. And now we're creating better atoms. That means better met medicines and vaccines we're investor, um, and a company called abs Celera, which is the therapeutic treatment that J and J has, um, taken to market. Uh, people are actually spaces, a commercial business. >>If it's not a science fiction, novel we're investors in planet labs and rocket labs and compel a space so people can see right out. So you're sitting on your terrorists of your backyard from a satellite that was launched by a private company without any government money. Um, you talked about gene sequencing, uh, folding of proteins. Um, so I think the big ideas are we can look at some of the world's most intractable issues and problems, and we can go after them and turn them into commercial opportunities. Uh, and we would have been able to do that before, without the advent of big data and obviously the processing capabilities and on now artificial intelligence that are available from things like AWS. So, um, it's kind of, it's kind of payback from the physical world to the physical world, from the virtual world. Okay. >>Pella space was featured in the keynote by Teresa Carlson. Um, great to tie that in great tie in there, but this is the kind of hard problems. And I want to get your take because entrepreneurs, you know, it reminds me of the old days where, you know, when you didn't go back to the.com, when that bubble was going on, and then you got the different cycles and the different waves, um, the consumer always got the best kind of valuations and got the most attention. And now B to B's hot, you got the enterprise is super hot, mainly because of Amazon >>Sure. Into the Jordash IPO. Obviously this morning, >>Jordache IPO, I didn't get a phone call for friends and family and one of their top customers. They started in Palo Alto. We know them since the carton Jordache, these are companies that are getting massive, uh, zoom. Um, the post pandemic is coming. It's going to be a hybrid world. I think there's clear recognition that this some economic values are digital being digitally enabled and using cloud and AI for efficiencies and philosophy of new things. But it's going to get back to the real world. What's your, it's still hard problems out there. I mean, all the valuations, >>Well, there's always hard problems, but what's different now. And from a perspective of venture and, and investors is that you can go after really hard problems with venture scale level of investments. Uh, traditionally you think about these things as like a division of a company like J and J or general electric or some very massive global corporation, and because of the capabilities that are available, um, in the computing world, um, as well as kind of great scientific research and we fund more PhDs probably than any other, uh, any other type of background, uh, for, for founders, they can go after these things, they can create. Uh, we, uh, we have a company called pivot bio, uh, and I think I've spoken to you about them in the past, Sean, they have created a series of microbes that actually do a process called nitrogen fixation. Um, so it attaches the nitrogen to the roots of corn, sorghum and wheat. >>So you don't have to use chemical fertilizer. Well, those microbes were all created through an enormous amount of machine learning. And where did that machine learning come from? So what does that mean? That means climate change. That means more profitable farmers. Uh, that means water and air management, all major issues in our society where if we didn't have the computing capabilities we have today, we wouldn't have been able to do that. We clearly would have not been able to do that, um, as a venture level of investments to get it started. So I think what's missing for a lot of people is a paucity of imagination. And you have to actually, you know, you actually have to take these intractable problems and say, how can I solve them and then tear it apart to its actual molecules, just the little inside joke, right? And, and then move that through. >>And, you know, this means that you have to be able to invest in work on things. You know, these companies don't happen in two or three years or five years. They take sometimes seven, 10, 15 years. So it's life work for people. Um, but though, but we're seeing that, uh, you know, that everywhere, I mean, rocket lab, a company of ours out of New Zealand and now out of DC, which we actually launched the last couple of space, um, satellites, they print their rocket engines with a 3d printer, a metal printer. So think about that. How did all that, that come to bear? Um, and it started as a dangerous scale style of investments. So, you know, Peter Beck, the founder of that company had a dream to basically launch a rocket, you know, once a year, once a month, once a week, and eventually to once a day. So he's effectively creating a huge, um, huge upswing in the ability of people to commercialize space. And then what does space do? It gives you better observability on the planet from a, not just from a security point of view, but from a weather and a commerce point of view. So all kinds of other things that looked like they were very difficult to go after it now starts to become enabled. Yeah. >>I love the, uh, your investment in Capella space because I think that speaks volumes. And one of the things that the founder was talking about was getting the data down is the hard part. He he's up, he's up there now. He can see everything, but now I've got to get the data down because say, say the wildfires in California, or whether, um, things happening around the globe now that you have the, uh, the observation space, you got to get the data down there. This is the huge scale challenge. >>Well, let me, let me, let me give you something. That's also, so w you know, we are in a fairly difficult time in this country, right? Because of the covert virus, uh, we are going to maybe as quickly as next week, start to deliver, even though not as many as we'd like vaccines and therapeutics into this virus situation, literally in a year, how did all these things, I mean, obviously one of the worst public health crisis of our lifetimes, and maybe, you know, uh, of the past century, uh, how did that happen? How did it all day? Well, you know, some, I mean, the ability to use, um, computing power in, in assistance, in laboratory, in, in, uh, in, um, development of, of pharmaceutical and therapeutics is a huge change. So something that is an intractable problem, because the traditional methods of creating vaccines that take anywhere from three to seven years, we would have a much worse public health crisis. I'm not saying that this one is over, right. We're in a really difficult situation, but our ability to start to address it, the worst public health crisis in our lifetime is being addressed because of the ability of people to apply technology and to accelerate the ability to create vaccines. So great points, absolutely amazing. >>Let's just, let's just pause that let's double down on that and just unpack that, think about that for a second. If you didn't, and then the Amazon highlight is on Andy Jesse's keynote carrier, which makes air conditioning. They also do refrigeration and transport. So one IOT application leveraging their cloud is they may call it cold chain managing the value chain of the transport, making sure food. And in this case vaccine, they saw huge value to reduce carbon emissions because of it does the waste involved in food alone was a problem, but the vaccine, they had the cold, the cold, cold, cold chain. Can you hear me? >>Maybe this year, the cold chain is more valuable than the blockchain. Yeah. >>Cold don't think he was cold chain. Sounds like a band called play. Um, um, I had to get that in and Linda loves Coldplay. Um, but if you think about like where we are to your point, imagine if this hit 15 years ago or 20 years ago, um, you know, YouTube was just hitting the scene 20 years ago, 15 years ago, you know, so, you know, that kind of culture, we didn't have zoom education would be where we would be Skyping. Um, there's no bandwidth. So, I mean, you, you know, the, the bandwidth Wars you would live through those and your career, you had no bandwidth. You had no video conferencing, no real IOT, no real supply chain management and therapeutics would have taken what years. What's your reaction to, to that and compare and contrast that to what's on full display in the real world stage right now on digital enablement, digital transformation. >>Well, look, I mean, ultimately I'm an optimist because of what this technology allows you to do. I'm a realist that, you know, you know, we're gonna lose a lot of people because of this virus, but we're also going to be able to reduce a lot of, um, uh, pain for people and potentially death because of the ability to accelerate, um, these abilities to react. I think the biggest and the, the thing that I look for and I hope for, so when Theresa says, how do you think big, the biggest lesson I think we're going to we've learned in the last year is how to build resilience. So all kinds of parts of our economy, our healthcare systems, our personal lives, our education, our children, even our leisure time have been tested from a resilience point of view and the ability of technology to step in and become an enabler for that of resilience. >>Like there isn't like people don't love zoom school, but without zoom school, what we're going to do, there is no school, right? So, which is why zoom has become an indispensable utility of our lives, whether you're on a too much, or you've got zoom fatigue, does it really matter the concept? What we're going to do, call into a conference call and listen to your teacher, um, right in, you know, so how are you going to, you're going to do that, the ability to repurpose, um, our supply chain and, you know, uh, we, we, we see this, we're going to see a lot of change in the, in the global supply chain. You're going to see, uh, whether it's re domestication of manufacturing or tightening of that up, uh, because we're never going to go without PPE again, and other vital elements. We've seen entire industries repurposed from B2B to B to C and their ability to package, deliver and service customers. That is, those are forms of resilience. >>And, and, and, and taking that to the next level. If you think about what's actually happening on full display, and again, on my one-on-one with Andy Jassy prior to the event, and he laid this out on stage, he kind of talks about this, every vertical being disrupted, and then Dr. Matt wood, who's the machine learning lead there in Swami says, Hey, you know, cloud compute with chips now, and with AI and machine learning, every industry, vertical global industry is going to be disrupted. And so, you know, I get that. We've been saying that in the queue for a long time, that that's just going to happen. So we've been kind of on this wave of horizontal, scalability and vertical specialization with data and modern applications with machine learning, making customization really high-fidelity decisions. Or as you say, down to the molecule level or atomic level, but this is clear what, what I found interesting. And I want to get your thoughts because you have one been there, done that through many ways of innovation and now investor leading investor >>Investor, and you made up a word. I like it. Okay. >>Jesse talks about leadership to invent and reinvent. Can't fight gravity. You've got to get talent hungry for invention, solve real-world problems. Speed. Don't complexify. That's his message. I said to him, in my interview, you need a wartime conciliary cause he's a big movie buff. I quote the godfather. Yeah. Don't you don't want to be the Tom Hagen. You don't want to be that guy, right? You're not a wartime. Conciliary this is a time there's times in companies' histories where there's peace and there's wartime, wartime being the startup, trying to find its way. And then they get product market fit and you're growing and scaling. You're operating, you're hiring people to operate. Then you get into a pivot or a competitive situation. And then you got to get out there and, and, and get dirty and reinvent or re-imagine. And then you're back to peace. Having the right personnel is critical. So one of the themes this year is if you're in the way, get out of the way, you know, and some people don't want to hold on to hold onto the past. That's the way we did it before I built this system. Therefore it has to work this way. Otherwise the new ways, terrible, the mainframe, we've got to keep the mainframe. So you have a kind of a, um, an accelerated leadership, uh, thin man mantra happening. What is your take on this? Because, >>Sorry. So if you're going to have your F R R, if you're going to, if you are going to use, um, mob related better for is I'll share one with you from the final season of the Soprano's, where Tony's Prado is being hit over the head with a bunch of nostalgia from one of his associates. And he goes, remember, when is the lowest form of conversation and which is iconic. I think what you're talking about and what Andy is talking about is that the thing that makes great leadership, and what I look for is that when you invest in somebody or you put somebody in a leadership position to build something, 50% of their experience is really important. And 50% of it is not applicable in the new situation. And the hard leadership initiative has to understand which 50 matters in which 50 doesn't matter. >>So I think the issue is that, yeah, I think it is, you know, lead follow or get out of the way, but it's also, what am I doing? Am I following a pattern for a, for a, for an, a, for a technology, a market, a customer base, or a set of people are managing that doesn't really exist anymore, that the world has moved on. And I think that we're going to be kind of permanent war time on some level we're going to, we're going to be co we're because I think the economy is going to shift. We're going to have other shocks to the economy and we don't get back to a traditional normal any time soon. Yep. So I, I think that is the part that leadership in, in technology really has to, would adopt. And it's like, I mean, uh, you know, the first great CEO of Intel reminded us, right. Then only the paranoid survive. Right. Is that it's you, some things work and some things don't work and that's, that's the hard part on how you parse it. So I always like to say that you always have to have a crisis, and if there is no crisis, you create the crisis. Yeah. And, you know, >>Sam said, don't let a good crisis go to waste. You know? Um, as a manager, you take advantage of the crisis. >>Yeah. I mean, look, it wouldn't have been bad to be in the Peloton business this year. Right, too. Right. Which is like, when people stayed home and like that, you know, you know, th that will fade. People will get back on their bikes and go outside. I'm a cyclist, but you know, a lot more people are going to look at that as an alternative way to exercise or exercising, then when it's dark or when the weather is inclement. So what I think is that you see these things, they go in waves, they crest, they come back, but they never come back all the way to where they were. And as a manager, and then as a builder in the technology industry, you may not get like, like, like, okay, maybe we will not spend as much time on zoom, um, in a year from now, but we're going to still spend a lot of time on zoom and it's going to still be very important. >>Um, what I, what I would say, for example, and I, and looking at the COVID crisis and from my own personal investments, when I look at one thing is clear, we're going to get our arms around this virus. But if you look at the history of airborne illnesses, they are accelerating and they're coming every couple of years. So being able to be in that position to, to more react, more rapidly, create vaccines, the ability to foster trials more quickly to be able to use that information, to make decisions. And so the duration when people are not covered by therapeutics or vaccines, um, short, and this, that is going to be really important. So that form of resilience and that kind of speed is going to happen again and again, in healthcare, right. There's going to be in, you know, in increasing pressure across that in part of the segment food supply, right. I mean, the biggest problem in our food supply today is actually the lack of labor. Um, and so you have far, I mean, you know, farmers have had a repurpose, they don't sell to their traditional, like, so you're going to see increased amount of optimization automation and mechanization. >>Lauren was on the, um, keynote today talking about how their marketplaces collected as a collective, you know, um, people were working together, um, given that, given the big ideas. Well, let's, let's just, as we end the segment here, let's connect big ideas. And the democratization of, I mean, you know, the old expression Silicon Valley go big or go home. Well, I think now we're at a time where you can actually go big and stay and, and, and be big and get to be big at your own pace because the, the mantra has been thinking big in years, execute plan in months and execute weekly and month daily, you know, you can plan around, there's a management technique potentially to leverage cloud and AI to really think about bit the big idea. Uh, if I'm a manager, whether I'm in public sector or commercial or any vertical industry, I can still have that big idea that North star and then work backwards and figure that out. >>That sounds to the Amazon way. What's your take on how people should be. What's the right way to think about executing down that path so that someone who's say trying to re-imagine education. And I know a, some people that I've talked to here in California are looking at it and saying, Hey, I don't need to have silos students, faculty, alumni, and community. I can unify them together. That's an idea. I mean, execution of that is, you know, move all these events. So they've been supplying siloed systems to them. Um, I mean, cause people want to interact online. The Peloton is a great example of health and fitness. So there's, there's everyone is out there waiting for this playbook. >>Yeah. Unfortunately I, I had the playbook. I'd mail it to you. Uh, but you know, I think there's a couple of things that are really important to do. Maybe good to help the bed is one where is there structural change in an industry or a segment or something like that. And sorry to just people I'm home today, right? It's, everybody's running out of the door. Um, and you know, so I talked about this structural change and you, we talked about the structural change in healthcare. We talked about kind of maybe some of the structural change that's coming to agriculture. There's a change in people's expectations and how they're willing to work and what they're willing to do. Um, you, as you pointed out the traditional silos, right, since we have so much information at our fingertips, um, you know, people's responsibility as opposed to having products and services to deliver them, what they're willing to do on their own is really changed. >>Um, I think the other thing is that, uh, leadership is ultimately the most important aspect. And we have built a lot of companies in the industry based on forms of structural relations industry, um, background, I'm a product manager, I'm a sales person, I'm a CEO, I'm a finance person. And what we're starting to see is more whole thinking. Um, uh, particularly in early stage investors where they think less functionally about what people's jobs are and more about what the company is trying to get done, what the market is like. And it's infusing a lot more, how people do that. So ultimately most of this comes down to leadership. Um, uh, and, and that's what people have to do. They have to see themselves as a leader in their company, in their, in the business. They're trying to build, um, not just in their function, but in the market they're trying to win, which means you go out and you talk to a lot more people. >>You do a lot, you take a lot fewer things for granted. Um, you read less textbooks on how to build companies and you spend more time talking to your customers and your engineers, and you start to look at enabling. So the, we have made between machine learning, computer vision, and the amount of processing power that's available from things like AWS, including the services that you could just click box in places like the Amazon store. You actually have to be much more expansive in how you think about what you can get done without having to build a lot of things. Cause it's actually right there at your fingertips. Hopefully that kind of gets a little bit to what you were asking. >>Well, Alan, it's always great to have you on and great insight and, uh, always a pleasure to talk candidly. Um, normally we're a little bit more boisterous, but given how terrible the situation is with COVID while working at home, I'm usually in person, but you've been great. Take a minute to give a plug for the data collective venture capital firm. DCVC you guys have a really unique investment thesis you're in applied AI, computational biology, um, computational care, um, enterprise enablement. Geospatial is about space and Capella, which was featured carbon health, smart agriculture transportation. These are kind of like not on these are off the beaten path of like traditional herd mentality of venture capital. You guys are going after big problems. Give us an update on the firm. I know that firm has gotten bigger lately. You guys have >>No, I mean the further firm has gotten bigger, I guess since Matt, Zach started about a decade ago. So we have about $2.3 billion under management. We also have bio fund, uh, kind of a sister fund. That's part of that. I mean, obviously we are, uh, traditionally an early stage investor, but we have gone much longer now with these additional, um, um, investment funds and, and the confidence of our LPs. Uh, we are looking for bears. You said John, really large intractable, um, industry problems and transitions. Uh, we tend to back very technical founders and work with them very early in the creation of their business. Um, and we have a huge network of some of the leading people in our industry who work with us. Uh, we, uh, it's a little bit of our secret weapon. We call it our equity partner network. Many of them have been on the cube. >>Um, and these are people that work with us in the create, uh, you know, the creation of this. Uh, we've never been more excited because there's never been more opportunity. And you'll start to see, you know, you're starting to hear more and more about them, uh, will probably be a couple of years of report. We're a household name. Um, but you know, we've, we we're, we're washing deal flow. And the good news is I think more people want to invest in and build the things that we've. So we're less than itchy where people want to do what we're doing. And I think some of the large exits that starting to come our way or we'll attract more, more great entrepreneurs in that space. >>I really saw the data models, data, data trend early, you saw a Realty impacted, and I'll say that's front and center on Amazon web services reinvent this year. You guys were early super important firm. I'm really glad you guys exist. And you guys will be soon a household name if not already. Thanks for coming on. Right, >>Alan. Thanks. Thank you. Appreciate >>It. Take care. I'm John ferry with the cube. You're watching a reinvent coverage. This is the cube live portion of the coverage. Three weeks wall to wall. Check out the cube.net. Also go to the queue page on the Amazon event page, there's a little click through the bottom and the metadata is Mainstage tons of video on demand and live programming there too. Thanks for watching.

>>From around the globe. It's the queue with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS, and our community partners. >>Hello, and welcome back to the cube live coverage of reinvent 2020 virtual. We're not there this year. It's the cube virtual. We are the cube virtual. I'm your host, John fro with Dave Alante and analyzing our take on the partner day. Um, keynotes and leadership sessions today was AWS APN, which is Amazon partner network global partner network day, where all the content being featured today is all about the partners and what Amazon is doing to create an ecosystem, build the ecosystem, nurture the ecosystem and reinvent what it means to be a partner. Dave, thanks for joining me today on the analysis of Amazon's ecosystem and partner network and a great stuff today. Thanks for coming on. >>Yeah, you're welcome. I mean, watch the keynote this morning. I mean, partners are critical to AWS. Look, the fact is that when, when AWS was launched, it was the developers ate it up. You know, if you're a developer, you dive right in infrastructure is code beautiful. You know, if you're mainstream it, this thing's just got more complex with the cloud. And so there's, there's a big gap right between how I, where I am today and where I want to be. And partners are critical to help helping people get there. And we'll talk about the details of specifically what Amazon did, but I mean, especially when John, when you look at things like smaller outposts, you know, going hybrid, Andy Jassy redefining hybrid, you need partners to really help you plan design, implement, manage at scale. >>Yeah. You know, one of the things I'm always, um, you know, saying nice things about Amazon, but one of the things that they're vulnerable on in my opinion is how they balanced their own SAS offerings and with what they develop in the ecosystem. This has been a constant, um, challenge and, and they've balanced it very well. Um, so other vendors, they are very clear. They make their own software, right. And they have a channel and it's kind of the old playbook. Amazon's got to reinvent the playbook here. And I think that's, what's key today on stage Doug Yom. He's the, uh, the leader you had, um, also Dave McCann who heads up marketplace and Sandy Carter who heads up worldwide public sector partners. So Dave interesting combination of three different teams, you had the classic ISV partners in the ecosystem, the cohesiveness of the world, the EMCs and so on, you had the marketplace with Dave McCann. That's where the future of procurement is. That's where people are buying product and you had public sector, huge tsunami of innovation happening because of the pandemic and Sandy is highlighting their partners. So it's partner day it's partner ecosystem, but multiple elements. They're moving marketplace where you buy programs and competencies with public sector and then ISV, all of those three areas are changing. Um, I want to get your take because you've been following ecosystems years and you've been close to the enterprise and how they buy your, >>And I think, I think John, Oh, a couple of things. One is, you know, Dave McCann was talking a lot about how CIO is one of modernize applications and they have to rationalize, and it will save some of that talk for later on, you know, Tim prophet on. But there's no question that Amazon's out to reinvent, as you said, uh, the whole experience from procurement all the way through, and, you know, normally you had to, to acquire services outside of the marketplace. And now what they're doing is bundling the services and software together. You know, it's straightforward services, implementation services, but those are well understood. The processes are known. You can pretty much size them and price them. So I think that's a huge opportunity for partners and customers to reduce friction. I think the other thing I would say is ecosystems are, are critical. >>Uh, one of the themes that we've been talking about in the cube as we've gone from a product centric world in the old days of it to a platform centric world, which has really been the last decade has been about SAS platforms and cloud platforms. And I think ecosystems are going to be a really power, the new innovation in the coming decade. And what I mean by that is look, if you're just building a service and Amazon is going to do that same service, you know, you got to keep innovating. And one of the ways you can innovate is you can build on ecosystems. There's all this data within industries, across industries, and you can through the partner network and through customer networks within industry start building new innovation around ecosystems and partners or that glue, Amazon's not going to go in. And like Jandy Jesse even said in the, uh, in his fireside chat, you know, customers will ask us for our advice and we're happy to give it to them, but frankly partners are better at that nitty gritty hardcore stuff. They have closer relationships with the customers. And so that's a really important gap that Amazon has been closing for the last, you know, frankly 10 years. And I think that to your point, they've still got a long way to go, but that's a huge opportunity in that. >>A good call out on any Jess, I've got to mention that one of the highlights of today's keynote was on a scheduled, um, Andy Jassy fireside chat. Uh, normally Andy does his keynote and then he kind of talks to customers and does his thing normally at a normal re-invent this time he came out on stage. And I think what I found interesting was he was talking about this builder. You always use the word builder customer, um, solutions. And I think one of the things that's interesting about this partner network is, is that I think there's a huge opportunity for companies to be customer centric and build on top of Amazon. And what I mean by that is, is that Amazon is pretty cool with you doing things on top of their platform that does two things serves the customer's needs better than they do, and they can make more money on and other services look at snowflake as an example, um, that's a company built on AWS. I know they've got other clouds going on, but mainly Amazon Zoom's the same way. They're doing a great solution. They've got Redshift, Amazon, Amazon's got Redshift, Dave, but also they're a customer and a partner. So this is the dynamic. If you can be successful on Amazon serving customers better than Amazon does, that's the growth hack. That's the hack on Amazon's partner network. If you could. >>I think, I think Snowflake's a really good example. You snowflake you use new Relic as an example, I've heard Andy Jess in the past use cloud air as an example, I like snowflake better because they're, they're sort of thriving. And so, but, but I will say this there's a, they're a great example of that ecosystem that we just talked about because yes, not only are they building on AWS, they're connecting to other clouds and that is an ecosystem that they're building out. And Amazon's got a lot of snowflake, I guess, unless you're the Redshift team, but, but generally speaking, Snowflake's driving a lot of business for Amazon and Andy Jesse addressed that in that, uh, in that fireside chat, he's asked that question a lot. And he said, look, we, we, we have our primary services. And at the same time we want to enable our partners to be successful. And snowflake is a really good example of that. >>Yeah. I want to call out also, uh, yesterday. Um, I had our Monday, I should say Tuesday, December 1st, uh, Jesse's keynote. I did an interview with Jerry chin with gray lock. He's investing in startups and one of the things he observed and he pointed out Dave, is that with Amazon, if you're, if you're a full all-in in the cloud, you're going to take advantage of things that are just not available on say on premises that is data patterns, other integrations. And I think one of the things that Doug pointed out was with interoperability and integration with say things like the SAS factor that they put out there there's advantages for being in the cloud specifically with Amazon, that you can get on integrations. And I think Dave McCann teases that out with the marketplace when they talk about integrations. But the idea of being in the cloud with all these other partners makes integration and interoperability different and unique and better potentially a differentiator. This is going to become a huge deal. >>I didn't pick up on that because yesterday I thought I wasn't in the keynote. I think it was in the analyst one-on-one with, with Jesse, he talked about, you know, this notion that people, I think he was addressing multi-cloud he didn't use that term, but this notion of an abstraction layer and how it does simplify things in, in his basic, he basically said, look, our philosophy is we want to have, you know, the, the ability to go deep with the primitives and have that fine grain access, because that will give us control. A lot of times when you put in this abstraction layer, which people are trying to do across clouds, you know, it limits your ability to really move fast. And then of course it's big theme is, is this year, at the same time, if you look at a company who was called out today, like, like Octa, you know, when you do an identity management and single sign-on, you're, you're touching a lot of pieces, there's a lot of integration to your point. >>So you need partners to come in and be that glue that does a lot of that heavy lifting that needs to needs to be done. Amazon. What Jessie was essentially saying, I think to the partner network is, look, we're not going to put in that abstraction layer. You're going to you, you got to do that. We're going to do stuff maybe between our own own services like they did with the, you know, the glue between databases, but generally speaking, that's a giant white space for partner organizations. He mentioned Okta. He been talked about in for apt Aptio. This was Dave McCann, actually Cohesity came up a confluent doing fully managed Kafka. So that to me was a signal to the partners. Look, here's where you guys should be playing. This is what customers need. And this is where we're not going to, you know, eat your lunch. >>Yeah. And the other thing McCann pointed out was 200 new Dave McCann pointed out who leads these leader of the, of the marketplace. He pointed out 200 new ISP. ISV is out there, huge news, and they're going to turn already. He went, he talked with his manage entitlements, which got my attention. And this is kind of an, um, kind of one of those advantage points that it's kind of not sexy and mainstream to talk about, but it's really one of those details. That's the heavy lifting. That's a pain in the butt to deal with licensing and tracking all this compliance stuff that goes on under the covers and distribution of software. I think that's where the cloud could be really advantaged. And also the app service catalog registry that he talked about and the professional services. So these are areas that Amazon is going to kind of create automation around. >>And as Jassy always talks about that undifferentiated heavy lifting, they're going to take care of some of these plumbing issues. And I think you're right about this differentiation because if I'm a partner and I could build on top of Amazon and have my own cloud, I mean, let's face it. Snowflake is a born in the cloud, in the cloud only solution on Amazon. So they're essentially Amazon's cloud. So I think the thing that's not being talked about this year, that is probably my come up in future reinvents is that whoever can build their own cloud on top of Amazon's cloud will be a winner. And I, I talked about this years ago, data around this tier two, I call it tier two clouds. This new layer of cloud service provider is going to be kind of the, on the power law, the, the second wave of cloud. >>In other words, you're on top of Amazon differentiating with a modern application at scale inside the cloud with all the other people in there, a whole new ecosystem is going to emerge. And to me, I think this is something that is not yet baked out, but if I was a partner, I would be out there planning like hell right now to say, I'm going to build a cloud business on Amazon. I'm going to take advantage of the relationships and the heavy lifting and compete and win that way. I think that's a re redefining moment. And I think whoever does that will win >>And a big theme around reinventing everything, reinvent the industry. And one of the areas that's being reinvented as is the, you know, the VAR channel really well, consultancies, you know, smaller size for years, these companies made a ton of dough selling boxes, right? All the, all the Dell and the IBM and the EMC resellers, you know, they get big boats and big houses, but that business changed dramatically. They had to shift toward value, value, value add. So what did they do? They became VMware specialists. They came became SAP specialists. There's a couple of examples, maybe, you know, adding into security. The cloud was freaking them out, but the cloud is really an opportunity for them. And I'll give you an example. We've talked a lot about snowflake. The other is AWS glue elastic views. That's what the AWS announced to connect all their databases together. Think about a consultancy that is able to come in and totally rearchitect your big data life cycle and pipeline with the people, the processes, the skillsets, you know, Amazon's not going to do that work, but the upside value for the organizations is tremendous. So you're seeing consultancies becoming managed service providers and adding all kinds of value throughout the stack. That's really reinvention of the partnership. >>Yeah. I think it's a complete, um, channel strategy. That's different. It doesn't, it looks like other channels, but it's not, it's, it's, it's driven by value. And I think this idea of competing on value versus just being kind of a commodity play is shifting. I think the ISV and the VARs, those traditional markets, David, as you pointed out, are going to definitely go value oriented. And you can just own a specialty area because as data comes in and when, and this is interesting. And one of the key things that Andy Jassy said in his fireside chat want to ask directly, how do partners benefit when asked about his keynote, how that would translate to partners. He really kind of went in and he was kind of rambling, but he, he, he hit the chips. He said, well, we've got our own chips, which means compute. Then he went into purpose-built data store and data Lake data, elastic views SageMaker Q and QuickSight. He kind of went down the road of, we have the horsepower, we have the data Lake data, data, data. So he was kind of hinting at innovate on the data and you'll do okay. >>Well, and this is again, we kind of, I'm like a snowflake fan boy, you know, in the way you, you like AWS. But look, if you look at AWS glue elastic views, that to me is like snowflakes data cloud is different, a lot of pushing and moving a date, a lot of copying data. But, but this is a great example of where like, remember last year at reinvent, they said, Hey, we're separating compute from storage. Well, you know, of course, snowflake popularized that. So this is great example of two companies thriving that are both competitors and partners. >>Well, I've got to ask you, you know, you, you and I always say we kind of his stories, we've been around the block on the enterprise for years. Um, where do you Mark the, um, evolution of their partner? Because again, Amazon has been so explosive in their growth. The numbers have been off the charts and they've done it well with and pass. And now you have the pandemic which kind of puts on full display, digital transformation. And then Jassy telegraphing that the digital global it spend is their next kind of conquering ground, um, to take, and they got the edge exploding with 5g. So you have this kind of range and they doing all kinds of stuff with IOT, and they're doing stuff in you on earth and in space. So you have this huge growth and they still don't have their own fully oriented business model. They rely on people to build on top of Amazon. So how do you see that evolving in your opinion? Because they're trying to add their own Amazon only, we've got Redshift that competes with others. How do you see that playing out? >>So I think it's going to be specialized and, and something that, uh, that I've talked about is Amazon, you know, AWS in the old day, old days being last decade, they really weren't that solution focused. It was really, you know, serving the builders with tooling, with you, look at something like what they're doing in the call center and what they're doing at the edge and IOT there. I think they're, so I think their move up the stack is going to be very solution oriented, but not necessarily, you know, horizontal going after CRM or going after, you know, uh, supply chain management or ERP. I don't think that's going to be their play. I think their play is going to be to really focus on hard problems that they can automate through their tooling and bring special advantage. And that's what they'll SAS. And at the same time, they'll obviously allow SAS players. >>It's just reminds me of the early days when you and I first met, uh, VMware. Everybody had to work with VMware because they had a such big ecosystem. Well, the SAS players will run on top. Like Workday does like Salesforce does Infour et cetera. And then I think you and I, and Jerry Chen talked about this years ago, I think they're going to give tools to builders, to disrupt the service now is in the sales forces who are out buying companies like crazy to try to get a, you know, half, half a billion dollar, half a trillion dollar market caps. And that is a really interesting dynamic. And I think right now, they're, they're not even having to walk a fine line. I think the lines are reasonably clear. We're going up to database, we're going to do specialized solutions. We're going to enable SAS. We're going to compete where we compete, come on, partner ecosystem. And >>Yeah, I, I, I think that, you know, the Slack being bought by Salesforce is just going to be one of those. I think it's a web van moment, you know, um, you know, where it's like, okay, Slack is going to go die on Salesforce. Okay. I get that. Um, but it's, it's just, it's just, it's just, it's just old school thinking. And I think if you're an entrepreneur and if you're a developer or a partner, you could really reinvent the business model because if you're, dis-aggregating all these other services like you can compete with Salesforce, Slack has now taken out of the game with Salesforce, but what Amazon is doing with say connect, which they're promoting heavily at this conference. I mean, you hear it, you heard it on Andy Jessie's keynote, Sandy Carter. They've had huge success with AWS connect. It's a call center mindset, but it's not calling just on phones. >>It's contact that is descent, intermediating, the Salesforce model. And I think when you start getting into specialists and specialism in channels, you have customer opportunity to be valuable. And I think call center, these kinds of stories that you can stand up pretty quickly and then integrate into a business model is going to be game changing. And I think that's going to going to a lot of threat on these big incumbents, like Salesforce, like Slack, because let's face it. Bots is just the chat bot is just a call center front end. You can innovate on the audio, the transcriptions there's so much Amazon goodness there, that connect. Isn't just a call center that could level the playing field and every vertical >>Well, and SAS is getting disrupted, you know, to your, to your point. I mean, you think about what happened with, with Oracle and SAP. You had, you know, these new emerging players come up like, like Salesforce, like Workday, like service now, but their pricing model, it was all the same. We lock you in for a one-year two-year three-year term. A lot of times you have to pay up front. Now you look at guys like Datadog. Uh, you, you look at a snowflake, you look at elastic, they're disrupting the Splunks of the world. And that model, I think that SAS model is right for disruption with a consumption pricing, a true cloud pricing model. You combine that with new innovation that developers are going to attack. I mean, you know, people right now, they complain about service now pricing, they complain about Splunk pricing. They, you know, they talk about, Oh, elastic. We can get that for half the price Datadog. And so I'm not predicting that those companies service now Workday, the great companies, but they are going to have to respond much in the same way that Oracle and SAP had to respond to the disruption that they saw. >>Yeah. It's interesting. During the keynote, they'll talk about going out to the mainframes today, too. So you have Amazon going into Oracle and Microsoft, and now the mainframes. So you have Oracle database and SQL server and windows server all going to being old school technologies. And now mainframe very interesting. And I think the, this whole idea of this SAS factory, um, got my attention to Cohesity, which we've been covering Dave on the storage front, uh, Mo with the founder was on stage. I'm a data management as a service they're part of this new SAS factory thing that Amazon has. And what they talk about here is they're trying to turn ISV and VARs into full-on SAS providers. And I think if they get that right with the SAS factory, um, then that's going to be potentially game changing. And I'm gonna look at to see if what the successes are there, because if Amazon can create more SAS applications, then their Tam and the global it market is there is going to, it can be mopped up pretty quickly, but they got to enable it. They got to enable that quickly. Yeah. >>Enabling to me means not just, and I think, you know, when Jesse answered your question, I saw it in the article that you wrote about, you know, you asked them about multi-cloud and it, to me, it's not about running on AWS and being compatible with Azure and being compatible with Google. No, it's about that frankly abstraction layer that he talked about, and that's what Cohesity is trying to do. You see others trying to do it as well? Snowflake for sure. It's about abstracting that complexity away and adding value on top of the cloud. In other words, you're using the cloud for scale being really expert at taking advantage of the native cloud services, which requires is that Jessie was saying different API APIs, different control, plane, different data plane, but taking that complexity away and then adding new value on top that's white space for a lot of players there. And, and, and I'll tell you, it's not trivial. It takes a lot of R and D and it takes really smart people. And that's, what's going to be really interesting to see, shake out is, you know, can the Dell and HPE, can they go fast enough to compete with the, the Cohesity's you've got guys like CLU Mayo coming in that are, that are brand new. Obviously we talked about snowflake a lot and many others. >>I think there's going to be a huge change in expectations, experience, huge opportunity for people to come in with unique solutions. We're going to have specialty programming on the cube all day today. So if you're watching us here on the Amazon channel, you know that we're going to have an all of a sudden demand. There's a little link on our page. On the, on the, um, the Amazon reinvent virtual event platform, click here, the bottom, it's going to be a landing page, check out all the interviews as we roll them out all day. We got a great lineup, Dave, we got Nutanix pure storage, big ID, BMC, Amazon leaders, all coming in to talk today. Uh, chaos search ed Walsh, Rachel Rose, uh, Medicar Kumar, um, Mike Gill, flux, tons of great, great, uh, partners coming in and they're going to share their story and what's working for them and their new strategies. And all throughout the day, you're going to hear specific examples of how people are changing and reinventing their business development, their partnership strategies on the product, and go to market with Amazon. So really interesting learnings. We're going to have great conversations all throughout the day. So check it out. And again, everything's going to be on demand. And when in doubt, go to the cube.net, we have everything there and Silicon angle.com, uh, for all the great coverage. So >>I don't think John is, we're going to have a conversation with him. David McCann touched on this. You talked about the need for modernization and rationalization, Tim Crawford on, on later. And th this is, this is sort of the, the, uh, the call-out that Andy Jassy made in his keynote. He gave the story of that one. CIO is a good friend of his who said, Hey, I love what you're doing, but it's not going to happen on my watch. And, and so, you know, Jessie's sort of poking at that, that, uh, complacency saying, guys, you have to reinvent, you have to go fast, you have to keep moving. And so we're gonna talk a little bit about what, what does that mean to modernize applications, why the CIO is want to rationalize what is the role of AWS and its ecosystem and providing that, that, that level of innovation, and really try to understand what the next five to seven years are gonna look like in that regard. >>Funny, you mentioned, uh, Andy Jesuit that story. When I had my one-on-one conversation with them, uh, he was kind of talking about that anonymous CIO and I, if people don't know Andy, he's a big movie buff, too, right? He loves it goes to Sundance every year. Um, so I said to him, I said, this error of digital transformation, uh, is kind of like that scene in the godfather, Dave, where, um, Michael Corleone goes to Tom Hagen, Tom, you're not a wartime conciliary. And what he meant by that was is that, you know, they were going to war with the other five families. I think now I think this is what chassis pointed out is that, that this is such an interesting, important time in history. And he pointed this out. If you don't have the leadership chops to lean into this, you're going to get swept away. >>And that story about the CIO being complacent. Yeah. He didn't want to shift. And the new guy came in or gal and they, and they, and they lost three years, three years of innovation. And the time loss, you can't get that back. And during this time, I think you have to have the stomach for the digital transformation. You have to have the fortitude to go forward and face the truth. And the truth is you got to learn new stuff. So the old way of doing things, and he pointed that out very aggressively. And I think for the partners, that same thing is true. You got to look in the mirror and say, where are we? What's the opportunity. And you gotta gotta go there. If not, you can wait, be swept away, be driftwood as Pat Gelsinger would say, or lean in and pick up a, pick up a shovel and start digging the new solution. >>You know what the other interesting thing, I mean, every year when you listen to Jassy and his keynotes and you sort of experienced re-invent culture comes through and John you're live in Silicon Valley, you talked to leaders of Silicon Valley, you know, well, what's the secret of success though? Nine times out of 10, they'll talk about culture, maybe 10 times out of 10. And, and, and so that's, that comes through in Jesse's keynotes. But one of the things that was interesting this year, and it's been thematic, you know, Andy, you know, repetition is important, uh, to, to him because he wants to educate people and make sure it sticks. One of the things that's really been he's been focused on is you actually can change your culture. And there's a lot of inertia. People say, well, not on my watch. Well, it doesn't work that way around here. >>And then he'll share stories about how AWS encourages people to write papers. Anybody in the organization say we should do it differently. And, and you know, they have to follow their protocol and work backwards and all of those stuff. But I believe him when he says that they're open to what you have a great example today. He said, look, if somebody says, well, it's 10 feet and somebody else says, well, it's, it's five feet. He said, okay, let's compromise and say it's seven and a half feet. Well, we know it's not seven and a half feet. We don't want to compromise. We either want to be a 10, Oh, we want to be at five, which is the right answer. And they push that. And that that's, he gives examples like that for the AWS culture, the working backwards, the frequently asked questions, documents, and he's always pushing. And that to me is very, very important and fundamental to understanding AWS. >>It's no doubt that Andy Jassy is the best CEO in the business. These days. If you look at him compared to everyone else, he's hands down, more humble as keynote who does three hour keynotes, the way he does with no notes with no, he memorize it all. So he's competitive and he's open. And he's a good leader. I think he's a great CEO. And I think it will be written and then looked back at his story this time in history. The next, I think post COVID Dave is going to be an error. We're going to look back and say the digital transformation was accelerated. Yes, all that good stuff, people process technology. But I think we're gonna look at this time, this year and saying, this was the year that there was before COVID and after COVID and the people who change and modernize will build the winners and not, and the losers will, will be sitting still. So I think it's important. I think that was a great message by him. So great stuff. All right. We gotta leave it there. Dave, the analysis we're going to be back within the power panel. Two sessions from now, stay with us. We've got another great guest coming on next. And then we have a pair of lb talk about the marketplace pricing and how enterprises have CIO is going to be consuming the cloud in their ecosystem. This is the cube. Thanks for watching..