>> [Announcer] Live from Los Angeles, it's theCUBE! Covering E3 2018, brought to you by SiliconANGLE Media. >> Hey, welcome back here everybody, Jeff Frick here with theCUBE. We're at the Los Angeles Convention Center with 68,000 of our closest friends. It's E3, it's the biggest industry event in gaming and we're pretty psyched to be here. It's our first time, but our next guest has been comin', I think he said for like 19 years. So we're really excited to invite Chase to the set. PR Director from Twitch. Chase, great to see you. >> Yeah, great to see you, too, and you've oversold my time here. It's actually only been 18 years. >> 18 years, that's 'cause you missed one, I think, right? >> Yeah, I took a break. It was during one of the slower years and then I came back into the fold. >> So I'd just love to get your perspective with kinda looking back at how the industry has changed, how the event has changed, and how gaming ecosystem has changed, and the way people interact with these things. >> Yeah, it's interesting. E3 has definitely gone through almost a roller coaster in terms of what it's like on the show floor. My first year in '99, I was working with the PR Team for the Sega Dreamcast launch and we had a full stage show that every other hour we'd have Ulala from Space Channel 5. She would come out on stage and with a full dance troupe and it would be like a vacuum. All of the attendees in E3 would all be sucked into our booth and then it would dissipate after that. But every two hours it was like the tidal wave comes crashing back in. Every other hour we had in-line skaters and graffiti artists for for Jet Grind Radio. We had a second floor where local broadcast crews could come and film the whole E3 'cause there's so much happening. And everywhere you went, it was a bombast of noise. And then, in the years that followed, booths started getting more smaller, not because of the scope of the show, but because they were trying to make it more industry-friendly, less of a carnival ride and less of a competition of brands trying to outdo each other. But more of let's make this more about the games than the booth babes and those things. But then slowly, it started building back up and it's gone through peaks and valleys. So it's definitely been interesting to watch. >> [Jeff] Right. >> And we were talking earlier about, you know, what are some of the biggest changes I've seen. And, from the Twitch perspective, it's seeing the validation of content creators grow. You know, live streaming is a fairly new aspect to the convention space, to the convention era. I mean, obviously we've been doing it for about a half decade or so, but in terms of the validity of the creators themselves, like in the past, they weren't treated as media, you wouldn't see 'em on preregistration lists. Now we have hundreds here at E3, you know, where every year it doubles, the amount of content creators. And it's not just because of E3 saying, oh they're as relevant as traditional media if not more so, but all the brands are leveraging them. So what you'll find is, a lot of live stream setups from booths. >> People are streaming their contents. When they're doing their press conferences, they bring a lot of content creators in, you know, put 'em in the front row. You know, one thing I love about the content creator era is that there's people like me who, I'm a hard-core gamer, but I've been doing this for so long that, even if I see a game I love, I don't jump out of my seat goin', oh my gosh, they've done it. But when you have all these new gamers who might've been gaming for a while, getting that treatment that I did traditionally, they're so vibrant about it, there's so much more excitement. And that's why E3 is so important, but it's definitely so for the content creators who traditional media might feel threatened by. But I love seeing the energy they bring to the space. >> It's such an interesting twist on the content creators. 'Cause the developers have always been, you know, in high demand, they've always been rock stars. You want to get people developing on your platform, but the content creators is a very different kind of flavor of that, where now people are sharing their experience and they're becoming like little mini rock stars in their own voice and the way that they interact with these games, which is really an adjunct to the actual gameplay itself. So it has been a pretty interesting growth and you guys pioneered it early on. But one of the other things I think is pretty interesting in the content creator space, is the monetization. Can these people make living, and we know that you can't really do it on advertising, there's really not that much advertising. But you guys have pioneered a ton of kind of direct monetization options and opportunities to help these people actually make money while they're creating this great content. >> Yeah, so content creators on Twitch, you know, people stream for a number of reason. Some do it for the attention, some do it for the money, and some do it for fame, well they do it for the love, like the attention, to get famous, or they do it for the money. And so, you know, it terms of monetization, we want to help support those who are trying to do it for a career. And so, at Twitch we have the broadest means of ways to monetize, but also the lowest barrier of entry to take advantage of them. And so what I mean by that is that we have what's called our partner program. And that's where all the best streamers want to be. 'Cause that has the most monetization options. But we also recently introduced what we call our affiliate program, which is a stepping stone to partnership. And while it doesn't have all the whistles and bells of being a partner, it does have ways to monetize so they can start making a living as well. And when I talk about having the most means to monetize, we have a whole laundry list of ways. We have revenue share from advertising, we have the ability to offer subscriptions to your viewers, and while every channel is free to watch, with subscriptions you can offer special perks to your viewers. You give them special emotes, you make it so that chat is only for subscribers, there's a lot of perks you can give your subscribers. And our subscribers, by the way, they know that they're supporting you and they're all frequently proud to do so. They enjoy supporting their kind of careers 'cause they know if they didn't support you, you might not be streaming and they love playing a role in keeping their favorite creators around. We have a program called Cheering with Bits. And it's a little complicated to always explain, but it's where we have Bits, which is a virtual good, and with these goods, you put them the into chat, you purchase these Bits, you put them in the chat, and they become these animated emotes. And the more you put in, the bigger the emotes get and the more animated they get. So the creator can see who their biggest fans are. And that's another way they can monetize. We have a really successful program in partnership with Amazon called Twitch Prime. Twitch Prime is a benefit of Amazon Prime. So if you have Amazon Prime, all you have to do is connect it to your Twitch account and you can start taking advantage of all these great perks. >> [Jeff] I haven't done that yet. >> Yeah, and the one that benefits our Twitch Prime members, Amazon Prime members, both of 'em, the most is that you get a free 30 day subscription to any content creator of your choice. And so, the way that helps is it's the same as if somebody were to go hit the Sub button on that channel directly. And so we've seen huge amount of revenue being generated by our creators just from people using their free 30 day subscription. >> Well, that's great. It's just interesting to me, that before to pay content creators in the old media model, they create their content, they sell advertising, you buy some Tide, Tide gives some money to ABC, they give it to the content creator. But this has really opened this whole democratization of this kind of this direct support, if you will, of the type of content that you're interested in without really going through the middle man. With all these micro-payments and as you said, all these kind of fun and different options to compensate for 'em, to enable just this massive explosion of these creator types. >> Right, but you also have the advertisers... >> [Jeff] You still have the advertisers. >> But what's they're doing is that, our creators are getting a lot of sponsorship opportunities, they're being part of influencer programs. We actually have a full advertising sales team who works with brands to do what we call custom solutions, which is where they will, instead of just run an ad on a channel, they will do like an activation. For example, we work with Totino's for their pizza rolls, where we create a bucking couch. So we had a couch like a buffalo, there was a content creator playing a video game on it, and the people in chat could control it by saying up, down, up, down, or right, left, and they would move the couch. >> [Jeff] Tryin' to throw 'em off the couch. >> Because it was very in-line with what our community enjoys, they like the personality involved in it, they like being able to play a part in it, so those types of custom activations are something that really resonate with our community and by default, they resonate with brands. And there are things you can actually only do on Twitch. We sort of pioneered this new field of advertising. >> Interesting. So, as we look down the road, and I'll let you go back, I know you're super busy and I really appreciate you takin' a few minutes. You look at the future right, we see these tremendous booths that are here. Fabulous graphics, VR comin' down the pike, we're getting ton more CPU, and graphical chips are all over the place. So basically, power and internet and 5G's coming, mobility's gonna be way, way faster. Where do you see it going? What are some of the things that, in your vision, as you sat around, you would love to be able to do, but just haven't been able to? Where do you see some of these kinda new visions being enabled by some of this new leading-edge technology? >> Well, I can speak in terms of where we see Twitch going, which is, we recently introduced a product called extensions. And what extensions are, they're created by outside developers and what they are is, they add interactive functionality to broadcasters' channel pages. Whether it's a widget underneath the screen or it's an overlay that goes on top of it. And with these overlays, it's creating a more interactive experience for the viewers, and that's where we see the future of gaming going, which is that, it's not a sit-back experience, it's a lean forward. For example, if you're playing Hearthstone, there's a Hearthstone extension where you could literally click on the screen and see what cards the person's holding. And you know, we worked with G League, which is that live MBA minor league system >> [Jeff] Right, right, no longer the D League, now the G League (laughs). >> Yeah, and so you could actually click on the player or find stats on the players who are on the court, you could find stats on the league. Where also with extensions you could do leaderboards, you can do polls, you can do mini-games. It's actually unlimited, the amount of creative ideas. You could have viewers vote during an award show on what games they think are gonna win. We did this with the game awards last year, where viewers would vote on what games they thought were going to win and then the game awards put a leaderboard to show which communities got it closest. >> [Jeff] Right, right. >> So there's so much with it and that's where we're putting a lot of attention on. So extensions is definitely gonna be one of the futures for spectators. >> Right, and just overlaying all these different things over that baseline content, over that baseline creator. >> Yeah. >> All right Chase, well thanks for takin' a few minutes. I was gonna bring you a 20th anniversary tee shirt next year, but you got two more to go (laughs). >> There ya go, I'll have to wait. >> All right. He's Chase, I'm Jeff. We are at the Los Angeles Convention Center at E3. Thanks for watchin'.

(upbeat intro music) >> Good afternoon, ladies and gentlemen and welcome back to fabulous Las Vegas, Nevada where we are theCUBE covering AWS re:Invent for the 10th year in a row. John Furrier, you've been here for all 10. How does this one stack up? >> It's feeling great. It's just back into the saddle of more people. Everyone's getting bigger and growing up. The companies that were originally on are getting stronger, bigger. They're doing takeovers in restaurants and still new players are coming in. More startups are coming in and taking care of what I call the (indistinct) on classic, all the primitives. And then you starting to see a lot more ecosystem platforms building on top of AWS. I call that NextGen Cloud, NextGen AWS. It's happening. It's happening right now. >> Best thing about all of these startups is they grow up, they mature, and we stay the same age, John. (John laughing) All right. All right. All right. Very excited to introduce you our next guest, he wears a lot of hats as the CEO, founder, and chairman at Reltio, please welcome Manish. Manish, welcome to the show. How is your show going so far? >> Well, thank you so much. You know, this is amazing. Just the energy, the number of people. You know, I was here last year, just after the pandemic, and I think it's almost double, if not more the number of people this year. >> John: Pushing 50,000. The high water mark was 65,000 in 2019. >> We should be doing like a Price Is Right sort of thing here on the show and figure out. >> Yeah, $1. >> Savannah: Yeah, yeah. (laughing) One guest, 80,000 guests. How many guests are here? Just in case the audience is not familiar, we know you're fast growing, very exciting business. Tell us what Reltio does. >> So, Reltio is a SaaS platform for data unification and we started Reltio in 2011. We have been serving some of the largest customers across industries like life sciences, healthcare, financial services, insurance, high tech, and retail. Those are, you know, some of the areas that we are focused on. The product capabilities are horizontal because we see the same data problem across every industry. Highly fragmented, highly siloed data that is slowing down the business for every organization out there. And that's the problem that we are solving. We are breaking down these silos, you know, one profile or one record, or one customer product supplier information record at a time, and bringing the acceleration of this unified data to every organization. >> This is the show Steam this year, Adam Celeste is going to be on stage talking about data end to end. Okay. Integrating in all aspects of a company. The word data analyst probably goes away pretty shortly. Everyone was going to be using data. This has been, and he talks about horizontal and vertical use cases. We've been saying that in theCUBE, I think it was about seven years ago, we first said we're going to start to see horizontally scalable data not just compute and cloud. This is now primetime conversation. Making that all work with governance is a real hard problem. Understanding the data. Companies have to put this horizontal and vertical capabilities in place together. >> Absolutely. You know, the data problem may be a horizontal problem, but every industry or vertical that you go into adds its own nuance or flavor to it. And that's why, you know, this has to be a combination of the horizontal and vertical. And we at Reltio thought about this for a while, where, you know, every time we enter a conversation, we are talking about patient data or physician data or client data and financial services or policy and customer information and insurance. But every time it's the number of silos that we encounter that is just an increasing number of applications, increasing number of third party data sources, and bringing that together in a manner where you can understand the semantics of it. Because, you know, every record is not created equal. Every piece of information is not created equal. But at the same time, you have to stitch it together in order to create that holistic, you know, the so-called 360 degree view. Because without that, the types of problems that you're trying to solve are not possible. Right? It's not possible to make those breakthroughs. And that's where I think the problem may be horizontal, but the application of the capabilities has to be verticalized. >> John: I'm smiling because, you know, when you're a founder like you are, and Dave, a lot here are at theCUBE, you're often misunderstood before people figure out what you do and why you started the company. And I can imagine, and knowing you and covering your company, that this is not just yesterday you came up with this idea that now everyone's talking about. There was probably moments in your history when you started, you're scratching it, "Hey the future's going to be this horizontal and vertical, especially where machine learning needs to know the data, the linguistics, whatever the data is, it's got to be very particular for the vertical, but you need to expand it." So when did you have the moment where people finally figured out like, what you guys doing is, like, relevant? I mean, now the whole world now sees- >> Savannah: Overnight success 11 years later. >> John: This shows the first time I've heard Amazon and the industry generally agree that horizontally scalable data systems with vertical value, that it's natural. We've been saying it for seven years on theCUBE. You've been doing the startup. >> Yeah. >> As a founder, you were there early. Now people are getting it. What's it like? Tell, take us through. When did you have the moment? When did you tipping point for the world getting it? >> Yeah, and you know, the key thing to remember is that, you know, not only have I been in this space for a long time but the experiences that we have gone through starting in 2011, there was a lot of focus on, you know, even AWS was at that point in time in the infancy stages. >> Yeah. >> And we said that we are going to set up a software as a service capability that runs only on public cloud because we had seen what customers had tried to do behind their firewalls and the types of hurdles that they had run into before. And while the concept was still in its nascent stages, but the directional signals, the fact that number of applications that you see in use today across any organization, that's growing. It used to be a case when in early 2000s, you know, this is early part of my career, where having six different applications across the enterprise landscape was considered complex. But now those same organizations are talking about 400, 500, a thousand different applications that they're using to run their business end to end. So, you know, this direction was clear. The need for digital transformation was becoming clear. And the fact that, you know, cloud was the only vehicle that you could use to solve these types of ad scale problems was also becoming clear. But what wasn't yet mainstream was this notion that, you know, if you're doing digital transformation, you need access to clean, consistent, trusted information. Or if you're doing machine learning or any kind of data analytics, you need similar kinds of trusted information. It wasn't a mainstream concept, but people were struggling with it because, you know, the whole notion of garbage in garbage out was becoming clearer to them as they started running into hurdles. And it's great to see that now, you know, after having gone through the transformation of, yes, we have provided the compute and the storage, but now we really need to unlock the value out of data that goes on this compute and storage. You know, it's great to see that even Amazon or AWS is talking about it. >> Well, as a founder, it's satisfying, and congratulations, we've been covering that. I got to ask, you mention this end to end. I like the example of in the 2006 applications considered complex, now hundreds and thousands of workloads are on an enterprise. Today we're going to hear more end to end data services on AWS and off AWS, hybrid or edge or whatever, that's happens. Now cross, it sounds like it's going to get more complex still. >> I mean... >> John: Right. I mean, that's not easy. >> Savannah: The gentle understatement of the century. I love that. Yes. >> If Adam's message is end to end, it's going to be more complex. How does it get easier? Because the enterprise, you know, the enterprise vendors love solving complexity with more complexity. That's the wrong answer. >> Well, you're absolutely right that things are going to get more complex. But you know, this is where, whether it is Amazon or you know, us, Reltio as a vendor coming in, the goal should always be what are we going to simplify for the customer? Because they are going to end up with a complex landscape on their hands anyway. Right? >> Savannah: Right. >> So that is where, what can be below the surface and simplified for the customers to use versus bringing their focus to the business value that they can get out of it. Unlocking that business value has to be the key aspect that we have to bring to the front. And, you know, that is where, yes, the landscape complexity may grow, but how is the solution making it simpler, easier, faster for you to get value out of the data that you're trying to work with? >> As a mission, that seems very clear and clean cut, but I'm curious, I can imagine there's so many different things that you're prioritizing when you're thinking about how to solve those problems. What is that decision matrix like for you? >> For us, it goes back to the core focus and the core problem that we are in the business of solving which is in a siloed, fragmented landscape, how can we create a single source of truth orientation that your business can depend on? If you're looking for the unified view of the customer, the product, the supplier, the location, the asset, all these are elements that are critical or crucial for you to run your business end to end. And we are there to provide that solution as Reltio to our customers. So, you know, we always, for our decision matrix have to go back to are we simplifying that problem for our customers and how much faster, easier, nimbler can it be, you know, both as a solution and also the time to value that it brings to the equation for the customer. >> Super important, end of the equation. Clearly you are on to something. You are not only a unicorn company, unicorn company being evaluated at over $1 billion latest evaluation, correct me if I'm wrong, is $1.7 billion as of last year. But you are also a centaur, which is seven times more rare than a unicorn, which for the audience maybe not familiar with the mythical creatures that define the Silicon Valley nomenclature in Lexicon. A centaur is a company with a hundred million in annual reoccurring revenue. How does it feel to be able to say that as a CEO or to hear me say that to you? >> Well, as a CEO, it's, you know, something that we have been working towards. the goal that we can deliver value to our customers, help every industry, you know, you just think about the types of products that you touch in a day, whether it's, you know, any healthcare related products that you're looking at. We are working with customers who are solving for the patient record to be unified with our platform. We are working with financial services companies who are helping you simplify how you do banking with them. We are working with retailers who are working in the area of, you know, leisure apparel or athletic goods and they are using our capabilities to simplify how they deliver better experience to you. So as I go across these industries, being able to influence and touch and simplify things overall for the customers that these companies are serving, that's an amazing feeling. And, you know, doing this while we are also making sure that we can build a durable business that has substantial revenue behind it- >> Savannah: Substantial. >> Gives us a lot of legs to stand on and talk about how we can change how the companies should run their entire data stack. >> And you're obviously a very efficient team practicing what you teach. You told me how many employees that you have? >> We have 450 employees across the globe. >> 450 employees and a hundred million in reoccurring revenue. It's pretty strong. It's pretty strong. >> Thank you. >> That's a quarter million in rev per employee. They're doing a pretty good job. That's absolutely fantastic. >> The cloud has been very successful, partnering with the cloud, a lot of leverage for the cloud. >> And that's been a part of our thesis from the very beginning that, you know, the capabilities that we build and bring to life have to be built on public cloud infrastructure. That's something that has been core to our innovation cycle because we look at it as a layer cake of innovation that we sit on and we can continue to drive faster value for our customers. >> John: Okay, so normally we do a bumper sticker. Tell me the bumper sticker for the show. We changed it to kind of modernize it called the Insta Challenge, Instagram challenge. Instagram has reels, short videos. What's the Instagram reel from your perspective? You have to do an Instagram reel right now about why this time in history, this time in for Amazon web services, this point for Reltio. Why is this moment in time important in the computer industry? Because, you know, we've reported, I put a story out, NextGen Clouds here. People are seeing their status go from ISV to ecosystem platforms on top of AWS. Your success has continued to grow. Something's going on. What's the Instagram reel about why this year's so important in the history of the cloud? >> Well, you know, just think about the overall macroeconomic conditions. You know, everybody's trying to think about where the next, you know, the set of growth is going to come from or how we are going to tackle, you know, what we have as challenges in front of us. And at the end of the day, most of the efficiency that came from applying new applications or, you know, buying new products in the application space has delivered its value. The next unlock is going to come from data. And that is the key that we have to think about because the traditional model of going across 500 different applications to run your business is no longer going to be a scalable model to work with. If you really want to move faster with your business, you have to think about how to use data as a strategic asset and think about things differently. And we are talking about delivering experience at the edge, delivering, you know, real time type of engagement with the customers that we work with. And that is where the entire data value proposition starts to deliver a whole new set of options to the customers. And that's something that we all have to think about differently. It's going to require a fundamentally different architecture, innovation, leading with data instead of thinking about the traditional landscape that we have been running with. >> Leading with data and transforming architecture. A couple themes we've had on the show lately already. >> John: Well I think there's been a great, I mean this is a great leadership example of what's going on in the industry. As young people are looking at their careers. I've talked with a lot of folks under 30, they're trying to figure out what's a good career path and they're looking at all this change in front of them. >> That's a great point, John. >> Whether it's a computer science student or someone in healthcare, these industries are being reinvented with data. What's your advice to those young, this up and coming generation that might not take the traditional path traveled 'cause it might not be there. What's your advice for those people making these career decisions? >> I think there are two things that are relevant to every career option out there. Knowledge and awareness of data and how to apply computing techniques to the data is key and relevant. It's the language that we all have to learn and be familiar with. Without that, you know, you'll be missing a key part of your arsenal that you will be required to bring to work but won't have access to if you're not well-versed or familiar with those two areas. So this is lingua franca that we all have to get used to. >> Data and computer technology applied to business or some application or some problem. >> Manish: Applied to business. You know, figuring out how to apply it to deliver business outcomes is the key thing to keep in mind. >> Okay. >> Yeah. Last question for you to wrap us up. It's obviously an exciting, thrilling, vibrant moment here on the show floor, but I'm curious because I can imagine some of your customers, especially given the scale that they're at, I mean we're talking about some Fortune 100s here, how are you delivering value in this uncertain market? I mean, I know you solved this baseline problem but I can imagine there's a little bit of frantic energy within your customer base. >> Manish: Yeah. You know, with data this has been a traditional challenge. Everybody talks about the motherhood and apple pie. If you have better data, you can drive better outcomes. But some of the work that we have been doing is quantifying, measuring those outcomes and translating what the dollar impact of that value is for each one of the customers. And this is where the work that we have done with large, you know, let's say life sciences companies like AstraZeneca or GSK or in financial services with companies like Northwestern Mutual or Fidelity or, you know, common household names like McDonald's where they're delivering their digital transformation with the data capabilities that we are helping build with them. That's the key part that's been, you know, extremely valuable. And that is where in each one of these situations, we are helping them measure what the ROI is at every turn. So being able to go into these discussions with the hard dollar ROI that you can expect out of it is the key thing that we are focused on. >> And that's so mission critical now and at any economic juncture. Just to echo that, I noticed that Forrester did an independent study looking at customers that invested in your MDM solution. 366% ROI and a total net present value of 13 million over three years. So you clearly deliver on what you just promised there with customers and brands that we touch in all of our everyday lives. Manish, thank you so much for being on the show with us today. You and Reltio are clearly crushing it. We can't wait to have you back hopefully for some more exciting updates at next year's AWS re:Invent. John, thanks for- >> Or sooner. >> Yeah, yeah. Or sooner or maybe in the studios or who knows, at one of the other fabulous events we'll all be at. I'm sure you'll be traveling around given the success that the company is seeing. And John, thanks for bringing the young folks into the conversation, was a really nice touch. >> We got skill gaps, we might as well solve that right now. >> Yeah. And I like to think that there are young minds watching theCUBE or at least watching, maybe their parents are- >> We're streaming to Twitch. All the gamers are watching this right now. Stop playing the video games. >> We have the hottest stream on Twitch right now if you're not already ready for it. John Furrier, Manish Sood, thank you so much for being on the show with us. Thank all of you at home or at the office or in outer space or wherever you happen to be tuned in to this fabulous live stream. You are watching theCUBE, the leader in high tech coverage. My name is Savannah Peterson. We're at AWS re:Invent here in Las Vegas where we'll have our head in the clouds all week.

>>Hello, everyone. Welcome to the cubes presentation of the 80 startup showcase marketing technology, emerging cloud scale customer experiences. This is season two, episode three of the ongoing series covering the exciting startups from the, a AWS ecosystem to talk about all the top trends and also featuring the key customers. I'm your host, John ER, today we're joined by Louis Fernando, Denise vice president of peak pay social and John Kim, the CEO of Sandberg to learn about the future of what's going on in fostering deeper customer relationships. Gentlemen, thanks for joining us in the cube showcase, >>Excited to be here. >>So John talk about Sendbird real quick set the table for us. What you guys do, you got a customer here to highlight some of the key things you're doing with customers, the value proposition what's Sendbird and what's the showcase about, >>Yeah, I'm really excited to be here. Uh, I'm John founder, C of Sandberg. So Sandberg is the worst leading conversations platform for mobile applications. We can power user to user conversations in mobile applications, as well as the brand to user conversations such as marketing sales and support. So, uh, today we power over quarter billion users on a monthly basis. Uh, we have, you know, through over 300 employees across seven different countries around the world, we work with some of the world's leading, uh, uh, customers such as big pay that we are going to showcase today, along with other, uh, wonderful customers like DoorDash, Reddit, <inaudible> sports and so forth. We have collectively raised over 200 million in funding. Um, so that's kind of where we are today. >>Well, it's always great to have, uh, one great success. Uh, good funding, more important is the customers. And I love showcases where the customers do the talking, because that means you've got some success stories. Louise, talk about, um, are you happy customer? What's it like working with Sandberg? Give us the, give us the scoop. >>So sandbar is being a great partner with us. So pick pay is a Brazilian payment app. We're at a FinTech here with more than 30 million active users using everyday pick pay to pay everything. So the, the, the majority of the payments are between peers, between people. So sandbar is, is helping us to improve a lot this journey to make it more pleasant between every everyone who are using big, big. So we are here, let's talk and it's a >>Pleasure. Yeah, it's awesome. Well, I great to have you guys on great, great relationship. And one of the things we've been talking about on the cube, if the folks watching that know our audience, no we've been banging the, the drum hard on this new world and this new patterns of user expectations and building relationships in this new digital world is not about the old way, the old MarTech way. There are new new use cases, new expectations by the consumers, John, that are, that are bringing up new opportunities, but also expectations. It's not about, I mean, I mean, if someone's using discord, for example, cuz they're gamers, they're done discord. If they want to communicate with, with slack, they, I do slack, SMS, kind of old hat. You got WhatsApp, you've got all these now peer to peer organic connections, multiple channels. This is all the new world. What's your vision on this new relationship building digital communication world. >>Yeah. So I, I think you brought a really good point there. One of the most frequently used applications in the world today are messaging applications across any countries, any region, any culture, if you look at the most frequently used and most longest used applications are usually some form of a, a messaging application. Now the end users or the customers in the world are so used to using, uh, uh, such a, you know, frictionless ver very responsive, modern experience on those messaging applications. What we want to help with the business around the world, the 99.9% of the business around the world don't have those really te knowledge or user experience expertise in messaging. So we want to help our businesses, help our customers be able to harness the power of modern messaging capabilities and then be able to embed it in their own business so that they can retain their users on their platform, engage with them in the con context that their, uh, what their business is about so that they can not only, uh, control or provide a better user experience, but also be able to, uh, understand their users better, uh, understand what they're doing on their businesses, be able to own and, uh, control the data in a more secure and safe way. >>So really it's uh, we're like the Robin hood of the world trying to keep superpower yeah. Back to the businesses. >>Yeah. Deal from the rich idea, the messaging scale. Bring that to everybody else. I love that. Uh, and you got kind of this double int Robin hood kind of new for the new generation finance. This is about taking the advantage of scalable platforms, monopolies, right. And giving the entrepreneur an opportunity to have that same capability feature, rich Louise PPE. You guys used Sendbird together. You have to level up, you gotta compete with those big monopolies to pride, scalable conversations. Okay. How did you engage this? What was your success path look? What was it look like? >>Yeah. When we look to this majority, the bigger chat apps that we have nowadays in the market, we are looking to them and then Brazilians are using for their daily course, but Brazilians are paying every day millions and millions of payments. And these chat apps are not, uh, able to, to, to deal with these payments. So what we are doing here is that, uh, providing a solution where every conversation that are going to happen before, during, or after a payment between the, the people, they would, uh, uh, have a nice platform that could afford all, all of their emotions and discussions that they have to do before or after the payment. So we are putting together the chat platform and we with the payment platform. So that's, that's what we are doing now. >>Okay. So just so I get this right. You're using Sandberg essentially integrated your mobile payment experience. Okay. Which is your app you're Sandberg to bring that scalability into the, into the social app application into the app itself. Is that right? >>Yes. Perfect. Integrated with the payment journey. So everybody who is going to pay, they need to find the one, the, the one they want to pay and then they can chat and conclude the payment through the platform. Yeah. I >>Mean, why not have it right there at point of, uh, transaction. Right. Um, why did you, um, decide to, um, to use conversations in your mobile wallet? Just curious. >>So it's important to say that we were born social. We born in 2012. So when our main main product was peer to peer payments, so everybody were sending money to a friend requesting or charging their family. So a service provider. And once we, we started as a social platform in that period. In that moment, we are just focusing in likes comments and like public interactions and the word become more private. And as soon we under understood this situation, we decided to move from a public feed to a private, to a private interaction. So that's, uh, that then the, the conversational space was the solution for that moving from a public interaction to a private interaction. So between the peers, which are involved in the, the transaction. So that's why we are providing the chat solution integrated with payments. >>That's a great call. John, just give some context here, again, for the folks watching this is now expected, this integrated experience. What's your, how would you talk to folks out there? I mean, first of all, I, I, I see it clearly, you've got an app, you gotta have all this integration and you need it scaling to reach features. Talk about your view on that. Is that the, is that what's happening here? What's, what's the real dynamic here. What's the, the big trend. >>Yeah. One thing that's, uh, super interesting about, uh, uh, like messaging experience in general, if you think about any kind of conversations that's happening, uh, digitally between human beings, more and more conversations, just like what Louis mentioned earlier are happening between in a private setting, even on applications, whether it be slack or other forms of communication, uh, more hap uh, more conversations happen through either one-on-one conversations or in a private small group settings. And because people feel more secure, uh, safe to have, uh, more intimate conversations. So even when you're making transactions is more, you know, there's a higher trust and, uh, people tend to engage, uh, far better on platforms through these kind of private conversations. That's where we kind of come in, whether it be, you want to set a one-on-one conversations or with a group conversation. And then ultimately if you want to take it public in a large group setting, you can also support, you know, thousands, if not, you know, hundreds of thousands of people, uh, engaging a public forum as well. So all of those capabilities can be implemented using something Ember, but again, the world is, uh, right now the businesses and how the user are, are interacting with this with each other is all happening through digital conversations. And we're seeing more and more of that happening, uh, throughout the life cycle of our company. >>Yeah, just as a sidebar, I was just talking to a venture in San Francisco the other day, and we're talking about the future of security and SAS and cloud scale. And, you know, the conversation went to more of, is it SAS? Is it platform as a service Louis? I wanna get your thoughts because, you know, you're seeing more and more needs for customization, low code, no code. You're seeing these trends. You gotta built in security. So, you know, the different, the old SAS model was softwares a service, but now that's everything in the cloud is softwares a service. So, but you need to have that platform kind of vibe for scale customization, maybe some developer integration, cuz apps are becoming the, the touchpoint. So can you walk us through what your vision was when you decided to integrate, chat into your app and how did you see that chat, changing the customer experience for payments and across your user journey? Cause, I mean, it's obvious now looking at it, but it might not have been for some. What was your, what was your vision? And when you had to do that, >>When you looked to Brazilian reality, we can see those in, uh, payment apps. All of them are focused on the transactional moment. And as soon as we started to think, how could be, how could our journey be better, more pleased than the others and make people want to be here and to use and to open our app every day is just about making the interaction with the peers easier, even with a merchant or even with my friend. So the main point that our first step was just to connect all, all the users between themselves to payments. The second step we are providing now is using the chat platform, the send bird platform as a platform for peak pay. So we are going to provide more best information. We're going to provide a better customer experience through the support and everything. So, um, this, this, this interaction or this connection, this partnership with Sandberg are going to unlock a new level of service for our users. And at the same time, a much more pleasant or a more pleasant journey for them while they are using the, the app for a, a simple payment, or if they are going to look for a group objective or maybe a crowdfund in the future or a group to decide, or just to pay something. So we are then locking a new level of interaction between the peers between the people and the users that are, that are involved into this, this payment or this simple transaction, we are making it more conversational. >>Yeah. You're making the application more valuable. We're gonna get to that in the next segment about, you know, the future of apps one and done, you see a lot of sports apps, oh, this big tournament, you know, and then you use it and then you never use it again until next year. You know, you have very time specific apps, but now you guys are smart to kind of build this in, but I gotta ask you a question because a lot of developers and companies out there always have this buy versus build decision. Why did you decide to use Sendbird versus building it in house? It's always kind of like the big trade off. >>Yeah. First of all, it will take a long, long time for us to achieve a major platform as Sandberg. And we are not a chat platform. So we are going to use this social interaction to improve the payment platform that we have. So when we look to the market and we found Sandberg, then we thought, okay, this guys, they are a real platform. And through the conversations, we are seeing that they are roadmap working in synergy with our roadmap. And then we can, we could start to deliver value to our, to our users in a fastest way. Could you imagine it spending 2, 3, 4 years to develop something like sand? And even when we achieve this point, probably our solution will be, would be weaker than, than Sandberg. So it was like no brainer to do that. Yeah. Because we want to improve the payment journey, not to do a chat, only a chat platform. So that's why we are working together to prove it's >>Really, you start to see these plugins, these, you know, look at Stripe for payments, for instance, right. And here in the success they've had, you know, people want to plug in for services. So John, I gotta ask you about, um, about the, the complexity that goes into it. The trust required that they have for you, you have to do this heavy lifting, you gotta provide the confidence that your service is gonna have to scale the compliance. Talk about that. What do you guys do under the covers that make this easy again, great business model, heavy lifting done by you. Seamless integration provide that value. That's why business is good, but there's a lot going on share what's happening under the, under the covers. >>Yeah. Um, before going to like the technical, like intricacy of what we do just to provide a little bit of background context on why we even started this business is we, uh, this is my second startup. My first company was a gaming company. We had built like chat three, four times just for our own game. So we were basically, we felt like we were reinventing the wheel. And then we actually went on a buyer's journey when we were building a social application, uh, uh, for, for, uh, uh, building our own community. We tried to actually be a buyer to see if we can actually find a solution. We want to use turns out that there weren't a lot of like sophisticated, you know, top notch, modern, uh, uh, chat experience that we can build using some other third party solutions. So we had to build all of that ourselves, which became the foundation for se today. >>And what we realized is that for most companies like using a building, the most sophisticated chat is probably not going to be their highest priority in case a pick pay will be, you know, financial transactions and all the other business that can be built on and hosted by platform like pick pay. But, you know, building the most topnotch chat experience would be a priority for a company like let's say WhatsApp or, or telegram, but it will probably not be the priority for, you know, major gaming companies, food delivery companies, finance companies, chat is not the highest priority. That's kind of where we come in, cuz chat is the highest priority for us. And we also have a privilege of working with some of the other, uh, world industry, uh, industry leaders. So by, uh, having this collective experience, working with the industry leaders, we get, uh, uh, technological superiority, being able to, uh, scale to, you know, hundreds of millions of users on a monthly basis. Also the security and the compliances by working with some of the largest commercial banks on some of the largest FinTech applications across the globe. So we have, you know, security, compliances, all the industry, best practices that are built in and all the new topnotch user experience that we are, uh, building with other customers can be also be, uh, utilized by a customer like pick pay. So you get this collective almost like evolutionary benefit. Yeah. By, uh, working with a company like us, >>You get a lot of economies of scale. Could you mind just sharing the URL for the company? So folks watching can go get, do a deep dive. Cause I'm you guys got a lot of, lot of, um, certifications under the covers, a lot of things you guys do. So you mind just sharing URL real quick. >>Yeah. So our company, uh, you can find everything about our company on sandberg.com like carrot pigeon. So, uh, you're sending a bird to send a message. So, uh, yeah. send.com >>All so let's get it to the application, cuz this is really interesting cuz Chad is table stakes now, but things are evolving beyond Chad. You gotta integrate that user experience. It's data. Now you gotta have scale. I mean, you know, people who wanna roll their own chat will find out there's a lot of client side and backend scale issues. Right. You can have a tsunami river like on Twitch, you know, you chat. I mean that, could you got client side issues, data scale. <laugh> right. You got backend. Um, Louis, talk about that dynamic because you know, as you start to scale, you want to rely on that. Talk about this dynamic, how apps now are integrating all these new features. So is it, are apps gonna go like more multifunctional? Do you see apps one and done? What's the, how do you guys see this app world playing out and where does, does the Sendbird fit in? And >>Just, just let me know better John, about the performance or about the, just, just let me >>Oh, slow with performance. Uh, performance is huge, right? You gotta have no one wants to have lag on, on chat. >>Okay. So, um, big pay when we look to the payments have millions, thousands of, of, of payments happen happening every second. So what we are doing now is moving all the payments through a conversation. So it always happened inside the conversation. So since from the first moment, um, every second counts to convert this client. And since from the first moment we never saw in, on Sandberg, any issue about that. And even when we have a question or something that we need to improve the team we're working together. So that that's, those are the points that are making us to work together and to make things going pretty fast. When we look to the users who are going to use chat, they are, their intention is three times better than the users who are not using payments through the chat. They are average. Average spent is three times higher too. >>So they, they are making more connections. They are chatting with their friends. They are friends are here. So the network effect is stronger. So if they're going to pay and they need to wait one more second, two seconds to conclude the payment, probably they will not go into choose paying through the, again, they will use only the wallet, only the code, only the Alliance of the user. So that's is so important for us to perform really, really fast. And then this is what we are finding. And this is what is happening with the integration with Sandberg. >>And what's interesting is, is that the by build chat with conversation, we just had a minute ago kind of plays in here. You get the benefits of Sandberg, but now your transactional fidelity is in the chat <laugh> that you don't build that you rely on them on. So again, that's an interesting dynamic. This is the future of apps, John, this is where it matters. The engagement. This is what you talk about is the new, the new digital experience who would've thought that five, 10 years ago. I mean, chat was just like, Hey, what's going around direct message. Now it's integral part of the app. What's your reading. >>Yeah. I mean, we're seeing that across, uh, uh, to Lewis's point, not just transactions, but like marketing messages are now being sent through chat. So the marketing is no longer just about like giving discount calls, but you can actually reengage with the brand. Uh, also support is becoming more real time through chat. So you're actually building a relationship. The support agents have a better context about the previous conversations and the transactions, the sales conversations, even like building, uh, building alerts, notification, all those things are now, uh, happening through conversations. And that's a better way for customers to engage with the brand cuz you actually, you're actually building a better relationship and also, uh, being able to trust the brand more because there is a channel for you to communicate and, and, and be seen and be heard, uh, by the brand. So we do believe that that's the future of the business and how more and more, uh, brands will be building relationships with their customers. >>Yeah. I love, I love your business model. I think it's really critical. And I think that stickiness is a real, uh, call out point there and the brand, the co-branding and the branding capability, but also really quickly in the last minute we have John and Luis, if you don't mind talking about security, I mean, I can't go a day now without getting an SMS scam, uh, text, uh, you seeing it now on WhatsApp. I mean, I don't even use telegram anymore. I mean, come on. So like, like this is now a problem. The old way has been infiltrated with spam and security issues. Security has to be there. The trust and security real quick, John, we'll start with you and we all Louis go, go ahead. >>No, no. Just, just to, to say how important is that we are not only a chatting platform. We are a payment platform, so we have money now, the transaction. So here in Brazil, we have all this safe, the, the, the layers, the security layers that we have in, on our app. And then we have the security layers provided from Sandburg. So, and when we look to the features, Sandberg are providing to us a lot of features that help users to feel safer like per refined profiles, like announcements, where it's a profile from peak pay, where the users can recognize. So this is peak pay talking with me. It's not a user trying to pass, trying to use big Bay's name to talk with me. So these issues is something that we are really, really, we really care about here because we are not only a chat platform. As I said before, we are a payment platform. We are a FinTech, we're at a digital bank. So we need to take care a lot and we don't have any complaint about it because Sandberg understood it. And then they, they, they are providing since the first moment with the perfect solutions and the user interface to make it simpler for the users to recognize that we speak, pay who is chatting with them, not a user with, with bad, bad intentions. >>Great, great insight, Louis. Thanks for sharing that, John really appreciate you guys coming on. Great showcase. Real final word. John will give you the final word folks watching out there. How do they engage with Sendbird? I want to integrate, I want to use your chat service. What do I do? Do I have to connect in as it managed service is the line of code. What do I do to get Sendbird? >>Yeah. So if you're a developer building a mobile application, simply come visit our website, we have a open documentation and SDK you can download and simply plug into your application. You can have a chat experience up and running matter of minutes, if not ours using our UI kit. So we want to make it as easy as possible for all the builders in the world to be able to harness the superpower of digital conversations. >>All right, great. Congratulations, John, on your success and all the growth and Louis, thanks for coming in, sharing the customer perspective and great insight. Thanks for coming on the showcase. Really appreciate it. Thanks for your time. >>Yeah. Thank you for having me. >>Okay. The a of us startup showcase season two, episode three here I'm John for your host. Thanks for watching.

>> We're back at the Big Apple, theCUBE's coverage of MongoDB World 2022. Sahir Azam is here, he's the Chief Product Officer of MongoDB, and Guillermo Rauch who's the CEO of Vercel. Hot off the keynotes from this morning guys, good job. >> Thank you. >> Thank you. >> Thank you for joining us here. Thanks for having us. Guillermo when it comes to modern web development, you know the back-end, the cloud guys got to it kind of sewn up, >> you know- >> Guillermo: Forget about it. >> But all the action's in the front end, and that's where you are. Explain Vercel. >> Yeah so Vercel is the company that pioneers front-end development as serverless infrastructure. So we built Next.js which is the most popular React framework in the world. This is what front-end engineers choose to build innovative UI's, beautiful websites. Companies like Dior and GitHub and TikTok and Twitch, which we mentioned in the keynote, are powering their entire dot-coms or all of their new parts of their dot-coms with Next.js. And Vercel is the serverless platform where you can deploy frameworks like in Next.js and others like Svelte and Vue to create really fast experiences on the web. >> So I hear, so serverless, I hear that's the hot trend. You guys made some announcements today. I mean when you look at the, we have spending data with our friends at ETR right down the street. I mean it's just off the charts, whether it's Amazon, Google, Azure Functions, I mean it's just exploding. >> Sahir: Yeah, it's I think in many ways, it's a natural trend. You know, we talk a lot about, whether it be today's keynote or another industry talks you see around our industry that developers are constantly looking for ways to focus on innovation and the business logic that defines their application and as opposed to managing the plumbing, and management of infrastructure. And we've seen this happen over and over again across every layer of the stack. And so for us, you know MongoDB, we have a bit of, you know sort of a lens of a broad spectrum of the market. We certainly have you know, large enterprises that are modernizing existing kind of core systems, then we have developers all over the world who are building the next big best thing. And that's what led us to partner with Vercel is just the bleeding edge of developers building in a new way, in a much more efficient way. And we wanted to make sure we provide a data platform that fits naturally in the way they want to work. >> So explain to our audience the trade-offs of serverless, and I want to get into sort of how you've resolved that. And then I want to hear from Guillermo, what that means for developers. >> Sahir: Yeah in our case, we don't view it as an either or, there are certain workloads and definitely certain companies that will gravitate towards a more traditional database infrastructure where they're choosing the configuration of their cluster. They want full control over it. And that provides, you know, certain benefits around cost predictability or isolation or perceived benefits at least of those things. And customers will gravitate towards that. Now on the flip side, if you're building a new application or you want the ability to scale seamlessly and not have to worry about any of the plumbing, serverless is clearly the easier model. So over the long term, we certainly expect to see as a mix of things, more and more serverless workloads being built on our platform and just generally in the industry, which is why we leaned in so heavily on investing in Atlas serverless. But the flexibility to not be forced into a particular model, but to get the same database experience across your application and even switch between them is an important characteristic for us as we build going forward. >> And you stressed the cost efficiency, and not having to worry about, you know, starting cold. You've architected around that, and what does that mean for a developer? >> Guillermo: For a developer it means that you kind of get the best of both worlds, right? Like you get the best possible performance. Front-end developers are extremely sensitive to this. That's why us pioneering this concept, serverless front-end, has put us in a very privileged position because we have to deliver that really quick time to first buy, that really quick paint. So any of the old trade-offs of serverless are not accepted by the market. You have to be extremely fast. You have to be instant to deliver that front-end content. So what we talked about today for example, with the Vercel Edge network, we're removing all of the cost of that like first hit. That cold start doesn't really exist. And now we're seeing it all across the board, going into the back-end where Mongo has also gotten rid of it. >> Dave: How do you guys collaborate? What's the focus of integration specifically from, you know, an engineering resource standpoint? >> Yeah the main idea is, idea to global app in seconds, right? You have your idea. We give you the framework. We don't give you infrastructure primitives. We give you all the necessary tools to start your application. In practice this means you host it in a Git repo. You import it onto Vercel. You install the Mongo integration. Now your front-end and your data back-end are connected. And then your application just goes global in seconds. >> So, okay. So you've abstracted away the complexity of those primitives, is that correct? >> Guillermo: Absolutely. >> Do do developers ever say, "That's awesome but I'd like to get to them every now and then." Or do you not allow that? >> Definitely. We expose all the underlying APIs, and the key thing we hear is that, especially with the push for usage-based billing models, observability is of the essence. So at any time you have to be able to query, in real time, every data point that the platform is observing. We give you performance analytics in real time to see how your front-end is performing. We give you statistics about how often you're querying your back-end and so on, and your cache hit ratios. So what I talked about today in the keynote is, it's not just about throwing more compute at the problem, but the ability to use the edge to your advantage to memoize computation and reuse it across different visits. >> When we think of mission critical historically, you know, you think about going to the ATM, right? I mean a financial transaction. But Mongo is positioning for mission critical applications across a variety of industries. Do we need to rethink what mission critical means? >> I think it's all in the eye of the beholder so to speak. If you're a new business starting up, your software and your application is your entire business. So if you have a cold start latency or God forbid something actually goes down, you don't have a business. So it's just as mission critical to that founder of a new business and new technology as it is, you know, an established enterprise that's running sort of a more, you know, day-to-day application that we may all interact with. So we treat all of those scenarios with equal fervor and importance right? And many times, it's a lot of those new experiences that the become the day-to-day experiences for us globally, and are super important. And we power all of those, whether it be an established enterprise all the way to the next big startup. >> I often talk about COVID as the forced march to digital. >> Sahir: Mm-Hmm. >> Which was obviously a little bit rushed, but if you weren't in digital business, you were out of business. And so now you're seeing people step back and say, "All right, let's be more thoughtful about our digital transformation. We've got some time, we've obviously learned some things made some mistakes." It's all about the customer experience though. And that becomes mission critical right? What are you seeing Guillermo, in terms of the patterns in digital transformation now that we're sort of exiting the isolation economy? >> One thing that comes to mind is, we're seeing that it's not always predictable how fast you're going to grow in this digital economy. So we have customers in the ecommerce space, they do a drop and they're piggybacking on serverless to give them that ability to instantly scale. And they couldn't even prepare for some of these events. We see that a lot with the Web3 space and NFT drops, where they're building in such a way that they're not sensitive to this massive fluctuations in traffic. They're taking it for granted. We've put in so much work together behind the scenes to support it. But the digital native creator just, "Oh things are scaling from one second to the next like I'm hitting like 20,000 requests per second, no problem Vercel is handling it." But the amount of infrastructural work that's gone behind the scenes in support has been incredible. >> We see that in gaming all the time, you know it's really hard for a gaming company to necessarily predict where in the globe a game's going to be particularly hot. Games get super popular super fast if they're successful, it's really hard to predict. It's another vertical that's got a similar dynamic. >> So gaming, crypto, so you're saying that you're able to assist your customers in architecting so that the website doesn't crash. >> Guillermo: Absolutely. >> But at the same time, if the the business dynamic changes, they can dial down. >> Yeah. >> Right and in many ways, slow is the new down, right? And if somebody has a slow experience they're going to leave your site just as much as if it's- >> I'm out of here- >> You were down. So you know, it's really maintaining that really fast performance, that amazing customer experience. Because this is all measured, it's scientific. Like anytime there's friction in the process, you're going to lose customers. >> So obviously people are excited about your keynote, but what have they been saying? Any specific comments you can share, or questions that you got that were really interesting or? >> I'm already getting links to the apps that people are deploying. So the whole idea- >> Come on! >> All over the world. Yeah so it's already working I'm excited. >> So they were show they were showing off, "Look what I did" Really? >> Yeah on Twitter. >> That's amazing. >> I think from my standpoint, I got a question earlier, we were with a bunch of financial analysts and investors, and they said they've been talking to a lot of the customers in the halls. And just to see, you know, from the last time we were all in person, the number of our customers that are using multiple capabilities across this idea of a developer data platform, you know, certainly MongoDB's been a popular core database open source for a long time. But the new capabilities around search, analytics, mobile being adopted much more broadly to power these experiences is the most exciting thing from our side. >> So from 2019 to now, you're saying substantial uptick in adoption for these features? >> Yeah. And many of them are new. >> Time series as well, that's pretty new, so yeah. >> Yeah and you know, our philosophy of development at MongoDB is to get capabilities in the hands of customers early. Get that feedback to enrich and drive that product-market fit. And over the last three years especially, we've been transitioning from a single product kind of core, you know, non relational modern database to a data platform, a developer data platform that adds more and more capabilities to power these modern applications. And a lot of those were released during the pandemic. Certainly we talked about them in our virtual conferences and all the zoom meetings we had over the years. But to actually go talk to all these customers, this is the largest conference we've ever put on, and to get a sense of, wow all the amazing things they're doing with them, it's definitely a different feeling when we're all together. >> So that's interesting, when you have such a hot product, product-led growth which is what Mongo has been in, and you add these new features. They're coming from the developers who are saying, "Hey, we need this." >> Yip. >> Okay so you have a pretty high degree of confidence, but how do you know when you have product-market fit? I mean, is it adoption, usage, renewals? What's your metric? >> Yeah I think it's a mix of quantitative measures that you know, around conversion rates, the size of your funnel, the retention rate, NPS which obviously can be measured, but also just qualitative. You know when you're talking to a developer or a technology executive around what their needs are, and then you see how they actually apply it to solve a problem, it's that balance between the qualitative and the quantitative measurement of things. And you can just sort of, frankly you can feel it. You can see it in the numbers sure, but you can kind of feel that excitement, you can see that adoption and what it empowers people to do. And so to me, as a product leader, it's always a blend of those things. If you get too obsessed with purely the metrics, you can always over optimize something for the wrong reason. So you have to bring in that qualitative feedback to balance yourself out. >> Right. >> Guillermo, what's next? What do you not have that you want from Sahir and Mongo? >> So the natural next step for serverless computing is, is the Edge. So we have to auto-scale, we have to tolerate fares. We have to be avail. We have to be easy, but we have to be global. And right now we've been doing this by using a lot of techniques like caching and replication and things like this. But the future's about personalizing even more to each visitor depending on where they are. So if I'm in New York, I want to get the latest offers for New York on demand, just for me, and using AI to continue to personalize that experience. So giving the developer these tools in a way where it feels natural to build an application like this. It doesn't feel like, "Oh I'm going to do this year 10 if I make it, I'm going to do it since the very beginning." >> Dave: Okay interesting. So that says to me that I'm not going to make a round trip to the cloud necessarily for that experience. So I'm going to have some kind, Apple today, at the Worldwide Developer Conference announced the M2, right. I've been looking at the M1 Ultra, and I'm going wow look at that! And so- >> Sahir: You were talking about that new one backstage. >> I mean it's this amazing pace of Silicon development and they're focusing on the NPU and you look at what Tesla's doing. I mean it's just incredible. So you're going to have some new hardware architecture that emerges. Most of the AI that's done today is modeling in the cloud. You're going to have a real time inferencing at the Edge. So that's not going to do the round trip. There's going to be a data store there, I think it has to be. You're going to persist some of the data, maybe not all of it. So it's a whole new architecture- >> Sahir: Absolutely. >> That's developing. That sounds very disruptive. >> Sahir: Yeah. >> How do you think about that, and how does Mongo play there? Guillermo first. >> What I spent a lot of time thinking about is obviously the developer experience, giving the programmer a programming model that is natural, intuitive, and produces its great results. So if they have to think about data that's local because of regulatory reasons for example, how can we let the framework guide them to success? I'm just writing an application I deployed to the cloud and then everything else is figured out. >> Yeah or speed of light is another challenge. (Sahir and Guillermo laugh) >> How can we overcome the speed of light is our next task for sure. >> Well you're working on that aren't you? You've got the best engineers on that one. (Sahir and Guillermo laugh) >> We can solve a lot of problems, I'm not sure of that one. >> So Mongo plays in that scenario or? >> Yeah so I think, absolutely you know, we've been focused heavily on becoming the globally distributed cloud data layer. The back-end data layer that allows you to persist data to align with performance and move data where it needs to be globally or deal with data sovereignty, data nationalism that's starting to rise, but absolutely there is more data being pushed out to the Edge, to your point around processing or inference happening at the Edge. And there's going to be a globally distributed front-end layer as well, whether data and processing takes apart. And so we're focused on one, making sure the data connectivity and the layer is all connected into one unified architecture. We do that in combination with technologies that we have that do with mobility or edge distribution and synchronization of data with realm. And we do it with partnerships. We have edge partnerships with AWS and Verizon. We have partnerships with a lot of CVM players who are building out that Edge platform and making sure that MongoDB is either connected to it or just driving that synchronization back and forth. >> I call that unified experience super cloud, Robbie Belson from Verizon the cloud continuum, but that consistent experience for developers whether you're on Prim, whether you're in you know, Azure, Google, AWS, and ultimately the Edge. That's the big- >> That's where it's going. >> White space right now I'm hearing, Guillermo, right? >> I think it'll define the next generation of how software is built. And we're seeing this almost like a coalition course between some of the ideas that the Web3 developers are excited about, which is like decentralization almost to the extreme. But the Web2 also needs more decentralization, because we're seeing it with like, the data needs to be local to me, I need more privacy. I was looking at the latest encryption features in Mongo, like I think both Web2 need to incorporate more of the ideas of Web3 and vice versa to create the best possible consumer experience. Privacy matters more than ever before. Latency for conversion matters more than ever before. And regulations are changing. >> Sahir: Yeah. >> And you talked about Web3 earlier, talked about new protocols, a new distributed you know, decentralized system emerging, new hardware architectures. I really believe we really think that new economics are going to bleed back into the data center, and yeah every 15 years or so this industry gets disrupted. >> Sahir: Yeah. >> Guillermo: Absolutely. >> You know you ain't see nothing yet guys. >> We all talked about hardware becoming commoditized 10, 15 years ago- >> Yeah of course. >> We get the virtualization, and it's like nope not at all. It's actually a lot of invention happening. >> The lower the price the more the consumption. So guys thanks so much. Great conversation. >> Thank you. >> Really appreciate your time. >> Really appreciate it I enjoyed the conversation. >> All right and thanks for watching. Keep it right there. We'll be back with our next segment right after this short break. Dave Vellante for theCUBE's coverage of MongoDB World 2022. >> Man Offscreen: Clear. (clapping) >> All right wow. Don't get up. >> Sahir: Okay. >> Is that a Moonwatch? >> Sahir: It is a Speedmaster but it's that the-

>> Man Offscreen: Standby. Dave is coming you in 5, 4, 3, 2. >> We're back at the Big Apple, theCUBE's coverage of MongoDB World 2022. Sahir Azam is here, he's the Chief Product Officer of MongoDB, and Guillermo Rauch who's the CEO of Vercel. Hot off the keynotes from this morning guys, good job. >> Thank you. >> Thank you. >> Thank you for joining us here. Thanks for having us. Guillermo when it comes to modern web development, you know the back-end, the cloud guys got to it kind of sewn up, >> you know- >> Guillermo: Forget about it. >> But all the action's in the front end, and that's where you are. Explain Vercel. >> Yeah so Vercel is the company that pioneers front-end development as serverless infrastructure. So we built Next.js which is the most popular React framework in the world. This is what front-end engineers choose to build innovative UI's, beautiful websites. Companies like Dior and GitHub and TikTok and Twitch, which we mentioned in the keynote, are powering their entire dot-coms or all of their new parts of their dot-coms with Next.js. And Vercel is the serverless platform where you can deploy frameworks like in Next.js and others like Svelte and Vue to create really fast experiences on the web. >> So I hear, so serverless, I hear that's the hot trend. You guys made some announcements today. I mean when you look at the, we have spending data with our friends at ETR right down the street. I mean it's just off the charts, whether it's Amazon, Google, Azure Functions, I mean it's just exploding. >> Sahir: Yeah, it's I think in many ways, it's a natural trend. You know, we talk a lot about, whether it be today's keynote or another industry talks you see around our industry that developers are constantly looking for ways to focus on innovation and the business logic that defines their application and as opposed to managing the plumbing, and management of infrastructure. And we've seen this happen over and over again across every layer of the stack. And so for us, you know MongoDB, we have a bit of, you know sort of a lens of a broad spectrum of the market. We certainly have you know, large enterprises that are modernizing existing kind of core systems, then we have developers all over the world who are building the next big best thing. And that's what led us to partner with Vercel is just the bleeding edge of developers building in a new way, in a much more efficient way. And we wanted to make sure we provide a data platform that fits naturally in the way they want to work. >> So explain to our audience the trade-offs of serverless, and I want to get into sort of how you've resolved that. And then I want to hear from Guillermo, what that means for developers. >> Sahir: Yeah in our case, we don't view it as an either or, there are certain workloads and definitely certain companies that will gravitate towards a more traditional database infrastructure where they're choosing the configuration of their cluster. They want full control over it. And that provides, you know, certain benefits around cost predictability or isolation or perceived benefits at least of those things. And customers will gravitate towards that. Now on the flip side, if you're building a new application or you want the ability to scale seamlessly and not have to worry about any of the plumbing, serverless is clearly the easier model. So over the long term, we certainly expect to see as a mix of things, more and more serverless workloads being built on our platform and just generally in the industry, which is why we leaned in so heavily on investing in Atlas serverless. But the flexibility to not be forced into a particular model, but to get the same database experience across your application and even switch between them is an important characteristic for us as we build going forward. >> And you stressed the cost efficiency, and not having to worry about, you know, starting cold. You've architected around that, and what does that mean for a developer? >> Guillermo: For a developer it means that you kind of get the best of both worlds, right? Like you get the best possible performance. Front-end developers are extremely sensitive to this. That's why us pioneering this concept, serverless front-end, has put us in a very privileged position because we have to deliver that really quick time to first buy, that really quick paint. So any of the old trade-offs of serverless are not accepted by the market. You have to be extremely fast. You have to be instant to deliver that front-end content. So what we talked about today for example, with the Vercel Edge network, we're removing all of the cost of that like first hit. That cold start doesn't really exist. And now we're seeing it all across the board, going into the back-end where Mongo has also gotten rid of it. >> Dave: How do you guys collaborate? What's the focus of integration specifically from, you know, an engineering resource standpoint? >> Yeah the main idea is, idea to global app in seconds, right? You have your idea. We give you the framework. We don't give you infrastructure primitives. We give you all the necessary tools to start your application. In practice this means you host it in a Git repo. You import it onto Vercel. You install the Mongo integration. Now your front-end and your data back-end are connected. And then your application just goes global in seconds. >> So, okay. So you've abstracted away the complexity of those primitives, is that correct? >> Guillermo: Absolutely. >> Do do developers ever say, "That's awesome but I'd like to get to them every now and then." Or do you not allow that? >> Definitely. We expose all the underlying APIs, and the key thing we hear is that, especially with the push for usage-based billing models, observability is of the essence. So at any time you have to be able to query, in real time, every data point that the platform is observing. We give you performance analytics in real time to see how your front-end is performing. We give you statistics about how often you're querying your back-end and so on, and your cache hit ratios. So what I talked about today in the keynote is, it's not just about throwing more compute at the problem, but the ability to use the edge to your advantage to memoize computation and reuse it across different visits. >> When we think of mission critical historically, you know, you think about going to the ATM, right? I mean a financial transaction. But Mongo is positioning for mission critical applications across a variety of industries. Do we need to rethink what mission critical means? >> I think it's all in the eye of the beholder so to speak. If you're a new business starting up, your software and your application is your entire business. So if you have a cold start latency or God forbid something actually goes down, you don't have a business. So it's just as mission critical to that founder of a new business and new technology as it is, you know, an established enterprise that's running sort of a more, you know, day-to-day application that we may all interact with. So we treat all of those scenarios with equal fervor and importance right? And many times, it's a lot of those new experiences that the become the day-to-day experiences for us globally, and are super important. And we power all of those, whether it be an established enterprise all the way to the next big startup. >> I often talk about COVID as the forced march to digital. >> Sahir: Mm-Hmm. >> Which was obviously a little bit rushed, but if you weren't in digital business, you were out of business. And so now you're seeing people step back and say, "All right, let's be more thoughtful about our digital transformation. We've got some time, we've obviously learned some things made some mistakes." It's all about the customer experience though. And that becomes mission critical right? What are you seeing Guillermo, in terms of the patterns in digital transformation now that we're sort of exiting the isolation economy? >> One thing that comes to mind is, we're seeing that it's not always predictable how fast you're going to grow in this digital economy. So we have customers in the ecommerce space, they do a drop and they're piggybacking on serverless to give them that ability to instantly scale. And they couldn't even prepare for some of these events. We see that a lot with the Web3 space and NFT drops, where they're building in such a way that they're not sensitive to this massive fluctuations in traffic. They're taking it for granted. We've put in so much work together behind the scenes to support it. But the digital native creator just, "Oh things are scaling from one second to the next like I'm hitting like 20,000 requests per second, no problem Vercel is handling it." But the amount of infrastructural work that's gone behind the scenes in support has been incredible. >> We see that in gaming all the time, you know it's really hard for a gaming company to necessarily predict where in the globe a game's going to be particularly hot. Games get super popular super fast if they're successful, it's really hard to predict. It's another vertical that's got a similar dynamic. >> So gaming, crypto, so you're saying that you're able to assist your customers in architecting so that the website doesn't crash. >> Guillermo: Absolutely. >> But at the same time, if the the business dynamic changes, they can dial down. >> Yeah. >> Right and in many ways, slow is the new down, right? And if somebody has a slow experience they're going to leave your site just as much as if it's- >> I'm out of here- >> You were down. So you know, it's really maintaining that really fast performance, that amazing customer experience. Because this is all measured, it's scientific. Like anytime there's friction in the process, you're going to lose customers. >> So obviously people are excited about your keynote, but what have they been saying? Any specific comments you can share, or questions that you got that were really interesting or? >> I'm already getting links to the apps that people are deploying. So the whole idea- >> Come on! >> All over the world. Yeah so it's already working I'm excited. >> So they were show they were showing off, "Look what I did" Really? >> Yeah on Twitter. >> That's amazing. >> I think from my standpoint, I got a question earlier, we were with a bunch of financial analysts and investors, and they said they've been talking to a lot of the customers in the halls. And just to see, you know, from the last time we were all in person, the number of our customers that are using multiple capabilities across this idea of a developer data platform, you know, certainly MongoDB's been a popular core database open source for a long time. But the new capabilities around search, analytics, mobile being adopted much more broadly to power these experiences is the most exciting thing from our side. >> So from 2019 to now, you're saying substantial uptick in adoption for these features? >> Yeah. And many of them are new. >> Time series as well, that's pretty new, so yeah. >> Yeah and you know, our philosophy of development at MongoDB is to get capabilities in the hands of customers early. Get that feedback to enrich and drive that product-market fit. And over the last three years especially, we've been transitioning from a single product kind of core, you know, non relational modern database to a data platform, a developer data platform that adds more and more capabilities to power these modern applications. And a lot of those were released during the pandemic. Certainly we talked about them in our virtual conferences and all the zoom meetings we had over the years. But to actually go talk to all these customers, this is the largest conference we've ever put on, and to get a sense of, wow all the amazing things they're doing with them, it's definitely a different feeling when we're all together. >> So that's interesting, when you have such a hot product, product-led growth which is what Mongo has been in, and you add these new features. They're coming from the developers who are saying, "Hey, we need this." >> Yip. >> Okay so you have a pretty high degree of confidence, but how do you know when you have product-market fit? I mean, is it adoption, usage, renewals? What's your metric? >> Yeah I think it's a mix of quantitative measures that you know, around conversion rates, the size of your funnel, the retention rate, NPS which obviously can be measured, but also just qualitative. You know when you're talking to a developer or a technology executive around what their needs are, and then you see how they actually apply it to solve a problem, it's that balance between the qualitative and the quantitative measurement of things. And you can just sort of, frankly you can feel it. You can see it in the numbers sure, but you can kind of feel that excitement, you can see that adoption and what it empowers people to do. And so to me, as a product leader, it's always a blend of those things. If you get too obsessed with purely the metrics, you can always over optimize something for the wrong reason. So you have to bring in that qualitative feedback to balance yourself out. >> Right. >> Guillermo, what's next? What do you not have that you want from Sahir and Mongo? >> So the natural next step for serverless computing is, is the Edge. So we have to auto-scale, we have to tolerate fares. We have to be avail. We have to be easy, but we have to be global. And right now we've been doing this by using a lot of techniques like caching and replication and things like this. But the future's about personalizing even more to each visitor depending on where they are. So if I'm in New York, I want to get the latest offers for New York on demand, just for me, and using AI to continue to personalize that experience. So giving the developer these tools in a way where it feels natural to build an application like this. It doesn't feel like, "Oh I'm going to do this year 10 if I make it, I'm going to do it since the very beginning." >> Dave: Okay interesting. So that says to me that I'm not going to make a round trip to the cloud necessarily for that experience. So I'm going to have some kind, Apple today, at the Worldwide Developer Conference announced the M2, right. I've been looking at the M1 Ultra, and I'm going wow look at that! And so- >> Sahir: You were talking about that new one backstage. >> I mean it's this amazing pace of Silicon development and they're focusing on the NPU and you look at what Tesla's doing. I mean it's just incredible. So you're going to have some new hardware architecture that emerges. Most of the AI that's done today is modeling in the cloud. You're going to have a real time inferencing at the Edge. So that's not going to do the round trip. There's going to be a data store there, I think it has to be. You're going to persist some of the data, maybe not all of it. So it's a whole new architecture- >> Sahir: Absolutely. >> That's developing. That sounds very disruptive. >> Sahir: Yeah. >> How do you think about that, and how does Mongo play there? Guillermo first. >> What I spent a lot of time thinking about is obviously the developer experience, giving the programmer a programming model that is natural, intuitive, and produces its great results. So if they have to think about data that's local because of regulatory reasons for example, how can we let the framework guide them to success? I'm just writing an application I deployed to the cloud and then everything else is figured out. >> Yeah or speed of light is another challenge. (Sahir and Guillermo laugh) >> How can we overcome the speed of light is our next task for sure. >> Well you're working on that aren't you? You've got the best engineers on that one. (Sahir and Guillermo laugh) >> We can solve a lot of problems, I'm not sure of that one. >> So Mongo plays in that scenario or? >> Yeah so I think, absolutely you know, we've been focused heavily on becoming the globally distributed cloud data layer. The back-end data layer that allows you to persist data to align with performance and move data where it needs to be globally or deal with data sovereignty, data nationalism that's starting to rise, but absolutely there is more data being pushed out to the Edge, to your point around processing or inference happening at the Edge. And there's going to be a globally distributed front-end layer as well, whether data and processing takes apart. And so we're focused on one, making sure the data connectivity and the layer is all connected into one unified architecture. We do that in combination with technologies that we have that do with mobility or edge distribution and synchronization of data with realm. And we do it with partnerships. We have edge partnerships with AWS and Verizon. We have partnerships with a lot of CVM players who are building out that Edge platform and making sure that MongoDB is either connected to it or just driving that synchronization back and forth. >> I call that unified experience super cloud, Robbie Belson from Verizon the cloud continuum, but that consistent experience for developers whether you're on Prim, whether you're in you know, Azure, Google, AWS, and ultimately the Edge. That's the big- >> That's where it's going. >> White space right now I'm hearing, Guillermo, right? >> I think it'll define the next generation of how software is built. And we're seeing this almost like a coalition course between some of the ideas that the Web3 developers are excited about, which is like decentralization almost to the extreme. But the Web2 also needs more decentralization, because we're seeing it with like, the data needs to be local to me, I need more privacy. I was looking at the latest encryption features in Mongo, like I think both Web2 need to incorporate more of the ideas of Web3 and vice versa to create the best possible consumer experience. Privacy matters more than ever before. Latency for conversion matters more than ever before. And regulations are changing. >> Sahir: Yeah. >> And you talked about Web3 earlier, talked about new protocols, a new distributed you know, decentralized system emerging, new hardware architectures. I really believe we really think that new economics are going to bleed back into the data center, and yeah every 15 years or so this industry gets disrupted. >> Sahir: Yeah. >> Guillermo: Absolutely. >> You know you ain't see nothing yet guys. >> We all talked about hardware becoming commoditized 10, 15 years ago- >> Yeah of course. >> We get the virtualization, and it's like nope not at all. It's actually a lot of invention happening. >> The lower the price the more the consumption. So guys thanks so much. Great conversation. >> Thank you. >> Really appreciate your time. >> Really appreciate it I enjoyed the conversation. >> All right and thanks for watching. Keep it right there. We'll be back with our next segment right after this short break. Dave Vellante for theCUBE's coverage of MongoDB World 2022. >> Man Offscreen: Clear. (clapping) >> All right wow. Don't get up. >> Sahir: Okay. >> Is that a Moonwatch? >> Sahir: It is a Speedmaster but it's that the-

>>Welcome back to NYC the Cube's coverage of Mongo DB 2022, a few thousand people here at least bigger than many people, perhaps expected, and a lot of buzz going on and we're gonna talk devs. I'm really excited to welcome back. Robbie Bellson who's the developer relations lead at Verizon and Ian Massingham. Who's the vice president of developer relations at Mongo DB Jens. Good to see you. Great >>To be here. >>Thanks having you. So Robbie, we just met a few weeks ago at the, the red hat summit in Boston and was blown away by what Verizon is doing in, in developer land. And of course, Ian, you know, Mongo it's rayon Detra is, is developers start there? Why is Mongo so developer friendly from your perspective? >>Well, it's been the ethos of MongoDB since day one. You know, back when we launched the first version of MongoDB back in 2009, we've always been about making developers lives easier. And then in 2016, we announced and released MongoDB Atlas, which is our cloud managed service for MongoDB, you know, starting with a small number of regions built on top of AWS and about 2,500 adoption events per week for MongoDB Atlas. After the first year today, MongoDB Atlas provides a managed service for MongoDB developers around the world. We're present in almost a hundred cloud regions across S DCP and Azure. And that adoption number is now running at about 25,000 developers a week. So, you know, the proof are in proof is really in the metrics. MongoDB is an incredibly popular platform for developers that wanna build data-centric applications. You just can't argue with the metrics really, >>You know, Ravi, sometimes there's an analyst who come up with these theories and one of the theories I've been spouting for a long time is that developers are gonna win the edge. And now to, to see you at Verizon building out this developer community was really exciting to me. So explain how you got this started with this journey. >>Absolutely. As you think about Verizon 5g edge or mobile edge computing portfolio, we knew from the start that developers would play a central role and not only consuming the service, but shaping the roadmap for what it means to build a 5g future. And so we started this journey back in late 20, 19 and fast forward to about a year ago with Mongo, we realized, well, wait a minute, you look at the core service offerings available at the edge. We didn't know really what to do with data. We wanted to figure it out. We wanted the vote of confidence from developers. So there I was in an apartment in Colorado racing, your open source Mongo against that in the region edge versus region, what would you see? And we saw tremendous performance improvements. It was so much faster. It's more than 40% faster for thousands and thousands of rights. And we said, well, wait a minute. There's something here. So what often starts is an organic developer, led intuition or hypothesis can really expand to a much broader go to market motion that really brings in the enterprise. And that's been our strategy from day one. Well, >>It's interesting. You talk about the performance. I, I just got off of a session talking about benchmarks in the financial services industry, you know, amazing numbers. And that's one of the hallmarks of, of Mongo is it can play in a lot of different places. So you guys both have developer relations in your title. Is that how you met some formal developer relations? >>We were a >>Program. >>Yeah, I would say that Verizon is one of the few customers that we also collaborate with on a developer relations effort. You know, it's in our mutual best interest to try to drive MongoDB consumption amongst developers using Verizon's 5g edge network and their platform. So of course we work together to help, to increase awareness of MongoDB amongst mobile developers that want to use that kind of technology. >>But so what's your story on this? >>I mean, as I, as I mentioned, everything starts with an organic developer discovery. It all started. I just cold messaged a developer advocate on Twitter and here we are at MongoDB world. It's amazing how things turn out. But one of the things that's really resonated with me as I was speaking with one of, one of your leads within your organization, they were mentioning that as Mongo DVIA developed over the years, the mantra really became, we wanna make software development easy. Yep. And that really stuck with me because from a network perspective, we wanna make networking easy. Developers are not gonna care about the internals of 5g network. In fact, they want us to abstract away those complexities so that they can focus on building their apps. So what better co-innovation opportunity than taking MongoDB, making software easy, and we make the network easy. >>So how do you think about the edge? How does you know variety? I mean, to me, you know, there's a lot of edge use cases, you know, think about the home Depot or lows. Okay, great. I can put like a little mini data center in there. That's cool. That's that's edge. Like, but when I think of Verizon, I mean, you got cell towers, you've got the far edge. How do you think about edge Robbie? >>Well, the edge is a, I believe a very ambiguous term by design. The edge is the device, the mobile device, an IOT device, right? It could be the radio towers that you mentioned. It could be in the Metro edge. The CDN, no one edge is better than the other. They're all just serving different use cases. So when we talk about the edge, we're focused on the mobile edge, which we believe is most conducive to B2B applications, a fleet of IOT devices that you can control a manufacturing plant, a fleet of ground and aerial robotics. And in doing so you can create a powerful compute mesh where you could have a private network and private mobile edge computing by way of say an AWS outpost and then public mobile edge computing by way of AWS wavelength. And why keep them separate. You could have a single compute mesh even with MongoDB. And this is something that we've been exploring. You can extend Atlas, take a cluster, leave it in the region and then use realm the mobile portfolio and spread it all across the edge. So you're creating that unified compute and data mesh together. >>So you're describing what we've been expecting is a new architecture emerging, and that's gonna probably bring new economics of new use cases, right? Where are we today in that first of all, is that a reasonable premise that this is a sort of a new architecture that's being built out and where are we in that build out? How, how do you think about the, the future of >>That? Absolutely. It's definitely early days. I think we're still trying to figure it out, but the architecture is definitely changing the idea to rip out a mobile device that was initially built and envisioned for the device and only for the device and say, well, wait a minute. Why can't it live at the edge? And ultimately become multi-tenant if that's the data volume that may be produced to each of those edge zones with hypothesis that was validated by developers that we continue to build out, but we recognize that we can't, we can't get that static. We gotta keep evolving. So one of our newest ideas as we think about, well, wait a minute, how can Mongo play in the 5g future? We started to get really clever with our 5g network APIs. And I, I think we talked about this briefly last time, 5g, programmability and network APIs have been talked about for a while, but developers haven't had a chance to really use them and our edge discovery service answering the question in this case of which database is the closest database, doesn't have to be invoked by the device anymore. You can take a thin client model and invoke it from the cloud using Atlas functions. So we're constantly permuting across the entire portfolio edge or otherwise for what it means to build at the edge. We've seen such tremendous results. >>So how does Mongo think about the edge and, and, and playing, you know, we've been wondering, okay, which database is actually gonna be positioned best for the edge? >>Well, I think if you've got an ultra low latency access network using data technology, that adds latency is probably not a great idea. So MongoDB since the very formative years of the company and product has been built with performance and scalability in mind, including things like in memory storage for the storage engine that we run as well. So really trying to match the performance characteristics of the data infrastructure with the evolution in the mobile network, I think is really fundamentally important. And that first principles build of MongoDB with performance and scalability in mind is actually really important here. >>So was that a lighter weight instance of, of Mongo or not >>Necessarily? No, not necessarily. No, no, not necessarily. We do have edge cashing with realm, the mobile databases Robbie's already mentioned, but the core database is designed from day one with those performance and scalability characteristics in mind, >>I've been playing around with this. This is kind of a, I get a lot of heat for this term, but super cloud. So super cloud, you might have data on Preem. You might have data in various clouds. You're gonna have data out at the edge. And, and you've got an abstraction that allows a developer to, to, to tap services without necessarily if, if he or she wants to go deep into the S great, but then there's a higher level of services that they can actually build for their customers. So is that a technical reality from a developer standpoint, in your view, >>We support that with the Mongo DB multi-cloud deployment model. So you can place Mongo DB, Atlas nodes in any one of the three hyperscalers that we mentioned, AWS, GCP or Azure, and you can distribute your data across nodes within a cluster that is spread across different cloud providers. So that kinds of an kind of answers the question about how you do data placement inside the MongoDB clustered environment that you run across the different providers. And then for the abstraction layer. When you say that I hear, you know, drivers ODMs the other intermediary software components that we provide to make developers more productive in manipulating data in MongoDB. This is one of the most interesting things about the technology. We're not forcing developers to learn a different dialect or language in order to interact with MongoDB. We meet them where they are by providing idiomatic interfaces to MongoDB in JavaScript in C sharp, in Python, in rust, in that in fact in 12 different pro programming languages that we support as a first party plus additional community contributed programming languages that the community have created drivers for ODMs for. So there's really that model that you've described in hypothesis exist in reality, using >>Those different Compli. It's not just a series of siloed instances in, >>In different it's the, it's the fabric essentially. Yeah. >>What, what does the Verizon developer look like? Where does that individual come from? We talked about this a little bit a few weeks ago, but I wonder if you could describe it. >>Absolutely. My view is that the Verizon or just mobile edge ecosystem in general for developers are present at this very conference. They're everywhere. They're building apps. And as Ian mentioned, those idiomatic interfaces, we need to take our network APIs, take the infrastructure that's being exposed and make sure that it's leveraging languages, frameworks, automation, tools, the likes of Terraform and beyond. We wanna meet developers where they are and build tools that are easy for them to use. And so you had talked about the super cloud. I often call it the cloud continuum. So we, we took it P abstraction by abstraction. We started with, will it work in one edge? Will it work in multiple edges, public and private? Will it work in all of the edges for a given region, public or private, will it work in multiple regions? Could it work in multi clouds? We've taken it piece by piece by piece and in doing so abstracting way, the complexity of the network, meaning developers, where they are providing those idiomatic interfaces to interact with our API. So think the edge discovery, but not in a silo within Atlas functions. So the way that we're able to converge portfolios, using tools that dev developers already use know and love just makes it that much easier. Do, >>Do you feel like I like the cloud continuum cause that's really what it is. The super cloud does the security model, how does the security model evolve with that? >>At least in the context of the mobile edge, the attack surface is a lot smaller because it's only for mobile traffic not to say that there couldn't be various configuration and human error that could be entertained by a given application experience, but it is a much more secure and also reliable environment from a failure domain perspective, there's more edge zones. So it's less conducive to a regionwide failure because there's so many more availability zones. And that goes hand in hand with security. Mm. >>Thoughts on security from your perspective, I mean, you added, you've made some announcements this week, the, the, the encryption component that you guys announced. >>Yeah. We, we issued a press release this morning about a capability called queryable encryption, which actually as we record this Mark Porter, our CTO is talking about in his keynote, and this is really the next generation of security for data stored within databases. So the trade off within field level encryption within databases has always been very hard, very, very rigid. Either you have keys stored within your database, which means that your memory, so your data is decrypted while it's resident in memory on your database engine. This allow, of course, allows you to perform query operations on that data. Or you have keys that are managed and stored in the client, which means the data is permanently OBS from the engine. And therefore you can't offload query capabilities to your data platform. You've gotta do everything in the client. So if you want 10 records, but you've got a million encrypted records, you have to pull a million encrypted records to the client, decrypt them all and see performance hit in there. Big performance hit what we've got with queryable encryption, which we announced today is the ability to keep data encrypted in memory in the engine, in the database, in the data platform, issue queries from the client, but use a technology called structural encryption to allow the database engine, to make decisions, operate queries, and find data without ever being able to see it without it ever being decrypted in the memory of the engine. So it's groundbreaking technology based on research in the field of structured encryption with a first commercial database provided to bring this to market. >>So how does the mobile edge developer think about that? I mean, you hear a lot about shifting left and not bolting on security. I mean, is this, is this an example of that? >>It certainly could be, but I think the mobile edge developer still stuck with how does this stuff even work? And I think we need to, we need to be mindful of that as we build out learning journeys. So one of my favorite moments with Mongo was an immersion day. We had hosted earlier last year where we, our, from an enterprise perspective, we're focused on BW BS, but there's nothing stopping us. You're building a B2C app based on the theme of the winner Olympics. At the time, you could take a picture of Sean White or of Nathan Chen and see that it was in fact that athlete and then overlaid on that web app was the number of medals they accrued with the little trumpeteer congratulating you for selecting that athlete. So I think it's important to build trust and drive education with developers with a more simple experience and then rapidly evolve overlaying the features that Ian just mentioned over time. >>I think one of the keys with cryptography is back to the familiar messaging for the cloud offloading heavy lifting. You actually need to make it difficult to impossible for developers to get this wrong, and you wanna make it as easy as possible for developers to deal with cryptography. And that of course is what we're trying to do with our driver technology combined with structure encryption, with query encryption. >>But Robbie, your point is lots of opportunity for education. I mean, I have to say the developers that I work with, it's, I'm, I'm in awe of how they solve problems and I, and the way they solve problems, if they don't know the answer, they figure out how to go get it. So how, how are your two communities and other communities, you know, how are they coming together to, to solve such problems and share whether it's best practices or how do I do this? >>Well, I'm not gonna lie in person. Events are a bunch of fun. And one of the easiest domain knowledge exchange opportunities, when you're all in person, you can ideate, you can whiteboard, you can brainstorm. And often those conversations are what leads to that infrastructure module that an immersion day features. And it's just amazing what in person events can do, but community groups of interest, whether it's a Twitch stream, whether it's a particular code sample, we rely heavily on digital means today to upscale the developer community, but also build on by, by means of a simple port request, introduce new features that maybe you weren't even thinking of before. >>Yeah. You know, that's a really important point because when you meet people face to face, you build a connection. And so if you ask a question, you're more likely perhaps to get an answer, or if one doesn't exist in a, in a search, you know, you, oh, Hey, we met at the, at the conference and let's collaborate on this guys. Congratulations on, on this brave new world. You're in a really interesting spot. You know, developers, developers, developers, as Steve bomber says screamed. And I was glad to see Dave was not screaming and jumping up and down on the stage like that, but, but the message still resonates. So thank you, definitely appreciate. All right, keep it right there. This is Dave ante for the cubes coverage of Mago DB world 2022 from New York city. We'll be right back.

(upbeat music) >> Welcome everyone to theCUBE presentation of the AWS Startup Showcase, the theme here is Data as Code. This is season two, episode two of our ongoing series covering the exciting startups from the AWS ecosystem. And talk about the future of data, future of analytics, the future of development and all kind of cool stuff in Multicloud. I'm your host, John Furrier. Today we're joined by Ed Bailey, Senior Technology, Technical Evangelist at Cribl. Thanks for coming on the queue here. >> I thank you for the invitation, thrilled to be here. >> The theme of this session is the observability lake, which I love by the way I'm getting into that in a second. A breach investigation's best friend, which is a great topic. Couple of things, one, I like the breach investigation angle, but I also like this observability lake positioning, because I think this is a teaser of what's coming, more and more data usage where it's actually being applied specifically for things here, it's observability lake. So first, what is an observability lake? Why is it important? >> Why it's important is technology professionals, especially security professionals need data to make decisions. They need data to drive better decisions. They need data to understand, just to achieve understanding. And that means they need everything. They don't need what they can afford to store. They don't need not what vendor is going to let them store. They need everything. And I think as a point of the observability lake, because you couple an observability pipeline with the lake to bring your enterprise of data, to make it accessible for analytics, to be able to use it, to be able to get value from it. And I think that's one of the things that's missing right now in the enterprises. Admins are being forced to make decisions about, okay, we can't afford to keep this, we can afford to keep this, they're missing things. They're missing parts of the picture. And by bringing, able to bring it together, to be able to have your cake and eat it too, where I can get what I need and I can do it affordably is just, I think that's the future, and it just drives value for everyone. >> And it just makes a lot of sense data lake or the earlier concert, throw everything into the lake, and you can figure it out, you can query it, you can take action on it real time, you can stream it. You can do all kinds of things with it. Verb observability is important because it's the most critical thing people are doing right now for all kinds of things from QA, administration, security. So this is where the breach piece comes in. I like that's part of the talk because the breached investigation's best friend, it implies that you got the secret sourced to behind it, right? So, what is the state of the breach investigation today? What's going on with that? Because we know breaches, we see 'em out there, but like, why is this the best friend of a breach investigator? >> Well, and this is unfortunate, but typically there's an enormous delay between breach and detection. And right now, there's an IBM study, I think it's 287 days, but from the actual breach to detection and containment. It's an enormous amount of time. And the key is so when you do detect a breach, you're bringing in your instant, your response team, and typically without an observability lake, without Cribl solutions around observability pipeline, you're going to have an incomplete picture. The incident response team has to first to understand what's the scope of the breach. Is it one server? Is it three servers? Is it all the servers? You got to understand what's been compromised, what's been the end, what's the impact? How did the breach occur in the first place? And they need all the data to stitch that together, and they need it quickly. The more time it takes to get that data, the more time it takes for them to finish their analysis and contain the breach. I mean, hence the, I think about an 87, 90 days to contain a breach. And so by being able to remove the friction, by able to make it easier to achieve these goals, what shouldn't be hard, but making, by removing that friction, you speed up the containment and resolution time. Not to mention for many system administrators, they don't simply have the data because they can afford to store the data in their SIEM. Or they have to go to their backup team to get a restore which can take days. And so that's-- It's just so many obstacles to getting resolution right now. >> I mean, it's just, you're crawling through glass there, right? Because you think about it like just the timing aspect. Where is the data? Where is it stored and relevant and-- >> And do you have it at all? >> And you have it at all, and then, you know, that person doesn't work anywhere, they change jobs. I mean, who is keeping track of all this? You guys have now, this capability where you can come in and do the instrumentation with the observability lake without a lot of change to the environment, which is not the way it used to be. Used to be, buy a tool, build a platform. Cribl has a solution that eases the struggles with the enterprise. What specifically is that pain point? And what do you guys do specifically? >> Well, I'll start out with kind of example, what drew me to Cribl, so back in 2018. I'm running the Splunk team for a very large multinational. The complexity of that, we were dealing with the complexity of the data, the demands we were getting from security and operations were just an enormous issue to overcome. I had vendors come to me all the time that will solve your problems, but that means you got to move to our platform where you have to get rid of Splunk or you have to do this, and I'm losing something. And what Cribl stream brought into, was I could put it between my sources and my destinations and manage my data. And I would have flow control over the data. I don't have to lose anything. I could keep continuing use our existing analytics tools, and that sense of power and control, and I don't have to lose anything. I was like, there's something wrong here. This is too good to be true. And so what we're talking about now in terms of breach investigation, is that with Cribl stream, I can create a clone of my data to an object store. So this is in, this is almost any object store. So it can be AWS, it could be the other vendor object stores. It could be on-prem object stores. And then I can house my data, I can house all my data at the cheapest possible price. So instead of eating up my most expensive storage, I put all my data in my object store. And I only put the data I need for the detections in my SIEM. So if, and hopefully never, but if you do have a breach, lock stream has a wonderful UI that makes a trivial to then pick my data out of my object store and restore it back into my SIEM so that my IR team has to develop a complete picture of how the breach happen. What's the scope? What is their lateral movement and answer those questions. And it just, it takes the friction away. Just like you said, just no more crawling over glass. You're running to your solution. >> You mentioned object store, and you're streaming that in. You talk about the Cribble stream tool. I'm assuming there when you're streaming the pipeline stuff, but is there a schema involved? Is there database challenges? What, how do you guys look at that? I know you're vendor agnostic. I like that piece, you plug in and you leverage all the tools that are out there, Splunk, Datadog, whatever. But how about on the database side, what's the impact there? >> Well, so I'm assuming you're talking about the object store itself, so we don't have to apply the schema. We can fit the data to whichever the object store is. We structure the data so it makes it easier to understand. For example, if I want to see communications from one IP to another IP, we structure it to make it easier to see that and query that, but it is just, we're-- Yeah, it's completely vendor neutral and this makes it so simple, so simple to enable, I think-- >> So no pre-defined schema needed. >> No, not at all. And this, it made it so much easier. I think we enabled this for the enterprise. I think it took us three hours to do, and we were able to then start, I mean, start cutting our retention costs dramatically. >> Yeah, it's great when you get that kind of value, time to value critical and all the skeptics fall to the sides pretty quickly. (chuckles) I got to ask you, well, go ahead. >> So I say, I mean, previously, I would have to go to our backup team. We'd have to open up a ticket, we'd have to have a bridge, then we'd have to go through the process of pulling tape and being, it could take, you know, hours, hours if not days to restore the amount of data we needed. And just it, you know, we were able to run to our goals, and solve business problems instead of focusing on the process steps of getting things done. >> Right, so take me through the architecture here and some customer examples, 'cause you have the Cribble streaming there, observability pipeline. That's key, you mentioned that. >> Yes. >> And then they build out these observability lakes from that. So what is the impact of that? Can you share the customers that are using that solution? What are they seeing for benefits? What are some of the impact? Can you give us some specifics? >> I mean, I can't share with all the exact customer names. I can definitely give you some examples. Like referenceable conference would be TransUnion, so that I came from TransUnion. I was one of the first customers and it solved enormous number of problems for us. Autodesk is another great example. The idea that we're able to automate and data practices. I mean, just for example, what we were talking about with backups. We'd have to, you have to put a lot of time into managing your backups in your inner analytics platforms, you have to. And then you're locked into custom database schemas, you're locked into vendors. And it's also, it's still, it's expensive. So being able to spend a few hours, dramatically cut your costs, but still have the data available, and that's the key. I didn't have to make compromises, 'cause before I was having to say, okay, we're going to keep this, we're going to just drop this and hope for the best. And we just don't, we just didn't have to do that anymore. I think for the same thing for TransUnion and Autodesk, the idea that we're going to lower our cost, we're going to make it easier for our administrators to do their job and so they can spend more time on business value fundamentals, like responding to a breach. You're going to spend time working with your teams, getting value observability solutions and stop spending time on writing custom solutions using to open source tools. 'Cause your engineering time is the most precious asset for any enterprise and you got to focus your engineering time on where it's needed the most. >> Yeah, and they can't underestimate the hassle and cost of ownership, of swapping out pre-existing stuff, just for the sake of having a functionality. I mean that's a big-- >> It's pain and that's a big thing about lock stream is that being vendor neutral is so important. If you want to use the Splunk universal forwarder, that's great. If you want to use Beats, that's awesome. If you want to use Fluentd, even better. If you want to use all three, you can do that too. It's the customer choice and we're saying to people, use what suits your needs. And if you want to write some of your data to elastic, that's great. Some of your data to Splunk, that's even better. Some of it to, pick your pick, fine as well or Exabeam. You have the choices to put together, put your own solutions together and put your data where you need it to be. We're not asking you only in our ecosystem to work with only our partners. We're letting you pick and choose what suits your business. >> Yeah, you know, that's the direction I was just talking about the Amazon folks around their serverless. You know, you can use any tool, you know, you can, they have that core architecture for everything, the S3 and then pick whatever you want to use. SageMaker, just that other thing. This is the new way. That's the way it has to be to be effective. How do you guys handle that? What's been the reaction from customers? Do they like, roll their eyes and doubt you guys, or can you do it? Are they skeptical? How fast can you convert 'em over? (chuckles) >> Right, and that's always the challenge. And that's, I mean, the best part of my day is talking to customers. I love hearing and feedback, what they like, what they don't and what they need. And of course I was skeptical. I didn't believe it when I first saw it because I was like this, you know, because I'm, I was used to being locked in. I was used to having to put a lot of effort, a lot of custom code, like, what do you mean? It's this easy? I believe I did the first, this is 2018, and I did our first demos, like 30 minutes in, and I cut about 1/2 million dollars out of our license in the first 30 minutes in our first demo. And I was stunned because I mean, it's like, this is easy. >> Yeah, I mean-- >> Yeah, exactly. I mean, this is, and then this is the future. And then for example, we needed to bring in so like the security team wanted to bring in a UBA solution that wasn't part of the vendor ecosystem that we were in. And I was like, not a problem. We're going to use log stream. We're going to clone a copy of our data to the UBA solution. We were able to get value from this UBA solution in weeks. What typically is a six month cycle to start getting value. And it just, it was just too easy and the best part of it. And the thing is, it just struck me was my engineers can now spend their time on delivering value instead of integrations and moving data around. >> Yeah, and also we can spend more time preventing breaches. But what's interesting is counterintuitive here is that, if you, as you add more flexibility and choice, you'd think it'd be harder to handle a breach, right? So, now let's go back to the scenario. Now you guys, say an organization has a breach, and they have the observability pipeline, They got the lake in place, your observability lake, take me through the investigation. How easy is it, what happens? How they start it, what goes on? >> So, once your SOC detects a breach, then they bring in the idea. Typically you're going to bring in your incident response team. So what we did, and this is one more way that we removed that friction, we cleaned up the glass, is we delegate to the instant response team, the ability to restore, we call it-- So if Cribl calls it replay, we play data at our object store back into your SIEM. There's a very nice UI that gives you the ability to say, "I want data from this time period, at this time period, I want it to be all the data." Or the ability to filter and say, "I want this, just this IP." For example, if I detected, okay, this IP has been breached then I'm going to pull all the data that mentions this IP and this timeframe, hit a button and it just starts. And then it's going to restore how as fast your IOPS are for your solution. And then it's back in your tool, it's back in your tool. One of the things I also want to mention is we have an amazing enrichment capability. So one of the things that we would do is we would've pipelines so as the data comes out of the object store, it hits the pipeline, and then we enrich it. We hit use GoIP information, perverse and NAS. It gets processed through threat Intel feed. So the data's already enriched and ready for the incident response people to do their job. And so it just, it bamboozle the friction of getting to the point where I can start doing my job. >> You know, at this theme, this episode for this showcase is about Data as Code. And which is, you know, we've been, I've been saying this on theCUBES for since it was being around 13 years ago, that developers are going to be dealing with data like they deal with software code, and you're starting to see, you mentioned enrichment. Where do you see Data as Code going? How relevant in it now, because we really talking about when you add machine learning in here, that has to be enriched, and iterated on too. We're talking about taking things off a branch and putting it back into the core. This is a data discussion, this isn't software, but it sounds the same. >> Right, and this is something that the irony is that, I remember first time saying it to an auditor. I was constantly going with auditors, and that's what I described is I'm going to show you the code that manages the data. This is the data's code that's going to show you how we transform it, how we secure it, where the data goes, how it's enriched. So you can see the whole story, the data life cycle in one place. And that's how we handled our orders. And I think that is enormously, you know, positive because it's so easy to be confused. It's so easy to have complexity to get in the way of progress. And by being able to represent your Data as Code, it's a step forward 'cause the amount of data and the complexity of data, it's not getting simpler, it's getting more complex. So we need to come up with better ways to handle it. >> Now you've been on both sides of the fence. You've been in the trenches as customer, now you're a supplier with Great Solution. What are people doing with this data engineering roles? Because it's not enough data engineering. I mean, 'cause if you say Data as Code, if you believe that to be true and many people do, we do. And you looked at the history of infrastructure risk code that enabled DevOps, AIOps, MLOps, DataOps, it's happening, right? So data stack ops is coming. Obviously security is huge in this. How does that data engineering role evolve? Because it just seems more and more that there's going to be a big push towards an SRE version of data, right? >> I completely agree. I was working with a customer yesterday, and I spent a large part of our conversation talking about implementing development practices for administrators. It's a new role. It's a new way to think of things 'cause traditionally your Splunk or elastic administrators is talking about operating systems and memory and talking about how to use proprietary tools in the vendor, that's just not quite the same. And so we started talking about, you need to have, you need to start getting used to code reviews. Yeah, the idea of getting used to making sure everything has a comment, was one thing I told him was like, you know, if you have a function has to have a comment, just by default, just it has to. Yeah, the standards of how you write things, how you name things all really start to matter. And also you got to start adding, considering your skillset. And this is some mean probably one of the best hire I ever made was I hired a guy with a math degree, because I needed his help to understand how do machine learning works, how to pick the best type of algorithm. And I think this is going to evolve, that you're going to be just away from the gray bearded administrator to some other gray bearded administrator with a math degree. >> It's interesting, it's a step function. You have a data engineer who's got that kind of capabilities, like what the SRA did with infrastructure. The step function of enablement, the value creation from really good data engineering, puts the democratization playback on the table, and changes, >> Thank you very much John. >> And changes that entire landscape. How do you, what's your reaction to that? >> I completely agree 'cause so operational data. So operational security data is the most volatile data in the enterprise. It changes on a whim, you have developers who change things. They don't tell you what happens, vendor doesn't tell you what happened, and so that idea, that life cycle of managing data. So the same types of standards of disciplines that database administrators have done for years is going to have, it has to filter down into the operational areas, and you need tooling that's going to give you the ability to manage that data, manage it in flight in real time, in order to drive detections, in order to drive response. All those business value things we've been talking about. >> So I got to ask you the larger role that you see with observability lakes we were talking before we came on camera live here about how exciting this kind of concept is, and you were attracted to the company because of it. I love the observability lake concept because it puts all that data in one spot, you can manage it. But you got machine learning in AI around the corner that also can help. How has all this changed in the landscape of data security and things because it makes a lot of sense, and I can only see it getting better with machine learning. >> Yeah, definitely does. >> Totally, and so the core issue, and I don't want to say, so when you talk about observability, most people have assumptions around observability is only an operational or an application support process. It's also security process. The idea that you're looking for your unknown, unknowns. This is what keeps security administrators up at night is I'm being attacked by something I don't know about. How do you find those unknown? And that's where your machine learning comes in. And that's where that you have to understand there's so many different types of machine learning algorithms, where the guy that I hired, I mean, had started educating me about the umpteen number of algorithms and how it applies to different data and how you get different value, how you have to test your data constantly. There's no such thing as the magical black box of machine learning that gives you value. You have to implement, but just like the developer practices to keep testing and over and over again, data scientists, for example. >> The best friend of a machine learning algorithm is data, right? You got to keep feeding that data, and when the data sets are baked and secure and vetted, even better, all cool. Had great stuff, great insight. Congratulations Cribl, Great Solution. Love the architecture, love the pipelining of the observability data and streaming that in to a lake. Great stuff. Give a plug for the company where you guys are at, where people can get information. I know you guys got a bunch of live feeds on YouTube, Twitch, here in theCUBE. Where else can people find you? Give the plug. >> Oh, please, please join our slack community, go to cribl.io/community. We have an amazing community. This was another thing that drew me to the company is have a large group of people who are genuinely excited about data, about managing data. If you want to try Cribl out, we have some great tool. Try Cribl tools out. We have a cloud platform, one terabyte up free data. So go to cribl.io/cloud or cribl.cloud, sign up for, you know, just never times out. You're not 30 day, it's forever up to one terabyte. Try out our new products as well, Cribl Edge. And then finally come watch Nick Decker and I, every Thursday, 2:00 PM Eastern. We have live streams on Twitter, LinkedIn and YouTube live. And so just my Twitter handle is EBA 1367. Love to have, love to chat, love to have these conversations. And also, we are hiring. >> All right, good stuff. Great team, great concepts, right? Of course, we're theCUBE here. We got our video lake coming on soon. I think I love this idea of having these video. Hey, videos data too, right? I mean, we've got to keep coming to you. >> I love it, I love videos, it's awesome. It's a great way to communicate, it's a great way to have a conversation. That's the best thing about us, having conversations. I appreciate your time. >> Thank you so much, Ed, for representing Cribl here on the Data as Code. This is season two episode two of the ongoing series covering the hottest, most exciting startups from the AWS ecosystem. Talking about the future data, I'm John Furrier, your host. Thanks for watching. >> Ed: All right, thank you. (slow upbeat music)

(upbeat music) >> Hello, welcome to theCUBE's presentation of Women in Tech, Global Event, celebrating International Women's Day. I'm John Furrier, your host of theCUBE here in Palo Alto, California. We got two great guests. Cindy Polin, head of Solution Architects for Public Sector in Mexico for AWS. And Fernanda Spinardi, who's also the head of Solution Architects for Public Sector in Brazil, both with AWS. Thanks for coming, appreciate your time. >> Thanks for the invitation. >> Thank you, John. >> So we're celebrating International Women's Day this week, and this month, and pretty much every day, I think we're going to be doing a lot of good stuff. But today's a special day. And talking about people's careers, their roles, the gender gap, is a big theme this year. These are all the topics that are going on and being discussed. So, it's a been a lot of fun when learning a lot, I have to ask you guys with AWS, Cindy we'll start with you. How is AWS addressing the gender gap in its technical teams? Because solution architects, they're technical. And we need more women in there. How is AWS addressing the gender gap with its technical teams? >> Yes, for sure, thank you very much. Let me start with a quick note about what is the situation in Mexico. Let me go first into a report published by IMCO, and this is talking about this gender gaps in a STEM career. So let me tell you that three out of 10 professionals who choose careers related with the STEM, with the science technology, engineering and mathematics, are women. So, can you imagine this difference, It's really critical because for sure, we have few women. And in the moment that you try to reach people, to be part of the company, it's difficult. So it's important for AWS to be very very supportive in this initiative and also to be supporting diverse teams. So, that's why we are very supportive in bringing diverse talent in the company. >> There's a lot of focus on getting people early into the pipe lining. Is that some another big area? Did the study show anything there? >> Well, basically it's that we are studying to push harder, to bring more information to the ladies, to the women in general. And also to start developing the technical skills. Because it's really difficult and in the moment that you try to do this, it start like seeing these behaviors or stigmas about this is only for men, it's not for women. So we are trying to start breaking this point in general. >> Fernanda, we had a great chat about Latin America reinvent on theCUBE with your leader over there and, we were talking about the broader community and how you guys are partnering with external organizations and customers. How is Amazon Web Services, AWS, aiming to foster better balance and gender balance and technology partnerships in Latin America? >> Sure, so while the situation in Brazil is not different from the situation that Cindy was mentioning in Mexico right? Our research shows that women only represent around 37% of the workforce where in the country we have over 51-52% of women as part of our population. While we can take this from a gap perspective, also, we can take it from an opportunity perspective. There is such a huge unexplored workforce that we can bring to be part of AWS in the technology world, right? So for us on AWS and Amazon, it's part part of our day one culture. So we are still learning, right? And we are still trying, experimenting to see how we can bring more women to the tech world. One of the things that we are investing in Brazil and in Latin America, are the early in career talent programs. This is something that we have the opportunity to work with the students. And in LATAM, it's a little bit different from the US. We have the opportunity to work with them for one year sometimes for two years in a role while they work they are still in the university and we prepare that talent really early in their career and bring them to be part of Amazon. So yeah, I'm super excited with those programs, I can, talk more about it, but this is one of the initiatives that we are betting that will maybe be a game changer for us in the technology. >> Yeah, those are very interesting stats, 37% of the workers in country where women represent over half of the population. So definitely a lot of work to be done. I got to ask both of you. Amazon has a leadership principle that says that they want to strive to be the world's, or earth's best employer earth being, Earth Day and all that sustainability as well. Diversity, inclusion and equity is a big part of that mission more. And also Amazon's also known for high performing work environment. So, so having the best diversity and inclusion you know, is a, is a, as some say and many are saying is a force multiplier in performance. How is that going in your areas? Can you talk about how the culture that you're in, the countries that you're in and the Amazonian leadership principles tie together? Can you share your thoughts and experiences? >> Sure. I can, I can get started maybe with that one. So, although we have a new leadership principle from my perspective, we have we have always had leadership principles that foster diversity and, and inclusion, right. Pick up, earn trust as an example like it says, listen carefully, right. And speak candidly, this is for me it's the baseline for any, any inclusion conversation. Right. And also you have things like have backbone, disagree and commit. Like you are empowering people to actually have an opinion and bring back that opinion and be heard. Right. So it was already there. I think the thing now is that we have a very specific leadership principle so that there is no, no room for interpretation. Right. It's right there saying that there is a mission a mission to, to be the best employer. Right. And, and I'm, I'm very excited about it. >> John: Cindy, share your thoughts too. I like that comment because you know, Amazon culture's known for, you know, debate then align. Okay. And now you got that cultural factor. Now it's in the leadership principle. What's your reaction? >> Yes. And, and let me add a comment on that about Fernanda's point is that this LP is giving us like the empower to give this environment to prepare, to to give this space to the team and also to be more creative. And also to be more diverse is really important for us to have this space with a lot of empathy, with the in the space to have a lot of fun. And it's important to keep all the time in mind that are we doing the right thing for our employees? Are we are empowering them to be the best of, of the world? So, that is something that is critical for us and, and well that is something that we are right now working on it. >> Okay. So first of all I'm very impressed by both of you. You're inspiring. And I can also tell you that being a solution architect is not an easy job. But it's also in high demand. A lot of people want to, they need solution architects. It's one of the most coveted positions in the industry right now. So how do we get more women in that role? What ideas do you guys have besides being great role models, yourselves? How do we get more solution architects? Because it's super valuable and everyone wants to hire them. >> Fernanda, did you want to start? >> It's you guys. >> You touched a very important point, John. It's about having, having good examples. Like, I mean, it's about you seeing yourself in the role right? You, you believing that it's, it's possible. It's for everyone. If you have a spirit where you, you want to build things if you have this spirit of exploring new possibilities if you like to experiment, well, then you have all that we need in a solution architect, right? It's just then a matter of, you know, know learning technical, learning technology, technical stuff. But this is, this is about having fun on your journey as as a solution architect as well. >> And, and let me tell you something that we are also investing in trainings. Training is online for the for the women that they are, that has this interest that they want to learn more about the technology. They want to have a deeper knowledge about the technical stuff. So we are supporting these initiatives and that is something that they can do background and in their own pace. >> And this is an important role because they need the leadership as head of solution architects. It's a good thing. Is, is there any ways that you found that's a best practice for identifying or advice for people to know if they have what it takes or they have an affinity towards technology? Sometimes it's math. Because cloud is great levels it out. I mean, cloud is new, is more jobs open now that didn't exist years ago, couple years ago. So anyone can rise to the top. >> Yeah. I think that's the beauty of the cloud. There is so much space when we say technology I think this is such a, a broad word, right? It means so much, right. It can be someone that likes to develop code. It can be someone that likes to work with infrastructure. It can be someone that likes machine learning or databases or someone that is inspired about applications for the education world or to research genomes or cure cancer. So, yeah, I don't think that there is like any more like a specific profile. I think it's very open for everyone to explore what they love doing. And even from a technology perspective AWS is working to simplify access to the technology. If we take our services on machine learning. For instance, they are for people, for business people like you don't have to know much about algorithms, right. To use some of the AWS services. So I think we're experiencing the democratization of the technology, and with that more opportunity for people to join us. >> A lot of people are changing careers into cloud. So Cindy, I want to ask you guys also if you can share how the mentoring process works there. Is there mentoring? How does that work? Do you match people? Have you found a nice formula for providing some mentoring and some pathways as people come in? >> Yes, we have many ways but one is very important, is that we have user groups. That is a way that we have like a community with internal and external people, and we share advices, guidance, best practices for the people that is interested in this matter. So for one side as I already mentioned, we have training online that you can reach. We have a lot of free courses. Maybe you can start jumping into artificial intelligence. IUT whatever you want to, to, to want that given them. But in the other hand, we have this option to have this kind of support. We have AWS Girl Chile user groups. We have AWS women, Colombian user groups girls in Argentina, we have many of them. We have four hundreds of user communities. So, that is the way that we can keep in touch. >> Any other programs? I mean, Amazon Web Service and Amazon has very strong representation of women. There's a lot of pockets of women groups in all over the world. How does it come together? Because you also have customers in the user groups. You have partners in the partner network. You have technologists learning. So you have this ecosystem of people. It's not just AWS. How are you guys extending that gap into those areas? >> Exactly. And those conversations are getting more and more constant with our customers, right? So we used to talk about technology, we used to talk about business problems, now we talk about diversity. We talk about improving representation and improving the sentiment of inclusion within our customers as well. And one of the things that I can bring, we have been working with a number of our customers in Brazil just to mention New Bank, one of our customers there in building programs. between AWS and the customer, where we train people, and we expose that people to the market, even if it's inside AWS, inside New Bank or any other partner in that ecosystem. So we are building talent not only for us, but for for the entire ecosystem to benefit from. >> Okay, so I have to ask you guys How did you guys get into the tech, Cindy? What was your way? Did it just jump at you? Did it grab you? Did you kind of discover it early? When did you kind of get into the tech? >> That's a good question. I was remembering this moment that when I was seven years old I just started like working with cars and also with that kind of companies, literally companies. And in that moment say, "I want to be part of this technology work." And after that in high school, I have the opportunity to touch a computer. In that moment I said, "This is the thing that I want to do in the rest of my life." >> Yeah. that's it right there. You got the diction, you taste it. Fernanda, what about you? What's your story? How did you get into it? What was the moment? Was there an exact moment or did it just surround you? >> Yeah, I think I was always curious about how things work. I was not thinking about a career in tech honestly. I was thinking about becoming a lawyer, but at some point in time just clicked, right? And I had actually to fight my way into the technical world literally because, I had this very important university close to my house, like maybe 15 minutes from my house. But at that point in time in Brazil, that particular institution was not accepting women. And believe me, it was not like a hundred years ago. Like it was.... (laughing) >> Yeah, you're young, it's just recently. >> Yeah, so I had to move out out of my hometown, back to the city, to Sao Paulo, which is our biggest city in Brazil to find a place for me on an university that would take women. So yeah, I had to fight my way into technology, but I am very proud of that I was able to. >> Yeah, you know what's great now is you have YouTube, you have all these resources, these videos are going to be going everywhere. We're going to put this out there. There's communities where people can learn and see people like themselves out in positions of leadership and technology. So more and more contents being out there. And I think hopefully no one will have to fight to get into tech. If they like it, they're in it. One of the leaders at AWS she said, "We're in a nerd native environment now, the young generation is natively technical." And, I believe that, I see that. I think that's going to be a really exciting trend and seeing leaders like yourselves out there is really wonderful, so thank you for spending the time with us here on theCUBE. Final question I'll ask you, what's next for you Cindy and Fernanda? What's next in your journey? >> Okay, I think the next for me is to keep pushing the women in Mexico to keep installing and also to start thinking into what is the next step in my career? Where should I go? So I think that is the point that I want to do. >> Cindy, what's next for you? >> I feel I'm just starting. (laughing) So much to do, so much to do. I mean, there is a big business for us to make happen in Brazil right now, and we are looking for talent. So, if the video's going to go on YouTube, I would like everybody there to know that yeah, we are looking for talents in Brazil with opportunities all over the world actually. And yeah, that's building, building and building. >> And there's some rig twitch channels by the way too on some developer programmings, tons of programming, it's all out there. Congratulations, and we're looking forward to following up with you both in the future to get an update and thank you for spending the time and sharing your your stories here on theCUBE I really appreciate, thank you. >> Thank you too. >> Thank you so much. >> Okay, theCUBE presentation of Women in Tech, Global Events celebrating International Women's Day. This is the beginning of more programming. We're going to see more episodes from theCUBE, I'm John Furrier, your host. Thanks for watching. (upbeat music)

(bright music) >> Okay, welcome back everyone. to theCUBE's coverage of AWS re:Invent 2021, we're in person for a real event. I'm John Furrier, your host. We have two sets here on the floor, also a hybrid event online as well for Amazon, also on theCUBE Zone, go to cubereinvent.com and check out all theCUBE footage there. Maureen Lonergan, VP of Training and Certification AWS CUBE alumni, Maureen, great to see you, thanks for coming on. >> Nice to see you. >> So I remember, years ago, at re:Invent when you came on first time on theCUBE, this was when cloud was just getting going, I don't want to say just getting going, it was going, but it was just like training was going, now you're swimming in needs. You got the big milestone for, what's that? 27 million people, what's that number? >> 29 million training free, yeah. >> 29 million is the target for training, we hear the certifications are up, the pandemic has got everyone geared up for training. Give us the update, what's happening? >> Yeah, so we're doing a lot of interesting things. Obviously, the pandemic changed the world for everyone, but it's been a really good opportunity for us to pivot the business and move things to virtual and digital. And, in 2020, we did make that commitment to train 29 million people for free by 2025. And, you know, we've trained 6 million so far, so we're making great progress on that goal. We've largely done that through a couple of different programs. So we just a month ago launched our Skill Builder platform that provides 500 free training courses in 16 languages, across 200 countries. We also launched the AWS Skill Center in Seattle, which is learner acquisition and bringing in people from the community to learn about cloud. And, we also launched a course on Amazon Books. So, we were really excited about-- >> So you guys, again, this is free training. >> All free training. >> Free training. >> Everything I just mentioned is free. >> What's the most important things, skills are people learning right now? >> I think it's still this, you know, it's the same thing, it's solution architecture, security for sure, DevOps, developer, but we're also seeing a huge interest in business, the business roles, really understanding what cloud is and how it can, you know, help them with their business. >> How about organizations? 'Cause they have skill issues too, I know you guys are going all in on training, which is great, and by the way, congratulations on the mission. I know you're getting close to the numbers. I think there was an announcement, we're getting an update as you guys, have you hit the numbers yet? 29 million? >> The 29 million, yeah. So 6 million we've done so far, yeah. >> So you're on your way. What about organizations? How do they get involved? Because they're trying the same thing. Are you partnering with people? >> Yeah, so we partner with, well, for customers, they're looking for the same thing that we are. We also have a program for underserved and unemployed communities where we go in and do a kind of non-tech to tech training. And we're offering that program in 90 locations this year and really trying to address the early pipeline. >> What are some of the most important things that you're working on for AWS, for training and certification right now? >> The biggest thing that we're doing is just trying to make everything as free and accessible as we can and moving as much as we can to digital, making it where we've really focused this year on experiential learning, so labs and getting engaged with the customer and keeping them because obviously, we release services every day, you know? And it's important that we just work with organizations to have a learning, curious culture. >> Is there any way people can get involved, or you guys have any open programs? What can we do to help on theCUBE? Do you guys have new, cool digital ways to get the word out? What's going on? >> Yes, so, I mean, it depends on what you mean, we always are partnering with collaborating organizations, especially for programs like re/Start, so organizations within communities that are trying to get their community skilled up. So we work with a bunch of different partnerships. And I think, for me, it's really just about, we really think we're very, very focused on building diverse builders. And so, we want to make sure that we're getting the message out that cloud's accessible to anybody. And, by providing free training, we hope that that will attract a new set of learners and start to close the gap on their training pipeline. >> So, have you guys got the Gen Z nailed down yet? 'Cause they're hungry for content, they're on the Discord servers, they're on Twitch. >> Yeah, we actually were training to Twitch this year, because you have to meet the learner where they are, right? And I think, you know, traditional instructor-led training just doesn't work for some people. And so, we have content out on Twitch, we're working on some really cool interactive gaming stuff. And so, we really have pivoted. >> So there's a Discord server called "Ace of Diamonds" that's turning out to be quite the business vibe for the young kids. A lot of young kids from 13 to 17 years old in that kind of learning mode and they want to talk about cloud. Like to them, they're geeking out on NVIDIA GPUs, they want to hear about the graviton, they're nerds. >> Yeah, we actually have a very cool program called "Get IT", and it's very focused on girls in tech and we go into schools and run competitions and do hackathons and they present, and it's a really great way to get, you know, girls interested in tech in a big way. >> Cal Poly hosted a robotics competition, that was pretty interesting, the women's division was phenomenal. There's divisions now, I mean, robotics is like a varsity sport now. >> Yeah, exactly, exactly. >> I mean, this just shows you where the interest level is. Okay, so obviously, there's a young demographic and you've got the re-skilling on the higher end of the demographic of age wise that maybe have come from IT. So you've got the IT folks and/or people that had some business training or whatever, and then you have the young, what's the programs that are working the best that you see to getting those folks, the older folks, in retraining? >> For the younger ones, or? >> John: Older ones, not younger ones, older ones. >> I think what we're trying to do is work with organizations to make training accessible and comfortable. We always say it, you know, we want companies to build an environment where they can experiment and learn. So we're working with large organizations to try and transform them and make them cloud fluent and move people from traditional skills onto cloud skills. And, we're having great success with customers in doing that. But I think providing a really comfortable environment and a place and space for them to learn and building communities within that organization is important. >> What did you learn during the pandemic in your evolution? 'Cause you guys were doing like mid-flight of training, I know you've been rolling, you've been working really hard over the years, I know that for a fact. Pandemic hits, it's now virtual, digital is now a priority. What are some of the new things that have been spawned onto you from digital that are working? >> Yeah, I mean, we learned how to, you know, we're building out labs and we learned to cut content into smaller pieces so people could consume them. I think the biggest thing that we learned is that we just need to, that people were hungry to learn. Everyone was at home and we actually saw a tremendous increase in people taking training, especially digital training. And then, we also pivoted all of our certifications to virtual very rapidly so that people could then validate their skills. I think in light of the pandemic, you know, the great resignation is real, right? And people are assessing where they are. And so, we'd like to acquire people that are interested in that. >> And those jobs that are available with certification are very high paying jobs. >> Yes they are, yeah. >> So you walk through a certification, you're looking at some pretty good salary levels and you could be living anywhere. >> I met a guy last night at an event and he was in finance and he moved from a job making 30,000 to six figures and he did all through self-learning and he came to an event, was super excited about that. >> That's the top story right there, we've got to leave it at that. I know you got to go, I know you've got a hard deadline. Thank you for spending the time to come on theCUBE and sharing this important information around the certification, your goal for free training, it's free. >> Maureen: Free. >> If you want to get a raise, get cloud certification, pro tip. >> Please. >> That's a pro tip right there. Thanks for coming on, Maureen, great to see you. >> Appreciate it. Maureen Lonergan, great work she's doing in Amazon getting free content, you don't have to pay for it, it's free. Just like theCUBE content here, bringing you free insights. I'm John Furrier, worldwide leader in tech coverage at theCUBE, here in person in Las Vegas. Thanks for watching. (bright music)

(upbeat music) >> Live in Washington, DC. This is day two of two days of coverage. I'm John Furr, your host. We're in person face-to-face event it's kicking off day two. Dave Levy's here, Vice President of US government Nonprofit and healthcare businesses for AWS Public Sector. Dave, great to see you again, welcome back. >> Dave: Great to see you, John. >> So, great time last time we were in person, 2019, looks like the event, the last year was virtual, what's new? >> Well, first of all, I think it's just exciting. I mean, I'm excited to be back and in-person and so much has happened in our personal lives in our communities and so I'm really glad that we can all be together and it's been great so far. >> I was talking yesterday with some folks and I saw people doing some networking. I heard someone, "Hey, I'm want to hire someone." So, the face-to-face is back, we're also streaming. Max Peterson told me they're pushing it everywhere on Facebook, LinkedIn, Twitter, everywhere, Twitch, so free content, but still a lot of registrations here in person, good stuff. >> Yeah, great registrations. We're thrilled with the support from partners and customers. And also too, like you said, the connections that people are making, so it does feel good that things are flowing and people are having conversations and- >> Well, you got healthcare, nonprofits, US government, healthcare has been a big focus so far in this show. A lot of action, local governments, governments and healthcare seem to be like pandemic enabled to change. What's the update? What's the highlights so far for you? >> Well, I think the highlights are in those areas that, what we've been able to help our customers with is the ability to respond and that's what Cloud is all about and their ability to react and to respond to things that they don't necessarily know is going to happen and the big thing that none of us knew was going to happen was the pandemic. And so that ability and agility and preparedness to respond has really been great to see from a lot of those customers. >> You know, Max Peterson had the CIO from the Air Force up on stage and she's known for her comments about data and data's our data, the US Air Force and so data's big part of it. They are having a transformation and the how's that project going? What's the update there? What's your impression on that? >> Yeah, well, it was great to see the Air Force on stage and great to see Laura up there and we're really proud to support the DOD and the Air Force. And the Air Force has a lot to be proud of in their transformation journey and what they're doing with Cloud One is pretty substantial and amazing transformation for them. And then they've got 35 applications running on AWS. And so we think their progress is really good and they're thinking the right way in terms of their software factories and other types of projects. >> What's interesting is it's watching like who's adopting, it's like you look at like the pandemic has really opened up the view of the projects, which ones are doing well. And how do I say this politely? The projects that were being blocked or hidden, or the KPIs camouflaging the value were exposed because I mean, once that pulled back the curtain, people realized, "Oh my God, we're stuck," Or "we're inadequate, we are antiquated. We need to change," because now the pressure to deliver shifted to digital. I mean, this literally exposed the good, bad, and the ugly. >> It did and some were more prepared than others. There are great examples. We worked with the SBA to help expand the portal for the payroll protection program to get more lenders access faster. And that was a great project. They were able to respond really quickly and we were able to support them in that. Others, not so much. I think it you're right, it did expose that there's an opportunity. There's an opportunity to accelerate some of the things that they were doing already in terms of digital transformation. >> How about the GovCloud and the federal customers that you have, what's the traction point? How has that going? Is there a new generation here? >> GovCloud has been a great success. GovCloud it's our- >> John: 10-year anniversary. >> It's our 10-year anniversary, so we're thrilled to celebrate that. I can't believe it's 2011. >> EC2 is 15. Is that 315? I guess 15, too is SQS, the original building blocks. >> So, we've got a lot of great success through GovCloud and GovCloud was really something that was born out of what customers wanted, primarily federal customers. But we've also seen over the last few years, real adoption from regulated industry, real adoption from partners that are going into GovCloud that really want to take advantage of the security and compliance that federal customers need and the larger defense industrial base organizations need. So, GovCloud's been a fabulous success and expect I expect a lot of growth going forward. >> Yeah, is there a cultural shift in the federal government now? I can imagine some countries have been exploring this. I did talk briefly about it with Ms. Shannon Kellogg and John Wood, about how, if you're under the age of 40 and you work in the federal government, you got to be like, "Why aren't we doing this?" Like there seems to be like a cultural shift, younger generation coming in and be like, looking at the old way and be like, "Why are we still doing that?" >> Well, I think look bipartisan support for digital transformation, for making sure that we have the competitive edge for generations and generations to come in the US both in business and in defense and national security, I think is an imperative. I mean nobody I've talked to disagrees that we need to do this. And I think that younger workforce coming in behind I'm jealous of the 40-year olds, I wish I was under 40, but none of workforce really sees the obstacles that maybe previous generation saw these emerging technologies are becoming, the basic unit of computer's getting smaller, the cost to do these things is coming way down and I think that younger workforce says, "Why aren't we doing this?" >> Yeah and I think the Air Force projects are interesting too because that shows us not just about the CIA or the DOD that you have, they're leaning into production workloads, and the mission critical workloads too, the DOD is also now continuing to adopt. What else are you guys doing with the DOD? >> Well, we're partnering with GDIT on milCloud and that's going to give DOD mission owners access to a whole suite of AWS services. So, we're really excited about that. And those are available now. We're the only Cloud provider that's making that accessible to them on milCloud. And so this is going to open up the opportunity for them to start doing that mission work that you described. A good example of that are programs like ABMS, Air Force's Advanced Battle Management System. It's part of their effort around JADC2 and a great set of capabilities that they're delivering there. We're happy to have participated. We did some testing and some show intel, if you will at Ramstein Air Force Base and we're really proud to support that effort and we're excited about what the Air Force is doing. >> You know, I've always been impressed with the DOD when the tactical edge concept came out, that was very impressive because they're really using the data properly and I know Amazon has been doing well in this area because you've got things like Outpost, Wavelength, Snowball products. How's that edge piece developing? Do you see that becoming more critical now? >> It's absolutely critical. It's not becoming critical, it is critical and I think if you look at what the DOD and all of their partners are trying to accomplish, it's really moving all of that data around from the very edge in theater, back home to where it needs to be analyzed, doing it fast, doing it secure, being able to deliver on their missions and that's what this is all about. So, we see huge, huge opportunities to really innovate around the edge. >> Yeah, the data equation really is fascinating to me. Just when you think about things like words, highly available versus high availability means something 'cause you're going to want real time, not just on available data, you got to have it real time so the pressure around these projects are high. And so technically, you've got to have low latency on all this stuff. >> That's true, that's true. You've got to either have near real time or real-time availability and in many cases there's high stakes. So, the ability the DOD to pull this off is really, really important and we're a big supporter of that. >> Dave, I want to get your perspective because you've been in the industry, you've seen that the ways, we talked before cameras about the '90s and data centers and stuff. 10 years of GovCloud, look at public sector, just to look at the 10 years, interesting evolution. I mean, you couldn't give Cloud a wait 15 years ago. They weren't moving, glacier speed of adoption, now, massive adoption, uptakes there, the transformations are happening, migrations are huge, healthcare, which is like silo the data, HIPAA compliance lock everything down, everything's opening up. This is causing a lot of change. What's your reaction to that? >> Well, my reaction to that is I think customers are starting to connect what their outcomes are, whether it's a business outcome or a mission outcome or both to what Cloud can actually do. And I think that's freeing them up to make decisions about enabling Cloud in their environment, enabling experimentation, because that's what you want. You don't know what you're going to be faced with. We don't know what the threats are. We don't know if there's going to be another major pandemic. We hope there's not, but we don't know and if you set goals around your outcomes for mission and tie those, Cloud becomes such an enabler for that. And I see customers embracing that. Customers across the spectrum, nonprofit, healthcare providers, everybody, Homeland Security, VA, they're all thinking about, "What are the mission outcomes we're trying to drive?" >> Yeah, what's interesting too on that is that, just to point out is that the applications now aren't as complex to build relatively to the speed. In other words, you can get the time to value. So, the pandemic showed people that if you were in the Cloud and had that agility or optionality to be agile, you could write software 'cause software is the key in this, and not let's do the waterfall, 12-weeks assessment, 10-month rollout. Now people are doing it in 10 days, new applications. >> Sure, sure. Well, I tell customers a lot, "Think about McDonald's during the pandemic and think about customers like that who had to react to a new environment of delivery and your fast food fresh and how quickly companies like that are able to roll out capabilities." And I don't know that federal customers will be able to do it in a week or two weeks, but it's certainly possible. And it certainly will shorten that lead time that they have now in their software development. >> Well, great to see you, Dave. Is there any customers you want to highlight and you want to talk about, get a plug in for? >> Yeah, a lot of great customers here representing today and we're really appreciative also just want to say it was really great to see Max on stage for his first summit and think it was great to see Laura and others as well too. We've got some great customers coming here, The Veteran's affairs is going to be here as well as the Navy presenting on a lot of their capabilities today. So, I'm really excited about that. >> Yeah, a lot of action and education, healthcare, really blooming, really changing and modernizing. Big-wave migration, modernization, all kinds of the big wave. >> Yeah, it is. Yeah, big things coming and some of these systems are ready, so these systems are 40 and 50 years old and we're here to help these customers deliver on the agility and the extensibility of these systems to really serve citizens. >> What's your outlook for next year? What are you seeing next year so happening? How do you see everything unfolding? So you mentioned the pandemic, we're still in it, Delta Virus, who knows what's going to happen next, the world stage is changing, the global economy, space. >> I see customers really leaning in and starting to see the benefits of moving their data to the Cloud, number one, and then also to getting the insights using AI and ML to really drive the insights that they need to make the decisions on that data and I see more and more customers doing that. I did a panel this week, moderated a panel with some great customers around that and getting started is probably the biggest thing that I see and we're going to have more and more customers getting started. >> Yeah, getting into the Cloud. Congratulations to milCloud by the way, too. That was a good call out. All right, thanks for coming, I appreciate it. >> John: Yeah, thanks, Sean. >> Okay, keep coverage here. The Public Sector Summit, live in Washington, D.C. in-person event also hybrid we're streaming out. We're doing remote interviews and Amazon is streaming all the keynotes and key sessions for the digital folks out there. Thanks for watching. (upbeat music)

>> Narrator: From around the globe, it's theCUBE with coverage of KubeCon and CloudNativeCon Europe, 2021 Virtual brought to you by Red Hat, the Cloud Native Computing Foundation and Ecosystem Partners. >> Hello, welcome back to theCUBE'S coverage of KubeCon and CloudNativeCon 2021 Virtual, I'm John Furrier your host of theCUBE. We've got two great guests here, always great to talk to the KubeCon co-chairs and we have Stephen Augustus Head of Open Source at Cisco and also the KubeCon co-chair great to have you back. And Jasmine James Manager and Engineering Effectives at Twitter, the KubeCon co-chair, she's new on the job so we're not going to grill her too hard but she's excited to share her perspective, Jasmine, Stephen great to see you. Thanks for coming on theCUBE. >> Thanks for having us. >> Thank you. >> So obviously the co-chairs you guys see everything upfront Jasmine, you're going to learn that this is a really kind of key fun position because you've got to multiple hats you got to wear, you got to put a great program together, you got to entertain and surprise and delight the attendees and also can get the right trends, pick everything right and then keep that harmonious vibe going at CNCF and KubeCon is hard so it's a hard job. So I got to ask you out of the gate, what are the top trends that you guys have selected and are pushing forward this year that we're seeing evolve and unfold here at KubeCon? >> For sure yeah. So I'm excited to see, and I would say that some of the top trends for Cloud Native right now are just changes in the ecosystem, how we think about different use cases for Cloud Native technology. So you'll see lot's of talk about new architectures being introduced into Cloud Native technologies or things like WebAssembly. WebAssembly Wasm used cases and really starting to and again, I think I mentioned this every time, but like what are the customer used cases actually really thinking about how all of these building blocks connect and create a cohesive story. So I think a lot of it is enduring and will always be a part. My favorite thing to see is pretty much always maintainer and user stories, but yeah, but architecture is Wasm and security. Security is a huge focus and it's nice to see it comes to the forefront as we talked about having these like the security day, as well as all of the talk arounds, supply chain security, it has been a really, really, really big event (laughs) I'll say. >> Yeah. Well, great shot from last year we have been we're virtual again, but we're back in, the real world is coming back in the fall, so we hopefully in North America we'll be in person. Jasmine, you're new to the job. Tell us a little about you introduce yourself to the community and tell more about who you are and why you're so excited to be the co-chair with Stephen. >> Yeah, absolutely. So I'm Jasmine James, I've been in the industry for the past five or six years previous at Delta Airlines, now at Twitter, as a part of my job at Delta we did a huge drive on adopting Kubernetes. So a lot of those experiences, I was very, very blessed to be a part of in making the adoption and really the cultural shift, easy for developers during my time there. I'm really excited to experience like Cloud Native from the co-chair perspective because historically I've been like on the consumer side going to talk, taking all those best practices, stealing everything I could into bring it back into my job. So make everyone's life easier. So it's really, really great to see all of the fantastic ideas that are being presented, all of the growth and maturity within the Cloud Native world. Similar to Stephen, I'm super excited to hear about the security stuff, especially as it relates to making it easy for developers to shift left on security versus it being such an afterthought and making it something that you don't really have to think about. Developer experience is huge for me which is why I took the job at Twitter six months ago, so I'm really excited to see what I can learn from the other co-chairs and to bring it back to my day-to-day. >> Yeah, Twitter's been very active in open source. Everyone knows that and it's a great chance to see you land there. One of the interesting trends is this year I'll see besides security is GitOps but the one that I think is relevant to your background so fresh is the end user contributions and involvement has been really exploding on the scene. It's always been there. We've covered, Envoy with Lyft but now enterprise is now mainstream enterprises have been kind of going to the open source well and bringing those goodies back to their camps and building out and bringing it back. So you starting to see that flywheel developing you've been on that side now here. Talk about that dynamic and how real that is an important and share some perspective of what's really going on around this explosion around more end user contribution, more end user involvement. >> Absolutely. So I really think that a lot of industry like players are starting to see the importance of contributing back to open source because historically we've done a lot of taking, utilizing these different components to drive the business logic and not really making an investment in the product itself. So it's really, really great to see large companies invest in open source, even have whole teams dedicated to open source and how it's consumed internally. So I really think it's going to be a big win for the companies and for the open source community because I really am a big believer in like giving back and making sure that you should give back as much as you're taking and by making it easy for companies to do the right thing and then even highlighting it as a part of CNCF, it'll be really, really great, just a drive for a great environment for everyone. So really excited to see that. >> That's really good. She has been awesome stuff. Great, great insight. Stephen, I just have you piggyback off that and comment on companies enterprises that want to get more involved with the Cloud Native community from their respective experiences, what's the playbook, is there a new on-ramps? Is there new things? Is there a best practice? What's your view? I mean, obviously everyone's growing and changing. You look at IT has changed. I mean, IT is evolving completely to CloudOps, SRE get ops day two operations. It's pretty much standard now but they need to learn and change. What's your take on this? >> Yeah, so I think that to Jasmine's point and I'm not sure how much we've discussed my background in the past, but I actually came from the corporate IT background, did Desktop Sr, Desktop helped us support all of that stuff up into operations, DevOps, SRE, production engineering. I was an SRE at a startup who used core West technologies and started using Kubernetes back when Kubernetes is that one, two, I think. And that was my first journey into Cloud Native. And I became core less is like only customer to employee convert, right? So I'm very much big on that end user story and figuring out how to get people involved because that was my story as well. So I think that, some of the work that we do or a lot of the work that we do in contributor strategy, the SIG CNCF St. Contributor Strategy is all around thinking through how to bring on new contributors to these various Cloud Native projects, Right? So we've had chats with container D and linker D and a bunch of other folks across the ecosystem, as well as the kind of that maintainer circle sessions that we hold which are kind of like a private, not recorded. So maintainers can kind of get raw and talk about what they're feeling, whether it be around bolstering contributions or whether it'd be like managing burnout, right? Or thinking about how you talk through the values and the principles for your projects. So I think that, part of that story is building for multiple use cases, right? You take Kubernetes for example, right? So Ameritas chair for sync PM over in Kubernetes, one of the sub project owners for the enhancements sub project which involves basically like figuring out how we intake new enhancements to the community but as well as like what the end user cases are all of the use cases for that, right? How do we make it easy to use the technology and how we make it more effective for people to have conversations about how they use technology, right? So I think it's kind of a continuing story and it's delightful to see all of the people getting involved in a SIG Contributor Strategy, because it means that they care about all of the folks that are coming into their projects and making it a more welcoming and easier to contribute place so. >> Yeah. That's great stuff. And one of the things you mentioned about IT in your background and the scale change from IT and just the operational change over is interesting. I was just talking with a friend and we were talking about, get Op and, SRAs and how, in colleges is that an engineering track or is it computer science and it's kind of a hybrid, right? So you're seeing essentially this new operational model at scale that's CloudOps. So you've got hybrid, you've got on-premise, you've got Cloud Native and now soon to be multi-cloud so new things come into play architecture, coding, and programmability. All these things are like projects now in CNCF. And that's a lot of vendors and contributors but as a company, the IT functions is changing fast. So that's going to require more training and more involvement and yet open source is filling the void if you look at some of the successes out there, it's interesting. Can you comment on the companies that are out there saying, "Hey, I know my IT department is going to be turning into essentially SRE operations or CloudOps at scale. How do they get there? How could they work with KubeCon and what's the key playbook? How would you answer that? >> Yeah, so I would say, first off the place to go is the one-on-one track. We specifically craft that one-on-one track to make sure that people who are new to Cloud Native get a very cohesive story around what they're trying to get into, right? At any one time. So head to the one-on-one track, please add to the one-on-one track, hang out, definitely check out all of the keynotes that again, the keynotes, we put a lot of work into making sure these keynotes tell a very nice story about all of the technology and the amount of work that our presenters put into it as well is phenomenal. It's top notch. It's top notch every time. So those will always be my suggestions. Actually go to the keynotes and definitely check out the one-on-one track. >> Awesome. Jasmine, I got to get your take on this now that you're on the KubeCon and you're co-chairing with Stephen, what's your story to the folks that are in the end user side out there that were in your old position that you were at Delta doing some great Kubernetes work but now it's going beyond Kubernetes. I was just talking with another participant in the KubeCon ecosystem is saying, "It's not just Kubernetes anymore. There's other systems that we're going to deploy our real-time metrics on and whatnot". So what's the story? What's the update? What do you see on the inside now now that you're on board and you're at a Hyperscale at Twitter, what's your advice? What's your commentary to your old friends and the end user world? >> Yeah. It's not an easy task. I think that was, you had mentioned about starting with the one-on-one is like super key. Like that's where you should start. There's so many great stories out there in previous KubeCon that have been told. I was listening to those stories and the great thing about our community is that it's authentic, right? We're telling like all of the ways we tripped up so we can prevent you from doing this same thing and having an easier path, which is really awesome. Another thing I would say is do not underestimate the cultural shift, right? There are so many tools and technologies out there, but there's also a cultural transformation that has to happen. You're shifting from, traditional IT roles to a really holistic like so many different things are changing about the way infrastructure was interacted with the way developers are developing. So don't underestimate the cultural shift and make sure you're bringing everyone to the party because there's a lot of perspectives from the development side that needs to be considered before you make the shift initially So that way you can make sure you're approaching the problem in the right way. So those would be my recommendation. >> Also, speaking of cultural shifts, Stephen I know this is a big passion of yours is diversity in the ecosystem. I think with COVID we've seen probably in the past two years a major cultural shifts on the personnel involved, the people participating, still a lot more work to get done. Where are we on diversity in the ecosystem? How would you rate the progress and the overall achievements? >> I would say doing better, but never stop what has happened in COVID I think, if you look across companies, if you look across the opportunities that have opened up for people in general, there have been plenty of doors that have shut, right? And doors that have really made the assumption that you need to be physical are in person to do good work. And I think that the Cloud Native ecosystem the work that the LF and CNCF do, and really the way that we interact in projects has kind of pushed towards this async first, this remote first work culture, right? So you see it in these large corporations that have had to change the travel policies because of COVID and really for someone who's coming off being like a field engineer and solutions architect, right? The bread and butter is hopping on and off a plane, shaking hands, going to dinner, doing the song and dance, right? With customers. And for that model to functionally shift, right? Having conversations in different ways, right? And yeah, sometimes it's a lot of Zoom calls, right? Zoom calls, webinars, all of these things but I think some of what has happened is, you take the release team, for example, the Kubernetes release team. This is our first cycle with Dave Vellante who's our 121 released team lead is based in India, right? And that's the first time that we've had APAC region release team lead and what that forced us to do, we were already working on it. But what that forced us to do is really focused on asynchronous communication. How can we get things done without having to have people in the room? And we were like, "With Dave Vellante in here, it either works or it doesn't like, we're either going to prove that what we've put in place works for asynchronous communication or it doesn't." And then, given that a project of this scale can operate just fine, right? Right just fine delivering a release with people all across the globe. It proves that we have a lot of flexibility in the way that we offer opportunities, both on the open source side, as well as on the company side. >> Yeah. And I got to say KubeCon has always been global from day one. I was in Shanghai and I was in hung, Jo, visiting Ali Baba. And who do I see in the lobby? The CNCF crew. And I'm like, "What are you guys doing here?" "Oh, we're here talking to the cloud with Alibaba." So global is huge. You guys have nailed that. So congratulations and keep that going. Jasmine, your perspective is women in tech. I mean, you're seeing more and more focus and some great doors opening. It's still not enough. We've been covering this for a long time. Still the numbers are down, but we had a great conference recently at Stanford Women in Data Science amazing conference, a lot of power players coming in, women in tech is evolving. What's your take on this still a lot more work to done. You're an inspiration. Share your story. >> Yeah. We have a long way to go. There's no question about it. I do think that there's a lot of great organizations CNCF being one of them, really doing a great job at sharing, networking opportunities, encouraging other women to contribute to open source and letting that be sort of the gateway into a tech career. My journey is starting as a systems engineer at Delta, working my way into leadership, somehow I'm not sure I ended up there but really sort of shifting and being able to lift other women up has been like so fortunate to be able to do that. Women who code being a mentor, things of that nature has been a great opportunity, but I do feel like the open source community has a long way go to be a more welcoming place for women contributors, things like code of conduct, that being very prevalent making sure that it's not daunting and scary, going into GitHub and starting to create a PR for out of fear of what someone might say about your contributions instead of it being sort of an educational experience. So I think there's a lot of opportunities but there's a lot of programs, networking opportunities out there, especially everyone being remote now that have presented themselves. So I'm very hopeful. And the CNCF, like I said is doing a great job at highlighting these women contributors that are making changes to CNCF projects in really making it something that is celebrated which is really great. >> Yeah. You know that I love Stephen and we thought this last time and the Clubhouse app has come online since we were last talking and it's all audio. So there's a lot of ideas and it's all open. So with a synchronous first you have more access but still context matters. So the language, so there's still more opportunities potentially to offend or get it right so this is now becoming a new cultural shift. You brought this up last time we chatted around the language, language is important. So I think this is something that we're keeping an eye on and trying to keep open dialogue around, "Hey it matters what you say, asynchronously or in texts." We all know that text moment where someone said, "I didn't really mean that." But it was offensive or- >> It's like you said it. (laughs) >> (murmurs) you passionate about this here. This is super important how we work. >> Yeah. So you mentioned Clubhouse and it's something that I don't like. (laughs) So no offense to anyone who is behind creating new technologies for sure. But I think that Clubhouse from, if you take platforms like that, let's generalize, you take platforms like that and you think about the unintentional exclusion that those platforms involve, right? If you think about folks with disabilities who are not necessarily able to hear a conversation, right? Or you don't provide opportunities to like caption your conversations, right? That either intentionally or unintentionally excludes a group of folks, right? So I've seen Cloud Native, I've seen Cloud Native things happen on a Clubhouse, on a Twitter Spaces. I won't personally be involved in them until I know that it's a platform that is not exclusive. So I think that it's great that we're having new opportunities to engage with folks that are not necessarily, you've got people prefer the Slack and discord vibe, you've got people who prefer the text over phone calls, so to speak thing, right? You've got people who prefer phone calls. So maybe like, maybe Clubhouse, Twitter Spaces, insert new, I guess Disco is doing a thing too- >> They call it stages. Disco has stages, which is- >> Stages. They have stages. Okay. All right. So insert, Clubhouse clone here and- >> Kube House. We've got a Kube House come on in. >> Kube House. Kube House. >> Trivial (murmurs). >> So we've got great ways to engage there for people who prefer that type of engagement and something that is explicitly different from the I'm on a Zoom call all day kind of vibe enjoy yourselves, try to make it as engaging as possible, just realize what you may unintentionally be doing by creating a community that not everyone can be a part of. >> Yeah. Technical consequences. I mean, this is key language matters to how you get involved and how you support it. I mean, the accessibility piece, I never thought about that. If you can't listen, I mean, you can't there's no content there. >> Yeah. Yeah. And that's a huge part of the Cloud Native community, right? Thinking through accessibility, internationalization, localization, to make sure that our contributions are actually accessible, right? To folks who want to get involved and not just prioritizing, let's say the U.S. or our English speaking part of the world so. >> Awesome. Jasmine, what's your take? What can we do better in the world to make the diversity and inclusion not a conversation because when it's not a conversation, then it's solved. I mean, ultimately it's got a lot more work to do but you can't be exclusive. You got to be diverse more and more output happens. What's your take on this? >> Yeah. I feel like they'll always be work to do in this space because there's so many groups of people, right? That we have to take an account for. I think that thinking through inclusion in the onset of whatever you're doing is the best way to get ahead of it. There's so many different components of it and you want to make sure that you're making a space for everyone. I also think that making sure that you have a pipeline of a network of people that represent a good subset of the world is going to be very key for shaping any program or any sort of project that anyone does in the future. But I do think it's something that we have to consistently keep at the forefront of our mind always consider. It's great that it's in so many conversations right now. It really makes me happy especially being a mom with an eight year old girl who's into computer science as well. That there'll be better opportunities and hopefully more prevalent opportunities and representation for her by the time she grows up. So really, really great. >> Get her coding early, as I always say. Jasmine great to have you and Stephen as well. Good to see you. Final question. What do you hope people walk away with this year from KubeCon? What's the final kind of objective? Jasmine, we'll start with you. >> Wow. Final objective. I think that I would want people to walk away with a sense of community. I feel like the KubeCon CNCF world is a great place to get knowledge, but also an established sense of community not stopping at just the conference and taking part of the community, giving back, contributing would be a great thing for people to walk away with. >> Awesome. Stephen? >> I'm all about community as well. So I think that one of the fun things that we've been doing, is just engaging in different ways than we have normally across the kind of the KubeCon boundaries, right? So you take CNCF Twitch, you take some of the things that I can't mention yet, but are coming out you should see around and pose KubeCon week, the way that we're engaging with people is changing and it's needed to change because of how the world is right now. So I hope that to reinforce the community point, my favorite part of any conference is the hallway track. And I think I've mentioned this last time and we're trying our best. We're trying our best to create it. We've had lots of great feedback about, whether it be people playing among us on CNCF Twitch or hanging out on Slack silly early hours, just chatting it up. And are kind of like crafted hallway track. So I think that engage, don't be afraid to say hello. I know that it's new and scary sometimes and trust me, we've literally all been here. It's going to be okay, come in, have some fun, we're all pretty friendly. We're all pretty friendly and we know and understand that the only way to make this community survive and thrive is to bring on new contributors, is to get new perspectives and continue building awesome technology. So don't be afraid. >> I love it. You guys have a global diverse and knowledgeable and open community. Congratulations. Jasmine James, Stephen Augustus, co-chairs for KubeCon here on theCUBE breaking it down, I'm John Furrier for your host, thanks for watching. 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>>mhm Yes. >>Welcome back to the cubes coverage of red hat summit 2021 virtual. I'm john for a host of the cube we're here in Palo alto. Were remote with our great guest here cube alumni. I've been on many times chris wright, Senior vice president and CTO of red hat chris great to see you. Always a pleasure to have you on the screen here too. But we're not in person but thanks for coming in remote. >>Yeah, you bet. Glad to be here. >>Not only were talking about speeds and feeds, digital transformation going under the hood here we're gonna talk about red hats, expanded collaboration with boston University to help fund education and research for open source projects. So you guys have a huge relationship with boston University. Talk about this continued commitment. What's the news, what's the, what's the story? >>Well, we have a couple different things going on uh and and the relationship we have with the EU is many years in. So this itself isn't brand new. Um one of the things that's important to highlight here is we are giving something north of $550 million dollars worth of software to be you really in pursuit of running uh powering and running scaled infrastructure. That's part of the open hybrid class. Um and that's that's an important piece which we can touch on a little bit as we talk to this conversation. The other one is like I said, this isn't a new relationship with the U. And what we're doing now is really expanding the relationship. So we've we've built a great connection directly with the You were substantially expanding that. Um The original relationship we had was a $5 million relationship spread over five years now. We're talking about a $20 million Relationship spread over five years. So really a significant expansion. And of course that expansion is connected to some of the work that we plan to do together in this open hybrid cloud infrastructure and research space. So a lot of things coming together at once to really really advance the red hat ca laboratory at the U. That combined effort in bringing you know, cloud research and open source and all these things together >>and a lot of actually going on. So basically the boston area lot of universities, but I love the shirt you're wearing with his red hat innovation in the open. This is kind of one of those things you also mentioned out of this huge subscription of software grant that's going to be you just a huge number give value for for the boston University. But you also have another project that's been going on the collaborative research and education agreement called red hat collaborative orI Okay, this was in place. You mentioned that. How's that tying in because that was pre existing. Now. You've got the grant, you got your funding more and more research. Talk about how this connects into the open cloud initiative because this is kind of interesting. You're not bringing hybrid cloud kind of research and practical value in A i ops is hot. You can't you can't go anywhere these days without having great observe ability. Cloud native more and more is more complex and you've got these young students and researchers dying and get their hands on it. Take us through the connection between the CA laboratory and open open cloud. >>So the CA laboratory is a clever name that just talks about collaboration and research laboratory type research. And initially the CA laboratory focus was on the infrastructure running the cloud and some of the application workloads that can run on top of an open cloud infrastructure uh that are that's very data centric. And so this is uh an opportunity for multidisciplinary work looking at modeling for um for health care, for example for how you can improve imaging and we've had a great results in this collaboration. Um We've talked at times about the relationship with the boston Children's Hospital and the chris project not related to me, but just similar acronym that spells chris. Um and these things come together in part through connecting relationships to academia, where academia as research is increasingly built in on and around open source software. So if you think of two parallel worlds, open source software development, just the activity of building open source software, it brings so many people together and it moves so quickly that if you're not directly connected to that as an academic researcher, you risk producing academic research results that aren't relevant because it's hard for them to connect back to these large, fast moving projects, which may have invented a solution to the problem you've been focused on as an academic if you're not directly connected. So we see academia and open source coming together to build really a next generation of understanding of the scientific in depth and he's joining the >>train operations you're talking about here though, this is significant because there's dollars behind it, right? There's real money, it's not >>just the right software, >>it's it's a center, it's a joint operation. >>That's right. And so when you think about just the academic research of producing um ideas that manifest themselves as code and software projects, we want to make sure we're first connecting the software projects to open source communities in with our own engineering experience, bringing code into these open, open source projects to just advance the the feeds and speeds and speeds, the kind of functionality the state of the art of the actual project. We're also taking this to a new level with this expanded relationship and that is software today. When you, when you operate software as a cloud, a critical part of the software is the operationalization of that software. So software just sitting there on the shelf doesn't do anybody any good. Even if the shelf is an open source project, it's a tar ball waiting for you to download. If you don't ever grab it and run it, it's not doing anybody any good. And if the challenge of running it is substantial enough that it stops you from using that software, you've created a barrier to the value that's locked inside that project. The focus here is how can we take that the operations experience of running a cloud, which itself is a big complex distributed system, tie some of those experiences back into the projects that are used to build that infrastructure. So you're taking not just the output of the project, but also the understanding of what it takes to run a project and bringing that understanding and even the automation and code associated with that back into the project. So, your operational izing this open source software and you're building deeper understanding of what it means to operate things that scale, including data and data sets that you can use to build models that show how you can create the remediation and closed loop systems with AI and machine learning, you know, sort of synthesizing all the data that you generate out of a big distributed infrastructure and feed that back into the operations of that same infrastructure. So a lot going on there at the same time operationalization as as an open source initiative but also um really the understanding advancement of A I and data centric operations, so ai ops and closed the remediation. >>Yeah, I mean, devops developer and operations to operationalize it and certainly cloud Native put an emphasis on Day two operations, which leads a lot more research, a lot more uh student work on understanding the coding environment. Um so with that I got to ask um I asked you about this uh massachusetts focused or this open cloud initiative because you guys are talking about this open cloud initiative including this massachusetts. Open Cloud, what is that? What is the massachusetts? Open Cloud sounds like you're offering a kind of open person, not just bu but other um Yeah, institutions. >>That's right. So the the M o C massachusetts open cloud is itself a cross um organizational collaboration bringing together five different academic institutions in New England In massachusetts. It's bu it's Harvard mit, its Northeastern and its U. Mass. Coming together to support a common set of infrastructure which is cloud. It's a cloud that runs in a data center and then um it serves a couple of different purposes. One is research on clouds directly. So what does it mean to run a cloud? What does it look like from a research point of view to understand large scale distributed systems? And then the other is more on top. When you have a cloud you can run workloads and those workloads scaled out to do say data processing, looking at the implications of across different fields which could be natural sciences, could be medicine, could be, even political science or social science is really a multidisciplinary view of what it means to leverage a cloud and run data centric workloads on top. So two different areas that are of a focus for the M. O. C. And this becomes this sort of vehicle for collaboration between Red Hat View and the Red Hot Laboratory. >>So I have to ask only because I'm a big fan of the area and I went to one of those schools, is there like a bean pot for technical hackathons where you get all the schools matched up against each other on the mass open cloud and compete for who gets bragging rights and the text city there. >>It's a great question. Not yet. But I'll jot that down here in hell. Up on that. >>Happy to sponsor. We'll we'll do the play by play coverage, you know. Great. >>I love that. Yeah, kind of twitch tv style. The one thing that there is which is very practical is academic research grants themselves are competitive, right? People are vying for research dollars to put together proposals, Bring those proposals to um the agency that's that's that's giving out grants and winning those grants is certainly prestigious. It's important as part of her research institutes continue to fund the work that they're doing. Uh Now we've been associated uh through the work we've done to date with the U. With Yeah almost $15 million 20 papers. So there's there's a lot of work you can't quite call the play by play. It's a >>scoreboard. I mean their numbers you can put numbers on the board. I mean that's what's one of the things you can measure. But let me ask you on those grants. So you're saying this is just the bu you guys actually have data on um the impact of the relationship in terms of grants and papers and stuff like that academic work. >>That's right. That's right. And so those numbers that I'm giving you are examples of how we've worked together with the u to help their faculty generate grant dollars that then fund some of the research that's happening there together with redhead engineers and on and on the infrastructure like the massachusetts Open cloud. >>That's a good way to look at the scoreboard. It's a good point. We have to research that if you don't mind me asking on this data that you have um are all those projects contributing to open source or do they have to be? That's just generic. Is that all of you all papers around bu is part of the research. In other words, I'm trying to think if I'm in open source, has this contributed to me as an >>open source? Yeah, it's a big and complex question because there's so much research that can happen through a research institution. And those research grants tend to be governed with agreements and some of those agreements have intellectual property rights um front and center and might require things like open source software as a result, the stuff that we're working on clearly isn't that focus area of open source software and and research activities that help kind of propel our understanding forward of what does it mean to do large scale distributed systems creation and then operation. So how do you develop software that does it? How do you how do you run the software that builds these big large distributed systems? So we're focused in that area. Um some of the work that we facilitated through that focus includes integrating non open source software that might be part of um same medical imaging. So for example work we've done with the boston Children's Hospital That isn't 100 doesn't require us to be involved 100 of the open source pieces. All the infrastructure there to support it is. And so we're learning how we can build integrated pipelines for data analysis and image analysis and data sharing across different institutions uh at the open source project level. Well maybe we have a specific imaging program that is not generated from this project. And of course that's okay with >>us. You know chris you bring up a good point with all those conversations. I could see this really connecting the dots. Most computer science programs. Most engineering programs haven't really traditionally focused on it at the scale we're talking about because we look at cloud scale but now scaling with hybrid it's real engineering going on to think about the large scale. We know all the big hyper scale ear's right so it's not just I. T. Provisioning you know network connection and doing some I. T. Work. We're talking about large scale. So I have to ask you as you guys look at these relationships with academics uh academia like like bu and others um how are the students responding to this? Are you guys seeing any specific graduate level advancements? Because you're talking about operational roles that are becoming so important whether it's cyber security and as cloud needed because once more data driven you need to have all this new scale engineered up. That's >>what how >>do you look at that? >>There's two different pieces that I would highlight. One is just the data science itself. So schools still need to produce data scientists. And having data is a big part of being a data scientist and knowing what your what your goals are with that data and then experimenting with different techniques, whether it's algorithms or tools. It's a big part of being a data scientist sort of spelunking through the data. So we're helping produce data. We're looking at data science efforts around data that's used to operationalize infrastructure, which is an interesting data science endeavor by itself. The other piece is really what you highlighted, which is there's an emergence of a skill set in the industry, often referred to as SRE site reliability engineering. Um it is a engineering discipline. And if you back up a little bit and you start thinking about what are the underlying principles behind large scale distributed systems, you get to some information theory and computer science. So this isn't just something that you might think of as um some simple training of a few key tools and knowing how to interpret a dashboard. And you're good to go, this is a much more sophisticated view of what does it mean to really operate large scale infrastructure, which to date, there aren't a lot of these large scale infrastructures available to academics to research because their commercial endeavors >>and their new to me. I was talking to some young folks my son's age and daughters age and I was saying, you know, architect in a building, a skyscraper isn't trivial. You can't just do that overnight. There's a lot of engineering that goes on in that science, but you're bringing kind of operating systems theory, systems thinking to distributed computing. I mean that's combination of a interdisciplinary shift and you got, I won't say civil engineering, but like concept is there, you've got structure, you've got networks, they're changing and then you've got software so again completely new area. >>That's right and there's not a lot of even curriculum that explores this space. So one of the opportunity, there's a great program that really focuses on um that that space of site reliability engineering or operational izing software. Um And then the other piece that I'm I'm really excited about is connecting to open source communities so that as we build software, we have a way to run and operationalize that software that doesn't have to be directly tied to a commercial outlet. So products running in the cloud will have a commercial S. L. A. And commercial agreements between the user and the producer of that service. How do you do that in open source context? How do you leverage a community, bring that community software to a community run service, learn through the running of that service. How to best build architect the service itself and then operationalized with the tooling and automation that service? How do you, how do you bring that into the open source community? And that's something that we've been referring to as the operate first initiative. How do you get the operationalization of software? Really thought of as a primary focal point in the software project where you normally think about the internals of software, the features, the capabilities of functionality, less about the operationalization. So important shift at the open source project level, which is something that I think will really be interesting and we'll see a lot of reaping a lot of rewards. Just an open source communities directly. >>Yeah, speed and durability. Certainly having that reliability is great. You know, I love talking with you guys at red hat because, you know, software, you know, open source and you know, operating systems because as it comes together in this modern era, what a great, great fit, great work you're doing with Boston University's and the mass open cloud initiative. Congratulations on that. I got I got to ask you about this Red Hat Graduate Fellows program you have because this kind of speaks to what you guys are doing, you have this kind of this redhead graduate fellows network and the work that's being done. Does that translate into red hat at all? From an engineering standpoint? How does that, how does that work together? >>Basically, what we do is we support um PhD students, we support post docs. So there's a real direct support to the, you know, that is the Red Jack Graduate Fellow program on our focus there is connecting those um uh academics, the faculty members and the students to our engineers to work together on key research initiatives that we think will help drive open source software agendas forward really broad can be in all different areas from security to virtualization too, the operating systems to cloud distributed systems, uh and one of the things that we've discovered is it creates a great relationship with the university and we find students that will be excited to leave university and come into the the industry workforce and work at Red hat. So there is a direct talent relationship between the work that we do at bu and the talent that we can bring into red hat, which is awesome. Uh We know these people we've worked with well with them, but also we're kind of expanding understanding of open source across, you know, more and more of academia, which I think is really valuable and important for red hat. We just go out to the the industry at large, um, and helping bring a set of skills to the industry that whether they're coming, whether these are students that come into red hat or go elsewhere into the industry, these are important skills to have in the industry. So we look at the, how do you work in open source communities? How to operationalize software at scale? These are important things. They didn't >>expand, expand the territory if you will in terms of systems thinking. We just talked about great collaboration. You guys do a great job chris great to have you on a quick final word from you on this year at red hat summer. I know it's virtual again, which we could be in person, but we're starting to come out of the covid kind of post covid right around the corner. Um, what's the update? How would you describe the current state of red hat? Obviously you guys still got that, that vibe. You still pumping strong a lot going on. What's the current? What's the current, uh, bumper sticker? What's the vibe? >>Well, in many ways, because we're so large and distributed. Um, the last year has been, uh, can't say business as usual because it's been an impact on everybody, but it hasn't required us to fundamentally change. And as we work across open source communities, there's been a lot of continuity that's come through a workforce that's gone completely distributed. People are anxious to get to the next phase, whatever back to normal means. Uh, and people at Red Hat are no different. So we're looking forward to what it can mean to spend time with colleagues in offices, were looking forward to what it means to spend time together with our friends and families and travel and all those things. But from a, from a business point of view, Red Hat's focus on the open hybrid cloud and that distributed view of how we work with open source communities. That's something that's, it's only continued to grow and pick up over the course of the last year. So it's clearly an important area for the industry and we've been busier than ever the last year. So, uh, interesting, interesting times for everybody. >>Well, it's great to see and I love how the culture maintains its its relevance, its coolness intersection between software, Open Source and systems. Great, Great working congratulations chris. Thanks for coming on. >>Thank you. >>All right. I'm John for here with the Cube for Red Hat Summit 2021. Thanks for watching. Mhm.

>> From theCUBE Studios in Palo Alto in Boston, bringing you data-driven insights from theCUBE and ETR, this is Braking Analysis with Dave Vellante. >> Intel's big announcement this week underscores the threat that the United States faces from China. The US needs to lead in semiconductor design and manufacturing. And that lead is slipping because Intel has been fumbling the ball over the past several years, a mere two months into the job, new CEO Pat Gelsinger wasted no time in setting a new course for perhaps, the most strategically important American technology company. We believe that Gelsinger has only shown us part of his plan. This is the beginning of a long and highly complex journey. Despite Gelsinger's clear vision, his deep understanding of technology and execution ethos, in order to regain its number one position, Intel we believe we'll need to have help from partners, competitors and very importantly, the US government. Hello everyone and welcome to this week's Wikibon CUBE insights powered by ETR. In this breaking analysis we'll peel the onion Intel's announcement of this week and explain why we're perhaps not as sanguine as was Wall Street on Intel's prospects. And we'll lay out what we think needs to take place for Intel to once again, become top gun and for us to gain more confidence. By the way this is the first time we're broadcasting live with Braking Analysis. We're broadcasting on the CUBE handles on Twitch, Periscope and YouTube and going forward we'll do this regularly as a live program and we'll bring in the community perspective into the conversation through chat. Now you may recall that in January, we kind of dismissed analysis that said Intel didn't have to make any major strategic changes to its business when they brought on Pat Gelsinger. Rather we said the exact opposite. Our view at time was that the root of Intel's problems could be traced to the fact that it wasn't no longer the volume leader. Because mobile volumes dwarf those of x86. As such we said that Intel couldn't go up the learning curve for next gen technologies as fast as its competitors and it needed to shed its dogma of being highly vertically integrated. We said Intel needed to more heavily leverage outsourced foundries. But more specifically, we suggested that in order for Intel to regain its volume lead, it needed to, we said at the time, spin out its manufacturing, create a joint venture sure with a volume leader, leveraging Intel's US manufacturing presence. This, we still believe with some slight refreshes to our thinking based on what Gelsinger has announced. And we'll talk about that today. Now specifically there were three main pieces and a lot of details to Intel's announcement. Gelsinger made it clear that Intel is not giving up its IDM or integrated device manufacturing ethos. He called this IDM 2.0, which comprises Intel's internal manufacturing, leveraging external Foundries and creating a new business unit called Intel Foundry Services. It's okay. Gelsinger said, "We are not giving up on integrated manufacturing." However, we think this is somewhat nuanced. Clearly Intel can't, won't and shouldn't give up on IDM. However, we believe Intel is entering a new era where it's giving designers more choice. This was not explicitly stated. However we feel like Intel's internal manufacturing arm will have increased pressure to serve its designers in a more competitive manner. We've already seen this with Intel finally embracing EUV or extreme ultraviolet lithography. Gelsinger basically said that Intel didn't lean into EUV early on and that it created more complexity in its 10 nanometer process, which dominoed into seven nanometer and as you know the rest of the story and Intel's delays. But since mid last year, it's embraced the technology. Now as a point of reference, Samsung started applying EUV for its seven nanometer technology in 2018. And it began shipping in early 2020. So as you can see, it takes years to get this technology into volume production. The point is that Intel realizes it needs to be more competitive. And we suspect, it will give more freedom to designers to leverage outsource manufacturing. But Gelsinger clearly signaled that IDM is not going away. But the really big news is that Intel is setting up a new division with a separate PNL that's going to report directly to Pat. Essentially it's hanging out a shingle and saying, we're open for business to make your chips. Intel is building two new Fabs in Arizona and investing $20 billion as part of this initiative. Now well Intel has tried this before earlier last decade. Gelsinger says that this time we're serious and we're going to do it right. We'll come back to that. This organizational move while not a spin out or a joint venture, it's part of the recipe that we saw as necessary for Intel to be more competitive. Let's talk about why Intel is doing this. Look at lots has changed in the world of semiconductors. When you think about it back when Pat was at Intel in the '90s, Intel was the volume leader. It crushed the competition with x86. And the competition at the time was coming from risk chips. And when Apple changed the game with iPod and iPhone and iPad, the volume equation flipped to mobile. And that led to big changes in the industry. Specifically, the world started to separate design from manufacturing. We now see firms going from design to tape out in 12 months versus taking three years. A good example is Tesla and his deal with ARM and Samsung. And what's happened is Intel has gone from number one in Foundry in terms of clock speed, wafer density, volume, lowest cost, highest margin to falling behind. TSMC, Samsung and alternative processor competitors like NVIDIA. Volume is still the maker of kings in this business. That hasn't changed and it confers advantage in terms of cost, speed and efficiency. But ARM wafer volumes, we estimate are 10x those of x86. That's a big change since Pat left Intel more than a decade ago. There's also a major chip shortage today. But you know this time, it feels a little different than the typical semiconductor boom and bust cycles. Semiconductor consumption is entering a new era and new use cases emerging from automobiles to factories, to every imaginable device piece of equipment, infrastructure, silicon is everywhere. But the biggest threat of all is China. China wants to be self-sufficient in semiconductors by 2025. It's putting approximately $60 billion into new chip Fabs, and there's more to come. China wants to be the new economic leader of the world and semiconductors are critical to that goal. Now there are those poopoo the China threat. This recent article from Scott Foster lays out some really good information. But the one thing that caught our attention is a statement that China's semiconductor industry is nowhere near being a major competitor in the global market. Let alone an existential threat to the international order and the American way of life. I think Scotty is stuck in the engine room and can't see the forest of the trees, wake up. Sure. You can say China is way behind. Let's take an example. NAND. Today China is at about 64 3D layers whereas Micron they're at 172. By 2022 China's going to be at 128. Micron, it's going to be well over 200. So what's the big deal? We say talk to us in 2025 because we think China will be at parody. That's just one example. Now the type of thinking that says don't worry about China and semi's reminds me of the epic lecture series that Clay Christiansen gave as a visiting professor at Oxford University on the history of, and the economics of the steel industry. Now if you haven't watched this series, you should. Basically Christiansen took the audience through the dynamics of steel production. And he asked the question, "Who told the steel manufacturers that gross margin was the number one measure of profitability? Was it God?" he joked. His point was, when new entrance came into the market in the '70s, they were bottom feeders going after the low margin, low quality, easiest to make rebar sector. And the incumbents nearly pulled back and their mix shifted to higher margin products and their gross margins went up and life was good. Until they lost the next layer. And then the next, and then the next, until it was game over. Now, one of the things that got lost in Pat's big announcement on the 23rd of March was that Intel guided the street below consensus on revenue and earnings. But the stock went up the next day. Now when asked about gross margin in the Q&A segment of the announcement, yes, gross margin is a if not the key metric in semi's in terms of measuring profitability. When asked Intel CFO George Davis explained that with the uptick in PCs last year there was a product shift to the lower margin PC sector and that put pressure on gross margins. It was a product mix thing. And revenue because PC chips are less expensive than server chips was affected as were margins. Now we shared this chart in our last Intel update showing, spending momentum over time for Dell's laptop business from ETR. And you can see in the inset, the unit growth and the market data from IDC, yes, Dell's laptop business is growing, everybody's laptop business is growing. Thank you COVID. But you see the numbers from IDC, Gartner, et cetera. Now, as we pointed out last time, PC volumes had peaked in 2011 and that's when the long arm of rights law began to eat into Intel's dominance. Today ARM wafer production as we said is far greater than Intel's and well, you know the story. Here's the irony, the very bucket that conferred volume adventures to Intel PCs, yes, it had a slight uptick last year, which was great news for Dell. But according to Intel it pulled down its margins. The point is Intel is loving the high end of the market because it's higher margin and more profitable. I wonder what Clay Christensen would say to that. Now there's more to this story. Intel's CFO blame the supply constraints on Intel's revenue and profit pressures yet AMD's revenue and profits are booming. So RTSMCs. Only Intel can't seem to thrive when there's this massive chip shortage. Now let's get back to Pat's announcement. Intel is for sure, going forward investing $20 billion in two new US-based fabrication facilities. This chart shows Intel's investments in US R&D, US CapEx and the job growth that's created as a result, as well as R&D and CapEx investments in Ireland and Israel. Now we added the bar on the right hand side from a Wall Street journal article that compares TSMC CapEx in the dark green to that of Intel and the light green. You can see TSMC surpass the CapEx investment of Intel in 2015, and then Intel took the lead back again. And in 2017 was, hey it on in 2018. But last year TSMC took the lead, again. And appears to be widening that lead quite substantially. Leading us to our conclusion that this will not be enough. These moves by Intel will not be enough. They need to do more. And a big part of this announcement was partnerships and packaging. Okay. So here's where it gets interesting. Intel, as you may know was late to the party with SOC system on a chip. And it's going to use its packaging prowess to try and leap frog the competition. SOC bundles things like GPU, NPU, DSUs, accelerators caches on a single chip. So better use the real estate if you will. Now Intel wants to build system on package which will dis-aggregate memory from compute. Now remember today, memory is very poorly utilized. What Intel is going to do is to create a package with literally thousands of nodes comprising small processors, big processors, alternative processors, ARM processors, custom Silicon all sharing a pool of memory. This is a huge innovation and we'll come back to this in a moment. Now as part of the announcement, Intel trotted out some big name customers, prospects and even competitors that it wants to turn into prospects and customers. Amazon, Google, Satya Nadella gave a quick talk from Microsoft to Cisco. All those guys are designing their own chips as does Ericsson and look even Qualcomm is on the list, a competitor. Intel wants to earn the right to make chips for these firms. Now many on the list like Microsoft and Google they'd be happy to do so because they want more competition. And Qualcomm, well look if Intel can do a good job and be a strong second sourced, why not? Well, one reason is they compete aggressively with Intel but we don't like Intel so much but it's very possible. But the two most important partners on this slide are one IBM and two, the US government. Now many people were going to gloss over IBM in this announcement, but we think it's one of the most important pieces of the puzzle. Yes. IBM and semiconductors. IBM actually has some of the best semiconductor technology in the world. It's got great architecture and is two to three years ahead of Intel with POWER10. Yes, POWER. IBM is the world's leader in terms of dis-aggregating compute from memory with the ability to scale to thousands of nodes, sound familiar? IBM leads in power density, efficiency and it can put more stuff closer together. And it's looking now at a 20x increase in AI inference performance. We think Pat has been thinking about this for a while and he said, how can I leave leap frog system on chip. And we think he thought and said, I'll use our outstanding process manufacturing and I'll tap IBM as a partner for R&D and architectural chips to build the next generation of systems that are more flexible and performant than anything that's out there. Now look, this is super high end stuff. And guess who needs really high end massive supercomputing capabilities? Well, the US military. Pat said straight up, "We've talked to the government and we're honored to be competing for the government/military chips boundary." I mean, look Intel in my view was going to have to fall down into face not win this business. And by making the commitment to Foundry Services we think they will get a huge contract from the government, as large, perhaps as $10 billion or more to build a secure government Foundry and serve the military for decades to come. Now Pat was specifically asked in the Q&A section is this Foundry strategy that you're embarking on viable without the help of the US government? Kind of implying that it was a handout or a bailout. And Pat of course said all the right things. He said, "This is the right thing for Intel. Independent of the government, we haven't received any commitment or subsidies or anything like that from the US government." Okay, cool. But they have had conversations and I have no doubt, and Pat confirmed this, that those conversations were very, very positive that Intel should head in this direction. Well, we know what's happening here. The US government wants Intel to win. It needs Intel to win and its participation greatly increases the probability of success. But unfortunately, we still don't think it's enough for Intel to regain its number one position. Let's look at that in a little bit more detail. The headwinds for Intel are many. Look it can't just flick a switch and catch up on manufacturing leadership. It's going to take four years. And lots can change in that time. It tells market momentum as well as we pointed out earlier is headed in the wrong direction from a financial perspective. Moreover, where is the volume going to come from? It's going to take years for Intel to catch up for ARMS if it never can. And it's going to have to fight to win that business from its current competitors. Now I have no doubt. It will fight hard under Pat's excellent leadership. But the Foundry business is different. Consider this, Intel's annual CapEx expenditures, if you divide that by their yearly revenue it comes out to about 20% of revenue. TSMC spends 50% of its revenue each year on CapEx. This is a different animal, very service oriented. So look, we're not pounding the table saying Intel's worst days are over. We don't think they are. Now, there are some positives, I'm showing those in the right-hand side. Pat Gelsinger was born for this job. He proved that the other day, even though we already knew it. I have never seen him more excited and more clearheaded. And we agreed that the chip demand dynamic is going to have legs in this decade and beyond with Digital, Edge, AI and new use cases that are going to power that demand. And Intel is too strategic to fail. And the US government has huge incentives to make sure that it succeeds. But it's still not enough in our opinion because like the steel manufacturers Intel's real advantage today is increasingly in the high end high margin business. And without volume, China is going to win this battle. So we continue to believe that a new joint venture is going to emerge. Here's our prediction. We see a triumvirate emerging in a new joint venture that is led by Intel. It brings x86, that volume associated with that. It brings cash, manufacturing prowess, R&D. It brings global resources, so much more than we show in this chart. IBM as we laid out brings architecture, it's R&D, it's longstanding relationships. It's deal flow, it can funnel its business to the joint venture as can of course, parts of Intel. We see IBM getting a nice licensed deal from Intel and or the JV. And it has to get paid for its contribution and we think it'll also get a sweet deal and the manufacturing fees from this Intel Foundry. But it's still not enough to beat China. Intel needs volume. And that's where Samsung comes in. It has the volume with ARM, has the experience and a complete offering across products. We also think that South Korea is a more geographically appealing spot in the globe than Taiwan with its proximity to China. Not to mention that TSMC, it doesn't need Intel. It's already number one. Intel can get a better deal from number two, Samsung. And together these three we think, in this unique structure could give it a chance to become number one by the end of the decade or early in the 2030s. We think what's happening is our take, is that Intel is going to fight hard to win that government business, put itself in a stronger negotiating position and then cut a deal with some supplier. We think Samsung makes more sense than anybody else. Now finally, we want to leave you with some comments and some thoughts from the community. First, I want to thank David Foyer. His decade plus of work and knowledge of this industry along with this collaboration made this work possible. His fingerprints are all over this research in case you didn't notice. And next I want to share comments from two of my colleagues. The first is Serbjeet Johal. He sent this to me last night. He said, "We are not in our grandfather's compute era anymore. Compute is getting spread into every aspect of our economy and lives. The use of processors is getting more and more specialized and will intensify with the rise in edge computing, AI inference and new workloads." Yes, I totally agree with Sarbjeet. And that's the dynamic which Pat is betting and betting big. But the bottom line is summed up by my friend and former IDC mentor, Dave Moschella. He says, "This is all about China. History suggests that there are very few second acts, you know other than Microsoft and Apple. History also will say that the antitrust pressures that enabled AMD to thrive are the ones, the very ones that starved Intel's cash. Microsoft made the shift it's PC software cash cows proved impervious to competition. The irony is the same government that attacked Intel's monopoly now wants to be Intel's protector because of China. Perhaps it's a cautionary tale to those who want to break up big tech." Wow. What more can I add to that? Okay. That's it for now. Remember I publish each week on wikibon.com and siliconangle.com. These episodes are all available as podcasts. All you got to do is search for Braking Analysis podcasts and you can always connect with me on Twitter @dvellante or email me at david.vellante, siliconangle.com As always I appreciate the comments on LinkedIn and in clubhouse please follow me so that you're notified when we start a room and start riffing on these topics. And don't forget to check out etr.plus for all the survey data. This is Dave Vellante for theCUBE insights powered by ETR, be well, and we'll see you next time. (upbeat music)

>>from around the >>globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel and AWS. Yeah, >>Hi. We are the Cube live covering AWS reinvent 2020. I'm Lisa Martin, and I've got one of our cube alumni back with me. Mike Miller is here. General manager of A W s AI Devices at AWS. Mike, welcome back to the Cube. >>Hi, Lisa. Thank you so much for having me. It's really great to join you all again at this virtual reinvent. >>Yes, I think last year you were on set. We have always had to. That's at reinvent. And you you had the deep race, your car, and so we're obviously socially distance here. But talk to me about deepracer. What's going on? Some of the things that have gone on the last year that you're excited >>about. Yeah, I'd love to tell. Tell you a little bit about what's been happening. We've had a tremendous year. Obviously, Cove. It has restricted our ability to have our in person races. Eso we've really gone gone gangbusters with our virtual league. So we have monthly races for competitors that culminate in the championship. Um, at reinvent. So this year we've got over 100 competitors who have qualified and who are racing virtually with us this year at reinvent. They're participating in a series of knockout rounds that are being broadcast live on twitch over the next week. That will whittle the group down to AH Group of 32 which will have a Siris of single elimination brackets leading to eight finalists who will race Grand Prix style five laps, eight cars on the track at the same time and will crown the champion at the closing keynote on December 15th this year. >>Exciting? So you're bringing a reinforcement, learning together with with sports that so many of us have been missing during the pandemic. We talked to me a little bit about some of the things that air that you've improved with Deep Racer and some of the things that are coming next year. Yeah, >>absolutely so, First of all, Deep Racer not only has been interesting for individuals to participate in the league, but we continue to see great traction and adoption amongst big customers on dare, using Deep Racer for hands on learning for machine learning, and many of them are turning to Deep Racer to train their workforce in machine learning. So over 150 customers from the likes of Capital One Moody's, Accenture, DBS Bank, JPMorgan Chase, BMW and Toyota have held Deep Racer events for their workforces. And in fact, three of those customers Accenture, DBS Bank and J. P. Morgan Chase have each trained over 1000 employees in their organization because they're just super excited. And they find that deep racers away to drive that excitement and engagement across their customers. We even have Capital one expanded this to their families, so Capital One ran a deep raise. Their Kids Cup, a family friendly virtual competition this past year were over. 250 Children and 200 families got to get hands on with machine learning. >>So I envisioned some. You know, this being a big facilitator during the pandemic when there's been this massive shift to remote work has have you seen an uptick in it for companies that talking about training need to be ableto higher? Many, many more people remotely but also train them? Is deep Racer facilitator of that? Yeah, >>absolutely. Deep Racer has ah core component of the experience, which is all virtualized. So we have, ah, console and integration with other AWS services so that racers can participate using a three d racing simulator. They can actually see their car driving around a track in a three D world simulation. Um, we're also selling the physical devices. So you know, if participants want to get the one of those devices and translate what they've done in the virtual world to the real world, they can start doing that. And in fact, just this past year, we made our deep race or car available for purchase internationally through the Amazon Com website to help facilitate that. >>So how maney deep racers air out there? I'm just curious. >>Oh, thousands. Um, you know, And there what? What we've seen is some companies will purchase you, know them in bulk and use them for their internal leagues. Just like you know, JP Morgan Chase on DBS Bank. These folks have their own kind of tracks and racers that they'll use to facilitate both in person as well as the virtual racing. >>I'm curious with this shift to remote that we mentioned a minute ago. How are you seeing deepracer as a facilitator of engagement. You mentioned engagement. And that's one of the biggest challenges that so Maney teams develops. Processes have without being co located with each other deep Brister help with that. I mean, from an engagement perspective, I think >>so. What we've seen is that Deep Racer is just fun to get your hands on. And we really lower the learning curve for machine learning. And in particular, this branch called reinforcement Learning, which is where you train this agent through trial and error toe, learn how to do a new, complex task. Um, and what we've seen is that customers who have introduced Deep Racer, um, as an event for their employees have seen ah, very wide variety of employees. Skill sets, um, kind of get engaged. So you've got not just the hardcore deep data scientists or the M L engineers. You've got Web front end programmers. You even have some non technical folks who want to get their hands dirty. Onda learn about machine learning and Deep Racer really is a nice, gradual introduction to doing that. You can get engaged with it with very little kind of coding knowledge at all. >>So talk to me about some of the new services. And let's look at some specific use case customer use cases with each service. Yeah, >>absolutely. So just to set the context. You know, Amazon's got hundreds. A ws has hundreds of thousands of customers doing machine learning on AWS. No customers of all sizes are embedding machine learning into their no core business processes. And one of the things that we always do it Amazon is We're listening to customers. You know, 90 to 95% of our road maps are driven by customer feedback. And so, as we've been talking to these industrial manufacturing customers, they've been telling us, Hey, we've got data. We've got these processes that are happening in our industrial sites. Um, and we just need some help connecting the dots like, how do we really most effectively use machine learning to improve our processes in these industrial and manufacturing sites? And so we've come up with these five services. They're focused on industrial manufacturing customers, uh, two of the services air focused around, um, predictive maintenance and, uh, the other three services air focused on computer vision. Um, and so let's start with the predictive maintenance side. So we announced Amazon Monitor On and Amazon look out for equipment. So these services both enable predictive maintenance powered by machine learning in a way that doesn't require the customer to have any machine learning expertise. So Mono Tron is an end to end machine learning system with sensors, gateway and an ML service that can detect anomalies and predict when industrial equipment will require maintenance. I've actually got a couple examples here of the sensors in the gateway, so this is Amazon monitor on these little sensors. This little guy is a vibration and temperature sensor that's battery operated, and wireless connects to the gateway, which then transfers the data up to the M L Service in the cloud. And what happens is, um, the sensors can be connected to any rotating machinery like pump. Pour a fan or a compressor, and they will send data up to the machine learning cloud service, which will detect anomalies or sort of irregular kind of sensor readings and then alert via a mobile app. Just a tech or a maintenance technician at an industrial site to go have a look at their equipment and do some preventative maintenance. So um, it's super extreme line to end to end and easy for, you know, a company that has no machine learning expertise to take advantage of >>really helping them get on board quite quickly. Yeah, >>absolutely. It's simple tea set up. There's really very little configuration. It's just a matter of placing the sensors, pairing them up with the mobile app and you're off and running. >>Excellent. I like easy. So some of the other use cases? Yeah, absolutely. >>So So we've seen. So Amazon fulfillment centers actually have, um, enormous amounts of equipment you can imagine, you know, the size of an Amazon fulfillment center. 28 football fields, long miles of conveyor belts and Amazon fulfillment centers have started to use Amazon monitor on, uh, to monitor some of their conveyor belts. And we've got a filament center in Germany that has started using these 1000 sensors, and they've already been able to, you know, do predictive maintenance and prevent downtime, which is super costly, you know, for businesses, we've also got customers like Fender, you know, who makes guitars and amplifiers and musical equipment. Here in the US, they're adopting Amazon monitor on for their industrial machinery, um, to help prevent downtime, which again can cost them a great deal as they kind of hand manufacture these high end guitars. Then there's Amazon. Look out for equipment, which is one step further from Amazon monitor on Amazon. Look out for equipment. Um provides a way for customers to send their own sensor data to AWS in order to build and train a model that returns predictions for detecting abnormal equipment behavior. So here we have a customer, for example, like GP uh, E P s in South Korea, or I'm sorry, g S E P s in South Korea there in industrial conglomerate, and they've been collecting their own data. So they have their own sensors from industrial equipment for a decade. And they've been using just kind of rule basic rules based systems to try to gain insight into that data. Well, now they're using Amazon, look out for equipment to take all of their existing sensor data, have Amazon for equipment, automatically generate machine learning models on, then process the sensor data to know when they're abnormalities or when some predictive maintenance needs to occur. >>So you've got the capabilities of working with with customers and industry that that don't have any ML training to those that do have been using sensors. So really, everybody has an opportunity here to leverage this new Amazon technology, not only for predicted, but one of the things I'm hearing is contact list, being able to understand what's going on without having to have someone physically there unless there is an issue in contact. This is not one of the words of 2020 but I think it probably should be. >>Yeah, absolutely. And in fact, that that was some of the genesis of some of the next industrial services that we announced that are based on computer vision. What we saw on what we heard when talking to these customers is they have what we call human inspection processes or manual inspection processes that are required today for everything from, you know, monitoring you like workplace safety, too, you know, quality of goods coming off of a machinery line or monitoring their yard and sort of their, you know, truck entry and exit on their looking for computer vision toe automate a lot of these tasks. And so we just announced a couple new services that use computer vision to do that to automate these once previously manual inspection tasks. So let's start with a W A. W s Panorama uses computer vision toe improve those operations and workplace safety. AWS Panorama is, uh, comes in two flavors. There's an appliance, which is, ah, box like this. Um, it basically can go get installed on your network, and it will automatically discover and start processing the video feeds from existing cameras. So there's no additional capital expense to take a W s panorama and have it apply computer vision to the cameras that you've already got deployed, you know, So customers are are seeing that, um, you know, computer vision is valuable, but the reason they want to do this at the edge and put this computer vision on site is because sometimes they need to make very low Leighton see decisions where if you have, like a fast moving industrial process, you can use computer vision. But I don't really want to incur the cost of sending data to the cloud and back. I need to make a split second decision, so we need machine learning that happens on premise. Sometimes they don't want to stream high bandwidth video. Or they just don't have the bandwidth to get this video back to the cloud and sometimes their data governance or privacy restrictions that restrict the company's ability to send images or video from their site, um, off site to the cloud. And so this is why Panorama takes this machine learning and makes it happen right here on the edge for customers. So we've got customers like Cargill who uses or who is going to use Panorama to improve their yard management. They wanna use computer vision to detect the size of trucks that drive into their granaries and then automatically assign them to an appropriately sized loading dock. You've got a customer like Siemens Mobility who you know, works with municipalities on, you know, traffic on by other transport solutions. They're going to use AWS Panorama to take advantage of those existing kind of traffic cameras and build machine learning models that can, you know, improve congestion, allocate curbside space, optimize parking. We've also got retail customers. For instance, Parkland is a Canadian fuel station, um, and retailer, you know, like a little quick stop, and they want to use Panorama to do things like count the people coming in and out of their stores and do heat maps like, Where are people visiting my store so I can optimize retail promotions and product placement? >>That's fantastic. The number of use cases is just, I imagine if we had more time like you could keep going and going. But thank you so much for not only sharing what's going on with Deep Racer and the innovations, but also for show until even though we weren't in person at reinvent this year, Great to have you back on the Cube. Mike. We appreciate your time. Yeah, thanks, Lisa, for having me. I appreciate it for Mike Miller. I'm Lisa Martin. You're watching the cubes Live coverage of aws reinvent 2020.

>> Announcer: From theCUBE studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is theCUBE Conversation. >> Hello everyone, welcome to this CUBE Conversation, I'm John Furrier, host of theCUBE I'm in the Palo Alto CUBE Studios here with the quarantine crew, doing the remote interviews during this time of COVID. Of course, we want to check in with all of our great esteemed guests and CUBE alumni. We're here with Jerry Chen, partner at Greylock. Jerry, great to see you, it's been a while. Hope you're sheltering in place, nice camera, nice set up you got there at home, thanks for coming on. >> Thanks, John. I set up all the cameras are just for you. Everybody needs their quarantine hobbies, and for me, I kind of dust off the audio visual playbook and set this up, just for theCUBE interviews. But it's good to see you. Glad you and the family are healthy and sane as well. >> Yeah, and same to you. Let's just jump into it, obviously, COVID-19 has caused the virtualization trend, virtual everything. You're no stranger to virtualization, and VMware back in the day really changed the game on server virtualization, but the whole world's becoming virtual. And it's very interesting because now people are feeling, but we in the industry have been talking about inside the ropes for a long time, which is, the future is there, it's going to be about interactions online, software, cloud scale, these things just got accelerated, and the disruption, the change of behavior, Zoom fatigue, Webexing, all this stuff that's happening, people are kind of like, "Wow! This is the future." This is a real impact, and it's mainstream, everyone's feeling about business, to personal, your thoughts? >> Yeah, I think Satya Nadella at Microsoft had this quote recently that they've seen two decade's worth of digital acceleration and transformation in just two months, and I think what we've seen the past four months, John is all the kind of first order effects of virtualization events, not just infrastructure, but like virtualization meetings and people, telemedicine, telehealth, online education, delivery of food, all those trends are just accelerated. We're buying stuff on eCommerce, and Amazon, and Instacart before hand, that's just accelerated. We're moving towards virtualized events, online education, online healthcare, that's just accelerated. So I think we're seeing the first order effects of changing not only how we work, how we communicate, but how we shop, interact, and socialize, it compress two decades within two, three months. And so I think that's changing both how you and I interact and how we build relationships, also how companies interact with their customers, and how companies interact with employees. and it's been exciting time, because one, when there's disruption, there's opportunity, but two is giving guys like you and me a chance to kind of dust off or try new skills, and you and I are both figuring out how to exist and thrive in this role where we're now interacting in this virtualized world. >> And it's still the same game personal relationships. Content is now data. This is stuff that we've been preaching on theCUBE. You've been on many times talking about, I going to get your thoughts as a venture capitalist, whether you're making bets on the future for investments, you have a 10 year horizon, and roughly speaking average on VC deals, enterprises and customers who are building a cloud and data centers, they got to make new bets or double down on stuff they've been doing, or cancel stuff that they had going on, and refactoring. So I want to to get your thoughts on one, first on the VC side, how have you guys refactored your thinking, your meetings, and your bets? >> Yeah, so I would say, three areas, one is how we operate as a VC firm what's changed? Number two, I'll talk about what we're investing in what's good or bad, and thirdly is like, what I think changes for our portfolio companies and how startups think. So first and foremost obviously, we've gone all virtual too, with shelter-in-place, our entire team is now working remotely, working from home, but we're still open for business and we're looking to find new investments, we are investing aggressively right now, and we're just doing things over Zoom. And so we're either A, doing video calls as a partnership, or doing video calls with startups that we're meeting and founders, but I'll be honest, one thing I've done John, is I've turned off the screen more or less, I've done more phone calls because I find that a video call is great for the first or second meeting, but with a founder or executive you have relationship with, it's just really nice to actually, go on a virtual walk where me and the founder of both put AirPods or take the phone to walk outside and kind of have a conversation, that's a little of a higher bandwidth. So, I think how we're operating has changed a little bit, but to your point, is the same business, connecting with a person one-on-one, reading the market, reading the founder, and making a bet. So that hasn't changed. I think on the stuff we're investing in, like you said, all the trends around cloud and APIs and SaaS, that's accelerated. So all the trends around the new workplace, SaaS companies, collaboration, going cloud that's accelerated faster, so some of our companies like Cato Networks that does software defined, wide area networks plus cloud security that just accelerated there in this market called secure access serves edge. We've seen kind of a nice tailwind from that, more and more data is going to cloud so companies like Rockset, that's a database company that you had on theCUBE, they're going to see a benefit from that because more and more data is now in the cloud. Then finally for the founders we work with, the way to go to market, the way to sell like no one's flying around selling one-on-one anymore, you're not meeting a CSO, or the CIO over steak dinner, or you're not going to a conference anymore. So a lot of our companies are figuring out how to do more online sales, bottoms ups adoption, that could be an API, that could be open source, we're trying to find a couple more of our line of business entry to the company and sell that way, versus go to a conference or for one-on-one meeting. So it's interesting, everything's moved faster, but then this slight curve ball on how you connect with your customer has changed. And so what's the Darwin line, it's not the strongest that survives, but the most adaptable. So we're seeing the companies that founders that are most adaptable right now, they're going to thrive. >> It's interesting, we've always talked about from a tech standpoint with DevOps and cloud-native, integration or horizontally scalable has been that ethos of value creation, you've talked about moats in the past, but now it's more real life, is becoming immersed into software, and so I want to get your thoughts on this, and we have a phrase here in theCUBE team is that, every company will become a media company, that's something that we believe in, and you starting to see that people are doing more Zooms, doing more digital events, you mentioned some of the other things. Can you see any other examples where a company has to become blank? Because media is just one element of the new realities of life, right? You got to broadcast, and you got to share your stories and formats, that's media, is there other areas we're seeing, that things that weren't on the radar before with COVID, where companies have to become something like, every company will be blank? Fill in the blank. >> I would say, it's trite to say one, one, was every company is a data company, people have been saying that for a while, that's more true than ever. Number two, I'll be honest, every company now is a healthcare company, right? Because be it in health insurance for employees, the current pandemic is making the reality of both physical health, and emotional health, and mental health key for employees. And so if that was a top cost factor for hiring employees, this could be even more important going forward that every company is a health care company. And thirdly, like you said, every company becomes media company, I would say every company is also either one or two things, they're a Fintech company, because every company is now going online with their content. They wanting to create a one-to-one commercial relationship with a customer, right? That could be ads, could be transaction, could be selling something, so you're now doing business directly with your customer, so every company is a Fintech company, and I would say every company's now also, like you said, content company, right? It's the media creating, but also the data you're taking, the value you add on top of the data you're creating, and then how you share that back to your customer. So you as an enterprise company or a consumer company, you collect data from users, you're to use that data to improve your product, and this could be a SaaS offering, this could be an application, but then take that data through real time analytics, then make your product better and so because of that, if you're a data company, real time data, like our database company mentioned earlier, Rockset becomes more important. If you're a Fintech company, so all things around payments or commercial banking and relationship with your customer make sense. And if a you're a healthcare company because all your employees are now caring about healthcare, just thinking about how to make communication of healthcare with employees a lot more efficient, and a part of the reason why to work for theCUBE and work for a startup is important, so I think those three things are top of mind for all employees and all employers. I think things could change the next six or nine months, but right now I see those three being front and center. >> It's interesting. I wonder if you can add real estate company to that because if you look at the work from home, it's dynamic. >> Yeah >> I had a friend who was a fellow dad with my son's lacrosse team, he lives in Los Gatos, he's been involved in Google, Tesla, building up their facilities, and he had an interesting guest post on SiliconANGLE, and he was saying, it's not just give them some extra pay for their internet access, companies got to rethink the facilities question, right? Because do you pay rent for your employees? Do you provide the VPN, beyond VPN security, for instance? So again, you start to see these new opportunities or challenges, open up new thinking, this is going to be a wave of opportunity. >> Well, that virtualization between work and home has now been blurred like you said earlier, John and so if you're a technology company that enables remote access or distribute access, like Cato Networks when the portfolio comes and Greylock around our road office, home office, that is now how to right? So I had this conversation with Jason of Austin, askSpoke, one of our companies, there's like a mass of hierarchy for working out, and at the base of the mass of hierarchy is like good internet access, right? That's the how to, you need security, right? Because if you don't have secure access, you can't work, and then you have information management, knowledge management, how to communicate, right? And then collaboration, so, you have now this new hierarchy of what is required you to work in this new world, but also the tools and the technologies, be it secured access service edge like CATO or IT Helpdesk for all employees like askSpoke, both of those things become dial tone for any remote work. Just like videoconferencing, we couldn't do this in the same way, 10, 15 years ago, that's become kind of a must have, and so I think it'd be fascinating how we went from the office world where I gave you a laptop, or a computer, or a desk to this home office world, where maybe you now I have to pay for my fancy camera setup and my VPN. >> Well certainly you're getting good ROI on your setup and sure Greylock will take care of that plenty of dough big, billions of dollars under management. And by the way, must have hire things in our houses, ping and internet access, so we fight for that ping time, I got 12 I'm like what's going on? Who's gaming? We have to get the kids off of Twitch, and whatnot. but in all seriousness, this is what the reality is. So now for the average person out there, there's a lot of discussion around mental health, you mentioned taking it off the video conferencing and going for a walk, or just talking on the phone, this speaks to the humanization aspect of what's going on, mental health, social interaction, we're social creatures, collaboration has to be re-imagined. What's your view on all this? >> I think absolutely, look, humans are social creatures by nature, and I think part of the reason why I had this conversation with my founders early during COVID-19, that it's both a healthcare crisis. It's an economic crisis with all the million and millions of people unemployed, but it's also an emotional crisis because one, we're not connected to family, friends, and loved ones, and we're sheltering home with either ourselves or just a handful of people. And so we're trying to figure out ways to like, recreate social connections, and that's a phone call, it's a video call, it's Zoom dinners, it's Zoom dinners, the Zoom parties, is key. I think, going on socially just in walks is another thing to kind of like, play and experience things together. But my two cents is if you're a startup, right now, it can help connect people work-wise or socially, that's just going to be super critical for the new experience. And I think people are discovering new ways to use technology, so Zoom was never meant to be used the way it is today, I think that's amazing. I think how people think about voice video, and email, and chat are changing as well. So I'll finding new ways to like, play games online with my nieces, or communicate with them. And I think as an employer in these companies, like HR software, and how you like manage, and coach, and lead your employees is going to change as well. And so, you have this world where we're all in one building, and think about how you as a CEO, or as a leader now can actually coach, develop, and enable your employees across the world. >> I want to get your thoughts on cloud, we've had many conversations around cloud computing as to rise of AWS, I remember one it was a big Twitter conversation, I think about last year where what enabled Amazon and I think one of the things that came out of it was virtualization enabled them to have all these different servers. What do you see coming out of this virtualization of our lives with the COVID-19, as people start to figure out beyond the triage of stabilization, and as they get foundationally set up in COVID, coming out of it, companies and people have to have a growth strategy, whether it's life or business, people want to come out of this on the upside, whether it's emotional or with their business, what do you see being enabled? What needs to be in place? What kind of scale? What kind of environment? Because this is where I think the entrepreneurs are really going to sharpen their energy on their creativities looking at the expectations and experience needed coming out of this, it may look completely different than what we were talking about a year ago. What's your thoughts? >> Well, I think individually, people can use this time to prove their skills in different ways. So I think as an employee, as CEO, as a founder, you take the time to like invest in new skills, and that could be, "Hey, how do our community collaborate and manage my team remotely?" So I think CEOs and founders that can understand how to motivate, educate, train their employees in this new world, well, those are skills going forward. So communication has always been a great skill John, for any leader, any founder, it's 10X more important in this new virtualized work role, communication, motivation, and leading people over remote work is going to be a new skill that people have. Managing remote teams, managing fully distributed teams or half distributed, half headquarters, so understanding how to organize and lead your team in this kind of half in the office half out of the office role, that's going to be a challenge as well. So any tools, technology and tips there, but I think in terms of the founders that can now hire employees, find customers, sell customers, and manage a distributed team, those three things in this new world, even post COVID-19, we're not going back to the way we were, so the ability to actually use skills around email, creating content, Slack, Zoom, video chat, online conferences, what was that? "Video Killed the Radio Star", the first MTV Video. So, COVID-19, and Zoom, and video collaboration, what's that do to the old skills or the old founders? And what do they enable? So just like TV replaced radio as a medium, and now this virtualized world is going to replace kind of the medium we had beforehand, so, there'll be new generation of founders and investors coming out of this generation that would be for the next 10, 15 years, and I'm excited to be part of that. >> Yeah, and it's super big opportunity, because you have these kind of medium changes, new protocols get developed, new responsibilities and roles emerge, value creation capture, equations change, right? So you're looking at things like online events, for instance, they don't happen anymore, and even when they do come back they'll probably be hybrid anyway. So you got virtual, hybrid, public it sounds like a cloud play to me, public events, hybrid events, and private events, I guess. >> Yeah, virtual private events, but the same thing holds, just like cloud internet increased the reach, right? So all of a sudden, you can reach a bigger audience than just radio, TV, or the newspaper. Now you have these virtualized events like say private events, public events, hybrid events, you as a company or a media property, like theCUBE can now reach a larger audience, right? It's global, you don't have to be there in person, you're going to have the remote audience as a first class citizen, now more than ever, it's just like the internet replacing newspaper and print, people really care about print and newspaper, but really the reach online is always a magnitude larger than print, so all of a sudden you thought more about the print, so the online audience more than print audience. So now going forward, you're going to think about the virtual audience that's remote versus the physical audience. And so you're going to have to create experiences that are their world class or both properties. So just like the cloud, you think about the big three cloud providers, private cloud, as a technology company, you think about all three venues, all three infrastructures as a first class citizen. It's not going to be all one cloud, it's not all going to be one note, if you will. So it forces everyone to think, not just kind of one path, but multiple paths, so like classic problems a lot of founders think, okay, I'm going to do an enterprise private cloud strategy only or I'm going to do a cloud only SaaS strategy. Now founders of this do both the same time, I got to address the private cloud on premise business at the same time as the cloud business, and not just one cloud, three or four clouds around the world. So it forces founders to be able to do more things at one time and the ability for a company to attack multiple venues or multiple territories at the same time, they'll be successful. And the days where I can just do one cloud or one venue, or one audience, those are gone, and so, folks like yourself, John, and what you've built here at theCUBE with everyone else, they can reach multiple audiences at the same time, that's going to be very powerful. >> And we're going to be marketing and doing a lot more online events, like you said, it's going to be easier to tap into our 7000 plus alumni to get people together to create great content. And again, content value to remote audience is interesting. So that shifts into the conversation that everyone talks about the remote worker. Well, what about the remote customer, the remote prospects? So this is going to change how companies have to be change of behaviors. And it's going to be driven by developers, because it's not like one app can solve it, 'cause you got to integrate, you got to have some integration points. So this is the question, are we moving away from that monolithic SaaS app? Or is it going to be some SaaS apps that need to integrate with others? Will there be an abstraction layer of innovation around? Because at the end of the day, these new workloads and new apps going to be built. If you're going to run an event, if I'm a SAP or a big company, I'm not going to rely or may not want to rely on a vendor. In fact, the CEO of SAP said, 'cause their site crashed for their event, "I'm not going to rely on a third party to run my business event." 'Cause their business model is the event, not just a supplier selection for a SaaS app. So interesting kind of new surge of online activity might tip the scales for the supplier side. >> I think you're right John, I think because now the, just like the IT technology is now your business, you're going to basically do one or two things, one, vet the IT technology provider that much higher or harder. But number two to your point, I think the way you sell and you reach companies is going to be through developers and yes, you're going to have these large monolithic SaaS apps before, but almost every SaaS app now has APIs for integration, and so to your point, is that integration and the ability to have multiple companies work together, and share data, and collaborate, that's going to be more important. And so really at Greylock and myself, I've been investing in developer-led technologies and developer-led adoption, or API, or open source-led adoption, for seven plus years now. And the truth of matter is, that's going to be even more powerful going forward. Nassim Taleb would say that's anti-fragile, right? So having one giant app is fragile, but having a bunch of small apps, or a bunch of APIs, or a bunch of developers using your open source technology, or using your API technology to build an application, that's anti-fragile, because at the end of the day, that's going to be more reliable for your customer than a single point of failure, which can be one giant application. So all the big apps like Salesforce, have now other platforms, right? They have APIs, they have extensibility, they understand that there's a long fat tail of solutions needed to build. And all the new startups are doing open source, or API-led adoption 'cause they understand that the fastest route to create value for the customer, is also the most robust technology stack that a customer can build upon. I think that's super insightful, in fact, that is, I think so compelling, because if you think about it, that's the formula for great investments from a startup standpoint. But now, because of COVID, you said, everything's been pulled forward and accelerated at the same time, there's a collision, not all the enterprises are that strong, they're not that developer-led. So I think, to the point about acceleration, now, the enterprises, and we've seen pockets of this with cybersecurity where they have their own, in-house teams doing a variety of different development. The customers have to be developer-led, because that's where the value is, so they have to have a supplier with the right stack and integration frameworks. Now, the customers who haven't really been developer-led, have to be developer-led, what's your take on that? >> Absolutely true. 20 years ago, the CIO of a company that used to be the monopoly supplier technology for the company, they decided what hardware to use, what servers, what stores to use, what applications to buy. And then all of a sudden, like Amazon came around and said, "Well, look, here's a set of APIs, go build what you want." And so the competition for kind of like the centralized decision making became Amazon. And guess what? CIOs reacted, they got better, they got smarter, and those that embrace kind of like an API developer-led adoption, became the CIOs you wanted to have in the company. So I think, CIOs in this cloud mobile era have adopted that philosophy that, look, my job now as the CIO is to enable my developers, my employees, which really the assets of the company is the people, to have the right tools. So you're asked a bunch of cloud APIs, like Rockset or whatever for data, or here's a bunch of resources, or open source technologies for you to pull. So like I invested in a company recently called Chronosphere, it's an open source technology around metrics and monitoring. So, "Hey, use this open source time series database for monitoring your cloud and build upon that," and they're not going to say, "We're going to pick one large vendor that's monolithic," we're going to say, "Here's an open source tech company or a cloud API, go build upon that." And the companies that are embracing that philosophy of API-led or developer-led, John, they're going to be far ahead the better CIOs, the better companies, because the rate of digital adoption has just gone exponential, so we were on this super fast path already, and with quarantine in COVID, we've accelerated all that digital transformation, so every brick-and-mortar retailer now has to be eCommerce retailer. So they're making a slow digital transformation to go from brick-and-mortar stores to online stores. Now like brick-and-mortar retail is pretty much not happening, and probably won't come back to the same levels for a while, they need to accelerate their move towards digital transformation, right? >> And IT certainly exposes the people who haven't really made those investments, because literally action and the mandate, now take action, make those changes, totally want to dig into this developer-led vision, because I think that's very real. And the new decision is going to be made on what to do. I'm happy to see the DevOps thinking, the agile, speed become the table stakes. So with that, this week, Google is having their nine-week digital event of 200 plus sessions, essentially, an asynchronous event, it's going to be sprinkled out, they've kind of pretty much released the videos, most of them today. Over the next eight, nine weeks, you're going to see a lot of videos. Google, one of the big three got AWS, Azure, Google, what's your assessment of the horses on the track relative to the cloud? >> I've been talking about this for seven, eight, nine years, I first met it, like in the first or second Amazon reinvent and what was the forecast? And we said, well, it's not a winner take all, but right now, it's a winner take most. Amazon's clearly the market share leader, Azure coming up quickly behind the enterprise, Google's a third but they're doing some smart things around technology. Google announced a bunch of things today, which I think are very smart. So for example, they announced BigQuery Omni, which is BigQuery that's in query, their kind of a data warehouse, also query data and private cloud Azure or Amazon. And so strategically, if you're the number three player, you're going to push a multi-cloud agenda with BigQuery Omni, or Google Anthos, which is kind of a multi-cloud platform. And for Google, I think is the right strategy. I also think it's the right strategy for most customers to be multi-cloud, because you can't be dependent upon, a single point of failure in your applications. You can't be dependent on a single cloud as well. So I think multi-cloud is probably the direction we're headed as cloud matures. And I think Google's making a bunch of the right choices around embracing multi-cloud, and today they made that choice with BigQuery Omni, and so I think they're playing catch up but they're playing that game. I think Amazon's clue is still in the lead and still it blows my mind, and it's continuing to impress me what they've done over the past 10 years in terms of improving the cloud offering and the cloud services up and down the stack, and I think the past five, six years, what Azure has done, has been super impressive in terms of, Microsoft embracing, open source embracing, cloud as an ethos against their legacy business of operating systems and servers on premise, they've done a great job of embracing the next generation. But I do think, looking around the corner this new developer-led mindset is going to matter, right? So the cloud tomorrow will be APIs, like Stripe for payments, Twilio for communication. So I see the next evolution not just being VMs and containers, but also a bunch of cloud services around data, security, and privacy. And the cloud vendors can build this next generation of database APIs, or privacy APIs, security APIs, that they're going to be in the catbird seat for the next 10 years of applications are going to be built. >> And it'll be interesting to your developer-led position, our conversation around that, if the developer is going to be leading, is it going to be an abstraction layer across multiple clouds? Or do I have to have my Google developers, and my Amazon developers, and my Azure developers? How do you see that playing out? Because I do believe developer-led is the way, the question is, how do you avoid forking resources, right? So you might want to have an (mumbles) I get that, but if I'm going to go double down on say, a cloud, I'm going to go deep, I'm going to hire developers. >> It's interesting, history suggests you have multiple teams remember, we used to have a Unix team or a Sun team inside companies, right? You had a Windows team, you had a kind of a Solaris and Linux team, and there's a Microsoft team, and a non-Microsoft team, in most companies and they didn't really work well together and they had kind of two groups in most companies. I think that was an okay way to get started, but ultimately, to your point, that was not cost effective at all, it was defeating, you see now you had to like have to rethink it, what was my data backup strategy? Okay, I have a Windows backup strategy, and a Unix Solaris backup strategy. So I think we're not going to make the same mistake again, right? I think what will happen, we'll going to have multiple clouds, Amazon, Google, Azure, and then on premise private cloud, so call it, three, four, or five clouds. And then you're going to have a set of tools that can abstract away, not 100% of the clouds, but I think the best developer tools, the best APIs will be multi-cloud. So I can get 80% or 90% of what I want to be done through this developer-led layer of APIs, be it databases or analytics. And then, 10 to 20% of the code, you can write will be able to take care of what's unique to Amazon, what's unique to Azure, what's unique to Google or what's unique to your own private cloud. But I think we're seeing a layer of technology and that's true to all the startups. With back and true to all the startups I see that lets you get most of the way done with a single platform, seamlessly AI technologies, and that's what customers want, right? They don't want to create modal fiefdoms, they want-- >> They want choice. The want choice, but the reality is they don't always get it. I want to go through a throwback to 2010 when Paul Maritz, head of the VMware our first CUBE gig, he said, there's a hardened top. Okay, the hardened top was, you don't worry about what's underneath the top, we're just going to focus on top of the stack that was classic kind of, the stack would develop and you'd had standardization. You mentioned you had Windows teams and Unix teams, but also you could argue that, back then you had Cisco and Wellfleet vendors, but you didn't have two teams of routers, you had one standard that ran the remote interoperability, and OSPF routing, or whatever you had going on, so you had some standardization, how do you view that? Because you want some standardization to have the interoperability, the SLAs and the security, at the same time you want to have flexibility, kind of above what may be called a hardened top, is there a hardened top in multi-cloud? >> I'd say hard top doesn't exist in same way. I think back in the day, you had proprietary technologies, operating systems and firmware, right? So windows was closed, a lot of the network operating systems were closed source. Now you can't get away with that. So you have open source technologies today and public APIs. And so the pressure of both one, competition, two, public APIs that people can read, copy, adjust, three, open source, and it's just customer demand not to be locked into a hard top anymore, that's largely going to go away. So I think most of the major vendors success will try to kind of more or less lock you in and keep you stuck on their platform, their technology, and that's fine, right? Every successful company should be able to do that. But I think the ability to lock you in through proprietary software or operating systems, that's not going to happen anymore. I see through cloud and open source, what we've seen is kind of interoperability, and flexibility is the default, if you can't meet those needs, customers will go other ways. There'll be proprietary technologies, proprietary extensions along the way, but 60, 70% of what you want is going to be compatible with most technologies and most clouds. If you're not going to offer choice and freedom to our customers, they'll go elsewhere. If you don't offer a flexible solution, John, someone else will, and the customers will choose a more flexible solution. >> I would agree with you. Outside of latency, which is laws of physics, value is the lock in, if you're creating value, that's really what the customers want, they get to capture that value. Well, Jerry, great to have you on. I love the new setup. We're going to have to make this more of it. We can bring you in on the podcast when we get Zooms over the weekend, maybe put a panel together. Let's get Carl Eschenbach some VMware alarms to come on, give the perspective, what's going on. And I thank you for taking the time and great to see that you're healthy and doing well. Thanks. >> Me too. Thanks, john. Anytime, I love to be on theCUBE, so I look forward to my next trip. >> All right, Jerry Chen, great CUBE alumni, our first interview over nine years ago, he brought that up. That was at the second reinvent, boy has the world changed, and it's only going to accelerate even faster. Everything's changing new bets are being made, decisions have to be evolving quickly and faster. If you're not fast, you will be in the pile of dead companies and not making it. So, Jerry Chen breaking it down as venture capitalist for Greylock. I'm John Furrier with theCUBE. Thanks for watching. (soft music)