>>From around the globe. It's the cube with digital coverage of Veem on 2020 brought to you by beam. >>Hi buddy. Welcome back to Veem on 2020. My name is Dave Vellante and you're watching the cubes coverage of EMR. This is the first time we've done it. Virtual VIMANA. We've got the, the Veem power panel, bill large and CEO, Jim Kruger, the CMO, Danny Allen. Who's the CTO and senior vice president product strategy. All I have been on earlier guys. Great to see you. Thanks for coming back. digging out of the power panel. Appreciate it. Good. Thank you. Okay. I want to start off a bill. you're going to get a business update, you know we've so I talk a lot about COVID. We can go back to that, but you guys, Mmm. You know, as a private company, you divulge more information. Yeah. Then most private companies. And we appreciate that as an independent guys, if you would bring up that, that one slide, you know, you shared this publicly well earlier. >>I mean, you guys are in a, okay. Billion in revenue now, 21% annual recurring revenue growth. We're going to 75,000 customers, 97% year on year increase in your universal, uh, license bookings. Mmm. Everything seems to be happening. Bill. What, uh, what can you tell us? Well, we had eight. Yeah. We had a great first quarter also that we kicked off where we had, or a transaction with, um, insight venture partners, which, and written the middle of a right in the middle of that quarter. At the end of it, we had that activity that went on, I think would have disrupted, did the business. It didn't land for Q1, really excited about that. We announced our growth, so that here recently, uh, pumped into our row pumped into our second quarter. We, we managed to transition everybody out of offices. We probably add seven per cent of our work for 75% of our work course. >>It needs to move. Yeah, they did that. We had a fantastic April. We're having a very good may. So it's just a great start, uh, with a great customer base. So I'm really excited about it. Okay. You mentioned insight. We obviously covered that. Mmm. Boarded on that. Okay. Insight. They like growth, you know, not like the old school, private equity, you know, suck money out. They want growth options down the road, personality. Maybe it's a rule of 40 rule, you know, the type of company. So that's gotta be exciting, uh, for you guys and your employees. Yeah. I think it's pretty exciting. We've been around a few of us. Who've been around the insight team since 2002. So, uh, a very well known a group of individuals to us. Yeah. Uh, they are focused in the software space and know the infrastructure space really well. >>Uh, my triple that hour, um, our lead on the insight team and his, um, his staff is that's move into, as we move into it, stepping up and moving into our Andrew very revenue focus versus part of a total contract. Bye. Nice. A nice resource to have for things that we might want to do in the future related acquisitions. So we're really excited about it. I mean, if I'm in VC right now, I'm looking at SAS, I'm looking and the software I'm looking for companies that have a, uh, an annual recurring revenue model I'm looking for adoption then. Okay. Okay. And those kinds of cases. Yeah. Do you guys fit that bill? Yeah. There may be a larger size and obviously the early stage startup, but that's kind of the profile of the the company that you want to invest in, in the 2020s, isn't it? >>Absolutely. And I'd also say it's the kind of company we want to invest in, in the future as we go forward to bring in new technologies and expand markets, addressable market, uh, back to comments, we had discussions owner, what's it look like in 2030? And it's like, yeah. Places we're heading. Yeah. Okay. So Danny, Pat Gelsinger is famous on the cube for saying that, look, if you don't ride the waves, can it be yup. Driftwood. So what are the mega trends that you guys are riding, uh, today and that you're seeing in the future? Good. We'll keep you ahead of the pack. Well, we clearly talk a lot about cloud data management. So act two for us is not just moving from perpetual licensing to subscription and evolving with American at a business level. It's also at a technical level. And so we invested heavily, as you know, we demoed earlier today, Veeam backup for office three six, five version. >>Hi, an important point act two for us is not just product. There's also product delivery. That's version, hi of a relief of a product to chemo three years ago. So the backup profits, three 65, we showed you Veem backup for AWS. And you saw from Anton as well, uh, supporting Google cloud storage and supporting all of the major, um, providers. So for us to not just ride the wave, but actually be ahead of everyone else it's to embrace cloud data management and give the customers what they really need. Well, I think you guys are in a unique position too. I mean, you know, if you're, if you, you guys obviously sell on prem, but if you're, there are not prem infrastructure, the company that really living on box margins, um, you know, you can talk the cloud talk, but it's not necessarily a tailwind. Where are you guys? >>So Danny, how is cloud, wait, how cloud is it tailwind of, you know, versus some of the other legacy players? Well, Veem has always been, we always highlight simple, flexible, reliable, but one of the, the parts of flexible of course, is being software defined. And we've been software defined from the very beginning. And if you're in a world where you have to go take a box, plug it into the data center and rack and stack it and do hi, okay. Be there physically. You're not going to survive in this type of environment. So being software defined help desk, not only when the data center, but to help our customers as they go through that evolution. Okay. On prem too, maybe just storing backups in the cloud to actually running their workloads in the cloud. >>Well, so Jim, I want to, I want to turn it to you sort of, I'm thinking about the Veeam brand. Uh, I, we talked earlier about how you guys have always punched above your weight, famous parties and sofa, but now billion dollars now entering a new era. Oh, wait. Yeah. It's ironic that we're now doing virtual events. Okay. No big giant party this year, but I feel like, I mean, you guys are what 14 year old company now. Okay. Kind of growing up your three and your colleagues are bringing, you know, lots of adult supervision. How should we think about, okay. Okay. The or V brand going forward. Yeah, no, I think the, the beam brand is critically important because, uh, there's just a, such a strong affinity and connection with customers. And I think one of the challenges as you get larger and go from 1 billion to 2 billion, a lot of companies miss the beat relative to staying connected to their customers. >>And that's something that we're putting a tremendous amount of focused on that first slide that you see, you flashed up no 91% customer satisfaction, the 75 net promoter score, which is three and a half times industry average. I think our key to success is, is not only bringing great products, the market, but looking at the holistic picture relative to supporting customers and customer satisfaction, which is a key driver of the company. Uh, well, it will help us to continue to build on the brands and, and have, you know, the, the best brand in the market. Well, I w I want to come back to, is the good, the marketing was in the, the panel. I mean, you think about digital. We feel like the war is going to be one in digital in the next a decade. I take the, you pick the GNC example and you think about just even the term, like customer relationship management, you know, we all use CRM systems. >>Yeah. I'm not sure I want to a relationship. Okay. GNC, but I do know this, I want a good deal. Right. If they're going to make me an offer, I'm going to, I'm going to look at that. And, Oh, these other brands, uh, that's digital that is having infrastructure and data, that's obviously protected to be able to offer that at the right time. Awesome. Versus if they can take advantage of it and have the candles. I wonder if you could talk about it, what you see as a, a marketing pro just in terms of digital and, and that customer intimacy. Yeah. Yeah. So, so I think it it's a multifaceted, I think one of the key things that, that, again, Veeam does, that's different than other, uh, companies is that we, we have a direct connection with our customers. So yeah, in our head of product management sends out an update every Sunday, and it goes into quite a bit of detail around sort of how to deploy this, how to deploy that. >>Oh, really? Yeah. Creating a digital journey for the customer from a marketing perspective, because yeah. Like within any situation, no, you, you don't want to talk to a salesperson right off the bat because you know, they're going to try to sell you. Uh, so you want to do something investigation, you need the, the contents and information to help you move along that journey until you get to the point where, okay, now it's time, I've kind of narrowed it down and I need to talk to someone to give me some more information. So I look at, you know, one of the key differentiators of Veem is, is that digital promise, uh, which I think from the founding of the company that rattler put into place, uh, here it is as forward. And when we continue to put a lot of focus on that digital experience, which I think gives us definitely a leg up on the competition. >>So bill, you got to place bets as the CEO. I'm interested in where you're placing bets. I mean, you've yeah. Okay. Some pretty substantial investments in the, your partner, a network. Oh, you've got some big names partners that are okay, you're moving a lot of products, you know, through those guys, obviously your heritage as a company is, is okay. Technical development. Uh, you, you are very successful sales organization, but where are you placing your chips on the table these days? And maybe especially in the context of, of this pandemic, if anything changed in your thinking. Yeah. Well, the vets will always be placed on the product side of it. Yeah. That's a, that's a big products. You go partners and you go our employees and those are the big bets that will make, what are we doing on the partner side work, continuing yeah. Pretty aggressive activity and making sure these partners have a simpler place as I've discussed. >>Yeah. Before to do business with them. It's more challenging the larger unit. Yeah. Yeah. But yeah, we'll keep that focus on it. The product offering has been, again, always go back to any of our taglines. It just works, but it's in the lab, we're going to win. We're going to win that technical decision a process. And then we're putting it up pretty big bets on our employee base. We're all over the world. 4,300. Yeah. The, uh, I think the decisions we have, like a lot of companies have moving forward are going to be, where are you going to work from? You're going to work from that home office. Are you're going to combine it back into the office or are you going to not, you're just going to do, you know, you're going to go back the way things are. I don't think that's going to happen at all. >>So, so best will always be on bringing good product to market technical decisions. So let's, let's talk to Andy about the product. Um, I mean, you've, by saying you've grown up, you've gone from yeah. Relatively narrow yup. Portfolio to now expanding a lot of different use cases, many, many, you know, several different clouds on prem hybrid. Yeah. Et cetera. Mmm. How do you ensure it, Danny, from, uh, from, uh, product stamp, right. That you don't just get a, a collection of point product that you actually have yep. Platform that even, you know, for instance, your licensing model very easily bored. Yeah. That notion, um, how, how do you ensure that you're more of a platform if you will, than just that a bunch of selection of product, the answer to that would be focused maniacal focus. So it's interesting that you brought up licensing. So one of the things that we're very focused on is making that licensing can move across all these different types of infrastructure. >>So no, the universal license allows you to do that. You can move a workload from physical to virtual, to cloud, to back, um, the application services call with, uh, with his hang the license. But we also do that product level too. One of the interesting things that we've been focused on is it's something internally, we call it the Veeam integration platform that enables you to have a central common control playing across the entire organization. But yet you can deploy in the need of environments that make the most sense. So if you think about what we showed you earlier today with beam backup rate Ws, you're running on a, an interface that you deploy out of the AWS marketplace, but that product actually integrate back into Veem availability suite. So that's true of being backup for AWS, Roger being backup from Nutanix. Every time we, we add a new one capability platform, whether it's fast or virtual or wow, we make sure that it's still cause that central connection to the main control plane. >>And that's why we call this five data management, because it gives you that data management cross all of these different infrastructures. Okay. It's clearly not easy to do, but the focus that we have put on this result, then our customers, the class. Okay. Ultimately, so I want to ask you guys about culture, Jim, a start with you. I mean, a lot of people obviously, sorry, averted or asking, I'm still going to have parties. Uh, you got your two founders and sort of, you know, set good, you know, rat mirror would always be right there in the mix lap. Last one to leave, uh, you know, very hard charging and that's kind of steep. the Veem culture, but I'm interested in, and if, if there's been any sort of discernible change, as you get bigger and bigger, how you're able to maintain that culture, you know, w what are some of the things that you want to, I want to keep, and maybe some of the things that you want to evolve. >>Yeah, no great question. And I think culture is, um, I'm a big believer. Yeah. That culture can really differentiate a company in the marketplace. And I think themes culture, uh, in the past has really done that effectively. And I think that's, you know, it shows in the success of the company. So I definitely see it as, you know, as my job, along with the rest of the executive team continued to, to carry that torch forward. Uh, one of the things that I learned coming to beam was, was really winning the hearts and minds of, of the, the, you know, the customers that you're serving. And so that, that can be anything from a party, uh, being totally open to your customers, listening to your customers. I've given them different channels to give you a feedback and just being a company that's easy to do business with. I think it's critically important. And those are some of the key things from a cultural perspective. Uh, that's how we want to carry forward. You mentioned car charging, absolutely being, being aggressive in the marketplace, uh, but bringing solutions to market that really hit the sweet spot. Oh. Relative to customer need, I think is again, one of the, the cultural pieces and that maniacal focus on customer satisfaction, which is absolutely key. >>So, uh, well, I, I wonder bill, if you could comment, maybe in this context, you know, part of your job of course, is Tam expansion traditionally been a, a European based company moving. So the U S I'm curious as to what effect that will have both culturally, you know, and on Tam as well. You're extremely successful, uh, in, in overseas. Oh, of course. So there's maybe even more penetration within the U S and obviously, you know, throughout the call, we've certainly talked a lot about cloud, but maybe your thoughts on it. Okay. Yeah, no, thanks very much. Hopefully you see no impact on culture, in the sense of our move from a European headquarters to a U S headquarters. We definitely felt it important to bring it and U S headquarters in place. We now have moved all us shareholders. Uh, so it's really our culture, but built on yeah. >>Core values back in 2012, that really the everything else branches off of innovate and iterate it's about everybody sells. We clearly add that yeah. A goal for everyone in the company and yeah. And the fact that we also want to win. So we'll fight hard to win bringing it to the U S okay. A lot of our competitors are based in the U S we think we can put up, uh, even though we've got great numbers against all our competitors, we'll even bring the fight much harder. Now that we're in the United States as a headquarter place, change nothing else internationally, globally. So Danny, every I'll five or seven years or so, you know, Gartner or IDC or whomever, but the service is that we just did a survey. Yeah. X percent of the customers are going to rethink their backup. That is in the next 24 months. >>You see that literally every half a decade. Um, so w w what's what's the driving that now, I mean, certainly cloud is a, is it which factor? Sure. Edge. We're going to be talking about the edge for the next many, many years. And then, and it's really going to start to drive revenue at some point kind of like the cloud was 10 years ago. Uh, but so talk about how you guys sort of stay relevant in that conversation and what customers should be about in terms of those transitions. Well, you know, every customer says I'm going to reevaluate my backup solution five or seven years, but the reality is what's happened. Yeah. Industry itself goes through transition. So we go from physical to virtual and as they go to virtual, for example, they say, Hey, I can't use my legacy providers. So I'm going to choose a new one. >>They choose Veeam. And then of course, we go to cloud and we're going to go to containers and we're going to go to edge. And every time he goes through those iterations, there is an opportunity four, the next generation of wow. Form, uh, to emerge. And so beam's focus here is to make sure that we're ahead of those trends to make sure we're thinking ahead of our customers. So right now, for example, you know, I, I spent an hour in order to, in the amount of time thinking about cloud and containers so that when the customer gets there, when they get the edge, when they get through all of these things, but they have a data management platform that protects them. And step one is always going to be the same. I always say the step one for, for every iteration of infrastructure is just ingest the data because you need to protect it. >>It's only after you protected and begin to manage it, be integrated into the business. Can you be into unleashed, but we go through this cycle over and over again. And ultimately it's the, it's the, the vendor, it's the partner that is most trusted, that wins as Jim alluded to our NPS scores for themselves, our customer base. Great, sorry, uh, self our, our intimacy with the customers. Great. Awesome. So, yeah, as long as we keep that close connection, then we think we're well positioned to the lead as we go through the next iteration of infrastructure. Okay. Let's talk about the competition, Danny. Let's stay with you. Okay. Okay. You've got some, well-funded not even startups anymore. Know the companies that are kind of going after the base. You've got a huge install base okay. Of legacy companies. I mean, I think it's easier for, for some of those guys to attack, you know, sort of a box space, the solution, you guys are more software, but I'm sort of interested in, in your take Danny on the shiny new toys and that have obviously have momentum in the marketplace. >>Yeah. You know, the, the shiny new toys, they come out with a solution that is very packaged up and black box. You can't actually, uh, customize it very much for the user need. And that's, we don't believe that that's going to work in the longterm. And the reason I say that, okay, the pandemic we're in, if you can't go into the data center to rack and stack a box, if you can't actually working with the infrastructure that's already in place, then you're not positioned to work well in the longterm. And, and so we have this unfair advantage we've been around for over a decade. We integrate with over 45 different it's storage vendors. That's not including the wild vendors, you know, all of our partners. And so we do have an unfair advantage with a history of all of these integrations, but, but that flexibility is really what our customers need. >>They don't want to be law into the data center. They don't know two, three years from now, their strategy might change. They might say, take the workload, moving to the cloud. And so if your whole focus is on selling your customers, something that I used them to their data center, that in itself is a challenge. And being software defined we're, we're well positioned to make future for any evolutions that happen in the market. Okay. So we're in a good place. I'm, you know, well, knock on wood, but I think we're going to keep going. Yeah. That's an interesting answer. Not one that I expected. Okay. Got it. Makes sense. In the context. Good QA we had with Andy Jassy a while ago. Yeah. Kind of pushing them on, you know, the zillion API APIs. And he basically had a similar answer. Obviously cloud services is different, but essentially saying, we don't know where the market's going. >>So we want to have very granular roll. Yeah. You're kind of a primitive level, uh, so that we have that flexibility and maybe there's trade off, you know, sometimes just in terms of what you called out of the box, but it's a very handy Jessie like answer, it sort of strikes me. Hm. Well, it's certainly true that the, you know, customers don't know a year from now, uh, they've been using that hardware, but a year from now two years from now, we run into another market impediment. They might want that money back. They might want, you might want flexibility to expand into it, different geography or take advantage of it, the advantage of the elasticity of the cloud and buying a piece of hardware. Just the very fact that you buy hardware that essentially ties you into that hardware, at least three years, probably being software defined. >>You can continue to reuse and leverage all the assets that you've already had committing to a lock-in okay. Period of time. So, so from a, from a marketing standpoint, Jim strategy, brand customer intimacy, what sure you're ready. Well, Dan, you already talked a little bit about it in terms of, uh, you know, kind of the, the three cornerstones of, of, of how we think our simplicity, flexibility and reliability. And, you know, as bill talked about, you know, when, when we get into now into a customer, and if they're testing us out trial in us out nine times out of 10, we're going to win, uh, because they see, they see those three key things and those three key things, uh, we hear on a daily basis from our customers and how important that is. So we continue to build out on each of those, uh, the challenges, keeping it simple. >>And that's an area that we have to continue to focus on. Uh, but I think those are the key differentiators for us going forward. I think the flexibility piece as the integration with all the storage, our ecosystem of partners, well, we have, I think, close to 40 partners that are sponsoring, uh, the on here. Uh, so that's a, that that's a key differentiator because we, we work with basically everybody we're agnostic, uh, and again, just easy to do business with an, a true partner. Okay. I got it. I got one more question for Danny and then I want to, I want to ask, well, it was, but okay. Guys, feel free to chime in on this one as well. But some of the things we haven't talked about, well, Danny, uh, containers protecting containers, uh, the edge, you know, these are all sort of emerging opportunities. >>I know you've got some, yes. You know, on the container side, the edge is early days. There's, you know, whole new models of, you know, potentially a lot of data going to be, we created unclear how much it's going to have to be persisted, but certainly would that much data, you know, the IDC forecasts, a lot of it's going to have to be. So your thoughts on some of those other emerging trends that we haven't talked. Okay. Well, the key to this segment of America are our partners. Trust us. We're thinking about this ahead of when they will actually need it. And you're right. I think we're early days in containers. I think we're early days in edge. We don't know, you know, we have a partner ducks unlimited where they're storing data for 60 years, use it from IOT sensors and they keep it for 60 years because they don't know in the future, if that data is going to be relevant. >>And so our focus is to make sure that we're ahead of our customer base in terms of thinking of it. And then yeah, making sure that our platform supports what they need as they need it. You want to be careful about going too far in advance sometimes in the industry to hear about, you know, people who are talking about magic 60 Dustin's solving, okay. Crazy problems that our customers don't actually have. We're very pragmatic. We want to make sure that problems that we're addressing that are platform fundamentally addresses where they are today. And then also be in those discussions with them about where they're going to be tomorrow. Well, maybe some of that magic pixie dust go, go into the COVID vaccine. That would be good. >>They'll bring us home. So, you know, the virtual forklifts are breaking down, came on 2220. What are the big takeaways from Europe? Your first Vivaan as CEO, we've been to many, um, you know, I know, but w what are the big takeaways as the, as the virtual trucks are pulling away? Yeah. Thanks very much for asking that question. We, uh, you know, we did do our first VM on, in 2014, and I can still remember when rat came, I mean said, let's, let's do this. And it's like, Oh, you've got it. Excuse me. This is going to cost a fortune. Why would we ever end? And then he's obviously right. It continues to be right. So, Hey, the story about Veem is gross. And when you're growing, you got funds available. People interested you to innovate. You mentioned containers. Danny did also at Kubernetes and, you know, we've got our forensic cast and that are here with us. >>And yeah, those are all important relationships and will continue to develop relationships. Yes. Cool., uh, we've supported, we've got great customers. we have a gross engine. We're going to continue that we don't plan on being comfortable with where we are. We'll continue to enter it in, go after it. Mmm. Additional Tam, but we'll also take care of that core base we came from. So I'm really excited about yeah. And a lot of great breakout sessions. Uh, I keep, um, right. Yeah. Coobernetti's was on, there was a lot of great ones. I did like the one though. And it was like, fall in love with tape all over again. So when I first saw that they brought it, I went running from my age, correct dates and my John Fogarty NCCR, I found one. Uh, so, uh, had to get readjusted to not. So in any event, I do think we like to have a lot of fun. >>You'll see that we get back. Yeah. Yeah. See where we go. As far as the virtual versus it, an onsite. Yeah. A in the future, we landing on site when, and if so, you'll and you're there. You'll cool. We'll be at the party. Yeah, indeed. And I, but I do think there's going to be some learnings that we carry forward and, you know, I think for awhile and maybe even perfect quite a long time, there'll be some kind of hybrid going on with the same deliver, delivering a hybrid world. Guys. Thanks so much for coming to the cube, making this a successful power panel. It was really a pleasure having you. Great. Thanks for having me. Thanks. Thank you for watching everybody. This is Dave Volante for the cube. Keep it right. There are tenuous coverage, the mom, 2024, right back.

>>from around the globe. It's the Cube with digital coverage of VM on 2020. Brought to you by IBM. >>Welcome back. I'm Stew Minimum. And and this is the Cube's coverage of VM on 2020 online this year. We've done the event for many years and being able to reach the team executives, some of their partners and the like where they are around the globe really excited to be able to dig in. And we're gonna talk some numbers, the analysis and to help me do that. I've got to VM Cube alumni. We've had them on the Cube before. They were being always excited to get the talk of them and dig into the numbers with them now that they are at VM. Dave Russell is the vice president of enterprise strategy, and Jason Buffington is the vice president of solution strategy. Both with beam. Gentlemen, thanks so much for joining us. >>Thank you. Thank you. >>All right. First, I guess you know, let me ask how you guys doing? You know, we're having a little bit of ah, discussion before we came on here. As Do you know, everyone is now inundated with data and numbers and the like with this global pandemic. You know, Dave, how things doing in your neck of the woods, and, uh, and then we'll go to Jason. >>Yeah, well, you know, literally cannot complain. Personally, VM itself is doing incredibly well as an organization will double click on that here. But, you know, in terms of data, particularly as it relates to this space that we're in backup and recovery availability Cloud data management. The recent data for first half 2020 is actually fascinating. We're gonna double click on that a little bit more, right, Jason, >>we are now as far as how we're doing. You know, I've been at every team on that. We've had the 1st 3 is an analyst. Last two is a VP. I've never gotten to do one in my pajama bottoms, though, so that's kind of a nice changes to kind of mix it up a little bit. Um, but yeah, the other thing, which has been kind of fun is is that because we haven't been traveling, it really gave Dave and I had a chance to kind of get back to our roots a little bit and really dig into research. And how do you apply research to product direction and go to market? And so it's been a fun project that were culminating with was the motto >>Yeah, Jason, please don't be given out secrets. I'm not saying if you look up Dave Volante, Twitter, handle that. You'll find the suit on the top shorts on the bottom. Look, what I refer to is cube casual for some of these remote events. But, you know, you do have a breakout that you're doing really looking at digital transformation and I t. Modernization, you know, digital transformation. I'm sure you know you, both of you, from the analyst standpoint. For a while, it was a bit of a buzz word. You know, today, when you just with the backdrop of the global pandemic, it's like, Well, if you have had the the chance to go through the digital transformation, hopefully, you know, you get things put to the test, you're relying on data, you should be more agile, and those are all things that I think the remote workforce and what they're doing. But if you hadn't finish that or either started or in the middle of that journey, you know, big question is, you know, what are you doing? Will this accelerate it? Will it slow it down? So excited to dig into your CEO research? Why don't you give us a little bit of the background? How long is this going on? Who you're talking to is as part of this. This research. >>Sure. Well, as far as the research itself goes. So the team went to an outside panel and said, Hey, don't tell anybody who is from when you interview these kinds of personas in these kinds of folks. We did 1550 enterprises and by that definition, meaning 1000 users or not across 18 different countries around the world. And then we even ask some questions around. Not only what country are you in, but in what countries do you influence? Data protection, strategy and architecture? Everyone from I T architects all the way through csos were part of that survey. And we've got some great data back not only from an executive perspective of what are the expectations of i t, but also from the i t implementer anti architect's perspective on what are their real world challenges today and That's some of things that we were at being really keen to understand more, to make sure that we're building the right things and saying the right things for our customers and our prospects. >>Excellent. And maybe give us a little bit of a backdrop. You know, when I think about enterprise is, you know, we always talk about these mega waves. You know, The things that I talked about is you know, when I talk to the CSO suite, it's not that they have Well, you know, I've got a multi cloud strategy, you know, I'm figuring out how cloud changes what I'm doing. Digital transformation is one of those things that brings together, you know, the business and the I t. And hopefully you know something I know we've all been talking about for quite a long time. I t just can't be a separate thing. Or so you know, a cost center but needs to really respond to the business. What's that Backdrop of digital transformation and, you know, bring us inside a little bit what your learnings >>were. Yeah, to me. I think I like the notion of digital transformation because it's very specific to every business, maybe even every business unit, meaning it's not a case of a vendor saying, Here's what your project should be. Rather, it's more of a notion of whatever initiative you have to try to increase customer intimacy, to be able to contain costs, expand your reach. That's really what digital transformations here to support. >>Excellent. And Jason give us a little bit of color as you know, some of the finding. >>Yeah, so I mean, I think the big ones that we looked at were, you know, what were the major I t challenges you had overall, and maybe not so much of a surprise, but staffing and legacy infrastructure. We're still some of the biggest things that we're holding back i t organizations, which I think is especially interesting in the landscape, the world right now, right, Because your staff can't be in the places where they used to be and from a legacy perspectives to I know you love data as much as we do. Um, the you know, if if organizations are spending between 68 82% of their money and their dollars on the status quo, that doesn't leave a whole lot left for the things that you'd like to do, like improving customer experience like accelerating the employees of your business. So things like digital transformation tend to get hindered by the same stuff that tenders I t. Modernization and just hear the buzz words just trying to do better in I t. For the sake of the business. But really, those have been kind of big gaps. >>Yeah, I think Jason hit a key point. There's two of you know the issue right now is a lot of us are just trying to run the business like, literally keep the lights on. You and Jason mentioned the stats of high sixties low seventies just trying to keep status quo. The digital transformation, in my mind is about obviously trying to run the business while you're seeking to grow the business and aspirational, hoping to transform your business to really improve customer intimacy and success of end customers as well as partners. So if done right, pursuing digital transformation can help you with tactical needs as well. A strategic outcome? >>Yeah, you know, it's it's it's a little sad, I think, from an industry standpoint, you talk about how much money in time is spent on keeping the lights on. I feel like 10. 15 years ago, it was, you know, the 80 85%. If you're saying, you know, we've whittled away a little bit now in the low seventies, some really good companies, it's getting, but we haven't things yet. Um, I'm curious. You know, you have this position, they don't know that it was sponsored by VM. So how do cloud as a general technology and then, you know, data protection and availability specifically, you know, fit into the overall priorities for that that I t modernization. >>So there were There were two questions that we really focused on that they're my two favorite slides in the in the whole deck. The 1st 1 that I thought was really interesting is when we asked organizations, What does modern data protection look like? Or innovative? And I think we use a few different buzzwords along the way, and we asked them, check all of these capabilities that might apply, and then which one is the most definitive? And we actually got two different sets of answers depending on how you pivot that data. If you ask, uh, most common responses, Modern data protection looks cloudy, and what I mean by that is the top choices scored were the ability to do D. R as a service. The ability to integrate on premise and cloud based is part of your data protection architecture. And then the ability to move data from one cloud to another would certainly reinforces the fact that we are not only in a hybrid world but in a multi hybrid world as well. So if you're looking for most common answers, modern data protection looks cloudy. But if you flip it over and you say what is the most definitive feature, you actually get something very different. You find out that the ability to leverage orchestration and workflow, the ability to manage via AP eyes and systems management the ability to be part of a cyber security strategy. So what you see is that modern data protection in general has to be cloudy. But more importantly, backup should not sit on an island of its own. It should be a cohesive part of a broader I T experience that's managed by something broader that's part of provisioning a systems framework. So those two answers kind of Tell us what should we not only making sure that we continue to build on, but also making sure that we're communicating as far as you know, does being meet the bar for what organizations are looking for in a modern or innovative data protection strategy? >>Yeah, that's really interesting. You know, I guess one of the big things I've seen over the last 12 to 18 months is maturation of things like, you know, a really hybrid strategy. So if I look at the team, you know the most critical partnerships, of course, our VM ware from a historical standpoint and things like Microsoft going Ford in both of them have made big strides over the last couple of years as you not just, you know, on premises versus Public Cloud. But how do all these things work together? The discussions that we've been having about cloud is not necessarily a destination, but it's more of an operating model. And as people build out their architectures, the all the things you mentioned there, it's not a place or a destination, But it's more of that architect view and can live across lots of different environment. Does that make sense. Yeah, >>yeah, it's across. It's a horizontal play, really, It's not moving from Point A to point B. It's really embracing expanded choices. So you know what we found when we did? This survey is directionally where organizations are at the day with on Prem physical virtual going towards cloud and then how they responded their intention two years later. There weren't major surprises there, meaning the shift was increasingly more towards cloud. But it also wasn't a case that on Prem physical goes to zero. So any more than it's a case of an organization goes 100% all in on one hyper scaler, all the cloud provider. So it's really about supporting a mixed, and it's about offering choice because every business or maybe more specifically, every workload within a business might have their own natural migration associated with what they need to do what's appropriate, given their business realities and their desires. So if we double click on what's really important from backup, the number one thing that came back from our global survey which a little incriminating on the state of the industry was the number one thing that would make us want to change our backup provider so that application would back up. That is an amazing, the shocking statement. That's like saying so. If you change cars, automobiles, what would you look for? First and foremost, and your response is an automobile that started. >>It was really scary right in 2020. So Dave and I have each been in backup almost exclusively for 30 years each, right and still you using label spell backup for almost the same length of time. And we've been doing this for a really long time. And in 2020 when I T pros were asked what would get them to change, it's they'd like it to work the way they thought it would when they bought it. I mean, that's just a really damning statement. And then beyond that, when the next drivers certainly economics came into play. So the number two answers were reducing hardware and software costs and improving. TCO nor I were two and three and then capabilities around, improving our P o rto SL A's and then ease of use. That kind of rounds out the top five with cloud coming in right behind that. So not a whole lot of surprise there, but what a terrible statement for the industry that we just like it to work. >>All right, how about some good news? What? What recommendations or guidance? Is there anything that you got out of it that you know, best practices or leaders in the space or what peers would recommend team to each other. >>So I think the two things that I took away that I thought was really interesting from a best practices and moving forward data reuse scored really, really high. So the interest in leveraging and the survey actually asked several different scenarios for what folks were either doing or aspiring to do around data use. And you can call it copy data management. You can call it secondary storage use cases. You whatever marketing buzz where you want. But the bottom line is, don't just put your data in the backup repository and wait for bad things happen. Do something with that data. Dev Ops Acceleration patch testing risk mitigation, quarantine for forensics for cyber. But there was a lot of of yes, we're starting to do. And also yes, we're aspiring. Over the next 12 months, I think data reuse was a really big thing that I was so glad that folks were getting along the way and then also the recognition that with the intolerance of downtime and the intolerance of data loss that was measured in the survey, it was really obvious that a lot more organizations understand they have to be combining not only backups but also snapshots and replication in a consistent way. Because you can't meet the SL is that most organizations have today. If the only thing you're doing is just nightly backup now the team, we would say, Great, you got to do snapshots you out of the replication. You ought to do backup. Please don't use three different tools times each one of those times, each workload. It's not economically or operationally viable. So certainly in that's good news for us, because we manage all three. But those were kind of two big drivers I was most excited about. >>And if I take what we got from the data protection report and then couple that with recent industry analysis reports from like I, D. C. And Gartner, I merge that together, I think one of the reasons why IBM has been very successful you know, literally knock on wood, but VM is up as a company 10% year over year, October 2 October arm Sorry, April. April and that's been true for all 12 years. That being has been shipping back of product, so in a tough time, actually doing extremely well. Still, hiring still expanding Gartner has beam for calendar year 2019 moving from number four in market globally. Toe number three i. D. C. Maintains beam is number one and market in Europe, one of the top five vendors. Three of the five, where negative year over year VM was the highest sequentially positive year over year positive. And I think the reasons why not going back to the survey in my mind was due to the software defined nature of the solution and what I mean by that in particular, why that has customer value, especially now in a current pandemic. Situation is you can leverage the existing infrastructure that you've got. We we've been around and remember the macroeconomic issue of 2000 and eight organizations held on to their assets much, much longer. Refresh cycles slowed down, so the ability to leverage the infrastructure that you have to scale out horizontally to be able to ingest more data to have a horizontal management playing. To be able to have a service repository that could include cloud and object storage just allows you to better leverage the investments you've made but deflects appropriately for workloads and to be able to expand into things like public cloud and object storage as you see fit. >>Well, David Jason, thank you so much for the update. Real pleasure to catch up with you Always. Always great big data with both. >>Thank you. So you could just be >>alright. Stay tuned for more coverage from VM on 2020 Online on stew minimum. And thank you for watching the Cube. >>Yeah, yeah, yeah.

>>From around the globe. It's the cube with digital coverage of Veem on 2020 brought to you by beam. >>Hi buddy. Welcome back to the cubes. Ongoing coverage of Veem on 2020s Veem online 2020 I'm Dave Volante and Rick van overs here as a senior director of product strategy at Veem. Rick, it's always a great pleasure to see you. I wish we could see each other face to face. >>Yeah. You know, it's different this year, but, uh, yeah, it is always great to be on the cube. I think, uh, uh, in 2018 had an eight year gap and it's a N a couple of times we've been back since and yeah, happy to be back on the cube. >>So how's it going with you guys with the online format? I mean, breakouts are big for you cause you're, you're profiling some new products that we're going to get into, how's it all working for you? >>Well, it's been different. It's a good way to explain it in one word different, but the reality is I have a, uh, pardon, the language, a side hustle here, where at Veeam, I've worked with the event team to kind of bring the best content. And for the breakouts, that's an area that I've been working a lot with our speakers and our, some of our partners, external experts, users, and people who have, you know, beaten ransomware and stuff like that. But I've worked really hard to aggregate the content and get the best blend of content. And we kind of have taken an interesting approach where the breakouts are that library of content that we think organizations and the people who attend the event really take away the most. So we've got this full spectrum from R and D deep level stuff to just getting started type of stuff, and really all types of levels in between. And yeah, we want the breakouts to focus on generally available products, right? So I've worked pretty diligently to bring a good spread across the, uh, different products. And then a little secret trick we're doing is that into the summer, we're going to open up new content. So there's this broadcast agenda that we've got publicized, but then beyond that, we're going to sneak in some new content into the summer. >>Well, I'm glad you're thinking that way, because you know, a lot of what a lot of people are doing. There's a church trying to take their physical events and mirror it to the, to the digital or the virtual. And I think so often with physical events, people forget about the afterglow. And so I'm glad you guys are thinking about it upfront. >>Yeah. It has to be a mechanism that we've used it a couple of different ways, one to match how things are going to be released. Right? Cause being, we're always releasing products across the different set. I mean, we have one flagship product, but then the other products have their own cycles. So if something works well for that, we'll put it into the summer library. And then it's also a great opportunity for us to reach deep and get some content from people that we might not have been able to get before. In fact, we had one of our engineers who's based in Australia and great resource, great region, strong market for us, but I can't w if we were to have the in person event, I can't bring somebody from Australia for one session, but this was a great way to bring her expertise to the event without, you know, having the travel burden and different variety of speakers and different varieties of content. So there's ways that we've been able to build on it. But again, the top level word is definitely different, but I feel like it's working for sure. >>So Rick, give us the helicopter view of some of the product areas that we should be really be aware of as it relates to what you guys are doing at Veem on 2020. And then we'll, we'll drill in give us the high level though. >>Yeah. So for people attending the event and online, my advice really is that we're spread across about 75 to 80% of the content is for technical people. 20% of the content in the breakouts is going to be for decision makers or executives, that type. And then within that, the context of the technical content, we want to have probably 10 to 15% being like presenters from our R and D group. So very technical, uh, low level type discussions, highest level architect type stuff, kind of after that generic use cases, a nice and in the middle area, because we have a lot of people that are getting started with our products, like maybe they're new to the office three 65 backup, or they're new to backing up natively in the cloud. We have a lot of contexts around the virtual machine backup and storage integration, all those other great things, but the platform is kind of spread out at Veeam. There's a lot to take in. So the thought is wherever anyone is on their journey with any of the products and not some, that's a hard task to do with a certain number of slots. We want to provide something for everyone at every level. So that's the, that's the helicopter view. >>So let me ask you a couple of follow ups on that. So let's start with office three 65. Now you guys have shared data at this event, uh, talking about that most customers just say, Oh yeah, well, I trust Microsoft to do my backup. Well, of course, as we, well, well know it, backup is one thing, but recovery is everything. And so explain why, uh, what will explain the value that you guys bring? Why can't I just rely on the SAS vendor, uh, to, to do my backup and recovery? >>Well, there's a lot to that question, Dave, the number one thing I'll say is that at Veeam, we have partnerships with Microsoft. You have where HPE, all the household brands of it. And in many of these situations, we've always come into the market with the platform itself, providing a basic backup. I'll give windows, for example, anti backup, right? Yeah. Those, you know, it's there, but there's always a market for more capabilities, more functionality, more portability. So we've taken office three 65 is a different angle for backup. And we lead with the shared responsibility model, Microsoft as well as the other clouds, make it very clear that data classification and that responsibility of data that actually sits 100% with the customer. And so, yes, you can add things to the platform, but if we have organizations where we have things like I need to retain my content forever, or I need a discovery use case. >>And then if you think about broader use cases like one drive for business data, especially with the rapid shift of work from home organizations may not be not so much using the file server, but using things like one drive for business, for file exchanges, right? So having a control plane over that data is, is very important. So we really base it on the shared responsibility and Microsoft is one of our strongest partners. So they are very keen for us to provide solutions that are going to consume and move data around to, to meet customer needs in the cloud and in the SAS environment. For sure. So, you know, it's been a very easy conversation for our customers and it's our fastest growing product as well. So, uh, this, this product is doing great. Uh, I don't have the quarterly numbers, but we just released the mid part of Q4. We just released the newest release, which implemented object storage support. So that's been the big ask for our customers, right? So it's a, it's that product's doing great. >>Yeah. So, you know, that notion of shared responsibility, you hear that a lot in cloud security, you're applying it to cloud data protection, which, you know, security and data protection are now, you know, there's a lot of gray area between them now. Uh, and I think it's, you know, security is a, or data protection is a fundamental part of your security strategy, but that notion of shared responsibility is very important. And one that's oftentimes misunderstood because people hear, Oh, it's in the cloud. Okay. My cloud vendor has got to cover it, but what does, what does that shared responsibility mean? Ultimately, isn't it up to the customer to own the end end result. >>It is. And I look at, especially Microsoft, they classify their software for different ways on prem software, uh, software as a service, the infrastructure as a service. Uh, I forget what the third one is, but they have so many different ways that you can package their software, but in all of them, they put the data classification for the customer and it same for other clouds as well. And when, if I'm an organization today, if I'm running data in a SAS platform, if I am running systems in iOS platforms, in the hyperscale public clouds, that is an opportunity for me to really think about that control plane of the data and the backup and restore responsibility, because it has to be easy to use. It has to be very consumable so that customers can avoid that data loss or be in a situation where the complexity to do a restore is so miserable that they may not even want to go do it. I've actually had conversations with organizations as they come to Veeam. That was their alternative. Oh, it's just too painful to do. Like, why would you even do that? You know, so that, that shared responsibility model across the different data types in the cloud and on-premise well, and SAS models, that's really where we find the conversations go pretty nicely. >>Right. And if it's too complicated, you won't even bother testing it. So I want to ask you something about cloud native. You mentioned cloud native, your cloud native capabilities, um, and I'm, I'm inferring from that, that you basically are not just taking your on prem stack and shoving it into the cloud. You're actually taking advantage of the native cloud services. Can you, can you explain what's going on there and maybe some product specifics? >>Sure. So, you know, Veeam has this reputation of number one, VM backup, you know, here in my office, I have posters from all over the years and somewhere down here is number one, VM backup. And that's where we cut our teeth and got our name out there. But now if you're an Azure, if you're an Amazon, we have cloud native backup products available. In fact, the last time you and I spoke was that an Amazon reinvent where we launched the Amazon product. And then last month we launched the Azure product, which provides cloud native backup for Azure. And so now we have this cloud feature parody and those products are going to move very quickly as well. We've had the software as a service product for office three 65, where we keep adding services. And we saw in the general session, we're going to add protection for a new service in office three 65. >>So we're going to continue to innovate around these different areas. And there's also another cloud that we announced a capability for as well. So, you know, the platform at Veem it's growing, and it's amazing to see this happen cause you know, customers are making cloud investments and there's no cloud for all right. So some organizations like this cloud that cloud are a little bit of these two clouds combined. So we have to really go into the cloud with customer needs in mind because there's no one size fits all approach to the cloud, but their data, everybody knows how important that is. >>So to that end though, each, each cloud is going to have a set of native services and you've got to develop specific to that cloud, right? So that you can have the most, the lowest, highest performance, the most efficient, the lowest cost data protection solution backup and recovery possible is that, I mean, taking advantage of those native cloud services is going to be unique for each cloud, right? Because AWS has cloud and Azure cloud. Those are, those are different, you know, technically underneath, is that, is that right? >>You're absolutely right. And the cost models, they have different behaviors across the clouds. In fact, the breakout that I did here at the event with Melissa Palmer, those who are interested in the economics of the cloud should check that out because the cloud is all about consuming those resources. When I look at backup, I don't want backup to be a cost prohibitive insurance policy. Basically I want backup to be a cost effective yet resilient technology that when we're using the cloud, we can kind of balance all these needs. And one of the ways that beam's done that is we've put in cost estimators, which it's not that big of a like flashy part of the user interface, but it's so powerful to customers. The thought is if I want to consume infrastructure as a service in the cloud, and I want to back up via API calls, snapshots to ECE, two instances only nice and high performance, nice and fast. >>But the cost profile of that if I kept them for a year is completely different than if I used object storage. And what we're doing with the Veeam backup for Azure and Amazon products is we're putting those numbers right there in the wizard. So you could say, Hey, I want to keep two years of data. And I have snapshots and I have object storage, totally different cost profiles. And I'll put those costs testaments in there. And you can make egregious examples where it'll be like 10 and 20 X the price, but it really allows customers to get it fast, to get it cost efficient. And more importantly, at the end of the day, have that protection that they need. And that's, you know, that's something that I've been trying to evangelize at this cost. Estimator is a really big deal. >>Yeah. Provides transparency so that you can let the business, you know, drive sort of what the, what the data protection level is as opposed to sort of either, whether it's a one size fit all or you're under protected or overprotected and spending too much, I asked Anton is going to kind of, how do you prioritize it? Because basically his answer was we look at the economics and then ultimately you're giving tools to allow the customer to decide, >>Yeah, you don't want to have that surprise cloud bill at the end of the month. You don't want to have, um, you know, waste in the cloud and Anton's right. The economics are very important. The modeling process that we use is interesting. I had a chat with one of the product managers who is basically in charge of our cloud economic modeling and to the organizations out there. This is a really practical bit is, think about modeling, think about cloud economics, because here's the very important part. If you've already implemented something it's too late and what I mean by that, the economics, if they're not right when you implement it, so you're not modeling ahead of time. Once you implement, you can monitor it all you want, but you're just going to monitor it off the model. So the thought is, this is all a backwards process. You have to go backwards with the economics, with the modeling, and that will lead you to no surprises down the road. For sure. >>I want to ask you about the COVID impact generally, but specifically as it relates to ransomware, I mean, we've had a lot more inquiries regarding ransomware. There's certainly a lot more talk about it in the press. What have you seen, uh, specifically with respect to ransomware since the pandemic and since the lockdown. >>So that's something that's near and dear to my heart on the technology team here at product strategy, everyone has like a little specialization industry specialization. Ransomware's mine. So good ask. So the one thing that sticks out to me a lot is identifying where ransomware comes in and around. I have one data point that indicated around 58 or so percent of ransomware comes in through remote desktop. And the thought here is if we have shifted to remote access and new working models, what really worries me, Dave is when people hustle, when people hurry and the thought here is you can have it right. Or you can have it right now in mid March, we needed to make a move right now. So I worry about UN UN incomplete security models, right? People hurrying to, um, implement and maybe not taking their security, right. Especially when you think about most ransomware can come in through remote desktop. >>I thought fish attacks were the main attack vector, but I had some data points that told me this. So I have been, and I just completed a great white paper that those watching this can go to dot com and download. But the thought here is I just completed a great white paper on tips to beat ransomware and yes, Veeam has capabilities, but here's the logic. Dave. I like to explain it this way, beating ransomware. And we had a breakout that I recorded here at the event, encourage everyone to watch that I had two users share their story of how they beat ransomware with Veem. Two very different ways too. Any product is, or is not necessarily ransomware resilient. It's like going through an audit. And what I mean by that is people ask me all the time is being compliant to this standard or that standard it's 100% dictated how the product's implemented, how the product's audited, same with ransomware. >>It's 100% dictated on how Veem is implemented. And then what's the nature of the exploit. And so I break it down to three simple things. We have to educate. We have to know what threats are out there. We have to know who is accessing, what data. And then the big part of it is the implementation. How have we implemented Veeam? Are we keeping data in immutable buckets in the cloud? Are we keeping data with an air gap? And then three, the remediation when something does happen, how do we go about solving that problem? I talked to our tech support team who deals with it every day and they have very good insights, very good feedback on this phenomena. And that they've helped me shape some of the recommendations I put in the paper. But, uh, yeah, it's a 30 page paper. I don't know if I can summarize it here. That's a long one for me, but, uh, the threats real, and this is something we'll never be done with. Right. I have, I've done two other papers on it and I'm going to have another one soon after that, but we're building stuff into the product. We're educating the market. And, um, you know, we're winning, we're seeing like I had the two customers, um, beat ransomware, great stories. I think I learned so much hearing from someone who's gone through it and that you can find that in the, in the Vermont broadcast for those attending here. >>Well, you've touched on a couple of having them take advantage of the cloud guys who have these immutable mutable buckets that you can, you can leverage. Um, a lot of people don't even don't even know about that. Um, and then, like you say, create an air gap and presumably there's best practice around how often you write to that bucket and how often you create, you know, that air gap you may be, you may be change up the patterns. I don't know other, other thoughts on that. >>Well, I collectively put, I've created a term and uh, nobody's questioning me on it yet, so that's good, but I'm calling it ultra resilient storage. And what I'm referring to is that immutable backup in the cloud. And if we, it becomes a math calculation, you know, if you have one data point in there, that's good. But if you had a week's worth of data points, that's better. If you had a month's worth of data points, that's even better. But of course those cost profiles are going to change. Same thing with tape tapes, a an air gap, removable media, and I go back and forth on this, but some of the more resilient storage snapshot engines can do ultra resilient techniques as well, such as like, uh, pure storage, safe mode and NetApp snap fall. And then the last thing is actually a Veeam technology. It's been out for three, four years now, insider protection. >>It's a completely out of band copy of backup data that that Veeam cloud connect offers. So my thought here is that these ultra resilient types, those are best defense in these situations. And, you know, it's, it's a, it becomes a calculated risk of how much of it do I want to keep, because I want to have the most restore options available. I want to have no data loss, but I also don't want it old. Right. You know, there's a huge decline in value taking your business back a year ago, because that's the last tape you had, for example, I want today's or yesterday's backup if I'm in that type of situation. So I go through a lot of those points in my paper, but I hope that, um, those out there fighting the war on ransomware have the tools. I know they have the tools to win with them. >>Well, it's like we were talking about before and ransomware is a really good example of the, the blurring lines between security and backup and recovery. Of course. Uh, what role do analytics play in terms of providing transparency and identifying anomalous behavior in the whole ransomware equation? >>Well, the analytics are very important and I have to be really kind of be transparent, you know, VMs, backup company, right? We're not a security tool, but this is it's getting awfully close. And the, I don't want to say the long form historical definition of it. Security was something around this thing called a CIA triad, maintaining confidentiality, integrity, and availability of data. So security tools are really big on the confidentiality and integrity side of it. But on the availability side, that's ravine can come in. So the analytics come in to our play pretty naturally, right? We have, the Veem has had for years now, uh, an alarm that detects abnormal behavior in regards to CPU rights or CPU usage and disk, right IO. Like if there's both of those or abnormally high, that this is what we call possible ransomware activity. Or if we have a incremental backup, that is like 100% change rate, that's a bad sign, right. >>Things like that. And then the other angle is even on PCs desktops like this computer, I'm talking to you now on w we have just simple logic of, once you take a backup eject the drive. So it's offline, right? So analyzing where the threats come from, what kind of behavior they're going to have when we apply it to backup. Veem can have these built in analytic engines that are just transparently there for our customers. There's no deep reeducation necessary to use these, but the thought is we want a very flexible model. That's going to just provide simple ease of use, and then allow that protection with the threatscape to help it help the customers where we can, because no two ransomware threats are the same. That's the other thing. They are so varied in what they do everything from application specific to files. And now there's these new ones that upload data. The ransom is actually a data leak. They're not encrypting the data. They're just the ransom is to take down potentially huge amounts of data leakage, right? So, um, all kinds of threat actors out there for sure. >>You know, it's a last kind of line of questioning here. Rick is, as I've said, a number of times, it's just, it's ironic that we're entering this new decade in this pandemic hits. And everybody talks about the acceleration of certain trends. But if you think about the trends, you know, last decade, it's always performance and costs. We talked a lot about granularity. We talked about, you know, simplicity, you guys expanded your number of use cases. Uh, the, the support, the compatibility matrix, if you will, all those things are sort of things that you've executed on. As you look forward to this coming decade, we talked about cloud. I mean, we were talking about cloud, you know, back in the, in 2008, 2009 time frame, but it was a relatively small portion of the business. Now everybody's talking cloud. So cloud cloud, native DePaul discussion on ransomware and maybe even broader business resiliency, digital transformation, we've been, we've been given lip service in a lot of cases to digital transformation. All of a sudden that's changed. So as you put on, you pull out the telescope and look forward to the trends that are going to drive your thinking in themes, decision making. What do you look toward? >>Well, I think that laser focused on four things, backup solutions for cloud workloads, and there's incredible opportunity there, right? So yes, we have a great Azure story, great Amazon story. And in the keynote, we indicated the next cloud capability, but there's still more, there's more services in the cloud that we need to go after. There's also the sass pocket. We have a great office, three 65 story, but there's other SAS products that we could provide a story for. And then the physical and virtual platforms. I mean, I feel really confident there we've got really good capabilities, but there's always the 1%. And you know, what's in the corner. What's the 1% of the 1%, right? And those are workloads we can continue to go after. But my thought is, as long as we attack those four areas, we're going to be on a good trajectory to deliver on that promise of being that most trusted provider of cloud data management for backup solutions. >>So my thought here is that we're going to just keep adding products. And it's very important to make it sometimes a new product. We don't want to just bolt it on to backup and replication via 11 or be 10 for that, for that matter, because it'll slow it down, right? The cloud native products are going to have to have their own cadence, their own independent, um, development cycles. And they're going to move faster, right? Because they'll need to, so you'll, you'll see us continuing to add new products, new capabilities, and sometimes it'll, it'll intermix, you know, and that's, that's, that's the whole definition of a platform when one product is talking to another, from a management side, a control plane, given customer portability, all that stuff. So we're going to just go after a cloud, virtual, physical SAS, and new products and new capabilities to do it. >>Well, Rick, it's always a pleasure talking to you. Your home studio looks great. You look good. And, but, but nonetheless, hopefully we'll be able to see each other face to face here shortly. Thanks for coming on. >>Thank you, Dave. >>All right. And thank you for watching. Everybody's Dave Vellante and our continuous coverage of the Mon 2020, the online version of right back, right after this short break.

(upbeat music) >> From around the globe, it's theCUBE. With digital coverage of VeeamON 2020. Brought to you by Veeam. >> Hi everybody, we're back. This is Dave Vellante, and you're watching theCUBE's continuous coverage of VeeamON 2020. Veeam Online 2020. And Danny Allen is here, he's the CTO and Senior Vice President of Product Strategy and he's joined by Anton Gostev, who's the Senior Vice President of Product Management. Gentlemen, good to see you again. Wish we were face-to-face, but thanks for coming on, virtually. >> Thanks Dave for having us. >> Always love being on with you. Thank you. >> So Danny, I want to start with you. In your keynote, you talked to, about great quote by Satya Nadella. He said "We basically compress two years of digital transformation in two months." And so, I'm interested in what that meant for Veeam but also specifically, for your customers and how you help. >> Yeah, I think about that in two different ways. So digital transformation is obviously the word that he used. But I think of this a lot about being remote. So in two months, every organization that we're ourselves included, has gone from, in person operations going into the office doing things to enabling remote operations. And so, I'm working from home today, Anton's working from home today. We're all working from home today. And so remote operations is a big part of that. And it's not just working from home, it's how do I actually conduct my operations, my backup, my archiving, my hearing, all of those things remotely. It's actually changed the way organizations think about their data management. Not just operations from the sense of internal processes, but also external processes as well. But I think about this as remote offering. So organizations say, "How can I take where we are today "in the world and turn this into competitive advantage? "How can I take the services that I offered today, "and help my customers be more successful remotely?" And so, it has those two aspects to it remote operations, remote offerings. And of course, all driven by data which we backed. >> So Anton, you know there's a saying "It's better to be lucky than good." And I say, "It's best to be lucky and good." So Danny was talking about some of the external processes, a lot of those processes were unknown. And people kind of making them up as they went along, with things that we've never seen before. So, I wonder if we could talk about your product suite, and how well you were able to adapt to some of these unknown. >> Well it's more customers using our product in creative ways. But, one feedback we got most recently in our annual user survey is that like, one of the customers was using tape as the off-site backups. And they had a process where obviously someone had to physically come to the office, pick up the exporter tapes and put them on the truck and move them some off-site location. And so this basically, the process was completely broken with COVID because of lockdown. And in that particular country, it was a stricter on the ground than in most and they were physically unable to basically leave the home. So they basically looked at, Luckily they upgraded already to version 10. And they looked at what version 10 has to offer. And then we're able to switch from using tape to fully automating this off-site backup and going directly to the public cloud to object storage. So, they still have the same off-site backups that, effectively air-gapped because of the first house you provide in virtual time for mutable backups. As soon as they created that they automatically ship to object storage, completely replacing this manual off-site process. So I don't know how long it will take them, if not COVID, to move to this process. Now they love it because it's so much better than what they did before. That's amazing. >> Yeah I bet, there's no doubt. That's interesting, that's an interesting use case. Do you see, others use cases that popped up. Again, I was saying that these processes were new. I mean, and I'm interested in from a product standpoint, how you guys were able to adapt to that. >> Well, another use case that seems to be on the rise is that the ability for customers to deploy the new machines to procure new hardware is severely limited now. Not only their supply chain issues, but also again, bring something into your data center. You have to physically be there and collaborate with other workers and doing installing the, whatever new hardware you purchase. So, we see a significant pick up of the functionality where that, we had in the product for a while, which we called direct resorts to cloud. So we support taking any backup, physical virtual machine. And restoring directory into cloud machine. So we see really the big uptick of migration, maybe a lot of migrations, maybe, not necessarily permanent migrations, but when people want to basically this, some of the applications start to struggle on their sources and they're unable to update the underlying hardware. So what they do is that they schedule the downtime, and then migrate, restore that latest backup into the cloud and continue using the machine in the cloud on much more powerful hardware. That's a lifesaver for them obviously in this situation. >> Yeah so the cloud, Danny is becoming a linchpin of these new models. In your keynote you talked about your vision. And it's interesting to note, I mean, VeeamON, last year, you actually talked about, what I call getting back to the basic of, backup, you kind of embrace backup, where a lot of the new entrants are like, "No no backup's, just one small part, it's data management." And, so I'd love to get your thoughts on that. But the vision you laid out was, backup and cloud data management. Maybe you could, unpack that a little bit. >> Yeah, the way I think about this is step one, in every infrastructure, it doesn't matter whether you're talking about on-prem or in the cloud. Step one is, to protect your data. So this is ingesting the data, whether be backup, whether it be replication, whether it be, long term retention. We have to do that, not only do we have to do that, but as you go to new cycles of infrastructure, it happens all over again. So, we backed up physical first and then virtual, and then we did, cloud and in some ways, containers we're going towards, we're not going backwards but people who are running containers on-prem so we always go back to the starting point of protect the data. And then of course, after you protect it then you, want to effectively begin to manage it. And that's exactly what Anton said. How do you automate the operational procedures to be able to make this part of the DNA of the organization and so, it doesn't matter whether it's on-prem or whether it's in the cloud, that protection of data and then the effective management and integration with existing processes, is fundamental for every infrastructure and will continue to be so into the future, including the cloud. And it's only then when you have this effective protection and management of it, can you begin to unleash the power of data, as you look out into the future, because you can reuse the data for additional purposes, you can move it to the optimal location, but we always start with protection and management of the data. >> So Anton, I want to come back to you on this notion of cloud being a portion of that, when you talk about security people say you layer, how should we think about the cloud? Is it a another layer of protection? And then Danny just said, "It doesn't really matter whether it's on-prem "or in the cloud, it well, it doesn't matter "if you can ensure the same experience." If it's a totally different experience well then it's problematic though. I wonder if you could address, both the layers. Is cloud just another layer and is the management of that, actually, how do you make it, quote, unquote, "Seamless"? I know it's an overused word, but from a product name? >> Well, for larger customers, it's not necessarily a new challenge, because it's rare when the customer had a single data center. And they had this challenge for always. How do I manage my multiple data centers with a single pane of glass? And, I will say public cloud does not necessarily mean that some new perspective in that sense. Yeah, maybe it even makes it easier because you no longer have to manage the physical aspect, the most important aspect of security, which is physical security. So someone else manages it for you and probably much better than most companies could ever afford. In terms of security answer, so then data center. But as far as networking security and how those multiple data centers interact with each other, that's essentially not a new challenge. It is a new challenge for smaller customers for SMBs that are just starting. So they have their own small data center, small world and now they are starting to move some workloads into the cloud. And I would say the biggest problem there is networking and VeeamON, sure provides some free tools to call Veeam PN to make it easier for them to make this step of, securing the networking aspect of public cloud and the private property also that they are in now as workloads move to the cloud, but also keeping some workloads on-prem. >> The other piece of cloud Danny, is SaaS. You weren't the first you were one of the first to offer SaaS back up particularly for Office 365. And a lot of people just, I think, rely on the SaaS vendor, "Hey, they've got me covered. "They've got me backed up", and maybe they do have them backed up, but they might not have them recovered. How is that market shaping up? What are the trends that you're seeing there? >> Well, you're absolutely right Dave. That the, focus here is not just on back up, but on recovery, and it's one of the things that Veeam is known for we don't just do the backup, but we have an Explorer for Exchange , an Explorer for SharePoint, an Explorer for OneDrive. You saw on stage today we demoed the Explorer for Microsoft Teams. So, it's not just about protecting the data, but getting back the specific element of data that you need for operations. And that is critically important. And our customers expect to need that. If you're depending on the SaaS vendor themselves to do that, and I won't, be derogatory or specific about any SaaS vendor, but what they'll often do is, take the entire data set from seven days ago, we'll say, and merge it back into the current data set. And that just results in, a complete chaos of your inbox, if that's what they're merging together. So having specific granularity to pull back that data, exactly the data you need when you need it, is critical. And that's why we're adding it, and the focus on Microsoft Teams now obviously, is because, as we have more intellectual property, in collaboration tools for remote operations, exactly what we're doing now, that only becomes more critical for the business. So, when you think about SaaS for backup, but we also think about it for recovery. And one thing that I'll credit Anton and the product management team for, we build all of this in-house, We don't give this to a third party to build it on our behalf because you need it to work and not only need it to work, but need it to work well, that completely integrated with the underlying cloud data management platform. >> So Anton, I wonder if I could ask you about that. So, from a recovery standpoint, there's one thing, is Dan was saying, you've got to have the granularity, you've got to be able to have a really relatively simple way to recover. But because it's the cloud, there's, latency involved and how are you from a product standpoint, dealing with, making that recovery as consistent and predictable and reliable as you have for a decade on-prem. >> So you mean recovery in the cloud or back to on-prem? >> Yeah, so, recovery from data that lives in the cloud. >> Okay. So basically, the most important feature of any cloud is the price of whatever you do. So, whenever we design anything, we always look at the costs even more than anything else. But, it in turn always translates into better performance as well. To give you example, without functionality where we can take the on-prem backup and make a copy in the public object storage for disaster recovery purposes, so that for example, when a hacker or ransomware wipes out your, entire data center, you have those backups in the cloud, and you can restore from them. So when you perform the restore from cloud backups, we are actually smart enough to understand that, we need to pull that and this in that block from the cloud backup, but many of those blocks actually shared with backups in another machines that are in your own prem backup repository. So we do this on the fly analysis, and we say, instead of pulling the 10 terabyte of the entire backup from the cloud, we can actually pull only 100 gigabytes off unique blocks. And the rest of the blocks we can take from on-prem repositories that have still survived the disaster. So, not only reduces the cost 20 times or whatever. The performance, obviously, of restoring from on-prem data versus pulling everything from the cloud through the internet links is dramatic. So again, we started from the cost, how do we reduce the cost of restore, because, that's where cloud vendors quote, unquote, "Get you." But in the end, it resulted in much better performance as well. >> Excellent, Anton as well in your keynote, you talked about the Veeam availability suite, gave a little sneak preview. You talked about continuous data protection. Cloud Tier, NAS recovery, which is oftentimes very challenging. What should we take away from that sneak peek? >> Three main directions basically, The first is Veeam CGP is we keep investing a lot in on-prem, data Protection, disaster recovery. VMware is a clear leader of on-prem virtualization. So, we keep building these, new ways to protect your web VMware with lower RPOs and RTOs that were never possible before with the classic snapshotting technologies. So that's one thing we keep investing on-prem. Second thing, we do major investments in the cloud in object storage specifically, from that regards, again, put a couple keynote in Google Cloud support. And we're adding the ability to work with coldest tier of object storage, which is Amazon Glacier Deep Archive or Microsoft Azure Blob Storage, archive tier. So that's the second big area of investment. And third, instant recovery Veaam has always been extremely well known for its instant recovery capabilities. And this race is going to be the biggest in terms of new instant recovery capabilities, that were introduced as many as three new major companies with capabilities there. (mumbles) >> So, Danny, I wonder if I could ask you. I'm interested in how you go from product strategy to actual product management and bring things to market. I mean, in the early days, Veeam. Very, very specific to virtualization. That of course, with the Bare-metal, you got a number of permutations and product capabilities. How do you guys work together in terms of assessing the market potential, the degree of difficulty, prioritizing, how does that all come to your customer value? >> Well, first of all, Anton and I, spend a lot of time together on the phone and collaborating just on a weekly basis about where we're going, what we're going to do. I always say there's four directions that we look at for the product strategy and what we're building. You look behind you, you have a, we have 375,000 customers and so those are the tail winds that are pushing you forward. We talked to them on all segments. What is it that you want? I say we look left and right, the left who are alliances. We have a rich ecosystem of partners and channel that we look to collect feedback from. Look right, we look out at the competitors in this space, what are they doing to make sure that we're not missing anything that we should be including and then look forward. Big focus of Veeam has always been not just creating check boxes and making sure that we have the required features but innovation. And you saw that on stage today when Anton was showing the NAS Instant Recovery in the database instant recovery and the capabilities that we have, we have a big focus on, not just checking a box but actually doing things better and differently than everyone else in the industry and that serve to see incredibly well. >> So I love that framework. But so now when you think about this pandemic, you look behind your customers have obviously been affected, your partners have been affected. Let's put your competitors to the side for a minute, we'll see how they respond. But then looking forward, future, as I've said many times, we're not just going back to 2019. We're new decade and really digital transformation is becoming real, for real this time around. So as you think about the pandemic and looking at those four dimensions, what initial conclusions are you drawing? >> Well, the first one would be that that Veeam is well positioned to win, continue to win and to win into the future. And the reason for that I would argue, is that we're software defined. Our whole model is based on being simple to use obviously, but software defined and because of the pandemic, as Anton said, can't go into the office anymore to switch your tapes from one system to another. And so being software defined set this apart positions as well for the future. And so make it simple, make it flexible. And ultimately, what our customers care about is the reliability of this end to the credit of research and development and Anton theme is, "We have product that as everyone says, it just worked". >> So Anton I wonder if I could ask you kind of a similar question. How has the pandemic affected your thinking along those dimensions and maybe some of your initial thinking on changes that you'll implement? >> Yes, sorry I wanted to add exactly on that. I will say that pandemic accelerated our vision becoming the reality. Basically, the vision we had and, I said a few years ago, one day that Veeam will become the biggest storage vendor without selling a single storage box. And this is just becoming the reality. We support a number of object storage providers today. Only a few of them actually track the consumption that is generated by different vendors. And just for those few who do track that and report numbers to us. We are already managing over hundreds of petabytes of data in the cloud. And we only just started a couple of years ago with object storage support. So that's the power of software defined. we don't need to sell you any storage to be eventually the biggest storage player on the market. And pandemic is clear accelerated that in the last three months we see the adoption, it was already like a hockey stick, but it's accelerating further. Because of the issues customers are facing today. Unable to actually physically go back to the office, do this backup handling the way they normally do it. >> Well guys, it's been really fun the last decade watching the ascendancy of Veeam, we've boarded on it and talked about it a lot. And as you guys have both said things have been accelerated. It's actually very exciting to see a company with, rich legacy, but also, very competitive with some of the new products and new companies that are hitting the market. So, congratulations, I know you've got a lot more to do here. You guys have been, for a private company, pretty transparent, more transparent than most and I have to say as an analyst, we appreciate that and, appreciate the partnership with theCUBE. So thanks very much for coming on. >> Thank you, Dave. Always a pleasure. >> Thanks Dave. >> All right, and thank you for watching everybody. This is Dave Vellante for theCUBE in our coverage of VeeamON 2020. Veeam Online. Keep it right there, I'll be right back. (upbeat music)

>>From around the globe with digital coverage of 2020 brought to you by beam. Welcome back. I'm assuming a man, and this is the cubes coverage of Veem on 2020 online. I'm really happy to welcome to the program. We had done the Milan many years, first time doing it online and we have two first time guests. the center square. We have Daniel freed. He is the GM and senior vice president of AMEA and the head of worldwide sitting on the other side of the screen. Is it David Harvey? He's the vice president of Dietrich alliances. Both of them, of course, with beam. Gentlemen, thanks so much for joining us. >>Thank you. >>All right, Daniel, maybe start with you, uh, you know, the online event, obviously, uh, you know, it gives us, you know, there's some allergens, but there's also some opportunities rather than, you know, thousands of us gathering in Las Vegas where right. There's a diversity of locations because if you look up and down the street, the strip, um, and instead we really have a global event in an operation, unity, I'm speaking to you where you are in Asia right now. What, what is, you know, the online event mean? And you know, how you can relate to, you know, how many countries do you have a attending the event. Okay. Yeah. >>Okay. So, so the good, the good thing about, about being online is, as you mentioned, as you said, is, is we can have all, all people from all countries, all around the world present. Of course we are surely, uh, now with my responsibility, my worldwide responsibility for the channels, uh, all countries in the world, we have partners of all in all countries in the world, which means that all our teams, as well as all our butlers are virtual things or the kid limits, uh, of, of joining that, that event today. But that's, that's why I'm very, very happy to have these virtual events, which is much easier. And they're heading all people try flying in from all the different parts of the world, do they guess? Right. And, and, and David, you know, also with alliances standpoint, I assume since, you know, they don't actually have to fly to Vegas. We've got the special guest appearances by Satya Nadella, uh, you know, Arvin, Krishna, you know, all of the, you know, Andy Jassy, you know, everyone's coming in, but no, and also seriousness from an Alliance standpoint, uh, you know, we'd love to hear how you're, you're working with them., uh, for, for the global event. >>Yeah, no, absolutely. And security is having a tough time keeping them at Bay right now. I mean, the online thing is handy because we can just cut them off, but, uh, yeah. Uh, but you're exactly right. It, the support of the alliances has been fantastic. Uh, everyone was trying to adjust to this new world we're in, but what you're seeing this week, um, he's a fantastic mom's body alliances. So once in Mike, all items should really work and we're doing the same for their events. And it's just a really nice >>If >>Camaraderie is coming together. And so, um, they've been great in supporting us as you've as seen through the week. Um, and we're excited about know whole vibe that getting in a commitment >>That, that we're getting from the customers I'm from the alliances, which is really, really good. Excellent. Well, we know that, you know, Veeam is a hundred percent partner focus, Daniel, maybe let's start with you, uh, you know, what, what's new kind of in the last year. So since we were together, last year, so on the new, on the new things that we have been doing for the last year, it's actually continuing first to move with our hundred percent, uh, since the beginning of, of, of Veem and all the way to the fully do squatters, that's more important even that is definitely the move that we see, uh, with working with your answers, uh, and their partners, as well as working much more with the Saudis providers, meaning the cloud service providers, where are there is a big, big trend now in the market with customers requesting more and more rather than, than I would say, technologies and products on premise. >>Uh, so we see that everywhere around the world. It is actually writing now again with the nutrition that we see, well, why, because of these, Nope, this is about situation, uh, where virtual is a big move that we, uh, we, we can see from customers and the partners that we have, the ecosystem that we've built, um, all around the world, he's helping very much in this move. Excellent. And David would love to hear the, the, the progress that, uh, your group with some of the parts. Yeah, absolutely. I mean, it's been a, it's been a really exciting ride, uh, year over year growth rates with the alliances, continue to shoot out, which we're really excited about. Um, the VTN launch was fantastic for us for most of our major strategic alliances. So we're really pleased about that. And a lot of our technical alliances as well, they really benefited from some of the new capability coming out there. >>So what we're seeing is not only are we seeing our go to market, be enriched more and have a lot of success with the strategic alliances, the technology Alliance is a really starting to benefit from some of that new innovation that just came out and funny as well. So that global systems integrators, we've seen a massive uptick in that interest in the last, in the last couple of quarters. And that's really helping too Alison tonight. Oh, I spy. So yeah, it's been a really exciting year. And certainly when you do these types of events virtually yeah. LinkedIn, your, I am, and text messages go through the roof, which is a nice way to, to keep communication with the alliances. Yeah, I did. David, I'd like to just drill in a little bit on some of the pieces that you're talking about there, uh, you know, I really feel in the last year, yeah. We saw a real maturation in what we do talk about. Yeah. Hybrid cloud and multicloud. Um, I, I know one of the, you know, key strategic Alliance is actually from day one for Veem. Yeah. And you know, every time I saw an announcement of some of the VMware Bob pieces, I usually felt like there was soon after a Veem piece of it. Uh, could you bring us inside a little bit, especially some of the cloud pieces and maybe how beam differentiate, uh, from, from some of the competition out there, you know, both VMware, >>You know, Amazon, Microsoft and that whole ecosystem. >>Yeah, absolutely. I mean, as you touched on, uh, VMware and ops have been very close, Brown is process, and we're really excited about, uh, some of the recent work has been going on with them as well. Um, we're also have tremendous steps fools with Amazon that continues to be a strong area. And the Microsoft is a cloud in the way that we continue during the harms, the way we work with their solution. Um, it's really providing right strides forwards, especially for the enterprise customers. Uh, we also were excited about the recent announcement related to Google cloud as well. So that's another big area for us. Um, and so that was another thing that continues to differentiate us. And what I would say overall though, is it's about having that philosophy as customers continue to have there philosophical view related to on premise cloud on off premise cloud. >>What we're showing is whether it's through the hardware partners, whether it's through the application partners well through the cloud is we're enabling you to decide your workflows. And I think that's the bit it's a little bit different than, and some of the others that are out there taking that heritage, should we put into the virtual world and that mentality, there's certain it departments have. It enables us to really synergize with those different partners as they go through their evolution and a certain customers move more towards the public cloud. And then you might be look towards some workplace back to the private that synergy between all of those areas is hugely important. And even for the hardware partners that we have, do you have cloud plays, mentioning some of their value solutions as well. So it's a really sort of, um, heterogeneous world that it we're really pleased on the way that the market is accepting it. Yeah. And Daniel that this, this move and a maturation of what's happened in the cloud is a significant impact on the channel. I'd love to hear, you know, anything specifically, you know, with your, uh, your viewpoint on the channel as to, you know, how your partners are now adjusting to that, you know, VMware, Microsoft, uh, some of the other pieces is that how they are now ready, uh, to help customers, uh, through these transitions. >>Yeah. And, and let me, let me make one run back, which is very important. First of all, VIM is not Mmm. The cloud provider and will not be accepted, right. Or in other words, the idea is that we will never compete with our brothers, never. Uh, so we provide technology, which is used by our partners and a number of them. I just think that technology to provide services, a number of them are using this technology to resell, uh, or to implement some additional services for the customers. And this is a key, key element. We're not there to do anything and competition. We are here to compliment and to use it, to leverage as much as possible, all our partners, as much as we can, uh, they know very good the market, they know very good at how things are moving. They know very good where they can do they know very good where they cannot do and what their customers want or, or, Oh,. >>Um, so the big, big move that we see in the market is how everyone is moving more and more to, again, there's said initially, uh, to the cloud, um, I mean, providing cloud services, whether it's multicloud hybrid cloud, as you mentioned it, as you listed them, we have all different types of scenarios. And this is a very interesting thing, is us helping them, educating them on how to use our technology, to be able to verify we be provide services and capabilities to their end customers. So we have a big, big investments in this enablement in what we call sales acceleration software, because it's all about businesses, uh, and helping our partners to get there and to move them as fast as placebo. Again, there is a big, a big need, a big request from the end customers and the role of the partners. I understand that and have to move very quickly to this new world of services. >>And we are there to help and support because we strategically no, that this is a way not only for him, but for the entire market. Yeah. And Danielle, you know, an important point. I think anybody that thinks that, okay, editor, uh, you know, to the channel or things, you know, probably doesn't matter. Okay. Or value proposition, a Veeam. What I'm curious from your standpoint is what was the impact of know wire now? You know, obviously some management changes there. Uh, I'm, I'm curious what feedback you've gotten and how that impact, uh, you know, the channel first. Yeah. I mean, let's be open as you know, it's one of, I hope one of our qualities, that theme is the transparency and the way we communicate again with the world, with our, especially with our partners. So initially the feedback that I had and with a number of partners and partners, well, a little bit of, okay, Nope, no worries. >>Uh, no, no. What is going to happen? What is next? Are we going to, to lose the DVM culture? Are we going to, are we going to go through a number of changes eventually in the strategy of him? And actually I have to say, and I'm extremely comfortable, uh, in my, let's say regular communications and connections with, with the insight partners, we have quiet team software because they think that the strategy that we had and the strategy that we have now is the strategy they want just to keep on doing, because it is a successful strategy. And by the way, when we do get the data, uh, that we got from the market from, uh, from, from some, from IDC that that was out lately, we see that Veeam is the number one in both, all around the world, compared to all the other vendors, doing the same kind of technology. >>That means that each is a successful strategy going with the partners and through the partners, he's a very successful strategy. And there is no reason that that yeah, and insight partners understands that extremely good. And I feel very comfortable with it. Yeah. With our future. That would mean more to us, but that's okay. We'll see. In the coming quarters. Well, I, I think, uh, you know, we, we, we do need to have, make sure that VMs has a little bit more focused on getting some green in your home environments there. Um, cause normally if I'm doing an interview with green, I'm expecting with BMI Mexican and a little bit more of the, of the breaker in there, David, you know, obviously, you know, the strategic alliances, uh, you know, some of those executive relationships, good morning, bring us in a little bit, as you know, Daniel was saying there's a little bit yeah. >>Of trepidation at the bit. And they've worked ruin, uh, from the Alliance standpoint, uh, you know, what is this, uh, what what's, what's transpired. Yes, true. It's, it's one of those things. It's a really unexciting answer because they aren't similar, simple answers calmness. Um, I often 24 hours, once we announced it, my call sheet was pretty, pretty empty for the simple reason being that, uh, we've spoken to everybody very quickly and the resonant feedback was that's great news. We know insight. We trust insight. We're glad it is say a growth play. Uh, also it clears up the future. And obviously, yeah, when you have strategic alliances is always in the back of their mind, wondering when is one of our competitors going to come in and Acqua you guys Mmm. Your article feedback was, this is fantastic. This is exactly what we wanted to see. >>Um, you provide clarity to our partnership. You can continue to invest in grow, which you've demonstrated for years, and you can move that forward for the next few years. Um, but also more importantly, this enables us to feel even better doubling down on veins. And so frankly, while we haven't had any issues and I'm sure a lot of the viewers out there have been through events seeing sometimes that can be crazy. It's a Daniel was pointing the strategy. Hasn't changed, we're executing, we've got the support. And the strategic Alliance is probably for the executive level and also the day to day level on leaning in more and more of them please that we're executing on our strategy, focusing in the U S with a big push. Okay. Bringing the investment, moving forward, stabilizing the leadership team. It's just been overall. It's been fantastic. So yeah. >>Yeah. It's, it's a really unexciting new soundbite answer, but that's a, how long has inclarity clarity has been a real takeaway? Excellent. Well, one of the, the key messages in the keynote, of course talking about a digital transformation, we'd love to hear, uh, for, from both of you, uh, you know, what you're seeing and hearing how beam's message is a, you know, engaging with both partners and ultimately the, the end user itself, uh, Daniel, maybe we'll start with you on that. Yeah. Yeah. Thanks. Thanks for asking. It's usually always comes from the end customers and their needs, and we all know that the need for data uh he's he's getting exponential. Uh, so that is why we can't do things manually anymore. So it has to be digitalized everywhere. Yeah. The very interesting thing is that not only something that express with the end customers, but we see more and more because it's an absolute need. Uh, when partners are providing, uh, services or providing all night, chubby she's out services or providing even, even products, they have digitalize also themselves. They are doing it at very, very high speed. But I know I'm mentioning that because I'm extremely pleased with the ecosystems of partners that we have >>Because they understand it's very good, how the market is, is evolving. I'm still only about the customers, but it's also about themselves. Yeah. That they are evolving 21st. And did you digitalization of all the processors? Well, the way they work with their customers, it's definitely one of the key elements, uh, which is going to be extremely good for the future. That's why, because of all this moves in a very positive dynamic way, there is no reasons why we should change our strategies and no remaining said our rights, uh, lions first, whatever it is, uh, continue driving the ecosystem, building the ecosystems, organizing the acquisition. And he's absolutely key for the success of everyone, including people, Brittany and David, please from the Alliance side. Yeah, it's do, I'm sure you'll notice, but in anybody and, uh, we're in a fortunate situation that we probably both get to sit through, uh, all of the strategies that a lot of the Titans of industry are all focused on right now and, and, and having ecosystem we do in your line side, that rich tapestry from the very large to very small is focused on that digital transformation. >>And I think that the good news from my point of view, and I'm going to touch on one of the points Daniel mentioned before was we don't eat with them. And so, yeah, he volunteers, we've got his work hogging, a piece of that, the strategy that they're looking for, the criticality of data three is transformation is huge as everybody knows. Um, and what we're finding right now is that the approach that we take yep. Approach to focus on doing what we do extremely well is synergizing with the evolution of the customer is seeing as they go through that transformation and transformation, sometimes a scary transformation sometimes brings nervousness and they want to do it with a lot of their thought leaders. They working with the VM-ware has the Microsoft, the HBS, and then apps, et cetera. And so from that point of view, the fact that we can providing them with that peace of mind for the complete solution, it's been fantastic. >>So, you know, when you look at a 75 plus partners, there's always going to be one way you need to thread the needle. Shall we say on exactly where intellectual property provides that value to them? But the good news is we don't have to spend a lot of time on that because we're clear, we're concise. Uh, and a lot of times they've been involved in a lot of our strategy sessions. So they're on board with us. And I think the Daniels area as well with the channel, the channel sees that as well. And that's why, whether it's through the alliances channel or with us directly to the resellers, uh, we're finding that, uh, that harmony is bringing a lot of peace of mind. So you can focus on the pains of the customer. I'm not worried about your technology partners fighting with themselves. And that's really where we are, right. Uh, the overall ethic of the company. All right. Well, the final item I have for, for both of you is, you know, normally, you know, but we have a certain understanding of where we are and what the roadmap is. Look, of course, we're dealing with a global pandemic, right? So >>As we look forward to the outlook, uh, I'd love to be able to hear a little bit about, you know, what you're hearing from your partners, how that is coloring, you know, decisions that are made really for the rest of kind of the next 12 months or so. Um, and you know, okay. Any other data points that you have, uh, from your broad perspectives as to how people think the recovery is going to be know, obviously we understand there's a lot of inserts. Nope. Daniel, you've got a, uh, great global viewpoint. We understand, uh, you know, what, what is happening impacts differently locally quite a bit, but, um, what are you seeing going forward and do you know the impact? Bye bye. Yeah. So I couldn't say the contrary. Yeah. So they correct. And we see it in our numbers that the countries, which are the most impacted, I would buy the QVC. >>I would have been more difficulties than the others, uh, to move, to move forward for a business standpoint, uh, which everybody understands, but we've received in the numbers. No, the thing. And this is what I liked very much about, but our ecosystem and where is we had a plan, uh, that we said that we said in 2019 before we knew anything about curvy a con for 2020, and you know what, uh, we are now in no, in, in, in our, the second part of the month of the year, you too, and are going to make our numbers. We are going to make our plans and why are we going to make it? That's the only because, you know, it's just been because perfect, but he's very, very much because of all our partners who, despite all the issues that are, they are in country because of coverage are just getting there, biking, helping themselves, helping us, and altogether as, as a big business machine, as big business system, we all just making success. >>And this will only show extremely good at the end of the year. When we look at the market share, Jamie's going to gain again, uh, with all our butters, it will be the, the results of the success. So good results. Very good results. No. And, and do you mean just continuing to move with these, he's a network of fathers and David, obviously we've seen, you know, you know, many of the big partners, you know, uh, you know, very circumstance and their response, you know, nobody wants, are you seen as, uh, you know, doing something that is untoward towards customers taking care of business. Okay. So, you know, how how's this impacting, you know, what you're doing with your partners? And it gives a little bit of the outlook going forward. Yeah. I mean, why not use for this as energy? Mmm. Some of these headlines that you see, of course, they're not going to get picked up with the impact related to it on a day to day basis, through the discussions with the executives are in the field level, we're seeing the energy with same people want to make sure on what is a tricky situation was a very impactful situation. >>Um, but what, we're not seeing people Mmm. He was onto it. We're seeing people really want to, um, make sure that they are also relating to the needs of their customers today, whether it's more and point whether it's moving towards the user experience, but also taking this time to keep building the foundation for a lot of that infrastructure related to data protection, data availability, um, that we've enjoyed for a long period of time. So yeah, you know, you, you have a degree of disruption, but the objective that I'm seeing from all the major guys that are out there is let's make sure we drive hard. Let's not take the pedal off the metal. Let's not use this as an excuse. Let's keep moving. What, uh, I mean, I sh I would say our engagement with them has increased in sort of happened. Um, and so I don't think we ever expected to be running into tempo. >>We're running bean does it as standard, but we don't normally I have that same temperature. Okay. From some of the, uh, some of the alliances we're really pushing hard with him. So, yeah, we're excited. And we continue to evolve rudeness how, in a situation, everyone's going to be employees with a lot of aggression, a lot of desire to keep capitalizing on the work we've done together. The key solving the customer demands that are going to come over the next 18 to 24 months, um, and reading, make sure that, uh, this is really okay. Yeah. It's impactful just to be clear, but, but not one that we're going to let define our future. I'm looking into that together. So I think from us, um, we're excited about not only as Daniel said, beam success. Well, what, we're starting to see us really good attitudes, uh, from all of our lines bombs, which we love. Yeah. All right. Well, Daniel and David, thank you so much for the update. Great. Yep. Okay. Thank you. Thanks. All right. Lots more covered from Veeam on 2020 online. I'm assuming a minute. Thank you. Oh, wow. The cube.

>>From around the globe with digital coverage of the 2020. Hi, I'm Stu Miniman and this is the Cube's coverage of 2020 online. I'm really happy to welcome first time guests and he is the chief information. You're the officer at Veeam. Thank you so much for joining us. Always loved it. That was a CSO. >>Awesome. Thanks for having me Stu. >>All right, so, so guilt, give us a little bit of your background and you're relatively new than beam, obviously, you know, when you took the job, uh, that the current, you know, global, uh, pandemic, uh, wasn't uh, you know, necessarily right center, but, uh, yeah. Give, give our audience a little bit of who you are. >>Yeah. Yeah. Timing is everything I, um, I have, I bet named for 90 plus days, uh, joined the company just before the global pandemic, uh, broke loose and sort of disrupted our entire, uh, our entire planet. Uh, before that I was, uh, I was the CSO for five years of, uh, uh, systemically important financial services, >>Market utility. >>Uh, but most of my experiences, um, is in government. I was a, I was a federal executive for almost 20 years in Washington, D C where I was a CSO at the department of energy, a Homeland security, Naval intelligence, and a few other places. >>Excellent. Well, that's a great pedigree. We've loved talking to them, public people. Uh, obviously you're already front and center. Uh, they're always okay. Really? I mean, it's a board level. Got, okay. Nope. Uh, dirty, so much of what's going on. Yeah. I have to ask you though with the global pandemic hitting, uh, obviously, you know, work from home is, is, is a big piece of what's going on. Mmm. Give us, you know, kind of your first reaction then they are being new to the role. How do you make it for that? You know, Veeam itself is safe and that you're customers, uh, as they're, you know, dealing with things that, you know, they stay secure. >>That's a, that's a great question. I don't think anyone can say they were a hundred percent prepared for a global pandemic, the likes of which no one's ever really experienced before, at least in the modern age, but, you know, Veeam is largely a, even though we're 5,000 strong and global is largely a virtual a workforce. So a large majority of our, um, our teammates work from home and mobile situation. So, uh, the company has a long track record of providing really innovative and secure tools so that we can conduct our business, both, you know, with our customers, with our sales teams, generating leads, our technical teams, developing product. Um, the technology here is, uh, is, is pretty impressive. I, I will say, um, >>Uh, the impact to our workforce, at least from a virtual perspective, hasn't, uh, ha hasn't been as significant as some more traditional companies, um, being the new CSO here at beam. It's a first time position for the company. Uh, who's taken this topic very seriously. It's a, it has been for me personally, a bit of, a bit of a challenge in building my team, obviously, uh, the InfoSec, uh, space, cyber security space is very competitive when you're trying to hire folks. Uh, and the, uh, the pandemic obviously has made, uh, has made folks think twice about transitioning or starting careers or changing companies. So it's put a little bit, a little bit of a hitch in my step in terms of, uh, overall planning. Uh, but we're moving on to some different strategies and building a team a little, little slower than we had anticipated. >>Yeah, well, it's definitely understandable, but put a free for most people were that awesome a little bit these days and, you know, organizationally, this is a new role. Okay. I worked for the CIO. Are you okay? Yeah. What's been your with some of those organizations, well, dynamic, you know, with CSO lives, sports in the org. Yeah. I think it really depends upon the company's culture, right. That drives where this role sits at my, at my previous company, I've worked four, uh, the CIO who was a corporate officer, uh, here at Veeam, uh, it is a new position, uh, and there's such a significance placed on, uh, cybersecurity because of the expectations around this topic. Not only from our board Mmm. Uh, our customers, uh, uh, are the government regulators and everyone else, uh, this role, my role reports directly into bill large and our CEO, which, you know, fully empowers me as a, as a member of the, of the management team of the entire company to drive the, the, the initiatives that need to be driven so that, uh, we can meet those expectations, which know, I tend to write a rise every year from, uh, expectations of our customers, product features in our, in our products, uh, regulatory requirements and so forth. >>So yeah, um, this space tends to get, uh, more difficult, more complex as time goes on. And I think, uh, that the team has, uh, constructed this role in an operating model that, um, that is going to make it highly successful. Yeah. Well, you know, data security, absolutely critical today's landscape, but, you know, give us your thoughts about, you know, data security and really modernized. Yeah. And you know, what, what is your charter? Okay. Right. Hmm. They know fits in there. Yeah. Yeah. You know, deem is now a us company. Right. And the idea here is to direct, continue to drive growth in, in North America. And one of the key components of that growth, it has to be the U S government. I have a pedigree with U S government. I understand what the requirements are to do business there. So again, back to those expectations, uh, my charge here is to deliver us not only an internal cyber security program that continues to meet and exceed those expectations, but to be able to position our products in a way that not only solves some of the data resiliency issues that the government faces and that are global customers face, but also helped us solve some of these significant cyber security issues that they're trying to manage, you know, in the boardroom cybersecurity is, is, is essentially the number one operational risk now with a lot of focus, uh, across, uh, not only the boards, but all the functional areas of the company, whether it's finance, sales, technology, and security, it's, it's just, it seems to be the topic that everyone's most concerned about. >>And we just want to make sure that we're positioned in a way, um, that, uh, that drives what we're delivering here as a competitive advantage. Yeah. So what, what are some keys to consideration for data security on modern business? >>I'm sorry, you broke up. Could you repeat that question, Stu? Are there any considerations for modern business? Yeah. You know, um, there are, uh, there there's, there's so many, right. I tend to focus on, uh, the simple things for most companies, right? The, uh, the priorities that every CSO ought to have, uh, are around, um, you know, the, the, the blocking and tackling of a risk based vulnerability management program, making sure that your identity of your managing identities so that the right people have the right access to the right resources at the right time. Um, you, you got to have those strong and fast cyber ops because you will have incidents. Right. We all know that, uh, if you're a CSO in a company that's, uh, you're not managing incidents, chances are, you're not seeing incidents, which is probably worse than, um, then not having them. >>Um, the other thing that I've learned, uh, as a key consideration for protecting your company, coming from government is this concept of information sharing and making sure that you're, uh, that you're, that you're not only speaking with your peer companies, but your competitors as well, because they're seeing an awful lot of the same issues that you will see or have seen. And there's really no, the competitive advantage in information sharing amongst the CSOs in, in, in, uh, various industry communities and financial services. I feel like they've optimized that where I came from, uh, I would talk with, uh, CSOs at my competing firms on a, on a weekly basis, uh, comparing notes, talking about threats, understanding threat actors, talking about technology and so forth, just trying to provide for, uh, this sense of collective defense that those in the financial services industry has together. Um, and then, you know, obviously for the last several years, there's gotta be a deep understanding of the differences and managing cyber security in the cloud and what that entails and, you know, holding those vendors, uh, accountable for your security requirements, you can outsource the technology, but you can't outsource the tech, uh, the risk. >>So you, you have to be able to understand how the cloud changes, uh, the risks that you're facing, um, from the internet. Yeah. No, I'm, I'm, I'm so glad you brought up, uh, you know, early in my career. Yeah, yeah. 20 years ago. And, you know, could it be a differentiator and therefore there wasn't necessarily that sharing among your group, or they were very careful how they did things because, Oh, wait, I tried this project. I might have some advantages, you know, as you said, security is something we need to, as a community, get involved with you also brought up. Wow. So if we look at cloud models today, we really, yeah. Okay. Facility model. Mmm. So know how should people be thinking about cloud, uh, how should they be, uh, you know, moving forward, you know, really these multitudes of environments that they need yeah, yeah. >>You know, we could, we could probably have an hour show and talk about some of the scar tissue that I've gained over the years in managing cloud programs. The number one, uh, the number one thing I would talk about, I think it's probably the most important thing is making sure you understand exactly what security services your cloud provider is providing. And don't assume, um, that they're going to meet your requirements. You need to understand what those requirements are, whether or not they fit your business, an operations model and whether or not they're, um, Mmm they're they're capable of meeting the risk appetite that you've set for yourself and communicated to your board. Uh, in, in, in certain, some in certain cases, the default clouds, uh, security services, won't meet those, uh, expectations and you'll have to work with the cloud vendors to augment those in a way that makes, uh, that makes it Mmm, more, uh, acceptable for your, uh, for your risk profile and for your business. >>Um, I've often I talk with peers who, Mmm. Uh, at companies, smaller companies who just assume that the large cloud providers are going to take care of everything that you used to take care of on prem. Uh, and in fact, there are just certain things, uh, that are happening in the cloud that are completely different than on prem situation, as it relates to cyber. And you've got to have a really good understanding of, of, of how those are differentiated, uh, because if, uh, if, if you're making assumptions about the level of cybersecurity services that you're procuring in the cloud, uh, it's probably gonna turn around and bite you at some point. Yeah. It, I, I laugh a little bit. I think please free cloud era. No, yeah. Force let's get somebody that is okay. Lazy or, you know, being a little bit malicious. Okay. Yeah. >>Go against dirty things that you said, well, if you go to the cloud, you know, something's angel, I haven't, I need to make sure, sure. That I've adjusted those settings. Oh, wait. Yeah. There's something I should have looked do too. Let me make sure I adjust those. I think at least, I think cloud providers are, you know, a little bit more engaged after some yeah. You know, uh, kinks in the armor, uh, that, that we're seeing. So, uh, the, the, there have been a little bit more awareness of what's going on. Everybody is engaging a little bit more Mmm. Gil, uh, governance and ransomware things hockey for many years. How does that yeah. Uh, your, your overall discussion, um, you know, governance is probably one of the most overlooked that most important components of a cybersecurity program that's effective. Um, we don't do cyber security just to do cyber security. >>We're trying to meet key business objectives. We're trying to meet customer expectations. We're trying to support technology integration programs and having all of the efforts of the CSO and his Oregon, his or her organization governed, uh, correctly within the corporate structure is just absolutely critical here at Veeam. Uh, the, um, uh, my function has governed, uh, by the border, by the board of directors, as it is in most large companies. So they're interested obviously in the health status of the projects that I'm, uh, that I'm leading the initiatives that I'm driving, the transformations that are occurring across the globe. They're interested in, uh, understanding exactly how the product feature sets and are in our Mmm. And our products are being informed by the experiences of our, of our internal team and what our customers need. Uh, for us, it's very important to provide that oversight and insight into everything that we're doing, uh, at the highest levels, so that, uh, so that our board of directors can have a really good understanding of, um, of overall risk of the, uh, of the organization and what we're facing. >>Final question I have for you, key priorities forward, what should we be looking for work? And yes, that's particularly. Yeah, sure. So we've, uh, we've gone and we've adopted a new security framework. We've adopted the NIST cybersecurity framework version one.one. We're leading ourselves through a maturity assessment based on that framework, we're setting a objective Mmm Mmm. Maturity measures for each of the components of our cyber security program based on the NIST cybersecurity framework. And we're driving some transformation across the globe to make sure that, uh, we're doing everything we can to protect, uh, not only the company, but our customer's data, our products, and so forth. We're also positioning ourselves in a way to, uh, as I said earlier, enhance our business opportunities with, with the U S government and adopting the new cyber security framework is probably right the first step in a long program to, um, to be able to do much more, much more business with, uh, with our government counterparts. All right. Well, thank you so much for joining us. Really pleasure to talk. Very good. Thanks too. Alright. Be back with lots more coverage from online. Thank you for walking. Thank you.

>> From around the globe, it's theCUBE with digital coverage of VeeamON 2020 brought to you by Veeam. >> Welcome back, I'm Stu Miniman, and this is theCUBE's coverage of VeeamON 2020 online. Of course, instead of all gathering together in Las Vegas, we were getting to talk to participants of the community where they are around the globe. Happy to welcome to the program, first time guest on the program, he's part of the opening keynote I'm sure most of you saw, Simon Kofkin-Hansen, chief technology officer for VMware Solutions inside of IBM. Simon, thanks so much for joining us. >> Thank you Stu, it's a pleasure to be here. >> All right, so you know, obviously we know IBM quite well. We at theCUBE at you know, the virtual events, both RedHat Summit and IBM Think not too long in the past there. Talking a lot about you know, the open hybrid cloud many of the messages that I hear from Veeam remind me of what I heard at their environments you know, it, multicloud environment, we need flexibility in what we're doing, we, you know, need to of course you know, data is such an important piece of what's going on. Maybe before we get into it too much, give us a little bit about you know, your role there, where you fit into that whole discussion of what IBM is with Cloud. >> So Stu, yeah, I'm the chief technology officer of IBM, of Veeam solutions on the IBM cloud. Primarily involved and helped create the partnership that exists between IBM and VMware today. Basically, I'm providing automated solutions for our clients. Automated, secure solutions for our clients around the VMware and the IBM Cloud infrastructure space. >> Yeah, well, Simon, it's interesting stuff, you've got some good history there, maybe you might remind our audience you know, I remember at VMWorld, before there was a big partnership, that VMware made with a certain public cloud provider that gets talked about a lot, IBM was the first and if I saw you know, correctly, I'd love for you to be able to provide the data behind it. There are more VMware customers on the IBM Cloud than any other cloud is what I believe is the data I saw, I think. So bring us in little bit more, explain that relationship. >> So yes, we were, as IBM, beginning of all of this, I mean VMware and IBM have had a long relationship. And in fact, IBM manages over 850,000 predominantly VMware workloads on-prems, and have done for the last 10+ years. But in the latest iteration of this partnership, we brought together our automation and our codified experience from dealing with these, our client accounts around the world and brought that expertise along with VMware's product side to align this automated stdc stack on cloud platforms. And first to market with that automated stdc stack called VMware Cloud Foundation. First to market out and we've had a great ongoing relationship since then. It's really resonated with many of our clients and our enterprise clients out there. >> All right well Simon, one of the most important pieces of that, you know, VMware stdc message is that I have VMware, I know how, I manage that environment, and it's got a really robust ecosystem, so, of course Veeam started exclusively in the VMware environments, now lives across many environments, but you know the comment I've made on some of these interviews for VeeamON is, wherever the VMware solution and VMware Cloud goes, Veeam could just go along for the ride, really, if it were. There's obviously some integration work and testing, but help dig into a little bit, what that means for you know, solutions like Veeam tying into what VMware is doing, and what VMware is doing in the IBM Cloud. >> Well particularly at the beginning of this relationship, part of this partnership with VMware was its rich partner ecosystem. And I was given the remit and had the luxury to choose the best of the best products that's out there. Which wasn't necessarily IBM's products in this particular space. Obviously we chose Veeam for backup. I mean Veeam's reputation out there's the backup, it's known as the market leader for the backup of its actual workloads. So it was very important for us to embrace that ecosystem. And it's been a great partnership from the very, very beginning. Getting the backup products out into our platform and as we've done more recently, bringing in the new enhancements like Veeam Cloud Connect to deal with data replication and more use cases around migration and the movement of data in a hybrid cloud sense. And Veeam has been right there with us every step of the way. >> Yeah, so Simon, you're a CTO, so bring us in a little bit architecturally because when I think about hybrid cloud or even you know having to move my data between you know different data centers, you know there are, you know, the physics challenges, and you know sometimes I can, you know, get closer, I can (microphone cuts out) through there, and then there's the financial considerations. So give us to how we have to think about that, what is data movement in 2020, you know, what considerations do we have to have here, and how does IBM maybe differentiate a little bit from some others? >> So I'll answer your first question, I'll answer some of the last questions first. What does data movement in 2020 look like? Well, to be perfectly honest, Stu, we never imagined what would happen this year, but data mobility and the movement of data in a hybrid scenario has never been more acute or prevalent because of the stage that the world is currently in and the conditions that we're living in today. Being able to use familiar based tooling that represents what is used in an on-premises state, over in the cloud, enabling Veeam, or people who have existing investments in Veeam, to use that tooling for multiple different use cases. Not just backup, but that actual data replication functionality has become ever more prevalent in these cases. I was saying similar messages back in 2019 and 2018 and as long as back in 2010. I feel as though, I look at that, it's been almost a decade now, talking about the need or the capabilities of hybrid cloud and this movement of data. But I've absolutely seen an absolute increase in it over the last few years and particularly in 2020 in this current situation. The major difference from an IMB perspective is I would say, is our openness, and our, how we're dealing with the openness in the community, and our commitment to open source. Our flexibility, our security, and the way we actually deal with the enterprise. And one of the major differentiations is the security to the core. Actually building up the security, looking at the secure elements, making sure their data is safe from tampering, it's encrypted both in transit and at rest. And these are many of the factors that our enterprise clients actually demand of us and particularly when we look at the regulated industries with their heavy focus on the financial services sector. And Veeam, with its capabilities and its ability to both do the backup and migration functionality, sort of clients are expecting a two-for-one deal, in these days when they're trying to cut costs, and get out of their own data centers in an effort to cut their costs. >> Excellent. Well, Simon, you know you laid out really the imperative for enterprises, you know today and how they're dealing with that, bring us in as to what differentiates the IBM-Veeam relationship versus just IBM is open and flexible, so there are a lot of options. You know what particularly is there about Veeam that makes that relationship special? >> Well, I think it all down to the partnership and the deep willingness to work together. The research that we're doing in the products, yeah? Looking at ways that we can take Veeam beyond the VMware space and into bare metals and containers. But maintaining that level of security and flexibility that clients demand. I mean, many clients, if they've invested in a particular technology to do their backups, back up and DR, because of the heavy data requirements are still one of the most important if not the most important use case that many cloud users or many of our clients actually go for. So having that partnership with Veeam, in not only dealing with the traditional base, which is the VMware backups, but really pushing the boundaries and looking how we can extend that into migrations, into containers, and bare metal, by still keeping that level of security and flexibility. It's a difficult balance. Sometimes to make it more secure, you have to make things less flexible. And vise-versa, having things more flexible, they become less secure. So being willing to work us and actually define that difficult balance, and still provide the level of the user experience and the level of functionality that our clients demand, and keeping both client sets happy, both IBM and Veeam. It's challenging at times, but I guess it's what makes the job interesting and exciting. >> Yeah Simon, I'm actually glad you mentioned containers as one of the you know, modernization efforts going on there. Of course from Veeam's standpoint, when vSphere 7 rolls out, that they are being supported in you know one of the first work in that. I'd love to hear your viewpoint, what you're hearing from customers, how you expect, as a VMware partner for cloud, that movement of VMs and containers and how they're going together. What should we be looking for as that kind of matures and progresses? >> So I would absolutely watch this space. Particularly as we move into this. Containers and VMs living very much side-by-side. With VMware's announcements around Project Pacific and tanzu, it's very interesting. It's certainly a furor around the market. And we as IBM are very closely working with them with our acquisition last year of RedHat and its containerization platform. All while maintaining our ability in the OpenShift community around Kubernetes. So Stu, obviously I'm privy to a lot more information which I really can't really say and dig into too much detail around this particular angle but just to say that, watch this space. There's a lot going to happen. You're going to see a lot of announcements in the back half of 2020 and in the first few halves of 2021, particularly around the carburetions between containers and VMs and seeing how the different offerings from the different companies shape-- (mic cuts out) interesting times ahead. >> Yeah, absolutely. Simon, maybe you're right, don't want to get you in trouble as looking too much into the future, but maybe bring us into, I'm sure you're having lots of conversations with customers, what's their mindset, you talked about, you know, there's bare metals, virtualization, containers, you know application modernization, I've always said the long haul of the dent in any transformation and modernization (mic stutters) doing, so you know, 'cause some of the challenges and opportunities that you're hearing from customers that you and your partner are helping to solve? >> So some of the challenges around this containerization is containerization (mic stutters) is taking a lot longer and its taking a lot more time than we originally anticipated or expected. So the realization is actually hitting that VMware is going to be around for a while. I mean, the idea that people are thinking that they're just going to transform their applications, or all their VMs over a six or 12-month period, is just not reality. So we're living in this hybrid platform way, where you have VMware, you have virtual machines, and containers coexisting. Certain parts of the application, namely the, if I take the three-tier web app as an example, consisting of a http server, an application server, and a database. When you containerize that, or modernize that, it's very easy to modernize the http server, which turns into the ingress/egress servers on the container. It's very easy to modernize the application server, which is fairly static and you can just put a container. But as we know, Stu, data is sticky. So what many enterprises the data migration, or the way that the database is transformed, is the thing that takes the longest. So we're seeing out there in the enterprises people who are running their apps both with the ingress/egress service, the application server container containerized, but the database still living on a virtual machine, for a extended period of time. And until that made the final jump or chone their data service, they make that move. I do see this being, I personally, I honestly don't believe in my lifetime VMs will actually disappear. Because we're seeing that in some cases it's actually too costly for organizations to actually transform their applications or there's no real business case. It works perfectly well with the existing process. There's no need to modernize. But they're looking at ways and what parts of the architecture can be modernized, and containers are definitely the future for all the attributes that we know and love. But there is going to be this hybrid world. So having tools and partners like Veeam, who are willing to cross the ecosphere of the different platforms, is critical for our clients today and critical for partnerships that we have. Like the one we have with Veeam. >> All right well Simon, it goes back to one of those IT maxims, you know, is IT always additive. We almost never really get rid of anything, we just keep adding to it and changing it and as you said, data is that critical component and I think you highlighted nicely how you know, Veeam fits in you know, very much for that story. So Simon, thank you so much for joining us, pleasure having you on the program, glad to have you in theCUBE alumni ranks at this point. >> Thank you Stu, and thank you, it was a pleasure. Take care. >> All right stay tuned for lots more coverage from VeeamON 2020 online, I'm Stu Miniman, and thanks for watching theCUBE. (calm music)

(soft music) >> From around the globe, It's theCube with digital coverage of VeeamON 2020 brought to you by Veeam. Hi buddy. Welcome to the cubes coverage of VeeamON 2020, (laughs) the virtual version of VeeamON. and I'm here with Justin Warren who's the chief analyst and managing director of Pivot Nine. Justin, Good to see you. How are things down under? >> Not too bad. It was a bit of a rough start to the year. But things are looking a little bit better here in the middle of the year. It's tough times. >> And of course Justin, you may, you guys may know, as a many times you post and of course our other almost daily CUBE host these days, Stu Minivan joining us to unpack the Veeam keynotes, the trends in the marketplace. How you doing Stu? >> I'm doing great, Dave. Yeah. As you said, rather than us flying all around the country, we're in doing remote interviews every day, Its different, 2020.(laughs) >> So this has been quite a year, obviously. Because of course it was from Veeam's perspective, started out with that blockbuster exit $5 billion exit to private equity slash VC, insight capital, insight partners which was just an awesome thing for the founders. And some of the employees and actually going forward now, I think the balance of the employees really they'll have an opportunity to grow the valuation of the company even further. I think that's what we've seen with insight. I mean they want exits, so it's like they used to talk about, Ratmir Used to talk about Act Two (laughs) well now we're going to see it play out guys. So just some high level stats, a billion dollars last year in bookings. They're really shifting to an ARR model in a big way, 375,000 customers, 160 countries, 4,200 employees. Justin, do you remember when you first ran into Veeam at like some VMUG somewhere, who are these guys? Wow. They've certainly made it. >> They really have. And it's honest surprising but also not . They've feeling when I first encountered Veeam was that it's like well, who is this people? Yeah. What are they doing? It was very much SMB. It was very much practitioner, a very technical focus and people who used it just loved the product because back then the informal tagline was, it just were. And in those days it really was amazing. That there was a product that was simple and easy to use and worked on it, all of the things that they needed it to do. And I had a very, very VM focused back in that time. Hence the name of the entire company was go Veeam. And to see it grow from that one even then was quite a broad base but a very much an SMB market and see it grow across the entire industry. It's pretty remarkable. There is no really any ... Not many other companies who've pulled off this kind of growth momentum. >> Yeah. I mean Justin I think you nailed it there. I think back it's a company that hasn't stayed at a steady state still though. In the virtualization community, there were ripple effects. When Veeam went beyond just doing VMware and started to do Microsoft. Then a few years ago, I remember after we were doing the Q bed at the show, there was such a real push forward to extend the relationship with Microsoft, to the cloud. One of the things that we think we see loud and clear at this show is that VMware relationship early strong and as VMware goes to various cloud environment, Veeam can go along with that so that the relationship stays strong, but they're also in a lot of the public clouds and expanding beyond what they're doing. Yep. They're moving into the enterprising and I think one of the things we'll dig into is how enterprising is Veeam today. But absolutely it could company that very different than they were two or three years ago. And Dave, as you correctly pointed out now there's not the, who is this weird privately held company? Who's the ownership? I think there's a little bit of a more of a understanding as to, they're a big player in the space. And a little bit more a understanding as to where things go going forward. >> Well, I want to get your take on sort of their, we're going to go through a lot today, but the vision, that Danny Allan laid out in his keynote. And I think it's quite interesting. I mean, given the energy and the VC money coming into the market behind Cohesity and Rubrik the noise that they're making, what he put up as their vision is the most trusted provider of backup solutions, that deliver cloud data management. So as you guys well know, Cohesity and Rubrik really pushing this notion of data management, which means a lot of things to a lot of people. It's interesting to note that Veeam, first of all, new management, new CEO, Danny Allan, and now CTO, and obviously in a strategy role. So he's putting forth this kind of back to basics a mentality but then leapfrogging and trying to leapfrogging the data management narrative into the cloud, bringing cloud into it, super-gluing and cloud and data management which I think is really smart because when you think about multicloud data management for data protection It's got to be about cloud native and it's got to be somebody who's got no agenda around hardware or even necessarily a public cloud agenda. And Veeam wants to the be that Company. What do you think of that messaging Justin? >> I think broadly speaking, I think Veeam can pull it off. I do have some concerns around the whole data management thought. On the first thing of just being able to pull this off across the industry, I think vein is well-placed because it's always been about software. And it's always been about partnership. Though Veeam has been channel , It has been a hundred percent channel back in the day, very, very little direction. If any, at all, they are very strong on partnerships. They will partner with anybody because basically they don't really mind who else you deal with. They just want your backup to be done through Veeam. And the backup is very strong. That is what they are great at. So the risks they may own the data management side is it we've seen this play before pretty much ever backup company at some point just to talk about, Hey, we have a couple of your data. It's kind of sitting there and not really doing anything. What if we would attend this into something else and start using it for other purposes? But it's never really paid off for anybody. No, One's really done anything with their backup data in it in a true sense because we haven't seen anyone else become very good at that and be known throughout the industry of OES. Once you've backed up your data to the scene, you can then do all of these others stuff with it. I can't name anyone who's actually been quite successful at that but I can name plenty of people who've grown. >> Well Commvault is certainly tried actually guys, once you bring up the good competitive slide I want to that's a good lead in Justin. So what this data from our data partner, ETR Enterprise Technology Research, those whose watch our breaking analysis every week you see that we use this data extensively. And basically what we're showing here is the fundamental methodology that ETR uses is this thing called net score, which is kind of like net promoter score. It basically asks customers, are you buying? Are you increasing spending or decreasing spending takes the less subtracted from the more, and then you get a net score. That's the vertical axis. And it's an indicator of spending velocity, the horizontal axis it's labeled market share. It's not like IDC counts market share. It's a measure of mark pervasiveness within the survey. Then it's calculated by the mentions of the vendor divided by the total number of mentions within that sector. Now what we're showing here is a comparison of pure play data protection vendors and you can see there's no Dell EMC there's no IBM because they're not pure plays. I can't cut the data by data protection. So I got put fourth the pure plays. But let's walk through this so you could see here is you've got the pervasive company in the upper left. You can see the net scores and they could see the so the shared ends. This is 1,269 survey respondents. And you can see the shared end is the presence of these companies within that 1269, then CIOs and IT practitioners. So you can see Commvault very high presence but then interestingly and I guess not surprisingly Veeam right there. And then it drops off Veritas, Rubrik and Cohesity, and you can see where the heat map is on the vertical axis Rubrik, One of the highest net score is in the data set, and you've got Cohesity also very high, not as great of a presence in the data set. You can see Veeam very respectable. This was a 15 year old company with a relatively high net score. Really, really respectable, as I say in the solidly in the mid thirties and then Commvault getting into the pink zone and then Veritas in the red zone, low net score. And not as great as you're great at presence, which some concerns there for Veritas. So that's guys, that's the horses on the track. Anything there surprise you? Was it Veritas's position, it doesn't really surprise me, but it is remarkable just how our wife and the rest of the players that they are. And certainly that matches in the conversations the way having here with customers and others in industry. The nine Veritas just does not come out in the way that it used to. It used to be, I would have say that it would be, it used to be neck and neck with Commvault. Now we really don't hear the name Vera Tasman at all. Which is as a long time participant in the industry, Veritas was very much part of my career very early on. They were a stand by name. They were very well respected. But say seeing that sort of thing happened to it a great company, like Veritas it's a bit sad. Really? >> Well, you mean look at you're right. The Veritas was always the gold standard of a company with no hardware agenda. Who's going to be the Veritas of X? You would always use that sort of line or phrase. But now Stu, when I think about the opportunities here, It seems like multicloud is going to within the data protection space, is going to be run by somebody who can do cloud native. So in other words, running cloud native on, Azure, AWS and Google, maybe Alibaba, but cloud native, being able to take advantage of those native services on the cloud. Somebody who's got an on-prem presence who can bring that cloud experience on-prem. Who actually can do it also across clouds, a very, very high performance, low latency, very efficient, low cost. So in thinking about that multi-cloud landscapes, do how do you assess the horses on the track? >> Yeah, well, you know, Dave, first of all, one of the things Justin said, Veeam is partner-driven. One of the conversations I'm having for VeeamON is with the partner Alliance team, they are a hundred percent partner driven. And also for so many years, we talk about one of the negatives about Veeam is, Oh, well, most of their customer base is SMB, well, if you look at the cloud, one of the knocks against cloud for a long time was, Oh, it's just the really small companies that are doing a lot of clouds. Well, my data managers whether I'm a small company or a big company, so a lot of these pieces come together, Veeam has really been able to move into that cloud environment. What they're doing, sans across them . Data protection seems to be one of those areas when you talk about, the mantras, the industry like Amazon and say, okay when are they going to eat your business? Well, you know, Amazon's got a strong storage team. But data protection. They've got some very basic functionality in there but there's a robust ecosystem and companies like Veeam, I can capitalize on. >> Well, you mentioned the there in the enterprise, of course we all know the story of there a couple of years ago, there was a big enterprise, of course, they brought in some executives from VMware, some really high quality folks. They struck relationships with companies like HPE and Cisco. I think HPE in particular is it's paid off quite well but everybody wants to do business with Cisco cause they're very partner friendly and it's interesting. They kind of pull back from that not kind of. They pull back on that major initiative, the high price, direct sales people. And I remember doing a breaking analysis when Veeam got acquired or maybe it was even previous to that and making the comment to that yeah. They had to pull back on that, but I dug into the ETR data. Veeam actually has quite a presence in large companies. Maybe it's division of a large company, or maybe it's shadow IT, I don't know. People who just you don't want the simple backup but they're VMware customers. And it seems to me they really have an opportunity to go up market. Maybe kind of to reset that enterprise strategy. What do you guys think? >> Yeah, I think that's was what they were trying to do a couple of years ago. So I think hotly, they just didn't succeed quickly as they had hoped. There was also a little bit of an issue, which is something I remember speaking to the Retina Mayor about some years ago. About the challenge of being able to serve these different markets, because what SMB wants is quite different to what an enterprise want. And being able to fulfill both of those needs simultaneously from one company it's really challenging because things that you do for enterprise annoy SMB, the things that around ran complexity to be able to deal with the inherently complex environments that are enterprise. SMB just doesn't have that issue. Whereas if you can only do things in SMB type ways that annoys the enterprise, being able to satisfy both of those markets in a way that they both happy with. And so that no one else feels neglected that's pretty much what they wish that were struggling with nothing. So the hot pivot to enterprise they existing customer base, which then was rolling mostly SMB. They started to feel a little bit neglected. No, it was just a bit of a stumble. I think it feels like they've reset now and understood how to do these in a slightly more gentle fashion. But we can call it that. So rather than going for that really aggressive push into enterprise, they are just following the natural momentum, which is people who've come from SMB. And some of those medium companies grow into very large companies and bring them with them and others just that people as they move through their career will grow from a small company to maybe a medium company. And then they'll end up in a division of an enterprise scale and they used to Veeam and they want to bring what they they know in like they want to bring that experience to the company that they now work at. That is a sort of natural flow there I think for them that is only now showing the fruit of what was actually laid down a few years ago. >> Well, and I think there was something else going on there too, which is, we now know the company was positioning for an exit that was up for sale. So enterprise is very expensive, it's time consuming. The ROI is often times very long. That's why you see enterprise startups raising gobs of money and they just ,i think weren't getting the ROI. And when you think about insight, this is one of the more forward thinking, great PE or VC firms they'll live with rule of 40, right, where a rule of 35 or 80 rule of 50, where it's not just about growth, it's about growth plus EBIT. And if you add those up and it adds the 40 or 45 or 35 or whatever their target is, I don't know exactly what Insights looking forward but that's the combination that drives value. So my guess is they wanted to dial up EBIT and give it or the sale. And they might've had specific targets, who knows. That were being negotiated but i think that probably had something to do with it. And as well as you're pointing out, Justin, it takes time but us to If we look into some of the things that we're hearing from the messaging, some of the announcements and we'll get into that. Big, big discussion around digital transformation. One of the first, if not the first to do a backup for office 365, another a new version of Veeam backup for AWS. Oh. So there were some enterprisey types of things that they were there were talking about, a little glimpse at version 11.Any thoughts there, Stu. >> Yeah. Well, David, it's interesting, Justin put up a really good point there when you opt digital transformation Dave. Well, one of the things we've been saying for years, the difference between a company before and after that is you're leveraging the data. So, If I look at Veeam and say, do I protect the data absolutely? Do I secure your data? I'm involved with that. Actually one of the leadership changes, they just hired their first CSO. So bigger push for security, that'll help them a lot in what they do with it, public sector, that's where the CSO actually came from the public by that will help them. But what I didn't, haven't heard as much yet, is okay. I'm a piece of that data. And if you're going to the cloud, I can manage, I can protected and secure it. But how do I help connect people to get more value out of the data and leverage that data? So I think Justin nailed it with that. So many pieces that are important about data that Veeam does do. But that the discussion we always have in AI is be able to take that raw data and converting it into insights and out facts. >> Well, to Justin's point earlier about data management. And I want to to pick up on what you were saying about security, obviously everybody's talking about ransomware, but to me, you're talking about the CSO. The role of the CSO is obviously of course evolving it's Al board level topic. CSO, oftentimes was off as a peer, I say off, but as a peer to the CIO on purpose, they didn't want the CSO to report to the CIO cause it would have been like the Fox watching the hen house. But i think cause it was this sort of failure equals fire mentality and they wanted the truth. But I think now people have transparent discussions at the board about security. Hey, we know we're going to get penetrated. It's all about our response. Obviously we have to deal with the layers, but we're exposed, everybody's exposed. So I think increasingly organizations are realizing that it's a team sport, you've got to get everybody involved, the lines of business, the users being responsible. And of course IT, my point is that security and data protection are now becoming two sides of the same point. Almost like privacy. We've shared that before. So when you think about digital transformation, you think about data protection as part of your security portfolio? Not just something that you bolt on as an afterthought. And I think in many respects, Justin, that's maybe a bigger market opportunity for a lot of these data protection companies and backup companies, than the so-called opaque data management that you're referring to before. >> Yeah. I'd agree with that because what I'm saying from the security side of the market, particularly within large enterprise is a change in mindset from a prevention to a resilient, that kind of mindset around it and how to deal with it. Though previously there was a lot of either we'll just ignore it cause there's not really a problem and it's not going to happen to us. Then it became a kind of a fear response of just, we want to prevent it ever happening to us. Now it's kind of we've gone to an acceptance. And when going through the Kubler Ross. A framework for dealing with grief. People aren't understanding that sooner or later bad things are going to happen to us. What we need to figure out is how we deal with it when it does. And that's the mindset that you need to have when you're talking about data protection. So it's the same kind of mindset that you need for security. And now people are starting to look at, okay, how do we firstly detect if we've actually got a problem, if there's a breach or if there's a risk, how do we notice that we know that that's happening? And then once we noticed that, what do we do about it? So that's things like catching it early so that when you you'll recovery is small, which is the same general idea around software development of fail fast. You want to just pick the failures early so that you can correct them all. Basically if you find yourself in a hole stop digging and then once you've figured that out, okay now how do we recover from this in a way that is minimally disruptive to the business. And that could be like recovering from ransomware, having grilly solid backup. So you can restore weekly, that's the best protection against ransomware that you can have. Then you can start trying to figure out, okay, we know we can recover if it happens to us now let's just try to reduce the number of times that this does actually happen. That's the general idea that I'm seeing come through. More often with CSOs, with CIOs and with board level conversation. >> I want to come back to Justin and then Stu with your final thoughts. Justin, what do you take on this Veeam universal license? Was this a case of, hey we had so much complexity across our portfolio like that you're going to the Italian restaurant, you're just here you want everything in the menu or there's too much to figure out just the order for me. And they're trying to clean that up or do you see this as sort of a more innovative licensing approach? That's more cloud friendly. What do you make of that? >> I think it's a bit of both. think it's part of VeeamON thoughts as well again, from back in the very early parts of the company, the idea was that it just works. It should be simple and easy to use. So it's completely on brand for Veeam to have a simple and easy to use licensing model. There's a lot of criticism from enterprise and particularly from medium and small business, well overly complicated licensing models. We see people wrestling daily with the billing system within AWS. We see people frustrated with the licensing approach of Oracle. We see them seemingly frustrated when you not figuring out exactly what have I lost since then, what happened and what am I not licensed for in, Microsoft ecosystem. So for them to have a simple and easy to use licensing approach, it just fits right in with the rest of what the company is doing. It does also simplify the way that they organize and operate their company, as they have to deal with lots and lots of different partners, having a complicated licensing system on top of all of those other complicated licensing systems would just make their own job much, much harder. So this way it actually works for them as well as for their customers. >> Yeah. Simplicity is the watch word there Stu and I get, I mean, I get the sense in speaking to the customers, partners, that Veeam well has basically has the philosophy make it easy to and we'll sell more. We're not going to try to micromanage, to maximize revenue. You heard this certainly from some of their big partners who said that Veeam made it transparent. Our sales people for commissions and their salespeople and really make it easy to do business with. So Stu I'll give you the last word here. >> Yeah. So I think, as you mentioned, Veeam also listening and seeing what their partners are doing. So we've watched companies like AWS, trying to make a little bit simpler as to if I'm choosing compute, I don't have to be locked into one model a aisle, pay those across the environment or pure storage and other partner of Veeams. If I stay a customer, I make it easy to be able to move from one generation the next though, that cloud like model absolutely is what we expect. And when you talk to customers today, we know the only constant is change. I actually loved in the keynote. There was a I believe it was Satya Nadella that they quoted and said that, we've seen more change in the last two months that we normally would see in a decade. So Veeam being agile, moving, listening to their customers, learning with their partners and making sure that they've got things in the modern consumption model. >> Well, guys, thanks for helping us break down the VeeamON 2020, some of the trends in the market place.Some of the commentary and the keynote. Justin Warren Stu Minivan. Appreciate your time. >> Thank you very much. >> Thanks Dave. >> I thank you for watching everybody. This is Dave Vellante for Stu and Justin and the entire cube team, people right there. We'll be back with our coverage of VeeamON 2020, right after this short break. (soft music)

>>From around the globe. It's the cube with digital coverage of Veem on 2020 brought to you by beam >>Hybrid. This is Dave alotta and you're watching the cube tenuous coverage of on 20 it's the Veem online version. One of them course, we've had a pivot, the virtual, the large industry here. He's the CEO of IEM and Jim Kruger is the please marketing officer guys. I wish we were face to face. Okay. You know, this'll do so. Thanks for coming on. Yeah. Thanks. Thank you, Dave. Yeah. Thank you Dave. Glad to be here. Well, first of all, bill, I got to congratulate you it the first time. Really? We awesome. The okay. Blockbuster. So acquisition inside capital growth minded, awesome. Private equity. So congratulations on the new role and you know, best of luck. Hey, well, thanks. Very much greatly appreciated. Yeah. I've been with the team since founding in 2006. So it's a, well, it's a new role. It's, it's a good old, it's a good older team that we're very experienced with it. >>Uh, did you, you, you, you know, the, the good, the bad and the ugly and you know, where the skeletons are buried, you know where to go, okay. The ship. So we wish you the best. And then, you know, in the gym, I gotta ask you, I mean, everybody says, okay, it was really hard decision go to it. The virtual, he actually had no choice, but maybe the harder decision was, can we postpone or do we go forward? You guys chose to go forward. Uh, which I think is the right call. And I'd also think, it seems like you're taking the approach of, you know, we're not just going to try to plug the physical into the virtual. We're going to, I think about the halo effect. Yes. Discussion going, but maybe your thoughts on that pivot. Good. The virtual. Yeah. Yeah. It didn't take us too long to decide. >>And we, we felt, uh, rather than postponing it and, and trying to do a, a large event before the end of the year, which not really, really realistic. Uh, we decided to, uh, to go with the virtual and actually for just a month after, for the most part after, uh, um, what the real event was supposed to happen in Las Vegas. And, uh, yeah, we're really looking at it from, okay. Yeah. Keeping the discussion, going with our customers, keeping them updated. We're going to be highlighting some of the new releases that are going to be coming out, making some key announcements. Right. And it actually gives us an opportunity to draw in more of the crowd from around the entire globe. I think we have 148 different, uh, countries that are represented. Uh, so, um, Oh yeah, it's right. It's a, uh, I think a new platform and, uh, I think it's working very well so far. >>So bill, I, you know, you came into this, this role and immediately, okay. You have dealt with it pandemic I want to talk a little bit about, you know, how you're dealing with that. Um, and we'll get into maybe what you're seeing in your business, you know, the, in, in a way there's a silver lining here. Okay. Okay. It really kind of forces change. You said in your keynote, constant. Uh, but you know, you might have, you know, the business obviously very well and you might've had some gut feels as to where you want it, take it, but change is hard. Boy, everybody has. Okay. Now, so in a way that's sort of a, an accelerant change, your thoughts, what was your first move? Hello, coming into this pandemic. Yeah. Coming into the pandemic. It was one of making sure we understood. Well, what the issues were, getting people home and, and safe working environments. >>So big move was, was that some of our team had a desktop, so they did not have laptops. It made it a little more cumbersome multi-screen so it's really physical activity will move these people. So we moved our whole team, 4,300, about 1300 or so of those people were already, uh, our employees were already working out of their house. Uh, so the big move was let's get them home. Let's make sure they're efficient, good connectivity. And, uh, and with that, we were off and running. I don't believe we missed, uh, much of a beat at all. Considering we started this mid March, we were finishing our a first quarter, which came out right about on plan, which we were really excited about. Okay. It was a, that was the first move I would say. We make a few more to go, okay. The big first move I want to get. >>So I'm going to share some data with you guys. If you bring up the first slide, this is data from our data partner quarter, we go out and we talk customers. And this is a survey of over 1200 of practitioners, buyers, and they're about 120 or so Veeam was in there. And what I'm showing here is data though, the gray bar is data from a year ago, April 19 in survey, the blue bar is January, 2020. And the yellow bar is the April 19, uh, April 20 survey. It was taken right at the height of the lockdown. And, and what this is showing is yep. Customers that are spending more by the percentage of those customers that are doing business with them, the theme, and you can see it, the gray was 50%. It dropped slightly to January nods back up within the height of the lockdown. >>And so what you saw is that new adoptions and people spending more, I E more than 6% is actually, Oh, since, uh, the, the pandemic. Yeah. do you have a w or a bill rather? I'd like to start with you. I wonder if this is what you're seeing, kind of in your businesses, a little bit of an uptick, not all businesses, obviously we're seeing that the, it seems like yours is yeah. Our April was, uh, wow. Mmm. Just amazingly. So, and I think it allowed us to get transition out of the way at the end of March. Well, also closing the quarter, but yeah, we had a, um, we had a double digit gain in it. Hold on. It was extremely a nice way to start that the first month is second quarter. So that's exactly what we're seeing very positive and, you know, Mmm. >>I think that if we talk about Jim, some of the data that you showed in your keynote, you talked about some of the challenges that your, your data showed you guys. Yeah. This new survey. And we'll, we'll talk about that. The data protection. Okay. What stood out was cyber threats. The number one challenge came up and, and I often say that the lines, Queens security, cyber cyberspace, security, and data. Okay, good. And backup and recovery are really starting to blur you guys, aren't known as a cyber company, but increasingly people are thinking about data protection and backup recovery as part of their overall cyber strategy. Yeah. Yeah. I agree. And, and I think, um, you know, from, from our most recent release version 10, we built in some new capabilities around a ransomware protection and cybersecurity. So yeah, I would say those lines are blurring, but we're definitely not a security company. >>Uh, although as you mentioned, a backup definitely provides us security and customers want to be able to do yeah. Prior to putting things into production. And that's some of the, some of the new capabilities that we've provided our latest version. Well, I mean, and, and cyber obviously is, is expensive to become a board level topic as you well know, it has been here's the later on we're interviewing Gill Vega, who's your, your newly minted CSO. And you're, you're seeing that, that role, you know, expand, it's not just sort of off on the corner. Okay. It's its problem. Or it's this, the security sec ops teams problem. It really is. Yeah. Is it tongue in cheek is it's a team sport, but yeah. You really have to take a broader view of okay. Of cyber don't you and especially bill given something that you shared in your, a keynote talk, you shared some IDC data, you know, a five X increase in zettabytes over a seven year period. >>I think 33 and 2018 up to one 75, 25 and uptake in bets that IDC is probably low and that number. Okay. Yeah. Yeah. Probably low. Well, that's what we're saying. You know, you brought up a good point. It's a evolution into a much larger entity in protecting, I think, many more customers, well, over 375,000 customers, and that's bringing a vague on, or a CSO and a major step for us focus on external and internal. Okay. The threats that exist out there. So a major activity for us and bringing, 'em bringing Gil on. So you're right. Our gross, we think that's where it goes for growth continues to evolve. Uh, we have our customers, um, and what we're trying to make sure we do is we protect. Yeah. Talk about security. That's a little bit, little bit of that protect. Awesome. And then make sure they have access to their data and same with our employee count. >>What are we trying to do? Yeah. COVID-19 is that, we're trying to make sure we can your employees as well as make them yeah. Yup. In this whole process. Yeah. The cyber threats playing into the security. Well, bill staying on, on, on the, COVID a discussion for a minute, you talked in your, you know, what about, there were three things. Okay. the resource management security and governance and, and digital transformation all very relevant in the context of this. Yeah. My question is, can you add some color as to beam's role in those areas? Yeah. Well, clearly in the governance each have, that's built in our product. There's an orchestration on all the products, the offerings that we have, I think, right. Our primary concern, those does go back to go back protecting data and making it accessible. So, I mean, I think that's where it's most common place for us to see our focus has been, has been not security as Jim said, we're not a security. >>Yep. It's really availability data availability and its data availability. Wow. Okay. Uh, back to the hybrid class loud conversation that we, uh, we talked about is that, is that we want to be yeah. Yep. That make data available over hydro hybrid cloud. I think with the COVID-19 it's showing that the cloud base activities are going to be more critical. Cool. Uh, versus, um, in addition to right. Okay. Okay. So an answer that one. So Jim, I want to ask you about something you talked about in the keynote, which is the data protection report. I referenced it earlier. Tell us a little bit more about this, the study you guys. Yeah. You guys are like, I am, you love data. Okay. W what was that study all about and what were some of the key takeaways? Yeah. So just, just a few months back. So it's a fresh off the presses. >>Uh, we, um, I surveyed about 1500, uh, uh, it pros across the world and one to just get a good feel for where their head is, uh, what are some of the key concerns they have? Uh, and so we kind of bucket it into three, three key areas. Uh, one was around downtime threats. Uh, what you talked about, the, the security, uh, in ransomware threats is definitely top of mind, uh, for customers. Uh, we also, um, drill down a little bit into the move to the cloud and then also digital transformation. Uh, and what's clear is that, you know, I think in the past, you know, people thought that, um, you know, their most important data was the only data that needed active. And we're seeing, uh, some compression there relative to, uh, you know, customers thinking they need to do okay. It basically yeah. >>Protect all data. Uh, so, um, the, the difference between sort are the critical data and just normal data is really blending together. Uh, and so they're looking to, to drive efficiencies from that perspective. Uh, and, uh, and I think about 49% of the customers are backing up the cloud today. Uh, so a pretty good number. Uh, but that jumps to, I think, around 76. Yeah. Right. In two years, uh, of customers who believe that they'll be using the cloud as a, um, for backup and then on the digital transformation side of things. No, I don't think there's a company out there who doesn't have some sort of digital transformation initiative. Uh, but they are struggling a little bit, they're struggling, uh, with, um, uh, with, uh, the resources that they have that they have, and, and, uh, those resources being competent to, to really take the company's in a new direction because of a lot of those resources are focused on existing projects and keeping the business up and running. >>Uh, so that's a key area that we're, that they're looking to like free up resources, it's focused on digital transformation. And then we get into some of the benefits that they're seeing from that, uh, and so forth. So, yeah, it's a good all around report to really understand the state of the market. I want to stay on the survey for a minute if I can, and then have that bill tied into the property strategy. Mmm. W w one of the other things, the things that stood out was one of the, the blockers you will, uh, the customer sided, they said lack of skills. So, you know, right. A legacy it, or maybe that's technical debt yeah. As well, uh, and then budget constraints. And so, I mean, yeah. Kind, those are good blockers for you guys. You, you, you simplify, you know, the old yeah. Yes. Works. Mmm. You know, you've been amazing that maintaining relevance or whatever, 10 plus year old company. Yeah. You're right there with all the upstarts and the big portfolio companies. And then of course, budget constraints. I was talking to Anton earlier really focused on the economics. Okay. Protecting data, but maybe you could add some color. So those sorts of sure. Customers referenced. Okay. Because there challenges to moving forward. >>Yeah. Yeah. So, um, you mentioned one big one, which is skills. Uh, so I think, uh, training and education, it is definitely, certainly one of them. Uh, I think from, from beam's perspective, we, we definitely help in all of those areas because, uh, our, our solution is easy to use, uh, easy to manage, easy to deploy. Uh, and so when you look at the resources, Harrison does some of the legacy solutions that our customers have. They're typically able to save a significant amount on the budget side, insignificant amounts on the resources. They just don't simply don't need as many people, uh, to, uh, to operate a beam backup solution. So they can redeploy some of those resources into other areas, uh, which, uh, which has been definitely an attraction to them. You mentioned the IDC data and that bill talked about, but that's one of the reasons if you look back in the second half of 2019, we actually grew three times as fast as the market average. >>Uh, I think mainly because of that, and a lot of people are switching from their legacy over to, uh, to Vien because, because of those reasons. Yeah. So, well, bill, I want to tie that into it. The company's strategy you guys have been okay. I'm unapologetic about the core of which is backup. That was kind of, you know, obviously recovery is part of that. Okay. But, you know, there's a lot of discussion about data management trying to sort of, you know, expand the notion of the Tam and you guys obviously dissipate as well. Well, it's sort of three things yeah. Manage and transform. Well, some of the things that you guys talked about in, you know, but the core is protected. You're all about backup recovery, data protection. Okay. You know, the examples of that at GNC, for example, and some of the others do, you know, uh, discussions were all about protecting some of that for data, but then you get into management is that's sort of Tam expansion, if you will. >>And then the transform, you know, I think we, we, I think we get the, the protector pretty well. It's the managing transform that sometimes there's a little bit, yeah, horrible. Hey, the people, but I wonder if you could sort of add some, some texture to that. Yeah. Well, we've always had a very, yeah. Our focus has been on the protect side and the managed, transform is key pieces that we've added on, uh, over the time period. So playing that bigger Tamar, bigger markets. Yeah. A cloud data management market, it's his 30 plus billion dollar marketplace. So I think you'll see. Um, and that's where, we've where we've expanded. It was three 60. Bye. Alright. Protect category. So it is one of 'em moving on up into that, but we will stay. Huh? Okay. Yeah. Core piece of our business tech side, it's extremely important to us. >>We stay focused, it's allowed our development team just stay focused and bring forth Hmm. We believe peer to any of our competitors and, uh, yeah. Okay. Continue to move that way. So bill, I mean, Veem has always been known for punching above its wait glass. I mean, the, you know, the, the very clever naming of the company are you pronounced parties, et cetera, et cetera, et cetera. But now they a top dog now. So, uh, maybe the strategy is to continue to punch above the weight class. Yeah. Which would be a great thing. Although you're now a mainstream, you mean 375,000 customers. You're adding in a very, very rapidly pace. You're a big dog now. W what can we expect going forward from being well? Well, you know, a big piece of our change was our universal licensing. So we want to make sure, yeah. >>Those licensed portable, take them with you, be able to use them in a different way, uh, in different settings. So I think we'll work on, uh, always punching above our weight that was really started with our founders. Uh and Andre Bernoff. We, uh, clearly we're number one. People might not have believed that in the beginning, but yeah. We rate to it. So I think you'll see us with more products. Yeah. Innovation in that space. And, um, uh, and, and working very aggressively, too, take command to the multicloud environment. Well, you know, your business practices have always been pretty meeting edge and forward thinking. You mentioned the flexibility and from licensing, you know, that's something that, you know, you're, you're known for even partners when I talk to your partners. They, so yeah. You know, Veeam has made it very simple for us new business. I'm not sure worrying about, so much about who gets to paid, where they've sort of made that transparency. >>You get very high marks for that. And so there's a, yeah. You're known for your tech, you're known for that products. Yeah. But there's also some innovation on the, on the business model side as well. Isn't there. Yep. Absolutely. Our partners, the significant number of partners from what's this a long time. Uh, we do like to make sure that everybody in that the distribution channel and we are two tier distribution. Mmm profitability. Yeah. Keeping it simple, becomes more challenging. I think the larger you get yeah. Uh, very hard making it simple. And it takes some time, a little bit of, um, iteration for us. One of our core values, innovate, iterate to make it simple, to keep it that way. We want our partners to be, be comfortable working with us and making good economics and knowing that we're going to bring, we're going to bring that roadmap products, uh, and to them when we get our products ready and they are the products in the market place, that situation in the lab. >>Yep. We're going to work the first time we're going to work well for me. Sure. Well, Jim, I wanted to ask you about some of the customers that you referenced. Okay. I mentioned G GNC, you guys showed a video of that. That was pretty cool. Okay. It was interesting hero motor Corp. Oh. They don't call themselves a motorcycle company, but that's essentially what they are. And then, and then IBM cloud was really interesting to see them in there partner. There, there are customer, I guess. Hm, yup. Editor or one side of the house. So that was kind of an interesting example. Some of the customer takeaways I can share. Yeah. Yeah. So, um, when you look at GNC, uh, you know, some of the things that they referenced was, uh, you know, a, a six figure ROI over, over a three year period. Uh, and again, that was one of the key drivers as to why they went, went with him again, just more efficient. >>Um, and, uh, yeah, Hiro, motor Corp, very interesting. They're the world's largest a manufacturer of two wheel to wheel vehicles and they do produce the, and motorcycle every two seconds. Oh. And they produced over 90 million. So yeah, they're a large organization. I think they have closed. Okay. 10,000 employees, uh, and, um, VJ set the, who is, who is their CIO among other things that their company, um, yeah. Yay. Yeah. As, as you heard, he talks a lot about, uh, how they're managing through COVID-19 and he really is a big believer that number one, you got to take care of your people and make sure that they're safe and make sure that they're set up so that they can work from home and so forth. Uh, but then also really planning for not just managing through the crisis, but also recovery, uh, which, uh, which is really important. >>That was some of the advice that huh, that he gave of course, to a, to the attendees of been, which I think is really good advice. And then IBM cloud has been, yeah, been a great partner, uh, and the customer for, for quite some time, we're working very closely with them backup as a service they're leveraging kind of the full suite of products and getting great traction. And as, as we saw from some of the data, the backup as a service is going to continue to grow. Yeah. That'd be a great opportunity for both IBM and being more contained. Well, it's guys exciting time for you. I mean like many people, I, I bumped into Veeam at a V mug. Ooh, wow. That was, you know, years and years and years ago. And to watch your ascendancy, it has been a pretty astounding products, a very well run company, a good vision, uh, just awesome customer. >>So, so bill, you know, you're on deck, when we get to 2030. Yeah. What do you want this to look like? Uh, well, multi multibillion by 2030, that's a long way out. It'll be interesting in the transformation that is made and we'll see what happens really globally with, um, the whole work from home, how moves, how office space plays into it, product innovation and delivery. We think we're at the forefront back. It started in the virtualization space back in Oh six and, uh, for some really creative projects products, I think we'll continue to S it's extended to see that what's 2030 bring yeah. Multi-billion and we're going to continue to add employees throughout the world. We've got over 4,300 employees, right. You mentioned keynote, uh, that are in them, you know, a multitude of countries. And, uh, it's just an absolute, I'm thrilled to be part of M and M and, uh, help us work as a, uh, a family organization products. Well, we really had a great deal of okay. Following Veem and participating in the beam on, and I really appreciate you guys having us here at the, uh, the, the digital event, but thanks guys for coming on. Yeah. And sharing your insights. Great. Yeah. Thanks very much. Thanks. Thank you for watching the cubes. Continuous coverage of Veem on 2020, the virtual digital version. Keep it right there, right back. Great. The short break.

>> Narrator: From around the globe its theCUBE with digital coverage of Veeamon 2020, brought to you by Veeam. >> Hi everybody, this is Dave Vellante. We're here with a preview of Veeamon 2020. Danny Allan, CTO of Veeam, Danny I wish we were face to face, man, but great to see you online. >> Great to see you as well. This is the next best thing, right? >> It is, I mean, you know, Veeamon has been a great conference for the last several years, we've attended with theCUBE. But let's get into it. You know, COVID-19 obviously shifts to virtual, but there's a lot of things going on, I'm sure in your business, a lot of talk about business resiliency. How has the pandemic sort of affected Veeam and how you're managing the business? Well, it certainly impacted the entire industry. It actually, one of the interesting things that has happened, of course, is that you used to get on an airplane, fly to the customer, shake their hand, and close the deal. That obviously isn't happening. That's the external side of it. The internal side of it is, you know, everyone went into an office, we had a culture, especially in inside sales and support, people going into offices and obviously we had to close them. The downside is we lose some of that model that we've had in the past, but the upside, the bright side of this is we've been doing fantastic, in fact, the numbers that we have achieved are the same as if COVID-19 hadn't hit. Now, I attribute that to a few different things. One is that, you know, we have a broad spectrum of customers, 375,000 across all segments across all industries. And while it's still early in the year, who knows what's going to happen? What I can say is that from a business results standpoint, it's been good. From a product strategy standpoint, which is where I sit of course, it's actually been better than good because we actually have the opportunity to focus a little bit more, perhaps, than we have in the past to speaking to customers and delivering on things that are harder to do when you're on airplanes all the time. >> Well, I mean, we've been reporting on theCUBE that it's really a story of the haves and have nots. I mean, my take away there is had it not been for COVID-19, maybe the numbers would even be higher. At the same time, though, the whole, like I said, business resiliency, work from home, people really thinking about data protection has really come to the fore. So some of the other trends, obviously, that are tailwinds: cloud, data, the whole notion of multicloud. I'm sure we're going to hear a lot about this at the Veeamon virtual. >> Yeah, so as you know, our objective is to be the most trusted provider of backup solutions that deliver cloud data management. And so, there's a big focus on cloud where we certainly think of cloud, of course, as the big three hyper scalers of AWS, Azure, and Google, and you're going to hear announcements about all three of those and products that continue to enhance your capabilities there. But it's also our partners. We have in our virtual solutions lab, we actually have 30 partners there, but we have a huge stable, if you will, or partner ecosystem of Veeam cloud service providers, and we're excited that they're going to be there, as well. And we're highlighting some of their innovations. >> Yeah, I mean, we're dropping a breaking analysis this week on cloud. All three of those cloud suppliers you mentioned have a lot of momentum behind, you know, their businesses right now. Pandemics, not pandemics, but downturns have always been good for cloud and I think this is no change. So, give us a little, you know, glimpse as to what we're going to hear from a product standpoint at Veeamon 2020. >> Well a few different, exciting things. In the past, as you know, we launched Veeam backup for AWS, that was our first cloud native solution. We just recently launched Veeam backup for Microsoft Azure, and you're going to see iterations on those products demoed live on stage by the legendary Anton Gostev, and always the fan favorite Rick Vanover. So you're going to see demos of those. You're also going to see the first foray into partnerships with Google, as well, Google Cloud Platform. If you combine all those hyper scalers right now, they did, I think a little over 67 billion last year, in 2019, and obviously the compound annual growth rate is projected to go to 375 billion. So we're going to highlight some of the capabilities that we've introduced in the last few months and over the rest of 2020 with them. >> Well and you're right, you mean we just reported, we just saw, you know, first quarter earnings reports. You got AWS as a $38 billion business growing in the mid-30s. You got, you know, Azure and Google growing faster from a smaller base but still enormous, many many billions. You also have hands on labs. There's two days, June 17th and June 18th, so, you know, check it out, go sign up. But you've got hands on labs that you're bringing to the virtual experience. >> Yeah, so we're doing 20 break-in sessions, 10 live sessions, and that's exciting. But, actually, for the first time, and it was based on demand, we're doing what we call a Veeam-a-thon, and that's going to bring 20 to 30 live sessions where, actually, users can come and collaborate live with the experts. And one of the things about a virtual event, of course, is that this opens it up globally for people to come and register for free, but they can actually interact on an ongoing basis over those two days with the experts from Veeam. So, while some people are disappointed that we can't be there face to face, we're still going to have the legendary party, but we're also doing some of these Veeam-a-thons and live interactions, which is a new opportunity for us. I think it's exciting. >> Well you better make sure you have your auto scaling on. Danny, I'm seeing some of these virtual conferences get so many people. We just saw one on twitter with so much demand it went down. I'm sure you guys got your infrastructure together. So, bring us home. You know, why should I attend Veeamon 2020? >> Well, everyone knows Veeam for its high energy, its exciting conferences, lots of announcements. We have partners there with us on stage. This is taking it to the next level. We're taking that same conference that is exciting, lots of energy, we're doing it online, which brings it to a global market, and we're not decreasing the energy. In fact, we're still having that legendary party. We're still doing all those massive announcements. And so, this just is a next generation, I would argue, of where the industry is going. And we're excited to be there with our partners. >> So very exciting time for Veeam. Blockbuster Acquisition in January. Congratulations to Danny, to you, and very excited for Veeamon. Check it out, June 17th and 18th, a great thing, typical Veeam, right? It just works, you go there, it's not like a huge exam, just a few things you got to enter, email and a couple other things, boom, registration's simple. Danny thanks so much for helping us with this preview, really appreciate it. >> Thank you very much Dave, always a pleasure, and happy to speak with you. >> All right stay safe everybody, this is Dave Vellante for theCUBE and we'll see you next time. (Calm music)

>> Narrator: From around the globe, it's theCUBE. With digital coverage of VeeamON 2020. Brought to you by Veeam. >> Hi everybody, welcome back to VeeamON 2020. My name is Dave Vellante, and you're watching theCUBE's coverage of VeeamON. This is the first time we've done Virtual VeeamON. We've got the Veeam power panel, Bill Largent, CEO, Jim Krueger, the CMOs, Danny Allen who's the CTO and Senior Vice President Product Strategy. All have been on earlier, guys great to see you. Thanks for coming back and digging out of the power panel. Appreciate it. >> Good. >> Thank you Dave. >> I'm glad to be here. >> Thank you Okay, I want to start off, Bill, get a business update. We've so I talk a lot about COVID. We can go back to that, but you guys, as a private company, you divulge more information, than most private companies. And we appreciate that as an independent but guys, if you would bring up that one slide. You shared this publicly a little earlier. I mean, you guys are a billion in revenue now, 21% annual recurring revenue growth, 375,000 customers, 97% year on year increase in your universal license bookings. Everything seems to be happening, Bill. What what can you tell us? >> Well we had a great first quarter also that we kicked off where we had our transaction with insight venture partners, which right in the middle of that quarter, at the end of it, we had that activity that went on, that one might think would have disrupted the business, it didn't, we had our plan for Q1, really excited about that. We announced our growth saw that here recently. We're really pumped into our second quarter. We managed to transition everybody out of offices. We probably had 75% of our workforce move. Yeah, they did that. We had a fantastic April. We're having a very good May. So it's just a great start with a great customer base. So I'm really excited about it. >> Yeah, you mentioned insight. We obviously covered that and reported on that. Insight, they like growth, not like the old school private equity, suck money out. They want growth, they want options down the road (mumbles) Maybe it's a rule of 40 rule, the type of company. So that's got to be exciting for you guys and your employees. >> Yeah, I think it's pretty exciting. Few of us have been around the insight team since 2002. So a very well known group of individuals to us. They are focused in the software space and know the infrastructure space really well. My triple that hour our lead on the insight team and his his staff is that's a move into, as we move into it, stepping up and moving into our very revenue focus versus part of a total contract. But nice resource to have for things that we might want to do in the future related acquisitions. So we're really excited about it. >> I mean, if I'm in VC right now, I'm looking at SaaS, I'm looking and it's software, I'm looking for companies that have an annual recurring revenue model I'm looking for adopting of products and those kinds of of KPI's and you guys fit that bill Maybe a larger size and obviously in the early stage startup but that's kind of the profile of the the company that you want to invest in 2020s, isn't it? >> Absolutely, and I'd also say it's the kind of company we want to invest in, in the future as we go forward to bring in new technologies and expand markets. Addressable market back to comments, we had discussions on, what's it look like in 2030? And it's like, okay, those are we're heading. >> So Danny, Pat Gelsinger is famous on theCUBE for saying that, look, if you don't ride the waves, can it become driftwood. So what are the mega trends that you guys are riding today and that you're seeing in the future? We'll keep you ahead of the pack. >> Well, we clearly talk a lot about cloud data management. So act two for us is not just moving from perpetual licensing to subscription and evolving with American at a business level. It's also at a technical level. And so we invested heavily, as we demoed earlier today, Veeam backup for Office 365 version 5. An important point act two for us is not just product. There's also product delivery. That's version 5 of a release of a product to that came out three years ago. So the backup for office 365, we showed you Veeam backup for AWS. And you saw from Anton as well supporting Google cloud storage and supporting all of the major cloud providers. So for us to not just ride the wave, but actually be ahead of everyone else it's to embrace cloud data management and give the customers what they really need. >> Well, I think you guys are in a unique position too. I mean, if you guys obviously sell on-prem, but if you're they're an on-prem infrastructure company, really living on box margins you can talk the cloud talk, but it's not necessarily a tailwind for you guys? So Danny, how is cloud, right how cloud is it tailwind for Veeam versus some of the other legacy players, >> Well, Veeam has always been, we always highlight simple, flexible, reliable, but one of the, the parts of flexible of course, is where it's being software defined. And we've been software defined from the very beginning. And if you're in a world where you have to go take a box, plug it into the data center and rack and stack it and be there physically. You're not going to survive in this type of environment. So being software defined help us, not only when the data center, but to help our customers as they go through that evolution. On-prem too, maybe just storing backups in the cloud, actually running the workloads in the cloud and protecting there. >> Well, so Jim I want to turn it to you sort of thinking about the Veeam brand. we talked earlier about how you guys have always punched above your weight, famous parties and so forth, but now billion dollars now entering a new era. It's ironic that we're now doing virtual events. So no big giant party this year, but I feel like, I mean, you guys are what, 14-year old company now, and kind of grown up you three and your colleagues are bringing you lots of adult supervision. How should we think about the VeeamON or Veeam brand going forward? >> Yeah, no, I think the Veeam brand is critically important because there's just such a strong affinity and connection with customers. And I think one of the challenges as you get larger and go from 1 billion to 2 billion, a lot of companies miss the beat relative to staying connected to their customers. And that's something that we're putting a tremendous amount of focus on that first slide that you flashed up no 91% customer satisfaction, a 75 net promoter score, which is three and a half times industry average. I think our key to success is not only bringing great products, the market, but looking at the holistic picture relative to supporting customers and customer satisfaction, which is a key driver of the company. well, it will help us to continue to build on the brands and have the best brand in the market. >> Well, what I want to come back to is the marketing whiz in the panel. I mean, you think about digital. We feel like the world is going to be one in digital in the next a decade. I take the pick the GNC example. And you think about just even a term like customer relationship management, we all use CRM systems. I'm not sure I want a relationship GNC, but I do know this, I want a good deal, right. If they're going to make me an offer, I'm going to look at that and these other brands, that's digital that is having infrastructure and data That's obviously protected to be able to offer that at the right time, for the right customer, so that they can take advantage of it and have the right candles. I wonder if you could talk about what you see as a marketing pro just in terms of digital and that customer intimacy. >> Yeah so I think it it's a multifaceted, I think one of the key things that again Veeam does that's different than other companies is that we, we have a direct connection with our customers. So in our head of product management sends out an update every Sunday, and it goes into quite a bit of detail around sort of how to deploy this, how to deploy that. And really creating a digital journey for the customer from a marketing perspective, because yeah, like within any situation, you don't want to talk to a salesperson right off the back because you know, they're going to try to sell you. So you want to do something investigation, you need the contents and information to help you move along that journey until you get to the point where, okay, now it's time, I've kind of narrowed it down and I need to talk to someone to give me some more information. So I look at one of the key differentiators of Veeam is that digital experience which I think from the founding of the company that Rattler put into place has carried us forward. And when we continue to put a lot of focus on that digital experience, which I think gives us definitely a leg up on the competition. >> So bill, you got to place bets as the CEO. I'm interested in where you're placing bets. I mean, you've made some pretty substantial investments in your partner network. You've got some big names partners that are okay, you're moving a lot of products through those guys, obviously your heritage as a company is steep. And technical development you are very successful sales organization, but sir, where are you placing your chips on the table these days? And maybe especially in the context of this pandemic, if anything changed in your thinking. >> Yeah, well the bets will always be placed on the product side of it. That's a big, so your products. You go partners and you go our employees and those are the big bets that will make, what are we doing on the partner side we're continuing pretty aggressive activity and making sure these partners have a simpler place as I've discussed before to do business with them. It's more challenging the larger we get. But yeah, we'll keep that focus on. The product offering has been a again, always go back to any of our taglines. It just works, put us in the lab, we're going to win. We're going to win that technical decision a process. And then we're putting it up pretty big bets on our employee base, we're all over the world 4,300. The I think the decisions we have, like a lot of companies have moving forward are going to be, where are you going to work from? You're going to work from that home office. So you're going to combine it back into the office or are you going to not, you're just going to yeah. Do you're going to go back the way things are. I don't think that's going to happen at all. So take bets will always be on bringing good product to market like technical decisions. >> So let's, let's talk to Andy about the product. I mean, you've I saying you've grown up, you've gone from yeah relatively narrow portfolio to now expanding a lot of different use cases, many several different clouds on-prem hybrid, et cetera. How do you ensure it, Danny, from product standpoint That you don't just get a, a collection of point product, but you actually have a platform that even, for instance, your licensing model very easily. support that notion, how do you ensure that more of a platform, if you will, then just the, a bunch of selection of product, >> The answer to that would be focused maniacal focus. So it's interesting that you brought up licensing. So one of the things that we're very focused on is making that licensing can move across all these different types of infrastructure. So the universal license allows you to do that. You can move a workload from physical to virtual, to cloud, to back the application services call with a single license. But we also do that product level too. One of the interesting things that we've been focused on is it's something internally, we call it the Veeam integration platform that enables you to have a central common control playing across the entire organization. But yet you can deploy in the need of environments that make the most sense. So if you think about what we showed you earlier today with beam backup rate AWS, you're running on an interface that you deploy out of the AWS marketplace, but that product actually integrate back into Veeam availability suite. So that's true of being backup for AWS, Roger being backup from Nutanix. Every time we add a new one capability platform, whether it's fast or virtual or cloud, we make sure that it's still cause that central connection to the main control plane. And that's why we call this five data management, because it gives you that data management cross all of these different infrastructures. It's clearly not easy to do, but the focus that we have good on this result, then our customers, ultimately, >> So I want to ask you guys about culture, Jim, I start with you, I mean, a lot of people, obviously story averted, or asking this theme, still going to have parties you got your two founders and sort of set good. Ratt would always be right there in the mix lap. Last one to leave very hard charging and that's kind of steep in the Veeam culture, but I'm interested in, and if there's been any sort of discernible change, as you get bigger and bigger, how you were able to maintain that culture, what are some of the things that you want to keep, and maybe some of the things that you want to evolve. >> Yeah, no great question. And I think culture is I'm a big believer. Yeah. That culture can really differentiate a company in the marketplace and I think themes culture in the past has really done that effectively. And I think that's it shows in the success of the company. So I definitely see it as as my job, along with the rest of the executive team to continue to, to carry that torch forward. one of the things that I learned coming to Veeam was, was really winning the hearts and minds of the customers that you're serving. And so that can be anything from a party being totally open to your customers, listening to your customers, I've given them different channels to give you a feedback and just being a company that's easy to do business with. I think it's critically important. And those are some of the key things from a cultural perspective that's how we want to carry forward. You mentioned car charging, absolutely being aggressive in the marketplace. but bringing solutions to market really hit the sweet spot Relative to customer need, I think is again, one of the cultural pieces and that maniacal focus on customer satisfaction, which is absolutely key. >> So well, I wonder Bill, if you could comment, maybe in this context part of your job of course, is an expansion traditionally been a European based company moving So the US I'm curious as to what effect that will have both culturally and on Tam as well. You're extremely successful in, in overseas. Oh, of course, so there's maybe even more penetration within the US and obviously throughout the call, we've certainly talked a lot about cloud, but maybe your thoughts on it. >> Okay, Well, thanks very much. Hopefully you see no impact on culture, in the sense of our move from a European headquarters to a US headquarters. We definitely felt it important to bring it a us headquarters in place. We now have moved all us shareholders. our culture is really the built on core values that we develop back in 2012, that really the everything else branches off of innovate and iterate it's about everybody sells. We clearly add that yeah. A goal for everyone in the company and the fact that we also want to win. So we'll fight hard to win bringing it to the US okay. A lot of our competitors are based in the US we think we can even though we've got great numbers against all our competitors, we'll even bring the fight much harder. Now that we're in the United States as a headquarter place, change nothing else internationally, globally. >> So Danny, every I'll five or seven years or so Gartner or IDC or whomever without a service is that we just did a survey that yeah. X percent of the customers are going to rethink their backup strategies in the next 24 months. You see that literally every half a decade. so, well what's, what's the driving that now. I mean, certainly cloud is it which factor edge we're going to be talking about the edge for the how many years, and then, and it's really going to start to drive revenue at some point kind of like the cloud was 10 years ago. but so talk about how you guys sort of, are they relevant conversation and what customers should be thinking about in terms of those transitions? >> Well every customer says I'm going to reevaluate my backup solution every five or seven years, but the reality is what's happened. Yeah. Industry itself goes through transition. So we go from physical to virtual and as they go to virtual, for example, they say, Hey, I can't use my legacy providers. So I'm going to choose a new one. They choose Veeam. And then of course, we go to cloud and we're going to go to containers and we're going to go to edge. And every time he goes through those iterations, there is an opportunity for the next generation of platform to emerge. And so beam's focus here is to make sure that we're ahead of those trends to make sure we're thinking ahead of our customers. So right now, for example I spent an in order to in amount of time thinking about cloud and containers so that when the customer gets there, when they get the edge, when they get do all of these things, but they have a data management platform that protects them. And step one is always going to be the same. I always say the step one for every iteration of infrastructure is just ingest the data because you need to protect it. It's only after you protected and begin to manage it, be integrated into the business. Can you be into unleashed, but we go through this cycle over and over again. And ultimately it's the, the vendor, it's the partner that is most trusted, that wins as, as Jim alluded to our NPS scores for themselves, our customer base, right, sorry self our intimacy with the customers. Great. Awesome. So as long as we keep that close connection, then we think we're well positioned to the lead as we go through the next iteration of infrastructure. Okay. Let's talk about the competition, Danny. >> Let's stay with you. Okay. You've got some, well-funded not even startups anymore. Okay. Companies that are kind of going after the base, you've got a huge install base okay Of legacy companies. I mean, I think it's easier for, for some of those guys to attack sort of a box space, the solution, you guys are more software, but I'm sort of interested in take Danny on why the shiny new toys and that have obviously have momentum in the marketplace. >> Yeah, the shiny new toys, they come out with a solution that is very packaged up and black box. You can't actually customize it very much for the user need. And that's, we don't believe that that's going to work in the longterm. And the reason I say that, okay, the pandemic we're in, if you can't go into the data center to rack and stack a box, if you can't actually working with the infrastructure that's already in place, then you're not positioned to work well in the longterm. And, and so we have this unfair advantage we've been around for over a decade. We integrate with over 45 different storage vendors. That's not including the wild vendors all of our partners. And so we do have an unfair advantage with a history of all of these integrations, but that flexibility is really what our customers need. They don't want to be law into the data center. They don't know two, three years from now, their strategy might change. They might say, take the workload, moving to the cloud. And so if your whole focus is on selling your customers , something that I used them to their data center, that in itself is a challenge. And being software defined we're well positioned to make future for any evolutions that happened in America. Okay. So we're in a good place. I'm well, knock on wood, but I think we're going to keep going. >> Yeah. That's an interesting answer. Not one that I expected, but it's to make sense in the context with a QA we had with Andy Jassy a while ago. I was Kind of pushing them on the zillion APIs. And he basically had a similar answer. Obviously cloud services is different, but essentially saying, we don't know where the market's going. So we want to have very granular role at You're kind of a primitive level so that we have that flexibility and maybe there's a trade off sometimes just in terms of what you called out of the box, but it's a very handy Jessie like answer, it sort of strikes me. >> Well, it's certainly true that the customers don't know a year from now they've been using that hardware, but a year from now two years from now, we run into another market impediment. They might want that money back. They might want, you might want flexibility to expand into it, different geography or take advantage of the elasticity of the cloud and buying a piece of hardware. Just the very fact that you buy hardware that essentially ties you into that hardware, at least three years, probably being software defined, you can continue to reuse and leverage all the assets that you've already had committing to a lock-in period of time. >> So from a, from a marketing standpoint, Jim strategy, brand customer intimacy, what you're in. >> Well, Dan, you already talked a little bit about it in terms of kind of the, the three cornerstones, of how we think our simplicity, flexibility, and reliability. And as bill talked about when we get into now into a customer, and if they're testing us out trial and us out nine times out of 10, we're going to win because they see those three key things and those three key things we hear on a daily basis from our customers and how important that is. So we continue to build out on each of those the challenges, keeping it simple. And that's an area that we have to continue to focus on. but I think those are the key differentiators for us going forward. I think the flexibility piece is the integration with all the storage, our ecosystem of partners. Well, we have I think close to 40 partners that are sponsoring the Amman here. so that's a, that's a key differentiator because we work with basically everybody we're agnostic. and again, just easy to do business with an, a true partner. >> I got it. I got one more question for Danny, and then I want to ask bill to close, but okay. Guys, feel free to chime in on this one as well. But some of the things we haven't talked about about money , Danny containers, protecting containers the edge these are all sort of emerging opportunities. I know you've got some, yes, on the container side, the edge is early days. There's whole new models of computing potentially a lot of data going to be, we created, okay. Unclear how much is going to have to be persistent, but certainly would that much data the IDC forecasts, a lot of it's going to have to be. So your thoughts on some of those other emerging trends that we haven't talked. >> Well, the key to this segment of America are our partners Trust us. We're thinking about this ahead of when they will actually need it. And you're right. I think we're early days in containers. I think we're early days in edge. We don't know we have a partner ducks unlimited where they're storing data for 60 years. Use it from IOT sensors, keep it for 60 years because they don't know in the future, if that data is going to be relevant. And so our focus is to make sure that we're ahead of our customer base in terms of thinking of it, and then making sure that our platform supports what they need as they need it. You want to be careful about going too far in advance. Sometimes in the industry you hear about people who are talking about magic 60, Dustin's solving Crazy problems that our customers don't actually have. We're very pragmatic. We want to make sure that problems that we're addressing that are platform fundamentally addresses where they are today. And then also be in those discussions with them about where they're going to be tomorrow. >> Well, maybe some of that magic pixie dust go into the COVID vaccine. That would be good. They'll bring us home. So the virtual forklifts are breaking down, came 20, 20. What are the big takeaways from Europe? Your first VeeamON as CEO, but what are the big takeaways as the virtual trucks are pulling away? >> Yeah. Thanks very much for asking that question. We you know, we did do our first VM on, in 2014, and I can still remember when Ratner came to, I mean, let's do this. And it's like, Oh, you've got it. Excuse me. This is going to cost a fortune. So why would we ever end? And then he's obviously a right. It continues to be right. So I hate the story about Veeam is gross. And when you're growing, you got funds available. People interested you to innovate. You mentioned containers. Danny did also at Kubernetes and we've got our forensic cast and that are here with us. And yeah, those are all important relationships and will continue to develop relationships and . But why Veeam we've supported, we've got great customers for it. We have a gross engine, we're going to continue that we don't plan on being comfortable with where we are. We'll continue to enter in, go after it. Additional Tam, but we'll also take care of that core base we came from. So I'm really excited about, we had a lot of yep. A lot of great breakout sessions. I keep right. Okay. K was on, there was a lot of great ones. I did like the one though. And it was like, fall in love with tape all over again. So when I first saw that they brought it, I went running from my age, correct tapes and my John Fogarty NCCR I've found one. so had to get readjusted to not. So in any event, I do think, Nope. We like to have a lot of fun. You'll see that we get back See where we go as far as the virtual versus an onsite in the future, we landing on site when, and if so, you'll, and you're there you'll, you will be at the party. >> Yeah, indeed. And I, but I do think there's going to be some learnings that we carry forward and I think for awhile and maybe even perfect quite a long time, there'll be some kind of hybrid going on with the seem to live in a hybrid world. Guys thanks so much for coming to theCUBE and making this a successful power panel. It was really a pleasure having you. >> Great. >> Thanks for having me. >> Thanks. >> Thank you for watching everybody. This is Dave Vellante for theCUBE. Keep it right here. There are tenuous coverage, the VeeamON 2020, right back. (slow instrumental music)

>> From around the globe, it's theCUBE, with digital coverage of VeeamON 2020, brought to you by Veeam. >> Hi, everybody, welcome back to theCUBE's ongoing coverage of VeeamON 2020, it's Veeam online 2020. I'm Dave Vellante. And Rick Vanover's here, he's the senior director of product strategy at Veeam. Rick, it's always a great pleasure to see you. I wish we could see each other face-to-face. >> Yeah, you know it's different this year, but yeah, it is always great to be on theCUBE. I think in 2018, it had a eight-year gap and a couple of times we've been back since, and yeah, happy to be back on theCUBE. >> So how's it going with you guys with the online format? Breakouts are big for you 'cause you're profiling some new products that we're going to get into. How's it all working for you? Well, it's been different. It's a good way to explain it in one word, different. But the reality is, I have a, pardon the language, a side hustle here where at Veeam, I've worked with the event team to bring the best content, and for the breakouts, it's an area that I've been working a lot with our speakers and some of our partners and external experts, users, and people who have beaten ransomware and stuff like that. But I've worked really hard to aggregate the content and get the best blend of content. And we kind of have taken an interesting approach where the breakouts are that library of content that we think organizations and the people who attend the event really take away the most. So, we've got this full spectrum from R&D deep level stuff to just getting started type of stuff, and really all types of levels in between. We want the breakouts to focus on generally available products, right? So I've worked pretty diligently to bring a good spread across the different products. And then a little secret trick we're doing is that into the summer, we're going to open up new content. So there's this broadcast agenda that we've got publicized, but then beyond that we're going to sneak in some new content into the summer. >> Well, I'm glad you're thinking that way, because what a lot of people are doing, they're just trying to take their physical events and mirror it to the digital or the virtual, and I think so often with physical events, people forget about the afterglow, so I'm glad you guys are thinking about it upfront. >> Yeah, it has to be a mechanism, that we've used it a couple of different ways. One to match how things are going to be released, right? 'Cause Veeam, we're always releasing products across the different set. We have one flagship product, but then the other products have their own cycles. So if something works well for that, we'll put it into the summer library. And then it's also a great opportunity for us to reach deep and get some content from people that we might not have been able to get before. In fact, we had one of our engineers who's based in Australia, and great resource, great region, strong market for us, but if we were to have the in-person at that, I can't bring somebody from Australia for one session. But this was a great way to bring her expertise to the event without having the travel burden and different variety of speakers and different varieties of content. So there's ways that we've been able to build on it, but again, the top level word is definitely different. But I feel like it's working for sure. >> So, Rick, give us the helicopter view of some of the product areas that we should really be aware of as it relates to what you guys are doing at VeeamON 2020, and then we'll drill in. Give us the high level though. >> So for people attending the event online, my advice really is that we're spread across about 75 to 80% of the content is for technical people. 20% of the content in the breakouts is going to be for decision-makers or executives, that type. And then within the context of the technical content, we want to have probably 10 to 15% be presenters from our R&D group, so very technical low-level type discussions, highest level architect type stuff after that. Generic use case is a nice in-the-middle area, because we have a lot of people that are getting started with our products, so like maybe they're new to the Office 365 backup or they're new to backing up natively in the cloud. We have a lot of context around the virtual machine backup and storage integration and all those other great things, but when the platform is kind of spread out at Veeam, there's a lot to take in. So the thought is wherever anyone is on their journey with any of the products, and that's a hard task to do with a certain number of slots, we want to provide something for everyone at every level. So that's the helicopter view. >> So let me ask you a couple of followups on that. So let's start with Office 365. Now, you guys have shared data at this event, talking about most customers just say, "Oh, yeah, well, I trust Microsoft to do my backup." Well, of course, as we well know, backup is one thing (chuckles) but recovery is everything. Explain the value that you guys bring. Why can't I just rely on the SaaS vendor to do my backup and recovery? >> Well, there's a lot to that question, Dave. The number one thing I'll say is that at Veeam, we have partnerships with Microsoft, VMware, HPE, all the household brands of IT, and in many of these situations, we've always come into the market with the platform itself providing a basic backup. I'll give Windows, for example, anti-backup. It's there, but there's always a market for more capabilities, more functionality, more portability. So we've taken Office 365 as a different angle for backup, and we lead with the shared responsibility model. Microsoft as well as the other clouds make it very clear that data classification and that responsibility of data, that actually sits 100% with the customer. And so, yes, you can add things to the platform, but if we have organizations where we have things like, I need to retain my content forever, or I need a discovery use case, and then if you think about broader use cases, like OneDrive for business data, especially with the rapid shift of work from home, organizations may now be not so much using the file server, but using things like OneDrive for Business for file exchanges. So, having the control plane open that data is very important, so we really base it on the shared responsibility. And Microsoft is one of our strongest partners, so they are very keen for us to provide solutions that are going to consume and move data around to meet customer needs in the cloud and in the SaaS environment for sure. So, it's been a very easy conversation for our customers and it's our fastest growing product as well. So this product is doing great. I don't have the quarterly numbers but we just released in the mid part or the Q4, we just released the newest release, which implemented object storage support, so that's been the big ask for customers, right? So that product's doing great. >> Yeah, so that notion of shared responsibility, you hear that a lot in cloud security. You're applying it to cloud data protection, which you know security and data protection are now, there's a lot of gray area between them now. And I think security or data protection is a fundamental part of your security strategy. But that notion of shared responsibility is very important and one that's oftentimes misunderstood because people hear, oh, it's in the cloud, okay, my cloud vendor's got it covered. But what does that shared responsibility mean? Ultimately, isn't it up to the customer to own the end result? >> It is, and I look at especially Microsoft. They classify their software four different ways, on-prem software, software as a service, infrastructure as a service, and I forget whatever the third one is, but they have so many different ways that you can package their software, but in all of them, they put the data classification for the customer. And it's the same for other clouds as well. And if I'm an organization today, if I'm running data in a SaaS platform, if I am running systems in IAS platforms, in the hyperscale public clouds, that is an opportunity for me to really think about that control plane of the data, and the backup and restore responsibility, because it has to be easy to use. It has to be very consumable so that customers can avoid that data loss or be in a situation where the complexity to do a restore is so miserable that they may not even want to go do it. I've actually had conversations with organizations as they come to Veeam, that was their alternative. Oh, it's just too painful to do, like, why would you even do that? So that shared responsibility model across the different data types in the cloud and on-prem as well and SaaS models, that's really where we find the conversations go pretty nicely. >> Right, and if it's too complicated, you won't even bother testing it. So, I want to ask you something about cloud data. You mentioned cloud native capabilities, and I'm inferring from that, that you basically are not just taking your on-prem stack and shoving it into the cloud. You're actually taking advantage of the native cloud services. Can you explain what's going on there, and maybe some product specifics? >> Sure, so Veeam has this reputation of number one VM backup. I'm here in my office, I have posters from all over the years, and somewhere down here is number one VM backup. And that's where we cut our teeth and got our name out there. But now if you're in Azure, if you're in Amazon, we have cloud native backup products available. In fact, the last time you and I spoke was at Amazon re:Invent where we launched the Amazon product. And then last month, we launched the Azure product, which provides cloud native backup for Azure, and so now we have this cloud feature parody, and those products are going to move very quickly. As well, we've had this software as a service product for Office 365 where we keep adding services. And we saw in the general session, we're going to add protection for a new service in Office 365. So we're going to continue to innovate around these different areas, and there's also another cloud that we announced a capability for as well. So the platform at Veeam, it's growing, and it's amazing to see this happen, 'cause customers are making cloud investments and there's no cloud for all. So some organizations like this cloud, that cloud, or a little bit of these two clouds combined. So we have to really go into the cloud with customer needs in mind, because there's no one size fits all approach to the cloud, but the data, everybody knows how important that is. >> To that end though, each cloud is going to have a set of native services, and you've got to develop specific to that cloud, right, so that you can have the highest performance, the most efficient, the lowest cost data protection solution backup and recovery possible. Taking advantage of those native cloud services is going to be unique for each cloud, right? 'Cause AWS' cloud and Azure cloud, those are different technically underneath. Is that right? >> You're absolutely right, and the cost models have different behaviors across the clouds. In fact, the breakout that I did here at the event with Melissa Palmer, those who are interested in the economics of the cloud should check that out, because the cloud is all about consuming those resources. When I look at backup, I don't want backup to be a cost-prohibitive insurance policy, basically. I want backup to be a cost-effective, yet resilient technology that when we're using the cloud, we can kind of balance all these needs. And one of the ways that Veeam's done that is we've put in cost estimators, which it's not that big of a flashy part of the user interface, but it's so powerful to customers. The thought is if I want to consume infrastructure as a service in the cloud, and I want to back up via API call snapshots to EC2 instances only, nice and high performance, nice and fast, but the cost profile of that if I kept them for a year is completely different than if I used object storage. And what we're doing with the Veeam backup for Azure and Amazon products is we're putting those numbers right there in the wizard. So you could say, "Hey, I want to keep two years of data, "and I have snapshots and I have object storage," totally different cost profiles, and I'll put those cost estimates in there. You could make egregious examples where it'll be like 10 and 20 x the price, but it really allows customers to get it fast, to get it cost-efficient, and more importantly at the end of the day, have that protection that they need. And that's something I've been trying to evangelize that this cost estimator is a really big deal. >> It provides transparency so that you're going to let the business drive sort of what the data protection level is, as opposed to sort of whether it's a one-size-fit-all or you're under-protected or over-protected and spending too much. I ask Anton, "How do you prioritize?" Basically his answer was we look at the economics. And then ultimately you're giving tools to allow the customer to decide. >> Yeah, you don't want to have that surprise cloud bill at the end of the month. You don't want to have waste in the cloud, and Anton's right, the economics are very important. The modeling process that we use is interesting. I had a chat with one of the product managers who is basically in charge of our cloud economic modeling, and to the organizations out there, this is a really practical bit, is think about modeling, think about cloud economics, because here's the very important part. If you've already implemented something, it's too late. And what I mean by that, the economics, if they're not right when you implement it so you're not modeling it ahead of time, once you implement, you can monitor it all you want, but you're just going to monitor it off the model. So the thought is this is all a backwards process. You have to go backwards with the economics, with the model, and then that will lead you to no surprises down the road. >> I want to ask you about the COVID impact generally, but specifically as it relates to ransomware, we've had a lot more inquiries regarding ransomware. There's certainly a lot more talk about it in the press. What have you seen specifically with respect to ransomware since the pandemic and since the lockdown? >> So that's something that's near and dear to my heart. On the technology team here at product strategy, everyone has a little specialization, industry specialization. ransomware is mine, so good ask. Whew, so the one thing that sticks out to me a lot is identifying where ransomware comes in, and I have one data point that indicated around 58 or so percent of ransomware comes in through remote desktop. And the thought here is if we have shifted to remote access and new working models, what really worries me, Dave, is when people hustle, when people hurry. And the thought here is you can have it right or you can have it right now. In mid-March, we needed to make a move right now. So, I worry about incomplete security models, people hurrying to implement and maybe not taking their security right, especially when you think about most ransomware can come in through remote desktop. I though phish attacks were the main attack vector, but I had some data points that told me this. So I have been, and I just completed a great white paper that those watching this can go to veeam.com and download, but the thought here is I just completed a great white paper on tips to beat ransomware, and yes, Veeam has capabilities, but here's the logic, Dave. I like to explain it this way. Beating ransomware, and we had a breakout that I recorded here at the event and encourage everyone to watch that, I had two users share their story of how they beat ransomware with Veeam, two very different ways, too. Any product is or is not necessarily ransomware-resilient. It's like going through an audit. What I mean by that is people ask me all the time, is Veeam compliant to this standard or that standard? It's 100% dictated how the product's implemented, how the product's audited. Same with ransomware. It's 100% dictated on how Veeam is implemented and then what's the nature of the exploit. And so I break it down into three simple things. We have to educate. We have to know what threats are out there, we have to know who is accessing what data, and then the big part of it is the implementation. How have we implemented Veeam? Are we keeping data in immutable buckets in the cloud? Are we keeping data with an air gap? And then three, the remediation. When something does happen, how do we go about solving that problem? I talked to our tech support team who deals with it every day, and they have very good insights, very good feedback on this phenomena, and that they've helped me shape some of the recommendations I put in the paper. But yeah, it's a 30-page paper. I don't know if I can summarize it here. It's a long one for me, but the threat's real, and this is something we'll never be done with, right? I've done two other papers on it, and I'm going to have another one soon after that. But we're building stuff into the product, we're educating the market, and we're winning. We're seeing like I had the two customers beat ransomware, great stories. I think I learn so much hearing from someone who's gone through it, and that you can find that in the VeeamON broadcast for those attending here. >> Well, you touched on a couple. Take advantage of the cloud guys who have these immutable buckets that you can leverage. A lot of people don't even know about that. And then, like you say, create an air gap, and presumably there's best practice around how often you write to that bucket and how often you create that air gap. You maybe change up the patterns, I don't know, other thoughts on that. >> Well, I collectively put, I've created a term, and nobody's questioning me on it yet, so that's good, but I'm calling it ultra-resilient storage. And what I'm referring to is that immutable backup in the cloud. It becomes a math calculation. If you have one data point in there, that's good, but if you had a week's worth of data points, that's better. If you had a month's worth of data points, that's even better. But of course, those cost profiles are going to change. Same thing with tape, tape's an air gap, removable media, and I go back and forth on this, but some of the more resilient storage snapshot engines can do ultra-resilient techniques as well, such as like Pure Storage SafeMode and NetApp SnapVault. And then the last thing is actually a Veeam technology that's been out for, I don't know, three or four years now, insider protection, it's a completely out-of-band copy of backup data that Veeam Cloud Connect offers. So my thought here is that these ultra-resilient types, those are the best defense in these situations. It becomes a calculated risk of how much of it do I want to keep, because I want to have the most restore options available, I want to have no data loss. But I also don't want it old. There's a huge decline in value of taking your business back a year ago, because that's the last tape you had, for example. I want today's or yesterday's backup if I'm in that type of situation. So, I go through a lot of those points in my paper, but I hope that those out there fighting the war on ransomware have the tools. I know they have the tools to win with Veeam. >> Well, it's like we were talking about before, and ransomware is a really good example of the blurring lines between security and backup and recovery, of course. What role do analytics play in terms of providing transparency and identifying anomalous behavior in the whole ransomware equation? >> Well, the analytics are very important, and I have to be really kind of, be completely transparent. Veeam is a backup company. We're not a security tool. But it's getting awfully close. I don't want to say, the long form historical definition of IT security was something around this thing called a CIA triad, maintaining confidentiality, integrity, and availability of data. So, security tools are really big on the confidentiality and integrity side of it, but on the availability side, that's where Veeam can come in. So the analytics come in to our play pretty naturally. Veeam has had for years now an alarm that detects abnormal behavior in regards to CPU usage and disk write IO. If there's both of those are abnormally high, that is what we call possible ransomware activity. Or if we have a incremental backup that is like 100% change rate, that's a bad sign, things like that. And then the other angle is, even on PC's desktops, like this computer I'm talking to you now on, we have just simple logic of once you take a backup, eject the drive so it's offline, right? So analyzing where the threats come from, what kind of behavior they're going to have, when we apply it to backup, Veeam can have these builtin analytic engines that are just transparently there for our customers. There's no deep re-education necessary to use these, but the thought is we want a very flexible model that's just going to provide simple ease of use and then allow that protection with the threatscape to help the customers where we can, because no two ransomware threats are the same. That's the other thing. They are so varied in what they do, everything from application specific to files, and now there's these new ones that upload data. The ransom is actually a data leak. They're not encrypting the data, the ransom is take down potentially huge amounts of data leakage. So all kinds of threat actors out there, for sure. >> You know, the last line of questioning here, Rick, is I've said a number of times, it's ironic that we're entering this new decade and this pandemic hits. Everybody talks about the acceleration of certain trends, but if you think about the trends, last decade, it's always performance and cost, we talked a lot of granularity, we talked about simplicity, you guys expanded your number of use cases, the support, the compatibility matrix if you will. All those things are sort of things that you've executed on. As you look forward to this coming decade, we talked about cloud. I mean, we were talking about cloud back in 2008, 2009 timeframe, but it was a relatively small portion of the business. Now everybody's talking cloud, so cloud, cloud native, the whole discussion on ransomware, and being broad, our business resiliency. Digital transformation, we've been given lip service in a lot of cases to digital transformation. All of a sudden, that's changed. So as you pull out the telescope and look forward to the trends that are going to drive your thinking and Veeam's decision making, what do you look toward? >> Well, I think that Veeam is laser-focused on four things. Backup solutions for cloud, workloads, and there's incredible opportunity there, right? So yes, we have a great Azure story, great Amazon story, and in the keynote we indicated the next cloud capability, but there's still more, there's more services in the cloud that we need to go after. There's also the SaaS market. We have a great Office 365 story, but there's other SaaS products that we could provide a story for. And then the physical and virtual platforms, I mean, I feel really confident there. We've got really good capabilities, but there's always the 1% and what's in the corner, and what's the 1% of the 1%? And those are workloads we can continue to go after. But my thought is, as long as we attack those four areas, we're going to be on a good trajectory to deliver on that promise of being that most trusted provider of cloud data management for backup solutions. So, my thought here is that we're going to just keep adding projects, and it's very important to make it sometimes a new product. We don't want to just bolt it on to Backup and Replication V11 or V10 for that matter, because it'll slow it down. The cloud native products are going to have to have their own cadence, their own independent development cycles, and they're going to move faster, 'cause they'll need to. So you'll see us continue to add new products, new capabilities, and sometimes it'll intermix, and that's the whole definition of a platform, when one product is talking to another, from a management side, a control plane, giving customer portability, all that stuff. So we're just going to go after cloud virtual/physical SaaS and new products and new capabilities to do it. >> Well, Rick, it's always a pleasure talking to you. Your home studio looks great, you look good, but nonetheless, hopefully we'll be able to see each other face-to-face here shortly. Thanks for coming on. >> Thank you, Dave. >> All right, and thank you for watching, everybody. It's Dave Vellante and our continuous coverage of VeeamON 2020, the online version. We'll be right back right after this short break. (upbeat music)

(upbeat music) >> From around the globe, it's theCUBE. With digital coverage of VeeamON 2020. Brought to you by Veeam. Everybody, we're back. This is Dave Vellante, and you're watching theCUBE's continuous coverage of VeeamON 2020. Veeam Online 2020. And Danny Allen is here, he's the CTO and Senior Vice President of Product Strategy and he's joined by Anton Gostev, who's the Senior Vice President of Product Management. Gentlemen, good to see you again. Wish we were face-to-face, but thanks for coming on, virtually. >> Thanks Dave for having us. >> Always love being on with you. Thank you. >> So Danny, I want to start with you. In your keynote, you talked to, about great quote by Satya Nadella. He said "We basically compress two years of digital transformation in two months." And so, I'm interested in what that meant for Veeam but also specifically, for your customers and how you help. >> Yeah, I think about that in two different ways. So digital transformation is obviously the word that he used. But I think of this a lot about being remote. So in two months, every organization that we're ourselves included, has gone from, in person operations going into the office doing things to enabling remote operations. And so, I'm working from home today, Anton's working from home today. We're all working from home today. And so remote operations is a big part of that. And it's not just working from home, it's how do I actually conduct my operations, my backup, my archiving, my hearing, all of those things remotely. It's actually changed the way organizations think about their data management. Not just operations from the sense of internal processes, but also external processes as well. But I think about this as remote offering. So organizations say, "How can I take where we are today "in the world and turn this into competitive advantage? "How can I take the services that I offered today, "and help my customers be more successful remotely?" And so, it has those two aspects to it remote operations, remote offerings. And of course, all driven by data which we backed. >> So Anton, you know there's a saying "It's better to be lucky than good." And I say, "It's best to be lucky and good." So Danny was talking about some of the external processes, a lot of those processes were unknown. And people kind of making them up as they went along, with things that we've never seen before. So, I wonder if we could talk about your product suite, and how well you were able to adapt to some of these unknown. >> Well it's more customers using our product in creative ways. But, one feedback we got most recently in our annual user survey is that like, one of the customers was using tape as the off-site backups. And they had a process where obviously someone had to physically come to the office, pick up the exporter tapes and put them on the truck and move them some off-site location. And so this basically, the process was completely broken with COVID because of lockdown. And in that particular country, it was a stricter on the ground than in most and they were physically unable to basically leave the home. So they basically looked at, Luckily they upgraded already to version 10. And they looked at what version 10 has to offer. And then we're able to switch from using tape to fully automating this off-site backup and going directly to the public cloud to object storage. So, they still have the same off-site backups that, effectively air-gapped because of the first house you provide in virtual time for mutable backups. As soon as they created that they automatically ship to object storage, completely replacing this manual off-site process. So I don't know how long it will take them, if not COVID, to move to this process. Now they love it because it's so much better than what they did before. That's amazing. >> Yeah I bet, there's no doubt. That's interesting, that's an interesting use case. Do you see, others use cases that popped up. Again, I was saying that these processes were new. I mean, and I'm interested in from a product standpoint, how you guys were able to adapt to that. >> Well, another use case that seems to be on the rise is that the ability for customers to deploy the new machines to procure new hardware is severely limited now. Not only their supply chain issues, but also again, bring something into your data center. You have to physically be there and collaborate with other workers and doing installing the, whatever new hardware you purchase. So, we see a significant pick up of the functionality where that, we had in the product for a while, which we called direct resorts to cloud. So we support taking any backup, physical virtual machine. And restoring directory into cloud machine. So we see really the big uptick of migration, maybe a lot of migrations, maybe, not necessarily permanent migrations, but when people want to basically this, some of the applications start to struggle on their sources and they're unable to update the underlying hardware. So what they do is that they schedule the downtime, and then migrate, restore that latest backup into the cloud and continue using the machine in the cloud on much more powerful hardware. That's a lifesaver for them obviously in this situation. >> Yeah so the cloud, Danny is becoming a linchpin of these new models. In your keynote you talked about your vision. And it's interesting to note, I mean, VeeamON, last year, you actually talked about, what I call getting back to the basic of, backup, you kind of embrace backup, where a lot of the new entrants are like, "No no backup's, just one small part, it's data management." And, so I'd love to get your thoughts on that. But the vision you laid out was, backup and cloud data management. Maybe you could, unpack that a little bit. >> Yeah, the way I think about this is step one, in every infrastructure, it doesn't matter whether you're talking about on-prem or in the cloud. Step one is, to protect your data. So this is ingesting the data, whether be backup, whether it be replication, whether it be, long term retention. We have to do that, not only do we have to do that, but as you go to new cycles of infrastructure, it happens all over again. So, we backed up physical first and then virtual, and then we did, cloud and in some ways, containers we're going towards, we're not going backwards but people who are running containers on-prem so we always go back to the starting point of protect the data. And then of course, after you protect it then you, want to effectively begin to manage it. And that's exactly what Anton said. How do you automate the operational procedures to be able to make this part of the DNA of the organization and so, it doesn't matter whether it's on-prem or whether it's in the cloud, that protection of data and then the effective management and integration with existing processes, is fundamental for every infrastructure and will continue to be so into the future, including the cloud. And it's only then when you have this effective protection and management of it, can you begin to unleash the power of data, as you look out into the future, because you can reuse the data for additional purposes, you can move it to the optimal location, but we always start with protection and management of the data. >> So Anton, I want to come back to you on this notion of cloud being a portion of that, when you talk about security people say you layer, how should we think about the cloud? Is it a another layer of protection? And then Danny just said, "It doesn't really matter whether it's on-prem "or in the cloud, it well, it doesn't matter "if you can ensure the same experience." If it's a totally different experience well then it's problematic though. I wonder if you could address, both the layers. Is cloud just another layer and is the management of that, actually, how do you make it, quote, unquote, "Seamless"? I know it's an overused word, but from a product name? >> Well, for larger customers, it's not necessarily a new challenge, because it's rare when the customer had a single data center. And they had this challenge for always. How do I manage my multiple data centers with a single pane of glass? And, I will say public cloud does not necessarily mean that some new perspective in that sense. Yeah, maybe it even makes it easier because you no longer have to manage the physical aspect, the most important aspect of security, which is physical security. So someone else manages it for you and probably much better than most companies could ever afford. In terms of security answer, so then data center. But as far as networking security and how those multiple data centers interact with each other, that's essentially not a new challenge. It is a new challenge for smaller customers for SMBs that are just starting. So they have their own small data center, small world and now they are starting to move some workloads into the cloud. And I would say the biggest problem there is networking and VeeamON, sure provides some free tools to call Veeam PN to make it easier for them to make this step of, securing the networking aspect of public cloud and the private property also that they are in now as workloads move to the cloud, but also keeping some workloads on-prem. >> The other piece of cloud Danny, is SaaS. You weren't the first you were one of the first to offer SaaS back up particularly for Office 365. And a lot of people just, I think, rely on the SaaS vendor, "Hey, they've got me covered. "They've got me backed up", and maybe they do have them backed up, but they might not have them recovered. How is that market shaping up? What are the trends that you're seeing there? >> Well, you're absolutely right Dave. That the, focus here is not just on back up, but on recovery, and it's one of the things that Veeam is known for we don't just do the backup, but we have an Explorer for Exchange , an Explorer for SharePoint, an Explorer for OneDrive. You saw on stage today we demoed the Explorer for Microsoft Teams. So, it's not just about protecting the data, but getting back the specific element of data that you need for operations. And that is critically important. And our customers expect to need that. If you're depending on the SaaS vendor themselves to do that, and I won't, be derogatory or specific about any SaaS vendor, but what they'll often do is, take the entire data set from seven days ago, we'll say, and merge it back into the current data set. And that just results in, a complete chaos of your inbox, if that's what they're merging together. So having specific granularity to pull back that data, exactly the data you need when you need it, is critical. And that's why we're adding it, and the focus on Microsoft Teams now obviously, is because, as we have more intellectual property, in collaboration tools for remote operations, exactly what we're doing now, that only becomes more critical for the business. So, when you think about SaaS for backup, but we also think about it for recovery. And one thing that I'll credit Anton and the product management team for, we build all of this in-house, We don't give this to a third party to build it on our behalf because you need it to work and not only need it to work, but need it to work well, that completely integrated with the underlying cloud data management platform. >> So Anton, I wonder if I could ask you about that. So, from a recovery standpoint, there's one thing, is Dan was saying, you've got to have the granularity, you've got to be able to have a really relatively simple way to recover. But because it's the cloud, there's, latency involved and how are you from a product standpoint, dealing with, making that recovery as consistent and predictable and reliable as you have for a decade on-prem. >> So you mean recovery in the cloud or back to on-prem? >> Yeah, so, recovery from data that lives in the cloud. >> Okay. So basically, the most important feature of any cloud is the price of whatever you do. So, whenever we design anything, we always look at the costs even more than anything else. But, it in turn always translates into better performance as well. To give you example, without functionality where we can take the on-prem backup and make a copy in the public object storage for disaster recovery purposes, so that for example, when a hacker or ransomware wipes out your, entire data center, you have those backups in the cloud, and you can restore from them. So when you perform the restore from cloud backups, we are actually smart enough to understand that, we need to pull that and this in that block from the cloud backup, but many of those blocks actually shared with backups in another machines that are in your own prem backup repository. So we do this on the fly analysis, and we say, instead of pulling the 10 terabyte of the entire backup from the cloud, we can actually pull only 100 gigabytes off unique blocks. And the rest of the blocks we can take from on-prem repositories that have still survived the disaster. So, not only reduces the cost 20 times or whatever. The performance, obviously, of restoring from on-prem data versus pulling everything from the cloud through the internet links is dramatic. So again, we started from the cost, how do we reduce the cost of restore, because, that's where cloud vendors quote, unquote, "Get you." But in the end, it resulted in much better performance as well. >> Excellent, Anton as well in your keynote, you talked about the Veeam availability suite, gave a little sneak preview. You talked about continuous data protection. Cloud Tier, NAS recovery, which is oftentimes very challenging. What should we take away from that sneak peek? >> Three main directions basically, The first is Veeam CGP is we keep investing a lot in on-prem, data Protection, disaster recovery. VMware is a clear leader of on-prem virtualization. So, we keep building these, new ways to protect your web VMware with lower RPOs and RTOs that were never possible before with the classic snapshotting technologies. So that's one thing we keep investing on-prem. Second thing, we do major investments in the cloud in object storage specifically, from that regards, again, put a couple keynote in Google Cloud support. And we're adding the ability to work with coldest tier of object storage, which is Amazon Glacier Deep Archive or Microsoft Azure Blob Storage, archive tier. So that's the second big area of investment. And third, instant recovery Veaam has always been extremely well known for its instant recovery capabilities. And this race is going to be the biggest in terms of new instant recovery capabilities, that were introduced as many as three new major companies with capabilities there. (mumbles) >> So, Danny, I wonder if I could ask you. I'm interested in how you go from product strategy to actual product management and bring things to market. I mean, in the early days, Veeam. Very, very specific to virtualization. That of course, with the Bare-metal, you got a number of permutations and product capabilities. How do you guys work together in terms of assessing the market potential, the degree of difficulty, prioritizing, how does that all come to your customer value? >> Well, first of all, Anton and I, spend a lot of time together on the phone and collaborating just on a weekly basis about where we're going, what we're going to do. I always say there's four directions that we look at for the product strategy and what we're building. You look behind you, you have a, we have 375,000 customers and so those are the tail winds that are pushing you forward. We talked to them on all segments. What is it that you want? I say we look left and right, the left who are alliances. We have a rich ecosystem of partners and channel that we look to collect feedback from. Look right, we look out at the competitors in this space, what are they doing to make sure that we're not missing anything that we should be including and then look forward. Big focus of Veeam has always been not just creating check boxes and making sure that we have the required features but innovation. And you saw that on stage today when Anton was showing the NAS Instant Recovery in the database instant recovery and the capabilities that we have, we have a big focus on, not just checking a box but actually doing things better and differently than everyone else in the industry and that serve to see incredibly well. >> So I love that framework. But so now when you think about this pandemic, you look behind your customers have obviously been affected, your partners have been affected. Let's put your competitors to the side for a minute, we'll see how they respond. But then looking forward, future, as I've said many times, we're not just going back to 2019. We're new decade and really digital transformation is becoming real, for real this time around. So as you think about the pandemic and looking at those four dimensions, what initial conclusions are you drawing? >> Well, the first one would be that that Veeam is well positioned to win, continue to win and to win into the future. And the reason for that I would argue, is that we're software defined. Our whole model is based on being simple to use obviously, but software defined and because of the pandemic, as Anton said, can't go into the office anymore to switch your tapes from one system to another. And so being software defined set this apart positions as well for the future. And so make it simple, make it flexible. And ultimately, what our customers care about is the reliability of this end to the credit of research and development and Anton theme is, "We have product that as everyone says, it just worked". >> So Anton I wonder if I could ask you kind of a similar question. How has the pandemic affected your thinking along those dimensions and maybe some of your initial thinking on changes that you'll implement? >> Yes, sorry I wanted to add exactly on that. I will say that pandemic accelerated our vision becoming the reality. Basically, the vision we had and, I said a few years ago, one day that Veeam will become the biggest storage vendor without selling a single storage box. And this is just becoming the reality. We support a number of object storage providers today. Only a few of them actually track the consumption that is generated by different vendors. And just for those few who do track that and report numbers to us. We are already managing over hundreds of petabytes of data in the cloud. And we only just started a couple of years ago with object storage support. So that's the power of software defined. we don't need to sell you any storage to be eventually the biggest storage player on the market. And pandemic is clear accelerated that in the last three months we see the adoption, it was already like a hockey stick, but it's accelerating further. Because of the issues customers are facing today. Unable to actually physically go back to the office, do this backup handling the way they normally do it. >> Well guys, it's been really fun the last decade watching the ascendancy of Veeam, we've boarded on it and talked about it a lot. And as you guys have both said things have been accelerated. It's actually very exciting to see a company with, rich legacy, but also, very competitive with some of the new products and new companies that are hitting the market. So, congratulations, I know you've got a lot more to do here. You guys have been, for a private company, pretty transparent, more transparent than most and I have to say as an analyst, we appreciate that and, appreciate the partnership with theCUBE. So thanks very much for coming on. >> Thank you, Dave. Always a pleasure. >> Thanks Dave. >> All right, and thank you for watching everybody. This is Dave Vellante for theCUBE in our coverage of VeeamON 2020. Veeam Online. Keep it right there, I'll be right back. (upbeat music)