>>Hello, everyone. Welcome to the cubes presentation of the AWS partner showcase. This is season one, episode two. I'm your host, John furry with the cube. I'm joined by two cube alumni as Andy Langston, SVP and GM at Veem and Sabina Joseph, the general manager of technology partners at AWS. We're here talking about speeding the innovation with AWS. Welcome to the show. >>Ready to meet you >>And good to see you, Andy again. >>Great to have you guys back on. I hope you guys are doing well. Great to see both of you Veem. Obviously we've been covering you guys for a long time. You got your VIMANA event coming up in person, which is great. Congrats on the continued success of the company and the product you guys have always been all in on AWS. We've been covering for many, many years. Andy, what's the innovation going on now at Veem? Lots of lots happening, lots going on. What's the new innovation. >>Well, I think, you know, clearly people are in, you know, when we talk to people they're interested in, in ransomware, so ransomware protection, we they're interested in a hybrid cloud hybrid. Um, you know, AWS in particular, we get a lot of interest there. Um, clearly modern data protection, uh, what we're doing in office 365, people are looking at all those things >>And what's the, the platform, uh, approach that you guys have with AWS. You guys have a broad range. It's not just the classic. I call it the green classic solution. That's also a good product. What's some of the new platform advantages you guys got going on with the cloud native with AWS. >>Well, you know, look we are, our strategy is to protect as many AWS services as possible, you know, and, and, you know, from the ECE to EBS, S3, RDS, uh, VMC, and many of the services that they're coming out with. And in many times they come to us and say, Hey, you know, these are important to us. We'd like you to, to support these. So clearly we're, um, we're focused on those, uh, Kubernetes workloads is, is a newer set of workloads on AWS. That we're a very interested, we made an acquisition and have a product called, uh, Kasten that we've been investing in and working with AWS with their, uh, uh, EKS anywhere. So very excited. >>Great. So being on the partnership, you guys, it's growing a lot's going on. Can you tell us more about how Veeam and abs AWS are jointly helping customers? >>Yeah. As, um, as both of, you know, right. Data is exploding. And, uh, that means, you know, we have to keep backing up this data and finding new ways to back up this data because people are stepping away from the traditional backup methods, tape libraries, secondary storage sites and things like that. And they're backing up data into the cloud. And we AWS offers a number of different storage services, data transfer methods and networking solutions, which provide unmatched your ability, reliability, security. And of course, uh, AWS and Veem have been partnering together enough for quite a number of years and the cost effective. And so you mentioned that Veem has on AWS really enables customers to have offsite storage solutions, providing that physical separation between their on premises, primary data, and also utilizing the pay as you go cloud economics. So we have a great collaboration and, you know, beam has a great solution on AWS and they're constantly innovating and providing capabilities for our customers. Just like Andy said, providing as many capabilities for our services to back up, >>Andy, the volume of data I'll say is always the story. Every year, the volume is tsunami of data. It's getting worse it's every day. Um, and as you got more cloud scale, you guys have been doing a lot integration. You guys always have, you have demanding customers, you have a lot of customers actually. So as you leverage Amazon for data protection, the security conversation is front and center these days. Can you give us an update on how you guys are doing, uh, the data protection security in the cloud with AWS? That's, that's, um, that's hot with your customers, >>You know, it's a great, it's a great comment. You know, you've talked about a lot of customers. Veem has over 400,000 customers now it's, it's truly extraordinary when you think about the size and scope and scale. And if you think, uh, my belief is a majority, almost all of them will tear up two and move their data up into the cloud at some point in our, in the next few years. And so we've just, I think we've described the surface and we're moving hack, you know, hundreds of petabytes or more per year up to the cloud at the same time when I make customer executive calls. It's kind of interesting. A lot of times you think they're going to want to talk about backup and disaster recovery. They want to talk about security. And when this first started happening, I thought, Hey, why don't you talk to your security vendor now? >>And what I realized was that data protection is front and center because of the, we just, we just published a study where a number jumped out at me, 71% of the thousands of people that responded said that they had already been a victim of, or had had a ransomware attack. It's a staggering number. And, um, so, you know, when we look at our relationship with Amazon and we look at the integration we've done around what we call cloud during that's moving, are moving data up to object storage. AWS has a capability called immutable data sets. And so that allows you affords you some great protection against ransomware as an example. And that's one of the areas that we're investing in very heavily. And by the way, our mutual customers are backing up and restoring with Veem and we're doing it on AWS and, and, uh, the data volumes are exploding, I think, because of that. Yeah. >>You know, it's interesting. And you made me have a throwback for, you know, 10 years ago, we used to talk about backup and recovery. And you know, the big thing back then was, was the conversation was don't think of backup as a, as a last minute thing, think of it at the front end, it was always kind of an afterthought and a, of the it decision makers. And you mentioned that security comment about call your security vendor. It's almost the scripts has flipped backup and recovery is the security solution. And so it's not, it's not an afterthought. This is 10 years ago. It was the primary message. It's the primary thought. So when you talk about automated tiering, that's kind of a networking thing. It's like, policy-based hearing. I mean, I mean, if you go back 10 years and we're talking, policy-based hearing, you were like, what? So this is a really different dynamic. And I want you guys to comment because this is the, this is the market right now. This is with the flip, the script has flipped. >>Yeah. Sabina. What do you, what, what do you from y'all's perspective kind of in, in your technology, partnerships, storage vendors, Veem security, what, what do you w what do you see? >>Well, I think that there is an interplay here because I think customers are looking at various ways, right? When I look at those five cybersecurity framework, right? First is identifying what you need to protect, protecting it. And then that's a very important step of, out of those five steps is recovery, right? How do you get your business back to normal? But you cannot do that if you are not protecting and backing up your data. And that's where our partnership comes in. Right? So I believe that all of those five stages in the NIST cybersecurity framework kind of go together and be in place nicely into the very critical phase of recovery. Would you agree, Andy? >>I would. You know, and, and I look at, um, you know, when you're doing a recovery and your gut, your secure backups and AWS, it's, it's like your last line of defense, you know, beam and AWS deliver a mutable backups and has three tiers through S3 object lock integration. And I think that's, that's pretty much, you know, even if a ransomware attack is successful, we can, we can ensure that the backup data hadn't been changed and encrypted or deleted. And, uh, that's pretty exciting, you know, for customers and prospects, they're really worried about this. And I think the teamwork and the, the, the partnership between the two companies to build a solution like this is pretty awesome. >>Yeah. Let me, let me just double, double click on that for a second. You mentioned it got a lot of customers. Ransomware does not discriminate with the size of the company. It could be, it could be a hospital school. It could be a big company. Ransomware is bad, and we see that, and it's a great conversation. And how do you take that solution out to the customers? You got hundreds of thousands of customers. So Sabine, I guess the question is, how is this 80 of us in Veem work together? There's this channel first concept you guys are talking about, tell us about how you guys work together, because there's millions of customers who want this, and you guys actually have hundreds of thousands of customers that Veem, how do you get the customers to leverage that, the relationship and what can you bring to them? >>Yeah, I'll give you like four numbers, right? So AWS has millions of customers and we have, um, hundred thousand partners across 150 countries. Now Veem has, as Andy mentioned, right, has over 400,000 customers and 35,000 partners worldwide. So somewhere in these four numbers, we all intersect both of us intersect both on those customers and also on those partners. And one of the initiatives that my team is heavily focused on is triangulating between the partners that Veeam has. We have, and also our technology partnership. And how can we provide value to our customers by bringing together these partners together with AWS Veeam and Veeam is a V it's a hundred percent channel driven business, and they know how to do this. That is why we are heavily partnered with them to see what we can do for our customers through our mutual partner. >>And he wants you to weigh in here, you know, the channel business, it's gotta be easy, it's got to add value. And I got to wrap services around it. That's what partners love. Well, how does this work? How does that work? >>Well, I, I think to extend beyond what, what did take, what Sabina had said is, you know, we have kind of been subsetted. Our partners are the ones that, that do business with AWS and, and which is a exploding number of partners. And so they have a relationship database. We have a relationship at S and we have this solution set that have, are of interest to our customers through these partners. And AWS has customers through these partners. And so a lot of times we'll share, um, information and customers, uh, information on, around, um, how we can kind of go to these customers who are both AWS customers and Veem customers and market, this joint solution protect them from ransomware. >>And how's it been going so far? What's your, what's your assessment? >>It's been fantastic. I think the, I think one of the, the, the real proof points is that we've moved, uh, over a half a petabyte of data, you know, uh, recently up into their cloud. And, uh, you know, that says that people not only are using the solution, but they're, uh, they're actually delivering on it. >>Well, why got you here, Andy, I want to ask you for the, all the people watching the customers, what's the biggest change that's happening in this market right now. Again, I love this shift that we're seeing backup and recovery. Isn't a point solution anymore. It's the solution it's baked in, and everyone's talking about this, it's integrated in, it's not, it's, it's totally front and center. What's the big change that customers should be thinking about now as they move forward. And, uh, obviously ransomware is still front and center. That's not going away anytime soon. What's the big thing to focus on for customers? >>Well, I think, you know, I always say, you know, listen to the customer and focus on what their specific needs are, right? You can assume, obviously in the business war and everybody, everybody has a backup solution. And, uh, so you're not trying to create a market there, but like I said, you know, people are very focused on security. They're focused on cost, they're focus on skillset or lack of skill sets, right? I mean, we have a shortage of skills in the industry. So we try to make our products easy to use. We try to work with our partners, putting AWS to deliver the best solution we can for our customers. And, uh, you know, I think we have the broadest invest, you know, ransomware protection, uh, and recovery in the storage space. And so we're very focused on that, leveraging all of our technologies across the platforms, physical, virtual Kubernetes, uh, type environments. >>And you have this and you get the beam on event coming up and that's going to be good in person. Right. That's a confirmed, >>It's a, it's a, it's a hybrid yet. In-person and virtual. >>Awesome. Great to see you guys in person. So being a, for the folks, watching the Amazon partnerships, as you guys scale up these, these partnerships and take it the next level, what's your, what's your closing comment. Yes. >>Yeah. I also want to say, write something that I should mention, right. We miss also invested in AWS marketplace. So it's not just the direct consulting partners and the partners that I mentioned, the a hundred thousand and 35,000, right. They, customers can also purchase beam on AWS marketplace through consulting partner, private offers. And that's why Viva's embraced many of these aspects to try to help our customers and continue to grow that 400,000 customer base, which is a pretty phenomenal number. >>Yeah. I've always been impressed with beam's customer base and they've got a very loyal base as well. I point that out and give props to the VM team. Andy closing comments for you, the V natives relationship, how would you summarize that? >>I'd say it's fantastic. You know, years ago it started as just a normal technology partnership. You know, now we're an advanced technology partner with storage competency, numerous programs like APN, uh, customer engagement. We're a marketplace seller. And I would say that it's not only that, but, but customers can take advantages of their, um, EDP with AWS to purchase on the marketplace and get credits against that. And our partners can as well. That's a, that's a very important thing because we're seeing more and more interest in that today. Uh, we're a public sector partner with them. We're an ISV accelerate SAS revenue recognition program. We're, we're, uh, I think we're checking a lot of boxes, but really taking advantage of it. The last thing I would say is, uh, I've known Sabina for quite a few years now. And I think it's the people relationships in the two companies that make this work. >>We have a lot of people, a lot smarter than me on the, on the speeds and feeds here. But at the end of the day, um, Sabina has a team of people that work with us on a, on a, almost a daily basis to solve customer problems. Right. We get people calling in all the time. How do I make Veem work on AWS? How do I get AWS solutions to work with theme? And our job is to make it as easy as possible because we both believe, uh, that customers, they say customer first. I always say, customer always are always right, but, but, but, but you know, at the end of the day, that's what makes this >>Yeah. Customer is always right. Customer obsession, working backwards from the customer fucking customer first Sabina. This is really interesting. This is a good point. I just come quick, go back to you real quick. This integration of relationships and also cloud technology integration is a big theme this year, post re-invent. Your thoughts >>Absolutely means, um, uh, to be candid. Uh, one of the goals that me and my team take is how do we bring technology partners together to add more value to our customers in end to end solutions, along with technology partners and consulting partners. So that is a huge focus for us because we need to do that in order to scale, not just for each other, but also for our customers and bring that, bring together meaningful, comprehensive end to end solutions. >>That's awesome. Andy, great to see you. We'll see at Veem on as well, coming up for the Veem show and your conference. You've been conference hybrid conference in person and virtual and digital to be in a great to see you again. Thanks for sharing all the great updates. And this is the season two. It's all about the data and the innovations with AWS. I'm John for your host of the cube season one episode, two of the AWS partner showcase. Thanks for watching.

>>Live from Denver, Colorado. It's the cube covering comm vault. Go 2019 brought to you by Combolt. >>Hey, you welcome back to the cubes coverage of combo go 19. We're in Colorado this year. Lisa Martin with Stu Miniman and we have a couple of gents joining us alumni of the cube. We're gonna have a really spirited conversation. Please welcome Avinash locks from the CEO of Hedvig, one of our alumni and Don Foxer, the VP of storage solutions from combo and Ann Campbell. Oh gee, Dawn, you can say that, right? Yes, yes. So guys, just a little bit of news coming out with combo and Hedvig in the last month or so, you guys announced combo, announced they were acquiring Hedvig. We last had you on the cube of an Asha DockerCon 18 talking about had veg. And here we are, the announcement comes in September. Acquisitions already closed, lots of buzz, lots of excitement. I'll finish. Let's start with you. Why Convolt >>good question. Uh, first of all, thanks for having me. Uh, C, the way I look at it, I believe the enterprises are gravitating towards complete solutions. If you look at, uh, data management and backup Conwell's clearly the leader in that space, I don't have to say it, I think the analysts have all attested to it. We bring in a very complimentary set of tools that I think coupled together could be a complete solution for a large variety of workloads in the modern data center. And hence it makes it a ideal fit. And also the cultures from an engineering perspective, being Hedwig being a small company in Cornwall is also a small company. But you know, definitely big when compared to what we are at. Um, the cultures were more or less aligned in terms of the engineering culture, so to speak. And that makes it, uh, it made it a very natural choice. Do you know, feel comfortable going into a bigger company. So it worked out really well. >>So Don way we've seen the slides given in the keynote, they talked about the two halves of the brain, the storage management and the data management. Talked to us a little bit about of Hedwig plus con vault and how that goes together. Yeah, for sure. I mean, if you start to look at the, I mean, I guess you look at the marketplace today and you can tell that, uh, kind of the, the lines of delineation of what vendor a versus vendor B versus vendor seat is doing is completely blurred, right? And you'll see that with the attachment of secondary storage, you see that with way backup companies and are driving more towards sort of, you know, uh, the app dev space. And we really start to look at where, what Combolt's doing and, and, and I always say when we talked about the acquisition of Hedvig, it's accelerating the vision that we've had on be able to provide a really super scalable backend for where you can land information that Combalt protects, but the really interesting and cool part, but as you start to realize the tool set that it has within it, it also keeps us very relevant for the future, for where it, in the shifts with applications are going. >>Then it gives us a chance to really give that complete solution from giving the storage, taking the information as it's being created and storing it in a compliance form, storing it off to the cloud, maybe re-purposing it, reusing it into the future. So that's how this really starts to come together. You have the index in control and management, the understanding of what Combolt provides the data management and you have all the flexibility and control that the Hedvig platform provides and Miriam together just gives you that much more agility for how you can use that information, that data. I want to understand what being part of Convolt will be different for Hedvig. I think back to, I've been talking to you since the company came out of stealth. We're huge proponents of the learnings that the hyperscalers had. You came from Amazon and Facebook. Bringing that to the enterprise is great, but building something that is highly scalable versus frigging something that has repeatability and scalability through thousands of deployment, like convoluted have are two separate issues. So, you know, we'll, we'll being part of Convolt, how will that impact your business and your group? >>I think the latter is what is going to make it really exciting for us. I think we added a point where the product that we are bringing into the market or we are brought into the market, it's pretty mature and most of the customers would deploy it and use it. They've been extremely happy with the way it performs and the way it has performed over time. And I think with the combo, they have a larger footprint in the enterprise, large channel infrastructure already in place makes it a lot more easy to push the product out there into the market. And uh, we will be given and VR given complete autonomy plus you what it would it is at Viva doing. And obviously, you know, when you go into any other organization that has got to be some cross-pollination, which is also something that we will be pursuing. But these two things I think, uh, make it very exciting times for us. >>Didn't you? You mentioned the word acceleration a few minutes ago. I'm just wondering from your perspective being called on as long as you have, do you and maybe customers and partners see the Hedvig acquisition as? Sanjay was saying something that's trending on Twitter today is the hashtag new comm dolls. Yep. So it's actually interesting. At first when the acquisition was announced, there were some partners that were like, Hmm, okay, I need to think about this a little bit. And then as we kind of went through the talk track and sort of explain some of the power with the head of the platform delivers, there were a number of, there was suddenly aha. Like you could just tell the light bulb went off. I get where this is going. And then you see what we're doing from Convolt metallic as well, right? The the SAS offering. And you see how we're continuing to drive all of the innovation in that core product. I don't know if you want to call it a combo to Datto, but I do think we've entered a new era of what we're delivering back to our customers from a solutions perspective. And it's really exciting because you can talk to a customer about backup and give them the best solution in the world, but we can also start to expand and get a whole heck of a lot more strategic and help be thought leaders and some of these new spaces, >>well, some of the commentary that I was reading about the acquisition from analysts say, Hey, this is a potentially, this is going to give Combalt opened the door for a bigger presence in the surge defined space, a big market. Also elevate comm vault from a Tam perspective. Talk to us about those perspectives. As some of the analysts said, when Sanjay came onboard nine months ago, Hey combo, you really got to expand your market share and get a kick out of just cultivating the large enterprises. How do you see that? >>Yeah, sure. I mean that's the easiest place to point to the secondary storage market place, right? So the secondary to storage marketplace, it's double digits in billions of market share. And that can be anything from things like object storage. It could just be scale-out, NAS. It could be, um, it could be, you know, companies like Cohesity and others that have a platform that build out secondary storage is a whole slew of people that play in that space. Uh, it also goes back to like appliances in a whole form of other storage types that are purpose built. So the secondary storage is a fairly broad sort of brush that people paint. You know, something is not running production workloads. But the interesting thing is, and this is kind of something that when the we've talked about we see those lines of private production or primary, secondary, tertiary, that's starting to really blur out. >>Um, so that market share that is in secondary storage, that market share that attaches also to object for where your, where we're going from a even a scale out backup perspective. You know, those are I going to be target areas that we can start to give customers solutions into in a really integrated and complete way. Uh, one of the customer areas that I've heard from Convolt that I'm curious if it might be applicable for your, for your team of an option is the service providers, you know, they've sold and you talk about how many end users actually leverage Convolt technology. It's like almost an order of magnitude more when you go through the service providers and when you talk about scalability and the requirements that that seems to be like it could be a fit for a. >>Yeah, you could even think of someone who is running a private cloud in their own on premise data center as being a service provider for their own internal consumption. Grateful folks working in tunnel. I guess going to an MSB or even do a larger service providers is an extrapolation of the same thing. So it'll obviously make it a very natural fit because you know, everyone understands the cap X game. Operational efficiency is the harder problem to actually crack. And with systems like this you can actually address that very simplistically. And it also allows them to kind of scale with their growth in a very effortless fashion. So it makes an agile mix a lot of natural sense. >>And that's an interesting point cause that aligns well too with the way the Combalt software themselves also attack attaches, right? We do a much better job of running that value back to the larger enterprise or those that are seeing more of that operational efficiency challenge. So it's another reason why this is a great intersection or you know, great, great marriage of the two technologies, um, what want to speak with, I think we talked about Sanjay about he of being at puppet worked a lot with dev ops in that environment. I heard from Convolt COO that five of the 45 developers that are here doing whiteboard session come from Hedvig. So speak a little bit of that, that customer base, the developer community microservices, you know, that kind of modern >>I think we have a, a demo session. I don't know what time, but we're going to give you a comprehensive overview of how, uh, you know, kind of Kubernetes orchestrated containers works with Hedwig. I think if people are here, they're hearing me, they should definitely check it out. And, uh, if you look at some of our larger customers, they deploy us in environments where they want to have practically zero touch provisioning capability, right? Which means that you got your infrastructure ought to be completely programmable, which bitches, what the DevOps movement is all about. And uh, the comprehensive set of APIs that be exposed for control and data plane, it actually makes that pipe dream a reality. >>Let's talk a little bit about the integrations. I mentioned a minute ago. The announcement was in September, the acquisitions close and you guys have already really started to buckle down into the integration between the technologies. Can you talk to us about that? And then I'd love to get your perspective on existing had big customers, you know, what door does this open for them? >>So for an existing customers, they are very happy because they now are convinced that we have a larger footprint and we have a lot more people to help to help support them as they grow and they don't have this field anymore as to how perhaps a small startup would be able to support them. So that fear factor goes away. So they're all very relieved on that front. Second, from an integration perspective, uh, there's a lot of things that we are working on from a technological perspective that is getting deep into the roadmap. I dunno if he can talk much about it at this point, but a non-technology we're all well integrated in, we are all Commonwealth employees now Gunwale badges come while emails so well integrated at this point. >>I guess maybe from a high level perspective, what we probably can say is probably number one, we want to make sure the experiences across both products are merged. So it truly views as you know, one one true company vault and providing that experience. And that's everything from installation to support to how we communicate and manage the, the ongoing relationship with the customer. So that's one there's always work to do there. Right? And the next core piece is just how we can make the two technologies basically make, you know, the had big platform, a part of the combo data platform and make sure those two integrations are as tight as possible. And that will be a longterm path, right? Because as that becomes more integrated, there's going to be new ideas, new innovations, and she's gonna come up with a whole lot of new things that we could potentially do that will meet the needs for the customer. And I think the third piece that ties back into the dev ops conversation is we've got two really solid API stacks. So bringing those together is going to be important in the future as well. So that it really is a crisp and clean sort of programmable infrastructure for customers from how the storage is delivered all the way to how it's managed and potentially even deleted out the back end. >>Well, with how quickly we're seeing Convolt move in the last nine months, I mean this year there's so much innovation from leadership changes in sales and marketing, new GTM routes, et cetera. What can, what can combo customers expect in terms of, I know you can't divulge too much on the roadmap, but you know with faster, shorter cycles of development. >>So I'll go first. I mean I think as you look at the sort of sort of where maybe the easiest way to answers is we're staying in front of where the market is heading and we're making sure we're providing solutions that can get customers to solve those challenges when they hit them. We don't want them to have to hit those challenges, have to then struggle, fight, figure out what it is they can do while everyone in their market moves past them. We want to be there with a solution that answers some of those challenges that day. They hit them more preemptive, preemptive, absolutely more preempted to react. That's a perfect way to put it. Thank you. So that's part of what they can expect from us and we do a lot of research and working with our customers and understanding where their future needs are, where they're going. We spend a lot of time with industry experts and analysts too for what they're seeing across the globe. Obviously we can only go so far and travel and talk to so many people. So we leveraged the collective of the industry to also kind of have a pretty good gauge and I'll say we've got leaders like Amash and Sanjay that are also awesome at just kind of having a really good pulse on where the industry is going and what we should be doing as a company. >>I'm just getting pickled in so too early for me to answer how that roadmap may Michio or how customers may perceive. But I think, uh, what should be very encouraging is that we bring so many, so much more capabilities. The enterprise has always been in this mindset of procuring things with a single throat to choke and this makes it very easy for them. >>What's the question of done for you is some of the things that Sue and I have talked about with guests today is from a partner perspective, there's been a lot of positive feedback in Navarro community we talked with and think we're talking with Rick de Blasio tomorrow. Want to understand, you know, some of the new partner programs, how are his Convolt traditional channel, your VARs, but also all the way up to your. Their reaction to all of the changes and the acceleration that Cohmad is driving is particularly with respect to head veg. >>For the most part it's been incredibly positive and even though the technology partner side, it's, it's fairly positive and also it forces us to have a much closer conversation on. All right, let's continue to talk about how we're successful together in the marketplace because we understand that our customers will need more than one vendor, more than two vendors to be successful as they kind of tackle the challenges that are in front of them. So you know, we're not going to stop our innovation and partnering and technology ecosystem development because that's so important to allow the customer to have the choice. We know that we're only one of many players and so we want to give them the choice to use whatever they need. We just want to help them control and manage the data >>and help them maybe simplify their operations. And especially as you know, we don't, we don't go to any event without talking about multi-cloud. It's the world that most businesses are living in. And, and I'll say, if you're not you Willy, how can what combat is doing now, not just with Hedvig but also just with some of the structural changes and directions that you guys have made it help customers embrace multicloud actually be able to protect, recover that data and >>you know, shift, sift insights from it. Yeah, sure. Please. All right, so multi-cloud, so first it starts off in tying in the ecosystems of the different cloud players offer, right? You need to be able to sort the support their platforms. You need to be able to continue to abstract out the information, the data itself that may be tied to an application or tied to a platform and give that level of portability. It's actually something that Hedvig does a fantastic job on as well and when you start to have that level of portability, well then it becomes a heck of a lot easier to either use other platforms within that cloud or a separate cloud or something you might homegrown build yourself as. That's part of the big value prop. We're doing all of these things not to have the best infrastructure but to make it easier for customers to use that data. So that means integrating and being strong partners to cloud players. It means continuing to be a really technological leader in how you can support all the platforms and services they offer and really allow the data to rise to the top as far as the value perspective goes and that's really where we continue to drive our innovation, at least on the on the data management side. >>That's a good Commonwealth perspective. The Hedvig perspective comes from a different angle. We always look at data portability, be it multicloud or even be at hybrid via met a lot of customers who went down the hybrid pot and then had to pull back. And when you pull back, you don't want to be in a situation where you're rewriting your entire application because your data is persisted in a very different way. But providing that data portability with an abstraction that sits between the application and the underlying physical infrastructure, I think is going to be a very important solution to take. You know, view often in this mix and hence together it becomes a comprehensive solution. >>Well guys, we thank you so much for stopping by joining soon and be on the program telling us a little bit more about this exciting new venture that you guys are going in together and we look forward to hearing more about it as it unfolds and maybe getting some customers on the cube next year. Absolutely. All right. Thank you. Thanks for Sumeta, man. I am Lisa Martin. You're watching the cube from convo. Go 19.

>> Announcer: Live from Las Vegas, it's The CUBE, covering VMworld 2017, brought to you by VMware and its ecosystem partners. >> Hey welcome back everyone, we're live here in Las Vegas. Behind me is the VM Village, this is The CUBE on the ground live at VMworld, I'm John Furrier, with Dave Vellante. Excited to have Sanjay Poonen, Cube VIP new badge that's going out. Five or more times you get a special badge on the website Chief Operating Officer, Chief Customer Operations as well at VMware, Sanjay. >> I think I won one of your hoop madness what do you call those Cube >> John: Yeah, that's right. You did get one of those. >> One of them, so add that to the smallest. >> Came in second to the bot, next year you won. We're going to have to check the algorithm on it that's before we had machine learning, so... Sanjay, great to see you. >> Always a pleasure, John and Dave, thank you for having me here. >> So, you know, in fairness to the VMware management team I got to say, great content program. Usually you can see, kind of, maybe some things that are kind of a little futuristic on the spot big time, on the content. True private cloud, data that Wikibon reported on, you guys are right in line with that. Hybrid-cloud is where its going from multi-cloud. You talk multi-cloud, the Kubernetes orchestration vision for Cloud Native, and even you were doing some interviewing on stage. >> Trying to be Anderson Cooper. >> So, tell us, what's your perspective because you got to balance here you got the reality of the Amazon relationship front and center, delivered big time there, shipping, western region, VMware on-prem, and on-cloud and this new cloud native vector of orchestration and simplicity. >> Yeah, I think, at least from our perspective as I describe in sort of that one chart where I try to put it in Sesame Street simple terms as I like to describe. VMware is one of the most fundamental companies that had a incredible impact in the data center, taking more costs and complexity. We are the defacto backbone of almost everybody's data center, but as the data center moves to the cloud you got to ask yourself, what's the relevance, and we've now shown, same way with the desktop going to mobile, and that's the end-user stuff that we've talked about the last few shows. But let's focus on that cloud part. We really felt as people extended to the public cloud we had to change our strategy to not seek to be a public cloud ourselves, and that's the reason we divested VCloud Air, and focused on significant things we could do with the leading public cloud vendors. As you know, Andy Jassy is a classmate of mine, Pat, Raghu, myself, began the discussions with Andy two years ago, and we announced the deal last year in October. This year having him on stage was, for me, personally a dream come true, and really nice to see that announcement, but we wanted to make sure we were also relevant to some of the other clouds. So earlier this year, in February, we announced Horizon Cloud, the VDI product manager. Today, we announced Kubernetes VMware, Pivotal and Google Form in Kubernetes, IBM Cloud. So all of the top four clouds, AWS, Azure, Google, and IBM have something going with VMware being with Pivotal. That's a big statement to our multi-cloud vision. >> And what a changeover from just two years ago when the ecosystem was, kind of, like a deer in the headlights, not knowing which way to zig or zag, do they cross the street. Where are we going with this? Now the clarity's very clear, cloud, and IoT, and edge with Amazon right there, a lot of the workloads there with multi-cloud. So the question I got to have you is that, as we just talked to the Google guys, is VMware turning into an arms dealer? Because that's a nice position to be at, because you're now driving VMware into multiple clouds. >> I think, you know, when I was on your show last time I described this continent called VMware, and then bridges into them. (John laughs) Let me try another and see if this works. That was good, but it had its 12-month shelf life. Think about the top four public clouds as sort of Mount Rushmore type figures. Each at different heights, AWS, Azure, Google, IBM Cloud, in market share they're the top four. If you want to build a house on top of Mount Rushmore, okay, it could work, but you're going to have to build it on top of one president's head. The moment you want to build it, you need some concrete infrastructure that fills in all the holes between them. That's VMware. It's the infrastructure platform that can sit on top of those varied disparate levels of Mount Rushmore, and make yourself relevant from on. So that's why we fell, whether you want to call that a quintessential platform, an arms provider, whatever it is, for the 4,400 cloud providers, plus the top four or five public cloud players today, VMware has to be relevant. We weren't two or three years ago. Now, for the top three, we're very relevant. >> I call it a binding agent. You're the binding agent across clouds, that's what you're really trying to become. But I wonder if, you know, you're talking about the clarity. I mean, VMware, things are good right now. Two years ago, was looking kind of hmmm, maybe not so good, with license growth down, and now it's up, stock prices double digits, >> Stock prices almost highest >> Okay, so I want to understand the factors behind that. You mentioned the clarity around vCloud Air and the AWS agreement, clearly. The second I want to attest is, the customer reality of cloud, that I can't just ship my business to the cloud, ship my data to the cloud. I got to bring the cloud model to the data. Did that in your conversation with customers, those two factors lead to customers being more comfortable, signing longer term agreements with you guys. Is that a bit part of the tailwind? I wonder if you could discuss that. >> Yeah, Dave I think that's absolutely right. One of the things I've learned in my 25 years of IT is, you want to keep being strategic to your customers. You never want to be in a place where you're in a cul-de-sac. And I started to sense, right, not definitively, but perhaps two years ago, there was a little it of that cul-de-sac perception as our license revenue was growing, particularly on this cloud strategy. Are you trying to be a public cloud, are you not, what's your stance versus AWS as one example, and with vCloud Air, there was a little bit of that hesitation. And if you asked our sales teams, the clarifying of our cloud strategy, which last year was okay but didn't have the substance or the punch. Now you've got an AWS coming on stage, and the other cloud providers where we have substance. I think that clarifying the cloud strategy game the ability for customers to say, even while they were waiting for AWS to be shipped, the last year, three or four quarters are spending of on-premise VMware stuff has gone up, 'cause they see us as strategic. The second aspect I think is our products are now a lot more mature than they were before outside of B sphere. VMware cloud foundation, which consists of storage, networking, VSAN, NSX, and you've talked to those people on your stage, workspace one, end user computing. These have really, really helped, and I think the third factor is, we've really focused on building a very strong team, from Pat, myself, to Raghu, Rajeev, Ray, Mauricio, Robin, I think it's a world-class infrastructure, so we just added Claire Dixon as our Chief Comms Officer on eBay. This is for us now, and everyone in the rest of the organization, we want to continue building a world-class sort of warrior-style strength in numbers. >> Quick follow-up if I may, just a little Jim Kramer moment. And the financial's looking good, you just raised four billion of cheap debt, right the operating cash flow, three billion dollars, and the nice thing about the clarity around vCloud Air is, the capital expenditure, it's just a very capital-efficient model that you guys have now, and I've been saying, you can't say it, but to me the stock's undervalued. When you do the ratios and the multiples on those factors, it looks like a cheap stock to me. >> John: I would love to see you buy it because we have to disclose it, the big position in VMware. >> No, no, no. >> We don't have any stock >> I wish we did. >> We just want to keep growing and the market will fairly value us over time. >> Yeah, it will. >> Well you guys had a good team at VMware, so let's just go back and unpack that. So there was a transformation. Peter Burrows was talking about IBM over the years, had a massive transformation, so really kind of a critical moment for VMware as you're pointing out. We had this great discipline, great technology, great community folks, still there now, as you mentioned, but that transition from saying, we got to post a position, are we in cloud or not, let's make a decision and move on, and as Dave said, it's good economics behind not having a cloud, but I saw a slide that said VMware Cloud, you can still have a cloud strategy using Amazon. Okay, I get that. So the question for you is this. This is the debate that we've been having. Just like in the cryptocurrency market, you're seeing native tokens in cryptography, and then secondary tokens, just one went crazy today. With cloud, we see native cloud, and then new clouds that are going to be specialty clouds. You're seeing a huge increase the long-tail power law of cloud providers that are sitting on other clouds. We think this is a trend. How does VMware help those potential ascensior clouds, the Deloitte clouds, the farming drone cloud that's going to have unique applications? So if applications become clouds, how does VMware help that? >> That's a really good question. So first off, we have 4,400 cloud providers that built their stacks on VMware. And it could be some of these sourced. Probably the best example are companies like Rackspace, OVH, T-Systems. And we're going to continue to empower them, and I think many of them that are in country-specific areas, France, Germany, China, Asia, have laws that require data to be there, and I think they quite frankly have a long existence, and some of them like Rackspace have adapted their model to be partnering with AWS, so we're going to continue to help them, and that's our VMware cloud provider program, that's going to be great. The other phenomenon we see happening is these mini data centers starting to form at what's called the edge. So edge computing is really almost like this mobile device becoming bigger and bigger, it becomes like a refrigerator, it becomes like a mini data center, and it's not sitting in the cloud, it's actually sitting in a branch someplace or somewhere external. VMware Stack could actually become the software that powers that whole thing. So if you believe that basically cloud providers are going to be three or four or five big public clouds, a bunch of cloud providers are country-specific, or vertical-specific, again in these edge computings, VMware becomes quintessentially important to all of those, and we become, whether you call it a platform, a glue, or whatever have you, and our goal is to make sure we're pervasive in all of those. I think it's going to, world is go, going to go from mobile cloud to cloud edge, I mean the whole word of cloud and edge computing is the future. >> So you believe that there potentially could be another second coming of more CSPs exploding big time. >> Especially with edge computing, and country-specific rules. There's some countries that just won't do business with a US public cloud because of whatever reason. >> Well, many of those 4,400 would say, hey, we have to have a niche so we can compete with AWS, so we don't get AWS-ized. So what's your message to those guys now that you're sort of partnered up with AWS? >> Listen, OVH is a good example. Virtuastream's another, I'll give you two good examples. OVH, we sold vCloud Air to them. We are helping those customers be successful. I go to some of those calls jointly with them, they are based in France expending some of their presence to the US, and have got some very specific IP that makes their data centers efficient. We want to help then be successful. Some of the technology that we've built in vCloud Air, we're now licensing to them so we can them be successful. Virtustream, you know Rodney Rogers being on your show. Mission-critical apps is tough for some of the public clouds to get right. They've perfected the art, and I've known them from my SAP days. So there's going to be some of these other clouds that are going to be enormously successful in their niche, and their niche are going to get bigger and bigger. We want to make sure every one of them are successful. And I think there's a big opportunity for multiple vendors to be successful. It won't be just the top three or four public clouds. There will be some boutique usage by country or some horizontal or vertical use case. >> Good for an arms dealer. Well this is my whole point, this is what we've been getting at. We're kind of riffing in real time, little competitive strategy, we got the Harvard MBA and I'm the Babson guy, we'll arm wrestle it out here, maybe do some car karaoke together. But this brings up the question, and I've been saying for a long time on The Cube, and Dave and I have been talking about, we see a long tail, torso neck expanding, where right now it's a knife-edge, long tail, top native clouds and then nobody else. So I think we're going to see this expand out where specialty clouds are going to come out for your reasons. So that is going to open up the door, and those guys they're not going to want their own cloud. >> Sanjay: I agree. >> And that's a channel, an app, who knows? >> You look at an example, one, two other examples of specialty clouds, these are SAS vendors. If you look at two vertical companies, Viva and Guidewire. These are SAS companies that are in the life sciences and insurance space. They've been enormously successful in a space that you're probably maybe a Zapier Salesforce would have done, but they have been focused in a vertical market, insurance and life sciences. And I think there's going to be many providers the same way at the IS level or the PAS level, to also be successful and we welcome, this is going to be a large multi-cloud world. >> Edge cloud. You guys talking about the edge before. Pat had the slide of the pendulum swinging. >> Sanjay: Exactly. >> What is that edge cloud do to the existing business? Is it disruptive or is it evolutionary in your opinion? >> It's disruptive in the sense that, if you've taken a hardware-centric view of that, I think you're going to be disrupted. You take things like software-defined WAN, software-defined networking. So I think the beauty of software is that we're not depending on the size of the hardware that sits underneath it, whether it's a big data center or small edge of the cloud. We're building this to be an all-form factors, and I agree with Marc Andreessen in the sense the software's eating up the world. So given the fact that VMware >> And the edge. >> Yeah, our premise is if there's more computing that's moving to the edge, more software define happening at the edge, we should benefit from that. The hardware vendors will have to adapt, and that's good. But software becomes quintessential. Now I think the edge is showing a little bit of, like, you know, Peter Levine had a story about how cloud computing might be extinct if edge computing takes off. Because what's happening is this machine starts to get bigger and bigger and sits in a branch or in some local place, and it's away from the cloud. So I think it actually is a beautiful world where if you're willing to adapt quickly, which software lets you do, adapt quickly, I think there's a bright future as world moves cloud, mobile, and edge. >> Great stuff, Sanjay, and I was referencing car karaoke, you have on your Twitter >> Oh the carpool karaoke. >> The carpool karaoke. >> It was a fun little thing. Maybe we could do it together, three of us some time. (John laughs) >> I don't do karaoke. Final... >> Just sing, man Just be out there doing your thing. >> I embarrass myself on The Cube enough, I don't need karaoke to help there. >> David: I'm in. (laughs) >> All right, I'll do it. All right, final question for you. >> That's a deal. Let's do it. >> Final question, Michael Dell and we're talking, the world's upside down right now, the computer industry has been thrown up in the air, it's going to be upside down, reconfiguration. You've been in the business for a long time, you've seen many waves. Actually the waves now are pretty clear. What's the fallout going to be from this for customers, for the vendors, for how people buy and build relationships in this new world? >> I think there's a couple of fundamental principles. I talked about one, software, let's not repeat that. I think ecosystems rule. It's really important that you don't look at yourself as having to own the full stack, you know VMware's chosen to be hardware-dependent. Yes, we're owned by Dell, but you've seen us announce a HP partnership here, right? You've seen us do deals with Fujitsu. We had AWS Cloud and Google Cloud. So when you view the world, I love this line by Isaac Newton, he said, "I see clearly because I stand on the shoulders of giants." And to me, that's a very informed strategy to actually guide our ecosystem strategy. Who are the giants in our space? It's the companies that are relevant, with the biggest market caps. Apple, Google, Microsoft, you know, AWS is part of Amazon, and then you know, HP, EMC, Dell, so and so, we list them, by my SAP. If we're relevant to all of them, I'd love to see the momentum of VMworld and the momentum to reinvent start coalescing. Collectively there's probably a hundred thousand people who come to all of our VMware vForums. Andy Jassy told me he expects 40,000 at re:Invent, and maybe across all of his AWS summits, he has a hundred thousand. I was sharing with him an idea. Why don't we have these two amoebas of growing conferences start to coalesce where we mingle, maybe 20% goes to both conferences, but we'll come to your show and be the best software vendor, that hijacks your show, so to speak, (John laughs) I didn't use that word. But we become the best vendor, and we'll roll out the red carpet to you. Now we've got a collection of 200,000, we couldn't have done that on our own. That's an example of AWS and VMware partnering. Now it doesn't have to be exclusively AWS, we could do it with another partner too. Microsoft doesn't show up at the AWS re:Invent conference, we do. Similarly we could maybe do something very specific with Azure and VDI at the Microsoft event, or Kubernetes and Google. So for VMware, our strategy needs to be highly relevant to the power players in the ecosystem, and the guiding our software-defined strategy to make that work, and I think if we do that, you know, you could see this be a 10 billion and bigger company. >> Well it says it's not a zero sum game, >> Sanjay: No, everybody wins. >> And if you can stay in the game, everybody wins, right. >> And I think in the software-defined infrastructure space, we like our odds. We feel we could be the leading player in that software-defined area. >> And it changes and reimagines that relationship between how people consume or procure technology, because the cloud's a mosaic, as Sam Ramji was telling me earlier. >> Oh you had Sam on your show? Wonderful. >> I had him on earlier, and he sees the cloud as a mosaic. >> He's a fantastic thought leader in open source, we were deeply grateful to have him at our event today. >> Andy Jassy, your classmate and friend, collaborator, he was onstage, great performance that he gave. Really talking to your crowd, saying, "We got your back," basically. Not a barney deals, not a optical deal, we are in on it, we're investing, and we got your back. That's interesting. >> We want to be with all of the key leaders that are driving significant parts of the ecosystem, we want to be friends, our tent is large. If everybody. Provided there's, like you said, not a barney announcement, so provided there's value to the customer. If there is, our tent is large, right? We will have point competitors, you know, here and there, and you know me, I'm very competitive. >> John: (laughs) No! >> I've not named competitors too much in this show. >> Really, really. >> But, if anything now, my mind's a lot more focused on the ecosystem, and I want to make this tent large for as many, many players to come here and have a big presence at VMworld. >> And the ecosystem is reforming around this new cloud reality, and the edge is going to change that shape even further. >> Competing on value, competing in a new ecosystem requires a new way to think about relationships. >> If I could give you one other example, then. In the world of mobile, who would have thought that the most important company to mobile security and enterprise to Apple is VMware now, thanks to AirWatch, or to Samsung, whatever it might be, right. This is the world we live in, and we have to constantly adapt ourselves. So maybe next year we'll be talking about IoT or something different, and their ecosystem. >> Sanjay Poonen, COO of VMware, good friend inside The Cube, always candid. Thanks for sharing your commentary and color on the industry, VMware and your personal perspective. I'm John Furrier, Cube coverage live in Las Vegas, here on the ground floor in the VM Village. We'll be right back with more live coverage after this short break.