(upbeat electronic music) >> Welcome back to everyone, to "theCUBE's" coverage here in Seattle, Washington for Amazon Web Services Partner Marketplace Seller Conference, combining their partner network with Marketplace forming a new organization called AWS Partner Organization. This is "theCUBE" coverage. I'm John Furrier, your host. We've got great "Cube" alumni here from Zscaler, a very successful cloud company doing great work. Stelio D'Alo, senior director of cloud business development and Raveesh Chugh, VP of Public Cloud Partnerships at Zscaler. Welcome back to "theCUBE." Good to see you guys. Thanks for coming on. >> Thank you. >> Thanks having us, John. >> So we've been doing a lot of coverage of Zscaler, what a great success story. I mean, the numbers are great. The business performance, it's in the top two, three, one, two, three in all metrics on public companies, SaaS. So you guys, check. Good job. >> Yes, thank you. >> So you guys have done a good job. Now you're here, selling through the Marketplace. You guys are a world class performing company in cloud SaaS, so you're in the front lines doing well. Now, Marketplace is a procurement front end opportunity for people to buy. Hey, self-service, buy and put things together. Sounds novel, what a great concept. Great cloud life. >> Yes. >> You guys are participating and now sellers are coming together. The merger of the public, the partner network with Marketplace. It feels like this is a second act for AWS to go to the next level. They got their training wheels done with partners. Now they're going to the next level. What do you guys think about this? >> Well, I think you're right, John. I think it is very much something that is in keeping with the way AWS does business. Very Amazonian, they're working back from the customer. What we're seeing is, our customers and in general, the market is gravitating towards purchase mechanisms and route to market that just are lower friction. So in the same way that companies are going through their digital transformations now, really modernizing the way they host applications and they reach the internet. They're also modernizing on the purchasing side, which is super exciting, because we're all motivated to help customers with that agility. >> You know, it's fun to watch and again I'm being really candid and props to you guys as a company. Now, everyone else is kind of following that. Okay, lift and shift, check, doing some things. Now they go, whoa, I can really build on this. People are building their own apps for their companies. Going to build their own stuff. They're going to use piece parts. They're going to put it together in a really scalable way. That's the new normal. Okay, so now they go okay, I'm going to just buy through the market, I get purchasing power. So you guys have been a real leader with AWS. Can you share what you guys are doing in the Marketplace? I think you guys are a nice example of how to execute the Marketplace. Take us through. What are you guys offering there? What's the contract look like? Is it multi-pronged? What's the approach? What do customers get if they go to the marketplace for Zscaler? >> Yeah, so it's been a very exciting story and been a very pleasing one for us with AWS marketplace. We see a huge growth potentially. There are more than 350,000 customers that are actively buying through Marketplace today. We expect that number to grow to around a million customers by the next, I would say, five to ten years and we want to be part of this wave. We see AWS Marketplace to be a channel where not only our resalers or our channel partners can come and transact, but also our GSIs like Accenture want to transact through this channel. We are doing a lot, in terms of bringing new customers through Marketplace, who want to not only close their deals, but close it in the next few hours. That's the beauty of Marketplace, the agility, the flexibility in terms of pricing that it provides to ISVs like us. If a customer wants to delay their payments by a couple of quarters, Marketplace supports that. If a customer wants to do monthly payments, Marketplace supports that. We are seeing lot of customers, big customers, that have signed EDPs, enterprise discount plans with AWS. These are multi-year cloud commits coming to us and saying we can retire our EDPs with AWS if we transact your solution through AWS Marketplace. So what we have done, as of today, we have all of our production services enabled through AWS Marketplace. What that means for customers, they can now retire their EDPs by buying Zscaler products through AWS Marketplace and in return get the full benefit of maximizing their EDP commits with AWS. >> So you guys are fully committed, no toe on the water, as we heard. You guys are all in. >> Absolutely, that's exactly the way to put it. We're all in, all of our solutions are available in the marketplace. As you mentioned, we're a SaaS provider. So we're one of the vendors in the Marketplace that have SaaS solutions. So unlike a lot of customers and even the market in general, associate the Marketplace for historical reasons, the way it started with a lot of monthly subscriptions and just dipping your toe in it from a consumer perspective. Whereas we're doing multimillion dollar, multi-year SaaS contracts. So the most complicated kinds of transactions you'd normally associate with enterprise software, we're doing in very low friction ways. >> On the Zscaler side going in low friction. >> Yep, yeah, that's right. >> How about the customer experience? >> So it is primarily the the customer that experiences. >> Driving it? >> Yeah, they're driving it and it's because rather than traditional methods of going through paperwork, purchase orders- >> What are some of the things that customers are saying about this, bcause I see two benefits, I'll say that. The friction, it's a channel, okay, for Zscaler. Let's be clear, but now you have a customer who's got a lot of Amazon. They're a trusted partner too. So why wouldn't they want to have one point of contact to use their purchasing power and you guys are okay with that. >> We're absolutely okay with it. The reason being, we're still doing the transaction and we can do the transaction with our... We're a channel first company, so that's another important distinction of how people tend to think of the Marketplace. We go through channel. A lot of our transactions are with traditional channel partners and you'd be surprised the kinds of, even the Telcos, carrier providers, are starting to embrace Marketplace. So from a customer perspective, it's less paperwork, less legal work. >> Yeah, I'd love to get your reaction to something, because I think this highlights to me what we've been reporting on with "theCUBE" with super cloud and other trends that are different in a good way. Taking it to the next level and that is that if you look at Zscaler, SaaS, SaaS is self-service, the scale, there's efficiencies. Marketplace first started out as a self-service catalog, a website, you know, click and choose, but now it's a different. He calls it a supply chain, like the CICD pipeline of buying software. He mentions that, there's also services. He put the Channel partners can come in. The GSIs, global system integrators can come in. So it's more than just a catalog now. It's kind of self-service procurement more than it is just a catalog of buy stuff. >> Yes, so yeah, I feel CEOs, CSOs of today should understand what Marketplace brings to the bear in terms of different kinds of services or Zscaler solutions that they can acquire through Marketplace and other ISV solutions, for that matter. I feel like we are at a point, after the pandemic, where there'll be a lot of digital exploration and companies can do more in terms of not just Marketplace, but also including the channel partners as part of deals. So you talked about channel conflict. AWS addressed this by bringing a program called CPPO in the picture, Channel Partner Private Offers. What that does is, we are not only bringing all our channel partners into deals. For renewals as well, they're the partner of record and they get paid alongside with the customer. So AWS does all the heavy lifting, in terms of disbursements of payments to us, to the channel partner, so it's a win-win situation for all. >> I mean, private offers and co-sale has been very popular. >> It has been, and that is our bread and butter in the Marketplace. Again, we do primarily three year contracts and so private offers work super well. A nice thing for us as a vendor is it provides a great amount of flexibility. Private Offer gives you a lot of optionality, in terms of how the constructs of the deal and whether or not you're working with a partner, how the partner is utilizing as well to resell to the end user. So, we've always talked about AWS giving IT agility. This gives purchasing and finance business agility. >> Yeah, and I think this comes up a lot. I just noticed this happening a lot more, where you see dedicated sessions, not just on DevOps and all the goodies of the cloud, financial strategy. >> Yeah. >> Seeing a lot more conversation around how to operationalize the business transactions in the cloud. >> Absolutely. >> This is the new, I mean it's not new, it's been thrown around, but not at a tech conference. You don't see that. So I got to ask you guys, what's the message to the CISOs and executives watching the business people about Zscaler in the Marketplace? What should they be looking at? What is the pitch for Zscaler for the Marketplace buyer? >> So I would say that we are a cloud-delivered network security service. We have been in this game for more than a decade. We have years of early head start with lots of features and functionality versus our competitors. If customers were to move into AWS Cloud, they can get rid of their next-gen firewalls and just have all the traffic routed through our Zscaler internet access and use Zscaler private access for accessing their private applications. We feel we have done everything in our capacity, in terms of enabling customers through Marketplace and will continue to participate in more features and functionality that Marketplace has to offer. We would like these customers to take advantage of their EDPs as well as their retirement and spend for the multi-commit through AWS Marketplace. Learn about what we have to offer and how we can really expedite the motion for them, if they want to procure our solutions through Marketplace >> You know, we're seeing an ability for them to get more creative, more progressive in terms of the purchasing. We're also doing, we're really excited about the ability to serve multiple markets. So we've had an immense amount of success in commercial. We also are seeing increasing amount of public sector, US federal government agencies that want to procure this way as well for the same reasons. So there's a lot of innovation going on. >> So you have the FedRAMP going on, you got all those certifications. >> Exactly right. So we are the first cloud-native solution to provide IL5 ATO, as well as FedRAMP pie and we make that all available, GSA schedule pricing through the AWS Marketplace, again through FSIs and other resellers. >> Public private partnerships have been a big factor, having that span of capability. I got to ask you about, this is a cool conversation, because now you're like, okay, I'm selling through the Marketplace. Companies themselves are changing how they operate. They don't just buy software that we used to use. So general purpose, bundled stuff. Oh yeah, I'm buying this product, because this has got a great solution and I have to get forced to use this firewall, because I bought this over here. That's not how companies are architecting and developing their businesses. It's no longer buying IT. They're building their company digitally. They have to be the application. So they're not sitting around, saying hey, can I get a solution? They're building and architecting their solution. This is kind of like the new enterprise that no one's talking about. They kind of, got to do their own work. >> Yes. >> There's no general purpose solution that maps every company. So they got to pick the best piece parts and integrate them. >> Yes and I feel- >> Do you guys agree with that? >> Yeah, I agree with that and customers don't want to go for point solutions anymore. They want to go with a platform approach. They want go with a vendor that can not only cut down their vendors from multi-dozens to maybe a dozen or less and that's where, you know, we kind of have pivoted to the platform-centric approach, where we not only help customers with Cloud Network Security, but we also help customers with Cloud Native Application Protection Platform that we just recently launched. It's going by the name of the different elements, including Cloud Security Posture Management, Cloud Identity Event Management and so we are continuously doing more and more on the configuration and vulnerability side space. So if a customer has an AWS S3 bucket that is opened it can be detected and can be remediated. So all of those proactive steps we are taking, in terms of enhancing our portfolio, but we have come a long way as a company, as a platform that we have evolved in the Marketplace. >> What's the hottest product? >> The hottest product? >> In Marketplace right now. >> Well, the fastest growing products include our digital experience products and we have new Cloud Protection. So we've got Posture and Workload Protection as well and those are the fastest growing. For AWS customers a strong affinity also for ZPA, which provides you zero trust access to your workloads on AWS. So those are all the most popular in Marketplace. >> Yeah. >> So I would like to add that we recently launched and this has been a few years, a couple of years. We launched a product called Zscaler Digital X, the ZDX. >> Mm-hmm. >> What that product does is, let's say you're making a Zoom call and your WiFi network is laggy or it's a Zoom server that's laggy. It kind of detects where is the problem and it further tells the IT department you need to fix either the server on which Zoom is running, or fix your home network. So that is the beauty of the product. So I think we are seeing massive growth with some of our new editions in the portfolio, which is a long time coming. >> Yeah and certainly a lot of growth opportunities for you guys, as you come in. Where do you see Zscaler's big growth coming from product-wise? What's the big push? Actually, this is great upside for you here. >> Yeah. >> On the go to market side. Where's the big growth for Zscaler right now? So I think we are focused as a company on zero trust architecture. We want to securely connect users to apps, apps to apps, workloads to workloads and machines to machines. We want to give customers an experience where they have direct access to the apps that's hidden from the outside world and they can securely connect to the apps in a very succinct fashion. The user experience is second to none. A lot of customers use us on the Microsoft Office 365 side, where they see a lag in connecting to Microsoft Office 365 directly. They use the IE service to securely connect. >> Yeah, latency kills. >> Microsoft Office 365. >> Latency kills, as we always say, you know and security, you got to look at the pattern, you want to see that data. >> Yeah, and emerging use cases, there is an immense amount of white space and upside for us as well in emerging use cases, like OT, 5G, IOT. >> Yeah. >> Federal government, DOD. >> Oh god, tactical edge government. >> Security at the edge, absolutely, yeah. >> Where's the big edge? What's the edge challenge right now, if you have to put your finger on the edge, because right now that's the hot area, we're watching that. It's going to be highly contested. It's not yet clear, I mean certainly hybrid is the operating model, cloud, distributing, computing, but edge has got unique things that you can't really point to on premises that's the same. It's highly dynamic, you need high bandwidth, low latency, compute at the edge. The data has to be processed right there. What's the big thing at the edge right now? >> Well, so that's probably an emerging answer. I mean, we're working with our customers, they're inventing and they're kind of finding the use cases for those edge, but one of the good things about Zscaler is that we are able to, we've got low latency at the edge. We're able to work as a computer at the edge. We work on Outpost, Snowball, Snowcone, the Snow devices. So we can be wherever our customers need us. Mobile devices, there are a lot of applications where we've got to be either on embedded devices, on tractors, providing security for those IOT devices. So we're pretty comfortable with where we are being the- >> So that's why you guys are financially doing so well, performance wise. I got to ask you though, because I think that brings up the great point. If this is why I like the Marketplace, if I'm a customer, the edge is highly dynamic. It's changing all the time. I don't want to wait to buy something. If I got my solution architects on a product, I need to know I'm going to have zero trust built in and I need to push the button on Zscaler. I don't want to wait. So how does the procurement side impact? What have you guys seen? Share your thoughts on how Marketplace is working from the procurement standpoint, because it seems to me to be fast. Is that right, or is it still slow on their side? On the buyer side, because this to me would be a benefit to developers, if we say, hey, the procurement can just go really fast. I don't want to go through a bunch of PO approvals or slow meetings. >> It can be, that manifests itself in several ways, John. It can be, for instance, somebody wants to do a POC and traditionally you could take any amount of time to get budget approval, take it through. What if you had a pre-approved cloud budget and that was spent primarily through AWS Marketplace, because it's consolidated data on your AWS invoice. The ability to purchase a POC on the Marketplace could be done literally within minutes of the decision being made to go forward with it. So that's kind of a front end, you know, early stage use case. We've got examples we didn't talk about on our recent earnings call of how we have helped customers bring in their procurement with large million dollar, multimillion dollar deals. Even when a resaler's been involved, one of our resaler partners. Being able to accelerate deals, because there's so much less legal work and traditional bureaucratic effort. >> Agility. >> That agility purchasing process has allowed our customers to pull into the quarter, or the end of month, or end of quarter for them, deals that would've otherwise not been able to be done. >> So this is a great example of where you can set policy and kind of create some guard rails around innovation and integration deals, knowing if it's something that the edge is happening, say okay, here's some budget. We approved it, or Amazon gives credits and partnership going on. Then I'd say, hey, well green light this, not to exceed a million dollars, or whatever number in their range and then let people have the freedom to execute. >> You're absolutely right, so from the purchasing side, it does give them that agility. It eliminates a lot of the processes that would push out a purchase in actual execution past when the business decision is made and quite frankly, to be honest, AWS has been very accommodative. They're a great partner. They've invested a lot in Marketplace, Marketplace programs, to help customers do the right thing and do it more quickly as well as vendors like us to help our customers make the decisions they need to. >> Rising tide, a rising tide floats all boats and you guys are a great example of an independent company. Highly successful on your own. >> Yep. >> Certainly the numbers are clear. Wall Street loves Zscaler and economics are great. >> Our customer CSAT numbers are off the scale as well. >> Customers are great and now you've got the Marketplace. This is again, a new normal. A new kind of ecosystem is developing where it's not like the old monolithic ecosystems. The value creation and extraction is happening differently now. It's kind of interesting. >> Yes and I feel we have a long way to go, but what I can tell you is that Zscaler is in this for the long run. We are seeing some of the competitors erupt in the space as well, but they have a long way to go. What we have built requires years worth of R&D and features and thousands of customer's use cases which kind of lead to something what Zscaler has come up with today. What we have is very unique and is going to continuously be an innovation in the market in the years to come. In terms of being more cloud-savvy or more cloud-focused or more cloud-native than what the market has seen so far in the form of next-gen firewalls. >> I know you guys have got a lot of AI work. We've had many conversations with Howie over there. Great stuff and really appreciate you guys participating in our super cloud event we had and we'll see more of that where we're talking about the next generation clouds, really enabling that new disruptive, open-spanning capabilities across multiple environments to run cloud-native modern applications at scale and secure. Appreciate your time to come on "theCUBE". >> Thank you. >> Thank you very much. >> Thanks for having us. >> Thanks, I totally appreciate it. Zscaler, leading company here on "theCUBE" talking about their relationship with Marketplace as they continue to grow and succeed as technology goes to the next level in the cloud. Of course "theCUBE's" covering it here in Seattle. I'm John Furrier, your host. Thanks for watching. (peaceful electronic music)

(upbeat electronic music) >> Welcome back to everyone, to "theCUBE's" coverage here in Seattle, Washington for Amazon Web Services Partner Marketplace Seller Conference, combining their partner network with Marketplace forming a new organization called AWS Partner Organization. This is "theCUBE" coverage. I'm John Furrier, your host. We've got great "Cube" alumni here from Zscaler, a very successful cloud company doing great work. Stelio D'Alo, senior director of cloud business development and Raveesh Chugh, VP of Public Cloud Partnerships at Zscaler. Welcome back to "theCUBE." Good to see you guys. Thanks for coming on. >> Thank you. >> Thanks having us, John. >> So we've been doing a lot of coverage of Zscaler, what a great success story. I mean, the numbers are great. The business performance, it's in the top two, three, one, two, three in all metrics on public companies, SaaS. So you guys, check. Good job. >> Yes, thank you. >> So you guys have done a good job. Now you're here, selling through the Marketplace. You guys are a world class performing company in cloud SaaS, so you're in the front lines doing well. Now, Marketplace is a procurement front end opportunity for people to buy. Hey, self-service, buy and put things together. Sounds novel, what a great concept. Great cloud life. >> Yes. >> You guys are participating and now sellers are coming together. The merger of the public, the partner network with Marketplace. It feels like this is a second act for AWS to go to the next level. They got their training wheels done with partners. Now they're going to the next level. What do you guys think about this? >> Well, I think you're right, John. I think it is very much something that is in keeping with the way AWS does business. Very Amazonian, they're working back from the customer. What we're seeing is, our customers and in general, the market is gravitating towards purchase mechanisms and route to market that just are lower friction. So in the same way that companies are going through their digital transformations now, really modernizing the way they host applications and they reach the internet. They're also modernizing on the purchasing side, which is super exciting, because we're all motivated to help customers with that agility. >> You know, it's fun to watch and again I'm being really candid and props to you guys as a company. Now, everyone else is kind of following that. Okay, lift and shift, check, doing some things. Now they go, whoa, I can really build on this. People are building their own apps for their companies. Going to build their own stuff. They're going to use piece parts. They're going to put it together in a really scalable way. That's the new normal. Okay, so now they go okay, I'm going to just buy through the market, I get purchasing power. So you guys have been a real leader with AWS. Can you share what you guys are doing in the Marketplace? I think you guys are a nice example of how to execute the Marketplace. Take us through. What are you guys offering there? What's the contract look like? Is it multi-pronged? What's the approach? What do customers get if they go to the marketplace for Zscaler? >> Yeah, so it's been a very exciting story and been a very pleasing one for us with AWS marketplace. We see a huge growth potentially. There are more than 350,000 customers that are actively buying through Marketplace today. We expect that number to grow to around a million customers by the next, I would say, five to ten years and we want to be part of this wave. We see AWS Marketplace to be a channel where not only our resalers or our channel partners can come and transact, but also our GSIs like Accenture want to transact through this channel. We are doing a lot, in terms of bringing new customers through Marketplace, who want to not only close their deals, but close it in the next few hours. That's the beauty of Marketplace, the agility, the flexibility in terms of pricing that it provides to ISVs like us. If a customer wants to delay their payments by a couple of quarters, Marketplace supports that. If a customer wants to do monthly payments, Marketplace supports that. We are seeing lot of customers, big customers, that have signed EDPs, enterprise discount plans with AWS. These are multi-year cloud commits coming to us and saying we can retire our EDPs with AWS if we transact your solution through AWS Marketplace. So what we have done, as of today, we have all of our production services enabled through AWS Marketplace. What that means for customers, they can now retire their EDPs by buying Zscaler products through AWS Marketplace and in return get the full benefit of maximizing their EDP commits with AWS. >> So you guys are fully committed, no toe on the water, as we heard. You guys are all in. >> Absolutely, that's exactly the way to put it. We're all in, all of our solutions are available in the marketplace. As you mentioned, we're a SaaS provider. So we're one of the vendors in the Marketplace that have SaaS solutions. So unlike a lot of customers and even the market in general, associate the Marketplace for historical reasons, the way it started with a lot of monthly subscriptions and just dipping your toe in it from a consumer perspective. Whereas we're doing multimillion dollar, multi-year SaaS contracts. So the most complicated kinds of transactions you'd normally associate with enterprise software, we're doing in very low friction ways. >> On the Zscaler side going in low friction. >> Yep, yeah, that's right. >> How about the customer experience? >> So it is primarily the the customer that experiences. >> Driving it? >> Yeah, they're driving it and it's because rather than traditional methods of going through paperwork, purchase orders- >> What are some of the things that customers are saying about this, bcause I see two benefits, I'll say that. The friction, it's a channel, okay, for Zscaler. Let's be clear, but now you have a customer who's got a lot of Amazon. They're a trusted partner too. So why wouldn't they want to have one point of contact to use their purchasing power and you guys are okay with that. >> We're absolutely okay with it. The reason being, we're still doing the transaction and we can do the transaction with our... We're a channel first company, so that's another important distinction of how people tend to think of the Marketplace. We go through channel. A lot of our transactions are with traditional channel partners and you'd be surprised the kinds of, even the Telcos, carrier providers, are starting to embrace Marketplace. So from a customer perspective, it's less paperwork, less legal work. >> Yeah, I'd love to get your reaction to something, because I think this highlights to me what we've been reporting on with "theCUBE" with super cloud and other trends that are different in a good way. Taking it to the next level and that is that if you look at Zscaler, SaaS, SaaS is self-service, the scale, there's efficiencies. Marketplace first started out as a self-service catalog, a website, you know, click and choose, but now it's a different. He calls it a supply chain, like the CICD pipeline of buying software. He mentions that, there's also services. He put the Channel partners can come in. The GSIs, global system integrators can come in. So it's more than just a catalog now. It's kind of self-service procurement more than it is just a catalog of buy stuff. >> Yes, so yeah, I feel CEOs, CSOs of today should understand what Marketplace brings to the bear in terms of different kinds of services or Zscaler solutions that they can acquire through Marketplace and other ISV solutions, for that matter. I feel like we are at a point, after the pandemic, where there'll be a lot of digital exploration and companies can do more in terms of not just Marketplace, but also including the channel partners as part of deals. So you talked about channel conflict. AWS addressed this by bringing a program called CPPO in the picture, Channel Partner Private Offers. What that does is, we are not only bringing all our channel partners into deals. For renewals as well, they're the partner of record and they get paid alongside with the customer. So AWS does all the heavy lifting, in terms of disbursements of payments to us, to the channel partner, so it's a win-win situation for all. >> I mean, private offers and co-sale has been very popular. >> It has been, and that is our bread and butter in the Marketplace. Again, we do primarily three year contracts and so private offers work super well. A nice thing for us as a vendor is it provides a great amount of flexibility. Private Offer gives you a lot of optionality, in terms of how the constructs of the deal and whether or not you're working with a partner, how the partner is utilizing as well to resell to the end user. So, we've always talked about AWS giving IT agility. This gives purchasing and finance business agility. >> Yeah, and I think this comes up a lot. I just noticed this happening a lot more, where you see dedicated sessions, not just on DevOps and all the goodies of the cloud, financial strategy. >> Yeah. >> Seeing a lot more conversation around how to operationalize the business transactions in the cloud. >> Absolutely. >> This is the new, I mean it's not new, it's been thrown around, but not at a tech conference. You don't see that. So I got to ask you guys, what's the message to the CISOs and executives watching the business people about Zscaler in the Marketplace? What should they be looking at? What is the pitch for Zscaler for the Marketplace buyer? >> So I would say that we are a cloud-delivered network security service. We have been in this game for more than a decade. We have years of early head start with lots of features and functionality versus our competitors. If customers were to move into AWS Cloud, they can get rid of their next-gen firewalls and just have all the traffic routed through our Zscaler internet access and use Zscaler private access for accessing their private applications. We feel we have done everything in our capacity, in terms of enabling customers through Marketplace and will continue to participate in more features and functionality that Marketplace has to offer. We would like these customers to take advantage of their EDPs as well as their retirement and spend for the multi-commit through AWS Marketplace. Learn about what we have to offer and how we can really expedite the motion for them, if they want to procure our solutions through Marketplace >> You know, we're seeing an ability for them to get more creative, more progressive in terms of the purchasing. We're also doing, we're really excited about the ability to serve multiple markets. So we've had an immense amount of success in commercial. We also are seeing increasing amount of public sector, US federal government agencies that want to procure this way as well for the same reasons. So there's a lot of innovation going on. >> So you have the FedRAMP going on, you got all those certifications. >> Exactly right. So we are the first cloud-native solution to provide IL5 ATO, as well as FedRAMP pie and we make that all available, GSA schedule pricing through the AWS Marketplace, again through FSIs and other resellers. >> Public private partnerships have been a big factor, having that span of capability. I got to ask you about, this is a cool conversation, because now you're like, okay, I'm selling through the Marketplace. Companies themselves are changing how they operate. They don't just buy software that we used to use. So general purpose, bundled stuff. Oh yeah, I'm buying this product, because this has got a great solution and I have to get forced to use this firewall, because I bought this over here. That's not how companies are architecting and developing their businesses. It's no longer buying IT. They're building their company digitally. They have to be the application. So they're not sitting around, saying hey, can I get a solution? They're building and architecting their solution. This is kind of like the new enterprise that no one's talking about. They kind of, got to do their own work. >> Yes. >> There's no general purpose solution that maps every company. So they got to pick the best piece parts and integrate them. >> Yes and I feel- >> Do you guys agree with that? >> Yeah, I agree with that and customers don't want to go for point solutions anymore. They want to go with a platform approach. They want go with a vendor that can not only cut down their vendors from multi-dozens to maybe a dozen or less and that's where, you know, we kind of have pivoted to the platform-centric approach, where we not only help customers with Cloud Network Security, but we also help customers with Cloud Native Application Protection Platform that we just recently launched. It's going by the name of the different elements, including Cloud Security Posture Management, Cloud Identity Event Management and so we are continuously doing more and more on the configuration and vulnerability side space. So if a customer has an AWS S3 bucket that is opened it can be detected and can be remediated. So all of those proactive steps we are taking, in terms of enhancing our portfolio, but we have come a long way as a company, as a platform that we have evolved in the Marketplace. >> What's the hottest product? >> The hottest product? >> In Marketplace right now. >> Well, the fastest growing products include our digital experience products and we have new Cloud Protection. So we've got Posture and Workload Protection as well and those are the fastest growing. For AWS customers a strong affinity also for ZPA, which provides you zero trust access to your workloads on AWS. So those are all the most popular in Marketplace. >> Yeah. >> So I would like to add that we recently launched and this has been a few years, a couple of years. We launched a product called Zscaler Digital X, the ZDX. >> Mm-hmm. >> What that product does is, let's say you're making a Zoom call and your WiFi network is laggy or it's a Zoom server that's laggy. It kind of detects where is the problem and it further tells the IT department you need to fix either the server on which Zoom is running, or fix your home network. So that is the beauty of the product. So I think we are seeing massive growth with some of our new editions in the portfolio, which is a long time coming. >> Yeah and certainly a lot of growth opportunities for you guys, as you come in. Where do you see Zscaler's big growth coming from product-wise? What's the big push? Actually, this is great upside for you here. >> Yeah. >> On the go to market side. Where's the big growth for Zscaler right now? So I think we are focused as a company on zero trust architecture. We want to securely connect users to apps, apps to apps, workloads to workloads and machines to machines. We want to give customers an experience where they have direct access to the apps that's hidden from the outside world and they can securely connect to the apps in a very succinct fashion. The user experience is second to none. A lot of customers use us on the Microsoft Office 365 side, where they see a lag in connecting to Microsoft Office 365 directly. They use the IE service to securely connect. >> Yeah, latency kills. >> Microsoft Office 365. >> Latency kills, as we always say, you know and security, you got to look at the pattern, you want to see that data. >> Yeah, and emerging use cases, there is an immense amount of white space and upside for us as well in emerging use cases, like OT, 5G, IOT. >> Yeah. >> Federal government, DOD. >> Oh god, tactical edge government. >> Security at the edge, absolutely, yeah. >> Where's the big edge? What's the edge challenge right now, if you have to put your finger on the edge, because right now that's the hot area, we're watching that. It's going to be highly contested. It's not yet clear, I mean certainly hybrid is the operating model, cloud, distributing, computing, but edge has got unique things that you can't really point to on premises that's the same. It's highly dynamic, you need high bandwidth, low latency, compute at the edge. The data has to be processed right there. What's the big thing at the edge right now? >> Well, so that's probably an emerging answer. I mean, we're working with our customers, they're inventing and they're kind of finding the use cases for those edge, but one of the good things about Zscaler is that we are able to, we've got low latency at the edge. We're able to work as a computer at the edge. We work on Outpost, Snowball, Snowcone, the Snow devices. So we can be wherever our customers need us. Mobile devices, there are a lot of applications where we've got to be either on embedded devices, on tractors, providing security for those IOT devices. So we're pretty comfortable with where we are being the- >> So that's why you guys are financially doing so well, performance wise. I got to ask you though, because I think that brings up the great point. If this is why I like the Marketplace, if I'm a customer, the edge is highly dynamic. It's changing all the time. I don't want to wait to buy something. If I got my solution architects on a product, I need to know I'm going to have zero trust built in and I need to push the button on Zscaler. I don't want to wait. So how does the procurement side impact? What have you guys seen? Share your thoughts on how Marketplace is working from the procurement standpoint, because it seems to me to be fast. Is that right, or is it still slow on their side? On the buyer side, because this to me would be a benefit to developers, if we say, hey, the procurement can just go really fast. I don't want to go through a bunch of PO approvals or slow meetings. >> It can be, that manifests itself in several ways, John. It can be, for instance, somebody wants to do a POC and traditionally you could take any amount of time to get budget approval, take it through. What if you had a pre-approved cloud budget and that was spent primarily through AWS Marketplace, because it's consolidated data on your AWS invoice. The ability to purchase a POC on the Marketplace could be done literally within minutes of the decision being made to go forward with it. So that's kind of a front end, you know, early stage use case. We've got examples we didn't talk about on our recent earnings call of how we have helped customers bring in their procurement with large million dollar, multimillion dollar deals. Even when a resaler's been involved, one of our resaler partners. Being able to accelerate deals, because there's so much less legal work and traditional bureaucratic effort. >> Agility. >> That agility purchasing process has allowed our customers to pull into the quarter, or the end of month, or end of quarter for them, deals that would've otherwise not been able to be done. >> So this is a great example of where you can set policy and kind of create some guard rails around innovation and integration deals, knowing if it's something that the edge is happening, say okay, here's some budget. We approved it, or Amazon gives credits and partnership going on. Then I'd say, hey, well green light this, not to exceed a million dollars, or whatever number in their range and then let people have the freedom to execute. >> You're absolutely right, so from the purchasing side, it does give them that agility. It eliminates a lot of the processes that would push out a purchase in actual execution past when the business decision is made and quite frankly, to be honest, AWS has been very accommodative. They're a great partner. They've invested a lot in Marketplace, Marketplace programs, to help customers do the right thing and do it more quickly as well as vendors like us to help our customers make the decisions they need to. >> Rising tide, a rising tide floats all boats and you guys are a great example of an independent company. Highly successful on your own. >> Yep. >> Certainly the numbers are clear. Wall Street loves Zscaler and economics are great. >> Our customer CSAT numbers are off the scale as well. >> Customers are great and now you've got the Marketplace. This is again, a new normal. A new kind of ecosystem is developing where it's not like the old monolithic ecosystems. The value creation and extraction is happening differently now. It's kind of interesting. >> Yes and I feel we have a long way to go, but what I can tell you is that Zscaler is in this for the long run. We are seeing some of the competitors erupt in the space as well, but they have a long way to go. What we have built requires years worth of R&D and features and thousands of customer's use cases which kind of lead to something what Zscaler has come up with today. What we have is very unique and is going to continuously be an innovation in the market in the years to come. In terms of being more cloud-savvy or more cloud-focused or more cloud-native than what the market has seen so far in the form of next-gen firewalls. >> I know you guys have got a lot of AI work. We've had many conversations with Howie over there. Great stuff and really appreciate you guys participating in our super cloud event we had and we'll see more of that where we're talking about the next generation clouds, really enabling that new disruptive, open-spanning capabilities across multiple environments to run cloud-native modern applications at scale and secure. Appreciate your time to come on "theCUBE". >> Thank you. >> Thank you very much. >> Thanks for having us. >> Thanks, I totally appreciate it. Zscaler, leading company here on "theCUBE" talking about their relationship with Marketplace as they continue to grow and succeed as technology goes to the next level in the cloud. Of course "theCUBE's" covering it here in Seattle. I'm John Furrier, your host. Thanks for watching. (peaceful electronic music)

>>Welcome to the cubes, continuing coverage of AWS reinvent 2021. I'm your host, Lisa Martin. We are running one of the industry's most important and largest hybrid tech events of the year. This year with AWS and its ecosystem partners. We have two life studios, two remote studios, and over 100 guests. So stick around as we talk about the next 10 years of cloud innovation, I'm very excited to be joined by another Lisa from Zscaler. Lisa Lorenzen is here with me, the field CTO for the Americas. She's here to talk about ZScaler's mission to make doing business and navigating change a simpler, faster, and more productive experience. Lisa, welcome to the program. >>Thank you. It's a pleasure to be here. >>So let's talk about Zscaler in AWS. Talk to me about the partnership, what you guys are doing together. >>Yeah, definitely. Z scaler is a strategic security ISV partner with AWS. So we provide AWS customers with zero trust, secure remote access to AWS, and this can improve their security posture as well as their user experience with AWS. These scaler recently announced that we are the first and only cloud security service to achieve the FedRAMP PI authorization to operate. And that FedRAMP ZPA service is built on AWS gov cloud. ZScaler's also an AWS marketplace seller where our customers can purchase our zero trust exchange services as well as request or high value security assessments. We're excited about that as we're seeing a rapid increase in customer adoption as these scaler via the AWS marketplace, we vetted our software on AWS edge services that support emerging use cases, including 5g, IOT, and OT. So for example, Zscaler runs on wavelength, outposts, snowball and snowcones, and Zscaler has strategic partnerships with leading AWS service providers and system integration partners, including Verizon NTT, BT, Accenture, Deloitte, and many of the leading national and regional AWS consulting partners. >>Great summary there. So you mentioned something I want to get more understanding on this. It sounds like it's a differentiator for CSO scale. You said that you guys recently announced to the first and only cloud security service to achieve FedRAMP high. Uh, ATO built on AWS gov cloud. Talk to me about and what the significance of that is. >>I L five authorization to operate means that we are able to protect federal assets for the department of defense, as well as for the civilian agencies. It just extends the certification of our cloud by the government to ensure that we meet all of the requirements to protect that military side of the house, as well as the civilian side of the house. >>Got it super important there, let's talk about zero trust. It's a super hot topic. We've seen so many changes to the threat landscape during the pandemic. How are some of the ways that Z scaler and AWS are helping customers tackle this together? >>Well, I'd actually like to answer that by telling a little bit of a story. Um, Growmark is one of our Z scaler and AWS success stories when they had to send everyone home to work from home overnight, the quote that we had from is the users just went home and nothing changed. ZPA made work from anywhere, just work, and they were able to maintain complete business continuity. So even though their employers might have had poor internet service at home, or, you know, 80 challenging infrastructure, if you've got kids on your wifi bunch of kids in the neighborhood doing remote school, everyone's working from home, you don't have the reliability or the, maybe the bandwidth capacity that you would when you're sitting in an office. And Zscaler private access is a cloud delivered zero trust solution that leverages dynamic resilient, TLS encrypted tunnels to connect the user to an application rather than putting an end point on a network. >>And the reason that's important is it makes for a much more reliable and resilient service, even in environments that may not have the best connectivity I live out in the county. I really, some days think that there's a hamster on a wheel somewhere in my cable modem network, and I am a consumer of this, right. I connect to Z scaler over Zscaler private access, I'm protected by Zscaler internet access. And so I access our internal applications that are running in AWS as well this way. And it makes a huge difference. Growmark really started with an SAP migration to AWS, and this was long before the pandemic. So they started out looking for that better user experience and the zero trust capability. They were able to ensure that their SAP environment was dark to the internet, even though it was running in the cloud. And that put them in this position to leverage that zero trust service when the pandemic was upon us, >>That ability or that quote that you mentioned, it just worked was absolutely critical for all of us in every industry. And I'm sure a lot of folks who were trying to manage working from home, the spouses from home kids doing, you know, school online also felt like you with the hamster on the wheel, I'm sure their internet access, but being able to have that business continuity was table-stakes especially early on for most organizations. We saw a lot of digital transformation, a lot of acceleration of it in the last 20 months during the pandemic. Talk to me about how Z scaler helps customers from a digital transformation perspective and maybe what some of the things were that you saw in the last 20 months that have accelerated >>Absolutely. Um, another example, there would be Jefferson health, and really, as we saw during the pandemic, as you say, it accelerated a lot of the existing trends of mobility, but also migration to the cloud. And when you move applications to the cloud, honestly, it's a complex environment and maybe the controls and the risk landscape is not as well. Understood. So Z scaler also has another solution, which is our cloud security posture management. And this is really ensuring that your configuration on your environment, that those workloads run in is controlled, understood correctly, coordinated and configured. So as deference and health migrated to the cloud first model, they were able to leverage the scalers workload posture to measure and control that risk. Again, it's environment where the combination of AWS and Z scaler together gives them a flexible, resilient solution that they can be confident is correctly configured and thoroughly locked down. >>And that's critical for businesses in any organization, especially as quickly as how quickly things changed in the last 20 months or so I do wonder how your customer conversations have has changed as I introduced you as the field CTO of the America's proceeds killer. I'm sure you talk with a lot of customers. How has the security posture, um, zero trust? How has that risen up within the organizational chain? Is that something that the board is concerned about? >>My gosh, yes. And zero trust really has gone through the Gartner hype cycle. You've got the introduction, the peak of interest, the trough of despair, and then really rising back into what's actually feasible. Only zero trust has done that on a timeline of over a decade. When the term was first introduced, I was working with firewall VPN enact technology, and frankly, we didn't necessarily have the flexibility, the scalability, or the resilience to offer true zero trust. You can try to do that with network security controls, but when you're really protecting a user connecting to an application, you've got an abstraction layer mismatch. What we're seeing now is the reemergence of zero trust as a priority. And this was greatly accelerated honestly by the cybersecurity executive order that came out a few months ago from the Biden administration, which made zero trust a priority for the federal government and the public sector, but also raised visibility on zero trust for the private sector as well. >>When we're looking at zero trust as a way to perhaps ward off some of these high profile breaches and outages like the colonial pipeline, whole situation that was based on some legacy technology for remote access that was exploited and led to a breach that they had to take their entire infrastructure offline to mitigate. If we can look at more modern delivery mechanisms and more sophisticated controls for zero trust, that helps the board address a number of challenges ranging from obviously risk management, but also agility and cost reduction in an environment where more than ever belts are being tightened. New ways of delivering applications are being considered. But the ability to innovate is more important than ever. >>It is more important than ever the ability to innovate, but it really changing security landscape. I'm glad to hear that you're seeing, uh, this change as a result of the executive order that president Biden put down in the summer. That's good news. It sounds like there's some progress being made there, but we saw, you mentioned colonial pipeline. We saw a lot in the last 20, 22 months or so with ransomware becoming a household word, also becoming something that is a matter of when companies in any industry get hit and versus if it's no longer kind of that choice anymore. So talk to me about some of the threats and some of the stats that Z scaler has seen particularly in the last 20, 22 months. >>Oh gosh. Well, let's see. I'm just going to focus on the last 12 months, cause that's really where we've got some of the best data. We've seen a 500% increase in ransomware delivered over encrypted channels. And what that means is it's really critical to have scalable SSL inspection that can operate at wire speed without impeding the user experience or delay in critical projects, server communications, activities that need to happen without any introduced in any additional latency. So if you think about what that takes the Z scaler internet access solution is protecting users, outbound access in the same way that Zscaler private access protects access to private resources. So we're really seeing more and more organizations seeing that both of these services are necessary to deliver a comprehensive zero trust. You have to protect and control the outbound traffic to make sure that nothing good leaks out, nothing bad sneaks in. >>And at the same time, you have to protect and control the inbound traffic and inbound is, you know, a much broader definition with apps in the data center in the cloud these days. We're also seeing that 30% of malware is delivered through trusted applications like file shares or collaboration tools. So it's no longer enough to only inspect web traffic. Now you have to be able to really inspect all flavors of traffic when you're doing that outbound protection. So another good example where Z scaler and AWS work together here is in Amazon workspaces. And there's a huge trend towards desktop as a service, for example, and organizations are starting to recognize that they need to protect both the user experience and also the connectivity onward in Amazon workspaces, the same way that they would for a traditional end user device. So we see Z scaler running in the Amazon workspaces instances to protect that outbound traffic and control that inbound traffic as well. >>Another big area is the ransomware infections are not the problem. It's the result. So over half of the ransomware infections include data theft or leakage. And that is a double whammy because you get what's called double extortion where not only do you have to pay to unlock your machines, but you have to pay not to have that stolen data exposed to the rest of the world. So it's more important than ever to be able to break that kill chain as early as possible to ensure that the or the server traffic itself isn't exposed to the initial infection vector. If you do happen to get an infection vector that sneaks through, you need to be able to control the lateral movement so that it doesn't spread in your environment. And then if both of those controls fail, you also need the outbound protection such as CASBY and DLP to ensure that even if they get into the environment, they can't exfiltrate any of the data that they find as a result. We're seeing that the largest security risk today is lateral movement inside the corporate network. And that's one of the things that makes these ransomware double extortion situations, such a problem. >>Last question for you. And we've got about a minute left. I'm curious, you said over 50% of ransomware attacks are now double extortion. How do you guys help customers combat that? So >>We really deliver a solution that eliminates a lot of the attack surface and a lot of the risks. We have no inbound listener, unlike a traditional VPN. So the outbound only connections mean you don't have the external attack surface. You can write these granular policy controls to eliminate lateral movement. And because we integrate with customer's existing identity and access management, we can eliminate the credential exposure that can lead to a larger spread in a compromised environment. We also can eliminate the problem of unpatched gateways, which led to things like colonial pipeline or some of the other major breaches we've seen recently. And we can remove that single point of failure. So you can rely on dynamic optimized traffic distribution for all of these secure services. Basically, what we're trying to do is make it simpler and more secure at the same time, >>Simpler and more secure at the same time is what everyone needs regardless of industry. Lisa, thank you for joining me today, talking about Zscaler in AWS, zero trust the threat landscape that you're seeing, and also how's the scaler and AWS together can help customers mitigate those growing risks. We appreciate your insights and your thoughtfulness. >>Thank you >>For Lisa Lorenzen. I'm Lisa Martin. You're watching the cubes coverage of AWS reinvent stick around more great content coming up next.

(funky music) >> From our studios in the heart of Silicon Valley, Palo Alto, California. This is a CUBE conversation. >> Welcome back everybody, Jeff Frick here with the CUBE. We're in our Palo Alto studios havin' a CUBE conversation, but for a little bit of something different. Instead of having our guest here locally in Palo Alto we've got him all the way across the country, across the pond, all the way over to Holland, and he's in Utrecht, and we're happy to welcome Erik Klein. He is the infrastructure architect for FrieslandCampina. Erik thanks for joining us today. >> Thank you for having me. >> Absolutely, so before we get started, a little background on FrieslandCampina for people that aren't familiar with the company. >> FrieslandCampina is a co-operative company owned by farmers, predominantly in the Netherlands, Belgium and Germany. It's a international company. We have about 34 countries with, we have, at our sales offices, our plans in there, we are one of the biggest dairy companies in the world, and love to be there. It's a very good company to work for. >> It's amazing, I was doing a little research, I mean the scale is amazing. You guys, you operate in 100 countries, exporting. You've got offices in 34 countries. I think it said of 23,000 plus employees. It's quite a big operation. >> Yup. >> So, >> A big operation doing about 10 billion liters, or kilograms, of milk a year. >> Great, so, it's a dairy, we're here talking about digital transformation; it's always fascinating to me, kind of, the reach of digital transformation in everybody's company. Everyone says everyone's really a software company, you know, kind of built around a different product or service. So what were some of the challenges that you were looking towards in 2018-2019 in terms of digital transformation in this mature industry of dairy? >> The challenges that we're having is that you have to make sure that everything is safe. The products are safe, but also the data is safe. But also that we have a lot of things move through the Cloud, and also that the performance of those applications moves through the Cloud, is to the end user's satisfaction as well. So you're not looking only at transferring data safely from the Cloud into our offices, into our production environment, also protecting our production environments from everything that's going bad on the Internet, but also having to make sure that the applications are performing to the liking of the end user, so to speak, to our customer and our consumers. >> And was the objective to build new applications in the Cloud, or was it more kind of lift-and-shift some of your older applications in the Cloud? Because those are two very different challenges. >> Yeah, it's a lift-and-shift of our older applications. For example we're now in the middle of moving our SAP environment to the Cloud, at least the development test and user environments are moved to the Cloud. The other ones remain still within a traditional data center environment, and we have moved all of our Office 365, so that's Skype for Business, SharePoint, but all the other applications to the Cloud as well. >> Ha ha. >> And there we have all this additional transformation, the challenges that really comes back to the end user. >> Those are huge applications; SAP and Office 365. Those are not insignificant >> Yup. >> applications at all. So what were some of the challenges, I'm sure we have a lot of your peers watching this. What is some of the tips and tricks that you can share with them? Big challenges that you had to overcome? Things you thought about, maybe some things that you didn't think about in that transformation? >> If you look at the SAP landscape, it's the sheer amount of interfaces between the different components of SAP. That's was something that made us decide not to move SAP to the Cloud, not the production environment and the systems Environment. That was too big of an impact. That would take too long to do and we don't have that time. If you look at Office 365, the fact that Microsoft is very averse in having anything in the middle, that brought us some real challenges. And and we did that already in 2014-2015 and we had our fair share of all fun and games. >> Ha ha ha, so what was different about it then than today? I mean obviously the Cloud has moved quite a bit. I don't know if you can mention which Cloud you put it in? >>Yeah correct, the fact that Zscaler now, does the updating, and all the changes within the Microsoft environment. So you don't have to do it yourself. You don't have to constantly monitor the ARS feeds from Microsoft, do all the changes yourself. Now it's all done by Zscaler, all the SSL bypass, the authentication bypass has been set correctly. So when that came on board that made our life a lot easier. >> Wow. >> The first part of the migration that we did in in Europe, especially in the bigger locations like Amersfoort, which has our headquarters, we really had our challenges to keep the end user satisfied. >> So just, again, kind of the scale of the end users. You mentioned that a couple of times. Is this in support of all the 23,000 people that are employed at FrieslandCampina? Is it a subset, or is it remote workers? How are you, kind of, allocating this effort? >> It is indeed all users, except for the factory workers. We don't allow people that work in production direct access to the internet. So those people are not as much excluded, but they have special PCs where they work on. So you're looking currently at about 15,000 people that are working with Office 365 directly on a day-to-day basis within FrieslandCampina. >> Wow, so the other thing you've talked about repeatedly is not only satisfaction with the users who are interfacing with the systems, but security. So what were some of the >> Yup. >> security considerations that you considered? How did you, kind of, bake security into your process? And, as we hear all the time as we go to different shows, including security shows, you know, it's not a bolt-on anymore; you have to be thinking security throughout the whole pipeline of the process. So how did you think about it? How did you attack it? How did you solve some of those problems? >> We started thinking about it already in 2012. We had, at that time within FrieslandCampina, a program specifically driven out of the LT environment, so the operational technology, so the production IT, so to speak, and they come up with an architecture based on the ISO 9599 norm, and we took that on board as IT and continued to work on that. So from 2014 we already had in our plans, the architecture to separate the various layers of the ISO 9599 framework into security zones, and we're constantly building on that one. We're refining it, we're improving it. >> Another question on security, really, and kind of the network architecture. Did you have to re-do anything within your network architecture to make this move to the Cloud possible? How did you address the network? >> It was a completely redesigned. It was a complete redesign. In the, previous to that, we just had IT, and we had one or two firewalls on-site that connects to a certain part of OT, and that was it. And now we have an architecture where we can integrate all different flavors of OT. There's no need for OT to have their own internet connections for maintenance, for support, et cetera. It's all integrated and secure. We made, and the reason for that is that you can't, in this day and age, have an island structure. Everything needs to be integrated. Everything needs to talk to each other, et cetera. >>  So Erik, this interview is sponsored by Zscaler. You're a customer of theirs. I'm just curious if you can talk a little bit about how, you know, their offering enabled you to do stuff that maybe you couldn't do before. How did you get involved with them? How are they working with them throughout this project? And how has that really been an enabler for your, you know, your move to the Cloud? >> In 2013-2014 there was a request from the business, a very strong drive from the business, that looked into breakouts, specifically to get localized contact, driven out of the, how do say that, marketing department. And then we looked at, okay, how can we enable that without creating firewalls on every location we're having, making it very expensive, etcetera. And at that time our provider, Verizon, came up, let's do a Cloud security with Verizon, with Zscaler, and do a proof of concept, and build on that one. So that worked. That gave us more regularity, if the people in the countries that needed localized content got the localized content, speeding up the application for the specific countries, so no happening from Tokyo, Japan, back to Singapore, back to websites in Japan. So that helps a lot, but like I said it was early days so we had our challenges in getting that working, getting it secure, getting the traffic to the correct Zscaler node, and so on. So we did make, from the initial set-up of this network, a number of iterations to come to where we are today. >> Great. >> So it's not one decision and then it works. No, it's a decision, see what has worked, which challenge you're getting, and then take it to the next level. >> Right. >> If we do the same thing with Zscaler as they're offering today it will be a lot quicker. We will have a number of those challenges that we had at that time, we will not have today. >> So as you look forward, what's kind of next. As you mentioned this isn't a one-stop shop. This is an ongoing process. What are, kind of, your next priorities, you know, over the next six months or so as you guys continue on this journey? >> To another data center, so not to the Cloud but to a different data center, so that's a big, really a big program. The other thing we're looking at is how can we improve remote access, provide extra benefits as part. We also look at the ZPA product of Zscaler. We're doing a proof of concept, probably in the second half of this year. So, but on the other side, this year, 2019, FrieslandCampina is a, how do you say that in proper English, stop and look back and see what's really important, what we need to go forward. So it's not going crazy on all different kind of projects. It is, okay, what will actually contribute to the profitability of FrieslandCampina going forward. >> I think that's a really great close. I know it's late in Utrecht. I appreciate you taking some time out of your evening, and I was going to ask you the last question, you know, what advice would you have for your peers, for other practitioners that are looking at this, and, you know, either in the process or planning out their journey, but I think you hit on a big one right there which is really focus on the things that matter, focus on the things that really make a difference, and just don't start doing science experiments all over the place because you can, or it's fun, or it's interesting. >> Well, what my worries are for the future, and what, not keeps me awake at night, but that that's too much, is the bad that's going around in this world is getting stronger. They have more resources than we, as a company, has to defend for us against, and the acute challenge would be, is identifying what is your traffic that is good flowing in your network. Because if you're knowing what is good everything that's not defined as being good can be immediately defined as being bad. In that case you'll have a better position in preventing yourself against everything that's going wrong, like WannaCry. If you know that WannaCry is using a well known port used all over the place in FrieslandCampina. But if you then see that same port being used to communicate between servers that never communicated before, or to workstations to servers that never communicated before, then you say, okay, stop that one immediately, because that's not good. >> Right. >> And at that moment our biggest challenge is identifying what is the traffic that's good within our network. >> Well that's a great tip, you know, that's great. You know what the positives are, and if it doesn't make the the green list then shut 'er down and (chuckling) find out what's going on. >> Correct. >> All right. >> Correct. And the reason why we identified WannaCry is that somebody, for some reason, identified Hey this server never talked with that device: Why? >> Yeah, we're hearing that, >> And because, all. >> because with IOT you have to do that, right? >> You have to do that. >> 'Cause everything's IP connected, right? Whether it's the shades and the HVAC system all the way down to all your manufacturing processes, distribution processes, >> Correct. >> IT systems. >> Correct, correct. Our big advantage was that the call back to the command and control servers was already blocked by Zscaler so it didn't hurt us that much. >> Yeah, well good, we got to keep the cows safe, keep the milk safe, and the, >> Yeah, absolutely. >> what did you say, the 10 billion gallons of milk that you guys kick out a year, or something like that? >> Yep. >> It's amazing, ha ha. >> It's amazing. >> All right Erik, well thanks for sharing your story. Good luck on your future transformations, and good luck next week; thanks for stopping by. >> Thank you very much. >> All right. >> All right. >> All right, he's Erik, I'm Jeff, you're watching the CUBE. We're in our Palo Alto studios and Utrecht, Holland. Thanks for watching, we'll see you next time. (funky music)