(bright music) >> Hello, welcome to theCUBE's presentation of the Unstoppable Domains Partner Showcase. I'm John Furrier host of theCUBE. We're here talking about the metaverse and what it all means, what it brings to the table. We've got two pioneers here in the metaverse breaking it down, doing great stuff. Both co-founders of companies, Noah Gainer, co-founder and CEO Parcel. And CJ Hetherington Co-Founder of Atlantis World, digging deep and doing all the great stuff in the Midwest. Chill and thanks for coming on theCUBE. >> Thank you so much for having us. >> Thanks for having us. >> So, first of all, I want to say congratulations for the work you guys are doing. This is one of the biggest waves we've seen coming on. It's a changing user expectations, it's a changing architecture, it's real technology involved, there's a lot of action. 30% of people at University of California, Berkeley are dropping out of the Computer Science program to get into Web3. This is the biggest technological change, business model change, user experience change. And we've been seeing going back multiple inflection points. This is a big deal. So the metaverse is real. Some people say, "Well, you know, it's not com..." It's coming it's just a matter of time. So let's get into it. What are you guys doing? Tell us about your company's Parcel and Atlantis World. Noah, start with you. >> Sure, so Parcel is a marketplace for virtual real estate. So you can think of something like OpenSea, which everyone is familiar with, but we solely focus on virtual land and virtual real estate in a number of virtual world, maybe part of decent land or the sandbox. So we feature those on our platform and, you know, we take it the next level with the user experience. So we have fully interactive maps. We have price estimates. You can think of it like a estimate on Zillow and in general, we're building the fully verticalized solution for virtual real estate users. And that will extend into rentals, like Airbnbing out your virtual condo or getting a mortgage on your virtual home, as well as, you know, cultivating the community around it. And especially helping empower creators and architects and builders and getting them work and getting their work on display. >> I'm looking forward to digging into that, that sounds very cool. CJ what's Atlantis world doing? What do you got going on? >> Yeah, exactly. So at Atlantis world, we're building the Web3, social metaverse by connecting Web3 with social, gaming, and education in one light web virtual world, that's accessible to everybody. So by going with actually a light web first and a pixel approach so that you can play on mobile or a really old device, because the problem with existing metaverses is that they set an incredibly high cost barrier to entry and also tech isn't necessarily readily available globally in terms of things like VR headsets and gaming PCs. Like for example, when I was in Africa, I travel a lot. If my book would break, it's not even that I couldn't necessarily afford to buy anyone, it's actually not available there. So we're ruling out a lot of the global kind of population from a metaverse experience. And we're building something which is like 3D pixel and super light weight, to kind of bridge that gap and build something which is ready to be massive up till now and onboard billions of users into Web3. So they'll all basically be using Web3 applications in a gamified way and going really hard on connecting that with social features, like voice chat and talking, getting, and virtual events and vaulting and all of that stuff. >> You know, I love what you guys are doing, you're pioneering a whole another area, but what's great about the whole crypto area, is that, since you know, 2017 onwards you saw Ethereum set the developer market started coming in strong. So you start to see that development. And now we got the metaverse. So I got to ask you guys what's the current definition of the metaverse. I mean everyone's... I mean, since Facebook changed their name to Meta, it's been a hype cycle and everyone's like, "Woh..." First of all, you know why they did that. But they're actually putting a lot of DAO in this. This is a wave, we talked about that. But what is the metaverse? How do you describe it? Why is it relevant? Virtual real estate, that sounds cool. What does this all come together? Explain it for the people out there that might not be getting it right. >> Yeah, I feel like for me, the critical difference between an ordinary gamer, what one might think of as game and a metaverse is actually Web3. For me, Web3 is metaverse. And for me it's really because Web3 enables real world utility, but inside of a virtual environment. So for example, inside of Atlantis, you might run into a DeFi bank and understand by interacting with other game characters, which are programmed to teach you about DeFi and like, what is Avel, how to deposit. And so you're actually getting a real world utility out of doing something in a virtual environment. And for me, that's what really bridges the gap into metaverse. Yeah, I'm really kind of bullish on that. (chuckles) >> Noah, what's your take? Define the current state of the definition of the metaverse? What is the metaverse? >> Yeah, to me, it's the 3D internet. And I do agree with what CJ's saying, how, you know, what makes it the most compelling and will ultimately the most successful is that addition of a blockchain and essentialized, you know, tributed ledger technology. Because you can have the closed metaverse, which nobody wants that future. And I don't believe that will be the future. you know, versus the open metaverse, which is blockchain-based, the users are the owners of the assets and the land and everything around it. And it's really foreign by the people. But I see the metaverse as just an extension of the internet we're already using today but we're going to have hardware that makes it 3D and more immersive like AR and VR. >> Yeah, I think- >> Yeah, definitely- >> Go on CJ. >> Around kind of like eight or nine months ago when we started to build Atlantis, we decided that the metaverse was a virtual world where you could live, work, play, and earn, and that's what we've been building. It started off as like building the metaverse that has DeFi and over the kind of time it's gone on our community has grown, we've started to understand the future of our product and our mission and values. It started to become the Web3 metaverse, right? And then on top of that, the Web3 social metaverse, so it's a combination of what all these things. >> You know, it's interesting. And I'm a little bit older than you guys, I wish I was your age, but when the web came along, people were saying the same thing. That the web's terrible. It's a stupid thing. It's never going to be real. And yeah, there was problems. It was slow to dial up back in the day. But yeah, now with gaming, I got to say, I had to look at the gaming evolution being a gamer myself, old school, I guess, but the gaming culture is proxy to what I see kind of happening in the metaverse. And let me get your reaction to that. I'm not saying directly, but you saw what gaming did, right? In game currency, some, you know, pockets of the same kind of dynamic where a lot of value is happening, the expectations were different for users. So how does the metaverse... How does gaming cross over? What's the ecosystem of metaverse? Obviously it's a cultural shift, one. Infrastructure, two. But I can just see this new generation of thinking. It's a whole nother level. Can you guys share your thoughts on that riff? >> Absolutely. Yeah, absolutely. It's like for us, we really believe that we can enable a social revolution, where workers from impoverished and remote regions can actually be onboarded into these digital player to earn economies and also learn to earn economies. So it's about leveraging Web3 and blockchain gaming, whatever actually you want to call it, to enable this revolution and actually onboard new people into a completely new working and dynamic. One of the other things we envision for Atlantis, imagine like you run around this game world and you complete quests inside of the game. And these quests basically involve talking to the non-player characters, the NPCs, which are basically pre-programmed. I don't know if anyone's ever played an MMORPG before, but it can be super fun. And they'll actually teach you how to use different crypto applications. Whether that's a DeFi bank, NFT marketplace, kind of digital asset exchange. And once you all do that, the kind of end goal in vision is that you'll be rewarded with tokens. So users will earn crypto for learning about crypto. And if anybody wants to do that right now, they can actually go to rabbithole.gg. It's a different project to Atlantis, but they building learn to earn, and you go on you complete quests and interact with different crypto applications. And it's so crucial for onboarding. And yeah, it's going to be really powerful, the kind of revolution that play to earn and learn to earn will enable. >> I'll check out the rabbihole.gg sounds awesome. What's your take on the reaction to that riff on this convergence of culture tech, gaming, vibe that's kind of divine the metaverse what's your take on that, Noah? >> Yeah, I mean... I think gaming will be the on ramp for maybe the first billion people, you know, into blockchain. It's something people already do and are already paying for, and they now have the opportunity to get paid to play. So the incentives are extremely strong and I think that will be a great way to usher people in, teach 'em about blockchain without realizing that they're using blockchain. And then once they're already in it and have already used it, then it becomes much more natural to user than other applications. >> It's funny, people always talk about, "Oh, user experience!" You know, expectations drive experience, right? If you expect something and if they're used to gaming, I see the great, great call out there, good point. Well, let me ask you guys a question, 'cause I think this is comes out a lot in terms of like the market shifts and metaverse, as an old expression, "Great markets pull the products out of companies or out of the industry." What organic growth have you guys seen in the metaverse that's been either a surprise or a natural evolution of just success and just growth, because the market's hungry for this and it is relevant. It's new, what's pulling out? What's coming out of the organic aspect of the metaverse? >> I think a lot of art and architecture and design. And, you know, it's empowering a lot of independent creators and allowing 'em to stretch their skills in a way that they maybe couldn't do before, but now can do and get compensated for. Like, we see really see the rise of the creator coming in the next couple of years in the open metaverse and finally they will be the ruling class. They won't get the short end of the stick, which artists have for... I mean all the time. >> Yeah, some of the wall street bet skies in the same way, feel the same way. CJ, What's your take on... What's getting pulled out on the organic execution growth of the interactions and metaverse evolution? >> Of course, yeah. I would, first of all love to go back to the previous point on gaming and just kind of like, definitely agree with what Noah said. And the thing is that gaming is 3.4 billion user market, and they're typically an experimental by nature people and group of users, right? So it's definitely a huge onboarding opportunity for teaching users about Web3 and using Web3 in a gamified way and making that kind of inherently fun and engaging. And again, in terms of organic growth, Web3 is incredible for that. We place a huge emphasis on, I think, collaborate versus compete and try to enable network effects for everybody who is involved in Atlantis and becoming part of our fast growing ecosystem. Like we have eight blockchain, more than 10 DeFi apps, like Aave, Yearn, Balanced, 1inch, Perpetual. All of the DAOs like The Exile, MetaCartel, lobsterdao, PizzaDAO, all of the NFT communities. Like we're actually building a yacht for bought yacht club on the beach in Atlantis. So that's fun. But yeah, we grew our community. We're very early stage still. We've been building only for eight or nine months, but we grew our community to like 20 to 30,000 community members across social channels. And we recently raised over a million dollars from our community and we're fully bootstrapped and taken no private money. So the ability to actually do that and to coordinate both kind of community efforts and fundraising and resources is really testament to Web3 and what it's becoming in the community aspect of that. And also its future and the kind of dawn and domination of the Metaverse. >> Well, I got to say, I just got to give you props for that. I think that fundraising dynamic is a real entrepreneurial new thing, that's awesome. You've got active community vote with their contribution and whether it's money and or other value, right? You got social value. This is the whole thing about the metaverse, there's a new community culture going next level here. >> We believe in community and we believe in Web3. And we know we don't understand why most leading metaverses are focusing fully on huge IP and actually ignoring Web3. So we're actually trying to build the infrastructure layer for Web3 applications and for Web3 driven utility inside of the metaverse. And what we mean by that imagine that any developer or any project or any team or any company could occupy a plot for free inside of the metaverse, customize it by branding and then effectively set up shop, whether that's a Web3 integration, so it's a DeFi Bank, or it's an exchange. Or whether that's an NFT marketplace or a music venue or a coworking space. We're really excited about that. And we really believe we've designed the value capture mechanism for virtual land in the metaverse and we're approaching it in a different way to land in the real world. >> That's awesome. Well, let's get that infrastructure conversation, unstoppable domains obviously there having the partner showcase here. You guys are partners. This NFT kind of like access method is a huge... I love it by the way. I think it's phenomenal. I love the value there, but it's also digital identity and it's distributed naming. So you kind of got this enablement vibe, you got solve a problem. How is it working with you guys? Take us through what does unstoppable metaverse... Why does unstoppable matter to the metaverse? >> Yeah, unstoppable is very great mostly for identity and having a kind of crush chain identity inside of the metaverse and just kind of in Web3 in general. And unstoppable, we enable log in with unstoppable. So if you have, for example, an unstoppable domain which is like a human readable kind of crypto wallet address, but you can also do some incredible, stuff with it, and there is a lot of fun and exciting utility, effectively, like if you would have, I don't know, like unstoppable.dao you would be able to use that to log in to the Atlantis metaverse and it would represent some of your identity and social graph in game with your peers. >> Awesome, Noah, what's your take on the unstoppable angle on this? >> Yeah, I mean, it makes it social. So, instead of you can have a feed, you know, something we're thinking about at Parcel is like a feed of all the real estate transactions, and you could follow certain people, you can follow your friends and see a feed of everything that your friends are doing in English or human readable terms that are not just like a wallet address. So, that's obviously a big one and they're also giving people more options in terms of, naming and top level domains if you want to be something.wallet or .nft, or hopefully eventually .metaverse- >> John: Yes. >> Will help expand that ecosystem much more. In addition to like on our... Like backend being able to capture email when they login and to provide better marketing for our users. >> What would you guys say to other metaverse partners looking for work with unstoppable domains for their login and digital identity, what would you recommend? >> It doesn't make sense to- >> I believe- >> Connect with the best DAO and integrate that if you want to keep shipping stuff for your community and keeping it exciting and engaging and enabling user choice in how they choose to display their identity in virtual environments. >> Yeah, there's practically no downside and plenty of upside, again, having those users who are already using unstoppable domains quickly, you know, log into your site and plug in. >> All right. That's awesome. Good stuff with unstoppable. I got to ask you guys give an example of on your products, I love the metaverse progression. I love the pioneering work you guys are doing. And again, the funding things are different. The user expectations are different. The technology experience are different. Billions of people going to be in enabled for it. What are the cool things you guys got going on? CJ, we were talking before we came on camera about the tree thing you got going on. Take us through some of the things that are exciting that people may not know about or may know about. What should they pay attention to share, share some insight? >> Yeah, of course. So one of the fun things, actually that we're building on that on these sites together with our full team and also some outside contributors from the community and two kin protocol, which is a regenerative finance protocol. And I'll get into that a little bit in a minute. Effectively what we're actually doing is planting a carbon capturing virtual forest inside of the metaverse that will in future also be bio diverse. So how we're approaching that is imagine that you can plant NFT trees inside of the metaverse, providing that your will deposit X amount of kind of USD stablecoin or Ether or some digital asset. You can actually use that to deposit inside of the tree. And we will use some, probably something like super fluid, which is like a kind of smart projecting infrastructure platform. And we all essentially enable every single second funds being sent from the contract and actually purchasing real world carbon credits. So legitimate, you know, government bags to carbon credits from the voluntary kind of public market that have actually been bridged on chain, transformed into a crypto asset, and they will be locked away inside of these trees inside of game forever. And in future, we also hope to have like user on animals, roaming the great forest of Atlantis, which will have biodiversity and endangered species credit, locked inside. And we hope to support a variety of different kind of sustainable assets and things like that to really populate this ecosystem. >> So it's you're doing climate change good for real, as well as rendering it as an asset for everyone to see and enjoy. >> Absolutely. And for me, that's what makes the metaverse the metaverse, that's what I talked about. It's how Web3 enables the metaverse to cross over into our real world, ordinary life from URL to IRL and actually provide some incredible positive impact for all of humanity on the planet. >> And Noah, you have some action going on there. I mean, I would be like, "oh, virtual real estate, isn't it unlimited real estate?" But when you have users come together, this value, we've seen this in gaming, what are some of the cool things you got going on over there at Parcel? >> Yeah, I think one thing that stands out, which maybe not enough people are thinking about are AR virtual world. So, right now a lot of people are focused on the VR types, central and sandbox and, and Atlantis, but there very well may be a billion people using augmented reality before there are a billion using virtual reality just because of the nature of the hardware development and apple may come out with their AR headset by the end of the year. So there are a few projects there they've taken the real world to map and Parcel it out into hexagons, and you can actually buy that, and you own that, that piece and you can put your own custom content there. And on that social impact point, we have heard about a few projects that are trying to use it for good. And like one project is bought up some land in the Amazon rain forest and some of the proceeds go to conservation of the rain forest. So, you know, we're all about using blockchain for good and right, coming together as a globe. >> I can't wait to see the commercial real estate division of your group with all the work from, a remote coming on. Guys, great stuff you got going on, again, you guys are pioneering an area that is coming big. It's coming strong, its got a lot of... A momentum, vitality, and energy to it. Put a plug in for your companies. Noah, we'll start with you. What's going on with Parcel, share a plug for the company. What you're looking for, do some key highlights, news, take a minute to, to give a plug. >> Sure. Yeah, great. We are the destination for virtual real estate and that extends well beyond just the buyers and sellers. That's everyone across the whole chain with property managers and property developers, but then also the builders and creators and artists, and we are working right now on aggregating the best creator directory in the metaverse. So you can think of it as a place where artists can come showcase their work and get hired. As well as just generally like bridging this knowledge gap that is much wider than we even expected. So we have our Parcel learn product coming soon, which is a fully fledged, knowledge base with education, informational content and lots of rich data. >> Where can people get involved? What's the channels? Are all channels open? Where can we find you? >> Yeah, our websites Parcel.so on Twitter, you can find us at ParcelNFT and you can link to our discord from either one of those. It's the best way to get involved. >> All right, CJ, put a plug in for the last world, I know you got a lot of action to share. >> Yeah, of course. I would love to see everybody there. Thanks so much for having us. And thanks for listening. Like I said, at the start of the call, we're building the Web3 social metaverse and we're connecting Web3 with social gaming and education, in one light web virtual world that's accessible to everybody. We're also doing some crazy stuff like planting their cabin, capturing virtual forest and all of that, and trying to be the infrastructure layer for Web3 driven real world utility inside of the metaverse. And we believe that we have designed the critical value capture mechanism for virtual learn. I we'll be sharing more all of that very soon and continuing to integrate the best apps from across the Web3 ecosystem and showcasing them at the center of Atlantis. You can go to discord.gg/atlantisworld. If you would love to learn more about us, you can go to wiki.atlantis.world. And there is some documentation now, which includes back story and team and some of our milestones and achievements so far from winning hackathons to raising grants and launching our Alpha belt, soft launching it. And we all have the public free to play coming in March. And where most active, I would say on discord and Twitter. On Twitter you can find us atlantisOx, or just search Atlantis world. And it's the first one that come up. >> All right. CJ, thank you. Noah, thanks for coming out. I really appreciate you spending the time here, and unstoppable showcase and being a partner. Again they got the great digital identity, great plug there for them here. Thanks for sharing that and thanks for sharing the time. Appreciate you guys are pioneer of some good stuff. Appreciate it. >> Thanks so much man. >> I so appreciate that. >> All right, theCUBE's unstoppable domains partner showcase. Thanks for watching. (bright music)

>>We'll come back to the cubes coverage of AWS reinvent 2021, the industry's most important hybrid event. Very few hybrid events, of course, in the last two years. And the cube is excited to be here. Uh, this is our ninth year covering AWS reinvent this the 10th reinvent we're here with Joel Minnick, who the vice president of product and partner marketing at smoking hot company, Databricks and Greg Rokita, who is executive director of technology at Edmonds. If you're buying a car or leasing a car, you gotta go to Edmund's. We're gonna talk about busting data silos, guys. Great to see you again. >>Welcome. Welcome. Glad to be here. >>All right. So Joel, what the heck is a lake house? This is all over the place. Everybody's talking about lake house. What is it? >>And it did well in a nutshell, a Lakehouse is the ability to have one unified platform to handle all of your traditional analytics workloads. So your BI and reporting Trisha, the lake, the workloads that you would have for your data warehouse on the same platform as the workloads that you would have for data science and machine learning. And so if you think about kind of the way that, uh, most organizations have built their infrastructure in the cloud today, what we have is generally customers will land all their data in a data lake and a data lake is fantastic because it's low cost, it's open. It's able to handle lots of different kinds of data. Um, but the challenges that data lakes have is that they don't necessarily scale very well. It's very hard to govern data in a data lake house. It's very hard to manage that data in a data lake, sorry, in a, in a data lake. >>And so what happens is that customers then move the data out of a data lake into downstream systems and what they tend to move it into our data warehouses to handle those traditional reporting kinds of workloads that they have. And they do that because data warehouses are really great at being able to have really great scale, have really great performance. The challenge though, is that data warehouses really only work for structured data. And regardless of what kind of data warehouse you adopt, all data warehouse and platforms today are built on some kind of proprietary format. So once you've put that data into the data warehouse, that's, that is kind of what you're locked into. The promise of the data lake house was to say, look, what if we could strip away all of that complexity and having to move data back and forth between all these different systems and keep the data exactly where it is today and where it is today is in the data lake. >>And then being able to apply a transaction layer on top of that. And the Databricks case, we do that through a technology and open source technology called data lake, or sorry, Delta lake. And what Delta lake allows us to do is when you need it, apply that performance, that reliability, that quality, that scale that you would expect out of a data warehouse directly on your data lake. And if I can do that, then what I'm able to do now is operate from one single source of truth that handles all of my analytics workloads, both my traditional analytics workloads and my data science and machine learning workloads, and being able to have all of those workloads on one common platform. It means that now not only do I get much, much more simple in the way that my infrastructure works and therefore able to operate at much lower costs, able to get things to production much, much faster. >>Um, but I'm also able to now to leverage open source in a much bigger way being that lake house is inherently built on an open platform. Okay. So I'm no longer locked into any kind of data format. And finally, probably one of the most, uh, lasting benefits of a lake house is that all the roles that have to take that have to touch my data for my data engineers, to my data analyst, my data scientists, they're all working on the same data, which means that collaboration that has to happen to go answer really hard problems with data. I'm now able to do much, much more easy because those silos that traditionally exist inside of my environment no longer have to be there. And so Lakehouse is that is the promise to have one single source of truth, one unified platform for all of my data. Okay, >>Great. Thank you for that very cogent description of what a lake house is now. Let's I want to hear from the customer to see, okay, this is what he just said. True. So actually, let me ask you this, Greg, because the other problem that you, you didn't mention about the data lake is that with no schema on, right, it gets messy and Databricks, I think, correct me if I'm wrong, has begun to solve that problem, right? Through series of tooling and AI. That's what Delta liked us. It's a man, like it's a managed service. Everybody thought you were going to be like the cloud era of spark and Brittany Britain, a brilliant move to create a managed service. And it's worked great. Now everybody has a managed service, but so can you paint a picture at Edmonds as to what you're doing with, maybe take us through your journey the early days of a dupe, a data lake. Oh, that sounds good. Throw it in there, paint a picture as to how you guys are using data and then tie it into what y'all just said. >>As Joel said, that they'll the, it simplifies the architecture quite a bit. Um, in a modern enterprise, you have to deal with a variety of different data sources, structured semi-structured and unstructured in the form of images and videos. And with Delta lake and built a lake, you can have one system that handles all those data sources. So what that does is that basically removes the issue of multiple systems that you have to administer. It lowers the cost, and it provides consistency. If you have multiple systems that deal with data, you always arise as the issue as to which data has to be loaded into which system. And then you have issues with consistency. Once you have issues with consistency, business users, as analysts will stop trusting your data. So that was very critical for us to unify the system of data handling in the one place. >>Additionally, you have a massive scalability. So, um, I went to the talk with from apple saying that, you know, he can process two years worth of data. Instead of just two days in an Edmonds, we have this use case of backfilling the data. So often we changed the logic and went to new. We need to reprocess massive amounts of data with the lake house. We can reprocess months worth of data in, in a matter of minutes or hours. And additionally at the data lake houses based on open, uh, open standards, like parquet that allowed us, allowed us to basically hope open source and third-party tools on top of the Delta lake house. Um, for example, a Mattson, we use a Matson for data discovery, and finally, uh, the lake house approach allows us for different skillsets of people to work on the same source data. We have analysts, we have, uh, data engineers, we have statisticians and data scientists using their own programming languages, but working on the same core of data sets without worrying about duplicating data and consistency issues between the teams. >>So what, what is, what are the primary use cases where you're using house Lakehouse Delta? >>So, um, we work, uh, we have several use cases, one of them more interesting and important use cases as vehicle pricing, you have used the Edmonds. So, you know, you go to our website and you use it to research vehicles, but it turns out that pricing and knowing whether you're getting a good or bad deal is critical for our, uh, for our business. So with the lake house, we were able to develop a data pipeline that ingests the transactions, curates the transactions, cleans them, and then feeds that curated a curated feed into the machine learning model that is also deployed on the lake house. So you have one system that handles this huge complexity. And, um, as you know, it's very hard to find unicorns that know all those technologies, but because we have flexibility of using Scala, Java, uh, Python and SQL, we have different people working on different parts of that pipeline on the same system and on the same data. So, um, having Lakehouse really enabled us to be very agile and allowed us to deploy new sources easily when we, when they arrived and fine tune the model to decrease the error rates for the price prediction. So that process is ongoing and it's, it's a very agile process that kind of takes advantage of the, of the different skill sets of different people on one system. >>Because you know, you guys democratized by car buying, well, at least the data around car buying because as a consumer now, you know, I know what they're paying and I can go in of course, but they changed their algorithms as well. I mean, the, the dealers got really smart and then they got kickbacks from the manufacturer. So you had to get smarter. So it's, it's, it's a moving target, I guess. >>Great. The pricing is actually very complex. Like I, I don't have time to explain it to you, but knowing, especially in this crazy market inflationary market where used car prices are like 38% higher year over year, and new car prices are like 10% higher and they're changing rapidly. So having very responsive pricing model is, is extremely critical. Uh, you, I don't know if you're familiar with Zillow. I mean, they almost went out of business because they mispriced their, uh, their houses. So, so if you own their stock, you probably under shorthand of it, but, you know, >>No, but it's true because I, my lease came up in the middle of the pandemic and I went to Edmonds, say, what's this car worth? It was worth like $7,000. More than that. Then the buyout costs the residual value. I said, I'm taking it, can't pass up that deal. And so you have to be flexible. You're saying the premises though, that open source technology and Delta lake and lake house enabled that flexible. >>Yes, we are able to ingest new transactions daily recalculate our model within less than an hour and deploy the new model with new pricing, you know, almost real time. So, uh, in this environment, it's very critical that you kind of keep up to date and ingest their latest transactions as they prices change and recalculate your model that predicts the future prices. >>Because the business lines inside of Edmond interact with the data teams, you mentioned data engineers, data scientists, analysts, how do the business people get access to their data? >>Originally, we only had a core team that was using Lakehouse, but because the usage was so powerful and easy, we were able to democratize it across our units. So other teams within software engineering picked it up and then analysts picked it up. And then even business users started using the dashboarding and seeing, you know, how the price has changed over time and seeing other, other metrics within the, >>What did that do for data quality? Because I feel like if I'm a business person, I might have context of the data that an analyst might not have. If they're part of a team that's servicing all these lines of business, did you find that the data quality, the collaboration affected data? >>Th the biggest thing for us was the fact that we don't have multiple systems now. So you don't have to load the data. Whenever you have to load the data from one system to another, there is always a lag. There's always a delay. There is always a problematic job that didn't do the copy correctly. And the quality is uncertain. You don't know which system tells you the truth. Now we just have one layer of data. Whether you do reports, whether you're data processing or whether you do modeling, they all read the same data. And the second thing is that with the dashboarding capabilities, people that were not very technical that before we could only use Tableau and Tableau is not the easiest thing to use as if you're not technical. Now they can use it. So anyone can see how our pricing data looks, whether you're an executive, whether you're an analyst or a casual business users, >>But Hey, so many questions, you guys are gonna have to combat. I'm gonna run out of time, but you now allow a consumer to buy a car directly. Yes. Right? So that's a new service that you launched. I presume that required new data. We give, we >>Give consumers offers. Yes. And, and that offer you >>Offered to buy my league. >>Exactly. And that offer leverages the pricing that we develop on top of the lake house. So the most important thing is accurately giving you a very good offer price, right? So if we give you a price, that's not so good. You're going to go somewhere else. If we give you price, that's too high, we're going to go bankrupt like Zillow debt, right. >>It took to enable that you're working off the same dataset. Yes. You're going to have to spin up a, did you have to inject new data? Was there a new data source that we're working on? >>Once we curate the data sources and once we clean it, we see the directly to the model. And all of those components are running on the lake house, whether you're curating the data, cleaning it or running the model. The nice thing about lake house is that machine learning is the first class citizen. If you use something like snowflake, I'm not going to slam snowflake here, but you >>Have two different use case. You have >>To, you have to load it into a different system later. You have to load it into a different system. So like good luck doing machine learning on snowflake. Right. >>Whereas, whereas Databricks, that's kind of your raison d'etre >>So what are your, your, your data engineer? I feel like I should be a salesman or something. Yeah. I'm not, I'm not saying that. Just, just because, you know, I was told to, like, I'm saying it because of that's our use case, >>Your use case. So question for each of you, what, what business results did you see when you went to kind of pre lake house, post lake house? What are the, any metrics you can share? And then I wonder, Joel, if you could share a sort of broader what you're seeing across your customer base, but Greg, what can you tell us? Well, >>Uh, before their lake house, we had two different systems. We had one for processing, which was still data breaks. And the second one for serving and we iterated over Nateeza or Redshift, but we figured that maintaining two different system and loading data from one to the other was a huge overhead administration security costs. Um, the fact that you had to consistency issues. So the fact that you can have one system, um, with, uh, centralized data, solves all those issues. You have to have one security mechanism, one administrative mechanism, and you don't have to load the data from one system to the other. You don't have to make compromises. >>It's scale is not a problem because of the cloud, >>Because you can spend clusters at will for different use cases. So your clusters are independent. You have processing clusters that are not affecting your serving clusters. So, um, in the past, if you were running a serving, say on Nateeza or Redshift, if you were doing heavy processing, your reports would be affected, but now all those clusters are separated. So >>Consumer data consumer can take that data from the producer independ >>Using its own cluster. Okay. >>Yeah. I'll give you the final word, Joel. I know it's been, I said, you guys got to come back. This is what have you seen broadly? >>Yeah. Well, I mean, I think Greg's point about scale. It's an interesting one. So if you look at cross the entire Databricks platform, the platform is launching 9 million VMs every day. Um, and we're in total processing over nine exabytes a month. So in terms of just how much data the platform is able to flow through it, uh, and still maintain a extremely high performance is, is bar none out there. And then in terms of, if you look at just kind of the macro environment of what's happening out there, you know, I think what's been most exciting to watch or what customers are experiencing traditionally or, uh, on the traditional data warehouse and kinds of workloads, because I think that's where the promise of lake house really comes into its own is saying, yes, I can run these traditional data warehousing workloads that require a high concurrency high scale, high performance directly on my data lake. >>And, uh, I think probably the two most salient data points to raise up there is, uh, just last month, Databricks announced it's set the world record for the, for the, uh, TPC D S 100 terabyte benchmark. So that is a place where Databricks at the lake house architecture, that benchmark is built to measure data warehouse performance and the lake house beat data warehouse and sat their own game in terms of overall performance. And then what's that spends from a price performance standpoint, it's customers on Databricks right now are able to enjoy that level of performance at 12 X better price performance than what cloud data warehouses provide. So not only are we jumping on this extremely high scale and performance, but we're able to do it much, much more efficiently. >>We're gonna need a whole nother section second segment to talk about benchmarking that guys. Thanks so much, really interesting session and thank you and best of luck to both join the show. Thank you for having us. Very welcome. Okay. Keep it right there. Everybody you're watching the cube, the leader in high-tech coverage at AWS reinvent 2021

>> Narrator: From around the globe. It's theCUBE covering Data Citizens, 21 brought to you by Collibra. >> Hi everybody, John Walls here on theCUBE continuing our coverage of Data Citizens 2021. And I'm with now Kirk Haslbeck was the vice president of engineering at Collibra. Kirk joins us from his home, Kirk good to see you today. Thanks for joining us here on theCUBE. >> Well, thanks for having me, I'm excited to be here. >> Yeah, no, this is all about data quality, right? That's your world, you know, making sure that you're making the most of this great asset, right? That continues to evolve and mature. And yet I'm wondering from your perspective from your side of the fence, I assume data quality has always been a concern, right? Making the most of this asset, wherever it is. And whenever you can get it. >> Yeah, absolutely. I mean, the challenge hasn't slowed down, right? We're looking at more data coming in all the time laws of large numbers, but you kind of have to wonder a lot of the large organizations have been trying to solve this for quite some time, right? So what is going on? Why isn't it just easier to get our arms around it? And there's so many reasons, but if I were to list maybe the top one it's the diminishing value of static rules and a good example of that might just be something as simple as starting with a gender column. And back in the day, we might have assumed that it had to be an M or an F male or female. And over the last couple of years, we've actually seen that column evolve into six or seven different types. So just the very act of assuming that we could go in and write rules about our business and that they're never going to change and that the data's not evolving. And we start to think about zip codes and addresses that are changing, you know, Google street view. However you want to think of it. Every column and every record is just changing all the time. And so what, you know, many large organizations have done they've written maybe forty thousand, fifty thousand rules and they have to continue to manage them. So I think we all try to get our arms around rule creation. And it's not even just about that. It would also be about if you had all the rules in place could you even keep up with them on a day-to-day changing basis? And so one of the largest companies in the U.S sat down with myself and team early on and said, so what am I up against? I'm really either going to continue to hire a mountain of rule writers, you know, as they put it per department to get my arms around this and that'll never end, or I need to think of a better way which was the solution that we were ultimately providing at that time. And, you know, and what that solution really entails is using data mining to learn and observe all the data that's already there and to curate the rules based on the data itself, right? That's where all the information is. And then ultimately we have this concept of adaptive ruling which means all the variants in that column all the new values that come in every day, the roll counts, the sizes are all being managed. It's an automatic program, so that the rule is recalibrating itself and I think this is where most most chief data officers sit back and say if I have to protect the franchise, right? If I have to put a trusted data program in place what are my options and how does it scale? And they have to take a really hard look at something like this. >> You know, the process that you're talking about too it just kind of reminds me of, of like, of a diet in that nobody wants to go through that pain, right? We all want to eat, what we want to eat but you're really happy when you get there at the end of the day, you like the way you look like the way you feel, like the way you act, all those things, so it'd be almost like when you're talking about in terms of this data, you know, in terms of a rule setting, right? Governance and accessibility and all these things, it's, it can be a tough process. Can be, but it certainly seems well worth it because you make your data all the more valuable and essential to your business, Is that about right? >> Yeah, that's right, that's right. And you know, it's funny you compare it to a diet. Sometimes I think of a patient stress test, you know, almost like a health exam and we're spending so much time testing the analytics or testing the models and looking at accuracy and can anybody achieve 89 to 90% but we're probably not spending enough time testing our data assumptions, right? Running that diet or health check against the data itself. And I would say that every fortune 100 or even fortune 1000 probably considers themselves a data-driven business at this point in time, which means they're going to make decisions quickly based on data. And if we really pull that thread a little bit, what about what's the cost of making decisions on incorrect data? I mean it's terribly scary as we start to unfold that, so you're absolutely right. They're taking it very seriously. And it takes a lot of thought of how to get enough coverage and how to create trust in that type of environment. >> Yeah, it's almost too, it's like, you know the concept of input bias a little bit here where were if you're assuming that certain data sets are accurate and pertinent, relevant, all those things and then you're making decisions based on those data sets but you might be looking at kind of an input bias if I'm hearing you right, that you're maybe you're not keeping your mind open as to what really should be important or influential in your decision-making in terms of data. And then obviously acting on that appropriately. So you have to decide maybe on the front side, you know, what data matters and you help people do that. And then help me make decisions based on good data basically, right? >> Right, that's right and to be fully transparent and candid we weren't as strong in the what data matters piece of it. We were very strong early on in giving you broad coverage meaning we made no assumptions, right? We wanted to go out and attack the whole surface of the problem and then sort of have a consistent scoring methodology. And as we've partnered and now become acquired by Collibra which is an exciting path, they are very good at what's called critical data elements and lineage and doing graph analysis to sort of identify the assets that are most used. And that's where we see a huge benefit in combining those two powers. So you kind of got there quickly, but ultimately we are combining the forces of total coverage at scale with what is most important to you. >> Imagine we coming OwlDQ, you were the founder of that, that was purchased by Collibra. Tell us a little bit about, just about how that came to be in first off, we did a OwlDQ, what that was all about and then how this, this a marriage, if you will how this relationship with Collibra evolved and then you were eventually purchased. >> Yeah, absolutely, so, I mean, I had this passion that I couldn't hold back on in the data community. Once you see it this way, where you can use data mining and compute power to curate and manage rules and then take it much beyond there and to predicting and seeing around the corner for tomorrow, you have to go that direction. So that's exactly what myself and team did. And what we started to see with the early adopters of our software was that they were getting a seven figure return on investment per department. And they were able to replicate this across many departments, so we've had a great lifespan with those customers, staying and growing and expanding but we were getting a little bit of market pressure from the investment community, as well as that same customer community that they wanted us to integrate with their data catalog and the data catalog of choice. Every time the conversation was Collibra. And interestingly enough, you know, I ran into the likes of Jim Cushman and in the, you know, the whole thing unfolds from there. I think they were seeing a little bit of a similar story saying doesn't catalog and lineage belong together with quality. And when we sat together it was like three market forces suggesting the same answer. And as we laid out the roadmap and the integration we just can't see it any other way. There's no way I'll be bold and say that it goes back the other way, not just for this company but for the industry, data governance and data intelligence will absolutely combine quality, lineage, catalog and all of the above in the future. It is becoming that clear, I think. >> You know, this has kind of a big picture question, about all of that data quality right now, what's driving this avid interest that organizations showing and it's you know, small, medium enterprise it's everybody but in your mind, you know, you've been involved in this for a number of years now. You know, why now, what is it now? Is it just that we have so much more data available that so much of it's own use that, that, you know, we know what we have. And we're realizing that what we have is pretty valuable but you know, what's the driver, what's the big push here? >> Yeah, it is a tough question. And I have gotten this one before and it's interesting because it's been around since the nineties, right? So it's a very fair question. There's a couple things I think that are driving it. One as we start to see more data in Tableau dashboards and pick your favorite BI tool you start to realize the data's not correct. You know, you look at your house on Zillow or whatever you find out it's mislabeled. It doesn't have the right bedrooms. Maybe humans are entering into the listings and as data's become more available visually we're more critical of it. And now businesses are becoming more data-driven where they're humans aren't involved as much and the actions are automatically being taken. And it becomes an embarrassing moment if your data is incorrect and we can really measure that cost at this point. You do see some other factors like cloud migration. Well, that adds a risk to your business. Could you possibly port everything, not just the servers not just the software, but all of your data into another system and think that there would be no errors in that process. So as people are kind of creating their next generation platforms, and then probably even a touch of COVID accelerating that cloud migration adoption and even just technology adoption. So for a multitude of reasons, there's just more data and there's more data quality concerns than ever before. >> So if you're talking to a prospective client right now, which you probably are, you know, what do you want to share with them? Or what would you encourage them to consider in terms of kind of their data venture their data journey if you will, in terms of, you know, refining what they have in terms of mining appropriately in terms of governing it appropriately, all these things that maybe haven't been given a lot of consideration or deep consideration. >> Yeah, I think the two things although if you listen to my other talks I can talk forever about, about all of those items. It probably, you know, maybe just do the napkin math of all the tables, all the files all the Kafka messages, right? All the columns and fields and attributes and kind of just multiply that out and and try to figure out how you would get coverage. And if you could, how you could maintain it. And why shouldn't we be trading compute power for domain knowledge and things at that point I think that's the first place to start. And probably the second is actually the act of traditional data quality rules puts you in a binary situation. It basically says you will either have a break record or you will not. So it's a yes, no question, what it never will tell you is what the answer should have been. And if you take a deeper look at the solution that we're providing to the market we're actually predicting to you what the correct value is and it's a complete paradigm shift it obviously is much more scientific, but it's much more powerful to get you to the end answer more quickly instead of just going through break records. >> Right? Tremendous capability that you just described. And on that, I'm going to thank you for the time but just think about it, right? We're we're not only going to help you make more sense of your data. We're also going to help you make better decisions and show you what that path might be or what you probably should be considering. So it certainly opens up a lot of doors for a lot of companies in that respect. Kirk, thanks for the time, sorry we didn't have enough time to hear that guitar in the background, but next time I'm going to hold you to it, okay. >> Yeah, that sounds good, John, I really appreciate it. >> All right very good Kirk Haslbeck joining us from Collibra, we continue our coverage here at Data Citizens 21 on theCUBE and I'm John Walls. (bright music)

>> Announcer: From around the globe, it's theCUBE with digital coverage of MIT Chief Data Officer and Information Quality symposium brought to you by SiliconANGLE Media. >> Hi everybody. This is Dave Vellante and welcome back to theCUBE's coverage of the MIT CDOIQ 2020 event. Of course, it's gone virtual. We wish we were all together in Cambridge. They were going to move into a new building this year for years they've done this event at the Tang Center, moving into a new facility, but unfortunately going to have to wait at least a year, we'll see, But we've got a great guest. Nonetheless, Doug Laney is here. He's a Business Value Strategist, the bestselling author, an analyst, consultant then a long time CUBE friend. Doug, great to see you again. Thanks so much for coming on. >> Dave, great to be with you again as well. So can I ask you? You have been an advocate for obviously measuring the value of data, the CDO role. I don't take this the wrong way, but I feel like the last 150 days have done more to accelerate people's attention on the importance of data and the value of data than all the great work that you've done. What do you think? (laughing) >> It's always great when organizations, actually take advantage of some of these concepts of data value. You may be speaking specifically about the situation with United Airlines and American Airlines, where they have basically collateralized their customer loyalty data, their customer loyalty programs to the tunes of several billion dollars each. And one of the things that's very interesting about that is that the third party valuations of their customer loyalty data, resulted in numbers that were larger than the companies themselves. So basically the value of their data, which is as we've discussed previously off balance sheet is more valuable than the market cap of those companies themselves, which is just incredibly fascinating. >> Well, and of course, all you have to do is look to the Trillionaire's Club. And now of course, Apple pushing two trillion to really see the value that the market places on data. But the other thing is of course, COVID, everybody talks about the COVID acceleration. How have you seen it impact the awareness of the importance of data, whether it applies to business resiliency or even new monetization models? If you're not digital, you can't do business. And digital is all about data. >> I think the major challenge that most organizations are seeing from a data and analytics perspective due to COVID is that their traditional trend based forecast models are broken. If you're a company that's only forecasting based on your own historical data and not taking into consideration, or even identifying what are the leading indicators of your business, then COVID and the economic shutdown have entirely broken those models. So it's raised the awareness of companies to say, "Hey, how can we predict our business now? We can't do it based on our own historical data. We need to look externally at what are those external, maybe global indicators or other kinds of markets that proceed our own forecasts or our own activity." And so the conversion from trend based forecast models to what we call driver based forecast models, isn't easy for a lot of organizations to do. And one of the more difficult parts is identifying what are those external data factors from suppliers, from customers, from partners, from competitors, from complimentary products and services that are leading indicators of your business. And then recasting those models and executing on them. >> And that's a great point. If you think about COVID and how it's changed things, everything's changed, right? The ideal customer profile has changed, your value proposition to those customers has completely changed. You got to rethink that. And of course, it's very hard to predict even when this thing eventually comes back, some kind of hybrid mode, you used to be selling to people in an office environment. That's obviously changed. There's a lot that's permanent there. And data is potentially at least the forward indicator, the canary in the coal mine. >> Right. It also is the product and service. So not only can it help you and improve your forecasting models, but it can become a product or service that you're offering. Look at us right now, we would generally be face to face and person to person, but we're using video technology to transfer this content. And then one of the things that I... It took me awhile to realize, but a couple of months after the COVID shutdown, it occurred to me that even as a consulting organization, Caserta focuses on North America. But the reality is that every consultancy is now a global consultancy because we're all doing business remotely. There are no particular or real strong localization issues for doing consulting today. >> So we talked a lot over the years about the role of the CDO, how it's evolved, how it's changed the course of the early... The pre-title days it was coming out of a data quality world. And it's still vital. Of course, as we heard today from the Keynote, it's much more public, much more exposed, different public data sources, but the role has certainly evolved initially into regulated industries like financial, healthcare and government, but now, many, many more organizations have a CDO. My understanding is that you're giving a talk in the business case for the CDO. Help us understand that. >> Yeah. So one of the things that we've been doing here for the last couple of years is a running an ongoing study of how organizations are impacted by the role of the CDO. And really it's more of a correlation and looking at what are some of the qualities of organizations that have a CDO or don't have a CDO. So some of the things we found is that organizations with a CDO nearly twice as often, mention the importance of data and analytics in their annual report organizations with a C level CDO, meaning a true executive are four times more often likely to be using data, to transform the business. And when we're talking about using data and advanced analytics, we found that organizations with a CIO, not a CDO responsible for their data assets are only half as likely to be doing advanced analytics in any way. So there are a number of interesting things that we found about companies that have a CDO and how they operate a bit differently. >> I want to ask you about that. You mentioned the CIO and we're increasingly seeing lines of reporting and peer reporting alter shift. The sands are shifting a little bit. In the early days the CDO and still predominantly I think is an independent organization. We've seen a few cases and increasingly number where they're reporting into the CIO, we've seen the same thing by the way with the chief Information Security Officer, which used to be considered the fox watching the hen house. So we're seeing those shifts. We've also seen the CDO become more aligned with a technical role and sometimes even emerging out of that technical role. >> Yeah. I think the... I don't know, what I've seen more is that the CDOs are emerging from the business, companies are realizing that data is a business asset. It's not an IT asset. There was a time when data was tightly coupled with applications of technologies, but today data is very easily decoupled from those applications and usable in a wider variety of contexts. And for that reason, as data gets recognized as a business, not an IT asset, you want somebody from the business responsible for overseeing that asset. Yes, a lot of CDOs still report to the CIO, but increasingly more CDOs you're seeing and I think you'll see some other surveys from other organizations this week where the CDOs are more frequently reporting up to the CEO level, meaning they're true executives. Along I advocated for the bifurcation of the IT organization into separate I and T organizations. Again, there's no reason other than for historical purposes to keep the data and technology sides of the organizations so intertwined. >> Well, it makes sense that the Chief Data Officer would have an affinity with the lines of business. And you're seeing a lot of organizations, really trying to streamline their data pipeline, their data life cycles, bringing that together, infuse intelligence into that, but also take a systems view and really have the business be intimately involved, if not even owned into the data. You see a lot of emphasis on self-serve, what are you seeing in terms of that data pipeline or the data life cycle, if you will, that used to be wonky, hard core techies, but now it really involving a lot more constituent. >> Yeah. Well, the data life cycle used to be somewhat short. The data life cycles, they're longer and they're more a data networks than a life cycle and or a supply chain. And the reason is that companies are finding alternative uses for their data, not just using it for a single operational purpose or perhaps reporting purpose, but finding that there are new value streams that can be generated from data. There are value streams that can be generated internally. There are a variety of value streams that can be generated externally. So we work with companies to identify what are those variety of value streams? And then test their feasibility, are they ethically feasible? Are they legally feasible? Are they economically feasible? Can they scale? Do you have the technology capabilities? And so we'll run through a process of assessing the ideas that are generated. But the bottom line is that companies are realizing that data is an asset. It needs to be not just measured as one and managed as one, but also monetized as an asset. And as we've talked about previously, data has these unique qualities that it can be used over and over again, and it generate more data when you use it. And it can be used simultaneously for multiple purposes. So companies like, you mentioned, Apple and others have built business models, based on these unique qualities of data. But I think it's really incumbent upon any organization today to do so as well. >> But when you observed those companies that we talk about all the time, data is at the center of their organization. They maybe put people around that data. That's got to be one of the challenge for many of the incumbents is if we talked about the data silos, the different standards, different data quality, that's got to be fairly major blocker for people becoming a "Data-driven organization." >> It is because some organizations were developed as people driven product, driven brand driven, or other things to try to convert. To becoming data-driven, takes a high degree of data literacy or fluency. And I think there'll be a lot of talk about that this week. I'll certainly mention it as well. And so getting the organization to become data fluent and appreciate data as an asset and understand its possibilities and the art of the possible with data, it's a long road. So the culture change that goes along with it is really difficult. And so we're working with 150 year old consumer brand right now that wants to become more data-driven and they're very product driven. And we hear the CIO say, "We want people to understand that we're a data company that just happens to produce this product. We're not a product company that generates data." And once we realized that and started behaving in that fashion, then we'll be able to really win and thrive in our marketplace. >> So one of the key roles of a Chief Data Officers to understand how data affects the monetization of an organization. Obviously there are four profit companies of your healthcare organization saving lives, obviously being profitable as well, or at least staying within the budget, depending upon the structure of the organization. But a lot of people I think oftentimes misunderstand that it's like, "Okay, do I have to become a data broker? Am I selling data directly?" But I think, you pointed out many times and you just did that unlike oil, that's why we don't like that data as a new oil analogy, because it's so much more valuable and can be use, it doesn't fall because of its scarcity. But what are you finding just in terms of people's application of that notion of monetization? Cutting costs, increasing revenue, what are you seeing in the field? What's that spectrum look like? >> So one of the things I've done over the years is compile a library of hundreds and hundreds of examples of how organizations are using data and analytics in innovative ways. And I have a book in process that hopefully will be out this fall. I'm sharing a number of those inspirational examples. So that's the thing that organizations need to understand is that there are a variety of great examples out there, and they shouldn't just necessarily look to their own industry. There are inspirational examples from other industries as well, many clients come to me and they ask, "What are others in my industry doing?" And my flippant response to that is, "Why do you want to be in second place or third place? Why not take an idea from another industry, perhaps a digital product company and apply that to your own business." But like you mentioned, there are a variety of ways to monetize data. It doesn't involve necessarily selling it. You can deliver analytics, you can report on it, you can use it internally to generate improved business process performance. And as long as you're measuring how data's being applied and what its impact is, then you're in a position to claim that you're monetizing it. But if you're not measuring the impact of data on business processes or on customer relationships or partner supplier relationships or anything else, then it's difficult to claim that you're monetizing it. But one of the more interesting ways that we've been working with organizations to monetize their data, certainly in light of GDPR and the California consumer privacy act where I can't sell you my data anymore, but we've identified ways to monetize your customer data in a couple of ways. One is to synthesize the data, create synthetic data sets that retain the original statistical anomalies in the data or features of the data, but don't share actually any PII. But another interesting way that we've been working with organizations to monetize their data is what I call, Inverted data monetization, where again, I can't share my customer data with you, but I can share information about your products and services with my customers. And take a referral fee or a commission, based on that. So let's say I'm a hospital and I can't sell you my patient data, of course, due to variety of regulations, but I know who my diabetes patients are, and I can introduce them to your healthy meal plans, to your gym memberships, to your at home glucose monitoring kits. And again, take a referral fee or a cut of that action. So we're working with customers and the financial services firm industry and in the healthcare industry on just those kinds of examples. So we've identified hundreds of millions of dollars of incremental value for organizations that from their data that we're just sitting on. >> Interesting. Doug because you're a business value strategist at the top, where in the S curve do you see you're able to have the biggest impact. I doubt that you enter organizations where you say, "Oh, they've got it all figured out. They can't use my advice." But as well, sometimes in the early stages, you may not be able to have as big of an impact because there's not top down support or whatever, there's too much technical data, et cetera, where are you finding you can have the biggest impact, Doug? >> Generally we don't come in and run those kinds of data monetization or information innovation exercises, unless there's some degree of executive support. I've never done that at a lower level, but certainly there are lower level more immediate and vocational opportunities for data to deliver value through, to simply analytics. One of the simple examples I give is, I sold a home recently and when you put your house on the market, everybody comes out of the woodwork, the fly by night, mortgage companies, the moving companies, the box companies, the painters, the landscapers, all know you're moving because your data is in the U.S. and the MLS directory. And it was interesting. The only company that didn't reach out to me was my own bank, and so they lost the opportunity to introduce me to a Mortgage they'd retain me as a client, introduce me to my new branch, print me new checks, move the stuff in my safe deposit box, all of that. They missed a simple opportunity. And I'm thinking, this doesn't require rocket science to figure out which of your customers are moving, the MLS database or you can harvest it from Zillow or other sites is basically public domain data. And I was just thinking, how stupid simple would it have been for them to hire a high school programmer, give him a can of red bull and say, "Listen match our customer database to the MLS database to let us know who's moving on a daily or weekly basis." Some of these solutions are pretty simple. >> So is that part of what you do, come in with just hardcore tactical ideas like that? Are you also doing strategy? Tell me more about how you're spending your time. >> I trying to think more of a broader approach where we look at the data itself and again, people have said, "If you tortured enough, what would you tell us? We're just take that angle." We look at examples of how other organizations have monetized data and think about how to apply those and adapt those ideas to the company's own business. We look at key business drivers, internally and externally. We look at edge cases for their customers' businesses. We run through hypothesis generating activities. There are a variety of different kinds of activities that we do to generate ideas. And most of the time when we run these workshops, which last a week or two, we'll end up generating anywhere from 35 to 50 pretty solid ideas for generating new value streams from data. So when we talk about monetizing data, that's what we mean, generating new value streams. But like I said, then the next step is to go through that feasibility assessment and determining which of these ideas you actually want to pursue. >> So you're of course the longtime industry watcher as well, as a former Gartner Analyst, you have to be. My question is, if I think back... I've been around a while. If I think back at the peak of Microsoft's prominence in the PC era, it was like windows 95 and you felt like, "Wow, Microsoft is just so strong." And then of course the Linux comes along and a lot of open source changes and low and behold, a whole new set of leaders emerges. And you see the same thing today with the Trillionaire's Club and you feel like, "Wow, even COVID has been a tailwind for them." But you think about, "Okay, where could the disruption come to these large players that own huge clouds, they have all the data." Is data potentially a disruptor for what appear to be insurmountable odds against the newbies" >> There's always people coming up with new ways to leverage data or new sources of data to capture. So yeah, there's certainly not going to be around for forever, but it's been really fascinating to see the transformation of some companies I think nobody really exemplifies it more than IBM where they emerged from originally selling meat slicers. The Dayton Meat Slicer was their original product. And then they evolved into Manual Business Machines and then Electronic Business Machines. And then they dominated that. Then they dominated the mainframe software industry. Then they dominated the PC industry. Then they dominated the services industry to some degree. And so they're starting to get into data. And I think following that trajectory is something that really any organization should be looking at. When do you actually become a data company? Not just a product company or a service company or top. >> We have Inderpal Bhandari is one of our huge guests here. He's a Chief-- >> Sure. >> Data Officer of IBM, you know him well. And he talks about the journey that he's undertaken to transform the company into a data company. I think a lot of people don't really realize what's actually going on behind the scenes, whether it's financially oriented or revenue opportunities. But one of the things he stressed to me in our interview was that they're on average, they're reducing the end to end cycle time from raw data to insights by 70%, that's on average. And that's just an enormous, for a company that size, it's just enormous cost savings or revenue generating opportunity. >> There's no doubt that the technology behind data pipelines is improving and the process from moving data from those pipelines directly into predictive or diagnostic or prescriptive output is a lot more accelerated than the early days of data warehousing. >> Is the skills barrier is acute? It seems like it's lessened somewhat, the early Hadoop days you needed... Even data scientist... Is it still just a massive skill shortage, or we're starting to attack that. >> Well, I think companies are figuring out a way around the skill shortage by doing things like self service analytics and focusing on more easy to use mainstream type AI or advanced analytics technologies. But there's still very much a need for data scientists and organizations and the difficulty in finding people that are true data scientists. There's no real certification. And so really anybody can call themselves a data scientist but I think companies are getting good at interviewing and determining whether somebody's got the goods or not. But there are other types of skills that we don't really focus on, like the data engineering skills, there's still a huge need for data engineering. Data doesn't self-organize. There are some augmented analytics technologies that will automatically generate analytic output, but there really aren't technologies that automatically self-organize data. And so there's a huge need for data engineers. And then as we talked about, there's a large interest in external data and harvesting that and then ingesting it and even identifying what external data is out there. So one of the emerging roles that we're seeing, if not the sexiest role of the 21st century is the role of the Data Curator, somebody who acts as a librarian, identifying external data assets that are potentially valuable, testing them, evaluating them, negotiating and then figuring out how to ingest that data. So I think that's a really important role for an organization to have. Most companies have an entire department that procures office supplies, but they don't have anybody who's procuring data supplies. And when you think about which is more valuable to an organization? How do you not have somebody who's dedicated to identifying the world of external data assets that are out there? There are 10 million data sets published by government, organizations and NGOs. There are thousands and thousands of data brokers aggregating and sharing data. There's a web content that can be harvested, there's data from your partners and suppliers, there's data from social media. So to not have somebody who's on top of all that it demonstrates gross negligence by the organization. >> That is such an enlightening point, Doug. My last question is, I wonder how... If you can share with us how the pandemic has effected your business personally. As a consultant, you're on the road a lot, obviously not on the road so much, you're doing a lot of chalk talks, et cetera. How have you managed through this and how have you been able to maintain your efficacy with your clients? >> Most of our clients, given that they're in the digital world a bit already, made the switch pretty quick. Some of them took a month or two, some things went on hold but we're still seeing the same level of enthusiasm for data and doing things with data. In fact some companies have taken our (mumbles) that data to be their best defense in a crisis like this. It's affected our business and it's enabled us to do much more international work more easily than we used to. And I probably spend a lot less time on planes. So it gives me more time for writing and speaking and actually doing consulting. So that's been nice as well. >> Yeah, there's that bonus. Obviously theCUBE yes, we're not doing physical events anymore, but hey, we've got two studios operating. And Doug Laney, really appreciate you coming on. (Dough mumbles) Always a great guest and sharing your insights and have a great MIT CDOIQ. >> Thanks, you too, Dave, take care. (mumbles) >> Thanks Doug. All right. And thank you everybody for watching. This is Dave Vellante for theCUBE, our continuous coverage of the MIT Chief Data Officer conference, MIT CDOIQ, will be right back, right after this short break. (bright music)

(upbeat music) >> From our studios in the heart of Silicon Valley, Palo Alto, California, this is a CUBE Conversation. >> Welcome everyone to this special CUBE Conversation Around the CUBE segment, Unpacking AI, number two, sponsored by Juniper Networks. We've got a great lineup here to go around the CUBE and unpack AI. We have Ken Jennings, all-time Jeopardy champion with us. Celebrity, great story there, we'll dig into that. John Hinson, director of AI at Evotek and Charna Parkey, who's the applied scientist at Textio. Thanks for joining us here for Around the CUBE Unpacking AI, appreciate it. First question I want to get to, Ken, you're notable for being beaten by a machine on Jeopardy. Everyone knows that story, but it really brings out the question of AI and the role AI is playing in society around obsolescence. We've been hearing gloom and doom around AI replacing people's jobs, and it's not really that way. What's your take on AI and replacing people's jobs? >> You know, I'm not an economist, so I can't speak to how easy it's going to be to retrain and re-skill tens of millions of people once these clerical and food prep and driving and whatever jobs go away, but I can definitely speak to the personal feeling of being in that situation, kind of watching the machine take your job on the assembly line and realizing that the thing you thought made you special no longer exists. If IBM throws enough money at it, your skill essentially is now obsolete. And it was kind of a disconcerting feeling. I think that what people need is to feel like they matter, and that went away for me very quickly when I realized that a black rectangle can now beat me at a game show. >> Okay John, what's your take on AI replacing jobs? What's your view on this? >> I think, look, we're all going to have to adapt. There's a lot of changes coming. There's changes coming socially, economically, politically. I think it's a disservice to us all to get to too indulgent around the idea that these things are going to change. We have to absorb these things, we have to be really smart about how we approach them. We have to be very open-minded about how these things are going to actually change us all. But ultimately, I think it's going to be positive at the end of the day. It's definitely going to be a little rough for a couple of years as we make all these adjustments, but I think what AI brings to the table is heads above kind of where we are today. >> Charna, your take around this, because the role of humans versus machines are pretty significant, they help each other. But is AI going to dominate over humans? >> Yeah, absolutely. I think there's a thing that we see over and over again in every bubble and collapse where, you know, in the automotive industry we certainly saw a bunch of jobs were lost, but a bunch of jobs were gained. And so we're just now actually getting into the phase where people are realizing that AI isn't just replacement, it has to be augmentation, right? We can't simply use images to replace recognition of people, we can't just use black box to give our FICO credit scores, it has to be inspectable. So there's a new field coming up now called explainable AI that actually is where we're moving towards and it's actually going to help society and create jobs. >> All right so let's stay on that next point for the next round, explainable AI. This points to a golden age. There's a debate around are we in a bubble or a golden age. A lot of people are negative right now on tech. You can see all the tech backlash. Amazon, the big tech companies like Apple and Facebook, there's a huge backlash around this so-called tech for society. Is this an indicator of a golden age coming? >> I think so, absolutely. We can take two examples of this. One would be where, you remember when Amazon built a hiring algorithm based upon their own resume data and they found that it was discriminating against women because they had only had men apply for it. Now with Textio we're building augmented writing across the audience and not from a single company and so companies like Johnson and Johnson are increasing the pipeline by more than nine percent which converts to 90,000 more women applying for their jobs. And so part of the difference there is one is explainable, one isn't, and one is using the right data set representing the audience that is consuming it and not a single company's hiring. So I think we're absolutely headed into more of a golden age, and I think these are some of the signs that people are starting to use it in the right way. >> John, what's your take? Obviously golden age doesn't look that to us right now. You see Facebook approving lies as ads, Twitter banning political ads. AI was supposed to solve all these problems. Is there light at the end of this dark tunnel we're on? >> Yeah, golden age for sure. I'm definitely a big believer in that. I think there's a new era amongst us on how we handle data in general. I think the most important thing we have here though is education around what this stuff is, how it works, how it's affecting our lives individually and at the corporate level. This is a new era of informing and augmenting literally everything we do. I see nothing but positives coming out of this. We have to be obviously very careful with our approaching all the biases that already exist today that are only going to be magnified with these types of algorithms at mass scale. But ultimately if we can get over that hurdle, which I believe collectively we all need to do together, I think we'd live in much better, less wasteful world just by approaching the data that's already at hand. >> Ken, what's your take on this? It's like a daily double question. Is it going to be a golden age? >> Laughs >> It's going to come sooner or later. We have to have catastrophe before, we have to have reality hit us in the face before we realize that tech is good, and shaping it? It's pretty ugly right now in some of the situations out there, especially in the political scene with the election in the US. You're seeing some negative things happening. What's your take on this? >> I'm much more skeptical than John and Charna. I feel like that kind of just blinkered, it's going to be great, is something you have to actually be in the tech industry and hearing all day to actually believe. I remember seeing kind of lay-person's exposure to Watson when Watson was on Jeopardy and hearing the questions reporters would ask and seeing the memes that would appear, and everyone's immediate reaction just to something as innocuous as a AI algorithm playing on a game show was to ask, is this Skynet from Terminator 2? Is this the computer from The Matrix? Is this HAL pushing us out of the airlock? Everybody immediately first goes to the tech is going to kill us. That's like everybody's first reaction, and it's weird. I don't know, you might say it's just because Hollywood has trained us to expect that plot development, but I almost think it's the other way around. Like that's a story we tell because we're deeply worried about our own meaning and obsolescence when we see how little these skills might be valued in 10, 20, 30 years. >> I can't tell you how much, by the way, Star Trek, Star Wars and Terminators probably affected the nomenclature of the technology. Everyone references Skynet. Oh my God, we're going to be taken over and killed by aliens and machines. This is a real fear. I thinks it's an initial reaction. You felt that Ken, so I've got to ask you, where do you think the crossover point is for people to internalize the benefits of say, AI for instance? Because people will say hey, look back at life before the iPhone, look at life before these tools were out there. Some will say society's gotten better, but yet there's this surveillance culture, things... And on and on. So what do you guys think the crossover point is for the reaction to change from oh my God, it's Skynet, gloom and doom to this actually could be good? >> It's incredibly tricky because as we've seen, the perception of AI both in and out of the industry changes as AI advances. As soon as machine learning can actually do a task, there's a tendency to say there's this no true Scotsman problem where we say well, that clearly can't be AI because I see how the trick worked. And yeah, humans lose at chess now. So when these small advances happen, the reaction is often oh, that's not really AI. And by the same token, it's not a game-changer when your email client can start to auto-complete your emails. That's a minor convenience to you. But you don't think oh, maybe Skynet is good. I really do think it's going to have to be, maybe the inflection point is when it starts to become so disruptive that actually public policy has to change. So we get serious about >> And public policy has started changing. >> whatever their reactions are. >> Charna, your thoughts. >> The public policy has started changing though. We just saw, I think it was in September, where California banned the use of AI in the body cameras, both real-time and after the fact. So I think that's part of the pivot point that we're actually seeing is that public policy is changing.` The state of Washington currently has a task force for AI who's making a set of recommendations for policy starting in December. But I think part of what we're missing is that we don't have enough digital natives in office to even attempt to, to your point Ken, predict what we're even going to be able to do with it, right? There is this fear because of misunderstanding, but we also don't have a respect of our political climate right now by a lot of our digital natives, and they need to be there to be making this policy. >> John, weigh in on this because you're director of AI, you're seeing positive, you have to deal with the uncertainty as well, the growth of machine learning. And just this week Google announced more TensorFlow for everybody. You're seeing Open Source. So there's a tech push, almost a democratization, going on with AI. So I think this crossover point might be sooner in front of us than people think. What's your thoughts? >> Yeah it's here right now. All these things can be essentially put into an environment. You can see these into products, or making business decisions or political decisions. These are all available right now. They're available today and its within 10 to 15 lines of code. It's all about the data sets, so you have to be really good stewards of the data that you're using to train your models. But I think the most important thing, back to the Skynet and all this science-fiction side, we have to collectively start telling the right stories. We need better stories than just this robots are going to take us over and destroy all of our jobs. I think more interesting stories really revolve around, what about public defenders who can have this informant augmentation algorithm that's going to help them get their job done? What about tailor-made medicine that's going to tell me exactly what the conditions are based off of a particular treatment plan instead of guessing? What about tailored education that's going to look at all of my strengths and weaknesses and present a plan for me? These are things that AI can do. Charna's exactly right, where if we don't get this into the right political atmosphere that's helping balance the capitalist side with the social side, we're going to be in trouble. So that's got to be embedded in every layer of enterprise as well as society in general. It's here, it's now, and it's real. >> Ken, before we move on to the ethics question, I want to get your thoughts on this because we have an Alexa at home. We had an Alexa at home; my wife made me get rid of it. We had an Apple device, what they're called... the Home pods, that's gone. I bought a Portal from Facebook because I always buy the earliest stuff, that's gone. We don't want listening devices in our house because in order to get that AI, you have to give up listening, and this has been an issue. What do you have to give to get? This has been a big question. What's your thoughts on all this? >> I was at an Amazon event where they were trumpeting how no technology had ever caught on faster than these personal digital assistants, and yet every time I'm in a use case, a household that's trying to use them, something goes terribly wrong. My friend had to rename his because the neighbor kids kept telling Alexa to do awful things. He renamed it computer, and now every time we use the word computer, the wall tells us something we don't want to know. >> (laughs) >> This is just anecdata, but maybe it speaks to something deeper, the fact that we don't necessarily like the feeling of being surveilled. IBM was always trying to push Watson as the star Trek computer that helpfully tells you exactly what you need to know in the right moment, but that's got downsides too. I feel like we're going to, if nothing else, we may start to value individual learning and knowledge less when we feel like a voice from the ceiling can deliver unto us the fact that we need. I think decision-making might suffer in that kind of a world. >> All right, this brings up ethics because I bring up the Amazon and the voice stuff because this is the new interface people want to have with machines. I didn't mention phones, Androids and Apple, they need to listen in order to make decisions. This brings up the ethics question around who sets the laws, what society should do about this, because we want the benefits of AI. John, you point out some of them. You got to give to get. Where are we on ethics? What's the opinion, what's the current view on this? John, we'll start with you on your ethics view on what needs to change now to move the ball faster. >> Data is gold. Data is gold at an exponential rate when you're talking about AI. There should be no situation where these companies get to collect data at no cost or no benefit to the end consumer. So ultimately we should have the option to opt out of any of these products and any of this type of surveillance wherever we can. Public safety is a little bit different situation, but on the commercial side, there is a lot of more expensive and even more difficult ways to train these models with a data set that isn't just basically grabbing everything our of your personal lives. I think that should be an option for consumers and that's one of those ethical check-marks. Again, ethics in general, the way that data's trained, the way that data's handled, the way models actually work, it has to be a primary reason for and approach of how you actually go about developing and delivering AI. That said, we cannot get over-indulgent in the fact that we can't do it because we're so fearful of the ethical outcomes. We have to find some middle ground and we have to find it quickly and collectively. >> Charna, what's your take on this? Ethics is super important to set the agenda for society to take advantage of all this. >> Yeah. I think we've got three ethical components here. We certainly have, as John mentioned, the data sets. However, it's also what behavior we're trying to change. So I believe the industry could benefit from a lot more behavioral science, so that we can understand whether or not the algorithms that we're building are changing behaviors that we actually want to change, right? And if we aren't, that's unethical. There is an entire field of ethics that needs to start getting put into our companies. We need an ethics board internally. A few companies are doing this already actually. I know a lot of the military companies do. I used to be in the defense industry, and so they've got a board of ethics before you can do things. The challenge is also though that as we're democratizing the algorithms themselves, people don't understand that you can't just get a set of data that represents the population. So this is true of image processing, where if we only used 100 images of a black woman, and we used 1,000 images of a white man because that was the distribution in our population, and then the algorithm could not detect the difference between skin tones for people of color, then we end up with situations where we end up in a police state where you put in an image of one black woman and it looks like ten of them and you can't distinguish between them. And yet, the confidence rate for the humans are actually higher, because they now have a machine backing their decision. And so they stop questioning, to your point, Ken, about what is the decision I'm making, they're like I'm so confident, this data told me so. And so there's a little bit of you need some expert in the loop and you also can't just have experts, because then you end up with Cambridge Analytica and all of the political things that happened there, not just in the US, but across 200 different elections and 30 different countries. And we are upset because it happened in the US, but this has been happening for years. So its just this ethical challenge of behavior change. It's not even AI and we do it all the time. Its why the cigarette industry is regulated (laughs). >> So Ken, what's your take on this? Obviously because society needs to have ethics. Who runs that? Companies? The law-makers? Someone's got to be responsible. >> I'm honestly a little pessimistic the general public will even demand this the way we're maybe hoping that they will. When I think about an example like Facebook, people just being able to, being willing to give away insane amounts of data through social media companies for the smallest of benefits: keeping in touch with people from high school they don't like. I mean, it really shows how little we value not being a product in this kind of situation. But I would like to see this kind of ethical decisions being made at the company-level. I feel like Google kind of surreptitiously moved away from it's little don't be evil mantra with the subtext that eh, maybe we'll be a little evil now. It just reminds me of Manhattan Project era thinking, where you could've gone to any of these nuclear scientists and said you're working on a real interesting puzzle here, it might advance the field, but like 200,000 civilians might die this summer. And I feel like they would've just looked at you and thought that's not really my bailiwick. I'm just trying to solve the fission problem. I would like to see these 10 companies actually having that kind of thinking internally. Not being so busy thinking if they can do something that they don't wonder if they should. >> That's a great point. This brings up the point of who is responsible. Almost as if who is less evil than the other person? Google, they don't do evil, but they're less evil than Amazon and Facebook and others. Who is responsible? The companies or the law-makers? Because if you look up some of the hearings in Washington, D.C., some of the law-makers we see up there, they don't know how the internet works, and it's pretty obvious that this is a problem. >> Yeah, well that's why Jack Dorsey of Twitter posted yesterday that he banned not just political ads, but also issue ads. This isn't something that they're making him do, but he understands that when you're using AI to target people, that it's not okay. At some point, while Mark is sitting on (laughs) this committee and giving his testimony, he's essentially asking to be regulated because he can't regulate himself. He's like well, everyone's doing it, so I'm going to do it too. That's not an okay excuse. We see this in the labor market though actually, where there's existing laws that prevent discrimination. It's actually the company's responsibility to make sure that the products that they purchase from any vendor isn't introducing discrimination into that process. So its not even the vendor that's held responsible, it's the company and their use of it. We saw in the NYPD actually that one of those image recognition systems came up and someone said well, he looked like, I forget the name of what the actor was, but some actor's name is what the perpetrator looked like and so they used an image of the actor to try and find the person who actually assaulted someone else. And that's, it's also the user problem that I'm super concerned about. >> So John, what's your take on this? Because these are companies are in business to make money, for profit, they're not the government. And who's the role, what should the government do? AI has to move forward. >> Yeah, we're all responsible. The companies are responsible. The companies that we work with, I have yet to interact with customers, or with our customers here, that have some insidious goal, that they're trying to outsmart their customers. They're not. Everyone's looking to do the best and deliver the most relevant products in the marketplace. The government, they absolutely... The political structure we have, it has to be really intelligent and it's got to get up-skilled in this space and it needs to do it quickly, both at the economy level, as well as for our defense. But the individuals, all of us as individuals, we are already subjected to this type of artificial intelligence in our everyday lives. Look at streaming, streaming media. Right now every single one of us goes out through a streaming source, and we're getting recommendations on what we should watch next. And we're already adapting to these things, I am. I'm like stop showing me all the stuff you know I want to watch, that's not interesting to me. I want to find something I don't know I want to watch, right? So we all have to get educated, we're all responsible for these things. And again, I see a much more positive side of this. I'm not trying to get into the fear-mongering side of all the things that could go wrong, I want to focus on the good stories, the positive stories. If I'm in a courtroom and I lose a court case because I couldn't afford the best attorney and I have the bias of a judge, I would certainly like artificial intelligence to make a determination that allows me to drive an appeal, as one example. Things like that are really creative in the world that we need to do. Tampering down this wild speculation we have on the markets. I mean, we are all victims of really bad data decisions right now, almost the worst data decisions. For me, I see this as a way to actually improve all those things. Fraud fees will be reduced. That helps everybody, right? Less speculation and these wild swings, these are all helpful things. >> Well Ken, John and Charna, thank- (audio feedback) >> Go ahead, finish. Get that word in. >> Sorry. I think that point you were making though John, is we are still a capitalist society, but we're no longer a shareholder capitalist society, we are a stakeholder capitalist society and the stakeholder is the society itself. It is us, it what we want to see. And so yes, I still want money. Obviously there are things that I want to buy, but I also care about well-being. I think it's that little shift that we're seeing that is actually you and I holding our own teams accountable for what they do. >> Yeah, culture first is a whole new shift going on in these companies that's a for-profit, mission-based. Ken, John, Charna, thanks for coming on Around the CUBE, Unpacking AI. Let's go around the CUBE Ken, John and Charna in that order, and just real quickly, unpacking AI, what's your final word? >> (laughs) I really... I'm interested in John's take that there's a democratization coming provided these tools will be available to everyone. I would certainly love to believe that. It seems like in the past, we've seen no, that access to these kind of powerful, paradigm-changing tools tend to be concentrated among a very small group of people and the benefits accrue to a very small group of people. But I hope that doesn't happen here. You know, I'm optimistic as well. I like the utopian side where we all have this amazing access to information and so many new problems can get solved with amazing amounts of data that we never could've touched before. Though you know, I think about that. I try to let that help me sleep at night, and not the fact that, you know... every public figure I see on TV is kind of out of touch about technology and only one candidate suggests the universal basic income, and it's kind of a crackpot idea. Those are the kind of things that keep me up at night. >> All right, John, final word. >> I think it's beautiful, AI's beautiful. We're on the cusp of a whole new world, it's nothing but positivity I see. We have to be careful. We're all nervous about it. None of us know how to approach these things, but as human beings, we've been here before. We're here all the time. And I believe that we can all collectively get a better lives for ourselves, for the environment, for everything that's out there. It's here, it's now, it's definitely real. I encourage everyone to hurry up on their own education. Every company, every layer of government to start really embracing these things and start paying attention. It's catching us all a little bit by surprise, but once you see it in production, you see it real, you'll be impressed. >> Okay, Charna, final word. >> I think one thing I want to leave people with is what we incentivize is what we end up optimizing for. This is the same for human behavior. You're training a new employee, you put incentives on the way that they sell, and that's, they game the system. AI's specifically find the optimum route, that is their job. So if we don't understand more complex cost functions, more complex representative ways of training, we're going to end up in a space, before we know it, that we can't get out of. And especially if we're using uninspectable AI. We really need to move towards augmentation. There are some companies that are implementing this now that you may not even know. Zillow, for example, is using AI to give you a cost for your home just by the photos and the words that you describe it, but they're also purchasing houses without a human in the loop in certain markets, based upon an inspection later by a human. And so there are these big bets that we're making within these massive corporations, but if you're going to do it as an individual, take a Coursera class on AI and take a Coursera class on ethics so that you can understand what the pitfalls are going to be, because that cost function is incredibly important. >> Okay, that's a wrap. Looks like we have a winner here. Charna, you got 18, John 16. Ken came in with 12, beaten again! (both laugh) Okay, Ken, seriously, great to have you guys on, a pleasure to meet everyone. Thanks for sharing on Around the CUBE Unpacking AI, panel number two. Thank you. >> Thanks a lot. >> Thank you. >> Thanks. I've been defeated by artificial intelligence again! (all laugh) (upbeat music)

(digital music) >> Live, from Orlando, Florida it's theCUBE. Covering Microsoft Ignite. Brought to you by Cohesity, and theCUBE's ecosystem partners. >> Welcome back everyone to theCUBE's live coverage of Microsoft Ignite here at the Orange County Civic Center in Orlando. I'm your host, Rebecca Knight along with my co-host Stu Miniman. We're joined by Bev Crair. She is the vice president data center group product development and quality at Lenovo. Thanks so much for coming on theCUBE. >> Thanks Rebecca, thanks Stu. >> So, Lenovo is a longstanding partner of Microsoft. Why don't you just sent the scene for our viewers, and talk a little bit about the history of the partnership and where you are today. >> So, Lenovo and Microsoft have had a partnership of about 25 years, which is a long time in this industry. And we work really closely together on both innovation, but also making sure that anything that Microsoft is building runs best on Lenovo. >> Great, and what about, here at this conference, what are you hearing, what are you seeing in terms of this partnership? >> We have actually six things that we're really talking about here at the conference, which is a lot if you think about it. But the first is the announcement of our ThinkAgile MX, which is that integrated WSSD system. It's pre-certified, you just buy it as itself. There's four or five different sizes of it, if you will. The second one is our Azure Stack, but also our Azure services. So we're now doing both on prem Azure Stack and Azure services, which is really about customer choice. Because a lot of data center customers are really struggling with how do I build a hybrid cloud infrastructure, and what do I do with that. The third thing that we're doing, oh my gosh, I'm not going to remember them all. The third thing that we're doing is our SQL Server performance. We continue to be the best in performance for all of our SQL Server efforts. Our two-socket systems are best performing. Our four-socket systems are best performing, and so are eight-socket systems are best performing. In addition to that, we have, when we're proud to work with Microsoft on the launch of Windows Server 2019. Again, that's part of that 25 year partnership. It's just something you got to do. And we're really proud of that. The other thing that we've announced here is what we're calling the buy back program. And a lot of companies have buy back programs where you can actually buy back equipment, and you buy back your competitors equipment in order to build your stuff up, but the one thing that's kind of different about what Lenovo's doing is something I call Zillow for systems. So, you actually can go online and put in the systems that you have or the equipment that you have and we give you an automatic, instant quote back. Nobody else is actually doing that. So, it's kind of a Zillowish system where you can see what's my stuff really worth. >> I want to click in a little bit. So, I know the partnership for a long time. I think about PCs, you think about servers, obviously. Lenovo has the gear, Microsoft has the OS and various pieces that go on there. When I look at solutions like WSSD and Azure Stack, Microsoft has a number of partners, maybe help us understand what that partnership means, how Lenovo differentiates from some of the other players out there. >> So, that is one of the things I forgot. One of the things that we've announced today, and that we showed today, and actually Jeff Wosley talked about it in his talk earlier today, is an integration of Microsoft's Windows Admin Center for WSSD, and Lenovo's Xclarity system management system. So, via a single pane of glass from your Windows Admin Center, you can actually not just look at Windows Admin in the Window's infrastructure, but you can actually dig down and really understand what's actually happening with the hardware itself that WSSD is running on. And that's part of that really close partnership and relationship that we have. >> Can you talk a little bit about the approach to the partnership just because we had a Microsoft Executive on here earlier today, and he said that "our partnerships, we have this, we're able to have "a collaborative and collegial partnership "with our competitors." So, it's sort of part of their DNA." How does Lenovo think about when it partners and how it partners with a competitor? >> Well, but Microsoft isn't actually a competitor of ours. Right? And this is the thing I think that Lenovo, as a company, really is focusing on offering to our customers is choice. Right? We have a co-located lab up in Seattle with Microsoft. We have had for years. We do innovation summits with them, we look at where the technology is going and what is it that we can do together in order to make that more effective for our shared customers and how they deliver in the long run. And so it really is a very strong collaboration. We don't build operating systems. We don't build all of the SQL Server. We don't build the Azure Stack, and the Cloud, and all the rest of that. So, the partnership with Lenovo, Microsoft gets to take advantage of all of our supply chain goodness, all of our services goodness, as well as all the platform stuff that we do as well. >> Now, if you look, HCI is one of the things that we've been talking a little bit more about here. Obviously, it makes sense for Lenovo to partner here, but Lenovo also has a number of other solutions. How do you look at it? What are you hearing from customers when it comes to that kind of solution and how Microsoft-- >> It really is about choice. Right, it really is about choice. Customers have different kinds of problems in their environments, and they're seeking partners to help them solve those problems in their environments. And that, and those choices are actually really critical for them. So, when you're working with somebody like Lenovo, where we also offer Vmware, we also offer some of the other solutions that are out there in the market, that, you work with a partner like Lenovo, where we have all of the services and the infrastructure to back that up, plus the long standing relationships that we have with our partners, enables us to offer that kind of choice that allows our end customers to solve their customer's problems. And that's really the core piece that we're looking at. >> Yeah, Microsoft, of course, partners with a lot of companies. I heard in some of the technical key notes, I heard that get mentioned quite a bit. Of course, Rebecca and I were with your team at Lenovo Transform in New York City recently. And maybe for our viewers that might not have caught that show, give us the update, what you're hearing from people about the big partnership -- >> So, we announced a partnership with network compliance, NetApp, at our Transform show last week, I guess it must have been. We've been working on it for awhile, so, just the fact that the announcement happened was really cool. And it's kind of a three-part partnership. The first part is that Lenovo will be branding NetApp's a couple of the sets of systems that NetApp has. And it allows us to fill out our storage infrastructure. Last year, when we launched our largest portfolio of servers, we launched eight all in a single day, and the rest of the Purley platforms followed from my team in the next quarter. This year, with NetApp, we actually launched the largest storage portfolio in the market. And so, this partnership actually allows us to do that very, very collaboratively. Then the second part of the relationship is joint venture that we're starting with NetApp in China. Given the depth of work that Lenovo does in China, it allows NetApp to actually build their market, and their infrastructure. And I think, some of the customers in China are actually really looking for the kinds of solutions that NetApp has available. And then the third is moving forward to build innovative solutions together. Taking the innovation and the 25 years worth of innovation that my team has done over the years, and all of the work we do in performance, all the number one on client satisfaction, all the number one on reliability for the fifth year in a row, and bringing that into our NetApp alliance. >> One of the themes at this conference, and also frankly at Lenovo Transform, is about company culture and about this idea of the importance of collaboration and creativity and teamwork, and inclusivity. Can you describe a little bit for us how you think the Lenovo culture is similar to the Microsoft one that Satya Nadella is a proponent of and also how it's different? >> How is is similar and how is it different? That's a really interesting question. The thing that I have found about the Lenovo culture that I think surprised me the most, one year in, is how committed Lenovo is to really understanding how people think and bringing that in to how we build effective solutions together. It is by far the most diverse organization that I've worked in. In lots of lots of ways, but if you look at the senior leadership level, right? You would expect it, given that the company is actually headquartered in Beijing and the United States, and we're on the Hong Kong stock exchange, you would expect it to be Chinese. But it's not. The leadership team is actually incredibly diverse. Way more diverse than I expected. But even on my team, and further down in the organization, a lot of our engineers have spent multiple years overseas. They've raised their kids overseas. They've gone to school overseas. And so the have a very inclusive perspective on how do we solve problems. And they also understand that the way in which we solve problems, isn't necessarily the best way. So, in our conversations with Microsoft and the culture that we create with them together, it becomes very collaborative. 'Cause we go back to what's the customer problem we're really trying to solve. How are we actually helping our customers in their intelligent transformation? How do we become their trusted partner? And how do we actually help solve humanity's greatest challenges? And that's a together statement, right? With Microsoft and just kind of peeling back the onion on what are the real problems that we need to get to to solve together. >> You mentioned how diverse a company Lenovo is, and that's actually at a time where the technology industry is not known for its diversity. In fact, it's really known for its bro culture. It's the dearth of female leaders. I'm wondering if you could just give me your thoughts on how technology, sort of the state of affairs today is it as bad as the newspaper headlines make it out to be? And (Rebecca and Bev laugh) what we need to do to move forward. >> So, I think in part, there's two answers to that. One of them is that the participants in technology are changing. So, if you look around the room and you watch who's here, what you're seeing is that there's a whole generation of new people coming in who've always had technology at their fingertips. And so they think differently and assume differently about what that technology is supposed to do for them. And so just age diversity starts to come into play. But also the people that buy our stuff, right? 65 to 75% of commercial electronics are bought by women. That's a stunning figure when you really think about it 'cause it's very different from the people that actually create or have in the past created that technology. So when you start to see who's buying and why they're buying, you actually have to start to understand that they're buying for very different reasons than perhaps you were creating the technology for. So, an example of this is the new Hub 500 or the Hub 700. Have you seen this? So, it's a link connected system that sits on the table and you push a button and you're automatically connected with everybody that's going to be in your Lync meeting or everybody that's going to be in your Skype meeting. And we had to do a fair amount of work to really understand how people were going to interact with the system or not interact with the system. And even colors like red and green, and the fact that they mean different things in different cultures, and how are we going to display those colors, right? But that's where the diversity of participation in solving a problem really comes into play. >> Great. Well Bev, it was a pleasure having you on the show. It was really fun talking to you. >> Thank you very much. I really appreciate it. >> I'm Rebecca Knight for Stu Miniman. We will have more from Microsoft Ignite in just a little bit. (upbeat digital music)

>> Announcer: Live, from Orlando, Florida, it's the Cube covering Grace Hopper's celebration of women in computing brought to you by Silicon Angle Media >> Welcome back to the Cube's coverage of the Grace Hopper conference here in Orlando, Florida I'm your host Rebecca Knight, along with my co host Jeff Frick. We're joined by Megan Smith. We're very excited to have you on the show. >> It's good to be here >> She is the third US CTO and also the CEO of a new company, Shift7.co, so thanks so much for joining us. >> Thanks for having me, it's great to be here. It's so fun to be at Hopper, >> Rebecca: It is, it is! >> It's cool, it's the Grace Hopper celebration, because we're trying to celebrate women in computing, and we're what, at 18 thousand people now, >> The biggest ever, >> Plus I think, 6 thousand people joining on the livestream, which is great. >> Before the cameras were rolling, we were talking about your role as the 3rd US CTO, and just talking about getting more technology into government to help leaders work together, and move faster. Tell us a little about this initiative. >> What's so great, is it's not partisan, fixing the government and making it work better, so all the work that we were doing continues. What we were able to put in place, during the Obama administration, and continues to Trump, were things like, the CT office. Having technical people, so I worked at Google, people work at Amazon, Facebook, Twitter, these companies who have that background, to join in on policy conversations, one, to join in on capacity building the government, so data sciences and tech and, let's have our services be as great as Amazon, or as Twitter, or Oracle, and not be sort of retro, really serve the American people. And then also, helping the American people in general, with capacity building, things like computer science for all. So that was an initiative that continues to get all of our children to have coding at school. That all children, you couldn't graduate from high school without having had some experience on learning of coding Coding is a 21st century fluency, it's a skill we all need, Like freshman biology. You want to know some biology, you want to know some coding, you want to know how to write, so making sure they have is tech-up, which was a program we started to help train Americans, there's six hundred thousand jobs open, in the United States, and they pay 50% more than the average American salary. The companies are starving. How do we rapidly get more Americans into these jobs? It turns out that people have, of course, created these fabulous code boot camps, you can train in three months for these jobs, some of them are paid, some times they pay you, all different kinds, some are online, some are offline, they're all over the country. So we're able to get more people to consider, a job like that, culturally they think, Well I don't, why would I, I don't know how to do that. Well you can, this is a fun and interesting and exciting career, you can do digital marketing, you can do user interface design. You can get involved in front end or back end coding, product management, all those things, sales. And so, how do you pull lots more Americans in, get our companies fueled so we have really the economic opportunity, and they're all over the country. Location wise, and topic wise. So we did tech hour now, and a tech jobs tour, which is not what we did in government, but we continue some of that work. >> This weird dichotomy, because on one end, people are worried about tech taking jobs, on the other hand, there's a ton of open tech jobs. And there's this transition period, that's difficult, obviously for people that didn't grow up, but one of the keynote speakers today, told a really heartening story, that she didn't get into it until the day she had to leave her abusive husband, and now she is a coder >> That's Doctor Sue Black, who was just given the Order of the British Empire, I mean, she is an incredible computer scientist. Yes, she escaped an abusive marriage with three small children, in her early 20s, I think. Ended up moving into public housing, and dealing with three children only being the school from 9 until 3, and eventually getting her PhD in computer science, and really, she started Techmoms now, she continues to do research in other things, but she's really trying to use her story, and her organizing capacity, to have more people realize this isn't hard like figuring out gravity waves that won the Nobel prize. This is hard like writing a hard essay, so we all can learn to write an essay. It takes some mastery work, you don't learn it in kindergarten but by the time you're in 7th, 8th, 9th, 10th, 12th grade, you can do it. >> It's not rocket science. >> Right, so coding is like that. >> The other piece you said that's very interesting, is the consumerization of IT. We've seen it at enterprise, a huge trend. But, now I expect everything that's on my phone, when I interact with Facebook or Amazon, or whatever, to be in all the applications, so, as you said, that's influencing government, and the way they have to deliver services, and I would imagine, too, with kind of the next wave of kids coming in, graduating, going into public service, they certainly have that expectation, right? They've been working on their phone forever of course it should be on the phone. >> And so we want everybody in our country fluent in computer science and coding at a basic level, like again, like freshman biology or takin' chemistry in high school, or taking writing. So that everyone could realize this is not rocket science we could have these kinds of capabilities as part of our services, from Housing and Urban Development, from the Department of Education. You know, a lot of us use our phones to get places, you know, on our maps, and so that's actually data coming from the US Geological survey, if you're looking at the weather, you're looking at NOAA's satellites, this is open government data. We were able to open over two hundred thousand data sets, from all over government, not private data, but public data, that you could make an entire app store, or Google play set of products on top of that. Government wouldn't have to pay for that, it just packages up the API as well. A really good example of that, is the US census team. There's nothing more big data than census, they have all of our information from a data perspective, and so they did opportunity.census.gov, and they said to various agencies, let us help you bridge these data sets into something that someone could build on top of, like we're seeing from the courses sector, we saw wonderful things like, Housing and Urban Development said, okay, our challenges are housing affordability, mobility, these are the challenges instead of having HUD make an app for Americans to come to, they just can explain what their problem is, what data sets, and then engage extraordinary companies, like airbnb, Redfins, Zillow, these fabulous tech companies, who can make instead a product for 100% of the Americans, rather than only wealthy or middle class Americans, and so they did things like, opportunity score, and airbnb helping you figuring out, if I rent a room in my house I can make my rent more affordable, very creative apps, that we can see, same thing for the Department of Ed or Department of Labor, and as the data gets out there, and as apps come, also the opportunity for data science and machine learning. What if, as much as we serve ads to ourselves, in these algorithms, what if we use the algorithms to help Americans find a job that they would love? You know, job matching, and these kinds of opportunities. of the problems in the world, and helping government get more fluent at that. And the way to do that is not so much, jam the government You have to do this, but find terrific talent like we see at Hopper, and have them cycle into the government, to be co-leaders just like a surgeon general would come. >> Are you facing recruitment challenges in that same way though? In the sense that technology is having a hard enough time recruiting and retaining women, but the government, too, is that seen as enough of an employer of choice for young talented, bright ambitious, young women? >> I'm not in government now, but when we were in there, we found a very interesting thing. Alex Mcgovern, who had been the general counsel of Twitter who was Stephanie's CTO with me and led a lot of our tech quals we called TQ like tech IQ in policy, together with economists and lawyers and others have if we're going to decide net neutrality, let's include everyone, including computer scientists, and we're going to sue bridge and open source, So we talked about that, and on the way going in Mcgovern, he said, wouldn't it be cool if, just like when you look at a lawyer's resume, you might see that they clerk and they served their county through clerking and through the judicial system, as well as being a private lawyer, they were a public defender, that's a pretty normal thing to see on a legal resume. If you looked at medical, you might see them going into NIH or doing some research, if you looked at a scientist, they might have gone to, done some NSF work or others. But for the tech crew, there is of course amazing technical people in NASA, NAH and the Department of Energy, and there's great IT teams, but there's not this thing that the Silicon Valley crew resume would say, oh, yeah, I served my country. So that's why, under President Obama, we were able to create these incredible programs. The Presidential Innovation Fellows, which was a one year term of service, The United States Digital Service, which is a three months to a two year term of service in the VA. What's more amazing if you build Amazon, than to go as a second act and help our veterans? It's an incredible honor, to the point of, will they come? Yes, that's what we were hoping, could we have that be a normal thing, and yes it's become a normal thing. And the Trump administration continues it. The 18F team is in the general services administration, they're on 18th and F so they have a code name. But that particular team is located around the country, not only in DC but in San Francisco, in Chicago, and others. So you see this tech sector flowing now into the government on a regular basis, and we welcome more peoples. The government is who shows up to help, so we need the tech sector to show up cause we've got a lot of money as a country, but if we're not effectively using it we're not serving the American people and foster children, veterans, elders, others need the services that they deserve and we have the money, so let's make it happen the way the tech sector is delivering Amazon packages or searches. >> What is your feeling, this is not your first Grace Hopper obviously, but what is your feeling about this conference, and advice that you would give to young women who are here, maybe for their first or second time, in terms of getting the most their time here? >> You know, I think the main thing is, it's a celebration, that's fun and you can walk up to anyone, so just talk to everyone. I've been talking to a million people on the floor, fabulous. Students are here, more senior technical leaders are here. We've been running speed mentoring, we're running a program called the Tech Jobs Tour, it's at Techjobstour.com, it's a #Americanshiring, and we've been going to 50 different cities and so we're running a version of that, and we do speed mentoring, so come to the speed mentoring sessions, it's a five minute pop, talk to someone about what you're tryin' to do. Lot's of programs like that, get into the sessions, come to the keynotes which are so inspiring, and Melinda Gates was amazing today, Dr. Fefe Lee was incredible, just across aboard, Dr Sue Black was here, I thought it was great today, actually, just to reflect on Melinda's keynote, I think this might have been the first time, I was talking to her, that she's really talked about her own technical experience >> That struck me, too! As a coder, starting in computer science. I didn't really understand that she had really started very early, with Apple 3 and the story of her dad >> And her love of her Apple 3, right! and really high school coding, which is so important for young people in high school and middle school, even younger. The Muscogee Creek Tribe, in Oklahoma, is teaching robotics in head start, so we can start in preschool. Just make it fun, and interesting. They're funny, they don't do battle bots, because you don't really want to teach 3 and 4 year olds to fight, so instead they have collaborative robots. >> Robots who work together Age appropriate. >> Well Megan Smith, this has been so fun talking to you, thanks so much for coming on our show. >> Thanks for having me. >> We will have more from the Grace Hopper Conference just after this, I'm Rebecca Knight for Jeff Frick (music)