>>Mhm. Mhm. >>We're here with the Cube covering Calm Vault Connections 21. We're gonna look at the data protection space and how cloud computing has advanced the way we think about backup recovery and protecting our most critical data. Ranga Rajagopalan, who is the vice president of products at Con vault and Stephen Orban, who's the General manager of AWS marketplace and control services gents. Welcome to the cube. Good to see you. >>Thank you. Always A pleasure to see you here >>steve. Thanks for having us. Very >>welcome, Stephen, let's start with you. Look the cloud has become a staple of digital infrastructure. I don't know where we'd be right now without being able to access enterprise services I. T. Services remotely. Um But specifically how our customers looking at backup and recovery in the cloud, is it a kind of a replacement for existing strategies? Is it another layer of protection? How are they thinking about that? >>Yeah. Great question. David again, thank thanks for having me. And I think you know, look if you look back to 15 years ago when the founders of AWS had the hypothesis that many enterprises governments and developers we're gonna want access to on demand pay as you go I. T. Resources in the cloud. Uh None of us would have been able to predict that it would have Matured and um you know become the staple that it has today over the last 15 years. But the reality is that a lot of these enterprise customers, many of whom have been doing their own IT infrastructure for the last 10, 20 or multiple decades do have to kind of figure out how they deal with the change management of moving to the cloud. And while a lot of our customers um will initially come to us because they're looking to save money or costs, almost all of them decided to stay and go big because of the speed at which they are able to innovate on behalf of their customers and when it comes to storage and backup, that just plays right into where they're headed. And there's a variety of different techniques that customers use, whether it be, you know, a lift and shift for a particular set of applications or a data center where they do very much. Look at how can they replace the backup and recovery that they have on premises in the cloud using solutions like, but we're partnering with console to do or completely reimagining their architecture for net new developments that they can really move quickly for their customers. Um and and completely developing something brand new, where it is really a, you know, a brand new replacement and innovation for for for what they've done in the past. >>Great, thank you, Stephen Rachael, I want to ask you about the d were digital. Look, if you're not a digital business today, you're basically out of business. So, my question to you is how have you seen customers change the way they think about data protection during what I call the forced March to digital over the last 18, 19 months or customers, you know, thinking about data protection differently today >>definitely Dave and and thank you for having me and steven. Pleasure to join you on this cube interview first going back to stevens comments can't agree more. Almost every business that we talked with today has a cloud first strategy, a cloud transformation mandate and you know, the reality is back to your digital comment. There are many different paths to the hybrid multi cloud and different customers. You know, there are different parts of the journey. So I still was saying most often customers at least in the data protection perspective start the conversation by thinking here have all these tips. Can I start using cloud as my air gap long term retention target and before they realized they start moving their workloads into the cloud and none of the backup and record yesterday's are going to change. So you need to continue protecting the clothes, which is where the cloud native data protection comes in and then they start innovating around er, can I use cloud as media sites so that you know, I don't need to meet in the other side. So this year is all around us. Cloud transformation is all around us and and the real essence of this partnership between AWS and calm vault is essentially to dr and simplify all the paths to the club regardless of whether you're going to use it as a storage started or you know, your production data center, all your dear disaster recovery site. >>Yeah, it really is about providing that optionality for customers. I talked to a lot of customers and said, hey, our business resilience strategy was really too focused on D. R. I've talked to all the customers at the other end of the spectrum said we don't even have a D. R. Strategy now, we're using the cloud for that. So it's really all over the map and you want that optionality. So steven and then go ahead. >>Please, ransomware plays a big role in many of these considerations that greatly. It's unfortunately not a question of whether you're going to be hit by ransomware, it's almost we can like, what do you do when you're hit by ransomware and the ability to use the clothes scaled immediately, bring up the resources, use the cloud backups has become a very popular choice simply because of the speed with which you can bring the business back to normal our patients. The agility and the power that cloud brings to the table. >>Yeah, ransomware is scary. You don't, you don't even need a high school diploma to be a ransomware ist you can just go on the dark web and by ransomware as a service and do bad things and hopefully you'll end up in jail. Uh Stephen we know about the success of the AWS marketplace, uh you guys are partnering here. I'm interested in how that partnership, you know, kind of where it started and how it's evolving. >>Yeah, happy to highlight on that. So, look when >>we when we started >>Aws or when the founders of aws started aws, as I said 15 years ago we we realized very early on that while we were going to be able to provide a number of tools for customers to have on demand access to compute storage, networking databases that many, particularly enterprise and government government customers still use a wide range of tools and solutions from hundreds, if not in some cases thousands of different partners. I mean I talked to enterprises who literally use thousands of of different vendors to help them deliver their solutions for their customers. So almost 10 years ago, we're almost at our 10 year anniversary for AWS marketplace, we launched the first substantiation of AWS marketplace which allowed builders and customers to find try buy and then deploy third party software solutions running on amazon machine instances also noticed as armies natively right in their AWS and cloud accounts to complement what they were doing in the cloud. And over the last nearly 10 years we've evolved quite a bit to the point where we support software and multiple different packaging types, whether it be amazon machine instances, containers, machine learning models and of course SAS and the rise of software as a service. So customers don't have to manage the software themselves. But we also support data products through the AWS Data exchange and professional services for customers who want to get services to help them integrate the software into their environments. And we now do that across a wide range of procurement options. So what used to be pay as you go amazon machine instances now includes multiple different ways to contract directly, customer can do that directly with the vendor with their channel partner or using kind of our public e commerce capabilities. And we're super excited, um, over the last couple of months we've been partnering with calm vault to get their industry leading backup and recovery solutions listed on AWS marketplace, which is available for our collective customers now. So not only do they have access to convulse awesome solutions to help them protect against ransomware as we talked about and to manage their backup and recovery environments, but they can find and deploy that directly in one click right into their AWS accounts and consolidate their building relationship right on the AWS and voice. And it's been awesome to work with with Rhonda and the product teams and convo to really, um, expose those capabilities where converts using a lot of different AWS services to provide a really great native experience for our collective customers as they migrate to the cloud. >>Yeah, the marketplace has been amazing. We've watched it evolve over the past decade and, and, and it's a, it's a key characteristic of everybody has a cloud today. We're a cloud to butt marketplaces unique uh, in that it's the power of the ecosystem versus the resources of one and Ringo. I wonder from, from your perspective, if you could talk about the partnership with AWS from your view and then specifically you've got some hard news, I wonder if you could talk about that as well. >>Absolute. So the partnership has been extended for more than 12 years. Right. So aws and Commonwealth have been bringing together solutions that help customers solve the data management challenges and everything that we've been doing has been driven by the customer demand that we seek. Right customers are moving their workloads in the cloud. They're finding new ways of deploying their workloads and protecting them. Um, you know, earlier we introduced cloud native integration with the EBS API which has driven almost 70% performance improvements in backup and restores. And when you look at huge customers like coca cola who have standardized on AWS um, combo. That is the scale that they want to operate in. You manage around 1 50,000 snapshots 1200 ec, two instances across six regions. But with just one resource dedicated for the data management strategy. Right? So that's where the real built in integration comes into play and we've been extending it to make use of the cloud efficiencies like our management and auto scale and so on. Another aspect is our commitment to a radically simple customer experience and that's, you know, I'm sure Stephen would agree it's a big month for at AWS as well. That's really together with the customer demand which brought us together to introduce com ball into the AWS marketplace exactly the way Stephen described it. Now the heart announcement is coming back up and recovery is available in native this marketplace. So the exact four steps that Stephen mentioned, find, try buy and deploy everything simplified through the marketplace So that our aws customers can start using far more back of software in less than 20 minutes. A 60 year trial version is included in the product through marketplace and you know, it's a single click buy, we use the cloud formation templates to deploy. So it becomes a super simple approach to protect the AWS workloads and we protect a lot of them. Starting from easy to rds dynamodb document DB um, you know, the containers, the list just keeps going on. So it becomes a very natural extension for our customers to make it super simple to start using convert data protection for the w >>well the con vault stack is very robust. You have extremely mature stack. I want, I'm curious as to how this sort of came about and it had to be customer driven. I'm sure where your customers saying, hey, we're moving to the cloud, we had a lot of workloads in the cloud, we're calm vault customer. That intersection between calm vault and AWS customers. So again, I presume this was customer driven. but maybe you can give us a little insight and add some color to that. >>Everything in this collaboration has been customer driven. We were earlier talking about the multiple paths to chlorine vapor example and still might probably add more color from his own experience at our jones. But I'll bring it to reference Parsons who's a civil engineering leader. They started with the cloud first mandate saying we need to start moving all our backups to the cloud but we have wanted that bad actors might find it easy to go and access the backups edible is um, Conwell came together with the security features and com well brought in its own authorization controls and now we have moved more than 14 petabytes of backup data into the club and it's so robust that not even the backup administrator and go and touch the backups without multiple levels of authorization. Right. So the customer needs, whether it is from a security perspective performance perspective or in this case from a simplicity perspective is really what is driving this. And and the need came exactly like that. There are many customers who have no standardized on it because they want to find everything through the AWS marketplace. They want to use their existing, you know, the AWS contracts and also bring data strategy as part of that so that that's the real um, driver behind this. Um, Stephen and I hope actually announced some of the customers that I actively started using it. You know, many notable customers have been behind this uh, innovation, don't even, I don't know, I wanted to add more to that. >>I would just, I would, I would just add Dave, you know, look if I look back before I joined a W S seven years ago, I was the C I O at dow jones and I was leading a a fairly big cloud migration there over a number of years. And one of the impetus is for us moving to the cloud in the first place was when Hurricane Sandy hit, we had a real disaster recovery scenario in one of our New Jersey data centers um, and we had to act pretty quickly convert was, was part of that solution. And I remember very clearly Even back then, back in 2013, they're being options available to help us accelerate are moved to the cloud and just to reiterate some of the stuff that Rhonda was talking about consoles, done a great job over the last more than a decade, taking features from things like EBS and S three and EC two and some of our networking capabilities and embedding them directly into their services so that customers are able to more quickly move their backup and recovery workloads to the cloud. So each and every one of those features was as a result of, I'm sure combo working backwards from their customer needs just as we do at >>AWS >>and we're super excited to take that to the next level to give customers the option to then also by that right on their AWS invoice on AWS marketplace. >>Yeah, I mean, we're gonna have to leave it there steven, you've mentioned several times the sort of the early days of back then we were talking about gigabytes and terabytes and now we're talking about petabytes and beyond. Guys. Thanks so much. I really appreciate your time and sharing the news with us. >>Dave. Thanks for having us. >>All right. Keep it right there more from combat connections. 21. You're watching the >>cube. Mm hmm.

>>I've got Mada Mykola here with me, commerce architect at PepsiCo Mada. Welcome to the program, >>Lisa. >>So we're going to be talking about the solution that you implemented, um, that helped with the global supply chain. So let's talk though, first about your role commerce architect. Help me understand that a little bit better. >>So Frito, uh, PepsiCo is pretty big. It's a conglomerate of multiple product lines. So I worked for Frito-Lay, which is basically all the salty snacks. And then we have, uh, the Quaker products as well in our portfolio. So I oversee all the architecture for all the commercial IOT solutions, uh, in the CFNA portfolio. >>Got it all the commercial lines. So we all know the last 18 months major challenges with the global supply chain component shortages. We've seen a huge increase in the cost of raw materials, um, limited labor, but you guys actually started to tackle this challenge before the pandemic happened. So talk to me about the catalyst that PepsiCo, what you saw to modernize field service and supply chain application. >>Yeah, so we have a pretty old system that our field force, our frontline users are using. So we have a world-class supply chain system where we go into the stores and place orders and deliver products, the us, and then we penetrate, I think, more than 95% of the households with our products. So we need to have a robust supply chain as well as a good frontline sales application, to be able to manage the orders and be able to deliver the products. Right? So the system that we have is almost 20 year old system running on a video data technology. There've been trying to replace that for a while now. And finally, we started this, uh, early last year to completely replace the solution with a brand new iPhone based app. Uh, and then that gives our frontline the ability to go place orders, do deliveries to retail execution in the store, like checking checkout, build displays. There are so much functionality that our RSRs or Franklin users do in the stores and this app enables them to do much more efficient. >>And we're going to break into that, but you mentioned you had a 20 year old technology. Talk to me about some of the challenges that that likely presented to those frontline workers. >>Yeah. I mean, there are multiple challenges for one, we cannot enable new business models. So business wants to come up with new ideas for, um, to be able to implement in the field, but with our system being so old, it's so hard to implement anything on that one. And then even the physical device is not scaling. We had a lot of memory issues, so it's time for it to kind of retire. And also the technology we use the 3g technologies retiring pretty soon at the next year. So we were definitely need to move to a new solution. And this is one of the most things we have to do, but right away. So that's where we started the project and we are in pilot phase right now. >>What would have been some of those negative consequences? Had you not undertaken the effort? I imagine from a competitive perspective, knowing how much competition is out there, what would some of those challenges have been if this had persisted? >>Yeah. So one is the stability of the application, right? So, uh, the frontline users have to spend more time because the app is not stable, the current one. So that reduces the efficiency of our Salesforce. Right? And then on the other hand, we also not able to put new features or new business models enable new business models on top of the existing ones. So we are losing out on some of them because of our outdated system. So that's one thing we want to solve with the new one. >>So this is really critical to really evolve PepsiCo's business at, at its baseline. Right? >>That's true. Yeah. It is very critical application that we're building and this will enable us to do a lot more things in future. And we can come up with new ideas, including like virtual reality or connecting to multiple systems. There are so many new ideas that we want to enable once we have this in place. >>Awesome. Talk to me about why Couchbase, and then tell us more about, you started to talk a little bit about the solution, but let's go ahead and dig in and unpack the actual solution that you implemented. >>Yeah. So this is, eh, we call it an ERP and a mobile device because it has so much functionality as a company three. Totally. We have been, uh, over a hundred years, uh, in this business, right. We have so many, uh, optimized process, uh, that we have that kind of led to some digital in the system because we want to do in a particular way, because that's the best way to do it as part of our business process. So what we're trying to do here is take that business process and also provide an app that will enhance it and then connect to more, more systems. So that's what we're trying to do here. And then on top of that one, we will replace all the existing peripherals that we use with the new technology, like Bluetooth and also, so that, uh, the, they are much more faster, and it's a lot more productive for our frontline force. >>Sounds like a lot of sales folks are going to be a lot more productive. Talk to me about where Couchbase is as an integral component to this new system. >>Yeah. So one of the key requirements for this app is an offline mode. What that means is, uh, one of our Salesforce who go from our system, uh, from our DC to all the stores, should be able to run the whole day without any, uh, major disruption, even if they're not connected, let's say because when they go into big stores, typically there's no connection. There are metal boxes. So the cellular reception is not there, but most of our work that we do from our frontline is within the store. So it has to be a full offline where we have to have all the data within the device, and we should be able to place artists create inventory that records or adjust inventory, and then create invoices. All the majority of the things that we do are in the store and they should be able to do without, um, the kind of connection. So that's where we explored multiple options and kind of zeroed in on Couchbase where we bring all the data into Couchbase based database on the device, and then sync it when there is connection, but there's no connection. We still have all the data on the device and we can go do all of our duties in the stores without any issues, even if it is not connected. >>So the sales folks can be in the stores with their mobile device, doing all the transactions that they need to do with the stores, regardless of if there's connectivity. Talk to me about what happens when they get back to connectivity in that and the Couchbase database sync. >>Yeah. And, uh, the other big thing we want is instant connect. I mean, when there's connectivity, we want instant sync with the backend, right? If there's new data that comes, we'll need that in the device at the same time, if I place an order, I want to send it back immediately to our backend systems for that our fulfillment stacks for those. So that's very critical when we have a lot of cutoff times for our artists. So we need artists as soon as we've placed to be going to the backend systems. So what happens when it gets connected, as soon as the sales folks come out of the store, or when within the store, they got connectivity, these codebase technology that we are using using the sync gateway immediately syncs the data back and forth. Uh, if there is any new data that's available. So that is key for us in this particular app. >>So our transactions happening in, in real time or near real time. >>Yeah. So the data flow happens in real time when this kind of gritty, but when it is not connected still, it doesn't have any issue with the actual transactions with the artists that can go complete anything that they would >>Got it. Okay. So there's no impediment there. In fact, it's a productivity enhancer. It sounds like for all of those sales folks out on the frontline TA. So, so millions of documents go through the system, tens of billions of dollars. Talk to me about the volume of data and the actual monetary value. That's traversing the system. >>Yeah. It's huge. Again, this is kind of weak. It's the lifeline of the company. The seals are always the life of any company, right? So most of the goes through our system. And, um, we're talking anywhere between hundreds of thousands of dollars that flow through back and forth, uh, between, uh, between the device and the server. So there's a lot of master data that comes like products place from customers, all that information that comes from the backend to the device and all the orders, inventory, and everything that gets created on the device gets flown back to the subtler. So yeah, I mean, it's, it's a very complex system. And also from the volume perspective, it's huge. So we had to build a massive infrastructure on the backend to be able to handle all this. One of the key feature is again, we have this massive data that we need to sync to the devices, but each device should only get the portion of the data that they want because a particular Salesforce only goes to a small set of 20 stores, let's say. So the data that we seem to that device is only for those 20 stores. So that's the key here. So Couchbase allows us to do that. The codebase sync, where we can subset the data into different portions and only send the data that is relevant for a particular device. >>So then from a, from a latency perspective, it must be pretty low latency, pretty fast to be able to get this data back to the device and to the sales person that is in the middle of a transaction. >>Yes. Uh, I mean, it's pretty, the sink is very fast. The Cosby's sink, especially user's web sockets. And we do continuous replicators where if I complete an order, the next instant it's on the stairwell. So it's, it's we observed the speeds improve a lot. So the technology that we are using users are things for a long, long time compared to code based. And that's another productivity gain for our Salesforce. >>What were some of the differentials? You mentioned some of the technology requirements that PepsiCo had in rearchitecting, the infrastructure, but what were some of the key technology differentiators that really made Couchbase stand out as the obvious choice? >>Yeah, so we, when we started this project, we all know the sink is the key for this whole project, because we thought that data going back and forth, we cannot really build a robust, um, uh, offline app. So we looked at multiple, uh, options, other providers that are doing the sink. And we also looked at building our own sink. Uh, in-house using API APIs, but then we did lots of, uh, performance testing across all the, uh, options that we had at that time. And then Ottawa cost base came above. All of them are pretty handle it. So obviously we can coach base takes care of the sink, and then we can focus on our business process. So we can go build all the business process and not worry about how we build a single. And then that is itself a big effort. So that's what caught me is prior to seeing instant sync engine. And then we were able to focus more on our, uh, the app application, the frontline application, the sales application, >>And those business processes. Let's talk about some of the business outcomes. We've mentioned a few already in our conversation, increased in productivity. The sales forces increased in that as well, but I imagine there's a lot of benefits for the end-user customer in terms of being able to get the transactions completed faster. What are some of those positive business outcomes that PepsiCo is seeing as a result of implementing Couchbase? >>Yeah. So you hit on a couple of them when the sink times are definitely a big factor with that will directly give more time for the sales folks to go either go to most stores or even they go to the existing stores, they can do more, spend more time with the customer merchandising and making sure everything is correct. So that's one also the new app users, uh, connect with a lot of new peripherals that are not available on the previous platform. Um, also the, uh, our folks are very, uh, enthusiastic about using a new app, right? So it's like coming into the 21st century for them using such an old lab for a long time. So a lot of things that they see, they can see the images of the bags while ordering, which was not a feature earlier. Some of them are small, but they make a huge impact on our users. >>Um, so yeah, I mean, and then this is just a start that we are doing. And then once we are able to completely implement this one, we have a lot more going into, in future. I was just talking about, we can do virtual reality or show them how to sell using what filter do. We can show a display to a store manager saying, Hey, I want to put a display here. And this is how it looks. They can show it on the phone that Dan just explaining and showing some paper images. So there's a lot of possibilities, >>A lot of improvements to the customer experience. It sounds like, it sounds like adoption is quite high for your folks who are used to 20 year old technology, probably being very, uh, excited that they have a modern app. But talk to me a little bit about the appetite of the organization to continue modernizing the application infrastructure and presuming going from older technology to that 21st century, like you talked about. >>Yeah. So in other parts, we are already modernized some of these. So we have been on the journey for the last four or five years building multiple digital platforms. So one of the example I can give is when COVID hit, there's a lot of disruption for everybody, for the consumers. So they are not able to find the products in the stores, but people are afraid to go to the stores to even buy products. So we reacted very quickly and opened a consumer of a website called snacks or calm, which Pepsi never sold it to the directly. We always go through our stores, but the first time we open the consumer channel and base powered some of it for the backend purpose. So this is not a mobile app, it's just a desktop app, but we already have been on the district has mission journey even before we quickly turned into COVID for the snacks.com. >>And similarly, we are, you are doing this for our retail execution portion of it, um, using this product. So, and then we'll be continuing to do this going forward, or to enable a lot of functionality for, uh, I mean, for all of our sales, as well as, uh, supply chain and other systems, so that we can be more efficient. We can be more elastic saying if there is more demand, our backend should be able to handle all that, uh, which was not the case before extra. Now we built a state of the art backend system on cloud. So there's a lot of transmission, digital transmission going on within PepsiCo. And I'm really proud to be part of this project so that we took this to the next level. And then this is just a start. We can do a lot more, >>Right? This is just the beginning. That sounds like a great transformation for a history company that we all, everybody knows PepsiCo and all of its products. But it sounds like when the pandemic hit, you had the infrastructure in place to be able to pivot quickly to launch that direct to consumer, which of course consumers, patients has been quite thin in the last year and a half. Talk to me a little bit about the impact to the overall organization as a result of being able to, to get more direct with those consumers. >>Yeah. So till now, again, we are, the business model is we sell to the stores and then go to the customer. So we'd never get a direct, uh, sense of what consumer, uh, liking is. I mean, we get through some surveys and stuff, but we don't have a direct channel with the consumer, which this particular product enabled us next.com. So we know the consumer behavior, how they, um, buying patterns, browsing patterns, which ones they like and including with geography. And also we learned a lot from a consumer behavior point of view for the project. And then we kept on enhancing. So one new thing we introduced was called multipack where the consumers can come and make their own market practices. They can say, okay, I need this many of this particular product, this product per I can make that multipack. And we ship them the customized market back. >>And it was such a huge hit that we are not able to even fulfill them so much demand was there for that one. So we had to revamp and then get back. And now it's a huge thing on our snacks that complex. So all of this is possible because we had a digital platform underneath that supports this kind of innovation. So the new business models are just coming to life in within weeks or even few months. And that's what we will be trying to do with the new platform that could billing for this app as well, where we'll bring in a lot of new business models. We have >>Excellent, a lot of, uh, transformation. It sounds like at PepsiCo in the last couple of years, I'd love the customization, that personalization route that you're going. I think that's going to be a huge hit for consumers. And as you said, there's a lot of demand letter. Thank you for joining me today, talking about how you are modernizing the field service and supply chain application, the impact it's making for end users for your customers and for the sales folks. We appreciate your time. >>Thank you so much >>From out of McCullough. I'm Lisa Martin. You're watching this cube conversation.

>>from around the globe. It's the Cube with digital coverage of CONMEBOL. Future ready 2020. Brought to you by combo. >>Hi and welcome back. I'm Stew Minuteman, and we're at the Cube's coverage of Con Volt Future Ready. You've got the power panel to really dig in on the product announcements that happened at the event today. Joining me? We have three guests. First of all, we have Brenda Rajagopalan. He's the vice president of products. Sitting next to him is Don Foster, vice president of Storage Solutions. And in the far piece of the panel Mersereau, vice president of Global Channels and Alliances. All three of them with Conn Volt. Gentlemen, thanks all three of you for joining us. Exactly. All right, so first of all, great job on the launch. You know, these days with a virtual event doing, you know, the announcements, the engagement with the press and analyst, you know, having demos, customer discussions. It's a challenge to put all those together. And it has been, you know, engaging in interesting watch today. So we're going to start with you. You've been quite busy today explaining all the pieces, so just at a very high level if you put this really looks like the culmination of the update with Conn Volt portfolio new team new products compared to kind of a year, year and 1/2 ago. So just if you could start us off with kind of the high points, >>thank you still, yeah, absolutely exciting day for us today. You did comrade multiple reasons for that excitement and go through that we announced an exciting new portfolio today knows to not the culmination. It's a continuation off our journey, a bunch of new products that we launched today Hyper scaler X as a new integrated data protection appliance. We've also announced new offerings in data protection, backup and recovery, disaster recovery and complete data protection and lots of exciting updates for Hedwig and a couple of weeks like we introduced updates for metallic. So, yes, it's been a really exciting pain. Also, today happens to be the data, and we got to know that we are the leader in Gartner Magic Quadrant for the ninth consecutive. I am so a lot of goodness today for us. >>Excellent. Lots of areas that we definitely want to dig deep in to the pieces done. You know, we just heard a little bit about Hedvig was an acquisition a year ago that everybody's kind of looking at and saying Okay, you know, will this make them compete against some of their traditional partners? How we get integrated in So, baby, just give us one level deeper on the Hedvig piece on what that means to the portfolio? Yeah, sure, So I >>guess I mean, one of the key things that the random mentioned was the fact that had hyper scale that's is built off the head Day files. So that's a huge milestone for us. As we teased out maybe 10 months ago. Remember, Tomball, Go on the Cube and talking about, you know, kind of what our vision and strategy was of unifying data and storage management. Those hyper hyper scale X applying is a definite milestone improving out that direction. But beyond just the hyper scale ECs, we've also been driving on some of the more primary or modern workloads such as containers and the really interesting stuff we've come out with your recently is the kubernetes native integration that ties in all of the advanced component of the head to distribute storage architecture on the platform itself across multi cloud and on premise environments, making it really easy and policy driven. Um, for Dev, ops users and infrastructure users, the tie ins applications from a group, Friction >>Great and Mercer. There's some updates to the partner program and help us understand how all of these product updates they're gonna affect the kind of the partnerships and alliances beasts that you want. >>Absolutely. So in the time since our last meeting that go in the fall, which is actually right after I had just doing combo, we spent a good portion of the following six months really talking with partners, understanding the understand the impact of the partner program that we introduced last summer, looking at the data and really looking at barriers to evolve the program, which fell around three difference specific. Once you bet one was simplicity of the simplicity of the program, simplicity of understanding, rewards, levers and so forth. The second was paying for value was really helping, helping our partners to be profitable around things like deal registration on other benefits and then third was around co investment. So making sure that we get the right members in place to support our partners and investing in practices. Another training, another enablement around combo and we launched in over these things last week is a part of an evolution of that program. Today is a great follow on because in addition to all of the program evolutions that we we launched last week now we have an opportunity with our partners to have many more opportunities or kind of a thin into the wedge to open up new discussions with our customers now around all of these different use cases and capabilities. So back to that simplification angle, really driving more and more opportunities for those partners toe specific conversations around use cases. >>Okay, for this next question, I think it makes sense for you to start. Maybe maybe Don, you can get some commentary in two. But when he's firstly the announcements, there are some new products in the piece that you discuss but trying to understand, you know, when you position it, you know, do you call the portfolio? Is it a platform? You know, if I'm an existing Conn Volt customer, you know, how do I approach this? If I use something like metallic, how does that interplay with some of the new pieces that were discussed today. >>Sure, I can take the business. I'm sure Don and mostly will have more data to it. The simplest way to think about it is as a port for you. But contrary to how you would think about portfolio as independent products, what we have is a set off data management services granular. We're very aligned to the use case, which can all inter operate with each other. So maybe launched backup and recovery and disaster recovery. These can be handled separately, purchased separately and deployed standalone or for customers who want a combination of those capabilities. We also have a complete data protection are fine storage optimization, data governance E discovery in complaints are data management services that build on top off any of these capabilities now a very differentiating factor in our platform owners. All the services that you're talking about are delivered off the same software to make it simpler to manage to the same year. So it's very easy to start with one service and then just turn on the license and go to other services so I can understand the confusion is coming from but it's all the same. The customer simplicity and flexibility in mind, and it's all delivered off the same platform. So it is a portfolio built on a single Don. Would you like to add more to it? >>Yeah, I think the interesting thing due to add on top of that is where we're going with Hedvig Infrastructure, the head of distributed storage platform, uh, to to run this point, how everything is integrated and feed and work off of one another. That's the same idea that we have. We talked about unifying data and storage manager. So the intricate storage architecture components the way data might be maneuvered, whether it's for kubernetes for virtual machines, database environments, secondary storage, you name it, um, we are. We're quickly working to continue driving that level of of unification and integration between the portfolio and heads storage, distribute storage platforms and also deliver. So what you're seeing today going back to, I think wrong his first point. It's definitely not the culmination. It's just another step in the direction as we continue to innovate and integrate this >>product, and I think for our partners what this really does, it allows them to sell around customer use cases because it'll ask now if I have a d. Our use case. I can go after just PR. If I have a backup use case, I can just go after backup, and I don't have to try to sell more than that. Could be on what the customer is looking for in parallel that we can steal these things in line with the customer use case. So the customer has a lot of remote offices. They want to scale Hedvig across those they want to use the art of the cloud. They can scale these things independently, and it really gives us a lot of optionality that we didn't have before when we had a few monolithic products. >>Excellent. Really reminds me more of how I look at products if I was gonna go buy it from some of the public cloud providers living in a hybrid cloud. World, of course, is what your customers are doing. Help us understand a little bit, you know, Mercer talked about metallic and the azure partnership, but for the rest of the products, the portfolio that we're talking about, you know, does this >>kind >>of work seamlessly across my own data center hosting providers Public Cloud, you know, how does this fit into the cloud environment for your customer? >>Yes, it does. And I can start with this one goes to, um it's our strategy is cloud first, right? And you see it in every aspect of our product portfolio. In fact, I don't know if you got to see a keynote today, but Ron from Johns Hopkins University was remarking that comment has the best cloud native architectures. And that's primarily because of the innovation that we drive into the multi cloud reality. We have very deep partnerships with pretty much all the cloud vendors, and we use that for delivering joint innovation, a few things that when you think of it from a hybrid customers perspective, the most important need for them is to continue working on pram while still leveraging the cloud. And we have a lot of optimization is built into that, and then the next step of the journey is of course, making sure that you can recover to the cloud would be it work load. Typically your data quality and there's a lot of automation that we provide to our solutions and finally, Of course, if you're already in the cloud, whether you're running a science parents or cloud native, our software protects across all those use cases, either true sass with metallic auto downloadable software, backup and recovery so we can cover the interest victims of actual presence. You. We do definitely help customers in every stage of their hybrid cloud acceleration journey. >>And if you take a look at the Hedvig protect if you take a look at the head back to, um, the ability to work in a cloud native fast, it is essentially a part of the DNA of that storage of the storage, right? So whether you're running on Prem, whether you're running it about adjacent, set up inside the cloud head, that can work with any compute environment and any storage environment that you went to essentially then feed, we build this distributed storage, and the reason that becomes important. It's pretty much highlighted with our announcement around the kubernetes and container support is that it makes it really easy to start maneuvering data from on Prem to the cloud, um, from cloud to cloud region to region, sort of that high availability that you know as customers make cloud first a reality and their organizations starts to become a critical requirement or ensuring the application of and some of the things that we've done now with kubernetes in making all of our integration for how we deliver storage for the kubernetes and container environments and being that they're completely kubernetes native and that they can support a Google in AWS and Azure. And of course, any on premises community set up just showcases the value that we can provide in giving them that level of data portability. And it basically provides a common foundation layer, or how any sort of the Dev ops teams will be operating in the way that those state full container state workloads. Donna Oh, sorry. Go >>ahead, mark area >>because you mentioned the metallic and azure partnership announcement and I just want to get on that. And one thing that run dimension, which is we are really excited about the announcement of partnership with Microsoft and all the different news cases that opens up that are SAS platform with Azure with office 3 65 and all of the great application stack it's on. If you're at the same time, to run this point. We are a multi cloud company. And whether that is other of the hyper scale clouds Mess GC, P. Ali at Oracle and IBM, etcetera, or Oliver, Great service writer burners. We continue to believe in customer choice, and we'll continue to drive unique event innovations across all of those platforms. >>All right, Don, I was wondering if we could just dig in a little bit more on some other kubernetes pieces you were talking about. Let me look at just the maturation of storage in general. You know, how do we had state back into containers in kubernetes environments? Help us see, You know what you're hearing from your customers. And you know how you how you're ready to meet their needs toe not only deliver storage, but as you say, Really? You know, full data protection in that environment? >>Certainly it So I mean, there's been a number of enhancements that happened in the kubernetes environment General over the last two years. One of the big ones was the creation of what the visit environment calls a persistent volume. And what that allows you to do is to really present storage to a a communities application. Do it be typically through what's called a CSR container storage interface that allows for state full data to be written, storage and be handled and reattached applications as you leverage them about that kubernetes. Um, as you can probably imagine that with the addition of the additional state full applications, some of the overall management now of stateless and state collapse become very talent. And that's primarily because many customers have been using some of the more traditional storage solutions to try to map that into these new state. Full scenario. And as you start to think about Dev ops organization, most Dev ops organizations want to work in the environment of their choice. Whether that's Google, whether that's AWS, Microsoft, uh, something that might be on Prem or a mix of different on Prem environments. What you typically find, at least in the kubernetes world, is there's seldom ever one single, very large kubernetes infrastructure cluster that's set to run, Dev asked. The way and production all at once. You usually have this spread out across a fairly global configuration, and so that's where some of these traditional mechanisms from traditional storage vendors really start to fall down because you can apply the same level of automation and controls in every single one of those environments. When you don't control the storage, let's say and that's really where interfacing Hedvig and allowing that sort of extension distribute storage platform brings about all of this automation policy control and really storage execution definition for the state. Full statehood workloads so that now managing the stateless and the state full becomes pretty easy and pretty easy to maintain when it comes to developing another Dev branch or simply trying to do disaster recovery or a J for production, >>any family actively do. That's a very interesting response, and the reality is customers are beginning to experiment with business. Very often they only have a virtual environment, and now they're also trying to expand into continuous. So Hedwig's ability to service primary storage for virtualization as well as containers actually gives their degree of flexibility and freedom for customers to try out containers and to start their contingent. Thank you familiar constructs. Everything is mellow where you just need to great with continuous >>Alright, bring a flexibility is something that I heard when you talk about the portfolio and the pricing as to how you put these pieces together. You actually talked about in the presentation this morning? Aggressive pricing. If you talk about, you know, kind of backup and recovery, help us understand, You know, convo 2020 how you're looking at your customers and you know how you put together your products, that to meet what they need at that. As you said, aggressive pricing? >>Absolutely. And you use this phrase a little bit earlier is to blow like flexibility. That's exactly what we're trying to get to the reason why we are reconstructing our portfolio so that we have these very granular use case aligned data management services to provide the cloud like flexibility. Customers don't have the same data management needs all the time. Great. So they can pick and choose the exact solution that need because there are delivered on the same platform that can enable out the solution investment, you know, And that's the reality. We know that many of our customers are going to start with one and keep adding more and more services, because that's what we see as ongoing conversations that gives us the ability to really praise the entry products very aggressively when compared to competition, especially when we go against single product windows. This uses a lot of slammed where we can start with a really aggressively priced product and enable more capabilities as we move forward to give you an idea, we launched disaster recovery today. I would say that compared to the so the established vendors India, we would probably come in at about 25 to 40% of the Priceline because it depends on the environment and what not. But you're going to see that that's the power of bringing to the table. You start small and then depending on what your needs are, you have the flexibility to run on either. More data management capabilities are more workloads, depending on what your needs will be. I think it's been a drag from a partner perspective, less with muscle. If you want a little bit more than that, >>yes, I mean, that goes back to the idea of being ableto simply scale across government use functionality. For example, things like the fact that our disaster recovery offering the Newman doesn't require backup really allows us to have those Taylor conversations around use cases, applications >>a >>zealous platforms. You think about one of the the big demands that we've had coming in from customers and partners, which is help me have a D R scenario or a VR set up in my environment that doesn't require people to go put their hands on boxes and cables, which was one of those things that a year ago we were having. This conversation would not necessarily have been as important as it is now, but that ability to target those specific, urgent use cases without having to go across on sort of sell things that aren't necessarily associated with the immediate pain points really makes those just makes us ineffective. Offer. >>Yeah, you bring up some changing priorities. I think almost everybody will agree that the number one priority we're hearing from customers is around security. So whether I'm adopting more cloud, I'm looking at different solutions out there. Security has to be front and center. Could we just kind of go down the line and give us the update as to how security fits and all the pieces we've been discussing? >>I guess I'm talking about change, right, so I'll start. The security for us is built into everything that we do the same view you're probably going to get from each of us because security is burden. It's not a board on, and you would see it across a lot of different images. If you take our backup and recovery and disaster recovery, for instance, a lot of ransomware protection capabilities built into the solution. For instance, we have anomaly detection that is built into the platform. If we see any kind of spurious activity happening all of a sudden, we know that that might be a potential and be reported so that the customer can take a quick look at air Gap isolation, encryption by default. So many features building. And when you come to disaster recovery, encryption on the wire, a lot of security aspects we've been to every part of the portfolio don't. >>Consequently, with Hedvig, it's probably no surprise that when that this platform was developed and as we've continued development, security has always been at the core of what we're doing is stored. So what? It's for something as simple as encryption on different volume, ensuring the communication between applications and the storage platform itself, and the way the distributors towards platform indicates those are all incredibly secured. Lock down almost such for our own our own protocols for ensuring that, um, you know, only we're able to talk within our own, our own system. Beyond that, though, I mean it comes down to ensure that data in rest data in transit. It's always it's always secure. It's also encrypted based upon the level of control that using any is there one. And then beyond just the fact of keeping the data secure. You have things like immutable snapshots. You have declared of data sovereignty to ensure that you can put essentially virtual fence barriers for where data can be transported in this highly distributed platform. Ah, and then, from a user perspective, there's always level security for providing all seeking roll on what groups organization and consume storage or leverage. Different resource is the storage platform and then, of course, from a service provider's perspective as well, providing that multi tenanted access s so that users can have access to what they want when they want it. It's all about self service, >>and the idea there is that obviously, we're all familiar with the reports of increased bad actors in the current environment to increased ransomware attacks and so forth. And be a part of that is addressed by what wrong and done said in terms of our core technology. Part of that also, though, is addressed by being able to work across platforms and environments because, you know, as we see the acceleration of state tier one applications or entire data center, evacuations into service provider or cloud environments has happened. You know, this could have taken 5 10 years in a in a normal cycle. But we've seen this happen overnight has cut this. Companies have needed to move those I T environments off science into managed environments and our ability to protect the applications, whether they're on premises, whether they're in the cloud or in the most difficult near where they live. In both cases, in both places at once, is something that it's really important to our customers to be able to ensure that in the end, security posture >>great Well, final thing I have for all three of you is you correctly noted that this is not the end, but along the journey that you're going along with your customers. So you know, with all three of you would like to get a little bit. Give us directionally. What should we be looking at? A convo. Take what was announced today and a little bit of look forward towards future. >>Directionally we should be looking at a place where we're delivering even greater simplicity to our customers. And that's gonna be achieved through multiple aspects. 1st 1 it's more technologies coming together. Integrating. We announced three important integration story. We announced the Microsoft partnership a couple of weeks back. You're gonna see us more longer direction. The second piece is technology innovation. We believe in it. That's what Differentiators has a very different company and we'll continue building it along the dimensions off data awareness, data, automation and agility. And the last one continued obsession with data. What more can we do with it? How can we drive more insights for our customers We're going to see is introducing more capabilities along those dimensions? No. >>And I think Rhonda tying directly into what you're highlighting there. I'm gonna go back to what we teased out 10 months ago at calm Bolt. Go there in Colorado in this very on this very program and talk about how, in the unification of ah ah, data and storage management, that vision, we're going to make more and more reality. I think the, uh, the announcements we've made here today let some of the things that we've done in between the lead up to this point is just proof of our execution. And ah, I can happily and excitedly tell you, we're just getting warmed up. It's going to be, ah, gonna be some fun future ahead. >>And I think studio in the running that out with the partner angle. Obviously, we're going to continue to produce great products and solutions that we're going to make our partners relevant. In those conversations with customers, I think we're also going to continue to invest in alternative business models, services, things like migration services, audit services, other things that build on top of this core technology to provide value for customers and additional opportunities for our partners >>to >>build out their their offerings around combo technologies. >>All right, well, thank you. All three of you for joining us. It was great to be able to dig in, understand those pieces. I know you've got lots of resources online for people to learn more. So thank you so much for joining us. Thank you too. Thank you. Alright, and stay with us. So we've got one more interview left for the Cube's coverage of con vault. Future Ready, students. Mannan. Thanks. As always for watching the Cube. Yeah, Yeah, yeah, yeah, yeah, yeah

from the silicon angle media office in Boston Massachusetts it's the queue now here's your host David on tape hello everyone and welcome to this week's wiki bond cube insights powered by ETR in this breaking analysis we want to dig into the so called multi-cloud arena some of the questions we're getting from our community are what is a multi cloud did we really need it what problems does multi-cloud solve and importantly what problems does it create how is this thing called multi cloud likely to evolve and who are some of the key players to watch how do they stack up relative to each other you know recently I got a couple of interesting questions from a customer that says I have all this AI action going on and doing sophisticated modeling and this data lives and oh clouds all over the place how do I cross connect to the data and the workloads that are running on these clouds with the consistence this consistent experience of what our other customers doing another question came up in the community today is there a financial advantage to multi cloud or is it just about avoiding lock-in so I'm gonna take a stab at addressing these questions so first of all let's look at some of the noise that's going on in the marketplace and try to extract a little signal every vendor especially the ones who don't own a cloud are touting this thing called multi cloud and they tell us that customers want to avoid lock-in and organizations want seamless integration across clouds and they say we the vendor are uniquely qualified to deliver that capability although as you can see here in for a not everybody agrees because some feel that multi cloud is less secure more complicated in higher cost now the reality is that one two and three are true as is for a to a certain degree but generally I would say that multi cloud to date is more of a symptom of multi vendor then a clear strategy but that's beginning to change and there's a substantial opportunity out there for anyone to win so let's explore this a little bit and an exclusive sit-down with aunty Jessie prior to reinvent 2019 John Fourier got Jessie to talk about this trend here's what he said we have a large number of companies who have gone all-in on AWS and that's growing but there's gonna be other companies who decide that they're going to use multiple clouds for different reasons you wouldn't have to say that the vast majority of organizations pursuing cloud tend to pick a predominant provider that it's not a 50/50 scenario it's rather it's more like a 70/30 or 8020 or even a 90/10 faria went on to write somewhat paraphrasing I think Jesse in my view it's not hard to find the reasons for using multiple clouds right is M&A there's shadow IT there's developer preference but it's really not multi cloud by design it's just more of the same Enterprise IT mishmash that we've seen for decades so I generally have to say I agree with that but it is changing and I want to dig into that a bit so first let me recap the basic premise that we work off of first cloud is winning in the marketplace we know this building data centers is not the best use of capital unless you're a data center operator or a hyper scaler or you know maybe a SAS provider maybe so more and more work is going to continue to move to the cloud this was pretty much the first wave of cloud if you will a cloud of remote infrastructure services for very obvious workloads like web test dev analytics and certain SAS offerings the second wave of cloud which we've been talking about for 15 years was or should I say is a hybrid connecting remote cloud services to on-prem workloads and the third wave which is really hitting somewhat in parallel is this thing that we call multi cloud now it's not a perfect analogy but these multi generational waves remind us of the early days of networking now some of you may remember that years ago the industry was comprised of multiple dominant vendors that control their own proprietary network stacks for example IBM had SN a digital or deck had decnet all the many computer vendors had their own proprietary nets now in the early to mid-1980s the OSI model emerged with the objective of creating interoperability amongst all these different communication systems and the idea was we're going to standardize on protocols and the model had seven layers all the way from the physical layer through the application but really in reality was a pipe dream because we were way too complicated and and it sort of assumed that customers are gonna rip and replace their existing networks and then standardize on the OSI model now in reality that was never gonna happen however what it did is it open the door for new companies and you saw firms like Cisco and 3com emerged with tcp/ip and Ethernet becoming standardized and enabling connections between these systems and it totally changed the industry as we now know it so what does this have to do with multi-cloud well today you kind of have a similar situation with dominant public cloud leaders like AWS and azure and in this analogy they are the proprietary siloed networks of the past like IBM and digital they're more open obviously but still ultimately customers are going to put workloads on the right cloud for the right job and that includes putting work on Prem and connecting it to the public cloud with call it a substantially similar and ideally identical experience that's what we call hybrid now that's today's big wave and you're seeing it with Amazon's outposts and VMware and Amazon and Azure stack etc so while all this hybrid action is getting wired up customers are putting work into AWS and Azure and certainly Google and IBM cloud and the Oracle cloud and so forth now customers are wanting to connect across clouds with a substantially similar experience because that reduces cost and of course it speeds business outcomes that's what we call multi cloud now I'm not by any means suggesting that Amazon and Microsoft are gonna go the way of the mini computer vendors I don't believe that I think leaders today are much more savvy and tuned into how to surf the waves they're more paranoid and they're frankly just smarter than back in the 70s and 80s but it's not a rite of passage if they ignore the trends they will face challenges that could become driftwood so you're seeing the emergence of some of the moves from the vendor crowd the big whales connecting their infrastructure like AWS and VMware and Microsoft and Oracle quite interesting and IBM Red Hat with everybody cisco Dell HPE with everyone Google with anthos and a lot of other players all are trying to stake a claim in this hybrid and multi cloud world but you also have these emerging players that are innovators companies like CrowdStrike in security cumulant in the backup space and many dozens of well-funded players looking to grab a share of this multi cloud pie and it's worth pointing out that they're all kind of going gaga over kubernetes now of course this makes sense because kubernetes has emerged as a standard it's certainly very popular with developers why because it enables portability and allows them to package applications and of course all they're related to tendencies around those applications and then hand that app off for testing or deployment and it's gonna behave in the exact same way as when they ran it locally this we've seen and we know this but I want to share something I had a great conversation with Bernard golden yesterday and he made an excellent point about well you know kubernetes and containers he said this portability is a necessary but insufficient condition for multi cloud to succeed you still have to have an integrated management approach to security ID management monitoring performance reporting and end get into cross-training of people and skills etc ok I want to shift gears and as always I want to dig into these segments and bring in the et our perspective now pretty sure ETR is a lot of data on multi cloud from their ven meetings and other surveys but what I've done today is pulled some data that I'm using is indicators or proxies for multi cloud so I can't go out and buy me some multi cloud today it doesn't really exist in that form so what we have to do is highlight some of the trends in the data and draw some inferences from that so let's take a look at this chart what it shows is the relative position of a number of companies that my view are participating in the multi cloud arena the chart plots these companies showing net score or remember spending momentum on the y-axis and we've just opposed that to what's called market share on the x-axis market share is a measure of pervasiveness in the data set and what we've done is we've filtered on three sectors cloud container orchestration and container platforms using that as a proxy for multi cloud so these are buyers 791 of them as you can see by the end who are spenders in these three areas and we're isolating on select group of names and as a last filter we selected only companies with 50 or more results in the data set from this survey and we're using this as a multi cloud sector proxy so let me make a couple of comments here first I know kubernetes is not a company but ETR captures spending on kubernetes it's one of the hottest areas in the data set with a nearly 82% net score so we're capturing that as a reference point the next thing I want to say is you can see the big cloud players Azure and AWS and once again as in previous breaking analysis segments we see those two look they're leaders they're out the lead both companies showing very very strong momentum from a net score standpoint now AWS you might say why are you including a diversity if they don't explicitly have a multi cloud offering but in my view you cannot talk about multi cloud without including the leading cloud supplier you also see Google not so much in the market share of the big two but Google's showing strong net score we've talked about that before and they're very well positioned in multi cloud with anthos there behind their playing cloud agnostic to try to catch up again remember this is a proxy that we are running it's not necessarily a reflection of firms specific multi cloud offerings it's an indicator based on the filters that we've run now let's take a look at some of the others rubric the data protection specialists and CrowdStrike was a security darling they show some real strengths both have multi cloud offerings and they have strategies around their look at how she Corp they stand out as an important player in our view as they provide developer tooling to run secure and and deploy applications across clouds VMware cloud is I believe it's a vfc VMware cloud foundation and it's right there in the mix and you can also see fortunate in there as well executing from a security position I talked about them last week in my braking analysis they have a nice cloud portfolio and they're benefiting from execution strong execution let me call your attention to IBM in Red Hat Red Hat OpenShift look at their respective positions on this chart IBM spending velocity or net score is low but Red Hat has quite strong spending velocity and this is CEO Arvind Krishna's opportunity leverage IBM's large install based presence shown here as market share or pervasiveness and bring red hat to the right and leverage open shifts coolness to increase IBM's relevance and elevate it elevated spending velocity if arvind can make the kind of progress that i'm showing here in this picture he'll end up being CEO of the decade but that really is IBM's opportunity you can also see I put Oracle in the chart as well because of their multi cloud relationship with Microsoft which which I actually think has great potential for running mission-critical Oracle databases as I've noted many times I've you know IBM and Oracle both have clouds they're in the cloud game there are hyper scalar clouds but they have very large installed software franchises why is that important because it insulates them from the I ass ix knife fight and the pricing pressures that are putting forth by the hyper scalars the finally I have to mention Cisco I've said many times comes at multi cloud from a position of strength and networking and of course security they've got a huge market presence and not without challenges but they clearly are a player here ok now let's go on and look at some similar proxy data basically the same cut isolated on a few big players participating in multi cloud so again same cut as before but this is this shows a time series isolating on some of those Biggie's showing their net score or spending momentum in cloud and container related sectors that I talked about you got Azure leading GCP showing momentum IBM Red Hat with open shift and VMware all with solid net scores that are in the green cisco not as strong from a net score or spending velocity standpoint but it's shared in or presence in the data set is significant in this cut so two takeaways here really are one this is a wide-open race it's jump ball you really can't pick a winner yet and to each is gonna come at this from their own unique position of strength which brings me to how we see this space evolving this simple chart here really shows how we see the multi cloud infrastructure stack emerging starting at the bottom we show in the stack networking you gotta have networking to cross connect clouds and this is where cisco you has to win the day not optional for them some big players are going after the control plane including Microsoft arc Google with anthos VMware with tans ooh IBM Red Hat and we think eventually AWS is a possibility to enter that game on the data plane you got some big whales like Dell EMC you got NetApp you've got HPE at IBM the big storage players as well you have specialists like pure who's doing some interesting things in block in the cloud and cumulonimbus mention you have a bunch of companies like Veritas cohesive the rubric vMac TIFIA is gonna be in there CommVault I mentioned Klum EO before IBM is another one you got a whole bunch of folks in networking big portfolio plays from the likes of Cisco I said to network I met security from Cisco Palo Alto fortunate along with many of the security specialists we've highlighted in the past like CrowdStrike and there are many many others now on the leftmost side of this chart is really interesting we showed the full stack interconnects here we're referring to the direct cloud to cloud connections in functions up and down the entire stack examples here are AWS VMware yes that hybrid but also emerging at the edge and Microsoft and Oracle so the bottom line is we're seeing a battle brewing between the big companies with larger appetites gobbling up major portions of the market with integrated suites that are playing out within each layer of the stack competing with smaller and nimble players that are delivering best to breed function along those stack layers all right let me summarize so here are the questions that I said I would answer let's see how I did what the heck is multi cloud well let me first say it feels like everything in IT is additive what do I mean by that well we never get rid of stuff you keep things forever think about it the typical enterprise has multiple data centers they get many SAS providers more likely they have you know more than one Iast provider and they're starting to think about what should I do with the edge there is no standard for hybrid or multi cloud deployments you talk to 100 customers and you're gonna hear 120 or 150 or 300 different environments and several orders of magnitude of challenges that they face do we really need multi-cloud not an ideal world no we wouldn't need multi cloud but we talked about how we got here earlier how real is it how real is multi cloud now look companies use multiple clouds it's is it easy to do things across scope these clouds no so it's one of these problems that the industry is created that it can now make money fixing it's a vicious cycle I know but so goes the enterprise IT business what problems does it does multi-cloud solve and create look the goal of multi cloud should be that it creates more value than just the sum of the individual parts and that is clearly not happening yet in my opinion moving data around is a problem so ultimately the value comes from being able to bring cloud services to data that resides all over the place and as Bernard golden implied even with kubernetes the experience is far from seamless so we understand that technology created this problem and IT people processes and technology will be asked to clean up the crime scene as I often say it's a common story in enterprise tech we talked about how multi-cloud will evolve along a stack that it comprises specialists and big companies with very big appetites my opinion is that multi-cloud will evolve as a mishmash and vendor relationships the right tools for the right job the edge IT and OT tensions mergers and acquisitions these are gonna create even a bigger mess down the road we have well-funded companies that are exceedingly capable in this business and the leaders are gonna get their fair share cloud is a trillion-dollar market opportunity and there will not be in my opinion a winner-take-all and multi cloud so who wins like I've tried to lay out some of the leaders within different parts of the stack but there's way more to this story I do believe that the cloud players are well positioned why cuz they're they invented cloud EWS and others who followed right now Microsoft and Google are playing actively in that market but I definitely think AWS will I that space but I think VMware Red Hat IBM Cisco etc some of this from the respective positions of strength and I've sort of they have the added benefit of being cloud semi agnostic because generally they're not wed to a hyper scale cloud you know IBM as a cloud oracle as a cloud but it's on a hyper scale cloud and as always there's specialists that are gonna solve problems that are too small initially for the big whales to see so they get a leader lead bleed to market advantage but those opportunities can grow over time and allow these guys to reach escape velocity now so I'll say multi-cloud in and of itself is I believe an opportunity one that will be attacked from a position of strength within the stack and there are opportunities to be specialists up and down that stack the Akashi Corp alright this is Dave Volante for wiki bonds cube insights powered by ETR thanks for watching this breaking analysis and remember these episodes are available as podcasts you can check it out as you're driving your car wherever you listen to two podcasts you can connect with me at David Villante at Silicon angle calm or at D Volante on Twitter or please comment on my LinkedIn posts thanks for watching everyone we'll see you next time [Music]

>>Live from Copenhagen, Denmark. It's the cube covering Nutanix dot. Next 2019 brought to you by Nutanix. >>Welcome back everyone to the cubes live coverage of next here in Copenhagen. We are of course here at the Nutanix show. We are wrapping up a fantastic today show. I'm your host, Rebecca Knight. Been Cosa hosting alongside of Stu Miniman. We are joined by Simon Taylor. He is the CEO of haiku, a good friend of the cube. Thank you so much for coming back on the show. It's a pleasure to be here. It's great to see you guys again. Final guest. Oh my gosh. It's a, it's a fare to stay interested in your energy. Yes. So for our viewers who are not as familiar with haiku, tell us a little bit about your business and how you are a strategic partner of Nutanix. >> Sure, sure. So haiku actually is a software company that focuses on data protection as a service. We actually started by spinning out of a much larger company called calm train that had about a thousand engineers and was doing all sorts of things, but they had an amazing talent for building backup and recovery software. >>Um, my vision was really that we can move up the value chain and we can establish ourselves as our own brand, as long as we could find a place in the market that was fast growing, building like a rocket ship and was really requiring a new kind of data protection and backup. And honestly, as soon as we fell, we saw Nutanix, we sort of fell in love. We realized that, you know, they had developed an entirely new category of business with hyperconverged and they were really a pioneer in that space. So we said is why don't we build the world's first purpose-built backup and recovery for Nutanix? And that's exactly what we did. And I think, you know, Stu was actually one of the first people to ever hear about it. Uh, we came on the cube and we talked about that. We've GA that in 2017 in July. I think@that.next, um, so just two and a half years later, we now have 1200 customers and we're in 62 countries around the world. So it's been absolutely astonishing. It's been wonderful growth. We're seeing 300% year over year growth. Uh, and really a lot of that is just based on our ability to protect the data of Nutanix customers around the world. >>Well and and Simon, right? That early question was, is new CanOx is going to be big enough to support ISV is that, you know, can run the, you know, grow their business underneath them before we get further and talk about mine and everything. Give us a little bit, you know, the state of the state for haiku because started with Nutanix, but that's not the only solution they are offering Dave. So just give us kind of the snapshot of the whole business. >>What we realized as we were building out high Q in this purpose build backup recovery for new TEDx. We said that's the on-prem, you know, but there's a lot of on prem that is still legacy three tier architecture. So we added a VMware product. But really the goal was to offer true multi-cloud data protection as a service. So what we did is we built the independent purpose-built backup and recovery service from Nutanix, one for VMware. Then we built the world's first purpose build backup as a service for Google cloud. And I'm really thrilled to announce the next month we're launching Azure backup as well. And the brilliant thing about our system and our solution is that we actually enabled customers to not only back up their data independently for that cloud, but that then migrate their data to whatever other cloud they want to use. So we actually becomes data protection as a service, data migration, and dr. >>So for, for customers, this is wonderful, but how is it to be strategic partners with all of these big players? >> Oh yeah, absolutely. I think you have to place your bets, right? So if you notice, I didn't say AWS and almost every company that I talked to says, why wouldn't you start with AWS? They're the biggest, you know, that's never been our philosophy. You know, I think the fact that we attach ourselves to Nutanix so early, not just because they were a rocket ship on fire, but also because we truly believed in their vision. We believe in the Nutanix products, we love Daraja entire philosophy around simplicity and customer delight and we felt like we could be students of Nutanix, we could actually build out our product with those same philosophies and principles in mind. You know? So I think really going deep with Nutanix is number one for us remains number one. I would also say though that you know, Google has been an excellent partner and Microsoft been an excellent partner. So with the large cloud providers you have to take a different approach. You cannot offer a downloadable product, right? All of our public cloud backup and recovery is a true managed service. You go into their app store, you turn it on rather than download it, you configure and you're able to perform all your backup and do all your recovery right from the console. >>All right, so Simon let, let's get into the kind of the, the, the guts of what's happening at Nutanix. Mine, of course is a partnership to extend for data protection, partnering with Veeam and haikus as a, as the first two partners. Uh, the other thing that everybody's pretty excited about is XY clusters. And that sounds like, and we've talked to Newtanics people, you know, as Nutanix brings their stack into the clouds, not just on the clouds, will that pull things like mine along with them. And so, so give us what you're seeing with mine first and maybe he's, I clusters along. >>Yeah. So maybe we start with mine, right? This whole concept that I think that these guys have pioneered and they've done a really terrific job of it. I think, you know, the, the vision there, and you know, I count marketing or Meyer in this group and Tim Isaacs and some wonderful folks on the product team in Nutanix. Their vision was, you know, there's rubric and there's Cohesity, there's these sort of large secondary storage platforms. Personally, when I look at them, what I see as Newtanics with a backup workload, right? And I think that, you know, Nutanix being the original is the best. It's the most complete solution. And it's very, very comprehensive. So I think the, the tannics folks understood this intuitively and their idea was instead of us building our own backup and going after that space, we've got amazing partners like haiku. Why don't we just natively integrate them into the mind platform and offer that sort of secondary storage workload, uh, as a key part of Nutanix is product proposition. >>So the really exciting thing for us is that we are skewed up with Nutanix. Nutanix, we'll be able to resell haiku as a part of mine. Uh, and I think that's gonna really complete their end tour tire story when it comes to being able to own the data center, uh, and really own the sort of cloud in general. You know. So I think your second question still was about clusters. And I think that the answer there is very simple. You know, multi Gloucester is, has become extremely important for Nutanix customers. They've done a great job of going after that. The simple fact is if you don't support XY clusters as a backup vendor, you really can't compete in this market. So I'm really thrilled to announce, of course, that haiku is the first backup recovery vendor that does support. Gluster. >>Okay. So interesting. We talked about how you hadn't done a solution for AWS. Sounds like this might be a path for you to get with Nutanix onto AWS. >>Absolutely, absolutely. And again, for us it's not about looking for some Trojan horse or backdoor into a go to market strategy. It's about making sure that the customers are truly delighted by the value that we provide. And I think that when we go after a specific market, we want to do it the best, you know, so we don't go shallow and just sort of check the box. We want to make sure, for example, when we build out Azure that we're not just dealing with, you know, the, the general principle of backing up and keeping things consistent. We want to make sure the applications people are running on Azure or supported by haiku. That's what we do with Nutanix. That's what we do with GCP. We want to always go as deep as possible so we can really compliment the platform in a really, really comprehensive way. >>One of the things you said earlier was that your philosophy is very much aligned with Nutanix, your your end goal to simplify and delight the customer, uh, this, this much more intuitive, uh, youth and user interface. So talk a little bit about how you, you said you wanted to become a student of Nutanix, yo, this, this cross company learning is very interesting to me. How, how, what have you learned? Yeah. What have you learned and how do you go about being tutored by your customers? >>No, I'm a very visual guy, right? And whenever I think about Nutanix, I always had this image in my head. All right. Whenever I thought about legacy, three-tier architecture and the move to hyperconverged, rather, I always pictured an 80 stereo system. Remember those big eighties boxes? And they have all the graphic equalizers and all the way down. And some kid would come and push them all down. You could never reset the darn things, you know? And then along comes, you know, automation and suddenly, you know, you press a button and you listen to jazz and it sounds like good jazz and the treble and the bass all fixed themselves. You know, I effectively think that Nutanix brought that same concept, funnily enough into the data center. They simplified so much that was impossible to handle for admins across the world. They made it so simple to use their product that actually the customers could start to enjoy their work more. >>And I really love that. That's a true, that's a really an intangible sort of value proposition that I think people don't talk about it enough. Yes, you want to save time. Yes, you want to save money, but if you could enjoy your job more as a result of getting a product, what's better than that? Um, so I think that philosophy is something we baked into haiku in the following ways. You know, the first is when we were designing the UI, we wanted it to look and feel like the platform it supports. So when you use haiku for Nutanix, it looks like prism, when you are using our console for GCP, you're gonna feel like you're using GCP. The idea is that backup and recovery should be an extension of that cloud expression, that platform, so that the customer who is an expert with that platform can easily manage this with no training at all. So again, driving that simplicity right there and in the platform. >>Yeah. So Simon, you know, one of the things we love to do is get hear from customers and what they're doing. Of course you've got 1200 customers that are Nutanix customers. So we'd love to hear, you know, any insights you have in a lot of discussion about AHV in the last 12 months has been about half of the deployment. Is there anything around HV or any of the, you know, new software features and products and experiences that Nutanix has been launching that you hear customers buzzing and talking to you about? >>I mean, I, I, the first thing I would say is it is truly a multicloud world now. Um, I think that legacy vendors are having a harder and harder time coping with the fact that cloud washing no longer works. You know, if you show up to the market and you say, Oh, this, now I can deploy an agent into this cloud, it's sort of stop, stop, don't say agent around me. You know? So I think, I think the ability to really natively integrate into any of these clouds and support all of these clouds equally is key. You know? So in the past a vendor would start with one thing and it would be great, right? And I won't use names here, but then they would do something else. They might move to another hypervisor and it was a little bit less great. Right. And I think that that notion has to change in a multicloud world, which brings me to the concept of HV. >>I think that HV has really grown. I mean, I would say that right now, you know, over half of our customers are HV customers. And I would say that that grows every single quarter and it not only grows in terms of net new logos, it also grows in terms of existing customers that we're finding SWAT to switch to HV and they want to switch fast. You know, they don't want to pay the V tax anymore, but more than that, I think they're seeing HV as a really robust enterprise hypervisor that really meets the complete need for the customer. And I think that's, that's been terrific to watch. So when you hear at.next, and this is not your first hot next, but what kinds of conversations are you having? What's been interesting to you? What are you going to take back to haiku? Yeah, head back to Brookline. Yeah. >>I mean obviously there's all the new stuff. I mean, Kubernetes, you know, containers. Um, I think these are all things we've been working on for some time. We'll have some surprises for you guys in Q4 at the end of Q four around that. Um, but you know, I think the big takeaway for me is we spent the first two years building our brand, getting the word out there, proving to companies and customers around the world that we were truly enterprise ready cause we were the new kid on the block. And you have to sort of start somewhere and show that. I think now we, you know, we added physical last year, we added tape support, we've really got all of the major applications covered at this point. I think that conversation, we've checked the box, right? So today's conversations are about what's next, how much more deeply will you integrate with Nutanix? >>How can I use Nutanix to then manage my data in the cloud and bring it back again? And can haikus support that or will it distract me? And you know, the simple answer is it will support that completely because it's so natively integrated. You know. And again, I think when you choose a platform at this stage, and this is something we've seen again and again and again, people do not want a second silo, right? In order to, you know, run their backup and recovery. You know, customers who are choosing Nutanix or choosing any platform want to run that platform and they want to make that one holistic experience. You know, they want to reduce the training required and they want to make sure they get the most out of their investment. So we're where I think two or three years ago, Stu, when we first met, everybody was trying new things, right? It was sort of, there were all these new platforms and it was all very exciting. I think now people are doubling, tripling, quadrupling down on the platforms they fundamentally believe in. And we're thrilled about that because we support those platforms and we'll continue to do so. >>Great. Excellent little. Simon, thank you so much for coming on the cube. It was a real pleasure talking to you and it's been great. Yes, no, absolutely. Thank you very much. Thank you so much. Thank you for having me. That wraps up two brilliant days in Copenhagen at the Bella center at Nutanix dot. Next. Thank you so much for joining us and we hope to see you next time.

(funky music) >> Announcer: From our studios in the heart of Silicon Valley, Palo Alto, California, this is a CUBE Conversation. >> Everyone, welcome to this special CUBE Conversation here in Palo Alto, California with CUBE Studios. I'm John Furrier, your host of this CUBE Conversation with Dheeraj Pandey, CEO of Nutanix. CUBE alumni, very special part of our community. Great to see you again, thanks for coming in. We're previewing your big show coming up, Nutanix NEXT in Europe. Thanks for joining me. >> It's an honor. >> It's always great to get you. I saw your interview on Bloomberg with Emily Chang. Kind of short interview, but still, you're putting the message out there. You've been talking software. We covered your show here in North America. Clearly moving to the subscription model, and I want to get into that conversation. I think there's some notable things to talk about now that we're in this cloud 2.0 era, as we're calling it, kind of a goof on web 2.0. But cloud 2.0 is a whole shift happening, and you've been on it for a while. But you got the event coming up in Europe, Nutanix NEXT. What's the focus? Give a quick plug for that event. Let's talk about that. >> Yeah, in fact, the reiteration of the message is a key part of any of our user conferences. We have 14,000 customers around the world now, across 150 countries. We've done almost more than $5 billion worth of just software business in the last six, seven years of selling. It's a billion six run rate. There's a lot going on in the business, but we need to take a step back and in our user conference talk about the vision. So what's the vision of Nutanix? And the best part is that it hasn't changed. It's basically one of those timeless things that hopefully will withstand the test of time in the future as well. Make computing invisible anywhere. People scratch their heads. What does computing mean? What does invisible mean? What does anywhere mean? And that's where we'll actually go to these user conferences, talk about what is computing for us. Is it just infrastructure? Is it infrastructure and platform? Now that we're getting into desktop delivery, is it also about business users and applications? The same thing about invisible, what's invisible? For us, it's always been a special word. It's a very esoteric word. If you think about the B2B world, it doesn't talk about the word invisible a lot. But for us it's a very profound word. It's about autonomous software. It's about continuous, virtues of continuous delivery, continuous consumption, continuous mobility. That's how you make things invisible. And subscription is a big part of that continuous delivery message and continuous consumption message. >> So the event is October 9th, around the first week of October. You got some time there, but getting geared up for that. I wanted to ask you what you've learned from the North America conference and going into the European conference. It's ultimately the same message, same vision, with a tweak, you got some time under your belt since then. The subscription model business, which you were talking in your Bloomberg interview, is in play. It is not a new thing. It's been in operation for a while. Could you talk about that specifically? Because I think most people would say, hey, hardware to software, hard to do. Software subscription, hard to maintain and grow. Where are you on that transition? Explain and clarify your mix of business, hardware, software. Where are you in the progress of that transformation? >> Well, you know, I have been a big student of history, and I can't think of a company that's gone from hardware to software and software subscription in such a short span. Actually, I don't know of any company. If you know of one, please let me know. But why? The why of subscription is to be frictionless. Hybrid is impossible without having the same kind of consumption model, both on-prem and off-prem. And if we didn't go through that, we would be hypocritical as a company to talk about cloud and hybrid itself. The next 10 years for this company is about hybrid, and doing it as if private and public are one in the same is basically the essence of Nutanix's architecture. >> Well, I can think of some hardware-software dynamics that, again, might not match your criteria, but some might say Apple. Is it a software or hardware company? Hardware drives the ecosystem, they commoditize it. Peloton bicycle is a bike, but it's mainly a software business and in-person business. So there's different models. Oracle has hardware, they have software. It doesn't always relate to the enterprise. What's the argument to say, hey, why don't you just create your own box and kick ass with that box, or is it just different dynamics? What's that? >> Well, there's a tension in the system. People want to buy experiences as opposed to buying things. They don't want to integrate things, like, oh, I need to actually now get a hardware vendor to behave as a software vendor when it comes to support issues and such. And at the same time, you want to be flexible and portable. How do you really work with the customer with their relationships that they have with their hardware vendors? So the word anywhere in our vision is exactly that. It's like, okay, we can work on multiple servers, multiple hypervisors, and multiple clouds. At the end of the day, the customer experience is king. And that's one thing that the last 10 years has taught us, John, if anything, is don't sell things to people. You know, Kubernetes is a thing. Cloud is a thing. Can you really go sell experiences? The biggest lesson in the last year for us has been integrate better. Not just with partners, but also within your own products. And now if you can do that well, customers will buy from you. >> I think you just kind of clarified where I was thinking out loud, because if you think about Apple, the hardware is part of the experience. So they have to have it. >> Mm-hmm. >> You don't have to have the hardware to create those experiences. Is that right? >> Absolutely, which is why it's now 2% of our business, and yet we are saying that we take the burden of responsibility of supporting it, integrating with it. One of the biggest issues with cloud is operations. What is operations? It's day two patching. How do you do day two patching? Intel is coming up with microcode upgrades every quarter now because of security reasons. If we are not doing an awesome job of one-click upgrade of firmware and microcode and BIOS, we don't belong in the hybrid cloud world. I think that's the level of mundaneness that we've gotten to with our software that makes us such a high NPS company with our customers. >> I want to just drill in on the notion of a thing versus experience. You mentioned Kubernetes is a thing. I would say Hadoop was a thing. But Hadoop was a great example. It was hard to do. Kubernetes, jury's still out. People love them. Kubernetes, we'll see how that goes. If it can be abstracted away, it's not a thing anymore. We'll see. But Hadoop was a great example. Unbelievable technology direction, big data, all the goodness of object storage and unstructured data. We knew that. Just hard to work with. Setting up clusters, managing clusters. And it ended up being the death of the sector, in my opinion. What is an experience? Define what does that mean. Is it frictionless only? Is there a trust equation? Just unpack your vision on what that means. A thing, which could be a box with software on it, and experience, which is something different. >> Yeah, I mean, now you start to unpeel the word experience. It's really about being frictionless, trusted, and invisible. If you can really do these things well, around the word, define frictionless. Well, it has to be consumer-grade. It has to be web scalable, 'cause customers are looking for the Amazon architecture inside, and aren't just going and renting it from Amazon, but also saying, can I get the same experience inside? So you've got to make it web scale. You've got to make it consumer-grade. Because our operators and users, talk about Hadoop, I mean, they struggled with the experience of Hadoop itself because it was a thing, it was a technology, as opposed to being something that was consumer-grade itself. And then finally, security. Trust is very important. We must secure always on resilient. The word resilience is very important. In fact, that's one of the things we'll actually talk about at our conference, is resilience. What does it mean, not just for Nutanix stock, to be where it is today from where it was six months ago. And that's what I'm most proud of, is you go through these transitions, you actually talk about resilience of software, resilience of systems, resilience of customer support, and resilience of companies. >> So you mentioned hybrid cloud. We were talking before we came on camera about hybrid cloud. But software's a two-way relationship. Talk about what you mean by that, and then I want to ask you a follow-up question of where hardware may or may be an opportunity or a problem in that construct. >> Yeah, I mean, look, in the world of hybrid, what's really important is delivering an experience that's really without silos. Ideally, on-prem infrastructure is an availability zone. How do you make it look like an availability zone that can stand up shoulder-to-shoulder with a public cloud availability zone? That's where you sell an experience. That's how you talk about a management plane where you can actually have a single pane of glass that really delivers a cloud experience both ways. >> You're kind of a contrarian. I always love interviewing you because you seem to be on the next wave before any realizes it. Right now everyone's trying to go on-premise and you're moving from on-premise to the cloud. Not you guys moving, but your whole vision is. You've been there, done that on premises. Now you've got to be where the customers are, which is where they need to be, which is the cloud. I heard you say that. It's interesting, you're going the other way, right? >> Mm-hmm. But you could look at the infrastructure and say, hey, there's a lot of hardware inside these clouds that have a lot of hardware-specific features like hardware assist that software or network latency might not be able to deliver. Is that a missed opportunity for you guys, or does your software leverage these trends? And even on premises, there's hardware offload-like features coming. How do you reconcile that? Because I would just argue inside of the company, say, hey, Dheeraj, let's not go all in on software. We can maximize this new technology, this thing, for our software. How do you-- >> Look, I think if you look at our features, like security, the way we use TPM, which is a piece of assist that you get from Intel's motherboards for doing key encryption management. What does it mean to really do encryption at scale using Intel's vectored instructions? How do you do RDMA? How do you look at InfiniBand? How do you look at Optane drives? We've been really good at that lowest level, but making sure that it's actually selling a solution that can then go drive SAP HANA and Oracle databases and GPU for graphics and desktops. So as a company, we don't talk about those things because they are the how of the business. You don't talk about the how. You'd rather talk about the why and the what, actually. >> So from a business strategy standpoint, I just want to get this clear because there's downfalls for getting into the hardware business. You know them. Inventory, all these hardware cycles are moving fast. You mentioned Intel shipping microcode for security reasons. So you're basically saying you'd rather optimize for decoupling hardware from the software and ride the innovation of the hardware guys, like Nvidia and Intel and others. >> Absolutely, and do it faster than anybody else, but more integrated than anybody else. You know, all together now is kind of our message for .NEXT. How do you bring it all together? Because the world is struggling with things, and that's the opportunity for Nutanix. >> Well, I would say making compute invisible is a great tagline. I would add storage and networking to that too. >> Yeah, computing, by the way. >> Computing. >> I said computing. >> Okay, computing. >> 'Cause computing is compute storage networking. Computing is infrastructure, platform, and apps. It's a very clever word, and it's a very profound word as well. >> Well, let's just throw Kubernetes in there too and move up the stack, because ultimately, we're writing a lot of stories on covering this editorially, is that the world's flipped upside down. It used to be the infrastructure. We're calling this cloud 2.0, like I said earlier. The world used to be the infrastructure enabled what the apps could do, and they were limited to the resources they had. Now the apps are in charge. They're dictating terms below the software line, if you want to call it the app line. So the apps are in charge now. Whoever can serve up the best infrastructure capability, which changes the entire computing industry because now the suppliers who can deliver that elastic or flexible capacity or resource, wins. >> Absolutely. >> And that's ultimately a complete shift. >> You know, I tell people, John, about the strategy of Nutanix because we have some apps now. Frame is an app for us. Beam is an app. Calm is an app. These are apps, they're drawn on the platform, which is the core platform of Nutanix, the core hyper-convergence innovation that we did. If you go back to the '90s, who was to say that Windows really fueled Office or Office fueled Windows? They had to work in conjunction, because without one, there would be no, the other, actually. So without Office there would be no Windows. Without Windows there would be no Office. How platforms and apps work with each other synergistically is at the core of delivering that experience. >> I want to add just you're a student of history. As an entrepreneur, you've been there through the many waves and you also invest a lot, and I want to ask you this question. It used to be that platforms was the holy grail. You'd go to a VC and say, hey, I'm building a platform. Big time investment. An entrepreneur will come back: I got a tool. You're a feature. You're a feature, not a platform. Platforms was the elite engineering position to come in to look for the big money. How would you define platforms now? Because with cloud, if apps are in charge, and there's potential features that are coming around the corner that no one's yet invented, what is this platform 2.0 world look like if you were coming out of grad school or you were a young engineer or a young entrepreneur? How do you think about that right now? >> Well, the biggest thing is around extensibility and openness. You know, we were talking about openness before, but the idea of APIs, where API is the new graphically why, because the developer is the builder. And how do you really go sell to them and still deliver a great experience? And not just from the point of view of, well, I've given you the best APIs, but the best SDKs. What does it mean to give them a development kit that gets them up and running in no time? And maybe even a graphical Kickstarter. We're working with our partners a lot, where it's not just about delivering APIs or raw APIs because they're not as consumable, but to deliver SDKs and to deliver graphical structural kits to them so that they can be up and running, building applications in two months rather than two years. I think that's at the core of what our platform is. >> And data and having an operating system thinking seems to be another common pattern. Understand the subsystems of data. Running and assembling things together. >> I think what is Nutanix, I mean, if people ask me what is Nutanix, I start with data. Data is the core of the company. We've done data for virtualization. We're now doing data for applications with Nutanix Files. We have object store data. We are doing Era, which is database as a service. Without data, we'd be dead as a company. That's how important it is. Now, how do you meld that with design and delivery is basically where the three Ds come together: data-- >> I wrote a blog post. Dave Vellante always laughs when I bring this up because he always references it too. In 2007 I said, data is the new development kit. 'Cause back then, development kits existed. SDKs, software development kits. MSDN was Microsoft's thing. You remember those glory days, Dheeraj, I know. But the thesis was, if data does actually come in, it's actually an input into the software. This is what I think you guys are doing that is clever that's not well understood, is data is an input, like a software library almost. A module, but it's dynamic and it's always changing. And writing software for that is a nouveau kind of thing. This is new. >> Yeah, I know, and delivered to the developer, because right now data and hardware data is sitting in silos which are mainframe-like systems. How do you deliver it where they can spin it up on their own? Making sure that we democratize data is the biggest challenge in most companies. >> We're in a new era, I think you just pointed that out, and we talk about it at CUBE all the time. We don't really talk about up-front. It used to be UI was the thing, user interface, ease of use. I think now the new table stake feature in all companies is if you can't show value instantly in any solution that has a thing or things in it, then it's pretty much not going to happen. I mean, this is the new expectation that becomes the experience for-- >> Yeah, I mean, millennials are the new developers, and they need to actually see instant gratification, many of these-- >> Well, cost too. I don't want to spend a million dollars to find out it didn't work. I want to maybe spend something variable. >> And look, agility, the cliched word, and I don't want to talk about agility per se, but at the end of the day it's all about, can we provide that experience where you don't have to really learn something over 18 months and provide it in the next three hours. >> Great conversation here with Dheeraj Pandey, CEO of Nutanix, about his vision. I always loved your software vision. You guys have smart engineers there. Let's talk about your company. I think a lot of people at your conference and your community and others want to know, is how you're doing and how the company's doing. Because I think you guys are in the midst of a major transition we talked about earlier, hardware to software, software to subscription, recurring revenue. I mean, it's pretty much a disruptive enabler for you guys at one level as an opportunity. It's changing how you do accounting. It's having product management. Your customers are going to consume it differently. It's been a big challenge. And stock's taken a little bit of a hit, but you're kind of playing the long game. Talk about the growth strategy as you guys go forward. This has been a struggle. There's been some personnel changes in the company. What's going on? Give us the straight scoop. >> Yeah, in fact the biggest thing is about the transformation for this coming decade. And there's fundamental things that need to change for the world of cloud. Otherwise, you're basically just talking the word rather than walking the walk itself. So this last quarter I was very pleased to announce that we finally showed the first strong point of this whole transformation. There's a really good data point coming out that the company is growing back again. We beat street estimates on pretty much every metric. Billings, revenue, gross margin. And we also guided above street estimates for billings, revenue, and gross margin, and I think that's probably one of the biggest things I'm proud of in the last six, nine months of this subscription transition. We're also telling the street about how to look at us from software and support billings point of view as opposed to looking at overall billings and revenue. If you take a step back into the company, I talk about this in our earnings call, 'til three years ago, we were a commercial company, also doing federal and some international. And the last three years we proved to ourselves and to the community that we can do enterprise, you know, high-end customers, upmarket, and also do a very good job of international. Now, the next three years is really about saying, can we do both enterprise and commercial together? All together now, which is also our, coincidentally, our .NEXT message, is the proof that we actually have to go and show that we can do federal, enterprise, and commercial to really build a very large business from it. >> Well, federal's got certification levels. We know that's different depending upon which agency you're talking to. Commercial, a little bit different ball game. SaaS becomes important, cloud becomes important. The big trend is on-premise hardware. Outposts for AWS, Azure Stack for Microsoft. How do you fit into that? Because you, again, you said you're both ways. >> Mm-hmm. >> So are you worried about that? Is that a headwind, tailwind for you? What's the impact for this now fashionable on-premises shift? Which I think is just a temporary thing as cloud continues to grow. But I still argue with Michael Dell about this. I think cloud is going to be a bigger TAM. Even though there's a huge total addressable market on enterprise, that's like saying there's a great TAM for horses and buggies when cars are coming out. It's different world between public cloud and on-premises. How does that impact Nutanix, this on-premise-- >> Well, remember I said about the word anywhere in our vision? Make computing invisible anywhere? With software you can actually reduce the tension between public and private. It's not this or that. It's this and that. Our software running on Outpost is a reality. It's not like we're saying, Outpost is one thing and Nutanix is another. And that's the value of software. It's so fungible, it's so portable, that you don't have to take sides between-- >> Are you guys at ISV inside Amazon Marketplace? >> No, but again, it's still a thing. Marketplace is still not where it should be, and it's hard to search and discover things from there. So we are saying, let's do it right. Remember, we were not the first hyper-convergence company. Right? We were probably the ninth one, like the way Google was as a search engine, actually. But we did it right, because the experience mattered. You know that search box that did everything? That's what Nutanix's overall experience is today. We will do the public cloud right with our software so that we can use the customer's credits with Amazon-- >> But you're still selling direct. And your partners. >> Well, everything is coming through partners, so at the end of the day we have to do an even better job of that, like what we're doing at HPE now. I think being able to go and find that common ground with partners is what commercial is all about. Commercial is a lot about distribution. As a company, we've done a really good job of enterprise and federal. But doing it with partners-- >> What are the biggest impact areas for your business and business model, elements with software transition that you're scaling up on the subscription side? What are the biggest areas? >> Well, one is just communication, 'cause obviously a lot is changing. At a private company, things change, nobody cares. The board just needs to know about it. But at a public company, we have investors in the public market. And many of them are in the nosebleeding section, actually, of this arena. So really, you're sitting in the arena, being the man in the arena, or the woman in the arena. How do you really take this message to the bleachers section is probably the biggest one, actually. >> Well, I think one of the things I've always speculated on, you look at the growth of, just pick some stocks that we all know. VMware, Microsoft. You look at the demarcation point where, right when the stock was low to high was the shift to cloud and software. With VMware, it was they had a failing strategy and they kill it and they do a deal with Amazon. Game has changed, now they're all in the software-defined data center. Microsoft, Satya Nadella comes in, boom, they're in cloud. Real commitment. And with Microsoft specifically, that was a real management commitment. They were committed to software. They were committed to the cloud business model, and took whatever medicine they needed to take. >> That's it. That's it, you take short-term pain for long-term gain, and look, anything that becomes large over time, to me it's all about long-term greed, and I use this word a lot. I want all our employees and our customers and our investors to really think about the word. There's greed, but it's long-term greed, and that's how most companies have become large over time. So I think for us to have done this right, to say, look, we are set for the next 10 years, was very important. >> It's interesting. Everyone wants to be like Jeff Bezos. Everyone wants to be like you guys now, because long-term greed or long-term thinking is the new fashion. It's the new standard and tack. >> Yeah, I mean, look the CEOs, the top 200 CEOs, came out and talked about, are we taking good care of main street, or are we just focused on this hamster wheel of three months reporting to Wall Street alone? And I think consensus is emerging that you got to take care of main street. You and I were talking about, that I look at investors as customers, and I look at customers as investors. Which is really kind of a contrarian way of thinking about it. >> It's interesting. We live in the world, we've seen many waves. I think the wave we're on now from an entrepreneurial and venture creation standpoint, whether you're public or private, is the long game is the new 3D chess. It's where the masters are playing their best game. You look at the results of the best companies. I just bought the book about Uber from Mike Isaac from the New York Times. Short-term thinking, win at all costs, that's not the 3D chess game that's going on with entrepreneurs these days. All the investment thesis is stay long-term. And certainly now, with this perceived bubble popping, or this downturn that may or may not happen, long-term game is more important than ever. Your thoughts on it? >> I think the word authenticity has never been more important, not just in the Valley, but around the world, actually. What you're seeing with all this Me Too movement and a lot of skeletons in the cupboard out there, I think at the end of the day, the word authentic cannot be artificially created. It has to come from within. What you talk about, Satya... I look at Shantanu Narayen, the Adobe CEO, and they're authentic CEOs. I mean, I look at Dara now, at Uber, he's talking about bringing authenticity to Uber. I think there's no shortcuts to success in this world. >> I think Adobe's a great example. What they've done has been amazing. I know you're on the board there, so congratulations. Final word, I'll let you get your plug in for the event and your customer base. Talk to your customers and investors out there that might watch this. From your state of mind, what's the state of the union for Nutanix? Speak directly to your customers and investors right now. >> Well, the tagline for .NEXT Copenhagen is all together now. We're bringing clouds together. We're bringing app infrastructure and data together. I think it's a really large opportunity for us to go sell an experience to our customers, rather than selling things. All these buzzwords that come up in technology, as a company, we've done a really good job of integrating them, and the next decade is about integrating the public cloud and the private cloud. And I look at investors and customers alike. I talk about long-term greed with them. Providing an experience to them is the core of our journey. >> Thanks for your insight, Dheeraj. This was a CUBE Conversation here in Palo Alto. I'm John Furrier, thanks for watching. (funky music)

>> Live from London, England, it's The Cube covering .NEXT conference Europe 2018. Brought to you by Nutanix. >> Welcome back to London, England. This is The Cube's coverage of Nutanix .NEXT 2018. 3,500 people gathered to listen to Sunil Potti. >> Thanks, Stu. >> For the keynote this morning, Sunil's the chief product and development officer with Nutanix. Glad we moved things around, Sunil, 'cause we know events, lots of things move, keynotes sometimes go long, but happy to have you back on the program. >> No, likewise, anytime. >> All right, so, I've been to a few of these and one of the things I hope you walk us through a little bit. So Nutanix, simplicity is always at its core. I have to say, it's taken me two or three times hearing the new, the broad portfolio, the spectrum, and then I've got the core, I've got essentials, I've got enterprise. I think it's starting to sink in for me, but it'll probably take people a little bit of time, so maybe let's start there. >> I mean, I think one of the biggest things that happened with mechanics is that we went from a few products just twelve months ago to over ten products within the span of a year. And both internally as well as externally, while the product values are obviously obvious, so it's more the consumption within our own sales teams, channel teams, as well as our customer base, needed to be codified into something that could be a journey of adoption. So we took it customer inwards, in about a journey that a customer goes through in adopting services in a world of multi-cloud, and before that, before you get to multi-cloud, you have to build a private cloud that is genuine, as we know. And before we do that, we have to re-platform your data center using HCI, so that's really if you work backwards to that, you start with core, which is your HCI platform for modernizing your data center and then you expand to a cloud platform for every workload, and then you can be in a position to actually leverage your multi-cloud services. >> Yeah, and I like that. I mean, start with the customer first, is where you have and I mean the challenge is, you know, every customer is a little bit different. You know, one of the biggest critiques of, you know, you say, okay, what is a private cloud? because they tend to be snowflakes. Every one's a little bit different and we have a little bit of trouble understanding where it is, or did it melt all over the floor. So give us a little bit of insight into that and help us through those stages, the dirty, the crawl-walk-run. >> Yeah, I think the biggest thing everyone has to understand here is that these are not discrete moving parts. Core is obviously your starting point of leveraging computer storage in a software defined way. The way that Amazon launched with EC2 and S3, right. But then, every service that you consume on top of public cloud still leverages computer storage. So in that sense, essentials is a bunch of additional services such as self-service, files, and so forth, but you still need the core to build on essential, to build a private cloud And then from there onwards, you can choose other services, but you're still leveraging the core constructs. So in that sense, I think, both architecturally as well as from a product perspective, as well as architecturally from a packaging perspective, that's why they're synergistic in the way that things have rolled out. >> Okay, so looking at that portfolio. A lot of the customers I work with now, they don't start out in a data center, they've already moved past that, right? So they are leveraging a partner, the public cloud, they might not even be running virtual machines at all anymore. How does that fit into your portfolio? >> Yeah, I mean, increasingly what we are realizing, and you know, we've done this over the last couple of years, is for example, with Calm, you can only use Calm to manage your public clouds without even managing your private cloud of Nutanix. Increasingly with every new service that we're building out, we're doing it so that people don't have to pay the strategy tax off the stack. It needs to be done by a desire of I want to do it versus I need to do it. So, with Frame, you can get going on AWS in any region in an instant or Azure. You don't need to use any Nutanix software. Same thing with Epoch, with Beam. So I think as a company, what we're essentially all about is about saying let us give you a cloud, service-like experience, maybe workload-centric. If it is desktops and so forth. Or if you are going to be at some point reaching a stage where you have to re-platform your data center to look like a public cloud, then we have the core, try and call it platform itself that'll help you get there as well. >> So, looking at re-platforming that data center. If I were to do that now for a customer I wouldn't be looking at virtual machines, storage, networking, I'd be looking at containers or serverless or you know, the new stuff. Again, what is Nutanix's answer to that? >> Yeah, I mean, I think what we've found is that there's quite a bit of an option, obviously, of cloud-native ads, but when it comes to mainstream budget allocation, it's still a relative silo in terms of mainstream enterprise consumption. So what we're finding out is that if you could leverage your well-known cloud platform to not create another silo for Kubernetes, don't create another silo for Edge or whatever the new use-cases are, but treat them as an extension of your core platform. At least from a manageability perspective and an operations perspective, then the chances of you adopting or your enterprise adopting these new technologies becomes higher. So, for example, in Calm, we have this pseudonym called Kalm with a K, right. Which essentially allows Kubernetes containers to run natively inside a Calm blueprint, but coexist with your databases inside of EM because that's how we see the next-generation enterprise apps morphing, right. Nobody's going to rewrite my whole app. They're going to maybe start with the web tier and the app tier as containers, but my database tier, my message queue tier, is going to be as VMs. So, how does Calm help you abstract the combination of containers and VMs into a common blueprint is what we believe is the first step towards what we call a hybrid app. And when you get to hybrid apps, is when you can actually then get to eventually all of your time to native cloud apps. >> You know, one of the questions I was hearing from customers is, they were looking for some clarity as to the hybrid environments. You know, the last couple of shows, there was a big presence of Google at the show and while I didn't see Google here on the show floor, I know there was an update from kind of, GCP and AHV. Is Google less strategic now, or is it just taking a while to, you know, incubate? How do you feel about that? >> So the way that you'll see us evolve as we navigate the cloud partnerships is to actually find the sweet spot of product-market fit, with respect to where the product is ready and where the market really wants that. And some of it is going to be us doing, you know, a partnership by intent first and then as we execute, we try to land it with honest products. So, where we started off with Google, as you guys know, is to actually leverage the cloud platform side, core locator with Google data centers and then what we we've evolved to is the fact that our data centers can quote-unquote integrate with their data centers to have a common management interface, a common security interface and all, but we can still run as core-located ones. Where the real integration that has taken some time for us to get to is the fact that, look, in addition to Calm, in addition to GKE kind of things, is rather than run as some kind of power sucking alien on top of some Google hardware, true integration comes with us actually innovating on a stack that lands AH3 natively inside GCP and that's where nested virtualization comes in and we have to take that crawl-walk-run approach there because we didn't want to expose it to public customers what we didn't consume internally. So what we have with the new offering that now is called Test Drive is, essentially that. We've proven that AH3 can run a nested virtualization mode on GCP natively, you can core locate with the rest of GCP services, and we use it currently in our R&D environment for running thousands of nodes for pretty much everyday testing on a daily basis, right. And so, once customer interview expose that now as an environment for our end customers to actually test-drive Nutanix as a fully compatible stack though, on purpose, so you have Prism Central, the full CDP stack and so forth, then as that gets hardened over a period of time, we expose that into production and so forth. >> So there's one category of cloud I haven't heard yet, and that's the service providers. So Nutanix used to be a really good partner for service providers, you know, enabling them to deliver services locally to local geography, stuff like that, so what's the sense of Nutanix regarding these service providers currently? >> Yeah, I think that frankly, that's probably a 2019 material change to our roadmap. It's your, the analogy that I have is that when we first launched our operating system, we fist had to do it with an opinionated stack using Supermicro. Most importantly, from an end-customer perspective, they got a single throat to choke, but also equally importantly, it kept the engineering team honest because we knew what it means to do one pick-up page for the full stack. Similarly, when we launched Xi, we needed to make sure we knew what SREs do, right. That scale, and so that's why we started with our version of SMC on, you know, as you guys know with Additional Reality as well as partners like Xterra. But very soon you're going to see is, once we have cleared that opinionated stack, software-wise we're able to leverage it, just like we went from Supermicro to Dell and Lenovo and seven other partners, you're going to see us create a Xi partner network. Which essentially allows us to federate Xi as an OS into the service providers. And that's more a 2019 plus timeframe. >> Yeah, speaking along those lines, the keynote this morning, Karbon with a k talked about Kubernetti's. Talk about that, that's the substrate for Nutanix's push toward cloud natives, so-- >> Yeah, I mean, I think you're going to hear that in the day two keynote as well, is basically, customer's want, as I said, an operating system for containers that is based on well-known APIs like Kube Cattle from Kubernetes and all that, but at the same time, it is curated to support all of the enterprise services such as volumes, storage, security policies from Flow, and you know, the operational policies of containers shouldn't be any different from Vms. So think about it as the developers still a Kubernetes-like interface, they can still port their containers from Neutanix to any other environment, but from an IT ops side, it looks like Kubernetes, containers, and VMs are co-residing as a first-class option. >> Yeah, I feel like there had been a misperception about what Kubernetes is and how it fits, you know. My take has been, it's part of the platform so there's not going to be a battle for a distribution of Kubernetes because I'm going to choose a platform and it should have Kubernetes and it should be compatible with other Kubernetes out there. >> Yeah, I mean, it's going to be like a feature of Linux. See, in that sense, there's lots of Linux distros but the core capabilities of Linux are the same, right. So in that sense, Kubernetes is going to become a feature of Linux, or the cloud operating system, so that those least-common denominator features are going to be there in every cloud OS. >> Alright, so Kubernetes not differentiating just expand the platform >> Enabling >> Enabling peace. So, tell us what is differentiating today? You know, what are the areas where Nutanix stands alone as different from some of the other platform providers of today? >> I think that, I mean obviously, whatever we do, we are trying to do it thoughtfully from the operational, you know, simplicity as a first-class citizen. Like how many new screens do we add when we use new features? A simple example of that is when we did micro-segmentation. The part was to make sure you could go from choosing ten VMs to grouping them and putting a policy as soon as possible as little friction of adopting a new product. So, we didn't have to "virtualize" the network, you didn't need to have VX LANs to actually micro-segment, just like in public cloud, right. So I think we're taking the same thing into services up the stack. A good one to talk about is Error. Which is essentially looking at databases as the next complex beast of operational complexity, besides. Especially, Oracle Rack. And it's easier to manage postcrest and so forth, but what if you could simplify not just the open source management, but also the database side of it? So I would say that Error would be a good example of a strategic value proposition or what does it mean to create a one plus one equals three value proposition to database administrators? Just like we did that for VIR vetted administrators, we're now going after DBS. >> Alright, well, Sunil thank you so much. Wish we had another hour to go through it, but give you the final word, as people leave London this year, you know, what should they be taking away when they think about Nutanix? >> I think the platform continues to evolve, but the key takeaway is that it's a platform company. Not a product company. And with that comes the burden, as well as the promise of being an iconic company for the next, hopefully, decade or so. All right, thanks a lot. >> Well, it's been a pleasure to watch the continued progress, always a pleasure to chat. >> Thank you >> All right, for you Piskar, I'm Stu Miniman, back with more coverage here from Nutanix's .NEXT 2018 in London, England. Thanks for watching the CUBE. (light electronic music)

we're in preparation with Samsung on this new innovative high-tech app that's coming out and it's gonna be integrated - I mean everything's gonna come together it's gonna have my music in it it's gonna have Stan's gonna make a cameo anything can be a tool you know so the computer doing computer art is an amazing opportunity to explore a new kind of tool right to invent and create new creatures or new things it's all on how you use it looks like one of those old football collars but you put it around like this and it allows for music to come up only to my ears right yeah so actually let's turn on the music and then they'll actually get the hear and through my head put my little headset here and we'll just throw something on it that's kind of cranked up actually okay so this is cranked up can you hear this just a little bit so yeah so he can barely hear that son like talking wow thank you I work as my own self sort of on fashion and technologies of the combination of fashion and technology so yes some of my dresses they are pleading and they are surfing cocktail shorts they are attacking really with mechanic spider legs on the shoulders they are exploding in a layer of smoke sort of so I do a lot with animatronics and robotics and what I want to do is that fashion is augment augmenting a sort of you know so creating an interaction right now the price of our machine is $49 on sous-chef at nonny coup calm because interacts with a food program so there's food that comes with the machine you wave the food in front of the machine it automatically recognizes a time and temperature and interacts with different time and temperatures of different bags of food and use drop it in in 30 minutes you have a gourmet chef prepared meal just the way that we would do it in Michelin star restaurant

>> From Boston, Massachusetts, it's the Cube, covering WTG Transform 2018, brought to you by Winslow Technology Group. >> Welcome back, I'm Stu Miniman and this is the Cube's coverage of WTG Transform 2018. We're excited, we've actually gotten to speak to quite a few end users here at the show which always is one of our favorite things to do on the Cube. Joining me, first time on the program, Todd McIlroy, who's Vice President and Systems Engineering Manager, Eastern Bank, thanks so much for joining me. >> You're welcome, glad to be here. >> All right, so first of all, how many of these shows have you been to. >> This is my first WTG event, but I tend to go to several smaller type conferences per year to keep on top of the technology, network, and with so much rapid innovation these days, you need to get out there and talk to people and learn little tidbits of information each one, do a couple of conferences each year. >> Yeah, you said, technology's changing really fast, which is great, my joke usually is like you're in financial, things don't change fast, there's nothing going on. What is happening in your role these days? >> Eastern Bank is a 200 year old bank, we're celebrating our 200th anniversary this month. >> Hey, congratulations. >> A big celebration next week. A lot of traditional architecture, it's a very large bank, it's a 11 billion dollar bank, but very small community feel as well. Even our team is very tight, and very close together. Even though it's an older bank, we have a lot of innovation and technology going on, in the last few years, especially. >> It's one of those things, if I was going to start a company, or had started a company in the last five or ten years, here's the technology I'd choose, here's the applications I'd roll out. It's a 200 year old bank, walk us through a little bit about the pros and cons of having that legacy if you will. >> We have been around for like I said 200 years and even a lot of the technology we have on premises has a lot of legacy applications. We have to keep supporting that for a long time. We're challenged with keeping those older systems up and running as well as providing new technology to the business so they can innovate and bring new and better products to the market. Both worlds. >> Tell me what's under your purview when it comes to the bank. >> When it comes to the bank, I manage the systems engineering team, I manage the team that does servers and virtualization, storage, we're getting into the cloud as well, this is a big push to start innovating in the cloud as well to allow our developers to use services to help them innovate faster and better. That sort of thing. >> Okay, so in the keynotes this morning, there's the discussion really of hybrid cloud. When you say in the cloud, that tends to make me think of public cloud, maybe some SAAS in there, tell me what cloud means to your organization. >> Well, right now our cloud footprint is primarily software and service type applications, like Office 365. We had a major migration to move our email and Skype and users facing applications to the cloud. But we're also trying to expand our footprint in the cloud so we can enable services to our customers, internal customers, to innovate as well. That's why we're looking at technology like Nutanix, the innovation that they're bringing to market to allow our developers to be more self-sufficient, provide the platform for them, allow them to innovate and develop on a platform, both on premises to keep it secure as well as in the cloud to keep it secure as well. >> Okay, it's interesting. I was actually talking to some of the Nutanix team here and been talking to customers that are doing development, playing with the containers, things like that, a couple years ago, if you talking about developers, you'd say, oh, okay, they're building something in the public cloud. >> Right. >> Because that's where it is. Help us understand how you decide, what do I start playing with in the cloud, where does the Nutanix fit into that discussion? >> We're a relatively new Nutanix customer, within the last year or two. We started with a small concept to give some of our workloads for the developers to work on, but now we've expanded upon that it's now become our primary production platform. It's going to take a lot of our older Hypervisor virtualization technology and move it to Nutanix so we're trying to grow that footprint because the amount of innovation that they're bringing with Calm and Flow and all those sorts of new services is going to enable us to build a platform that they can develop on a lot better. >> Great, what virtualization are you using on this? >> For? >> For the Nutanix, like are you using VMware, >> No, we're HV, Native HV. >> Using all HV? >> All HV, yup. >> Okay, were you VMware before? >> Not at Eastern, no. We have a small VMware footprint for specialized application, but the rest of our virtualization platform is Hyper-V. >> Okay, and you said you're running in production, does Nutanix run all of your on-premises applications? >> No it doesn't, we have a lot of still physical infrastructure as well, but anything that new is going towards Nutanix. We have some older hardware that we're aging out, as those age out and we have to expand the new hardware, we're going to go with Nutanix platform. >> You've got some I-series sitting in the back, I'm sure, the old AS/400, most banks have, things like that. >> Exactly, exactly, yeah. >> Great, tell us a little more from a cloud standpoint, how did you determine what goes where? >> We haven't really determined that yet, we're really in the early stages of our own adoption to the cloud. We're really taking the first steps and making sure we are governing it properly, and we're finding the right use case for it. Really we're trying to find the right use case for our developers. We had some meetings recently and we outlined a few things that we could target. So we're really taking our first steps, getting our own competencies up with our own engineers and our developers and making sure we, learning from the people that already done it, and maybe learning from some mistakes they've made and using partners like Winslow to help us get there. >> Great, can you speak a little about from an operational standpoint? You've talked about developers, you've got public cloud, you've got your infrastructure, how do those all play together? >> Well today I mean systems engineering and my department is really the go to department when they request a service, or request a new server, request a new application be built. We interface with a lot of different teams at the bank so we're really the go to team that is going to help them innovate. They know what applications they need to run, they need, they make requests for services. We're trying to reduce the time to fulfillment, allowing them to have a platform where they can build on, innovate and be more self-sufficient. >> Yeah, you bring up a really interesting thing. How long people think it will take from when I ask for something to where I get it. Used to be I put in a support ticket, 24, 48 hours that was great. Some things it's like ah, heck, we're going to have to buy a server, or allocate different pieces. Today it's come on, it's instantaneous. >> Yeah, everybody's ready to go. >> Talk to that, the good and the bad of that from your standpoint. >> That's what we want to be in the business of allowing them to self-sufficient, build the platform for them, we don't want to be managing building VMs over and over again. We want to templatize things and allow them to be on their own timeline, to be able to develop, deploy, break down, so we're really trying to innovate in that way. I think that's our job as an engineering team to provide that to the business so they can innovate more quickly. >> Love the idea of self-service. The concern always is sprawl. Used to be I stuck a server in the corner and then I forgot about it. Now VMs pop up and I forget about them all the time, doesn't the CFO ever come say, hey, am I really using all this stuff? >> That's the big driving factor is cost, making sure you don't going to drive over a huge cost in the cloud. I think governance and managing that and using tools and using some of the use cases and some of the knowledge others have been before to help you build that framework so you're not breaking the budget, or what not, you find the right use case, whether it's on premises cloud or in the public cloud. >> Great, last thing, Todd, as you look forward through the rest of 2018, any interesting new technologies you're looking at or other things coming down the pike other than celebrating the big 200th anniversary. >> Well I mean, I'm really excited about the bank has really made a commitment to move towards innovation and using cloud technology so I'm really excited to be part of the team that's going to help innovate and drive the business forward in that regard. >> Todd McIlroy, I really appreciate the updates here, Eastern Bank a 200 year old company driving innovation forward. This has been our live coverage here from WTG Transform 2018. Be sure to check out thecube.net for all the shows we're going to be at, all the replays that we've been at before. Stu Miniman, once again thank you so much to Winslow Technology Group, their partners and of course all the customers, thanks so much, for the viewers also for watching, thank you. (techno music)

>> Announcer: Live, from New Orleans, Louisiana, it's theCUBE, covering .NEXT Conference 2018, brought to you by Nutanix. >> Welcome back to theCUBE here in New Orleans, Louisiana. I'm Stu Miniman, with my cohost Keith Townsend, who is the CTO advisor, and this is the CTO segment. Happy to welcome back to the program, we have Binny Gill and Rajiv Mirani. Both of them are CTOs. Binny, you've got cloud services, and Rajiv, you have cloud platforms. Let's start there, when we talk about, you know, there was a survey when you registered for the event and said, what do you think of Nutanix as? Am I your server vendor, am I your HCI vendor, am I your cloud vendor, am I your mega, uber platform of everything? You've got platforms and services, help us understand a little bit how this fits and how you look at the portfolio, and we'll arm wrestle if you guys can't agree. >> Rajiv: That sounds good. >> Binny: Yeah, go ahead. >> You want to go ahead? So both of us obviously work very closely together, but broadly speaking, I look after the core stack, the storage, networking, hypervisor, including Prism, and then Binny looks more at the services we're building on top, Era, Calm, things like that, so Binny, can you explain that a bit? >> Given the breadth of the ambition that we have, right, I mean, it's good to focus on the two layers separately in some sense, build a platform that is capable of hosting a whole bunch of services. As you can see in what Amazon and others have evolved, they've spent a lot of time building platform, and if you think about it, even Nutanix, for the last seven, eight years, has done a really good job. And once you have a solid foundation, and building cloud requires some new capabilities as well, as Rajiv has said, networking and security on top, now you can start building services, and services themselves have a stack, right? Because there will be higher-level services that use some lower-level services and this. So that's, you know, that's a long journey ahead of us. >> Yeah, I mean, that's a great point, 'cause every time, it seems like we have, you know, oh, this next-generation thing, I'm not going to have to worry about the underlying thing. Virtualization's going to totally abstract it. We've spent a decade fixing the storage and networking challenges there. Containerization, once again, it's like the application done there. Serverless, of course, will take care of all this, but you know, everything underneath it, it still needs work. How do you balance and give us some of that, you know, what's the glue versus abstracting and going to developers? Maybe let's start with platform. >> Well, the platform's always going to be there, right, and as we look at things like containers, that's actually where things get messy. How do containers work with storage, is one of the bigger issues right now with Kubernetes and other frameworks. So we have to start with a platform, we build on top of that and hopefully abstract enough that, you know, the services themselves don't have to deal with the messiness of the platform. >> Yeah, if you look at how technology is evolving, the more things change, the more they remain the same. The platform used to be Linux, Windows, I mean, that's the operating system on which I build my applications, right? Now, the new platform is cloud. AWS is a platform, is an OS, and Azure is one OS, and how do you build applications that can run on these new, next-generation platforms? But the kind of problems to solve are still the same. I want to snapshot my application, back it up, I want to move my application one place to the other, I want to scale it out, scale it in. So the problems are identical to what we had, but it's just that solving it with the new tools that we have, Kubernetes, containers, and so on. >> Yeah, and sometimes birds just fly right through our studio. >> Yeah, I mean, we worry about bugs, and now we have birds flying in. >> So, Rajiv, talk to us about, you basically have two different types of cloud clusters. You have to serve Binny's organization, you also have to serve your external clients. Storage, network, compute, has to have APIs, has to have capabilities, basic capabilities that both your customers who want to build their own overlay, and then Nutanix services on top. Talk to me about, how do you make sure that you're building the best cloud platform to be consumed by cloud services, whether they're Nutanix cloud services or someone else's. >> I think, just comes out of the core principles that we have built the company around, right, that we will always build things around web-scale design, so it has to scale to very large deployments, it has to be completely distributed, it has to go through a certain amount of vetting, in terms of having APIs exposed. Nothing we do internally is through secret APIs, everything is public APIs, so you're pretty stringent on some of these things. And then of course, layering on the simplicity of Nutanix is another thing that we take very, very seriously, so when we do all that, nice patterns emerge. I think it lends itself to an elegance that the platform provides for the rest of the stack. >> So, then we get to a confusing abstraction, which is, you mentioned it earlier, containers. Who gets containers? Is that your organization, is that your organization? Is it a fundamental part of the foundation, or is it a cloud service? >> I think the trick is to not necessarily worry too much about the boundary here, because frankly, this is something that the industry is still figuring out, you know, what layer is this new Kubernetes thing at? And is it just at containers, but actually, now it's going into all the way, application provisioning, load balancing, distributed routing, all sorts of things, so that's, I mean, we work as a team essentially, and there's a whole bunch of engineers that are looking at the whole picture, it's always very important to look at the entire picture and then figure out what are the right layers to go solve the problem, and when you're looking at containers, the bigger problem that our customers are talking about is, how do you deal with the legacy plus the containers in one environment? Now, I have my application, it's a three-tier application. The database, I still want to run in a VM, right? But I want to start tasting this Kubernetes thing, so I want to go with my app, the web tier with containers, but it needs to be in one view, and that's what Calm demonstrated. Through Calm, you can orchestrate an application that's part VM, part containers with Kubernetes and help our customers transition. So which layer these things are, it's going to be an evolving answer. >> So Binny, I love that you started the conversation around Calm. Is Calm the first interaction that most customers will experience when it comes to Nutanix cloud services, or is there a different, one of the other services, the more likely first experience of cloud services versus the trivial compute, storage, network. >> Right, so the first cloud service that we have announced, that we'll deliver, is DR, right? I mean, that's the first one with Xi. Once DR is available, very quickly we'll add more services. Beam is another one that has to fold in to the Xi cloud services. When I say fold in, it essentially means you have the same identity, and you have the same billing mechanisms, and the same experience. You know, similar to when you go to a public cloud, you'll see, there's a host of services, and they're sort of equals, and you can pick whichever one you want to use. What we want to provide with Xi cloud services is that, the same experience, except that these services are now hybrid. You can have them on-prem, you can have it in the cloud. And our teams are building this hybrid view, some of which, the preview of it, what you already saw in the demo there, you saw availability zones on both sides, shown on one screen, now you'll see the service footprint on both sides, on one screen. >> Stu: Yeah, Rajiv-- >> From an experience point of view, I think, Calm will be how people who see this for the first time, that's going to be the center marketplace that we will have, that's where people will launch services from. >> Right, so when you, where's the portal for cloud services, and as I understand, Calm is that portal. >> Calm is a lot more than that, it'll have not just services but applications and workloads as well. But yes, the experience will start with Calm. >> When you talk about a hybrid cloud world in the platform, people are trying to understand what exactly lives where. When we hear kind of Xi, wonder if you might be able to give us kind of a compare-contrast of, say, that you look at VMware, and VMware and Amazon is kind of an easy one to understand, as it's relatively the same stack, just living in a different data center. >> So we're doing things a little bit differently. While we are building our own cloud data centers today, we're architecting it in a way that we're not tying it down to any single stack, that it has to be only a Nutanix-oriented stack. We absolutely intend to scale this out by partnering with service providers, with cloud vendors, and so on. You saw something in the keynote yesterday about running nested on GCP. You can imagine where that will go in the future, but the cloud's also on the radar. Much like we did with our HCI stack, we ship them Supermicro, but we're conscious of the fact that it's software that we can move anywhere. We are building Xi exactly the same. >> Yeah, and what I'd add is, while we are doing it in our own data centers right now, we are learning a lot, and as we are learning the things that are truly needed to make running a cloud easy, from an operational perspective, that allows us to build a product that is an honest product to give to our partners and service providers, say, now you go run it, and you won't be spending too much. For example, the experience that they've had with OpenStack, it cannot be repeated again, right? So that's what we want to do. >> So let's talk about the relationship with Google as a model going forward. Is that prototypical of what you're looking to do with other public cloud providers? And first, give us some color around that announcement, we have anyone on theCUBE talk about Xi and Google, and then kind of the strategy moving forward. >> A lot of the public cloud vendors are actually realizing that hybrid cloud is important, and as part of that, they're providing bare-metal services, and Google has its nested service, to enable others to bring their own stack, you know, virtualization stack, to run there. Amazon has done it VMware, Amazon has also announced their intention to gear bare-metal services. So we see a future where a lot of these public cloud vendors will offer bare metal, and that's where our Xi stack will run, and also giving customers choice to go from one cloud to the other seamlessly. Today, we know that Nutanix can move from public Xi cloud to on-prem and back, but once you have Xi cloud running on multiple cloud vendors and you can move between cloud vendors seamlessly as well. And that's a really compelling message for our customers. >> Great. One of the challenges for some of us watching is, you've got a pretty big portfolio now, and some of the things out in the future, it's like, okay, where does Nutanix fit, how do they have the right to participate in this? Wonder if you can talk a little bit about Era, and maybe Sherlock is a little bit further out. >> Era is about managing copies of your databases. Again, if you look at where a lot of cost is sunk in enterprises, running my database, a production database, for every single production database, there'll be maybe tens of test copies of it. What Era does is minimizes the cost of managing the copies, and also, it's thinly-provisioned copies. That's something that our customers have said that's a real pain point for them that nobody solves really well. So we decided to work on that, that's just a starting point of what we can do in this PaaS layer and also, helps us learn this space as well. We are reaching out to not the infrastructure admin, but actually to the database admin. It gives us a new audience to talk to as well. So from an audience perspective, we are broadening the scope, we are reaching closer to their lines of businesses and the decision-makers, which is good. Now, going to Sherlock-- >> Actually, if I could just, one quick followup on the database piece. Database migration's really hard. You know, talk to any customer and you say database migration, it's one of the things that strikes fear in them. Talk just for a second if you could about the expertise that your team has and why you believe you can really deliver that push-bus and simplicity that Nutanix is known for. >> Oh, so yeah, the team that's building Era are hardcore Oracle folks who have decades of experience doing those kind of hard problems, and they've come here with a mission, into Nutanix, that we are going to solve it. Using the Nutanix platform that we have built, there are so many things that can be done in a better way, and since we have a clean slate, we can start afresh and do it the right way. From our capability to do it in the right way, making it simple for our customers, we don't have a doubt. In fact, a lot of customers who have tested this in alpha, they have raving reviews on that, and they just want it as soon as possible. >> And on the database migration subject, we also have a group called SQL Xtract that we've been shipping for some time that helps you migrate your databases from existing three-tier or even hyperconverged stacks, onto Nutanix. So we have some expertise in the area already. >> So, a little bit on the, I heard the term copy data management. Is this mainly copy data management, or is this actually database migration to a new, to ability to move from one database to another one, or is it all of the above? >> So, it's doing management of copies, it's also allowing you to clone databases. So you can go to a snapshot and clone another one. Migration is not yet there, but it's a natural consequence of the capabilities that we have, because once you have snapshots, we have the capability of moving snapshots from one data center to the other using our DR capabilities. So that's on the roadmap. Further down the roadmap is database provisioning itself. If you want to provision a brand-new database, you can also do that, so these are the natural transitions of work, but what we wanted to do, just like what we did with Xi, start with the hardest, thorniest problem, and then work backwards into the simple things. >> Alright, so unfortunately, we're running short on time. Give us a closing word, I want, Rajiv and Binny, maybe you can talk a quick second about project Sherlock and give us some things that we should look for down the road from Nutanix. >> Yeah, so we believe that the world needs an enterprise cloud operating system. What that means is it can run on the private cloud, in the public cloud, and on the edge, and Sherlock comes there, I mean, it's taking our stack and creating a mini-PaaS version, as you saw in the demo, and running it at the edge in a way that all of your footprint appears like one dispersed cloud. And that's a pretty exciting space, and we think that is the key differentiator that we'll have going forward. >> Any final words, Rajiv? >> I think he covered quite a fair amount of ground, so yeah, thanks for having us on. >> Alright, well, it goes back to really that distributed architecture, the core. Appreciate having the conversation, the CTO roundtable, as it were. Binny, Rajiv, always a pleasure to catch up. For Keith Townsend, I'm Stu Miniman, back with more here. Thanks for watching theCUBE. (techno music)

>> PA Announcer: Off the plastic tab, and we'll turn on the colors. Welcome to New Orleans. ♪ This is it ♪ ♪ The part when I say I don't want ya ♪ ♪ I'm stronger than I've been before ♪ ♪ This is the part when I set your free ♪ (New Orleans jazz music) ("When the Saints Go Marching In") (rock music) >> PA Announcer: Ladies and gentleman, would you please welcome state of Louisiana chief design officer Matthew Vince and Choice Hotels director of infrastructure services Stacy Nigh. (rock music) >> Well good morning New Orleans, and welcome to my home state. My name is Matt Vince. I'm the chief design office for state of Louisiana. And it's my pleasure to welcome you all to .Next 2018. State of Louisiana is currently re-architecting our cloud infrastructure and Nutanix is the first domino to fall in our strategy to deliver better services to our citizens. >> And I'd like to second that warm welcome. I'm Stacy Nigh director of infrastructure services for Choice Hotels International. Now you may think you know Choice, but we don't own hotels. We're a technology company. And Nutanix is helping us innovate the way we operate to support our franchisees. This is my first visit to New Orleans and my first .Next. >> Well Stacy, you're in for a treat. New Orleans is known for its fabulous food and its marvelous music, but most importantly the free spirit. >> Well I can't wait, and speaking of free, it's my pleasure to introduce the Nutanix Freedom video, enjoy. ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ Ah, ah, ♪ ♪ Ah, ah, ♪ ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ I lose everything, so I can sing ♪ ♪ Hallelujah I'm free ♪ ♪ I'm free, I'm free, I'm free, I'm free ♪ ♪ Gritting your teeth, you hold onto me ♪ ♪ It's never enough, I'm never complete ♪ ♪ Tell me to prove, expect me to lose ♪ ♪ I push it away, I'm trying to move ♪ ♪ I'm desperate to run, I'm desperate to leave ♪ ♪ If I lose it all, at least I'll be free ♪ ♪ Ah, ah ♪ ♪ Ah, ah ♪ ♪ Hallelujah, I'm free ♪ >> PA Announcer: Ladies and gentlemen, please welcome chief marketing officer Ben Gibson ♪ Ah, ah ♪ ♪ Ah, ah ♪ ♪ Hallelujah, I'm free ♪ >> Welcome, good morning. >> Audience: Good morning. >> And welcome to .Next 2018. There's no better way to open up a .Next conference than by hearing from two of our great customers. And Matthew, thank you for welcoming us to this beautiful, your beautiful state and city. And Stacy, this is your first .Next, and I know she's not alone because guess what It's my first .Next too. And I come properly attired. In the front row, you can see my Nutanix socks, and I think my Nutanix blue suit. And I know I'm not alone. I think over 5,000 people in attendance here today are also first timers at .Next. And if you are here for the first time, it's in the morning, let's get moving. I want you to stand up, so we can officially welcome you into the fold. Everyone stand up, first time. All right, welcome. (audience clapping) So you are all joining not just a conference here. This is truly a community. This is a community of the best and brightest in our industry I will humbly say that are coming together to share best ideas, to learn what's happening next, and in particular it's about forwarding not only your projects and your priorities but your careers. There's so much change happening in this industry. It's an opportunity to learn what's coming down the road and learn how you can best position yourself for this whole new world that's happening around cloud computing and modernizing data center environments. And this is not just a community, this is a movement. And it's a movement that started quite awhile ago, but the first .Next conference was in the quiet little town of Miami, and there was about 800 of you in attendance or so. So who in this hall here were at that first .Next conference in Miami? Let me hear from you. (audience members cheering) Yep, well to all of you grizzled veterans of the .Next experience, welcome back. You have started a movement that has grown and this year across many different .Next conferences all over the world, over 20,000 of your community members have come together. And we like to do it in distributed architecture fashion just like here in Nutanix. And so we've spread this movement all over the world with .Next conferences. And this is surging. We're also seeing just today the current count 61,000 certifications and climbing. Our Next community, close to 70,000 active members of our online community because .Next is about this big moment, and it's about every other day and every other week of the year, how we come together and explore. And my favorite stat of all. Here today in this hall amongst the record 5,500 registrations to .Next 2018 representing 71 countries in whole. So it's a global movement. Everyone, welcome. And you know when I got in Sunday night, I was looking at the tweets and the excitement was starting to build and started to see people like Adile coming from Casablanca. Adile wherever you are, welcome buddy. That's a long trip. Thank you so much for coming and being here with us today. I saw other folks coming from Geneva, from Denmark, from Japan, all over the world coming together for this moment. And we are accomplishing phenomenal things together. Because of your trust in us, and because of some early risk candidly that we have all taken together, we've created a movement in the market around modernizing data center environments, radically simplifying how we operate in the services we deliver to our businesses everyday. And this is a movement that we don't just know about this, but the industry is really taking notice. I love this chart. This is Gartner's inaugural hyperconvergence infrastructure magic quadrant chart. And I think if you see where Nutanix is positioned on there, I think you can agree that's a rout, that's a homerun, that's a mic drop so to speak. What do you guys think? (audience clapping) But here's the thing. It says Nutanix up there. We can honestly say this is a win for this hall here. Because, again, without your trust in us and what we've accomplished together and your partnership with us, we're not there. But we are there, and it is thanks to everyone in this hall. Together we have created, expanded, and truly made this market. Congratulations. And you know what, I think we're just getting started. The same innovation, the same catalyst that we drove into the market to converge storage network compute, the next horizon is around multi-cloud. The next horizon is around whether by accident or on purpose the strong move with different workloads moving into public cloud, some into private cloud moving back and forth, the promise of application mobility, the right workload on the right cloud platform with the right economics. Economics is key here. If any of you have a teenager out there, and they have a hold of your credit card, and they're doing something online or the like. You get some surprises at the end of the month. And that surprise comes in the form of spiraling public cloud costs. And this isn't to say we're not going to see a lot of workloads born and running in public cloud, but the opportunity is for us to take a path that regains control over infrastructure, regain control over workloads and where they're run. And the way I look at it for everyone in this hall, it's a journey we're on. It starts with modernizing those data center environments, continues with embracing the full cloud stack and the compelling opportunity to deliver that consumer experience to rapidly offer up enterprise compute services to your internal clients, lines of businesses and then out into the market. It's then about how you standardize across an enterprise cloud environment, that you're not just the infrastructure but the management, the automation, the control, and running any tier one application. I hear this everyday, and I've heard this a lot already this week about customers who are all in with this approach and running those tier one applications on Nutanix. And then it's the promise of not only hyperconverging infrastructure but hyperconverging multiple clouds. And if we do that, this journey the way we see it what we are doing is building your enterprise cloud. And your enterprise cloud is about the private cloud. It's about expanding and managing and taking back control of how you determine what workload to run where, and to make sure there's strong governance and control. And you're radically simplifying what could be an awfully complicated scenario if you don't reclaim and put your arms around that opportunity. Now how do we do this different than anyone else? And this is going to be a big theme that you're going to see from my good friend Sunil and his good friends on the product team. What are we doing together? We're taking all of that legacy complexity, that friction, that inability to be able to move fast because you're chained to old legacy environments. I'm talking to folks that have applications that are 40 years old, and they are concerned to touch them because they're not sure if they can react if their infrastructure can meet the demands of a new, modernized workload. We're making all that complexity invisible. And if all of that is invisible, it allows you to focus on what's next. And that indeed is the spirit of this conference. So if the what is enterprise cloud, and the how we do it different is by making infrastructure invisible, data centers, clouds, then why are we all here today? What is the binding principle that spiritually, that emotionally brings us all together? And we think it's a very simple, powerful word, and that word is freedom. And when we think about freedom, we think about as we work together the freedom to build the data center that you've always wanted to build. It's about freedom to run the applications where you choose based on the information and the context that wasn't available before. It's about the freedom of choice to choose the right cloud platform for the right application, and again to avoid a lot of these spiraling costs in unanticipated surprises whether it be around security, whether it be around economics or governance that come to the forefront. It's about the freedom to invent. It's why we got into this industry in the first place. We want to create. We want to build things not keep the lights on, not be chained to mundane tasks day by day. And it's about the freedom to play. And I hear this time and time again. My favorite tweet from a Nutanix customer to this day is just updated a lot of nodes at 38,000 feed on United Wifi, on my way to spend vacation with my family. Freedom to play. This to me is emotionally what brings us all together and what you saw with the Freedom video earlier, and what you see here is this new story because we want to go out and spread the word and not only talk about the enterprise cloud, not only talk about how we do it better, but talk about why it's so compelling to be a part of this hall here today. Now just one note of housekeeping for everyone out there in case I don't want anyone to take a wrong turn as they come to this beautiful convention center here today. A lot of freedom going on in this convention center. As luck may have it, there's another conference going on a little bit down that way based on another high growth, disruptive industry. Now MJBizCon Next, and by coincidence it's also called next. And I have to admire the creativity. I have to admire that we do share a, hey, high growth business model here. And in case you're not quite sure what this conference is about. I'm the head of marketing here. I have to show the tagline of this. And I read the tagline from license to launch and beyond, the future of the, now if I can replace that blank with our industry, I don't know, to me it sounds like a new, cool Sunil product launch. Maybe launching a new subscription service or the like. Stay tuned, you never know. I think they're going to have a good time over there. I know we're going to have a wonderful week here both to learn as well as have a lot of fun particularly in our customer appreciation event tonight. I want to spend a very few important moments on .Heart. .Heart is Nutanix's initiative to promote diversity in the technology arena. In particular, we have a focus on advancing the careers of women and young girls that we want to encourage to move into STEM and high tech careers. You have the opportunity to engage this week with this important initiative. Please role the video, and let's learn more about how you can do so. >> Video Plays (electronic music) >> So all of you have received these .Heart tokens. You have the freedom to go and choose which of the four deserving charities can receive donations to really advance our cause. So I thank you for your engagement there. And this community is behind .Heart. And it's a very important one. So thank you for that. .Next is not the community, the moment it is without our wonderful partners. These are our amazing sponsors. Yes, it's about sponsorship. It's also about how we integrate together, how we innovate together, and we're about an open community. And so I want to thank all of these names up here for your wonderful sponsorship of this event. I encourage everyone here in this room to spend time, get acquainted, get reacquainted, learn how we can make wonderful music happen together, wonderful music here in New Orleans happen together. .Next isn't .Next with a few cool surprises. Surprise number one, we have a contest. This is a still shot from the Freedom video you saw right before I came on. We have strategically placed a lucky seven Nutanix Easter eggs in this video. And if you go to Nutanix.com/freedom, watch the video. You may have to use the little scrubbing feature to slow down 'cause some of these happen quickly. You're going to find some fun, clever Easter eggs. List all seven, tweet that out, or as many as you can, tweet that out with hashtag nextconf, C, O, N, F, and we'll have a random drawing for an all expenses paid free trip to .Next 2019. And just to make sure everyone understands Easter egg concept. There's an eighth one here that's actually someone that's quite famous in our circles. If you see on this still shot, there's someone in the back there with a red jacket on. That's not just anyone. We're targeting in here. That is our very own Julie O'Brien, our senior vice president of corporate marketing. And you're going to hear from Julie later on here at .Next. But Julie and her team are the engine and the creativity behind not only our new Freedom campaign but more importantly everything that you experience here this week. Julie and her team are amazing, and we can't wait for you to experience what they've pulled together for you. Another surprise, if you go and visit our Freedom booths and share your stories. So they're like video booths, you share your success stories, your partnerships, your journey that I talked about, you will be entered to win a beautiful Nutanix brand compliant, look at those beautiful colors, bicycle. And it's not just any bicycle. It's a beautiful bicycle made by our beautiful customer Trek. I actually have a Trek bike. I love cycling. Unfortunately, I'm not eligible, but all of you are. So please share your stories in the Freedom Nutanix's booths and put yourself in the running, or in the cycling to get this prize. One more thing I wanted to share here. Yesterday we had a great time. We had our inaugural Nutanix hackathon. This hackathon brought together folks that were in devops practices, many of you that are in this room. We sold out. We thought maybe we'd get four or five teams. We had to shutdown at 14 teams that were paired together with a Nutanix mentor, and you coded. You used our REST APIs. You built new apps that integrated in with Prism and Clam. And it was wonderful to see this. Everyone I talked to had a great time on this. We had three winners. In third place, we had team Copper or team bronze, but team Copper. Silver, Not That Special, they're very humble kind of like one of our key mission statements. And the grand prize winner was We Did It All for the Cookies. And you saw them coming in on our Mardi Gras float here. We Did It All for Cookies, they did this very creative job. They leveraged an Apple Watch. They were lighting up VMs at a moments notice utilizing a lot of their coding skills. Congratulations to all three, first, second, and third all receive $2,500. And then each of them, then were able to choose a charity to deliver another $2,500 including Ronald McDonald House for the winner, we did it all for the McDonald Land cookies, I suppose, to move forward. So look for us to do more of these kinds of events because we want to bring together infrastructure and application development, and this is a great, I think, start for us in this community to be able to do so. With that, who's ready to hear form Dheeraj? You ready to hear from Dheeraj? (audience clapping) I'm ready to hear from Dheeraj, and not just 'cause I work for him. It is my distinct pleasure to welcome on the stage our CEO, cofounder and chairman Dheeraj Pandey. ("Free" by Broods) ♪ Hallelujah, I'm free ♪ >> Thank you Ben and good morning everyone. >> Audience: Good morning. >> Thank you so much for being here. It's just such an elation when I'm thinking about the Mardi Gras crowd that came here, the partners, the customers, the NTCs. I mean there's some great NTCs up there I could relate to because they're on Slack as well. How many of you are in Slack Nutanix internal Slack channel? Probably 5%, would love to actually see this community grow from here 'cause this is not the only even we would love to meet you. We would love to actually do this in a real time bite size communication on our own internal Slack channel itself. Now today, we're going to talk about a lot of things, but a lot of hard things, a lot of things that take time to build and have evolved as the industry itself has evolved. And one of the hard things that I want to talk about is multi-cloud. Multi-cloud is a really hard problem 'cause it's full of paradoxes. It's really about doing things that you believe are opposites of each other. It's about frictionless, but it's also about governance. It's about being simple, and it's also about being secure at the same time. It's about delight, it's about reducing waste, it's about owning, and renting, and finally it's also about core and edge. How do you really make this big at a core data center whether it's public or private? Or how do you really shrink it down to one or two nodes at the edge because that's where your machines are, that's where your people are? So this is a really hard problem. And as you hear from Sunil and the gang there, you'll realize how we've actually evolved our solutions to really cater to some of these. One of the approaches that we have used to really solve some of these hard problems is to have machines do more, and I said a lot of things in those four words, have machines do more. Because if you double-click on that sentence, it really means we're letting design be at the core of this. And how do you really design data centers, how do you really design products for the data center that hush all the escalations, the details, the complexities, use machine-learning and AI and you know figure our anomaly detection and correlations and patter matching? There's a ton of things that you need to do to really have machines do more. But along the way, the important lesson is to make machines invisible because when machines become invisible, it actually makes something else visible. It makes you visible. It makes governance visible. It makes applications visible, and it makes services visible. A lot of things, it makes teams visible, careers visible. So while we're really talking about invisibility of machines, we're talking about visibility of people. And that's how we really brought all of you together in this conference as well because it makes all of us shine including our products, and your careers, and your teams as well. And I try to define the word customer success. You know it's one of the favorite words that I'm actually using. We've just hired a great leader in customer success recently who's really going to focus on this relatively hard problem, yet another hard problem of customer success. We think that customer success, true customer success is possible when we have machines tend towards invisibility. But along the way when we do that, make humans tend towards freedom. So that's the real connection, the yin-yang of machines and humans that Nutanix is really all about. And that's why design is at the core of this company. And when I say design, I mean reducing friction. And it's really about reducing friction. And everything we do, the most mundane of things which could be about migrating applications, spinning up VMs, self-service portals, automatic upgrades, and automatic scale out, and all the things we do is about reducing friction which really makes machines become invisible and humans gain freedom. Now one of the other convictions we have is how all of us are really tied at the hip. You know our success is tied to your success. If we make you successful, and when I say you, I really mean Main Street. Main Street being customers, and partners, and employees. If we make all of you successful, then we automatically become successful. And very coincidentally, Main Street and Wall Street are also tied in that very same relation as well. If we do a great job at Main Street, I think the Wall Street customer, i.e. the investor, will take care of itself. You'll have you know taken care of their success if we took care of Main Street success itself. And that's the narrative that our CFO Dustin Williams actually went and painted to our Wall Street investors two months ago at our investor day conference. We talked about a $3 billion number. We said look as a company, as a software company, we can go and achieve $3 billion in billings three years from now. And it was a telling moment for the company. It was really about talking about where we could be three years from now. But it was not based on a hunch. It was based on what we thought was customer success. Now realize that $3 billion in pure software. There's only 10 to 15 companies in the world that actually have that kind of software billings number itself. But at the core of this confidence was customer success, was the fact that we were doing a really good job of not over promising and under delivering but under promising starting with small systems and growing the trust of the customers over time. And this is one of the statistics we actually talk about is repeat business. The first dollar that a Global 2000 customer spends in Nutanix, and if we go and increase their trust 15 times by year six, and we hope to actually get 17 1/2 and 19 times more trust in the years seven and eight. It's very similar numbers for non Global 2000 as well. Again, we go and really hustle for customer success, start small, have you not worry about paying millions of dollars upfront. You know start with systems that pay as they grow, you pay as they grow, and that's the way we gain trust. We have the same non Global 2000 pay $6 1/2 for the first dollar they've actually spent on us. And with this, I think the most telling moment was when Dustin concluded. And this is key to this audience here as well. Is how the current cohorts which is this audience here and many of them were not here will actually carry the weight of $3 billion, more than 50% of it if we did a great job of customer success. If we were humble and honest and we really figured out what it meant to take care of you, and if we really understood what starting small was and having to gain the trust with you over time, we think that more than 50% of that billings will actually come from this audience here without even looking at new logos outside. So that's the trust of customer success for us, and it takes care of pretty much every customer not just the Main Street customer. It takes care of Wall Street customer. It takes care of employees. It takes care of partners as well. Now before I talk about technology and products, I want to take a step back 'cause many of you are new in this audience. And I think that it behooves us to really talk about the history of this company. Like we've done a lot of things that started out as science projects. In fact, I see some tweets out there and people actually laugh at Nutanix cloud. And this is where we were in 2012. So if you take a step back and think about where the company was almost seven, eight years ago, we were up against giants. There was a $30 billion industry around network attached storage, and storage area networks and blade servers, and hypervisors, and systems management software and so on. So what did we start out with? Very simple premise that we will collapse the architecture of the data center because three tier is wasteful and three tier is not delightful. It was a very simple hunch, we said we'll take rack mount servers, we'll put a layer of software on top of it, and that layer of software back then only did storage. It didn't do networks and security, and it ran on top of a well known hypervisor from VMware. And we said there's one non negotiable thing. The fact that the design must change. The control plane for this data center cannot be the old control plane. It has to be rethought through, and that's why Prism came about. Now we went and hustled hard to add more things to it. We said we need to make this diverse because it can't just be for one application. We need to make it CPU heavy, and memory heavy, and storage heavy, and flash heavy and so on. And we built a highly configurable HCI. Now all of them are actually configurable as you know of today. And this was not just innovation in technologies, it was innovation in business and sizing, capacity planning, quote to cash business processes. A lot of stuff that we had to do to make this highly configurable, so you can really scale capacity and performance independent of each other. Then in 2014, we did something that was very counterintuitive, but we've done this on, and on, and on again. People said why are you disrupting yourself? You know you've been doing a good job of shipping appliances, but we also had the conviction that HCI was not about hardware. It was about a form factor, but it was really about an operating system. And we started to compete with ourselves when we said you know what we'll do arm's length distribution, we'll do arm's length delivery of products when we give our software to our Dell partner, to Dell as a partner, a loyal partner. But at the same time, it was actually seen with a lot of skepticism. You know these guys are wondering how to really make themselves vanish because they're competing with themselves. But we also knew that if we didn't compete with ourselves someone else will. Now one of the most controversial decisions was really going and doing yet another hypervisor. In the year 2015, it was really preposterous to build yet another hypervisor. It was a very mature market. This was coming probably 15 years too late to the market, or at least 10 years too late to market. And most people said it shouldn't be done because hypervisor is a commodity. And that's the word we latched on to. That this commodity should not have to be paid for. It shouldn't have a team of people managing it. It should actually be part of your overall stack, but it should be invisible. Just like storage needs to be invisible, virtualization needs to be invisible. But it was a bold step, and I think you know at least when we look at our current numbers, 1/3rd of our customers are actually using AHV. At least every quarter that we look at it, our new deployments, at least 35% of it is actually being used on AHV itself. And again, a very preposterous thing to have said five years ago, four years ago to where we've actually come. Thank you so much for all of you who've believed in the fact that virtualization software must be invisible and therefore we should actually try out something that is called AHV today. Now we went and added Lenovo to our OEM mix, started to become even more of a software company in the year 2016. Went and added HP and Cisco in some of very large deals that we talk about in earnings call, our HP deals and Cisco deals. And some very large customers who have procured ELAs from us, enterprise license agreements from us where they want to mix and match hardware. They want to mix Dell hardware with HP hardware but have common standard Nutanix entitlements. And finally, I think this was another one of those moments where we say why should HCI be only limited to X86. You know this operating systems deserves to run on a non X86 architecture as well. And that gave birth to this idea of HCI and Power Systems from IBM. And we've done a great job of really innovating with them in the last three, four quarters. Some amazing innovation that has come out where you can now run AIX 7.x on Nutanix. And for the first time in the history of data center, you can actually have a single software not just a data plane but a control plane where you can manage an IBM farm, an Power farm, and open Power farm and an X86 farm from the same control plane and have you know the IBM farm feed storage to an Intel compute farm and vice versa. So really good things that we've actually done. Now along the way, something else was going on while we were really busy building the private cloud, we knew there was a new consumption model on computing itself. People were renting computing using credit cards. This is the era of the millennials. They were like really want to bypass people because at the end of the day, you know why can't computing be consumed the way like eCommerce is? And that devops movement made us realize that we need to add to our stack. That stack will now have other computing clouds that is AWS and Azure and GCP now. So similar to the way we did Prism. You know Prism was really about going and making hypervisors invisible. You know we went ahead and said we'll add Calm to our portfolio because Calm is now going to be what Prism was to us back when we were really dealing with multi hypervisor world. Now it's going to be multi-cloud world. You know it's one of those things we had a gut around, and we really come to expect a lot of feedback and real innovation. I mean yesterday when we had the hackathon. The center, the epicenter of the discussion was Calm, was how do you automate on multiple clouds without having to write a single line of code? So we've come a long way since the acquisition of Calm two years ago. I think it's going to be a strong pillar in our overall product portfolio itself. Now the word multi-cloud is going to be used and over used. In fact, it's going to be blurring its lines with the idea of hyperconvergence of clouds, you know what does it mean. We just hope that hyperconvergence, the way it's called today will morph to become hyperconverged clouds not just hyperconverged boxes which is a software defined infrastructure definition itself. But let's focus on the why of multi-cloud. Why do we think it can't all go into a public cloud itself? The one big reason is just laws of the land. There's data sovereignty and computing sovereignty, regulations and compliance because of which you need to be in where the government with the regulations where the compliance rules want you to be. And by the way, that's just one reason why the cloud will have to disperse itself. It can't just be 10, 20 large data centers around the world itself because you have 200 plus countries and half of computing actually gets done outside the US itself. So it's a really important, very relevant point about the why of multi-cloud. The second one is just simple laws of physics. You know if there're machines at the edge, and they're producing so much data, you can't bring all the data to the compute. You have to take the compute which is stateless, it's an app. You take the app to where the data is because the network is the enemy. The network has always been the enemy. And when we thought we've made fatter networks, you've just produced more data as well. So this just goes without saying that you take something that's stateless that's without gravity, that's lightweight which is compute and the application and push it close to where the data itself is. And the third one which is related is just latency reasons you know? And it's not just about machine latency and electrons transferring over the speed light, and you can't defy the speed of light. It's also about human latency. It's also about multiple teams saying we need to federate and delegate, and we need to push things down to where the teams are as opposed to having to expect everybody to come to a very large computing power itself. So all the ways, the way they are, there will be at least three different ways of looking at multi-cloud itself. There's a centralized core cloud. We all go and relate to this because we've seen large data centers and so on. And that's the back office workhorse. It will crunch numbers. It will do processing. It will do a ton of things that will go and produce results for you know how we run our businesses, but there's also the dispersal of the cloud, so ROBO cloud. And this is the front office server that's really serving. It's a cloud that's going to serve people. It's going to be closer to people, and that's what a ROBO cloud is. We have a ton of customers out here who actually use Nutanix and the ROBO environments themselves as one node, two node, three node, five node servers, and it just collapses the entire server closet room in these ROBOs into something really, really small and minuscule. And finally, there's going to be another dispersed edge cloud because that's where the machines are, that's where the data is. And there's going to be an IOT machine fog because we need to miniaturize computing to something even smaller, maybe something that can really land in the palm in a mini server which is a PC like server, but you need to run everything that's enterprise grade. You should be able to go and upgrade them and monitor them and analyze them. You know do enough computing up there, maybe event-based processing that can actually happen. In fact, there's some great innovation that we've done at the edge with IOTs that I'd love for all of you to actually attend some sessions around as well. So with that being said, we have a hole in the stack. And that hole is probably one of the hardest problems that we've been trying to solve for the last two years. And Sunil will talk a lot about that. This idea of hybrid. The hybrid of multi-cloud is one of the hardest problems. Why? Because we're talking about really blurring the lines with owning and renting where you have a single-tenant environment which is your data center, and a multi-tenant environment which is the service providers data center, and the two must look like the same. And the two must look like the same is that hard a problem not just for burst out capacity, not just for security, not just for identity but also for networks. Like how do you blur the lines between networks? How do you blur the lines for storage? How do you really blur the lines for a single pane of glass where you can think of availability zones that look highly symmetric even though they're not because one of 'em is owned by you, and it's single-tenant. The other one is not owned by you, that's multi-tenant itself. So there's some really hard problems in hybrid that you'll hear Sunil talk about and the team. And some great strides that we've actually made in the last 12 months of really working on Xi itself. And that completes the picture now in terms of how we believe the state of computing will be going forward. So what are the must haves of a multi-cloud operating system? We talked about marketplace which is catalogs and automation. There's a ton of orchestration that needs to be done for multi-cloud to come together because now you have a self-service portal which is providing an eCommerce view. It's really about you know getting to do a lot of requests and workflows without having people come in the way, without even having tickets. There's no need for tickets if you can really start to think like a self-service portal as if you're just transacting eCommerce with machines and portals themselves. Obviously the next one is networking security. You need to blur the lines between on-prem and off-prem itself. These two play a huge role. And there's going to be a ton of details that you'll see Sunil talk about. But finally, what I want to focus on the rest of the talk itself here is what governance and compliance. This is a hard problem, and it's a hard problem because things have evolved. So I'm going to take a step back. Last 30 years of computing, how have consumption models changed? So think about it. 30 years ago, we were making decisions for 10 plus years, you know? Mainframe, at least 10 years, probably 20 plus years worth of decisions. These were decisions that were extremely waterfall-ish. Make 10s of millions of dollars worth of investment for a device that we'd buy for at least 10 to 20 years. Now as we moved to client-server, that thing actually shrunk. Now you're talking about five years worth of decisions, and these things were smaller. So there's a little bit more velocity in our decisions. We were not making as waterfall-ish decision as we used to with mainframes. But still five years, talk about virtualized, three tier, maybe three to five year decisions. You know they're still relatively big decisions that we were making with computer and storage and SAN fabrics and virtualization software and systems management software and so on. And here comes Nutanix, and we said no, no. We need to make it smaller. It has to become smaller because you know we need to make more agile decisions. We need to add machines every week, every month as opposed to adding you know machines every three to five years. And we need to be able to upgrade them, you know any point in time. You can do the upgrades every month if you had to, every week if you had to and so on. So really about more agility. And yet, we were not complete because there's another evolution going on, off-prem in the public cloud where people are going and doing reserved instances. But more than that, they were doing on demand stuff which no the decision was days to weeks. Some of these things that unitive compute was being rented for days to weeks, not years. And if you needed something more, you'd shift a little to the left and use reserved instances. And then spot pricing, you could do spot pricing for hours and finally lambda functions. Now you could to function as a service where things could actually be running only for minutes not even hours. So as you can see, there's a wide spectrum where when you move to the right, you get more elasticity, and when you move to the left, you're talking about predictable decision making. And in fact, it goes from minutes on one side to 10s of years on the other itself. And we hope to actually go and blur the lines between where NTNX is today where you see Nutanix right now to where we really want to be with reserved instances and on demand. And that's the real ask of Nutanix. How do you take care of this discontinuity? Because when you're owning things, you actually end up here, and when you're renting things, you end up here. What does it mean to really blur the lines between these two because people do want to make decisions that are better than reserved instance in the public cloud. We'll talk about why reserved instances which looks like a proxy for Nutanix it's still very, very wasteful even though you might think it's delightful, it's very, very wasteful. So what does it mean for on-prem and off-prem? You know you talk about cost governance, there's security compliance. These high velocity decisions we're actually making you know where sometimes you could be right with cost but wrong on security, but sometimes you could be right in security but wrong on cost. We need to really figure out how machines make some of these decisions for us, how software helps us decide do we have the right balance between cost, governance, and security compliance itself? And to get it right, we have introduced our first SAS service called Beam. And to talk more about Beam, I want to introduce Vijay Rayapati who's the general manager of Beam engineering to come up on stage and talk about Beam itself. Thank you Vijay. (rock music) So you've been here a couple of months now? >> Yes. >> At the same time, you spent the last seven, eight years really handling AWS. Tell us more about it. >> Yeah so we spent a lot of time trying to understand the last five years at Minjar you know how customers are really consuming in this new world for their workloads. So essentially what we tried to do is understand the consumption models, workload patterns, and also build algorithms and apply intelligence to say how can we lower this cost and you know improve compliance of their workloads.? And now with Nutanix what we're trying to do is how can we converge this consumption, right? Because what happens here is most customers start with on demand kind of consumption thinking it's really easy, but the total cost of ownership is so high as the workload elasticity increases, people go towards spot or a scaling, but then you need a lot more automation that something like Calm can help them. But predictability of the workload increases, then you need to move towards reserved instances, right to lower costs. >> And those are some of the things that you go and advise with some of the software that you folks have actually written. >> But there's a lot of waste even in the reserved instances because what happens it while customers make these commitments for a year or three years, what we see across, like we track a billion dollars in public cloud consumption you know as a Beam, and customers use 20%, 25% of utilization of their commitments, right? So how can you really apply, take the data of consumption you know apply intelligence to essentially reduce their you know overall cost of ownership. >> You said something that's very telling. You said reserved instances even though they're supposed to save are still only 20%, 25% utilized. >> Yes, because the workloads are very dynamic. And the next thing is you can't do hot add CPU or hot add memory because you're buying them for peak capacity. There is no convergence of scaling that apart from the scaling as another node. >> So you actually sized it for peak, but then using 20%, 30%, you're still paying for the peak. >> That's right. >> Dheeraj: That can actually add up. >> That's what we're trying to say. How can we deliver visibility across clouds? You know how can we deliver optimization across clouds and consumption models and bring the control while retaining that agility and demand elasticity? >> That's great. So you want to show us something? >> Yeah absolutely. So this is Beam as just Dheeraj outlined, our first SAS service. And this is my first .Next. And you know glad to be here. So what you see here is a global consumption you know for a business across different clouds. Whether that's in a public cloud like Amazon, or Azure, or Nutanix. We kind of bring the consumption together for the month, the recent month across your accounts and services and apply intelligence to say you know what is your spent efficiency across these clouds? Essentially there's a lot of intelligence that goes in to detect your workloads and consumption model to say if you're spending $100, how efficiently are you spending? How can you increase that? >> So you have a centralized view where you're looking at multiple clouds, and you know you talk about maybe you can take an example of an account and start looking at it? >> Yes, let's go into a cloud provider like you know for this business, let's go and take a loot at what's happening inside an Amazon cloud. Here we get into the deeper details of what's happening with the consumption of a specific services as well as the utilization of both on demand and RI. You know what can you do to lower your cost and detect your spend efficiency of a dollar to see you know are there resources that are provisioned by teams for applications that are not being used, or are there resources that we should go and rightsize because you know we have all this monitoring data, configuration data that we crunch through to basically detect this? >> You think there's billions of events that you look at everyday. You're already looking at a billon dollars worth of AWS spend. >> Right, right. >> So billions of events, billing, metering events every year to really figure out and optimize for them. >> So what we have here is a very popular international government organization. >> Dheeraj: Wow, so it looks like Russians are everywhere, the cloud is everywhere actually. >> Yes, it's quite popular. So when you bring your master account into Beam, we kind of detect all the linked accounts you know under that. Then you can go and take a look at not just at the organization level within it an account level. >> So these are child objects, you know. >> That's right. >> You can think of them as ephemeral accounts that you create because you don't want to be on the record when you're doing spams on Facebook for example. >> Right, let's go and take a look at what's happening inside a Facebook ad spend account. So we have you know consumption of the services. Let's go deeper into compute consumption, and you kind of see a trendline. You can do a lot of computing. As you see, looks like one campaign has ended. They started another campaign. >> Dheeraj: It looks like they're not stopping yet, man. There's a lot of money being made in Facebook right now. (Vijay laughing) >> So not only just get visibility at you know compute as a service inside a cloud provider, you can go deeper inside compute and say you know what is a service that I'm really consuming inside compute along with the CPUs n'stuff, right? What is my data transfer? You know what is my network? What is my load blancers? So essentially you get a very deeper visibility you know as a service right. Because we have three goals for Beam. How can we deliver visibility across clouds? How can we deliver visibility across services? And how can we deliver, then optimization? >> Well I think one thing that I just want to point out is how this SAS application was an extremely teachable moment for me to learn about the different resources that people could use about the public cloud. So all of you who actually have not gone deep enough into the idea of public cloud. This could be a great app for you to learn about things, the resources, you know things that you could do to save and security and things of that nature. >> Yeah. And we really believe in creating the single pane view you know to mange your optimization of a public cloud. You know as Ben spoke about as a business, you need to have freedom to use any cloud. And that's what Beam delivers. How can you make the right decision for the right workload to use any of the cloud of your choice? >> Dheeraj: How 'about databases? You talked about compute as well but are there other things we could look at? >> Vijay: Yes, let's go and take a look at database consumption. What you see here is they're using inside Facebook ad spending, they're using all databases except Oracle. >> Dheeraj: Wow, looks like Oracle sales folks have been active in Russia as well. (Vijay laughing) >> So what we're seeing here is a global view of you know what is your spend efficiency and which is kind of a scorecard for your business for the dollars that you're spending. And the great thing is Beam kind of brings together you know through its intelligence and algorithms to detect you know how can you rightsize resources and how can you eliminate things that you're not using? And we deliver and one click fix, right? Let's go and take a look at resources that are maybe provisioned for storage and not being used. We deliver the seamless one-click philosophy that Nutanix has to eliminate it. >> So one click, you can actually just pick some of these wasteful things that might be looking delightful because using public cloud, using credit cards, you can go in and just say click fix, and it takes care of things. >> Yeah, and not only remove the resources that are unused, but it can go and rightsize resources across your compute databases, load balancers, even past services, right? And this is where the power of it kind of comes for a business whether you're using on-prem and off-prem. You know how can you really converge that consumption across both? >> Dheeraj: So do you have something for Nutanix too? >> Vijay: Yes, so we have basically been working on Nutanix with something that we're going to deliver you know later this year. As you can see here, we're bringing together the consumption for the Nutanix, you know the services that you're using, the licensing and capacity that is available. And how can you also go and optimize within Nutanix environments >> That's great. >> for the next workload. Now let me quickly show you what we have on the compliance side. This is an extremely powerful thing that we've been working on for many years. What we deliver here just like in cost governance, a global view of your compliance across cloud providers. And the most powerful thing is you can go into a cloud provider, get the next level of visibility across cloud regimes for hundreds of policies. Not just policies but those policies across different regulatory compliances like HIPA, PCI, CAS. And that's very powerful because-- >> So you're saying a lot of what you folks have done is codified these compliance checks in software to make sure that people can sleep better at night knowing that it's PCI, and HIPA, and all that compliance actually comes together? >> And you can build this not just by cloud accounts, you can build them across cloud accounts which is what we call security centers. Essentially you can go and take a deeper look at you know the things. We do a whole full body scan for your cloud infrastructure whether it's AWS Amazon or Azure, and you can go and now, again, click to fix things. You know that had been probably provisioned that are violating the security compliance rules that should be there. Again, we have the same one-click philosophy to say how can you really remove things. >> So again, similar to save, you're saying you can go and fix some of these security issues by just doing one click. >> Absolutely. So the idea is how can we give our people the freedom to get visibility and use the right cloud and take the decisions instantly through one click. That's what Beam delivers you know today. And you know get really excited, and it's available at beam.nutanix.com. >> Our first SAS service, ladies and gentleman. Thank you so much for doing this, Vijay. It looks like there's going to be a talk here at 10:30. You'll talk more about the midterm elections there probably? >> Yes, so you can go and write your own security compliances as well. You know within Beam, and a lot of powerful things you can do. >> Awesome, thank you so much, Vijay. I really appreciate it. (audience clapping) So as you see, there's a lot of work that we're doing to really make multi-cloud which is a hard problem. You know think about working the whole body of it and what about cost governance? What about security compliance? Obviously what about hybrid networks, and security, and storage, you know compute, many of the things that you've actually heard from us, but we're taking it to a level where the business users can now understand the implications. A CFO's office can understand the implications of waste and delight. So what does customer success mean to us? You know again, my favorite word in a long, long time is really go and figure out how do you make you, the customer, become operationally efficient. You know there's a lot of stuff that we deliver through software that's completely uncovered. It's so latent, you don't even know you have it, but you've paid for it. So you've got to figure out what does it mean for you to really become operationally efficient, organizationally proficient. And it's really important for training, education, stuff that you know you're people might think it's so awkward to do in Nutanix, but it could've been way simpler if you just told you a place where you can go and read about it. Of course, I can just use one click here as opposed to doing things the old way. But most importantly to make it financially accountable. So the end in all this is, again, one of the things that I think about all the time in building this company because obviously there's a lot of stuff that we want to do to create orphans, you know things above the line and top line and everything else. There's also a bottom line. Delight and waste are two sides of the same coin. You know when we're talking about developers who seek delight with public cloud at the same time you're looking at IT folks who're trying to figure out governance. They're like look you know the CFOs office, the CIOs office, they're trying to figure out how to curb waste. These two things have to go hand in hand in this era of multi-cloud where we're talking about frictionless consumption but also governance that looks invisible. So I think, at the end of the day, this company will do a lot of stuff around one-click delight but also go and figure out how do you reduce waste because there's so much waste including folks there who actually own Nutanix. There's so much software entitlement. There's so much waste in the public cloud itself that if we don't go and put our arms around, it will not lead to customer success. So to talk more about this, the idea of delight and the idea of waste, I'd like to bring on board a person who I think you know many of you actually have talked about it have delightful hair but probably wasted jokes. But I think has wasted hair and delightful jokes. So ladies and gentlemen, you make the call. You're the jury. Sunil R.M.J. Potti. ("Free" by Broods) >> So that was the first time I came out from the bottom of a screen on a stage. I actually now know what it feels to be like a gopher. Who's that laughing loudly at the back? Okay, do we have the... Let's see. Okay, great. We're about 15 minutes late, so that means we're running right on time. That's normally how we roll at this conference. And we have about three customers and four demos. Like I think there's about three plus six, about nine folks coming onstage. So we'll have our own version of the parade as well on the main stage for the next 70 minutes. So let's just jump right into it. I think we've been pretty consistent in terms of our longterm plans since we started the company. And it's become a lot more clearer over the last few years about our plans to essentially make computing invisible as Dheeraj mentioned. We're doing this across multiple acts. We started with HCI. We call it making infrastructure invisible. We extended that to making data centers invisible. And then now we're in this mode of essentially extending it to converging clouds so that you can actually converge your consumption models. And so today's conference and essentially the theme that you're going to be seeing throughout the breakout sessions is about a journey towards invisible clouds, but make sure that you internalize the fact that we're investing heavily in each of the three phases. It's just not about the hybrid cloud with Nutanix, it's about actually finishing the job about making infrastructure invisible, expanding that to kind of go after the full data center, and then of course embark on some real meaningful things around invisible clouds, okay? And to start the session, I think you know the part that I wanted to make sure that we are all on the same page because most of us in the room are still probably in this phase of the journey which is about invisible infrastructure. And there the three key products and especially two of them that most of you guys know are Acropolis and Prism. And they're sort of like the bedrock of our company. You know especially Acropolis which is about the web scale architecture. Prism is about consumer grade design. And with Acropolis now being really mature. It's in the seventh year of innovation. We still have more than half of our company in terms of R and D spend still on Acropolis and Prism. So our core product is still sort of where we think we have a significant differentiation on. We're not going to let our foot off the peddle there. You know every time somebody comes to me and says look there's a new HCI render popping out or an existing HCI render out there, I ask a simple question to our customers saying show me 100 customers with 100 node deployments, and it will be very hard to find any other render out there that does the same thing. And that's the power of Acropolis the code platform. And then it's you know the fact that the velocity associated with Acropolis continues to be on a fast pace. We came out with various new capabilities in 5.5 and 5.6, and one of the most complicated things to get right was the fact to shrink our three node cluster to a one node, two node deployment. Most of you actually had requirements on remote office, branch office, or the edge that actually allowed us to kind of give us you know sort of like the impetus to kind of go design some new capabilities into our core OS to get this out. And associated with Acropolis and expanding into Prism, as you will see, the first couple of years of Prism was all about refactoring the user interface, doing a good job with automation. But more and more of the investments around Prism is going to be based on machine learning. And you've seen some variants of that over the last 12 months, and I can tell you that in the next 12 to 24 months, most of our investments around infrastructure operations are going to be driven by AI techniques starting with most of our R and D spend also going into machine-learning algorithms. So when you talk about all the enhancements that have come on with Prism whether it be formed by you know the management console changing to become much more automated, whether now we give you automatic rightsizing, anomaly detection, or a series of functionality that have gone into it, the real core sort of capabilities that we're putting into Prism and Acropolis are probably best served by looking at the quality of the product. You probably have seen this slide before. We started showing the number of nodes shipped by Nutanix two years ago at this conference. It was about 35,000 plus nodes at that time. And since then, obviously we've you know continued to grow. And we would draw this line which was about enterprise class quality. That for the number of bugs found as a percentage of nodes shipped, there's a certain line that's drawn. World class companies do about probably 2% to 3%, number of CFDs per node shipped. And we were just broken that number two years ago. And to give you guys an idea of how that curve has shown up, it's now currently at .95%. And so along with velocity, you know this focus on being true to our roots of reliability and stability continues to be, you know it's an internal challenge, but it's also some of the things that we keep a real focus on. And so between Acropolis and Prism, that's sort of like our core focus areas to sort of give us the confidence that look we have this really high bar that we're sort of keeping ourselves accountable to which is about being the most advanced enterprise cloud OS on the planet. And we will keep it this way for the next 10 years. And to complement that, over a period of time of course, we've added a series of services. So these are services not just for VMs but also for files, blocks, containers, but all being delivered in that single one-click operations fashion. And to really talk more about it, and actually probably to show you the real deal there it's my great pleasure to call our own version of Moses inside the company, most of you guys know him as Steve Poitras. Come on up, Steve. (audience clapping) (rock music) >> Thanks Sunil. >> You barely fit in that door, man. Okay, so what are we going to talk about today, Steve? >> Absolutely. So when we think about when Nutanix first got started, it was really focused around VDI deployments, smaller workloads. However over time as we've evolved the product, added additional capabilities and features, that's grown from VDI to business critical applications as well as cloud native apps. So let's go ahead and take a look. >> Sunil: And we'll start with like Oracle? >> Yeah, that's one of the key ones. So here we can see our Prism central user interface, and we can see our Thor cluster obviously speaking to the Avengers theme here. We can see this is doing right around 400,000 IOPs at around 360 microseconds latency. Now obviously Prism central allows you to mange all of your Nutanix deployments, but this is just running on one single Nutanix cluster. So if we hop over here to our explore tab, we can see we have a few categories. We have some Kubernetes, some AFS, some Xen desktop as well as Oracle RAC. Now if we hope over to Oracle RAC, we're running a SLOB workload here. So obviously with Oracle enterprise applications performance, consistency, and extremely low latency are very critical. So with this SLOB workload, we're running right around 300 microseconds of latency. >> Sunil: So this is what, how many node Oracle RAC cluster is this? >> Steve: This is a six node Oracle RAC deployment. >> Sunil: Got it. And so what has gone into the product in recent releases to kind of make this happen? >> Yeah so obviously on the hardware front, there's been a lot of evolutions in storage mediums. So with the introduction of NVME, persistent memory technologies like 3D XPoint, that's meant storage media has become a lot faster. Now to allow you to full take advantage of that, that's where we've had to do a lot of optimizations within the storage stack. So with AHV, we have what we call AHV turbo mode which allows you to full take advantage of those faster storage mediums at that much lower latency. And then obviously on the networking front, technologies such as RDMA can be leveraged to optimize that network stack. >> Got it. So that was Oracle RAC running on a you know Nutanix cluster. It used to be a big deal a couple of years ago. Now we've got many customers doing that. On the same environment though, we're going to show you is the advent of actually putting file services in the same scale out environment. And you know many of you in the audience probably know about AFS. We released it about 12 to 14 months ago. It's been one of our most popular new products of all time within Nutanix's history. And we had SMB support was for user file shares, VDI deployments, and it took awhile to bake, to get to scale and reliability. And then in the last release, in the recent release that we just shipped, we now added NFS for support so that we can no go after the full scale file server consolidation. So let's take a look at some of that stuff. >> Yep, let's do it. So hopping back over to Prism, we can see our four cluster here. Overall cluster-wide latency right around 360 microseconds. Now we'll hop down to our file server section. So here we can see we have our Next A File Server hosting right about 16.2 million files. Now if you look at our shares and exports, we can see we have a mix of different shares. So one of the shares that you see there is home directories. This is an SMB share which is actually mapped and being leveraged by our VDI desktops for home folders, user profiles, things of that nature. We can also see this Oracle backup share here which is exposed to our rack host via NFS. So RMAN is actually leveraging this to provide native database backups. >> Got it. So Oracle VMs, backup using files, or for any other file share requirements with AFS. Do we have the cluster also showing, I know, so I saw some Kubernetes as well on it. Let's talk about what we're thinking of doing there. >> Yep, let's do it. So if we think about cloud, cloud's obviously a big buzz word, so is containers in Kubernetes. So with ACS 1.0 what we did is we introduced native support for Docker integration. >> And pause there. And we screwed up. (laughing) So just like the market took a left turn on Kubernetes, obviously we realized that, and now we're working on ACS 2.0 which is what we're going to talk about, right? >> Exactly. So with ACS 2.0, we've introduced native Kubernetes support. Now when I think about Kubernetes, there's really two core areas that come to mind. The first one is around native integration. So with that, we have our Kubernetes volume integration, we're obviously doing a lot of work on the networking front, and we'll continue to push there from an integration point of view. Now the other piece is around the actual deployment of Kubernetes. When we think about a lot of Nutanix administrators or IT admins, they may have never deployed Kubernetes before, so this could be a very daunting task. And true to the Nutanix nature, we not only want to make our platform simple and intuitive, we also want to do this for any ecosystem products. So with ACS 2.0, we've simplified the full Kubernetes deployment and switching over to our ACS two interface, we can see this create cluster button. Now this actually pops up a full wizard. This wizard will actually walk you through the full deployment process, gather the necessary inputs for you, and in a matter of a few clicks and a few minutes, we have a full Kubernetes deployment fully provisioned, the masters, the workers, all the networking fully done for you, very simple and intuitive. Now if we hop back over to Prism, we can see we have this ACS2 Kubernetes category. Clicking on that, we can see we have eight instances of virtual machines. And here are Kubernetes virtual machines which have actually been deployed as part of this ACS2 installer. Now one of the nice things is it makes the IT administrator's job very simple and easy to do. The deployment straightforward monitoring and management very straightforward and simple. Now for the developer, the application architect, or engineers, they interface and interact with Kubernetes just like they would traditionally on any platform. >> Got it. So the goal of ACS is to ensure that the developer ecosystem still uses whatever tools that they are you know preferring while at that same time allowing this consolidation of containers along with VMs all on that same, single runtime, right? So that's ACS. And then if you think about where the OS is going, there's still some open space at the end. And open space has always been look if you just look at a public cloud, you look at blocks, files, containers, the most obvious sort of storage function that's left is objects. And that's the last horizon for us in completing the storage stack. And we're going to show you for the first time a preview of an upcoming product called the Acropolis Object Storage Services Stack. So let's talk a little bit about it and then maybe show the demo. >> Yeah, so just like we provided file services with AFS, block services with ABS, with OSS or Object Storage Services, we provide native object storage, compatibility and capability within the Nutanix platform. Now this provides a very simply common S3 API. So any integrations you've done with S3 especially Kubernetes, you can actually leverage that out of the box when you've deployed this. Now if we hop back over to Prism, I'll go here to my object stores menu. And here we can see we have two existing object storage instances which are running. So you can deploy however many of these as you wanted to. Now just like the Kubernetes deployment, deploying a new object instance is very simple and easy to do. So here I'll actually name this instance Thor's Hammer. >> You do know he loses it, right? He hasn't seen the movies yet. >> Yeah, I don't want any spoilers yet. So once we specified the name, we can choose our capacity. So here we'll just specify a large instance or type. Obviously this could be any amount or storage. So if you have a 200 node Nutanix cluster with petabytes worth of data, you could do that as well. Once we've selected that, we'll select our expected performance. And this is going to be the number of concurrent gets and puts. So essentially how many operations per second we want this instance to be able to facilitate. Once we've done that, the platform will actually automatically determine how many virtual machines it needs to deploy as well as the resources and specs for those. And once we've done that, we'll go ahead and click save. Now here we can see it's actually going through doing the deployment of the virtual machines, applying any necessary configuration, and in the matter of a few clicks and a few seconds, we actually have this Thor's Hammer object storage instance which is up and running. Now if we hop over to one of our existing object storage instances, we can see this has three buckets. So one for Kafka-queue, I'm actually using this for my Kafka cluster where I have right around 62 million objects all storing ProtoBus. The second one there is Spark. So I actually have a Spark cluster running on our Kubernetes deployed instance via ACS 2.0. Now this is doing analytics on top of this data using S3 as a storage backend. Now for these objects, we support native versioning, native object encryption as well as worm compliancy. So if you want to have expiry periods, retention intervals, that sort of thing, we can do all that. >> Got it. So essentially what we've just shown you is with upcoming objects as well that the same OS can now support VMs, files, objects, containers, all on the same one click operational fabric. And so that's in some way the real power of Nutanix is to still keep that consistency, scalability in place as we're covering each and every workload inside the enterprise. So before Steve gets off stage though, I wanted to talk to you guys a little bit about something that you know how many of you been to our Nutanix headquarters in San Jose, California? A few. I know there's like, I don't know, 4,000 or 5,000 people here. If you do come to the office, you know when you land in San Jose Airport on the way to longterm parking, you'll pass our office. It's that close. And if you come to the fourth floor, you know one of the cubes that's where I sit. In the cube beside me is Steve. Steve sits in the cube beside me. And when I first joined the company, three or four years ago, and Steve's if you go to his cube, it no longer looks like this, but it used to have a lot of this stuff. It was like big containers of this. I remember the first time. Since I started joking about it, he started reducing it. And then Steve eventually got married much to our surprise. (audience laughing) Much to his wife's surprise. And then he also had a baby as a bigger surprise. And if you come over to our office, and we welcome you, and you come to the fourth floor, find my cube or you'll find Steve's Cube, it now looks like this. Okay, so thanks a lot, my man. >> Cool, thank you. >> Thanks so much. (audience clapping) >> So single OS, any workload. And like Steve who's been with us for awhile, it's my great pleasure to invite one of our favorite customers, CSC Karen who's also been with us for three to four years. And I'll share some fond memories about how she's been with the company for awhile, how as partners we've really done a lot together. So without any further ado, let me bring up Karen. Come on up, Karen. (rock music) >> Thank you for having me. >> Yeah, thank you. So I remember, so how many of you guys were with Nutanix first .Next in Miami? I know there was a question like that asked last time. Not too many. You missed it. We wished we could go back to that. We wouldn't fit 3/4s of this crowd. But Karen was our first customer in the keynote in 2015. And we had just talked about that story at that time where you're just become a customer. Do you want to give us some recap of that? >> Sure. So when we made the decision to move to hyperconverged infrastructure and chose Nutanix as our partner, we rapidly started to deploy. And what I mean by that is Sunil and some of the Nutanix executives had come out to visit with us and talk about their product on a Tuesday. And on a Wednesday after making the decision, I picked up the phone and said you know what I've got to deploy for my VDI cluster. So four nodes showed up on Thursday. And from the time it was plugged in to moving over 300 VDIs and 50 terabytes of storage and turning it over for the business for use was less than three days. So it was really excellent testament to how simple it is to start, and deploy, and utilize the Nutanix infrastructure. Now part of that was the delight that we experienced from our customers after that deployment. So we got phone calls where people were saying this report it used to take so long that I'd got out and get a cup of coffee and come back, and read an article, and do some email, and then finally it would finish. Those reports are running in milliseconds now. It's one click. It's very, very simple, and we've delighted our customers. Now across that journey, we have gone from the simple workloads like VDIs to the much more complex workloads around Splunk and Hadoop. And what's really interesting about our Splunk deployment is we're handling over a billion events being logged everyday. And the deployment is smaller than what we had with a three tiered infrastructure. So when you hear people talk about waste and getting that out and getting to an invisible environment where you're just able to run it, that's what we were able to achieve both with everything that we're running from our public facing websites to the back office operations that we're using which include Splunk and even most recently our Cloudera and Hadoop infrastructure. What it does is it's got 30 crawlers that go out on the internet and start bringing data back. So it comes back with over two terabytes of data everyday. And then that environment, ingests that data, does work against it, and responds to the business. And that again is something that's smaller than what we had on traditional infrastructure, and it's faster and more stable. >> Got it. And it covers a lot of use cases as well. You want to speak a few words on that? >> So the use cases, we're 90%, 95% deployed on Nutanix, and we're covering all of our use cases. So whether that's a customer facing app or a back office application. And what are business is doing is it's handling large portfolios of data for fortune 500 companies and law firms. And these applications are all running with improved stability, reliability, and performance on the Nutanix infrastructure. >> And the plan going forward? >> So the plan going forward, you actually asked me that in Miami, and it's go global. So when we started in Miami and that first deployment, we had four nodes. We now have 283 nodes around the world, and we started with about 50 terabytes of data. We've now got 3.8 petabytes of data. And we're deployed across four data centers and six remote offices. And people ask me often what is the value that we achieved? So simplification. It's all just easier, and it's all less expensive. Being able to scale with the business. So our Cloudera environment ended up with one day where it spiked to 1,000 times more load, 1,000 times, and it just responded. We had rally cries around improved productivity by six times. So 600% improved productivity, and we were able to actually achieve that. The numbers you just saw on the slide that was very, very fast was we calculated a 40% reduction in total cost of ownership. We've exceeded that. And when we talk about waste, that other number on the board there is when I saved the company one hour of maintenance activity or unplanned downtime in a month which we're now able to do the majority of our maintenance activities without disrupting any of our business solutions, I'm saving $750,000 each time I save that one hour. >> Wow. All right, Karen from CSE. Thank you so much. That was great. Thank you. I mean you know some of these data points frankly as I started talking to Karen as well as some other customers are pretty amazing in terms of the genuine value beyond financial value. Kind of like the emotional sort of benefits that good products deliver to some of our customers. And I think that's one of the core things that we take back into engineering is to keep ourselves honest on either velocity or quality even hiring people and so forth. Is to actually the more we touch customers lives, the more we touch our partner's lives, the more it allows us to ensure that we can put ourselves in their shoes to kind of make sure that we're doing the right thing in terms of the product. So that was the first part, invisible infrastructure. And our goal, as we've always talked about, our true North is to make sure that this single OS can be an exact replica, a truly modern, thoughtful but original design that brings the power of public cloud this AWS or GCP like architectures into your mainstream enterprises. And so when we take that to the next level which is about expanding the scope to go beyond invisible infrastructure to invisible data centers, it starts with a few things. Obviously, it starts with virtualization and a level of intelligent management, extends to automation, and then as we'll talk about, we have to embark on encompassing the network. And that's what we'll talk about with Flow. But to start this, let me again go back to one of our core products which is the bedrock of our you know opinionated design inside this company which is Prism and Acropolis. And Prism provides, I mentioned, comes with a ton of machine-learning based intelligence built into the product in 5.6 we've done a ton of work. In fact, a lot of features are coming out now because now that PC, Prism Central that you know has been decoupled from our mainstream release strain and will continue to release on its own cadence. And the same thing when you actually flip it to AHV on its own train. Now AHV, two years ago it was all about can I use AHV for VDI? Can I use AHV for ROBO? Now I'm pretty clear about where you cannot use AHV. If you need memory overcome it, stay with VMware or something. If you need, you know Metro, stay with another technology, else it's game on, right? And if you really look at the adoption of AHV in the mainstream enterprise, the customers now speak for themselves. These are all examples of large global enterprises with multimillion dollar ELAs in play that have now been switched over. Like I'll give you a simple example here, and there's lots of these that I'm sure many of you who are in the audience that are in this camp, but when you look at the breakout sessions in the pods, you'll get a sense of this. But I'll give you one simple example. If you look at the online payment company. I'm pretty sure everybody's used this at one time or the other. They had the world's largest private cloud on open stack, 21,000 nodes. And they were actually public about it three or four years ago. And in the last year and a half, they put us through a rigorous VOC testing scale, hardening, and it's a full blown AHV only stack. And they've started cutting over. Obviously they're not there yet completely, but they're now literally in hundreds of nodes of deployment of Nutanix with AHV as their primary operating system. So it is primetime from a deployment perspective. And with that as the base, no cloud is complete without actually having self-service provisioning that truly drives one-click automation, and can you do that in this consumer grade design? And Calm was acquired, as you guys know, in 2016. We had a choice of taking Calm. It was reasonably feature complete. It supported multiple clouds. It supported ESX, it supported Brownfield, It supported AHV. I mean they'd already done the integration with Nutanix even before the acquisition. And we had a choice. The choice was go down the path of dynamic ops or some other products where you took it for revenue or for acceleration, you plopped it into the ecosystem and sold it at this power sucking alien on top of our stack, right? Or we took a step back, re-engineered the product, kept some of the core essence like the workflow engine which was good, the automation, the object model and all, but refactored it to make it look like a natural extension of our operating system. And that's what we did with Calm. And we just launched it in December, and it's been one of our most popular new products now that's flying off the shelves. If you saw the number of registrants, I got a notification of this for the breakout sessions, the number one session that has been preregistered with over 500 people, the first two sessions are around Calm. And justifiably so because it just as it lives up to its promise, and it'll take its time to kind of get to all the bells and whistles, all the capabilities that have come through with AHV or Acropolis in the past. But the feature functionality, the product market fit associated with Calm is dead on from what the feedback that we can receive. And so Calm itself is on its own rapid cadence. We had AWS and AHV in the first release. Three or four months later, we now added ESX support. We added GCP support and a whole bunch of other capabilities, and I think the essence of Calm is if you can combine Calm and along with private cloud automation but also extend it to multi-cloud automation, it really sets Nutanix on its first genuine path towards multi-cloud. But then, as I said, if you really fixate on a software defined data center message, we're not complete as a full blown AWS or GCP like IA stack until we do the last horizon of networking. And you probably heard me say this before. You heard Dheeraj and others talk about it before is our problem in networking isn't the same in storage. Because the data plane in networking works. Good L2 switches from Cisco, Arista, and so forth, but the real problem networking is in the control plane. When something goes wrong at a VM level in Nutanix, you're able to identify whether it's a storage problem or a compute problem, but we don't know whether it's a VLAN that's mis-configured, or there've been some packets dropped at the top of the rack. Well that all ends now with Flow. And with Flow, essentially what we've now done is take the work that we've been working on to create built-in visibility, put some network automation so that you can actually provision VLANs when you provision VMs. And then augment it with micro segmentation policies all built in this easy to use, consume fashion. But we didn't stop there because we've been talking about Flow, at least the capabilities, over the last year. We spent significant resources building it. But we realized that we needed an additional thing to augment its value because the world of applications especially discovering application topologies is a heady problem. And if we didn't address that, we wouldn't be fulfilling on this ambition of providing one-click network segmentation. And so that's where Netsil comes in. Netsil might seem on the surface yet another next generation application performance management tool. But the innovations that came from Netsil started off at the research project at the University of Pennsylvania. And in fact, most of the team right now that's at Nutanix is from the U Penn research group. And they took a really original, fresh look at how do you sit in a network in a scale out fashion but still reverse engineer the packets, the flow through you, and then recreate this application topology. And recreate this not just on Nutanix, but do it seamlessly across multiple clouds. And to talk about the power of Flow augmented with Netsil, let's bring Rajiv back on stage, Rajiv. >> How you doing? >> Okay so we're going to start with some Netsil stuff, right? >> Yeah, let's talk about Netsil and some of the amazing capabilities this acquisition's bringing to Nutanix. First of all as you mentioned, Netsil's completely non invasive. So it installs on the network, it does all its magic from there. There're no host agents, non of the complexity and compatibility issues that entails. It's also monitoring the network at layer seven. So it's actually doing a deep packet inspection on all your application data, and can give you insights into services and APIs which is very important for modern applications and the way they behave. To do all this of course performance is key. So Netsil's built around a completely distributed architecture scaled to really large workloads. Very exciting technology. We're going to use it in many different ways at Nutanix. And to give you a flavor of that, let me show you how we're thinking of integrating Flow and Nestil together, so micro segmentation and Netsil. So to do that, we install Netsil in one of our Google accounts. And that's what's up here now. It went out there. It discovered all the VMs we're running on that account. It created a map essentially of all their interactions, and you can see it's like a Google Maps view. I can zoom into it. I can look at various things running. I can see lots of HTTP servers over here, some databases. >> Sunil: And it also has stats, right? You can go, it actually-- >> It does. We can take a look at that for a second. There are some stats you can look at right away here. Things like transactions per second and latencies and so on. But if I wanted to micro segment this application, it's not really clear how to do so. There's no real pattern over here. Taking the Google Maps analogy a little further, this kind of looks like the backstreets of Cairo or something. So let's do this step by step. Let me first filter down to one application. Right now I'm looking at about three or four different applications. And Netsil integrates with the metadata. So this is that the clouds provide. So I can search all the tags that I have. So by doing that, I can zoom in on just the financial application. And when I do this, the view gets a little bit simpler, but there's still no real pattern. It's not clear how to micro segment this, right? And this is where the power of Netsil comes in. This is a fairly naive view. This is what tool operating at layer four just looking at ports and TCP traffic would give you. But by doing deep packet inspection, Netsil can get into the services layer. So instead of grouping these interactions by hostname, let's group them by service. So you go service tier. And now you can see this is a much simpler picture. Now I have some patterns. I have a couple of load balancers, an HA proxy and an Nginx. I have a web application front end. I have some application servers running authentication services, search services, et cetera, a database, and a database replica. I could go ahead and micro segment at this point. It's quite possible to do it at this point. But this is almost too granular a view. We actually don't usually want to micro segment at individual service level. You think more in terms of application tiers, the tiers that different services belong to. So let me go ahead and group this differently. Let me group this by app tier. And when I do that, a really simple picture emerges. I have a load balancing tier talking to a web application front end tier, an API tier, and a database tier. Four tiers in my application. And this is something I can work with. This is something that I can micro segment fairly easily. So let's switch over to-- >> Before we dot that though, do you guys see how he gave himself the pseudonym called Dom Toretto? >> Focus Sunil, focus. >> Yeah, for those guys, you know that's not the Avengers theme, man, that's the Fast and Furious theme. >> Rajiv: I think a year ahead. This is next years theme. >> Got it, okay. So before we cut over from Netsil to Flow, do we want to talk a few words about the power of Flow, and what's available in 5.6? >> Sure so Flow's been around since the 5.6 release. Actually some of the functionality came in before that. So it's got invisibility into the network. It helps you debug problems with WLANs and so on. We had a lot of orchestration with other third party vendors with load balancers, with switches to make publishing much simpler. And then of course with our most recent release, we GA'ed our micro segmentation capabilities. And that of course is the most important feature we have in Flow right now. And if you look at how Flow policy is set up, it looks very similar to what we just saw with Netsil. So we have load blancer talking to a web app, API, database. It's almost identical to what we saw just a moment ago. So while this policy was created manually, it is something that we can automate. And it is something that we will do in future releases. Right now, it's of course not been integrated at that level yet. So this was created manually. So one thing you'll notice over here is that the database tier doesn't get any direct traffic from the internet. All internet traffic goes to the load balancer, only specific services then talk to the database. So this policy right now is in monitoring mode. It's not actually being enforced. So let's see what happens if I try to attack the database, I start a hack against the database. And I have my trusty brute force password script over here. It's trying the most common passwords against the database. And if I happen to choose a dictionary word or left the default passwords on, eventually it will log into the database. And when I go back over here in Flow what happens is it actually detects there's now an ongoing a flow, a flow that's outside of policy that's shown up. And it shows this in yellow. So right alongside the policy, I can visualize all the noncompliant flows. This makes it really easy for me now to make decisions, does this flow should it be part of the policy, should it not? In this particular case, obviously it should not be part of the policy. So let me just switch from monitoring mode to enforcement mode. I'll apply the policy, give it a second to propagate. The flow goes away. And if I go back to my script, you can see now the socket's timing out. I can no longer connect to the database. >> Sunil: Got it. So that's like one click segmentation and play right now? >> Absolutely. It's really, really simple. You can compare it to other products in the space. You can't get simpler than this. >> Got it. Why don't we got back and talk a little bit more about, so that's Flow. It's shipping now in 5.6 obviously. It'll come integrated with Netsil functionality as well as a variety of other enhancements in that next few releases. But Netsil does more than just simple topology discovery, right? >> Absolutely. So Netsil's actually gathering a lot of metrics from your network, from your host, all this goes through a data pipeline. It gets processed over there and then gets captured in a time series database. And then we can slice and dice that in various different ways. It can be used for all kinds of insights. So let's see how our application's behaving. So let me say I want to go into the API layer over here. And I instantly get a variety of metrics on how the application's behaving. I get the most requested endpoints. I get the average latency. It looks reasonably good. I get the average latency of the slowest endpoints. If I was having a performance problem, I would know exactly where to go focus on. Right now, things look very good, so we won't focus on that. But scrolling back up, I notice that we have a fairly high error rate happening. We have like 11.35% of our HTTP requests are generating errors, and that deserves some attention. And if I scroll down again, and I see the top five status codes I'm getting, almost 10% of my requests are generating 500 errors, HTTP 500 errors which are internal server errors. So there's something going on that's wrong with this application. So let's dig a little bit deeper into that. Let me go into my analytics workbench over here. And what I've plotted over here is how my HTTP requests are behaving over time. Let me filter down to just the 500 ones. That will make it easier. And I want the 500s. And I'll also group this by the service tier so that I can see which services are causing the problem. And the better view for this would be a bar graph. Yes, so once I do this, you can see that all the errors, all the 500 errors that we're seeing have been caused by the authentication service. So something's obviously wrong with that part of my application. I can go look at whether Active Directory is misbehaving and so on. So very quickly from a broad problem that I was getting a high HTTP error rate. In fact, usually you will discover there's this customer complaining about a lot of errors happening in your application. You can quickly narrow down to exactly what the cause was. >> Got it. This is what we mean by hyperconvergence of the network which is if you can truly isolate network related problems and associate them with the rest of the hyperconvergence infrastructure, then we've essentially started making real progress towards the next level of hyperconvergence. Anyway, thanks a lot, man. Great job. >> Thanks, man. (audience clapping) >> So to talk about this evolution from invisible infrastructure to invisible data centers is another customer of ours that has embarked on this journey. And you know it's not just using Nutanix but a variety of other tools to actually fulfill sort of like the ambition of a full blown cloud stack within a financial organization. And to talk more about that, let me call Vijay onstage. Come on up, Vijay. (rock music) >> Hey. >> Thank you, sir. So Vijay looks way better in real life than in a picture by the way. >> Except a little bit of gray. >> Unlike me. So tell me a little bit about this cloud initiative. >> Yeah. So we've won the best cloud initiative twice now hosted by Incisive media a large magazine. It's basically they host a bunch of you know various buy side, sell side, and you can submit projects in various categories. So we've won the best cloud twice now, 2015 and 2017. The 2017 award is when you know as part of our private cloud journey we were laying the foundation for our private cloud which is 100% based on hyperconverged infrastructure. So that was that award. And then 2017, we've kind of built on that foundation and built more developer-centric next gen app services like PAS, CAS, SDN, SDS, CICD, et cetera. So we've built a lot of those services on, and the second award was really related to that. >> Got it. And a lot of this was obviously based on an infrastructure strategy with some guiding principles that you guys had about three or four years ago if I remember. >> Yeah, this is a great slide. I use it very often. At the core of our infrastructure strategy is how do we run IT as a business? I talk about this with my teams, they were very familiar with this. That's the mindset that I instill within the teams. The mission, the challenge is the same which is how do we scale infrastructure while reducing total cost of ownership, improving time to market, improving client experience and while we're doing that not lose sight of reliability, stability, and security? That's the mission. Those are some of our guiding principles. Whenever we take on some large technology investments, we take 'em through those lenses. Obviously Nutanix went through those lenses when we invested in you guys many, many years ago. And you guys checked all the boxes. And you know initiatives change year on year, the mission remains the same. And more recently, the last few years, we've been focused on converged platforms, converged teams. We've actually reorganized our teams and aligned them closer to the platforms moving closer to an SRE like concept. >> And then you've built out a full stack now across computer storage, networking, all the way with various use cases in play? >> Yeah, and we're aggressively moving towards PAS, CAS as our method of either developing brand new cloud native applications or even containerizing existing applications. So the stack you know obviously built on Nutanix, SDS for software fine storage, compute and networking we've got SDN turned on. We've got, again, PAS and CAS built on this platform. And then finally, we've hooked our CICD tooling onto this. And again, the big picture was always frictionless infrastructure which we're very close to now. You know 100% of our code deployments into this environment are automated. >> Got it. And so what's the net, net in terms of obviously the business takeaway here? >> Yeah so at Northern we don't do tech for tech. It has to be some business benefits, client benefits. There has to be some outcomes that we measure ourselves against, and these are some great metrics or great ways to look at if we're getting the outcomes from the investments we're making. So for example, infrastructure scale while reducing total cost of ownership. We're very focused on total cost of ownership. We, for example, there was a build team that was very focus on building servers, deploying applications. That team's gone down from I think 40, 45 people to about 15 people as one example, one metric. Another metric for reducing TCO is we've been able to absorb additional capacity without increasing operating expenses. So you're actually building capacity in scale within your operating model. So that's another example. Another example, right here you see on the screen. Faster time to market. We've got various types of applications at any given point that we're deploying. There's a next gen cloud native which go directly on PAS. But then a majority of the applications still need the traditional IS components. The time to market to deploy a complex multi environment, multi data center application, we've taken that down by 60%. So we can deliver server same day, but we can deliver entire environments, you know add it to backup, add it to DNS, and fully compliant within a couple of weeks which is you know something we measure very closely. >> Great job, man. I mean that's a compelling I think results. And in the journey obviously you got promoted a few times. >> Yep. >> All right, congratulations again. >> Thank you. >> Thanks Vijay. >> Hey Vijay, come back here. Actually we forgot our joke. So razzled by his data points there. So you're supposed to wear some shoes, right? >> I know my inner glitch. I was going to wear those sneakers, but I forgot them at the office maybe for the right reasons. But the story behind those florescent sneakers, I see they're focused on my shoes. But I picked those up two years ago at a Next event, and not my style. I took 'em to my office. They've been sitting in my office for the last couple years. >> Who's received shoes like these by the way? I'm sure you guys have received shoes like these. There's some real fans there. >> So again, I'm sure many of you liked them. I had 'em in my office. I've offered it to so many of my engineers. Are you size 11? Do you want these? And they're unclaimed? >> So that's the only feature of Nutanix that you-- >> That's the only thing that hasn't worked, other than that things are going extremely well. >> Good job, man. Thanks a lot. >> Thanks. >> Thanks Vijay. So as we get to the final phase which is obviously as we embark on this multi-cloud journey and the complexity that comes with it which Dheeraj hinted towards in his session. You know we have to take a cautious, thoughtful approach here because we don't want to over set expectations because this will take us five, 10 years to really do a good job like we've done in the first act. And the good news is that the market is also really, really early here. It's just a fact. And so we've taken a tiered approach to it as we'll start the discussion with multi-cloud operations, and we've talked about the stack in the prior session which is about look across new clouds. So it's no longer Nutanix, Dell, Lenova, HP, Cisco as the new quote, unquote platforms. It's Nutanix, Xi, GCP, AWS, Azure as the new platforms. That's how we're designing the fabric going forward. On top of that, you obviously have the hybrid OS both on the data plane side and control plane side. Then what you're seeing with the advent of Calm doing a marketplace and automation as well as Beam doing governance and compliance is the fact that you'll see more and more such capabilities of multi-cloud operations burnt into the platform. And example of that is Calm with the new 5.7 release that they had. Launch supports multiple clouds both inside and outside, but the fundamental premise of Calm in the multi-cloud use case is to enable you to choose the right cloud for the right workload. That's the automation part. On the governance part, and this we kind of went through in the last half an hour with Dheeraj and Vijay on stage is something that's even more, if I can call it, you know first order because you get the provisioning and operations second. The first order is to say look whatever my developers have consumed off public cloud, I just need to first get our arm around to make sure that you know what am I spending, am I secure, and then when I get comfortable, then I am able to actually expand on it. And that's the power of Beam. And both Beam and Calm will be the yin and yang for us in our multi-cloud portfolio. And we'll have new products to complement that down the road, right? But along the way, that's the whole private cloud, public cloud. They're the two ends of the barbell, and over time, and we've been working on Xi for awhile, is this conviction that we've built talking to many customers that there needs to be another type of cloud. And this type of a cloud has to feel like a public cloud. It has to be architected like a public cloud, be consumed like a public cloud, but it needs to be an extension of my data center. It should not require any changes to my tooling. It should not require and changes to my operational infrastructure, and it should not require lift and shift, and that's a super hard problem. And this problem is something that a chunk of our R and D team has been burning the midnight wick on for the last year and a half. Because look this is not about taking our current OS which does a good job of scaling and plopping it into a Equinix or a third party data center and calling it a hybrid cloud. This is about rebuilding things in the OS so that we can deliver a true hybrid cloud, but at the same time, give those functionality back on premises so that even if you don't have a hybrid cloud, if you just have your own data centers, you'll still need new services like DR. And if you think about it, what are we doing? We're building a full blown multi-tenant virtual network designed in a modern way. Think about this SDN 2.0 because we have 10 years worth of looking backwards on how GCP has done it, or how Amazon has done it, and now sort of embodying some of that so that we can actually give it as part of this cloud, but do it in a way that's a seamless extension of the data center, and then at the same time, provide new services that have never been delivered before. Everyone obviously does failover and failback in DR it just takes months to do it. Our goal is to do it in hours or minutes. But even things such as test. Imagine doing a DR test on demand for you business needs in the middle of the day. And that's the real bar that we've set for Xi that we are working towards in early access later this summer with GA later in the year. And to talk more about this, let me invite some of our core architects working on it, Melina and Rajiv. (rock music) Good to see you guys. >> You're messing up the names again. >> Oh Rajiv, Vinny, same thing, man. >> You need to back up your memory from Xi. >> Yeah, we should. Okay, so what are we going to talk about, Vinny? >> Yeah, exactly. So today we're going to talk about how Xi is pushing the envelope and beyond the state of the art as you were saying in the industry. As part of that, there's a whole bunch of things that we have done starting with taking a private cloud, seamlessly extending it to the public cloud, and then creating a hybrid cloud experience with one-click delight. We're going to show that. We've done a whole bunch of engineering work on making sure the operations and the tooling is identical on both sides. When you graduate from a private cloud to a hybrid cloud environment, you don't want the environments to be different. So we've copied the environment for you with zero manual intervention. And finally, building on top of that, we are delivering DR as a service with unprecedented simplicity with one-click failover, one-click failback. We're going to show you one click test today. So Melina, why don't we start with showing how you go from a private cloud, seamlessly extend it to consume Xi. >> Sounds good, thanks Vinny. Right now, you're looking at my Prism interface for my on premises cluster. In one-click, I'm going to be able to extend that to my Xi cloud services account. I'm doing this using my my Nutanix credential and a password manager. >> Vinny: So here as you notice all the Nutanix customers we have today, we have created an account for them in Xi by default. So you don't have to log in somewhere and create an account. It's there by default. >> Melina: And just like that we've gone ahead and extended my data center. But let's go take a look at the Xi side and log in again with my my Nutanix credentials. We'll see what we have over here. We're going to be able to see two availability zones, one for on premises and one for Xi right here. >> Vinny: Yeah as you see, using a log in account that you already knew mynutanix.com and 30 seconds in, you can see that you have a hybrid cloud view already. You have a private cloud availability zone that's your own Prism central data center view, and then a Xi availability zone. >> Sunil: Got it. >> Melina: Exactly. But of course we want to extend my network connection from on premises to my Xi networks as well. So let's take a look at our options there. We have two ways of doing this. Both are one-click experience. With direct connect, you can create a dedicated network connection between both environments, or VPN you can use a public internet and a VPN service. Let's go ahead and enable VPN in this environment. Here we have two options for how we want to enable our VPN. We can bring our own VPN and connect it, or we will deploy a VPN for you on premises. We'll do the option where we deploy the VPN in one-click. >> And this is another small sign or feature that we're building net new as part of Xi, but will be burned into our core Acropolis OS so that we can also be delivering this as a stand alone product for on premises deployment as well, right? So that's one of the other things to note as you guys look at the Xi functionality. The goal is to keep the OS capabilities the same on both sides. So even if I'm building a quote, unquote multi data center cloud, but it's just a private cloud, you'll still get all the benefits of Xi but in house. >> Exactly. And on this second step of the wizard, there's a few inputs around how you want the gateway configured, your VLAN information and routing and protocol configuration details. Let's go ahead and save it. >> Vinny: So right now, you know what's happening is we're taking the private network that our customers have on premises and extending it to a multi-tenant public cloud such that our customers can use their IP addresses, the subnets, and bring their own IP. And that is another step towards making sure the operation and tooling is kept consistent on both sides. >> Melina: Exactly. And just while you guys were talking, the VPN was successfully created on premises. And we can see the details right here. You can track details like the status of the connection, the gateway, as well as bandwidth information right in the same UI. >> Vinny: And networking is just tip of the iceberg of what we've had to work on to make sure that you get a consistent experience on both sides. So Melina, why don't we show some of the other things we've done? >> Melina: Sure, to talk about how we preserve entities from my on-premises to Xi, it's better to use my production environment. And first thing you might notice is the log in screen's a little bit different. But that's because I'm logging in using my ADFS credentials. The first thing we preserved was our users. In production, I'm running AD obviously on-prem. And now we can log in here with the same set of credentials. Let me just refresh this. >> And this is the Active Directory credential that our customers would have. They use it on-premises. And we allow the setting to be set on the Xi cloud services as well, so it's the same set of users that can access both sides. >> Got it. There's always going to be some networking problem onstage. It's meant to happen. >> There you go. >> Just launching it again here. I think it maybe timed out. This is a good sign that we're running on time with this presentation. >> Yeah, yeah, we're running ahead of time. >> Move the demos quicker, then we'll time out. So essentially when you log into Xi, you'll be able to see what are the environment capabilities that we have copied to the Xi environment. So for example, you just saw that the same user is being used to log in. But after the use logs in, you'll be able to see their images, for example, copied to the Xi side. You'll be able to see their policies and categories. You know when you define these policies on premises, you spend a lot of effort and create them. And now when you're extending to the public cloud, you don't want to do it again, right? So we've done a whole lot of syncing mechanisms making sure that the two sides are consistent. >> Got it. And on top of these policies, the next step is to also show capabilities to actually do failover and failback, but also do integrated testing as part of this compatibility. >> So one is you know just the basic job of making the environments consistent on two sides, but then it's also now talking about the data part, and that's what DR is about. So if you have a workload running on premises, we can take the data and replicate it using your policies that we've already synced. Once the data is available on the Xi side, at that point, you have to define a run book. And the run book essentially it's a recovery plan. And that says okay I already have the backups of my VMs in case of disaster. I can take my recovery plan and hit you know either failover or maybe a test. And then my application comes up. First of all, you'll talk about the boot order for your VMs to come up. You'll talk about networking mapping. Like when I'm running on-prem, you're using a particular subnet. You have an option of using the same subnet on the Xi side. >> Melina: There you go. >> What happened? >> Sunil: It's finally working.? >> Melina: Yeah. >> Vinny, you can stop talking. (audience clapping) By the way, this is logging into a live Xi data center. We have two regions West Coat, two data centers East Coast, two data centers. So everything that you're seeing is essentially coming off the mainstream Xi profile. >> Vinny: Melina, why don't we show the recovery plan. That's the most interesting piece here. >> Sure. The recovery plan is set up to help you specify how you want to recover your applications in the event of a failover or a test failover. And it specifies all sorts of details like the boot sequence for the VMs as well as network mappings. Some of the network mappings are things like the production network I have running on premises and how it maps to my production network on Xi or the test network to the test network. What's really cool here though is we're actually automatically creating your subnets on Xi from your on premises subnets. All that's part of the recovery plan. While we're on the screen, take a note of the .100 IP address. That's a floating IP address that I have set up to ensure that I'm going to be able to access my three tier web app that I have protected with this plan after a failover. So I'll be able to access it from the public internet really easily from my phone or check that it's all running. >> Right, so given how we make the environment consistent on both sides, now we're able to create a very simple DR experience including failover in one-click, failback. But we're going to show you test now. So Melina, let's talk about test because that's one of the most common operations you would do. Like some of our customers do it every month. But usually it's very hard. So let's see how the experience looks like in what we built. >> Sure. Test and failover are both one-click experiences as you know and come to expect from Nutanix. You can see it's failing over from my primary location to my recovery location. Now what we're doing right now is we're running a series of validation checks because we want to make sure that you have your network configured properly, and there's other configuration details in place for the test to be successful. Looks like the failover was initiated successfully. Now while that failover's happening though, let's make sure that I'm going to be able to access my three tier web app once it fails over. We'll do that by looking at my network policies that I've configured on my test network. Because I want to access the application from the public internet but only port 80. And if we look here under our policies, you can see I have port 80 open to permit. So that's good. And if I needed to create a new one, I could in one click. But it looks like we're good to go. Let's go back and check the status of my recovery plan. We click in, and what's really cool here is you can actually see the individual tasks as they're being completed from that initial validation test to individual VMs being powered on as part of the recovery plan. >> And to give you guys an idea behind the scenes, the entire recovery plan is actually a set of workflows that are built on Calm's automation engine. So this is an example of where we're taking some of power of workflow and automation that Clam has come to be really strong at and burning that into how we actually operationalize many of these workflows for Xi. >> And so great, while you were explaining that, my three tier web app has restarted here on Xi right in front of you. And you can see here there's a floating IP that I mentioned early that .100 IP address. But let's go ahead and launch the console and make sure the application started up correctly. >> Vinny: Yeah, so that .100 IP address is a floating IP that's a publicly visible IP. So it's listed here, 206.80.146.100. And that's essentially anybody in the audience here can go use your laptop or your cell phone and hit that and start to work. >> Yeah so by the way, just to give you guys an idea while you guys maybe use the IP to kind of hit it, is a real set of VMs that we've just failed over from Nutanix's corporate data center into our West region. >> And this is running live on the Xi cloud. >> Yeah, you guys should all go and vote. I'm a little biased towards Xi, so vote for Xi. But all of them are really good features. >> Scroll up a little bit. Let's see where Xi is. >> Oh Xi's here. I'll scroll down a little bit, but keep the... >> Vinny: Yes. >> Sunil: You guys written a block or something? >> Melina: Oh good, it looks like Xi's winning. >> Sunil: Okay, great job, Melina. Thank you so much. >> Thank you, Melina. >> Melina: Thanks. >> Thank you, great job. Cool and calm under pressure. That's good. So that was Xi. What's something that you know we've been doing around you know in addition to taking say our own extended enterprise public cloud with Xi. You know we do recognize that there are a ton of workloads that are going to be residing on AWS, GCP, Azure. And to sort of really assist in the try and call it transformation of enterprises to choose the right cloud for the right workload. If you guys remember, we actually invested in a tool over last year which became actually quite like one of those products that took off based on you know groundswell movement. Most of you guys started using it. It's essentially extract for VMs. And it was this product that's obviously free. It's a tool. But it enables customers to really save tons of time to actually migrate from legacy environments to Nutanix. So we took that same framework, obviously re-platformed it for the multi-cloud world to kind of solve the problem of migrating from AWS or GCP to Nutanix or vice versa. >> Right, so you know, Sunil as you said, moving from a private cloud to the public cloud is a lift and shift, and it's a hard you know operation. But moving back is not only expensive, it's a very hard problem. None of the cloud vendors provide change block tracking capability. And what that means is when you have to move back from the cloud, you have an extended period of downtime because there's now way of figuring out what's changing while you're moving. So you have to keep it down. So what we've done with our app mobility product is we have made sure that, one, it's extremely simple to move back. Two, that the downtime that you'll have is as small as possible. So let me show you what we've done. >> Got it. >> So here is our app mobility capability. As you can see, on the left hand side we have a source environment and target environment. So I'm calling my AWS environment Asgard. And I can add more environments. It's very simple. I can select AWS and then put in my credentials for AWS. It essentially goes and discovers all the VMs that are running and all the regions that they're running. Target environment, this is my Nutanix environment. I call it Earth. And I can add target environment similarly, IP address and credentials, and we do the rest. Right, okay. Now migration plans. I have Bifrost one as my migration plan, and this is how migration works. First you create a plan and then say start seeding. And what it does is takes a snapshot of what's running in the cloud and starts migrating it to on-prem. Once it is an on-prem and the difference between the two sides is minimal, it says I'm ready to cutover. At that time, you move it. But let me show you how you'd create a new migration plan. So let me name it, Bifrost 2. Okay so what I have to do is select a region, so US West 1, and target Earth as my cluster. This is my storage container there. And very quickly you can see these are the VMs that are running in US West 1 in AWS. I can select SQL server one and two, go to next. Right now it's looking at the target Nutanix environment and seeing it had enough space or not. Once that's good, it gives me an option. And this is the step where it enables the Nutanix service of change block tracking overlaid on top of the cloud. There are two options one is automatic where you'll give us the credentials for your VMs, and we'll inject our capability there. Or manually you could do. You could copy the command either in a windows VM or Linux VM and run it once on the VM. And change block tracking since then in enabled. Everything is seamless after that. Hit next. >> And while Vinny's setting it up, he said a few things there. I don't know if you guys caught it. One of the hardest problems in enabling seamless migration from public cloud to on-prem which makes it harder than the other way around is the fact that public cloud doesn't have things like change block tracking. You can't get delta copies. So one of the core innovations being built in this app mobility product is to provide that overlay capability across multiple clouds. >> Yeah, and the last step here was to select the target network where the VMs will come up on the Nutanix environment, and this is a summary of the migration plan. You can start it or just save it. I'm saving it because it takes time to do the seeding. I have the other plan which I'll actually show the cutover with. Okay so now this is Bifrost 1. It's ready to cutover. We started it four hours ago. And here you can see there's a SQL server 003. Okay, now I would like to show the AWS environment. As you can see, SQL server 003. This VM is actually running in AWS right now. And if you go to the Prism environment, and if my login works, right? So we can go into the virtual machine view, tables, and you see the VM is not there. Okay, so we go back to this, and we can hit cutover. So this is essentially telling our system, okay now it the time. Quiesce the VM running in AWS, take the last bit of changes that you have to the database, ship it to on-prem, and in on-prem now start you know configure the target VM and start bringing it up. So let's go and look at AWS and refresh that screen. And you should see, okay so the SQL server is now stopping. So that means it has quiesced and stopping the VM there. If you go back and look at the migration plan that we had, it says it's completed. So it has actually migrated all the data to the on-prem side. Go here on-prem, you see the production SQL server is running already. I can click launch console, and let's see. The Windows VM is already booting up. >> So essentially what Vinny just showed was a live cutover of an AWS VM to Nutanix on-premises. >> Yeah, and what we have done. (audience clapping) So essentially, this is about making two things possible, making it simple to migrate from cloud to on-prem, and making it painless so that the downtime you have is very minimal. >> Got it, great job, Vinny. I won't forget your name again. So last step. So to really talk about this, one of our favorite partners and customers has been in the cloud environment for a long time. And you know Jason who's the CTO of Cyxtera. And he'll introduce who Cyxtera is. Most of you guys are probably either using their assets or not without knowing their you know the new name. But is someone that was in the cloud before it was called cloud as one of the original founders and technologists behind Terremark, and then later as one of the chief architects of VMware's cloud. And then they started this new company about a year or so ago which I'll let Jason talk about. This journey that he's going to talk about is how a partner, slash customer is working with us to deliver net new transformations around the traditional industry of colo. Okay, to talk more about it, Jason, why don't you come up on stage, man? (rock music) Thank you, sir. All right so Cyxtera obviously a lot of people don't know the name. Maybe just give a 10 second summary of why you're so big already. >> Sure, so Cyxtera was formed, as you said, about a year ago through the acquisition of the CenturyLink data centers. >> Sunil: Which includes Savvis and a whole bunch of other assets. >> Yeah, there's a long history of those data centers, but we have all of them now as well as the software companies owned by Medina capital. So we're like the world's biggest startup now. So we have over 50 data centers around the world, about 3,500 customers, and a portfolio of security and analytics software. >> Sunil: Got it, and so you have this strategy of what we're calling revolutionizing colo deliver a cloud based-- >> Yeah so, colo hasn't really changed a lot in the last 20 years. And to be fair, a lot of what happens in data centers has to have a person physically go and do it. But there are some things that we can simplify and automate. So we want to make things more software driven, so that's what we're doing with the Cyxtera extensible data center or CXD. And to do that, we're deploying software defined networks in our facilities and developing automations so customers can go and provision data center services and the network connectivity through a portal or through REST APIs. >> Got it, and what's different now? I know there's a whole bunch of benefits with the integrated platform that one would not get in the traditional kind of on demand data center environment. >> Sure. So one of the first services we're launching on CXD is compute on demand, and it's powered by Nutanix. And we had to pick an HCI partner to launch with. And we looked at players in the space. And as you mentioned, there's actually a lot of them, more than I thought. And we had a lot of conversations, did a lot of testing in the lab, and Nutanix really stood out as the best choice. You know Nutanix has a lot of focus on things like ease of deployment. So it's very simple for us to automate deploying compute for customers. So we can use foundation APIs to go configure the servers, and then we turn those over to the customer which they can then manage through Prism. And something important to keep in mind here is that you know this isn't a manged service. This isn't infrastructure as a service. The customer has complete control over the Nutanix platform. So we're turning that over to them. It's connected to their network. They're using their IP addresses, you know their tools and processes to operate this. So it was really important for the platform we picked to have a really good self-service story for things like you know lifecycle management. So with one-click upgrade, customers have total control over patches and upgrades. They don't have to call us to do it. You know they can drive that themselves. >> Got it. Any other final words around like what do you see of the partnership going forward? >> Well you know I think this would be a great platform for Xi, so I think we should probably talk about that. >> Yeah, yeah, we should talk about that separately. Thanks a lot, Jason. >> Thanks. >> All right, man. (audience clapping) So as we look at the full journey now between obviously from invisible infrastructure to invisible clouds, you know there is one thing though to take away beyond many updates that we've had so far. And the fact is that everything that I've talked about so far is about completing a full blown true IA stack from all the way from compute to storage, to vitualization, containers to network services, and so forth. But every public cloud, a true cloud in that sense, has a full blown layer of services that's set on top either for traditional workloads or for new workloads, whether it be machine-learning, whether it be big data, you know name it, right? And in the enterprise, if you think about it, many of these services are being provisioned or provided through a bunch of our partners. Like we have partnerships with Cloudera for big data and so forth. But then based on some customer feedback and a lot of attention from what we've seen in the industry go out, just like AWS, and GCP, and Azure, it's time for Nutanix to have an opinionated view of the past stack. It's time for us to kind of move up the stack with our own offering that obviously adds value but provides some of our core competencies in data and takes it to the next level. And it's in that sense that we're actually launching Nutanix Era to simplify one of the hardest problems in enterprise IT and short of saving you from true Oracle licensing, it solves various other Oracle problems which is about truly simplifying databases much like what RDS did on AWS, imagine enterprise RDS on demand where you can provision, lifecycle manage your database with one-click. And to talk about this powerful new functionality, let me invite Bala and John on stage to give you one final demo. (rock music) Good to see you guys. >> Yep, thank you. >> All right, so we've got lots of folks here. They're all anxious to get to the next level. So this demo, really rock it. So what are we going to talk about? We're going to start with say maybe some database provisioning? Do you want to set it up? >> We have one dream, Sunil, one single dream to pass you off, that is what Nutanix is today for IT apps, we want to recreate that magic for devops and get back those weekends and freedom to DBAs. >> Got it. Let's start with, what, provisioning? >> Bala: Yep, John. >> Yeah, we're going to get in provisioning. So provisioning databases inside the enterprise is a significant undertaking that usually involves a myriad of resources and could take days. It doesn't get any easier after that for the longterm maintence with things like upgrades and environment refreshes and so on. Bala and team have been working on this challenge for quite awhile now. So we've architected Nutanix Era to cater to these enterprise use cases and make it one-click like you said. And Bala and I are so excited to finally show this to the world. We think it's actually Nutanix's best kept secrets. >> Got it, all right man, let's take a look at it. >> So we're going to be provisioning a sales database today. It's a four-step workflow. The first part is choosing our database engine. And since it's our sales database, we want it to be highly available. So we'll do a two node rack configuration. From there, it asks us where we want to land this service. We can either land it on an existing service that's already been provisioned, or if we're starting net new or for whatever reason, we can create a new service for it. The key thing here is we're not asking anybody how to do the work, we're asking what work you want done. And the other key thing here is we've architected this concept called profiles. So you tell us how much resources you need as well as what network type you want and what software revision you want. This is actually controlled by the DBAs. So DBAs, and compute administrators, and network administrators, so they can set their standards without having a DBA. >> Sunil: Got it, okay, let's take a look. >> John: So if we go to the next piece here, it's going to personalize their database. The key thing here, again, is that we're not asking you how many data files you want or anything in that regard. So we're going to be provisioning this to Nutanix's best practices. And the key thing there is just like these past services you don't have to read dozens of pages of best practice guides, it just does what's best for the platform. >> Sunil: Got it. And so these are a multitude of provisioning steps that normally one would take I guess hours if not days to provision and Oracle RAC data. >> John: Yeah, across multiple teams too. So if you think about the lifecycle especially if you have onshore and offshore resources, I mean this might even be longer than days. >> Sunil: Got it. And then there are a few steps here, and we'll lead into potentially the Time Machine construct too? >> John: Yeah, so since this is a critical database, we want data protection. So we're going to be delivering that through a feature called Time Machines. We'll leave this at the defaults for now, but the key thing to not here is we've got SLAs that deliver both continuous data protection as well as telescoping checkpoints for historical recovery. >> Sunil: Got it. So that's provisioning. We've kicked off Oracle, what, two node database and so forth? >> John: Yep, two node database. So we've got a handful of tasks that this is going to automate. We'll check back in in a few minutes. >> Got it. Why don't we talk about the other aspects then, Bala, maybe around, one of the things that, you know and I know many of you guys have seen this, is the fact that if you look at database especially Oracle but in general even SQL and so forth is the fact that look if you really simplified it to a developer, it should be as simple as I copy my production database, and I paste it to create my own dev instance. And whenever I need it, I need to obviously do it the opposite way, right? So that was the goal that we set ahead for us to actually deliver this new past service around Era for our customers. So you want to talk a little bit more about it? >> Sure Sunil. If you look at most of the data management functionality, they're pretty much like flavors of copy paste operations on database entities. But the trouble is the seemingly simple, innocuous operations of our daily lives becomes the most dreaded, complex, long running, error prone operations in data center. So we actually planned to tame this complexity and bring consumer grade simplicity to these operations, also make these clones extremely efficient without compromising the quality of service. And the best part is, the customers can enjoy these services not only for databases running on Nutanix, but also for databases running on third party systems. >> Got it. So let's take a look at this functionality of I guess snapshoting, clone and recovery that you've now built into the product. >> Right. So now if you see the core feature of this whole product is something we call Time Machine. Time Machine lets the database administrators actually capture the database tape to the granularity of seconds and also lets them create clones, refresh them to any point in time, and also recover the databases if the databases are running on the same Nutanix platform. Let's take a look at the demo with the Time Machine. So here is our customer relationship database management database which is about 2.3 terabytes. If you see, the Time Machine has been active about four months, and SLA has been set for continuously code revision of 30 days and then slowly tapers off 30 days of daily backup and weekly backups and so on, so forth. On the right hand side, you will see different colors. The green color is pretty much your continuously code revision, what we call them. That lets you to go back to any point in time to the granularity of seconds within those 30 days. And then the discreet code revision lets you go back to any snapshot of the backup that is maintained there kind of stuff. In a way, you see this Time Machine is pretty much like your modern day car with self driving ability. All you need to do is set the goals, and the Time Machine will do whatever is needed to reach up to the goal kind of stuff. >> Sunil: So why don't we quickly do a snapshot? >> Bala: Yeah, some of these times you need to create a snapshot for backup purposes, Time Machine has manual controls. All you need to do is give it a snapshot name. And then you have the ability to actually persist this snapshot data into a third party or object store so that your durability and that global data access requirements are met kind of stuff. So we kick off a snapshot operation. Let's look at what it is doing. If you see what is the snapshot operation that this is going through, there is a step called quiescing the databases. Basically, we're using application-centric APIs, and here it's actually RMAN of Oracle. We are using the RMan of Oracle to quiesce the database and performing application consistent storage snapshots with Nutanix technology. Basically we are fusing application-centric and then Nutanix platform and quiescing it. Just for a data point, if you have to use traditional technology and create a backup for this kind of size, it takes over four to six hours, whereas on Nutanix it's going to be a matter of seconds. So it almost looks like snapshot is done. This is full sensitive backup. You can pretty much use it for database restore kind of stuff. Maybe we'll do a clone demo and see how it goes. >> John: Yeah, let's go check it out. >> Bala: So for clone, again through the simplicity of command Z command, all you need to do is pick the time of your choice maybe around three o'clock in the morning today. >> John: Yeah, let's go with 3:02. >> Bala: 3:02, okay. >> John: Yeah, why not? >> Bala: You select the time, all you need to do is click on the clone. And most of the inputs that are needed for the clone process will be defaulted intelligently by us, right? And you have to make two choices that is where do you want this clone to be created with a brand new VM database server, or do you want to place that in your existing server? So we'll go with a brand new server, and then all you need to do is just give the password for you new clone database, and then clone it kind of stuff. >> Sunil: And this is an example of personalizing the database so a developer can do that. >> Bala: Right. So here is the clone kicking in. And what this is trying to do is actually it's creating a database VM and then registering the database, restoring the snapshot, and then recoding the logs up to three o'clock in the morning like what we just saw that, and then actually giving back the database to the requester kind of stuff. >> Maybe one finally thing, John. Do you want to show us the provision database that we kicked off? >> Yeah, it looks like it just finished a few seconds ago. So you can see all the tasks that we were talking about here before from creating the virtual infrastructure, and provisioning the database infrastructure, and configuring data protection. So I can go access this database now. >> Again, just to highlight this, guys. What we just showed you is an Oracle two node instance provisioned live in a few minutes on Nutanix. And this is something that even in a public cloud when you go to RDS on AWS or anything like that, you still can't provision Oracle RAC by the way, right? But that's what you've seen now, and that's what the power of Nutanix Era is. Okay, all right? >> Thank you. >> Thanks. (audience clapping) >> And one final thing around, obviously when we're building this, it's built as a past service. It's not meant just for operational benefits. And so one of the core design principles has been around being API first. You want to show that a little bit? >> Absolutely, Sunil, this whole product is built on API fist architecture. Pretty much what we have seen today and all the functionality that we've been able to show today, everything is built on Rest APIs, and you can pretty much integrate with service now architecture and give you your devops experience for your customers. We do have a plan for full fledged self-service portal eventually, and then make it as a proper service. >> Got it, great job, Bala. >> Thank you. >> Thanks, John. Good stuff, man. >> Thanks. >> All right. (audience clapping) So with Nutanix Era being this one-click provisioning, lifecycle management powered by APIs, I think what we're going to see is the fact that a lot of the products that we've talked about so far while you know I've talked about things like Calm, Flow, AHV functionality that have all been released in 5.5, 5.6, a bunch of the other stuff are also coming shortly. So I would strongly encourage you guys to kind of space 'em, you know most of these products that we've talked about, in fact, all of the products that we've talked about are going to be in the breakout sessions. We're going to go deep into them in the demos as well as in the pods. So spend some quality time not just on the stuff that's been shipping but also stuff that's coming out. And so one thing to keep in mind to sort of takeaway is that we're doing this all obviously with freedom as the goal. But from the products side, it has to be driven by choice whether the choice is based on platforms, it's based on hypervisors, whether it's based on consumption models and eventually even though we're starting with the management plane, eventually we'll go with the data plane of how do I actually provide a multi-cloud choice as well. And so when we wrap things up, and we look at the five freedoms that Ben talked about. Don't forget the sixth freedom especially after six to seven p.m. where the whole goal as a Nutanix family and extended family make sure we mix it up. Okay, thank you so much, and we'll see you around. (audience clapping) >> PA Announcer: Ladies and gentlemen, this concludes our morning keynote session. Breakouts will begin in 15 minutes. ♪ To do what I want ♪

live from Austin Texas it's the cube covering cube con and cloud native con 2017 brought to you by Red Hat the Lenox foundation and the cubes ecosystem partners hey welcome back everyone we are live here in Austin Texas for this the cube exclusive coverage of the cloud native con and cube con kubernetes con north america 2017 I'm John Fourier wrapping up the show of two days of live coverage it was dude Minutemen and Justin Warren analysts with the cube guys you guys are out in the hallways Justin you read all the sessions still we've been doing interviews great shows second year full year was a standalone show it was kind of you know a small show last year but really amazing size seven forty five hundred people or so a lot of logos diamond sponsors platinum sponsors gold sponsors silver sponsors startup sponsors media partners it's a freaking commercial party yet tons of developers tons of action so it's not so much a vendor show a lot of vendor interest in what is the a-list developers in this new way to program new way to build services from lyft donating massive to envoy code Google bringing in massive code a lot of contributions a lot of energy a lot of tech action let's wrap it up do yeah so John first of all you I I we had covered the show last year you had gone done it I seen the buzz around kubernetes so I had a certain expectation and actually it's a the show exceeded my expectation you know Dan conan told us we're gonna have over 4,000 people so that it wasn't the size of it but just the quality of the people and the interactions here you know we've been in other shows you know over the years with the cube where you've had you know those builders and you know smart people but wow you know you walk around here people that have done some of these things many time and as we were talking with a number of them it's you know there's some of this infrastructure and really trying to you know solve some of these things and make infrastructure boring that now we've been beating on for years as well as you know it's really helping the applications and I like it this really kind of bridges you know those environments because infrastructure has always known the reason we have infrastructure is to help the applications and for too long infrastructure has been this boat anchor and you know smart people who've been through you know lots of battles before and it feels a little different it feels like we were making some progress you know just and I were talking ahead of the show I remember when we wrapped up Amazon last week it's like serverless holds a lot of promise well server list does not eclipse all of the cloud native and kubernetes stuff here we're actually seeing some of the intersection I know I want to hear Justin's take on some of it but you know a lot of good things you know just in 20 or 50 sessions here they're all online by the way on their YouTube channel for the CN CF you had a chance to kind of walk with always go to some sessions what did you find most exciting what was the notable point the comment sessions here have been spectacular I agree with you the quality of the attendees from from from customers from people who are building the things from vendors it's it's really really high quality stuff the sessions are really technical it depends on which part of the ecosystem you want to dive into so there's not as much in entry level and high level stuff so people who were involved in this ecosystem know what they're doing so it'll be interesting to see how that changes over the next couple of years I expect that there's going to be a bit more intro level thing although boring is the new exciting so maybe there will be no need to do a lot of the intro stuff because it'll be abstracted away so there's a lot of projects that are about basically about making everything easy that is the goal that's what I'm hearing around the conference today and there's lots of there we saw in the keynote yesterday the idea of meta particle which is basically layering extra layers of abstraction on top of kubernetes we saw it again in the keynote with Chen today where they're trying to put different services on top of kubernetes so essentially kubernetes goes away and just becomes invisible it's like plumbing Clayton Coleman mentioned that from Red Hat making containers boring I agree boring is the new black that means boring is working that's foundational to me I think I'm excited by the fact that we're it's not a lot of land grabbing so to speak on it by the vendors it's very foundational tech and people are focused on don't screw it up let's we got a good thing going on it was goober Nettie's that's kind of the vibe I'm sensing and then the excitement of opportunity yeah there seems to be a lot of that anything jump out at you Justin on in terms of tech hallway conversations notable emerging projects that's your eye as catching up with you just before the show we we were talking about what are you looking forward to and for me two of the big things was service and storage like state management and I agree with you those are the two things that still aren't really solve I just came from the server that's working group just before coming on here and there are still a whole bunch of foundational questions about what service actually is is it function to the service is it more than that does s3 count as as something which is service because you don't actually care about which server you're hitting maybe that's service so there's still a lot of work to be done there about defining what that looks like and creating some standards around things standards is apparently a dirty word which I thought it was a bit strange that this whole idea of what standards a great isn't it it's great it's a standard which are which allows you to build other things on top of that I think we're going to see more and more of that that's what we've seen with kubernetes that's one of the the great benefits of having this standardized thing run by CN CF is everyone else can take that off the table as a as a competitive thing so we're not trying to outdo each other and be more kubernetes than anyone else instead people are building things on top of that so we're seeing storage providers like diamante we're seeing networking providers who are doing things with sto and we've works so that ecosystem is being deliberately created by taking some of that competitive pressure off the table okay that's a great point I want to bring that stool and get your thoughts because we interviewed Ben seek single men from lights light stats and he's super smart guy great conversation where things I asked him about his innovation around communities and he says look it you got a is building communities and having them run things is not as good as being forced to come together around standards you mentioned Ethernet a lot of the OSI model was formulated because if you didn't standardize there was no outcome for anybody yeah so there's that kind of going on with kubernetes where just has come together let's it should be a good word and it was done deliberately I was again talking with Jen that like community is is a kind of a buzzword of the cook of the conference there are specific things that have been done to build a community here it's not just about technology it's about the people and we've got things like the diversity scholarships that we saw on on the first day we're 103 people were were sponsored to come here and be on this conference yeah you know I come into something like that a little bit skeptical when you want to poke at things you know coming off of the Amazon show it's there are many people that are scared of Amazon this show everybody's actually really happy and they're like great it's no longer Hadrian made it made a comment to us he's like it's not the everybody about Amazon Club they're here and everybody's actually happy they're here now you know some of the things they're doing will still kind of play out over time but community it's real John did the amount of smart men and women that we talk to I agree with you blew my mind I mean and who we just had on you know you mentioned you know some of the other guests we've had on just super high quality you know just density you brought up a good point this is something that we hadn't talked about this could bring it up Amazon yes last week we're talking about the Amazon how they're winning everything else everyone's reacting to Amazon and this show is reacting to Amazon in a positive way because the culture here they're from the same tech religion if you want to call it a religion they're cloud native they buy the Amazon value proposition yeah so it's not like this is an anti-feminist on crowd if anything they're all going hey Thank You Amazon keep validating micro services I mean why would you it is very much a yes and it's like cloud great what else can we do let's do more of that let's let's layer things on top of this cloud thing and let's in fact go multiplayer let's put with cloud all the things yeah and the competition strategy is gonna be interesting by the families and what's what's great is that they're enabling stuff so to me we're gonna see where the value will be created obviously the software engineering piece it's going to be a big definition I think so the word software engineering now means something you look at all the tech here it's software engineering then the application developers our application developers they're not engineering plumping right so I mean so you're gonna start to see you know that kind of roll so this new ecosystem might emerge you guys reaction to that I mean John look kubernetes commoditized it's no longer you know there's not the orchestration Wars we talked about this coming in it was one of the things that surprised me is this Kelsey said on his keynote this one actually wasn't any really big surprises this community has a lot of transparency so if you're plugged in if you're talking to the people we understand the roadmap there's a lot of projects and nobody can keep up with all the changes but some of the base pieces we understand where that is the the service mesh piece you know huge participation people go into the sessions everybody's interest learning to it and there's so many pieces where people who contribute customers are getting value and it's still very very early days I I love the line they said it's like hey 4100 people here that's probably everyone running kubernetes right now with around the world so you know John I how BIG's this gonna get you know what do we say and I'd love to get just let's take us he was more in the hallways but just to kind of smell on the vibe here and kind of feeling it and read the tea leaves and if things if they smell brisk if the CNC F doesn't screw it up which I don't think they will cuz Dan's very confident they got a great team I do agree with Justin this is a community that was designed by the people first that have the right principles and and know what they want and then will allow detect the form so I think we might see an easier decision around standards if that all happens things like standards and whatnot to make it grow I think this could be a little mini reinvent going on here so I feel a lot like reinvents do our first time there where you know we got all the best guests because such a small community now it's so popular we got it they're all booked up and we're trying to grab guests I think this could be as big as reinvent in not as now but eventually this could be an industry event because if this all works out you're going to see two major audiences those software engineering plumbers and then on the application side that's going to be the business logic like they've been talking about and then that's going to create value ecosystem a third new constituency if that happens it's a services world and it's a you know twenty thousand person show yeah I can definitely see this growing into a big big show we don't have many industry independent shows anymore most of them are a particular vendors ecosystem this one is yeah that's like kubernetes came from Google but it's the CNC F is an independent body they're being very careful about which projects that they add in I was speaking with a lot of the members and of the of the founding board and they are being very careful to not make the same mistakes that's happened with OpenStack they've learned a lot of the lessons from OpenStack and and other communities as well so they're making some deliberate decisions based on experience and knowledge that they've gained from other places so that this will be sustainable and that it can grow into something really really big and I'll just add to your point there Dan Cohen said on the opening keynote they specifically designed it to be a technical event yes not a business event yes Stu that takes a question cube con with a-c-c ube could be the business of kubernetes get out there confuse your prediction for 2018 we're bringing our best coverage guys thanks for commentary last word thoughts this show sum it up wrap it up cube all the things yeah I mean just impressive John after you know this is our last big event of the year you know just so you know humbled to be able to be you know in this community meet some amazing people and you know share it with our audience you know that this community is something that comes out of this we do community with the K I guess for kubernetes yeah I think high quality okay purposeful high integrity and smart and I think that is formula that will play well love the diversity love all the action guys great great wrap-up Justin's do is the cube here wrapping up coop con cloud native con North America 2017 in Austin Texas thanks for watching of course visit Silk'n angle calm and youtube.com which I still contain go the cube net and we keep on comm and special shout out to Red Hat for all the great support appreciate it and continued success to Red Hat the cubes signing off from Austin Texas thanks for watching

>> Announcer: Live from Nice, France, It's theCUBE, covering .Next Conference 2017 Europe brought to you by Nutanix. Hi, I'm Stu Miniman and you're watching SiliconANGLE Media's production of The Cube here inside the Acropolis Conference Center in Nice, France. Beautiful location, happy to welcome back to the program off the keynote stage this morning, Sudheesh Nair, President with Nutanix, and a first-time guest, someone I've gotten to know through the industry, Dan McConnell, Vice-President of the CPSD group inside DELL EMC. Gentlemen, thanks so much for joining us. Thanks for having us. >> Dan: Thanks for having us. Sudheesh needs no introduction, but Dan, why don't you tell us a little bit about your background, your role inside of DELL EMC. Sure, I guess, I've been at DELL for about, I don't know, 18 years, in various forms, engineering, CTO, product management. Nowadays I've got a collection of the CPSD businesses. Chad will refer to it as the horizontal businesses but basically all the things that are multi-hypervisor in nature. XC series, clearly one of those products, one of the long relationships we've had with Nutanix, very successful. Matter of fact, coming off Q2 was our strongest quarter ever. We're still closing Q3 so I can't talk about that, but safe to say these last six months will be six months of the strongest we've had with Nutanix and the XC series. I've got a collection of products from Block to FlexTech C Series. Yeah, so you come from what was the DELL side of DELL EMC, in through, of course, the DELL VMware relationship, been a strong one, driven a lot of joint revenue for the companies, yeah. Yep, absolutely, it's been great. Been good getting to know Sudheesh over the years. It's been multiple years at this point. >> Sudheesh: Almost four years now. But it's been a great relationship. Sudheesh, please. Yeah, first of all, thank you for having us. It's always nice to see you. And I still am amazed by all this equipment and how professional you are when it comes to doing these sort of things. It's very nice to be here with Dan. He's one of the nicest guys in the company and I'm not just saying because he's sitting here. A very good human being, it's always been a pleasure. It's almost four years we've been working together. Sudheesh, our audience loves when, they're looking forward to this session because, come on, DELL EMC, Nutanix, wait, they're friends, no they're competitors. No, yeah, they're, you know, it's a mix together. They say it's like the macaroons. It's, a couple of pieces go together, some of the flavors you like, some maybe you don't as much. Probably a bad analogy. Bring us up to speed as to kind of the Dell relationship. You know, how important is it to Nutanix? I know it's something that I talk to customers that are running Dell EMC and say, "Does it concern you at all?" And it is something that at least is on the radar for most customers. I'll try to give a shorter answer. It's a long answer question. The first thing is, this is a relationship that is built to last. I know that it is not an easy relationship, but let me also be honest about, look inside the industry and tell me a single relationship that is absolutely black and white. I mean, it's not that long ago when in one of the VMworlds, I don't remember who exactly, but someone from VMware actually said, "We're not going to lose to a bookseller," right? And then in the last-- >> Stu: Yeah, he's a VC now, so doing quite well for himself. Yeah, he's a great guy, it was his call, yeah. Again, it's a point in time of opinion, and I would do the same thing because we all compete with our heart and mind. It's not about that point. The fact that the company evolved, and in the last VMworld I think the CEOs of both AWS and VMware were hugging it out. Does that mean they've built a relationship that will not have conflicts? Absolutely not. I fundamentally don't think that the relationships in IT industry specifically will no longer be black and white, and it will always be shades of gray. The question is, should we be focused on customers who wants us to stop bickering and deliver what's right for them, and continue to focus on the overlaps of interest as opposed to focus on the conflicts that will arise. Absolutely well said. It's clear, and Dell's always been focused on a strategy of customer choice and flexibility. One of our key strengths at DELL EMC now is the portfolio, the fact that we've got multiple offers, the fact that it's a focus on the customer, what the customer wants, giving them flexibility as opposed to always trying to pigeonhole a specific product. It's interesting because I've been watching since the first days of the relationship. Dell's goal is to be leader in infrastructure. Nutanix's goal, be an iconic software company. Well, you're not going to be a server manufacturer, there's room there. So, Dan, why is Nutanix best on Dell? That's a great question. So one, the long relationship, right? So, we actually have teams of people who focus on integrating the platform and the software. There's a software stack in there, we call Power Tools internally that, long story short, manages all of the firmware stacks as well as, essentially lifecycle management of the hardware up underneath Nutanix. So, one piece is the hardware integration. The second piece, which we talked about a year ago at .Next, that we would be focused on integrating the broader Dell EMC portfolio, namely data protection. So, you'll see in upcoming weeks, we've already announced it formally, it gets turned on here in a few weeks, tight integration of Data Domain and Avamar with the XC series. Not just to reference architecture, but actual integration into the management. So, full lifecycle integration of data protection leveraging Data Domain, Avamar, tightly integrated into XC series, keeping that focus of ease of use, lifecycle management not only around the infrastructure, but also from data protection. So, hardware integration as well as tight integration of other pieces of the ecosystem. One other piece there, not to take too long, but not only data protection but we're also leveraging our relationship with Microsoft, and you'll see us integrate XC series into Azure with things like OMS, with our Log Analytics solution, so building out that ecosystem around the infrastructure. Yeah, Sudheesh, the Microsoft relationship's an interesting one, of course. You know, Dell, very long, strong relationship. I remember Satya Nadella up onstage with Michael Dell at Dell World years ago. It seems like a good opportunity for even deeper partnership. I think it's not just Microsoft. I think Dell EMC is the single largest vendor in this space and ecosystem, for example Pivotal. The innovative things that Pivotal is doing, Nutanix has an opportunity to partner with that because of the ecosystem. The global support, the global reach that Dell has, we have access to that. Customers get choice. Pretty much every customer who's buying anything in this industry probably have a contract with Dell. We have access to that. So, it requires a level of maturity for the business to sort of turn off the noise and listen to the music. We have been able to do that, and I know that people would love to see a fight, and yes, sometimes we have friction, and I think that is healthy. But by and large both companies have figured out the most important thing is to focus on customers, do right by them. So, Sudheesh, I think it would be fair to say that both companies have a sales culture that many outside call a bit aggressive. And especially where it's been interesting and sometimes challenging to watch is when it hits the channel. So, I know a number of channel providers, love Dell, love Nutanix, and have felt pressure sometimes from the Dell side to move to some of the other products, many have stuck. How do you balance that to kind of keep the channel happy, keep them working on that? You're absolutely right. I think both companies have a sales-driven culture, no question about it. And Nutanix, even though we are a younger company, much smaller in size, I don't think our aspirations and the fighting spirit is any less. In fact, in some cases it might even be out there. However, what we have done is we always focused on partners as part of the customer in the same ecosystem. That is, do right by the customer, do right by the partner. And I think that applies to both companies. What we have done early on is actually put together some guard rails between companies, how do we approach when those sort of conflicts arises, number one. Number two, we put together processes in the field when it comes to dual registration which is somewhat convoluted on the back end, but extremely delightful on the front end. Now, that doesn't mean there won't be friction. What we've done is we made sure that number one, the frictions are exceptions, not an example always, and second, when it comes up, we talk. So, he's on my WhatsApp. When something really blows up he will say, "Sudheesh, what's going on?" It's less and less now because our people have actually done a pretty good job of managing it. But ultimately, the one thing that'll continue to sustain and grow this relationship would be trust and communication. In the last four years, we know the people. We have built the communication, we speak the language, and because of that we are able to overcome all those problems. Yeah, the key is when those arise, getting the right people involved and ultimately doing right by the customer. There's always going to be conflict, this, that in the field. It's getting the right people involved early managing it and making sure we're putting customers first, not getting them in the middle of it. >> Sudheesh: Absolutely. Alright, so Dan, one of the things we heard from Nutanix today and I've been hearing all week, Intel Skylake. You've got 14 Gs available. Since it's not announced yet as the date, what kind of guidance can you give, and how's that rollout going to look for customers? Especially, I love your viewpoint as you know the server world forever, and you've got a broad portfolio. How does customer adoption across the various buying modes happen? I'll dance around this a bit and say stay tuned, very soon you'll hear some announcement around the 14th Generation PowerEdge. >> Stu: If you're watching the replay, call your rep now, it might be ready. Exactly right, so yes, stay tuned, very, very soon. We've already talked about it back at Dell EMC World. You can expect us to fully embrace the 14th Generation PowerEdge. We've already having some conversations with folks in the field. Obviously, we've got the PowerEdge line out there already. It's actually, the adoption of 14 G has been very, very strong, so we expect that to pick up here on the XC series very shortly. So, like I said, stay tuned. I have to dance around a little bit, but it'll be very, very soon. But one point, it's not available any later on the XC than it is on the other hyperconverged offerings that you have, correct? Correct. Yeah, so that's, I think, kind of the main thing. But that also tells you that we don't just take the same server and ship it out. We actually go through a different process to make sure that this can actually run mission critical applications. That's part of the problem as well, we have to do this right. Take a lot of time hardening that, what we would call standard server, so that's what's in process now, and almost done. I'd like to give you both a last word. Talk about customers, talk about anything we should be looking at down the road from the partnership. Dan, we'll start with you. Sure, you'll see continued, what I'll say tight integration, focus on the ecosystem. I think big steps with data protection integration, focus on Microsoft. You'll see more integration in that vein filling out that overall ecosystem. Partnership continues to be strong. I think it's a very good combination of software, hardware, and ecosystem. So, on the Dell EMC side you'll see us bring that ecosystem focus, and continue working with these guys. Obvious integrations on the hardware side with some exciting technologies like NVNE and RDMA. So, we'll continue to leverage the hardware technology to promote HCI and to drive HCI, make it stronger, and continue to focus on the overall ecosystem. So, we're excited for the relationship, and I'll hand it over to Sudheesh. Yeah, I think, see Nutanix, we always were a software company. But taking a product like this without the help of an appliance form factor would not be feasible, because any problem happened, it would be our problems. But now that we have the last five years behind us, we know how to make it work. What sort of products do we need to build to support the installation process, the upgrade process, lifecycle management, all of those things are done. Now starting next year, you'll see Nutanix making a conscious decision to become a truly software company, without the reliance of being, pushing through hardware. Our sales organization will be retooled and restructured to become, and incentivized to focus more and more on software, and less and less on appliances, which will bring companies like Dell EMC and Nutanix closer, because they have the footprint. Some of the conflicts used to arise basically because we had our own appliances as well. And once the sales organization is differently incentivized, you will see the trust building faster between the resellers and the companies. So, I am very optimistic because of not just the technology vision. Nutanix with hyperconverged, and the Calm and Xi, and everything else that we laid out. We know that for us, hyperconverged is just the foundation, and the support for everything that we're building. That fully aligns with Dell EMC's aspirations on how Nutanix should proceed. So, we're pretty excited, but always cautious about what could go wrong, focused on those things. As long as we talk and communicate, and we focus on customers and partners, I am pretty confident on the future. Sudheesh Nair, Dan McConnell, thank you so much for catching up. Welcome to The Cube alumni. Much appreciated. He's a pro already. We'll be back with lots more coverage here from Nutanix .Next in Nice, France. I'm Stu Miniman, you're watching The Cube. (electronic music)

>> Narrator: Live, from Nice, France, it's theCUBE, covering .Next Conference 2017 Europe. Brought to you by Nutanix. Welcome back, I'm Stu Miniman and we're here in Nice, France, with Nutanix.Next. Happy to welcome back to the program two return guests, Binny Gill and Aaditya Sood, both with Nutanix. As I said, Binny is the Chief Architect. Aaditya is Senior Director of Engineering. Gentlemen, thanks so much for joining us. Thank you. My pleasure. All right, so, for about the last year, we've been looking at Nutanix, you talk about enterprise cloud. What does that really mean? How do you, as Dheera said, the goal was to become an iconic software company. Audacious goal. Started with a couple of acquisitions. Really, this week it feels like we're kind of expanding a little bit on what kind of the Nutanix Cloud portfolio if you will, is going to look like. So first, Aaditya, pretty busy, since you came into the Nutanix fold. Bring us up to speed on what you've been up to since the last time we talked. Sure, thank you Stu. The last year or so we have spent integrating Calm into the Nutanix platform. And also just enhancing it so that the true multi-cloud capability of the current platforms come together. And I think this is one of the fundamental building blocks for the modern next generation enterprise clouds. On services, as well as on a service-centric life cycle approach and that is what we have been up to. Yeah, so to dig in for one second here. Because Calm, absolutely seems central, kind of cloud and (mumble), the two things we have been talking about. I've talked to a couple of customers that have had kind of that early, limited access really happy. A lot of customers I've talked to they're like, ah, I've seen the slides. I'm hoping to see some demos. But, you know, they can't wait to get their hands on it 'cause as Nutanix has done in the past, you know, some bold claims, but will the product deliver? So were are we? When does everyone get their hands on it and, you know, get beating on it? Sure, we have been running some early access betas with customers for the last two or three months and the response for us has been phenomenal. Our partners are very excited, our customers are excited. And well as all of Nutanix is very excited. And I think that sometime later this month is when we will push this thing out there to see how it works out, but so far, looking pretty good. All right, excellent. All right, Binny, lot of new announcements. I mean we had Sunil on. We went through, there's all the five-five stuff. But you know, we bring you on stage to talk about some of the future things as I said, expanding out kind of the cloud's stack. Give us a little bit, kind of the architect's view as to how you're deciding, you know, what to build and then you give us the thumbnails as to what's coming. Yeah, so, essentially what we're trying to build is, as you talked about earlier, an enterprise cloud OS, let me put some more meat to that statement. Essentially, an operating system is something where we run applications, right? Back in the old days, operating systems were run on my desktop, like it could be a Linux operating system or Windows operating system and my app would just run on one host. Today, apps run on clouds, right? So the cloud is the new operating system. Now there are multiple operating systems out there. There's AWS, there's Azure, there's GCP. What does the enterprise have, right? Enterprise doesn't have a good operating system and that's our goal. So what were are saying is we need to build all the aspects of an operating system that means starting from a marketplace, you know, from where you download an application to Calm which can deploy an application to a run time like AHV where the application runs to the networking, the storage and security, all these aspects is what we are building and if you can see how we are progressing over the last two, three, years on this, we have made tremendous progress on a lot of these fronts. And if you look at the announcements that we are making, these are very strategic in that direction, how can we make the right components fit into the picture at the right time. All right and speak a little bit to some of the announcements made-- Yeah, so, if you look at so far what we have done, we have had a (mumble) block services and file services and services that allow you to run your mobile apps better, right? Now you're looking at the next generation cloud native applications. One of the first, key things to have is an objects store. If you look at how the public cloud evolved. It started with an object store for multiple applications. We announced that the objects store service. And again, in true Nutanix fashion, it's going to be highly scalable, elastic. We are looking at global scale and how can you build an object store, not only to reside in one cloud and sort of be lock a lock-in, but rather, have it inter-distributed dispersed cloud fashion with the odd capabilities, back-up snap shot. The old constructs of mobility are still needed in this next generation disperse cloud. So that is one of the things. The other announcement we made was on the compute cloud, right. So you've seen Nutanix bring in hyperconvergence first, then we said you can add storage-only Nords. Now we are saying you compute only, storage-less Nords. And the whole idea is that now you can run AHV on a lot more servers. Even the servers you had earlier invested in, you can bring them into the Nutanix fabric and manage from Prism, the one place to manage all your compute farm, all your hyerconvergence farm, and all your storage farm. So that's pretty exciting right now. Yeah, and it's interesting, those people are like, oh well, Nutanix is a hyperconvergence structure player. Well, that service you describe AC2? There's no storage. It's not not hyperconverged, right? So, is HCI just a piece of the portfolio? How would you look at that from an engineering standpoint? HCI was sort of the hammer we needed to use to get rid of the legacy, if you think about it. But, that essentially got rid of the complexity of three-tier architecture, three-tier mindset. Once that's gone and we now say that okay, this is one compute fabric, and the storage fabric could be married to it, or in some cases, it could be separate, that's completely fine, as long as there's one stack that you're dealing with, you know a single place where you can go and upgrade your files from there, this from there, that from there, hypervisor, you know the storage controller, that makes it an operating system in some sense. OS is the one place where, you know it's still wholistic, it doesn't have, I don't buy parts of an OS from different companies. It's one OS. And that's what we are building, so, HCI was an means to an end, I think. Now building an OS for the cloud is the next goal. All right, so, Aaditya, We hear the message of a one OS. But if I look at any IT environment, they have and, because they have something new and they have their old stuff. And the they accept something new and it's always heterogeneous, well I've got vSphere and AHV. I've got AWS and, you know, GCP. Management has to kind of deal with that. And it's been something we have been struggling with in this industry for longer than I've been in the industry. (laughter) So, how are you looking at this? Where do you feel that Nutanix and Calm is going to help, you know to try to, not silver bullet, hopefully single pane of glass get discussed too much. But, what realistically, what do you solve and what advice do you give customers to try to help them get through this? Sure. So the way we look at it, that's the reality to it, the fractured reality of infrastructure, of the enterprise and the different kinds of Window stacks running together. And to riff off Binny's example, an operating system, forever, had different devices, different hardware devices from different Windows. But, by using things like device drivers or file abstractions, build a consistent, layered platform on top of them, so each application did not need to be return off or I'm running this network card or that network card and so on. So that's how we're looking at this layered approach in Calms as well from Nutanix. And yes, there is going to be AWS, there is going to be GCP. But on top of this a single layer can be built which can go ahead and allow the applications to abstract those parts out. That being said, there is no silver bullet for any of this. There are trade-offs involved, but we like to think of based-off on the feedback we have seen over the last year or so of running betas and getting customer interactions and partnerships that remains is, it takes I'd would say 80, 90% of the complexity over. Now I will specifically not use a single pane of glass. Why, because you said so. Yes. Very rightly so, but I think that as close as coming and not just as a single scream but as a single abstraction across multiple pieces of infrastructure is what we are going and building now. And, I've talked to a number of the Nutanix partners and RESTful APIs come up all the time. It's easy for them to integrate with the services. It's kind of the core fundamental of what we look at today, yes? Yeah, Binny. When I think about the channel and I think about your customers, sell an appliance, it's relatively easy. Selling software and services and these pieces, it's a little bit different mindset for them. How do you help with the customers, the go-to-market for what you're building today, how do you get them ready for that? How do you listen to them? How is the feedback you're getting from people impact the kind of what and how you're building it? Yes, we see all sorts of requirements actually coming in. There are some large customers who still love our appliance model. They can just buy Nutanix appliances and forget about managing them or who do they need to call, it's one number to call, one throat to choke, quote unquote, and then there are some others who want to picky in terms of hey, this is the hardware I need to get, because I have great contacts with Taiwan or China and I'll the hardware from there. I also have been using that in my other server farms. They are using just software from us, so we sell them software only. So, there are many different ways in which we are solving for what customers want. And there's no one-size-fits-all. And that's the beauty of this, I mean, just like, I can take Linux and package it as an appliance and say, hey, this is a router or something else, or maybe a custom, super computer or I could just have it independent, right. So, the beauty of an OS is that it's very flexible in how you package it, right. And that packaging will be very diverse and the partner ecosystem will build around that operating system, as Aaditya was saying. As you see in this expo, there are a lot of partners excited working with our OS and adding their value-add on top of it. All right so, Binny, we heard of there's a lot of features you're rolling out through community edition, CE, first. When I saw the announcements of the object and the compute, there's this disclaimer, it's like well, this is future stuff that we're working on but we're not giving you a date. For a software company, how do you give guidance on this, it gets announced, when should we expect to see it in beta, community edition and kind of generally available? You're a public company, you can't give too much, but general guidance, philosophy, engineering standpoint, how do we look? 'Cause we've gone away from the 18 month major release cycles, so how do you look at release cycles and the way to get them out? So yeah, a couple of things, One is that we are going towards an agile modeling in terms of how releases will be done. Like how Aaditya's team will be releasing Calm at a different cadence compared to, for example, a storage fabric. This is still one OS. But you can upgrade pieces in it, separately. And they can come faster. Basically, the new services that come in, they need more quicker reiteration and that's how they will be iterated on and the older services where you care about, hey, I don't want to cut up my data and all that. You'd be more concerned by nature. And that's essentially, you'll see that's the transition that's going to happen and how we do stuff. One of the core principles, like philosophies, that we have is in mind is that we want to make sure that the experience that our customers have today with Nutanix on trim is maintained. Say, if they want the five nine, six nine is a liability. If they want the NPS of 90 plus, that's what you need. The reason we started with our own appliance was precisely that. We want to control the experience. Then when we went with Onyems and Partners, we were very strict in what we allow, what we don't allow so that experience is maintained. You will see the same thing going forward. So, we're not about, hey, just throwing in a bunch of features because so many people are waiting for it but the quality goes with that. We want to make sure that when we, even when we talk about hybrid cloud and (mumble), and we're talking about DR as a service, what would you DR, your business critical, mission critical apps. So you expect the same quality, right? So, that's what you should expect from Nutanix that if it is GA, it holds up to the bar and net promote a score. It will be maintained very high. All right, Aaditya, one last question I have for you is in an event like this, you get to talk to a lot of customers. I'm sure there's huge requests, talk to a lot of customers, they're excited about what you're doing and they want to know not only GA but kind of roadmap. What can you share with us as some of the big pieces, what should we be looking for beyond the availability itself when it comes to your activities. Sure, I think, I of course, can't go into too much amount of details because I'll unveil it at the right time. Some of the things what we are, what core things we are specifically looking at is how to bridge the chasm between the old school of more than one application and move to container-based modern entirely cloud-based native applications like all the majority of a lot of the enterprise today is stuck on this side of the divide. And it's very simplistic and naive to say just rewrite all your applications to fit into containers, or the modern cloud and everything. So we are building a bunch of technologies which you are here and creatively and incrementally get you over to the other side without doing rewrites, maintaining uptime and hopefully minimizing your spending. Yeah, that's great, Binny, in the keynote today, we heard more about the edge computing, Satyam talked about it. There's certain parts of the market I talk to, it's like containers are pretty much a given at this point. Server list is something that we're talking about a lot. Now, how is engineering and architecture keep up with this change? how do you look at some of these dynamics, how to make sure you don't kind of over-rotate too fast? You want to be with your customers, not too far ahead of them. Well, yeah, so, even in the keynote today, you might have noticed that the way we look at the problem of how our customers will move to the next level. And every customer is at a different phase in this journey towards building their true enterprise hybrid cloud, right. Some are still virtualizing, to be frank. And some are them are moving from three tier to hyperconvergence, some of them from hyperconvergence to hey, I need a better hypervisor with the HV, and then I need Calm and then I need Zi and so on. So they're on a journey. The way we look at this entire transition, even when you talk about IODs, like have it as another phase in the evolution, don't force it on everybody. So IODs being built as a layer after you're standardized on Calm, for example, then you can use Calm as a way of saying now I need to enable some services that I need to create the foundation for building my IOD apps, so functions as a service and all that would be managed by the cloud admin using Calm. So we're building things in layers and IODs is yet another layer that will come out in some time. Binny Gill, Aaditya Sood, thank you so much for giving us all the updates. We look forward to the releases and the future announcements. We'll be back with more coverage here. Nutanix next, I'm Stu Miniman, you're watching theCUBE. (upbeat music)

>> Narrator: Live from Nice, France It's theCUBE covering .NEXT Conference 2017 Europe Brought to you by Nutanix. (electronic music) >> Hi, I'm Stu Miniman and here with SiliconANGLE Media's exclusive coverage of theCUBE live from Nutanix's .NEXT conference here in Nice, France. It's the fifth Nutanix conference. theCUBE has had the pleasure of broadcasting from all five of them. It's the second annual European show. Over 2,200 in attendance here. We're in the Acropolis, which is a little ironic because, of course, Acropolis is one of the product names of Nutanix. To help me with the introduction today, happy to have Martin Veitch... Is the Contributing Editor of IDG Connect. Martin, thank you so much for joining us. >> My pleasure. >> Alright, so, Nutanix. It's a year after they IPO'd. I've been tracking them since they were a very small company. I think a friend of mine was somewhere between the number 20 and 30 employee in there. They now have 2,800 employees worldwide. Talked about, they have, you know, thousands of Nutanix certified, you know, people just in Europe alone between the employees, the partners, and the customers. You know, what's the vibe been for you so much? Tell us, you know, bring us in for the Nutanix show. >> Yeah, like you, I followed them from pretty much the early days. I always thought they were a hot-to-trot, you know. They were an exciting company back in the day. The narrative made a lot of sense. It looked like they were a company very capable of executing. They seemed to have great management. What really surprises me is, if anything, you know, in this business we have a habit of, you know, overdoing it and praising these people to the skies and saying "this is the next big thing." I think these guys really undersell themselves sometimes. To me, you know, the Goldman Sachs line that Dheeraj Pandey, the CEO, used earlier on when he was talking about the Goldman Sachs comment that it was a once-in-a-decade opportunity, to me, the company they remind me of a lot these days is VMware. I think, you know, that's a company they're going to work with, go up against, and they remind me a lot of that infrastructure revolution kind of play, you know. >> Yeah, absolutely, and I think Nutanix would like that analogy, because number one, >> I hope so. >> I love the line, they did a little song at the intro with the clapping and everything. >> Yeah that was pretty wacky, wasn't it? >> They have a little fun, they've got a fun culture. Dheeraj always says they try to be humble. From a marketing, from a sales, sometimes a little aggressive, but you need that to kind of break in to the enterprise space. But they said, in the song, they said "We used to sell boxes, now it's all about the software you know" You know, so what they've been pounding on is, it's one OS, one click, any cloud. So the question I've been asking at all of these events I go to this year is, you talk to customers, it's a choose your pick, hybrid or multi-cloud world, but how do you live in that environment? You're absolutely, you know, customers, they doing lots of SASS, they're doing Amazon, they're doing things with Microsoft or Google, and if you just live in the data center you're limiting where you're going to play. If you're just, you know, the public cloud is obviously lots of growth. Nutanix is trying to fit in all these other environments, as they said many people when they first saw them, was like, "Oh, well they sell you an appliance that goes into your data center? That's not all that interesting." They positioned themselves as enterprise cloud. What do you take, the message in, you know, they said, you know, hyper-converge was kind of the baseline, but I don't think I even heard that word in the keynote this morning. >> I was going to say the same thing >> It's now clouds, so... >> Yeah, enterprise cloud, which isn't a tag I'm particularly fond of, I must admit, but you can see what the appeal is, right? I mean, people are going to build these, they're going to have these data canters on premise. They're going to have private clouds, going to have public clouds. They're going to go for data center co-location, and what you really need is a layer of management, a layer that sits over there. So I think what they're building is something analogous to the systems management frameworks that we saw back in the day for the multi-cloud era, and really, that adds such another arrow to the quiver, and that's why I say, you know, you look at the stock price on this one and you kind of wonder whether they're under-priced in a way, you know, or whether people realize quite what the power they potentially yield is, you know. Obviously they're going to go up against some of the world's largest organizations, but I think it's going to be an extraordinarily ambitious and bullish play. Yeah, absolutely, I think it's a really fascinating story. >> Yeah, well, top line revenue Nutanix now sitting right around a billion dollars on an annual basis and from a market cap, talk about the stocks undervalued, they're still over four billion dollars in revenue. Kind of, you know, if you look at the similar compare company that, you know, Pure Storage, Nutanix now has about the same revenue but, you know, higher marker cap, so, you know, they're doing okay. But as they are trying to emphasize, and I think your point, I would agree with you, it is early still. This is not the final Nutanix. CloudPlay at the DC show made a big announcement with Google, and starting to see some of that come to fruition here at the show, and a big push of theirs is their Calm. Calm really is that layer that's going to live in the multi-cloud. It's still, most customers haven't touched it or really seen more than kind of some slides and demo. I did talk to a couple of customers already that have used it, and at least the early customers, of course heavily involved, it's a little bit self-selecting when you come to an event like this, but excited about how that is, you know, can be that layer that spans between my various environments, whether that be my core, the public cloud, or potentially even the edge. They did an example in the keynote of an oil and gas going out to the rigs. So, you know, you think the Nutanix, you know, if we look to a year from now, when I think multi-cloud is Nutanix a company that comes to mind? >> Absolutely, I've just thought of this, so tell me if you like it or not, but they've kind of gone from stack to PAC, okay. So, hyper-convergence was the play where you would conflate compute networking storage et cetera, and really this combination of Prism, Acropolis and Calm is a whole other level. And you know, again, they didn't really hammer it with the audience today, but they're moving to also a very much a software-centric view of the world. You know, and that was always the question that people like me would ask of them, "Hey, why do you bother having the appliances? Why do you have the hardware cell when, you know, software is the high-margin kind of business in technology?" And "software is eating the world" as Marc Andreessen said. And now I think they're really pivoting towards being very much a software-centric company and flying the flag for that, you know, and I think that whole combination of management layers, of virtualization, of orchestration that they have is exactly what the sweet spot is in the future of enterprise software management. >> Yeah, I've heard some companies talk about the "new stack" and you took their products and P, A, C >> See what I did? >> I do, I think maybe the marketing organization, you know, give you a call, see if they can leverage that. >> 500 bucks. >> So, you know, we've got two days of the show coming up here. Absolutely the kind of cloud story is one that I'm looking to tease apart and talk to the customers. Since I've already had a chance to talk to some customers and it's very much a spectrum. You talk to some customers, especially here in Europe, you go to Germany and it's like well, you know governage, regulation, yeah a public cloud might not be something that they can do because we have to dig into it. >> Yeah >> As opposed to, there's a customer giving a presentation today that, very much, they said everything was going to be public cloud, but they found even when they tried to put everything either in SASS or, like, infrastructures of service with Amazon, there were certain things that, well, in certain countries I just don't have the networking or it was going to be too expensive. >> Yeah. >> So I need to put something in my own data center, and that's where Nutanix has been a fit for them, so it's that good story, as they said, "Where is the center?" and Nutanix being a softer play, it's not about, "Oh I have to sell, you know, thousands and millions of boxes", and even, I've read financial reports that there have been hints from Nutanix that you've said, "Why do they offer the appliances?" Well maybe in the future they won't. It will be through a partner and they'll do that. You need to qualify it, but, you know, absolutely position themselves. They are the, you know, enterprise, you know, software company is what they want to play. Infrastructure is a piece of it. >> Yeah, you're absolutely right. I mean, you've, we've both been around the block a few times. When I started writing about this business, people used to say, "Well, mainframes, they're the dinosaurs who are about to fall off the edge of a cliff." People are still buying a lot of mainframes now. Look at IBM's revenue sheet, a lot of that's mainframe-centric. So I think you're absolutely right. People are going to persist putting stuff close their vest in internal data centers, and they're going to selectively source in various different types of cloud. And you're right, governance is a big one over here in Europe, you know GDPR is a thing that scares all the CIO's and CEO's, for that matter, witless, you know. So they're all terrified of that one PSD2 and payments. So when you have these regulatory landscapes, you know, there's a tendency to be very cautious, very calm, and keep it behind the firewall, and you know, I think probably as long as I live, God willing, you know, we're going to see this combination of deployment models. >> Yeah, GDPR absolutely something we're going to be talking about. Nutanix actually has a couple of experts here talking to customers >> Good. >> As to how they play into it, because that's a question I've had for Nutanix, is, okay, they have kind of their core focus but as they start to go in adjacencies, you know we see companies all the time, alright, I've reached a certain level and then how do I get a little bit further, and how do I have a reason to play into those environments. You know, Nutanix says push into IOT. Nutanix is not the first company that I think of, you know, they don't make sensors, they're not a GE, even Hitachi Vantara has arms that play there so, you know, Satcham Vigani, they've got a small team working on that. So, you want a company of Nutanix' size to start, right, poking out, but where will they be successful and where will they gain traction? Anything catching your eye or interest from Nutanix as they go kind of beyond, you know, kind of the core kind of infrastructure status? >> I think it's a management layer. You know, very similar, I guess, VMware initially was known for their hypervisor and then later on they were really tooling around that to become the control pane, you know, the command center of the data center. That's where I see them. You know, frankly Stu, I'd be pretty worried if they'd made a lot of noise on, I don't know, virtual reality, augmented reality in the net of things, you know. I think they, to a certain extent, can be still have to stick to the netting, and this is a company that's very much geared around being the 21st century data center nexus, and for me, that's where the real value is, and that is a multi multi multi billion dollar segment in its own right. >> Yeah, a big question I have this week, as always, is, you know, what are the relationships that are going to help Nutanix, you know, move further. One that we always look at is the Dell relationship. >> Sure. >> Dell is their largest partner, but also their largest competitor between the VXrail that they're doing, all the Vsan pieces. I'm interested to see IBM up on stage. The power announcement is one that I don't think a lot of people really understand, how that fits. You know, Bumpage Yano was talking about, you know, AI and all of those pieces. Of course, you know, Lenovo, another hardware partner, so, you know. What are the partners that are going to drive them? Which are they, you know, what's the headwinds, what are the tailwinds as they go. Anything from the partner standpoint that you're looking into? >> Well one of the ways, you know, I guess we all try to judge companies is by the company they keep. >> Yes. >> And they've got some nice partners, as you said. The complicated one is a lot of co-optition and frenemy-type stuff going on. It's a bit like Game of Thrones-type complexity of scenario there, you know? Behind the scenes is Dell telling it's sales guys to sell this rather than this and what do they do to objection handling and are they going to eventually try and stitch up Nutanix? I don't know, I think, my feeling is now companies are mature enough that if they can get significant revenues and please the customer, then that's probably the way to go. And you know, those are big, big names and those are companies that you might think would have a history of wanting to do their own thing and go their own way, but they're not. They're going with Nutanix because, you know, it's a USP. That's a unique selling point, and it's a high-quality product, and the customers are very happy. Very high net promoter score, which was an interesting little aspect, you know, a 90+ year after year, clocking at that. You speak to the customers here, they're a happy crowd. You know, you can't say that at every enterprise IT conference, I promise you. >> Yeah, absolutely, it's the channel partners and the customers. Every single one of these events I've come to, this one's a little bit self-selecting, but the people are super excited, digging into it. Alright, Martin, why don't I give you the final word. Things you're looking into, any kind of undercurrent, you know, that we should be aware of. What should Nutanix be concerned about, or people that are looking at it? >> The one thing I would say that would be kind of a risk factor, if you are saying you're reporting into the financial markets and so on is, you know, as I said, they're really up against some of the world's largest organizations here. You know, there's a lot of very, very big companies with skin in the game. And, you know, it depends. They could flip and get much more aggressive. They could decide to go their own way. They could make strategic acquisitions. We saw HPE buying Simplivity, and maybe that would be an interesting turn in the market, but I think they're sat fair for quite a while. Now, I think they've become part of the data center landscape rather than the disruptor. I think they're now part of the status quo in a good way, anyway. >> Yeah, last year they made, you know, it was one or two small software acquisitions >> Yeah. >> That's where we would expect, you know, Nutanix to make those. Alright, well, Martin Veitche, really appreciate you helping me kick off. >> Pleasure, Stu. >> We've got two days of coverage here at the Acropolis in Nice, France. Be sure to stay with us. I have the executives on, customers, and the partners. I'm Stu Miniman here with Martin. Thank you so much for watching theCUBE.

Section 1 of 13 [00:00:00 - 00:10:04] (NOTE: speaker names may be different in each section) Speaker 1: Ladies and gentlemen our program will begin momentarily. Thank you. (singing) This presentation and the accompanying oral commentary may include forward looking statements that are subject to risks uncertainties and other factors beyond our control. Our actual results, performance or achievements may differ materially and adversely from those anticipated or implied by such statements because of various risk factors. Including those detailed in our annual report on form 10-K for the fiscal year ended July 31, 2017 filed with the SEC. Any future product or roadmap information presented is intended to outline general product direction and is not a commitment to deliver any functionality and should not be used when making any purchasing decision. (singing) Ladies and gentlemen please welcome Vice President Corporate Marketing Nutanix, Julie O'Brien. Julie O'Brien: All right. How about those Nutanix .NEXT dancers, were they amazing or what? Did you see how I blended right in, you didn't even notice I was there. [French 00:07:23] to .NEXT 2017 Europe. We're so glad that you could make it today. We have such a great agenda for you. First off do not miss tomorrow morning. We're going to share the outtakes video of the handclap video you just saw. Where are the customers, the partners, the Nutanix employee who starred in our handclap video? Please stand up take a bow. You are not going to want to miss tomorrow morning, let me tell you. That is going to be truly entertaining just like the next two days we have in store for you. A content rich highly interactive, number of sessions throughout our agenda. Wow! Look around, it is amazing to see how many cloud builders we have with us today. Side by side you're either more than 2,200 people who have traveled from all corners of the globe to be here. That's double the attendance from last year at our first .NEXT Conference in Europe. Now perhaps some of you are here to learn the basics of hyperconverged infrastructure. Others of you might be here to build your enterprise cloud strategy. And maybe some of you are here to just network with the best and brightest in the industry, in this beautiful French Riviera setting. Well wherever you are in your journey, you'll find customers just like you throughout all our sessions here with the next two days. From Sligro to Schroders to Societe Generale. You'll hear from cloud builders sharing their best practices and their lessons learned and how they're going all in with Nutanix, for all of their workloads and applications. Whether it's SAP or Splunk, Microsoft Exchange, unified communications, Cloud Foundry or Oracle. You'll also hear how customers just like you are saving millions of Euros by moving from legacy hypervisors to Nutanix AHV. And you'll have a chance to post some of your most challenging technical questions to the Nutanix experts that we have on hand. Our Nutanix technology champions, our MPXs, our MPSs. Where are all the people out there with an N in front of their certification and an X an R an S an E or a C at the end. Can you wave hello? You might be surprised to know that in Europe and the Middle East alone, we have more than 2,600 >> Julie: In Europe and the Middle East alone, we have more than 2,600 certified Nutanix experts. Those are customers, partners, and also employees. I'd also like to say thank you to our growing ecosystem of partners and sponsors who are here with us over the next two days. The companies that you meet here are the ones who are committed to driving innovation in the enterprise cloud. Over the next few days you can look forward to hearing from them and seeing some fantastic technology integration that you can take home to your data center come Monday morning. Together, with our partners, and you our customers, Nutanix has had such an exciting year since we were gathered this time last year. We were named a leader in the Gartner Magic Quadrant for integrated systems two years in a row. Just recently Gartner named us the revenue market share leader in their recent market analysis report on hyper-converged systems. We know enjoy more than 35% revenue share. Thanks to you, our customers, we received a net promoter score of more than 90 points. Not one, not two, not three, but four years in a row. A feat, I'm sure you'll agree, is not so easy to accomplish, so thank you for your trust and your partnership in us. We went public on NASDAQ last September. We've grown to more than 2,800 employees, more than 7,000 customers and 125 countries and in Europe and the Middle East alone, in our Q4 results, we added more than 250 customers just in [Amea 00:11:38] alone. That's about a third of all of our new customer additions. Today, we're at a pivotal point in our journey. We're just barely scratching the surface of something big and Goldman Sachs thinks so too. What you'll hear from us over the next two days is this: Nutanix is on it's way to building and becoming an iconic enterprise software company. By helping you transform your data center and your business with Enterprise Cloud Software that gives you the power of freedom of choice and flexibility in the hardware, the hypervisor and the cloud. The power of one click, one OS, any cloud. And now, to tell you more about the digital transformation that's possible in your business and your industry and share a little bit around the disruption that Nutanix has undergone and how we've continued to reinvent ourselves and maybe, if we're lucky, share a few hand clap dance moves, please welcome to stage Nutanix Founder, CEO and Chairman, Dheeraj Pandey. Ready? Alright, take it away [inaudible 00:13:06]. >> Dheeraj P: Thank you. Thank you, Julie and thank you every one. It looks like people are still trickling. Welcome to Acropolis. I just hope that we can move your applications to Acropolis faster than we've been able to move people into this room, actually. (laughs) But thank you, ladies and gentlemen. Thank you to our customers, to our partners, to our employees, to our sponsors, to our board members, to our performers, to everybody for their precious time. 'Cause that's the most precious thing you actually have, is time. I want to spend a little bit of time today, not a whole lot of time, but a little bit of time talking about the why of Nutanix. Like why do we exist? Why have we survived? Why will we continue to survive and thrive? And it's simpler than an NQ or category name, the word hyper-convergence, I think we are all complicated. Just thinking about what is it that we need to talk about today that really makes it relevant, that makes you take back something from this conference. That Nutanix is an obvious innovation, it's very obvious what we do is not very complicated. Because the more things change, the more they remain the same, so can we draw some parallels from life, from what's going on around us in our own personal lives that makes this whole thing very natural as opposed to "Oh, it's hyper-converged, it's a category, it's analysts and pundits and media." I actually think it's something new. It's not that different, so I want to start with some of that today. And if you look at our personal lives, everything that we had, has been digitized. If anything, a lot of these gadgets became apps, they got digitized into a phone itself, you know. What's Nutanix? What have we done in the last seven, eight years, is we digitized a lot of hardware. We made everything that used to be single purpose hardware look like pure software. We digitized storage, we digitized the systems manager role, an operations manager role. We are digitizing scriptures, people don't need to write scripts anymore when they automate because we can visually design automation with [com 00:15:36]. And we're also trying to make a case that the cloud itself is not just a physical destination. That it can be digitized and must be digitized as well. So we learn that from our personal lives too, but it goes on. Look at music. Used to be tons of things, if you used to go to [inaudible 00:15:55] Records, I'm sure there were European versions of [inaudible 00:15:57] Records as well, the physical things around us that then got digitized as well. And it goes on and on. We look at entertainment, it's very similar. The idea that if you go to a movie hall, the idea that you buy these tickets, the idea that we'd have these DVD players and DVDs, they all got digitized. Or as [inaudible 00:16:20] want to call it, virtualized, actually. That is basically happening in pretty much new things that we never thought would look this different. One of the most exciting things happening around us is the car industry. It's getting digitized faster than we know. And in many ways that we'd not even imagined 10 years ago. The driver will get digitized. Autonomous cars. The engine is definitely gone, it's a different kind of an engine. In fact, we'll re-skill a lot of automotive engineers who actually used to work in mechanical things to look at real chemical things like battery technologies and so on. A lot of those things that used to be physical are now in software in the car itself. Media itself got digitized. Think about a physical newspaper, or physical ads in newspapers. Now we talk about virtual ads, the digital ads, they're all over on websites and so on is our digital experience now. Education is no different, you know, we look back at the kind of things we used to do physically with physical things. Their now all digital. The experience has become that digital. And I can go on and on. You look at retail, you look at healthcare, look at a lot of these industries, they all are at the cusp of a digital disruption. And in fact, if you look at the data, everybody wants it. We all want a digital transformation for industries, for companies around us. In fact, the whole idea of a cloud is a highly digitized data center, basically. It's not just about digitizing servers and storage and networks and security, it's about virtualizing, digitizing the entire data center itself. That's what cloud is all about. So we all know that it's a very natural phenomenon, because it's happening around us and that's the obviousness of Nutanix, actually. Why is it actually a good thing? Because obviously it makes anything that we digitize and we work in the digital world, bring 10X more productivity and decision making efficiencies as well. And there are challenges, obviously there are challenges, but before I talk about the challenges of digitization, think about why are things moving this fast? Why are things becoming digitally disrupted quicker than we ever imagined? There are some reasons for it. One of the big reasons is obviously we all know about Moore's Law. The fact that a lot of hardware's been commoditized, and we have really miniaturized hardware. Nutanix today runs on a palm-sized server. Obviously it runs on the other end of the spectrum with high-end IBM power systems, but it also runs on palm-sized servers. Moore's Law has made a tremendous difference in the way we actually think about consuming software itself. Of course, the internet is also a big part of this. The fact that there's a bandwidth glut, there's Trans-Pacific cables and Trans-Atlantic cables and so on, has really connected us a lot faster than we ever imagined, actually, and a lot of this was also the telecom revolution of the '90s where we really produced a ton of glut for the internet itself. There's obviously a more subtle reason as well, because software development is democratizing. There's consumer-grade programming languages that we never imagined 10, 15, 20 years ago, that's making it so much faster to write- >> Speaker 1: 15-20 years ago that's making it so much faster to write code, with this crowdsourcing that never existed before with Githubs and things like that, open source. There's a lot more stuff that's happening that's outside the boundary of a corporation itself, which is making things so much faster in terms of going getting disrupted and writing things at 10x the speed it used to be 20 years ago. There is obviously this technology at the tip of our fingers, and we all want it in our mobile experience while we're driving, while we're in a coffee shop, and so on; and there's a tremendous focus on design on consumer-grade simplicity, that's making digital disruption that much more compressed in some of sense of this whole cycle of creative disruption that we talk about, is compressed because of mobility, because of design, because of API, the fact that machines are talking to machines, developers are talking to developers. We are going and miniaturizing the experience of organizations because we talk about micro-services and small two-pizza teams, and they all want to talk about each other using APIs and so on. Massive influence on this digital disruption itself. Of course, one of the reasons why this is also happening is because we want it faster, we want to consume it faster than ever before. And our attention spans are reducing. I like the fact that not many people are watching their cell phones right now, but you can imagine the multi-tasking mode that we are all in today in our lives, makes us want to consume things at a faster pace, which is one of the big drivers of digital disruption. But most importantly, and this is a very dear slide to me, a lot of this is happening because of infrastructure. And I can't overemphasize the importance of infrastructure. If you look at why did Google succeed, it was the ninth search engine, after eight of them before, and if you take a step back at why Facebook succeeded over MySpace and so on, a big reason was infrastructure. They believed in scale, they believed in low latency, they believed in being able to crunch information, at 10x, 100x, bigger scale than anyone else before. Even in our geopolitical lives, look at why is China succeeding? Because they've made infrastructure seamless. They've basically said look, governance is about making infrastructure seamless and invisible, and then let the businesses flourish. So for all you CIOs out there who actually believe in governance, you have to think about what's my first role? What's my primary responsibility? It's to provide such a seamless infrastructure, that lines of business can flourish with their applications, with their developers that can write code 10x faster than ever before. And a lot of these tenets of infrastructure, the fact of the matter is you need to have this always-on philosophy. The fact that it's breach-safe culture. Or the fact that operating systems are hardware agnostic. A lot of these tenets basically embody what Nutanix really stands for. And that's the core of what we really have achieved in the last eight years and want to achieve in the coming five to ten years as well. There's a nuance, and obviously we talk about digital, we talk about cloud, we talk about everything actually going to the cloud and so on. What are the things that could slow us down? What are the things that challenge us today? Which is the reason for Nutanix? Again, I go back to this very important point that the reason why we think enterprise cloud is a nuanced term, because the word "cloud" itself doesn't solve for a lot of the problems. The public cloud itself doesn't solve for a lot of the problems. One of the big ones, and obviously we face it here in Europe as well, is laws of the land. We have bureaucracy, which we need to deal with and respect; we have data sovereignty and computing sovereignty needs that we need to actually fulfill as well, while we think about going at breakneck speed in terms of disrupting our competitors and so on. So there's laws of the land, there's laws of physics. This is probably one of the big ones for what the architecture of cloud will look like itself, over the coming five to ten years. Our take is that cloud will need to be more dispersed than they have ever imagined, because computing has to be local to business operations. Computing has to be in hospitals and factories and shop floors and power plants and on and on and on... That's where you really can have operations and computing really co-exist together, cause speed is important there as well. Data locality is one of our favorite things; the fact that computing and data have to be local, at least the most relevant data has to be local as well. And the fact that electrons travel way faster when it's actually local, versus when you have to have them go over a Wide Area Network itself; it's one of the big reasons why we think that the cloud will actually be more nuanced than just some large data centers. You need to disperse them, you need to actually think about software (cloud is about software). Whether data plane itself could be dispersed and even miniaturized in small factories and shop floors and hospitals. But the control plane of the cloud is centralized. And that's the way you can have the best of both worlds; the control plane is centralized. You think as if you're managing one massive data center, but it's not because you're really managing hundreds or thousands of these sites. Especially if you think about edge-based computing and IoT where you really have your tentacles in tens of thousands of smaller devices and so on. We've talked about laws of the land, which is going to really make this digital transformation nuanced; laws of physics; and the third one, which is really laws of entropy. These are hackers that do this for adrenaline. These are parochial rogue states. These are parochial geo-politicians, you know, good thing I actually left the torture sign there, because apparently for our creative designer, geo-politics is equal to torture as well. So imagine one bad tweet can actually result in big changes to the way we actually live in this world today. And it's important. Geo-politics itself is digitized to a point where you don't need a ton of media people to go and talk about your principles and what you stand for and what you strategy for, for running a country itself is, and so on. And these are all human reasons, political reasons, bureaucratic reasons, compliance and regulations reasons, that, and of course, laws of physics is yet another one. So laws of physics, laws of the land, and laws of entropy really make us take a step back and say, "What does cloud really mean, then?" Cause obviously we want to digitize everything, and it all should appear like it's invisible, but then you have to nuance it for the Global 5000, the Global 10000. There's lots of companies out there that need to really think about GDPR and Brexit and a lot of the things that you all deal with on an everyday basis, actually. And that's what Nutanix is all about. Balancing what we think is all about technology and balancing that with things that are more real and practical. To deal with, grapple with these laws of the land and laws of physics and laws of entropy. And that's where we believe we need to go and balance the private and the public. That's the architecture, that's the why of Nutanix. To be able to really think about frictionless control. You want things to be frictionless, but you also realize that you are a responsible citizen of this continent, of your countries, and you need to actually do governance of things around you, which is computing governance, and data governance, and so on. So this idea of melding the public and the private is really about melding control and frictionless together. I know these are paradoxical things to talk about like how do you really have frictionless control, but that's the life you all lead, and as leaders we have to think about this series of paradoxes itself. And that's what Nutanix strategy, the roadmap, the definition of enterprise cloud is really thinking about frictionless control. And in fact, if anything, it's one of the things is also very interesting; think about what's disrupting Nutanix as a company? We will be getting disrupted along the way as well. It's this idea of true invisibility, the public cloud itself. I'd like to actually bring on board somebody who I have a ton of respect for, this leader of a massive company; which itself is undergoing disruption. Which is helping a lot of its customers undergo disruption as well, and which is thinking about how the life of a business analyst is getting digitized. And what about the laws of the land, the laws of physics, and laws of entropy, and so on. And we're learning a lot from this partner, massively giant company, called IBM. So without further ado, Bob Picciano. >> Bob Picciano: Thanks, >> Speaker 1: Thank you so much, Bob, for being here. I really appreciate your presence here- >> Bob Picciano: My pleasure! >> Speaker 1: And for those of you who actually don't know Bob, Bob is a Senior VP and General Manager at IBM, and is all things cognitive and obviously- >> Speaker 1: IBM is all things cognitive. Obviously, I learn a lot from a lot of leaders that have spent decades really looking at digital disruption. >> Bob: Did you just call me old? >> Speaker 1: No. (laughing) I want to talk about experience and talking about the meaning of history, because I love history, actually, you know, and I don't want to make you look old actually, you're too young right now. When you talk about digital disruption, we look at ourselves and say, "Look we are not extremely invisible, we are invisible, but we have not made something as invisible as the public clouds itself." And hence as I. But what's digital disruption mean for IBM itself? Now, obviously a lot of hardware is being digitized into software and cloud services. >> Bob: Yep. >> Speaker 1: What does it mean for IBM itself? >> Bob: Yeah, if you allow me to take a step back for a moment, I think there is some good foundational understanding that'll come from a particular point of view. And, you talked about it with the number of these dimensions that are affecting the way businesses need to consider their competitiveness. How they offer their capabilities into the market place. And as you reflected upon IBM, you know, we've had decades of involvement in information technology. And there's a big disruption going on in the information technology space. But it's what I call an accretive disruption. It's a disruption that can add value. If you were to take a step back and look at that digital trajectory at IBM you'd see our involvement with information technology in a space where it was all oriented around adding value and capability to how organizations managed inscale processes. Thinking about the way they were going to represent their businesses in a digital form. We came to call them applications. But it was how do you open an account, how do you process a claim, how do you transfer money, how do you hire an employee? All the policies of a company, the way the people used to do it mechanically, became digital representations. And that foundation of the digital business process is something that IBM helped define. We invented the role of the CIO to help really sponsor and enter in this notion that businesses could re represent themselves in a digital way and that allowed them to scale predictably with the qualities of their brand, from local operations, to regional operations, to international operations, and show up the same way. And, that added a lot of value to business for many decades. And we thrived. Many companies, SAP all thrived during that span. But now we're in a new space where the value of information technology is hitting a new inflection point. Which is not about how you scale process, but how you scale insight, and how you scale wisdom, and how you scale knowledge and learning from those operational systems and the data that's in those operational systems. >> Speaker 1: How's it different from 1993? We're talking about disruption. There was a time when IBM reinvented itself, 20-25 years ago. >> Bob: Right. >> Speaker 1: And you said it's bigger than 25 years ago. Tell us more. >> Bob: You know, it gets down. Everything we know about that process space right down to the very foundation, the very architecture of the CPU itself and the computer architecture, the von Neumann architecture, was all optimized on those relatively static scaled business processes. When you move into the notion where you're going to scale insight, scale knowledge, you enter the era that we call the cognitive era, or the era of intelligence. The algorithms are very different. You know the data semantically doesn't integrate well across those traditional process based pools and reformation. So, new capabilities like deep learning, machine learning, the whole field of artificial intelligence, allows us to reach into that data. Much of it unstructured, much of it dark, because it hasn't been indexed and brought into the space where it is directly affecting decision making processes in a business. And you have to be able to apply that capability to those business processes. You have to rethink the computer, the circuitry itself. You have to think about how the infrastructure is designed and organized, the network that is required to do that, the experience of the applications as you talked about have to be very natural, very engaging. So IBM does all of those things. So as a function of our transformation that we're on now, is that we've had to reach back, all the way back from rethinking the CPU, and what we dedicate our time and attention to. To our services organization, which is over 130,000 people on the consulting side helping organizations add digital intelligence to this notion of a digital business. Because, the two things are really a confluence of what will make this vision successful. >> Speaker 1: It looks like massive amounts of change for half a million people who work with the company. >> Bob: That's right. >> Speaker 1: I'm sure there are a lot of large customers out here, who will also read into this and say, "If IBM feels disrupted ... >> Bob: Uh hm >> Speaker 1: How can we actually stay not vulnerable? Actually there is massive amounts of change around their own competitive landscape as well. >> Bob: Look, I think every company should feel vulnerable right. If you're at this age, this cognitive era, the age of digital intelligence, and you're not making a move into being able to exploit the capabilities of cognition into the business process. You are vulnerable. If you're at that intersection, and your competitor is passing through it, and you're not taking action to be able to deploy cognitive infrastructure in conjunction with the business processes. You're going to have a hard time keeping up, because it's about using the machines to do the training to augment the intelligence of our employees of our professionals. Whether that's a lawyer, or a doctor, an educator or whether that's somebody in a business function, who's trying to make a critical business decision about risk or about opportunity. >> Speaker 1: Interesting, very interesting. You used the word cognitive infrastructure. >> Bob: Uh hm >> Speaker 1: There's obviously computer infrastructure, data infrastructure, storage infrastructure, network infrastructure, security infrastructure, and the core of cognition has to be infrastructure as well. >> Bob: Right >> Speaker 1: Which is one of the two things that the two companies are working together on. Tell us more about the collaboration that we are actually doing. >> Bob: We are so excited about our opportunity to add value in this space, so we do think very differently about the cognitive infrastructure that's required for this next generation of computing. You know I mentioned the original CPU was built for very deterministic, very finite operations; large precision floating point capabilities to be able to accurately calculate the exact balance, the exact amount of transfer. When you're working in the field of AI in cognition. You actually want variable precision. Right. The data is very sparse, as opposed to the way that deterministic or scorecastic operations work, which is very dense or very structured. So the algorithms are redefining the processes that the circuitry actually has to run. About five years ago, we dedicated a huge effort to rethink everything about the chip and what we made to facilitate an orchestra of participation to solve that problem. We all know the GPU has a great benefit for deep learning. But the GPU in many cases, in many architectures, specifically intel architectures, it's dramatically confined by a very small amount of IO bandwidth that intel allows to go on and off the chip. At IBM, we looked at all 686 roughly square millimeters of our chip and said how do we reuse that square area to open up that IO bandwidth? So the innovation of a GPU or a FPGA could really be utilized to it's maximum extent. And we could be an orchestrator of all of the diverse compute that's going to be necessary for AI to really compel these new capabilities. >> Speaker 1: It's interesting that you mentioned the fact that you know power chips have been redefined for the cognitive era. >> Bob: Right, for Lennox for the cognitive era. >> Speaker 1: Exactly, and now the question is how do you make it simple to use as well? How do you bring simplicity which is where ... >> Bob: That's why we're so thrilled with our partnership. Because you talked about the why of Nutanix. And it really is about that empowerment. Doing what's natural. You talked about the benefits of calm and being able to really create that liberation of an information technology professional, whether it's in operations or in development. Having the freedom of action to make good decisions about defining the infrastructure and deploying that infrastructure and not having to second guess the physical limitations of what they're going to have to be dealing with. >> Speaker 1: That's why I feel really excited about the fact that you have the power of software, to really meld the two forms together. The intel form and the power form comes together. And we have some interesting use cases that our CIO Randy Phiffer is also really exploring, is how can a power form serve as a storage form for our intel form. >> Bob: Sure. >> Speaker 1: It can serve files and mocks and things like that. >> Bob: Any data intensive application where we have seen massive growth in our Lennox business, now for our business, Lennox is 20% of the revenue of our power systems. You know, we started enabling native Lennox distributions on top of little Indian ones, on top of the power capabilities just a few years ago, and it's rocketed. And the reason for that if for any data intensive application like a data base, a no sequel database or a structured data base, a dupe in the unstructured space, they typically run about three to four times better price performance on top of Lennox on power, than they will on top of an intel alternative. >> Speaker 1: Fascinating. >> Bob: So all of these applications that we're talking about either create or consume a lot of data, have to manage a lot of flexibility in that space, and power is a tremendous architecture for that. And you mentioned also the cohabitation, if you will, between intel and power. What we want is that optionality, for you to utilize those benefits of the 3X better price performance where they apply and utilize the commodity base where it applies. So you get the cost benefits in that space and the depth and capability in the space for power. >> Speaker 1: Your tongue in cheek remark about commodity intel is not lost on people actually. But tell us about... >> Speaker 1: Intel is not lost on people actually. Tell us about ... Obviously we digitized Linux 10, 15 years ago with [inaudible 00:40:07]. Have you tried to talk about digitizing AIX? That is the core of IBM's business for the last 20, 25, 30 years. >> Bob: Again, it's about this ability to compliment and extend the investments that businesses have made during their previous generations of decision making. This industry loves to talk about shifts. We talked about this earlier. That was old, this is new. That was hard, this is easy. It's not about shift, it's about using the inflection point, the new capability to extend what you already have to make it better. And that's one thing that I must compliment you, and the entire Nutanix organization. It's really empowering those applications as a catalog to be deployed, managed, and integrated in a new way, and to have seamless interoperability into the cloud. We see the AIX workload just having that same benefit for those businesses. And there are many, many 10's of thousands around the world that are critically dependent on every element of their daily operations and productivity of that operating platform. But to introduce that into that network effect as well. >> Speaker 1: Yeah. I think we're looking forward to how we bring the same cloud experience on AIX as well because as a company it keeps us honest when we don't scoff at legacy. We look at these applications the last 10, 15, 20 years and say, "Can we bring them into the new world as well?" >> Bob: Right. >> Speaker 1: That's what design is all about. >> Bob: Right. >> Speaker 1: That's what Apple did with musics. We'll take an old world thing and make it really new world. >> Bob: Right. >> Speaker 1: The way we consume things. >> Bob: That governance. The capability to help protect against the bad actors, the nefarious entropy players, as you will. That's what it's all about. That's really what it takes to do this for the enterprise. It's okay, and possibly easier to do it in smaller islands of containment, but when you think about bringing these class of capabilities into an enterprise, and really helping an organization drive both the flexibility and empowerment benefits of that, but really be able to depend upon it for international operations. You need that level of support. You need that level of capability. >> Speaker 1: Awesome. Thank you so much Bob. Really appreciate you coming. [crosstalk 00:42:14] Look forward to your [crosstalk 00:42:14]. >> Bob: Cheers. Thank you. >> Speaker 1: Thanks again for all of you. I know that people are sitting all the way up there as well, which is remarkable. I hope you can actually see some of the things that Sunil and the team will actually bring about, talk about live demos. We do real stuff here, which is truly live. I think one of the requests that I have is help us help you navigate the digital disruption that's upon you and your competitive landscape that's around you that's really creating that disruption. Thank you again for being here, and welcome again to Acropolis. >> Speaker 3: Ladies and gentlemen, please welcome Chief Product and Development Officer, Nutanix Sunil Potti. >> Sunil Potti: Okay, so I'm going to just jump right in because I know a bunch of you guys are here to see the product as well. We are a lot of demos lined up for you guys, and we'll try to mix in the slides, and the demos as well. Here's just an example of the things I always bring up in these conferences to look around, and say in the last few months, are we making progress in simplifying infrastructure? You guys have heard this again and again, this has been our mantra from the beginning, that the hotter things get, the more differentiated a company like Nutanix can be if we can make things simple, or keep things simple. Even though I like this a lot, we found something a little bit more interesting, I thought, by our European marketing team. If you guys need these tea bags, which you will need pretty soon. It's a new tagline for the company, not really. I thought it was apropos. But before I get into the product and the demos, to give you an idea. Every time I go to an event you find ways to memorialize the event. You meet people, you build relationships, you see something new. Last night, nothing to do with the product, I sat beside someone. It was a customer event. I had no idea who I was sitting beside. He was a speaker. How many of you guys know him, by the way? Sir Ranulph Fiennes. Few hands. Good for you. I had no idea who I was sitting beside. I said, "Oh, somebody called Sir. I should be respectful." It's kind of hard for me to be respectful, but I tried. He says, "No, I didn't do anything in the sense. My grandfather was knighted about 100 years ago because he was the governor of Antigua. And when he dies, his son becomes." And apparently Sir Ranulph's dad also died in the war, and so that's how he is a sir. But then I started looking it up because he's obviously getting ready to present. And the background for him is, in my opinion, even though the term goes he's the World's Greatest Living Explorer. I would have actually called it the World's Number One Stag, and I'll tell you why. Really, you should go look it up. So this guy, at the age of 21, gets admitted to Special Forces. If you're from the UK, this is as good as it gets, SAS. Six, seven years into it, he rebels, helps out his local partner because he doesn't like a movie who's building a dam inside this pretty village. And he goes and blows up a dam, and he's thrown out of that Special Forces. Obviously he's in demolitions. Goes all the way. This is the '60's, by the way. Remember he's 74 right now. The '60's he goes to Oman, all by himself, as the only guy, only white guy there. And then around the '70's, he starts truly exploring, truly exploring. And this is where he becomes really, really famous. You have to go see this in real life, when he sees these videos to really appreciate the impact of this guy. All by himself, he's gone across the world. He's actually gone across Antarctica. Now he tells me that Antarctica is the size of China and India put together, and he was prepared for -50 to 60 degrees, and obviously he got -130 degrees. Again, you have to see the videos, see his frostbite. Two of his fingers are cut off, by the way. He hacksawed them himself. True story. And then as he, obviously, aged, his body couldn't keep up with him, but his will kept up with him. So after a recent heart attack, he actually ran seven marathons. But most importantly, he was telling me this story, at 65 he wanted to do something different because his body was letting him down. He said, "Let me do something easy." So he climbed Mount Everest. My point being, what is this related to Nutanix? Is that if Nutanix is a company, without technology, allows to spend more time on life, then we've accomplished a piece of our vision. So keep that in mind. Keep that in mind. Now comes the boring part, which is the product. The why, what, how of Nutanix. Neeris talked about this. We have two acts in this company. Invisible Infrastructure was what we started off. You heard us talk about it. How did we do it? Using one-click technologies by converging infrastructure, computer storage, virtualization, et cetera, et cetera. What we are now about is about changing the game. Saying that just like we'd applicated what powers Google and Amazon inside the data center, could we now make them all invisible? Whether it be inside or outside, could we now make clouds invisible? Clouds could be made invisible by a new level of convergence, not about computer storage, but converging public and private, converging CAPEX and OPEX, converging consumption models. And there, beyond our core products, Acropolis and Prism, are these new products. As you know, we have this core thesis, right? The core thesis says what? Predictable workloads will stay inside the data center, elastic workloads will go outside, as long as the experience on both sides is the same. So if you can genuinely have a cloud-like experience delivered inside a data center, then that's the right a- >> Speaker 1: Genuinely have a cloud like experience developed inside the data center. And that's the right answer of predictable workloads. Absolutely the answer of elastic workloads, doesn't matter whether security or compliance. Eventually a public cloud will have a data center right beside your region, whether through local partner or a top three cloud partner. And you should use it as your public cloud of choice. And so, our goal is to ensure that those two worlds are converged. And that's what Calm does, and we'll talk about that. But at the same time, what we found in late 2015, we had a bunch of customers come to us and said "Look, I love this, I love the fact that you're going to converge public and private and all that good stuff. But I have these environments and these apps that I want to be delivered as a service but I want the same operational tooling. I don't want to have two different environments but I don't want to manage my data centers. Especially my secondary data centers, DR data centers." And that's why we created Xi, right? And you'll hear a lot more about this, obviously it's going to start off in the U.S but very rapidly launch in Europe, APJ globally in the next 9-12 months. And so we'll spend some quality time on those products as well today. So, from the journey that we're at, we're starting with the score cloud that essentially says "Look, your public and private needs to be the same" We call that the first instantiation of your cloud architectures and we're essentially as a company, want to build this enterprise cloud operating system as a fabric across public and private. But that's just the starting point. The starting point evolves to the score architecture that we believe that the cloud is being dispersed. Just like you have a public and a private cloud in the core data centers and so forth, you'll need a similar experience inside your remote office branch office, inside your DR data centers, inside your branches, and it won't stop there. It'll go all the way to the edge. All we're already seeing this right? Not just in the army where your forward operating bases in Afghanistan having a three note cluster sitting inside a tent. But we're seeing this in a variety of enterprise scenarios. And here's an example. So, here's a customer, global oil and gas company, has couple of primary data centers running Nutanix, uses GCP as a core public cloud platform, has a whole bunch of remote offices, but it also has this interesting new edge locations in the form of these small, medium, large size rigs. And today, they're in the process of building a next generation cloud architecture that's completely dispersed. They're using one node, coming out on version 5.5 with Nutanix. They're going to use two nodes, they're going to throw us three nods, multicultural architectures. Day one, they're going to centrally manage it using Prism, with one click upgrades, right? And then on top of that, they're also now provisioning using Calm, purpose built apps for the various locations. So, for example, there will be a re control app at the edge, there's an exploration data lag in Google and so forth. My point being that increasingly this architecture that we're talking about is happening in real time. It's no longer just an existing cellular civilization data center that's being replatformed to look like a private cloud and so forth, or a hybrid cloud. But the fact that you're going into this multi cloud era is getting excel bated, the more someone consumes AWL's GCP or any public cloud, the more they're excel bating their internal transformation to this multi cloud architecture. And so that's what we're going to talk about today, is this construct of ONE OS and ONE Click, and when you think about it, every company has a standard stack. So, this is the only slide you're going to see from me today that's a stack, okay? And if you look at the new release coming out, version 5.5, it's coming out imminently, easiest way to say it is that it's got a ton of functionality. We've jammed as much as we can onto one slide and then build a product basically, okay? But I would encourage you guys to check out the release, it's coming out shortly. And we can go into each and every feature here, we'd be spending a lot of time but the way that we look at building Nutanix products as many of you know, it is not feature at a time. It's experience at a time. And so, when you really look at Nutanix using a lateral view, and that's how we approach problems with our customers and partners. We think about it as a life cycle, all the way from learning to using, operating, and then getting support and experiences. And today, we're going to go through each of these stages with you. And who better to talk about it than our local version of an architect, Steven Poitras please come up on stage. I don't know where you are, Steven come on up. You tucked your shirt in? >> Speaker 2: Just for you guys today. >> Speaker 1: Okay. Alright. He's sort of putting on his weight. I know you used a couple of tight buckles there. But, okay so Steven so I know we're looking for the demo here. So, what we're going to do is, the first step most of you guys know this, is we've been quite successful with CE, it's been a great product. How many of you guys like CE? Come on. Alright. I know you had a hard time downloading it yesterday apparently, there's a bunch of guys had a hard time downloading it. But it's been a great way for us not just to get you guys to experience it, there's more than 25,000 downloads and so forth. But it's also a great way for us to see new features like IEME and so forth. So, keep an eye on CE because we're going to if anything, explode the way that we actually use as a way to get new features out in the next 12 months. Now, one thing beyond CE that we did, and this was something that we did about ... It took us about 12 months to get it out. While people were using CE to learn a lot, a lot of customers were actually getting into full blown competitive evals, right? Especially with hit CI being so popular and so forth. So, we came up with our own version called X-Ray. >> Speaker 2: Yup. >> Speaker 1: What does X-Ray do before we show it? >> Speaker 2: Yeah. Absolutely. So, if we think about back in the day we were really the only ACI platform out there on the market. Now there are a few others. So, to basically enable the customer to objectively test these, we came out with X-Ray. And rather than talking about the slide let's go ahead and take a look. Okay, I think it's ready. Perfect. So, here's our X-Ray user interface. And essentially what you do is you specify your targets. So, in this case we have a Nutanix 80150 as well as some of our competitors products which we've actually tested. Now we can see on the left hand side here we see a series of tests. So, what we do is we go through and specify certain workloads like OLTP workloads, database colocation, and while we do that we actually inject certain test cases or scenarios. So, this can be snapshot or component failures. Now one of the key things is having the ability to test these against each other. So, what we see here is we're actually taking a OLTP workload where we're running two virtual machines, and then we can see the IOPS OLTP VM's are actually performing here on the left hand side. Now as we're actually go through this test we perform a series of snapshots, which are identified by these red lines here. Now as you can see, the Nutanix platform, which is shown by this blue line, is purely consistent as we go through this test. However, our competitor's product actually degrades performance overtime as these snapshots are taken. >> Speaker 1: Gotcha. And some of these tests by the way are just not about failure or benchmarking, right? It's a variety of tests that we have that makes real life production workloads. So, every couple of months we actually look at our production workloads out there, subset those two cases and put it into X-Ray. So, X-Ray's one of those that has been more recently announced into the public. But it's already gotten a lot of update. I would strongly encourage you, even if you an existing Nutanix customer. It's a great way to keep us honest, it's a great way for you to actually expand your usage of Nutanix by putting a lot of these real life tests into production, and as and when you look at new alternatives as well, there'll be certain situations that we don't do as well and that's a great way to give us feedback on it. And so, X-Ray is there, the other one, which is more recent by the way is a fact that most of you has spent many days if not weeks, after you've chosen Nutanix, moving non-Nutanix workloads. I.e. VMware, on three tier architectures to Atrio Nutanix. And to do that, we took a hard look and came out with a new product called Xtract. >> Speaker 2: Yeah. So essentially if we think about what Nutanix has done for the data center really enables that iPhone like experience, really bringing it simplicity and intuitiveness to the data center. Now what we wanted to do is to provide that same experience for migrating existing workloads to us. So, with Xtract essentially what we've done is we've scanned your existing environment, we've created design spec, we handled the migration process ... >> Steven: ... environment, we create a design spec. We handle for the migration process as well as the cut over. Now, let's go ahead and take a look in our extract user interface here. What we can see is we have a source environment. In this case, this is a VC environment. This can be any VC, whether it's traditional three tier or hypherconverged. We also see our Nutanix target environments. Essentially, these are our AHV target clusters where we're going to be migrating the data and performing the cut over to you. >> Speaker 2: Gotcha. Steven: The first thing that we do here is we go ahead and create a new migration plan. Here, I'm just going to specify this as DB Wave 2. I'll click okay. What I'm doing here is I'm selecting my target Nutanix cluster, as well as my target Nutanix container. Once I'll do that, I'll click next. Now in this case, we actually like to do it big. We're actually going to migrate some production virtual machines over to this target environment. Here, I'm going to select a few windows instances, which are in our database cluster. I'll click next. At this point, essentially what's occurring is it's going through taking a look at these virtual machines as well as taking a look at the target environment. It takes a look at the resources to ensure that we actually have enough, an ample capacity to facilitate the workload. The next thing we'll do is we'll go ahead and type in our credentials here. This is actually going to be used for logging into the virtual machine. We can do a new device driver installation, as well as get any static IP configuration. Well specify our network mapping. Then from there, we'll click next. What we'll do is we'll actually save and start. This will go through create the migration plan. It'll do some analysis on these virtual machines to ensure that we can actually log in before we actually start migrating data. Here we have a migration, which has been in progress. We can see we have a few virtual machines, obviously some Linux, some Windows here. We've cut over a few. What we do to actually cut over these VMS, is go ahead select the VMS- Speaker 2: This is the actual task of actually doing the final stage of cut over. Steven: Yeah, exactly. That's one of the nice things. Essentially, we can migrate the data whenever we want. We actually hook into the VADP API's to do this. Then every 10 minutes, we send over a delta to sync the data. Speaker 2: Gotcha, gotcha. That's how one click migration can now be possible. This is something that if you guys haven't used this, this has been out in the wild, just for a month or so. Its been probably one of our bestselling, because it's free, bestselling features of the recent product release. I've had customers come to me and say, "Look, there are situations where its taken us weeks to move data." That is now minutes from the operator perspective. Forget where the director, or the VP, it's the line architecture and operator that really loves these tools, which is essentially the core of Nutanix. That's one of our core things, is to make sure that if we can keep the engineer and the architect truly happy, then everything else will be fine for us, right? That's extract. Then we have a lot of things, right? We've done the usual things, there's a tunnel functionality on day zero, day one, day two, kind of capabilities. Why don't we start with something around Prism Central, now that we can do one click PC installs? We can do PC scale outs, we can go from managing thousands of VMS, tens of thousands of VMS, while doing all the one click operations, right? Steven: Yep. Speaker 2: Why don't we take a quick look at what's new in Prism Central? Steven: Yep. Absolutely. Here, we can see our Prism element interface. As you mentioned, one of the key things we added here was the ability to deploy Prism Central very simply just with a few clicks. We'll actually go through a distributed PC scale of deployment here. Here, we're actually going to deploy, as this is a new instance. We're going to select our 5.5 version. In this case, we're going to deploy a scale out Prism Central cluster. Obviously, availability and up-time's very critical for us, as we're mainly distributed systems. In this case we're going to deploy a scale-out PC cluster. Here we'll select our number of PC virtual machines. Based upon the number of VMS, we can actually select our size of VM that we'd deploy. If we want to deploy 25K's report, we can do that as well. Speaker 2: Basically a thousand to tens of thousands of VM's are possible now. Steven: Yep. That's a nice thing is you can start small, and then scale out as necessary. We'll select our PC network. Go ahead and input our IP address. Now, we'll go to deploy. Now, here we can see it's actually kicked off the deployment, so it'll go provision these virtual machines to apply the configuration. In a few minutes, we'll be up and running. Speaker 2: Right. While Steven's doing that, one of the things that we've obviously invested in is a ton of making VM operations invisible. Now with Calm's, what we've done is to up level that abstraction. Two applications. At the end of the day, more and more ... when you go to AWS, when you go to GCP, you go to [inaudible 01:04:56], right? The level of abstractions now at an app level, it's cloud formations, and so forth. Essentially, what Calm's able to do is to give you this marketplace that you can go in and self-service [inaudible 01:05:05], create this internal cloud like environment for your end users, whether it be business owners, technology users to self-serve themselves. The process is pretty straightforward. You, as an operator, or an architect, or [inaudible 01:05:16] create these blueprints. Consumers within the enterprise, whether they be self-service users, whether they'll be end business users, are able to consume them for a simple marketplace, and deploy them on whether it be a private cloud using Nutanix, or public clouds using anything with public choices. Then, as a single frame of glass, as operators you're doing conversed operations, at an application centric level between [inaudible 01:05:41] across any of these clouds. It's this combination of producer, consumer, operator in a curated sense. Much like an iPhone with an app store. It's the core construct that we're trying to get with Calm to up level the abstraction interface across multiple clouds. Maybe we'll do a quick demo of this, and then get into the rest of the stuff, right? Steven: Sure. Let's check it out. Here we have our Prism Central user interface. We can see we have two Nutanix clusters, our cloudy04 as well as our Power8 cluster. One of the key things here that we've added is this apps tab. I'm clicking on this apps tab, we can see that we have a few [inaudible 01:06:19] solutions, we have a TensorFlow solution, a [inaudible 01:06:22] et cetera. The nice thing about this is, this is essentially a marketplace where vendors as well as developers could produce these blueprints for consumption by the public. Now, let's actually go ahead and deploy one of these blueprints. Here we have a HR employment engagement app. We can see we have three different tiers of services part of this. Speaker 2: You need a lot of engagement at HR, you know that. Okay, keep going. Steven: Then the next thing we'll do here is we'll go and click on. Based upon this, we'll specify our blueprint name, HR app. The nice thing when I'm deploying is I can actually put in back doors. We'll click clone. Now what we can see here is our blueprint editor. As a developer, I could actually go make modifications, or even as an in-user given the simple intuitive user interface. Speaker 2: This is the consumers side right here, but it's also the [inaudible 01:07:11]. Steven: Yep, absolutely. Yeah, if I wanted to make any modifications, I could select the tier, I could scale out the number of instances, I could modify the packages. Then to actually deploy, all I do is click launch, specify HR app, and click create. Speaker 2: Awesome. Again, this is coming in 5.5. There's one other feature, by the way, that is coming in 5.5 that's surrounding Calm, and Prism Pro, and everything else. That seems to be a much awaited feature for us. What was that? Steven: Yeah. Obviously when we think about multi-tenant, multi-cloud role based access control is a very critical piece of that. Obviously within the organization, we're going to have multiple business groups, multiple units. Our back's a very critical piece. Now, if we go over here to our projects, we can see in this scenario we just have a single project. What we've added is if you want to specify certain roles, in this case we're going to add our good friend John Doe. We can add them, it could be a user or group, but then we specify their role. We can give a developer the ability to edit and create these blueprints, or consumer the ability to actually provision based upon. Speaker 2: Gotcha. Basically in 5.5, you'll have role based access control now in Prism and Calm burned into that, that I believe it'll support custom role shortly after. Steven: Yep, okay. Speaker 2: Good stuff, good stuff. I think this is where the Nutanix guys are supposed to clap, by the way, so that the rest of the guys can clap. Steven: Thank you, thank you. Okay. What do we have? Speaker 2: We have day one stuff, obviously there's a ton of stuff that's coming in core data path capabilities that most of you guys use. One of the most popular things is synchronous replication, especially in Europe. Everybody wants to do [Metro 01:08:49] for whatever reason. But we've got something new, something even more enhanced than Metro, right? Steven: Yep. Speaker 2: Do you want to talk a little bit about it? Steven: Yeah, let's talk about it. If we think about what we had previously, we started out with a synchronous replication. This is essentially going to be your higher RPO. Then we moved into Metro cluster, which was RPO zero. Those are two ins of the gamete. What we did is we introduced new synchronous replication, which really gives you the best of both worlds where you have very, very decreased RPO's, but zero impact in line mainstream performance. Speaker 2: That's it. Let's show something. Steven: Yeah, yeah. Let's do it. Here, we're back at our Prism Element interface. We'll go over here. At this point, we provisioned our HR app, the next thing we need to do is to protect that data. Let's go here to protection domain. We'll create a new PD for our HR app. Speaker 2: You clearly love HR. Steven: Spent a lot of time there. Speaker 2: Yeah, yeah, yeah. Steven: Here, you can see we have our production lamp DBVM. We'll go ahead and protect that entity. We can see that's protected. The next thing we'll do is create a schedule. Now, what would you say would be a good schedule we should actually shoot for? Speaker 2: I don't know, 15 minutes? Steven: 15 minutes is not bad. But I ... Section 7 of 13 [01:00:00 - 01:10:04] Section 8 of 13 [01:10:00 - 01:20:04] (NOTE: speaker names may be different in each section) Speaker 1: ... 15 minutes. Speaker 2: 15 minutes is not bad, but I think the people here deserve much better than that, so I say let's shoot for ... what about 15 seconds? Speaker 1: Yeah. They definitely need a bathroom break, so let's do 15 seconds. Speaker 2: Alright, let's do 15 seconds. Speaker 1: Okay, sounds good. Speaker 2: K. Then we'll select our retention policy and remote cluster replicate to you, which in this case is wedge. And we'll go ahead and create the schedule here. Now at this point we can see our protection domain. Let's go ahead and look at our entities. We can see our database virtual machine. We can see our 15 second schedule, our local snapshots, as well as we'll start seeing our remote snapshots. Now essentially what occurs is we take two very quick snapshots to essentially see the initial data, and then based upon that then we'll start taking our continuous 15 second snaps. Speaker 1: 15 seconds snaps, and obviously near sync has less of impact than synchronous, right? From an architectural perspective. Speaker 2: Yeah, and that's a nice thing is essentially within the cluster it's truly pure synchronous, but externally it's just a lagged a-sync. Speaker 1: Gotcha. So there you see some 15 second snapshots. So near sync is also built into five-five, it's a long-awaited feature. So then, when we expand in the rest of capabilities, I would say, operations. There's a lot of you guys obviously, have started using Prism Pro. Okay, okay, you can clap. You can clap. It's okay. It was a lot of work, by the way, by the core data pad team, it was a lot of time. So Prism Pro ... I don't know if you guys know this, Prism Central now run from zero percent to more than 50 percent attach on install base, within 18 months. And normally that's a sign of true usage, and true value being supported. And so, many things are new in five-five out on Prism Pro starting with the fact that you can do data[inaudible 01:11:49] base lining, alerting, so that you're not capturing a ton of false positives and tons of alerts. We go beyond that, because we have this core machine-learning technology power, we call it cross fit. And, what we've done is we've used that as a foundation now for pretty much all kinds of operations benefits such as auto RCA, where you're able to actually map to particular [inaudible 01:12:12] crosses back to who's actually causing it whether it's the network, a computer, and so forth. But then the last thing that we've also done in five-five now that's quite different shading, is the fact that you can now have a lot of these one-click recommendations and remediations, such as right-sizing, the fact that you can actually move around [inaudible 01:12:28] VMs, constrained VMs, and so forth. So, I now we've packed a lot of functionality in Prism Pro, so why don't we spend a couple of minutes quickly giving a sneak peak into a few of those things. Speaker 2: Yep, definitely. So here we're back at our Prism Central interface and one of the things we've added here, if we take a look at one of our clusters, we can see we have this new anomalies portion here. So, let's go ahead and select that and hop into this. Now let's click on one of these anomaly events. Now, essentially what the system does is we monitor all the entities and everything running within the system, and then based upon that, we can actually determine what we expect the band of values for these metrics to be. So in this scenario, we can see we have a CPU usage anomaly event. So, normal time, we expect this to be right around 86 to 100 percent utilization, but at this point we can see this is drastically dropped from 99 percent to near zero. So, this might be a point as an administrator that I want to go check out this virtual machine, ensure that certain services and applications are still up and running. Speaker 1: Gotcha, and then also it changes the baseline based on- Speaker 2: Yep. Yeah, so essentially we apply machine-learning techniques to this, so the system will dynamically adjust based upon the value adjustment. Speaker 1: Gotcha. What else? Speaker 2: Yep. So the other thing here that we mentioned was capacity planning. So if we go over here, we can take a look at our runway. So in this scenario we have about 30 days worth of runway, which is most constrained by memory. Now, obviously, more nodes is all good for everyone, but we also want to ensure that you get the maximum value on your investment. So here we can actually see a few recommendations. We have 11 overprovision virtual machines. These are essentially VMs which have more resources than are necessary. As well as 19 inactives, so these are dead VMs essentially that haven't been powered on and not utilized. We can also see we have six constrained, as well as one bully. So, constrained VMs are essentially VMs which are requesting more resources than they actually have access to. This could be running at 100 percent CPU utilization, or 100 percent memory, or storage utilization. So we could actually go in and modify these. Speaker 1: Gotcha. So these are all part of the auto remediation capabilities that are now possible? Speaker 2: Yeah. Speaker 1: What else, do you want to take reporting? Speaker 2: Yeah. Yeah, so I know reporting is a very big thing, so if we think about it, we can't rely on an administrator to constantly go into Prism. We need to provide some mechanism to allow them to get emailed reports. So what we've done is we actually autogenerate reports which can be sent via email. So we'll go ahead and add one of these sample reports which was created today. And here we can actually get specific detailed information about our cluster without actually having to go into Prism to get this. Speaker 1: And you can customize these reports and all? Speaker 2: Yep. Yeah, if we hop over here and click on our new report, we can actually see a list of views we could add to these reports, and we can mix and match and customize as needed. Speaker 1: Yeah, so that's the operational side. Now we also have new services like AFS which has been quite popular with many of you folks. We've had hundreds of customers already on it live with SMB functionality. You want to show a couple of things that is new in five-five? Speaker 2: Yeah. Yep, definitely. So ... let's wait for my screen here. So one of the key things is if we looked at that runway tab, what we saw is we had over a year's worth of storage capacity. So, what we saw is customers had the requirement for filers, they had some excess storage, so why not actually build a software featured natively into the cluster. And that's essentially what we've done with AFS. So here we can see we have our AFS cluster, and one of the key things is the ability to scale. So, this particular cluster has around 3.1 or 3.16 billion files, which are running on this AFS cluster, as well as around 3,000 active concurrent sessions. Speaker 1: So basically thousands of concurrent sessions with billions of files? Speaker 2: Yeah, and the nice thing with this is this is actually only a four node Nutanix cluster, so as the cluster actually scales, these numbers will actually scale linearly as a function of those nodes. Speaker 1: Gotcha, gotcha. There's got to be one more bullet here on this slide so what's it about? Speaker 2: Yeah so, obviously the initial use case was realistically for home folders as well as user profiles. That was a good start, but it wasn't the only thing. So what we've done is we've actually also introduced important and upcoming release of NFS. So now you can now use NFS to also interface with our [crosstalk 01:16:44]. Speaker 1: NFS coming soon with AFS by the way, it's a big deal. Big deal. So one last thing obviously, as you go operationalize it, we've talked a lot of things on features and functions but one of the cool things that's always been seminal to this company is the fact that we all for really good customer service and support experience. Right now a lot of it is around the product, the people, the support guys, and so forth. So fundamentally to the product we have found ways using Pulse to instrument everything. With Pulse HD that has been allowed for a little bit longer now. We have fine grain [inaudible 01:17:20] around everything that's being done, so if you turn on this functionality you get a lot of information now that we built, we've used when you make a phone call, or an email, and so forth. There's a ton of context now available to support you guys. What we've now done is taken that and are now externalizing it for your own consumption, so that you don't have to necessarily call support. You can log in, look at your entire profile across your own alerts, your own advisories, your own recommendations. You can look at collective intelligence now that's coming soon which is the fact that look, here are 50 other customers just like you. These are the kinds of customers that are using workloads like you, what are their configuration profiles? Through this centralized customer insights portal you going to get a lot more insight, not just about your own operations, but also how everybody else is also using it. So let's take a quick look at that upcoming functionality. Speaker 2: Yep. Absolutely. So this is our customer 360 portal, so as [inaudible 01:18:18] mentioned, as a customer I can actually log in here, I can get a high-level overview of my existing environment, my cases, the status of those cases, as well as any relevant announcements. So, here based upon my cluster version, if there's any updates which are available, I can then see that here immediately. And then one of the other things that we've added here is this insights page. So essentially this is information that previously support would leverage to essentially proactively look out to the cluster, but now we've exposed this to you as the customer. So, clicking on this insights tab we can see an overview of our environment, in this case we have three Nutanix clusters, right around 550 virtual machines, and over here what's critical is we can actually see our cases. And one of the nice things about this is these area all autogenerated by the cluster itself, so no human interaction, no manual intervention was required to actually create these alerts. The cluster itself will actually facilitate that, send it over to support, and then support can get back out to you automatically. Speaker 1: K, so look for customer insights coming soon. And obviously that's the full life cycle. One cool thing though that's always been unique to Nutanix was the fact that we had [inaudible 01:19:28] security from day one built-in. And [inaudible 01:19:31] chunk of functionality coming in five-five just around this, because every release we try to insert more and more security capabilities, and the first one is around data. What are we doing? Speaker 2: Yeah, absolutely. So previously we had support for data at rest encryption, but this did have the requirement to leverage self-encrypting drives. These can be very expensive, so what we've done, typical to our fashion is we've actually built this in natively via software. So, here within Prism Element, I can go to data at rest encryption, and then I can go and edit this configuration here. Section 8 of 13 [01:10:00 - 01:20:04] Section 9 of 13 [01:20:00 - 01:30:04] (NOTE: speaker names may be different in each section) Steve: Encryption and then I can go and edit this configuration here. From here I could add my CSR's. I can specify KMS server and leverage native software base encryption without the requirement of SED's. Sunil: Awesome. So data address encryption [inaudible 01:20:15] coming soon, five five. Now data security is only one element, the other element was around network security obviously. We've always had this request about what are we doing about networking, what are we doing about network, and our philosophy has always been simple and clear, right. It is that the problem in networking is not the data plan. Problem in networking is the control plan. As in, if a packing loss happens to the top of an ax switch, what do we do? If there's a misconfigured board, what do we do? So we've invested a lot in full blown new network visualization that we'll show you a preview of that's all new in five five, but then once you can visualize you can take action, so you can actually using our netscape API's now in five five. You can optovision re lands on the switch, you can update reps on your load balancing pools. You can update obviously rules on your firewall. And then we've taken that to the next level, which is beyond all that, just let you go to AWS right now, what do you do? You take 100 VM's, you put it in an AWS security group, boom. That's how you get micro segmentation. You don't need to buy expensive products, you don't need to virtualize your network to get micro segmentation. That's what we're doing with five five, is built in one click micro segmentation. That's part of the core product, so why don't we just quickly show that. Okay? Steve: Yeah, let's take a look. So if we think about where we've been so far, we've done the comparison test, we've done a migration over to a Nutanix. We've deployed our new HR app. We've protected it's data, now we need to protect the network's. So one of the things you'll see that's new here is this security policies. What we'll do is we'll actually go ahead and create a new security policy and we'll just say this is HR security policy. We'll specify the application type, which in this case is HR. Sunil: HR of course. Steve: Yep and we can see our app instance is automatically populated, so based upon the number of running instances of that blueprint, that would populate that drop-down. Now we'll go ahead and click next here and what we can see in the middle is essentially those three tiers that composed that app blueprint. Now one of the important things is actually figuring out what's trying to communicate with this within my existing environment. So if I take a look over here on my left hand side, I can essentially see a few things. I can see a Ha Proxy load balancer is trying to communicate with my app here, that's all good. I want to allow that. I can see some sort of monitoring service is trying to communicate with all three of the tiers. That's good as well. Now the last thing I can see here is this IP address which is trying to access my database. Now, that's not designed and that's not supposed to happen, so what we'll do is we'll actually take a look and see what it's doing. Now hopping over to this database virtual machine or the hack VM, what we can see is it's trying to perform a brute force log in attempt to my MySQL database. This is not good. We can see obviously it can connect on the socket, however, it hasn't guessed the right password. In order to lock that down, we'll go back to our policies here and we're going to click deny. Once we've done that, we'll click next and now we'll go to Apply Now. Now we can see our newly created security policy and if we hop back over to this VM, we can now see it's actually timing out and what this means is that it's not able to communicate with that database virtual machine due to micro segmentation actively blocking that request. Sunil: Gotcha and when you go back to the Prism site, essentially what we're saying now is, it's as simple as that, to set up micro segmentation now inside your existing clusters. So that's one click micro segmentation, right. Good stuff. One other thing before we let Steve walk off the stage and then go to the bathroom, but is you guys know Steve, you know he spends a lot time in the gym, you do. Right. He and I share cubes right beside each other by the way just if you ever come to San Jose Nutanix corporate headquarters, you're always welcome. Come to the fourth floor and you'll see Steve and Sunil beside each other, most of the time I'm not in the cube, most of the time he's in the gym. If you go to his cube, you'll see all kinds of stuff. Okay. It's true, it's true, but the reason why I brought this up, was Steve recently became a father, his first kid. Oh by the way this is, clicker, this is how his cube looks like by the way but he left his wife and his new born kid to come over here to show us a demo, so give him a round of applause. Thank you, sir. Steve: Cool, thanks, Sunil. That was fun. Sunil: Thank you. Okay, so lots of good stuff. Please try out five five, give us feedback as you always do. A lot of sessions, a lot of details, have fun hopefully for the rest of the day. To talk about how their using Nutanix, you know here's one of our favorite customers and partners. He normally comes with sunglasses, I've asked him that I have to be the best looking guy on stage in my keynotes, so he's going to try to reduce his charm a little bit. Please come on up, Alessandro. Thank you. Alessandro R.: I'm delighted to be here, thank you so much. Sunil: Maybe we can stand here, tell us a little bit about Leonardo. Alessandro R.: About Leonardo, Leonardo is a key actor of the aerospace defense and security systems. Helicopters, aircraft, the fancy systems, the fancy electronics, weapons unfortunately, but it's also a global actor in high technology field. The security information systems division that is the division I belong to, 3,000 people located in Italy and in UK and there's several other countries in Europe and the U.S. $1 billion dollar of revenue. It has a long a deep experience in information technology, communications, automation, logical and physical security, so we have quite a long experience to expand. I'm in charge of the security infrastructure business side. That is devoted to designing, delivering, managing, secure infrastructures services and secure by design solutions and platforms. Sunil: Gotcha. Alessandro R.: That is. Sunil: Gotcha. Some of your focus obviously in recent times has been delivering secure cloud services obviously. Alessandro R.: Yeah, obviously. Sunil: Versus traditional infrastructure, right. How did Nutanix help you in some of that? Alessandro R.: I can tell something about our recent experience about that. At the end of two thousand ... well, not so recent. Sunil: Yeah, yeah. Alessandro R.: At the end of 2014, we realized and understood that we had to move a step forward, a big step and a fast step, otherwise we would drown. At that time, our newly appointed CEO confirmed that the IT would be a core business to Leonardo and had to be developed and grow. So we decided to start our digital transformation journey and decided to do it in a structured and organized way. Having clear in mind our targets. We launched two programs. One analysis program and one deployments programs that were essentially transformation programs. We had to renew ourselves in terms of service models, in terms of organization, in terms of skills to invest upon and in terms of technologies to adopt. We were stacking a certification of technologies that adopted, companies merged in the years before and we have to move forward and to rationalize all these things. So we spent a lot of time analyzing, comparing technologies, and evaluating what would fit to us. We had two main targets. The first one to consolidate and centralize the huge amount of services and infrastructure that were spread over 52 data centers in Italy, for Leonardo itself. The second one, to update our service catalog with a bunch of cloud services, so we decided to update our data centers. One of our building block of our new data center architecture was Nutanix. We evaluated a lot, we had spent a lot of time in analysis, so that wasn't a bet, but you are quite pioneers at those times. Sunil: Yeah, you took a lot of risk right as an Italian company- Alessandro R.: At this time, my colleague used to say, "Hey, Alessandro, think it over, remember that not a CEO has ever been fired for having chose IBM." I apologize, Bob, but at that time, when Nutanix didn't run on [inaudible 01:29:27]. We have still a good bunch of [inaudible 01:29:31] in our data center, so that will be the chance to ... Audience Member: [inaudible 01:29:37] Alessandro R.: So much you must [inaudible 01:29:37] what you announced it. Sunil: So you took a risk and you got into it. Alessandro R.: Yes, we got into, we are very satisfied with the results we have reached. Sunil: Gotcha. Alessandro R.: Most of the targets we expected to fulfill have come and so we are satisfied, but that doesn't mean that we won't go on asking you a big discount ... Sunil: Sure, sure, sure, sure. Alessandro R.: On price list. Sunil: Sure, sure, so what's next in terms of I know there are some interesting stuff that you're thinking. Alessandro R.: The next- Section 9 of 13 [01:20:00 - 01:30:04] Section 10 of 13 [01:30:00 - 01:40:04] (NOTE: speaker names may be different in each section) Speaker 1: So what's next, in terms of I know you have some interesting stuff that you're thinking of. Speaker 2: The next, we have to move forward obviously. The name Leonardo is inspired to Leonardo da Vinci, it was a guy that in terms of innovation and technology innovation had some good ideas. And so, I think, that Leonardo with Nutanix could go on in following an innovation target and following really mutual ... Speaker 1: Partnership. Speaker 2: Useful partnership, yes. We surely want to investigate the micro segmentation technologies you showed a minute ago because we have some looking, particularly by the economical point of view ... Speaker 1: Yeah, the costs and expenses. Speaker 2: And we have to give an alternative to the technology we are using. We want to use more intensively AHV, again as an alternative solution we are using. We are selecting a couple of services, a couple of quite big projects to build using AHV talking of Calm we are very eager to understand the announcement that they are going to show to all of us because the solution we are currently using is quite[crosstalk 01:31:30] Speaker 1: Complicated. Speaker 2: Complicated, yeah. To move a step of automation to elaborate and implement[inaudible 01:31:36] you spend 500 hours of manual activities that's nonsense so ... Speaker 1: Manual automation. Speaker 2: (laughs) Yes, and in the end we are very interested also in the prism features, mostly the new features that you ... Speaker 1: Talked about. Speaker 2: You showed yesterday in the preview because one bit of benefit that we received from the solution in the operations field means a bit plus, plus to our customer and a distinctive plus to our customs so we are very interested in that ... Speaker 1: Gotcha, gotcha. Thanks for taking the risk, thanks for being a customer and partner. Speaker 2: It has been a pleasure. Speaker 1: Appreciate it. Speaker 2: Bless you, bless you. Speaker 1: Thank you. So, you know obviously one OS, one click was one of our core things, as you can see the tagline doesn't stop there, it also says "any cloud". So, that's the rest of the presentation right now it's about; what are we doing, to now fulfill on that mission of one OS, one cloud, one click with one support experience across any cloud right? And there you know, we talked about Calm. Calm is not only just an operational experience for your private cloud but as you can see it's a one-click experience where you can actually up level your apps, set up blueprints, put SLA's and policies, push them down to either your AWS, GCP all your [inaudible 01:33:00] environments and then on day one while you can do one click provisioning, day two and so forth you will see new and new capabilities such as, one-click migration and mobility seeping into the product. Because, that's the end game for Calm, is to actually be your cloud autonomy platform right? So, you can choose the right cloud for the right workload. And talk about how they're building a multi cloud architecture using Nutanix and partnership a great pleasure to introduce my other good Italian friend Daniele, come up on stage please. From Telecom Italia Sparkle. How are you sir? Daniele: Not too bad thank you. Speaker 1: You want an espresso, cappuccino? Daniele: No, no later. Speaker 1: You all good? Okay, tell us a little about Sparkle. Daniele: Yeah, Sparkle is a fully owned subsidy of Telecom Italia group. Speaker 1: Mm-hmm (affirmative) Daniele: Spinned off in 2003 with the mission to develop the wholesale and multinational corporate and enterprise business abroad. Huge network, as you can see, hundreds of thousands of kilometers of fiber optics spread between; south east Asia to Europe to the U.S. Most of it proprietary part of it realized on some running cables. Part of them proprietary part of them bilateral part of them[inaudible 01:34:21] with other operators. 37 countries in which we have offices in the world, 700 employees, lean and clean company ... Speaker 1: Wow, just 700 employees for all of this. Daniele: Yep, 1.4 billion revenues per year more or less. Speaker 1: Wow, are you a public company? Daniele: No, fully owned by TIM so far. Speaker 1: So, what is your experience with Nutanix so far? Daniele: Well, in a way similar to what Alessandro was describing. To operate such a huge network as you can see before, and to keep on bringing revenues for the wholesale market, while trying to turn the bar toward the enterprise in a serious way. Couple of years ago the management team realized that we had to go through a serious transformation, not just technological but in terms of the way we build the services to our customers. In terms of how we let our customer feel the Sparkle experience. So, we are moving towards cloud but we are moving towards cloud with connectivity attached to it because it's in our cord as a provider of Telecom services. The paradigm that is driving today is the on-demand, is the dynamic and in order to get these things we need to move to software. Most of the network must become invisible as the Nutanix way. So, we decided instead of creating patchworks onto our existing systems, infrastructure, OSS, BSS and network systems, to build a new data center from scratch. And the paradigm being this new data center, the mantra was; everything is software designed, everything must be easy to manage, performance capacity planning, everything must be predictable and everything to be managed by few people. Nutanix is at the moment the baseline of this data center for what concern, let's say all the new networking tools, meaning as the end controllers that are taking care of automation and programmability of the network. Lifecycle service orchestrator, network orchestrator, cloud automation and brokerage platform and everything at the moment runs on AHV because we are forcing our vendors to certify their application on AHV. The only stack that is not at the moment AHV based is on a specific cloud platform because there we were really looking for the multi[inaudible 01:37:05]things that you are announcing today. So, we hope to do the migration as soon as possible. Speaker 1: Gotcha, gotcha. And then looking forward you're going to build out some more data center space, expose these services Daniele: Yeah. Speaker 1: For the customers as well as your internal[crosstalk 01:37:21] Daniele: Yeah, basically yes for sure we are going to consolidate, to invest more in the data centers in the markets on where we are leader. Italy, Turkey and Greece we are big data centers for [inaudible 01:37:33] and cloud, but we believe that the cloud with all the issues discussed this morning by Diraj, that our locality, customer proximity ... we think as a global player having more than 120 pops all over the world, which becomes more than 1000 in partnerships, that the pop can easily be transformed in a data center, so that we want to push the customer experience of what we develop in our main data centers closer to them. So, that we can combine traditional infrastructure as a service with the new connectivity services every single[inaudible 01:38:18] possibly everything running. Speaker 1: I mean, it makes sense, I mean I think essentially in some ways to summarize it's the example of an edge cloud where you're pushing a micro-cloud closer to the customers edge. Daniele: Absolutely. Speaker 1: Great stuff man, thank you so much, thank you so much. Daniele: Pleasure, pleasure. Thank you. Speaker 1: So, you know a couple of other things before we get in the next demo is the fact that in addition to Calm from multi-cloud management we have Zai, we talked about for extended enterprise capabilities and something for you guys to quickly understand why we have done this. In a very simple way is if you think about your enterprise data center, clearly you have a bunch of apps there, a bunch of public clouds and when you look at the paradigm you currently deploy traditional apps, we call them mode one apps, SAP, Exchange and so forth on your enterprise. Then you have next generation apps whether it be [inaudible 01:39:11] space, whether it be Doob or whatever you want to call it, lets call them mode two apps right? And when you look at these two types of apps, which are the predominant set, most enterprises have a combination of mode one and mode two apps, most public clouds primarily are focused, initially these days on mode two apps right? And when people talk about app mobility, when people talk about cloud migration, they talk about lift and shift, forklift [inaudible 01:39:41]. And that's a hard problem I mean, it's happening but it's a hard problem and ends up that its just not a one time thing. Once you've forklift, once you move you have different tooling, different operation support experience, different stacks. What if for some of your applications that mattered ... Section 10 of 13 [01:30:00 - 01:40:04] Section 11 of 13 [01:40:00 - 01:50:04] (NOTE: speaker names may be different in each section) Speaker 1: What if, for some of your applications that matter to you, that are your core enterprise apps that you can retain the same toolimg, the same operational experience and so forth. And that is what we achieve to do with Xi. It is truly making hybrid invisible, which is a next act for this company. It'll take us a few years to really fulfill the vision here, but the idea here is that you shouldn't think about public cloud as a different silo. You should think of it as an extension of your enterprise data centers. And for any services such as DR, whether it would be dev test, whether it be back-up, and so-forth. You can use the same tooling, same experience, get a public cloud-like capability without lift and shift, right? So it's making this lift and shift invisible by, soft of, homogenizing the data plan, the network plan, the control plan is what we really want to do with Xi. Okay? And we'll show you some more details here. But the simplest way to understand this is, think of it as the iPhone, right? D has mentioned this a little bit. This is how we built this experience. Views IOS as the core, IP, we wrap it up with a great package called the iPhone. But then, a few years into the iPhone era, came iTunes and iCloud. There's no apps, per se. That's fused into IOS. And similarly, think about Xi that way. The more you move VMs, into an internet-x environment, stuff like DR comes burnt into the fabric. And to give us a sneak peek into a bunch of the com and Xi cable days, let me bring back Binny who's always a popular guys on stage. Come on up, Binny. I'd be surprised in Binny untucked his shirt. He's always tucking in his shirt. Binny Gill: Okay, yeah. Let's go. Speaker 1: So first thing is com. And to show how we can actually deploy apps, not just across private and public clouds, but across multiple public clouds as well. Right? Binny Gill: Yeah, basically, you know com is about simplifying the disparity between various public clouds out there. So it's very important for us to be able to take one application blueprint and then quickly deploy in whatever cloud of your choice. Without understanding how one cloud is different. Speaker 1: Yeah, that's the goal. Binny Gill: So here, if you can see, I have market list. And by the way, this market list is a great partner community interest. And every single sort of apps come up here. Let me take a sample app here, Hadoop. And click launch. And now where do you want me to deploy? Speaker 1: Let's start at GCP. Binny Gill: GCP, okay. So I click on GCP, and let me give it a name. Hadoop. GCP. Say 30, right. Clear. So this is one click deployment of anything from our marketplace on to a cloud of your choice. Right now, what the system is doing, is taking the intent-filled description of what the application should look like. Not just the infrastructure level but also within the merchant machines. And it's creating a set of work flows that it needs to go deploy. So as you can see, while we were talking, it's loading the application. Making sure that the provisioning workflows are all set up. Speaker 1: And so this is actually, in real time it's actually extracting out some of the GCP requirements. It's actually talking to GCP. Setting up the constructs so that we can actually push it up on the GCP personally. Binny Gill: Right. So it takes a couple of minutes. It'll provision. Let me go back and show you. Say you worked with deploying AWS. So you Hadoop. Hit address. And that's it. So again, the same work flow. Speaker 1: Same process, I see. Binny Gill: It's going to now deploy in AWS. Speaker 1: See one of the keys things is that we actually extracted out all the isms of each of these clouds into this logical substrate. Binny Gill: Yep. Speaker 1: That you can now piggy-back off of. Binny Gill: Absolutely. And it makes it extremely simple for the average consumer. And you know we like more cloud support here over time. Speaker 1: Sounds good. Binny Gill: Now let me go back and show you an app that I had already deployed. Now 13 days ago. It's on GCP. And essentially what I want to show you is what is the view of the application. Firstly, it shows you the cost summary. Hourly, daily, and how the cost is going to look like. The other is how you manage it. So you know one click ways of upgrading, scaling out, starting, deleting, and so on. Speaker 1: So common actions, but independent of the type of clouds. Binny Gill: Independent. And also you can act with these actions over time. Right? Then services. It's learning two services, Hadoop slave and Hadoop master. Hadoop slave runs fast right now. And auditing. It shows you what are the important actions you've taken on this app. Not just, for example, on the IS front. This is, you know how the VMs were created. But also if you scroll down, you know how the application was deployed and brought up. You know the slaves have to discover each other, and so on. Speaker 1: Yeah got you. So find game invisibility into whatever you were doing with clouds because that's been one of the complaints in general. Is that the cloud abstractions have been pretty high level. Binny Gill: Yeah. Speaker 1: Yeah. Binny Gill: Yeah. So that's how we make the differences between the public clouds. All go away for the Indias of ... Speaker 1: Got you. So why don't we now give folks ... Now a lot of this stuff is coming in five, five so you'll see that pretty soon. You'll get your hands around it with AWS and tree support and so forth. What we wanted to show you was emerging alpha version that is being baked. So is a real production code for Xi. And why don't we just jump right in to it. Because we're running short of time. Binny Gill: Yep. Speaker 1: Give folks a flavor for what the production level code is already being baked around. Binny Gill: Right. So the idea of the design is make sure it's not ... the public cloud is no longer any different from your private cloud. It's a true seamless extension of your private cloud. Here I have my test environment. As you can see I'm running the HR app. It has the DB tier and the Web tier. Yeah. Alright? And the DB tier is running Oracle DB. Employee payroll is the Web tier. And if you look at the availability zones that I have, this is my data center. Now I want to protect this application, right? From disaster. What do I do? I need another data center. Speaker 1: Sure. Binny Gill: Right? With Xi, what we are doing is ... You go here and click on Xi Cloud Services. Speaker 1: And essentially as the slide says, you are adding AZs with one click. Binny Gill: Yeps so this is what I'm going to do. Essentially, you log in using your existing my.nutanix.com credentials. So here I'm going to use my guest credentials and log in. Now while I'm logging in what's happening is we are creating a seamless network between the two sides. And then making the Xi cloud availability zone appear. As if it was my own. Right? Speaker 1: Gotcha. Binny Gill: So in a couple of seconds what you'll notice this list is here now I don't have just one availability zone, but another one appears. Speaker 1: So you have essentially, real time now, paid a one data center doing an availability zone. Binny Gill: Yep. Speaker 1: Cool. Okay. Let's see what else we can do. Binny Gill: So now you think about VR setup. Now I'm armed with another data center, let's do DR Center. Now DR set-up is going to be extremely simple. Speaker 1: Okay but it's also based because on the fact that it is the same stack on both sides. Right? Binny Gill: It's the same stack on both sides. We have a secure network lane connecting the two sides, on top of the secure network plane. Now data can flow back and forth. So now applications can go back and forth, securely. Speaker 1: Gotcha, okay. Let's look at one-click DR. Binny Gill: So for one-click DR set-up. A couple of things we need to know. One is a protection rule. This is the RPO, where does it apply to? Right? And the connection of the replication. The other one is recovery plans, in case disaster happens. You know, how do I bring up my machines and application work-order and so on. So let me first show you, Protection Rule. Right? So here's the protection rule. I'll create one right now. Let me call it Platinum. Alright, and source is my own data center. Destination, you know Xi appears now. Recovery point objective, so maybe in a one hour these snapshots going to the public cloud. I want to retain three in the public side, three locally. And now I select what are the entities that I want to protect. Now instead of giving VMs my name, what I can do is app type employee payroll, app type article database. It covers both the categories of the application tiers that I have. And save. Speaker 1: So one of the things here, by the way I don't know if you guys have noticed this, more and more of Nutanix's constructs are being eliminated to become app-centric. Of course is VM centric. And essentially what that allows one to do is to create that as the new service-level API/abstraction. So that under the cover over a period of time, you may be VMs today, maybe containers tomorrow. Or functions, the day after. Binny Gill: Yep. What I just did was all that needs to be done to set up replication from your own data center to Xi. So we started off with no data center to actually replication happening. Speaker 1: Gotcha. Binny Gill: Okay? Speaker 1: No, no. You want to set up some recovery plans? Binny Gill: Yeah so now set up recovery plan. Recovery plans are going to be extremely simple. You select a bunch of VMs or apps, and then there you can say what are the scripts you want to run. What order in which you want to boot things. And you know, you can set up access these things with one click monthly or weekly and so on. Speaker 1: Gotcha. And that sets up the IPs as well as subnets and everything. Binny Gill: So you have the option. You can maintain the same IPs on frame as the move to Xi. Or you can make them- Speaker 1: Remember, you can maintain your own IPs when you actually use the Xi service. There was a lot of things getting done to actually accommodate that capability. Binny Gill: Yeah. Speaker 1: So let's take a look at some of- Binny Gill: You know, the same thing as VPC, for example. Speaker 1: Yeah. Binny Gill: You need to possess on Xi. So, let's create a recovery plan. A recovery plan you select the destination. Where does the recovery happen. Now, after that Section 11 of 13 [01:40:00 - 01:50:04] Section 12 of 13 [01:50:00 - 02:00:04] (NOTE: speaker names may be different in each section) Speaker 1: ... does the recovery happen. Now, after that you have to think of what is the runbook that you want to run when disaster happens, right? So you're preparing for that, so let me call "HR App Recovery." The next thing is the first stage. We're doing the first stage, let me add some entities by categories. I want to bring up my database first, right? Let's click on the database and that's it. Speaker 2: So essentially, you're building the script now. Speaker 1: Building the script- Speaker 2: ... on the [inaudible 01:50:30] Speaker 1: ... but in a visual way. It's simple for folks to understand. You can add custom script, add delay and so on. Let me add another stage and this stage is about bringing up the web tier after the database is up. Speaker 2: So basically, bring up the database first, then bring up the web tier, et cetera, et cetera, right? Speaker 1: That's it. I've created a recovery plan. I mean usually it's complicated stuff, but we made it extremely simple. Now if you click on "Recovery Points," these are snapshots. Snapshots of your applications. As you can see, already the system has taken three snapshots in response to the protection rule that we had created just a couple minutes ago. And these are now being seeded to Xi data centers. Of course this takes time for seeding, so what I have is a setup already and that's the production environment. I'll cut over to that. This is my production environment. Click "Explore," now you see the same application running in production and I have a few other VMs that are not protected. Let's go to "Recovery Points." It has been running for sometime, these recover points are there and they have been replicated to Xi. Speaker 2: So let's do the failover then. Speaker 1: Yeah, so to failover, you'll have to go to Xi so let me login to Xi. This time I'll use my production account for logging into Xi. I'm logging in. The first thing that you'll see in Xi is a dashboard that gives you a quick summary of what your DR testing has been so far, if there are any issues with the replication that you have and most importantly the monthly charges. So right now I've spent with my own credit card about close to 1,000 bucks. You'll have to refund it quickly. Speaker 2: It depends. If the- Speaker 1: If this works- Speaker 2: IF the demo works. Speaker 1: Yeah, if it works, okay. As you see, there are no VMs right now here. If I go to the recovery points, they are there. I can click on the recovery plan that I had created and let's see how hard it's going to be. I click "Failover." It says three entities that, based on the snapshots, it knows that it can recovery from source to destination, which is Xi. And one click for the failover. Now we'll see what happens. Speaker 2: So this is essentially failing over my production now. Speaker 1: Failing over your production now. [crosstalk 01:52:53] If you click on the "HR App Recovery," here you see now it started the recovery plan. The simple recovery plan that we had created, it actually gets converted to a series of tasks that the system has to do. Each VM has to be hydrated, powered on in the right order and so on and so forth. You don't have to worry about any of that. You can keep an eye on it. But in the meantime, let's talk about something else. We are doing failover, but after you failover, you run in Xi as if it was your own setup and environment. Maybe I want to create a new VM. I create a VM and I want to maybe extend my HR app's web tier. Let me name it as "HR_Web_3." It's going to boot from that disk. Production network, I want to run it on production network. We have production and test categories. This one, I want to give it employee payroll category. Now it applies the same policies as it's peers will. Here, I'm going to create the VM. As you can see, I can already see some VMs coming up. There you go. So three VMs from on-prem are now being filled over here while the fourth VM that I created is already being powered. Speaker 2: So this is basically realtime, one-click failover, while you're using Xi for your [inaudible 01:54:13] operations as well. Speaker 1: Exactly. Speaker 2: Wow. Okay. Good stuff. What about- Speaker 1: Let me add here. As the other cloud vendors, they'll ask you to make your apps ready for their clouds. Well we tell our engineers is make our cloud ready for your apps. So as you can see, this failover is working. Speaker 2: So what about failback? Speaker 1: All of them are up and you can see the protection rule "platinum" has been applied to all four. Now let's look at this recovery plan points "HR_Web_3" right here, it's already there. Now assume the on-prem was already up. Let's go back to on-prem- Speaker 2: So now the scenario is, while Binny's coming up, is that the on-prem has come back up and we're going to do live migration back as in a failback scenario between the data centers. Speaker 1: And how hard is it going to be. "HR App Recovery" the same "HR App Recovery", I click failover and the system is smart enough to understand the direction is reversed. It's also smart enough to figure out "Hey, there are now the four VMs are there instead of three." Xi to on-prem, one-click failover again. Speaker 2: And it's rerunning obviously the same runbook but in- Speaker 1: Same runbook but the details are different. But it's hidden from the customer. Let me go to the VMs view and do something interesting here. I'll group them by availability zone. Here you go. As you can see, this is a hybrid cloud view. Same management plane for both sides public and private. There are two availability zones, the Xi availability zone is in the cloud- Speaker 2: So essentially you're moving from the top- Speaker 1: Yeah, top- Speaker 2: ... to the bottom. Speaker 1: ... to the bottom. Speaker 2: That's happening in the background. While this is happening, let me take the time to go and look at billing in Xi. Speaker 1: Sure, some of the common operations that you can now see in a hybrid view. Speaker 2: So you go to "Billing" here and first let me look at my account. And account is a simple page, I have set up active directory and you can add your own XML file, upload it. You can also add multi-factor authentication, all those things are simple. On the billing side, you can see more details about how did I rack up $966. Here's my credit card. Detailed description of where the cost is coming from. I can also download previous versions, builds. Speaker 1: It's actually Nutanix as a service essentially, right? Speaker 2: Yep. Speaker 1: As a subscription service. Speaker 2: Not only do we go to on-prem as you can see, while we were talking, two VMs have already come back on-prem. They are powered off right now. The other two are on the wire. Oh, there they are. Speaker 1: Wow. Speaker 2: So now four VMs are there. Speaker 1: Okay. Perfect. Sometimes it works, sometimes it doesn't work, but it's good. Speaker 2: It always works. Speaker 1: Always works. All right. Speaker 2: As you can see the platinum protection rule is now already applied to them and now it has reversed the direction of [inaudible 01:57:12]- Speaker 1: Remember, we showed one-click DR, failover, failback, built into the product when Xi ships to any Nutanix fabric. You can start with DSX on premise, obviously when you failover to Xi. You can start with AHV, things that are going to take the same paradigm of one-click operations into this hybrid view. Speaker 2: Let's stop doing lift and shift. The era has come for click and shift. Speaker 1: Binny's now been promoted to the Chief Marketing Officer, too by the way. Right? So, one more thing. Speaker 2: Okay. Speaker 1: You know we don't stop any conferences without a couple of things that are new. The first one is something that we should have done, I guess, a couple of years ago. Speaker 2: It depends how you look at it. Essentially, if you look at the cloud vendors, one of the key things they have done is they've built services as building blocks for the apps that run on top of them. What we have done at Nutanix, we've built core services like block services, file services, now with Calm, a marketplace. Now if you look at [inaudible 01:58:14] applications, one of the core building pieces is the object store. I'm happy to announce that we have the object store service coming up. Again, in true Nutanix fashion, it's going to be elastic. Speaker 1: Let's- Speaker 2: Let me show you. Speaker 1: Yeah, let's show it. It's something that is an object store service by the way that's not just for your primary, but for your secondary. It's obviously not just for on-prem, it's hybrid. So this is being built as a next gen object service, as an extension of the core fabric, but accommodating a bunch of these new paradigms. Speaker 2: Here is the object browser. I've created a bunch of buckets here. Again, object stores can be used in various ways: as primary object store, or for secondary use cases. I'll show you both. I'll show you a Hadoop use case where Hadoop is using this as a primary store and a backup use case. Let's just jump right in. This is a Hadoop bucket. AS you can see, there's a temp directory, there's nothing interesting there. Let me go to my Hadoop VM. There it is. And let me run a Hadoop job. So this Hadoop job essentially is going to create a bunch of files, write them out and after that do map radius on top. Let's wait for the job to start. It's running now. If we go back to the object store, refresh the page, now you see it's writing from benchmarks. Directory, there's a bunch of files that will write here over time. This is going to take time. Let's not wait for it, but essentially, it is showing Hadoop that uses AWS 3 compatible API, that can run with our object store because our object store exposes AWS 3 compatible APIs. The other use case is the HYCU backup. As you can see, that's a- Section 12 of 13 [01:50:00 - 02:00:04] Section 13 of 13 [02:00:00 - 02:13:42] (NOTE: speaker names may be different in each section) Vineet: This is the hycu back up ... As you can see, that's a back-up software that can back-up WSS3. If you point it to Nutanix objects or it can back-up there as well. There are a bunch of back-up files in there. Now, object stores, it's very important for us to be able to view what's going on there and make sure there's no objects sprawled because once it's easy to write objects, you just accumulate a lot of them. So what we wanted to do, in true Nutanix style, is give you a quick overview of what's happening with your object store. So here, as you can see, you can look at the buckets, where the load is, you can look at the bucket sizes, where the data is, and also what kind of data is there. Now this is a dashboard that you can optimize, and customize, for yourself as well, right? So that's the object store. Then we go back here, and I have one more thing for you as well. Speaker 2: Okay. Sounds good. I already clicked through a slide, by the way, by mistake, but keep going. Vineet: That's okay. That's okay. It is actually a quiz, so it's good for people- Speaker 2: Okay. Sounds good. Vineet: It's good for people to have some clues. So the quiz is, how big is my SAP HANA VM, right? I have to show it to you before you can answer so you don't leak the question. Okay. So here it is. So the SAP HANA VM here vCPU is 96. Pretty beefy. Memory is 1.5 terabytes. The question to all of you is, what's different in this screen? Speaker 2: Who's a real Prism user here, by the way? Come on, it's got to be at least a few. Those guys. Let's see if they'll notice something. Vineet: What's different here? Speaker 3: There's zero CVM. Vineet: Zero CVM. Speaker 2: That's right. Yeah. Yeah, go ahead. Vineet: So, essentially, in the Nutanix fabric, every server has to run a [inaudible 02:01:48] machine, right? That's where the storage comes from. I am happy to announce the Acropolis Compute Cloud, where you will be able to run the HV on servers that are storage-less, and add it to your existing cluster. So it's a compute cloud that now can be managed from Prism Central, and that way you can preserve your investments on your existing server farms, and add them to the Nutanix fabric. Speaker 2: Gotcha. So, essentially ... I mean, essentially, imagine, now that you have the equivalent of S3 and EC2 for the enterprise now on Premisis, like you have the equivalent compute and storage services on JCP and AWS, and so forth, right? So the full flexibility for any kind of workload is now surely being available on the same Nutanix fabric. Thanks a lot, Vineet. Before we wrap up, I'd sort of like to bring this home. We've announced a pretty strategic partnership with someone that has always inspired us for many years. In fact, one would argue that the genesis of Nutanix actually was inspired by Google and to talk more about what we're actually doing here because we've spent a lot of time now in the last few months to really get into the product capabilities. You're going to see some upcoming capabilities and 55X release time frame. To talk more about that stuff as well as some of the long-term synergies, let me invite Bill onstage. C'mon up Bill. Tell us a little bit about Google's view in the cloud. Bill: First of all, I want to compliment the demo people and what you did. Phenomenal work that you're doing to make very complex things look really simple. I actually started several years ago as a product manager in high availability and disaster recovery and I remember, as a product manager, my engineers coming to me and saying "we have a shortage of our engineers and we want you to write the fail-over routines for the SAP instance that we're supporting." And so here's the PERL handbook, you know, I haven't written in PERL yet, go and do all that work to include all the network setup and all that work, that's amazing, what you are doing right there and I think that's the spirit of the partnership that we have. From a Google perspective, obviously what we believe is that it's time now to harness the power of scale security and these innovations that are coming out. At Google we've spent a lot of time in trying to solve these really large problems at scale and a lot of the technology that's been inserted into the industry right now. Things like MapReduce, things like TenserFlow algorithms for AI and things like Kubernetes and Docker were first invented at Google to solve problems because we had to do it to be able to support the business we have. You think about search, alright? When you type in search terms within the search box, you see a white screen, what I see is all the data-center work that's happening behind that and the MapReduction to be able to give you a search result back in seconds. Think about that work, think about that process. Taking and pursing those search terms, dividing that over thousands of [inaudible 02:05:01], being able to then search segments of the index of the internet and to be able to intelligent reduce that to be able to get you an answer within seconds that is prioritized, that is sorted. How many of you, out there, have to go to page two and page three to get the results you want, today? You don't because of the power of that technology. We think it's time to bring that to the consumer of the data center enterprise space and that's what we're doing at Google. Speaker 2: Gotcha, man. So I know we've done a lot of things now over the last year worth of collaboration. Why don't we spend a few minutes talking through a couple things that we're started on, starting with [inaudible 02:05:36] going into com and then we'll talk a little bit about XI. Bill: I think one of the advantages here, as we start to move up the stack and virtualize things to your point, right, is virtual machines and the work required of that still takes a fair amount of effort of which you're doing a lot to reduce, right, you're making that a lot simpler and seamless across both On-Prem and the cloud. The next step in the journey is to really leverage the power of containers. Lightweight objects that allow you to be able to head and surface functionality without being dependent upon the operating system or the VM to be able to do that work. And then having the orchestration layer to be able to run that in the context of cloud and On-Prem We've been very successful in building out the Kubernetes and Docker infrastructure for everyone to use. The challenge that you're solving is how to we actually bridge the gap. How do we actually make that work seamlessly between the On-Premise world and the cloud and that's where our partnership, I think, is so valuable. It's cuz you're bringing the secret sauce to be able to make that happen. Speaker 2: Gotcha, gotcha. One last thing. We talked about Xi and the two companies are working really closely where, essentially the Nutanix fabric can seamlessly seep into every Google platform as infrastructure worldwide. Xi, as a service, could be delivered natively with GCP, leading to some additional benefits, right? Bill: Absolutely. I think, first and foremost, the infrastructure we're building at scale opens up all sorts of possibilities. I'll just use, maybe, two examples. The first one is network. If you think about building out a global network, there's a lot of effort to do that. Google is doing that as a byproduct of serving our consumers. So, if you think about YouTube, if you think about there's approximately a billion hours of YouTube that's watched every single day. If you think about search, we have approximately two trillion searches done in a year and if you think about the number of containers that we run in a given week, we run about two billion containers per week. So the advantage of being able to move these workloads through Xi in a disaster recovery scenario first is that you get to take advantage of the scale. Secondly, it's because of the network that we've built out, we had to push the network out to the edge. So every single one of our consumers are using YouTube and search and Google Play and all those services, by the way we have over eight services today that have more than a billion simultaneous users, you get to take advantage of that network capacity and capability just by moving to the cloud. And then the last piece, which is a real advantage, we believe, is that it's not just about the workloads you're moving but it's about getting access to new services that cloud preventers, like Google, provide. For example, are you taking advantage like the next generation Hadoop, which is our big query capability? Are you taking advantage of the artificial intelligence derivative APIs that we have around, the video API, the image API, the speech-to-text API, mapping technology, all those additional capabilities are now exposed to you in the availability of Google cloud that you can now leverage directly from systems that are failing over and systems that running in our combined environment. Speaker 2: A true converged fabric across public and private. Bill: Absolutely. Speaker 2: Great stuff Bill. Thank you, sir. Bill: Thank you, appreciate it. Speaker 2: Good to have you. So, the last few slides. You know we've talked about, obviously One OS, One Click and eCloud. At the end of the day, it's pretty obvious that we're evaluating the move from a form factor perspective, where it's not just an OS across multiple platforms but it's also being distributed genuinely from consuming itself as an appliance to a software form factor, to subscription form factor. What you saw today, obviously, is the fact that, look you know we're still continuing, the velocity has not slowed down. In fact, in some cases it's accelerated. If you ask my quality guys, if you ask some of our customers, we're coming out fast and furious with a lot of these capabilities. And some of this directly reflects, not just in features, but also in performance, just like a public cloud, where our performance curve is going up while our price-performance curve is being more attractive over a period of time. And this is balancing it with quality, it is what differentiates great companies from good companies, right? So when you look at the number of nodes that have been shipping, it was around ten more nodes than where we were a few years ago. But, if you look at the number of customer-found defects, as a percentage of number of nodes shipped it is not only stabilized, it has actually been coming down. And that's directly reflected in the NPS part. That most of you guys love. How many of you guys love your Customer Support engineers? Give them a round of applause. Great support. So this balance of velocity, plus quality, is what differentiates a company. And, before we call it a wrap, I just want to leave you with one thing. You know, obviously, we've talked a lot about technology, innovation, inspiration, and so forth. But, as I mentioned, from last night's discussion with Sir Ranulph, let's think about a few things tonight. Don't take technology too seriously. I'll give you a simple story that he shared with me, that puts things into perspective. The year was 1971. He had come back from Aman, from his service. He was figuring out what to do. This was before he became a world-class explorer. 1971, he had a job interview, came down from Scotland and applied for a role in a movie. And he failed that job interview. But he was selected from thousands of applicants, came down to a short list, he was a ... that's a hint ... he was a good looking guy and he lost out that role. And the reason why I say this is, if he had gotten that job, first of all I wouldn't have met him, but most importantly the world wouldn't have had an explorer like him. The guy that he lost out to was Roger Moore and the role was for James Bond. And so, when you go out tonight, enjoy with your friends [inaudible 02:12:06] or otherwise, try to take life a little bit once upon a time or more than once upon a time. Have fun guys, thank you. Speaker 5: Ladies and gentlemen please make your way to the coffee break, your breakout sessions will begin shortly. Don't forget about the women's lunch today, everyone is welcome. Please join us. You can find the details in the mobile app. Please share your feedback on all sessions in the mobile app. There will be prizes. We will see you back here and 5:30, doors will open at 5, after your last breakout session. Breakout sessions will start sharply at 11:10. Thank you and have a great day. Section 13 of 13 [02:00:00 - 02:13:42]

>> Narrator: Live from Nice, France, it's theCUBE, covering .NEXT Conference 2017 Europe, brought to you by Nutanix. (upbeat music) >> Welcome back. I'm Stu Miniman and you're watching theCUBE's live coverage of Nutanix .NEXT here in Nice. Happy to welcome back to the program Sunil Potti. Fresh off the keynote here, 2200 in attendance here at the second annual European show. Sunil is the chief product and development officer, and Sunil, your team's been busy. >> Yes. >> Product development-- >> Sunil: I hope so. >> 5.5, ton of new features in development, a lot of things going on. So let's step back for a second though, and it's a year after the IPO, I watched The Wall Street guys, they're always like, "Wait, are they boxes, or are they software, "are they infrastructure, are they cloud?" You know, you kind of step back, it's, I liked it, it was, "simplicity takes real genius," and then you're like, to try to appeal to the European cloud, it was "more tea, less clicks." So what's the kind of, as people think of Nutanix, when do we think of you, why do we think of you? >> Gotcha, gotcha. Yeah, I think there's a bunch of moving parts there, but I think our core thesis hasn't changed from where it was pre-IPO, post-IPO, multiple conferences. I think the core thesis as you know, Stu, is that we fundamentally think folks talk about hybrid cloud. Hybrid cloud, the first step is we know public clouds exist, true private clouds haven't been built yet. And they have to be first standardized, commoditized, and then harmonized with the public clouds, right? So I think, from our perspective, the core thesis is the fact that, if you can bottle up the AWS or GCP experience and funnel it inside the data center, there'll be a ton of workloads that stay inside. But with the right experience, for the right cost, right? >> Yeah. >> And essentially, that journey hasn't wavered from our perspective, right? So we're still on that. >> Yeah, absolutely, at Wikibon, we said, you know, cloud isn't a destination, it's really more of an operational model. >> Sunil: Sure, sure. >> So, if we can capture that, as you say, true private cloud, we said, we're starting to get there, and we actually credit Nutanix. So you know, of course, the messaging of enterprise cloud was probably a little bit aspirational-- >> Sure, sure. >> At the beginning, but you're filling in the pieces, you've got the partnerships, you've got the products rolling out, so, let's talk about your bread and butter. You know, what's new, what's launching now, I like that you're as a software company, you show a little bit more. Here's when we test some things out, it's that balance of, for the enterprise it's like, "Wait, is this going to work the way I think it is?" You put stuff out like the community edition first, let people play with it and then you GA it-- >> I think we talked a little bit about it and essentially, rather than me list out a whole series of functionality, I think the way we are also looking at it as well as building it, as well as rolling it out is in the form of what a customer can consume. So we are investing at Nutanix, like, capabilities that cross the life cycle, right? So we're investing and ensuring that communication gets a lot more emphasis because we think this paradigm of one-click data centers is something that people need the ubiquity to kind of play around with, right? So you see community relation from a learning side, then we're looking for capabilities for people to actually say and compare, "Look, Nutanix is one architecture, "we experienced another architecture, "three tiers in other architecture, "maybe public cloud." At some point in time people need the flexibility to actually have in the old world of TPC benchmarks the new world of what I would call production world benchmarks so we had a whole bunch of tools such as X-Ray coming out, then rather than leave it to professional services and so forth, rather than just worry about reducing the number of clicks once you have Nutanix, even before you get to Nutanix, how do you reduce the number of clicks? You get to Nutanix, right? That's where Xtract, which is a very popular tool from us again, that has been shipping for a month, for now, where you can actually click at a certain VM environment, at a certain database environment, and essentially, literally, without a whole bunch of lift and shift move into a private cloud environment, right? >> And my understanding, Xtract is, I could take my VMs really from VM environment to an AHV environment-- >> That's correct. And it also works on databases as well, like SQL databases, and so forth, right? >> Yeah, absolutely, that migration is something that, you know, it's like a four letter word for most people in IT. One of the things that we were early on kind of beating the drum on, is traditional three-tier architecture with the storage, your migration cost was at least 30% of the total cost of ownership because you had to bring data on, eventually you had to take data off, as opposed to, if you really have more like a pool, which is what HCI does, you know, that first, once I get on to it, that's the last time you need to do a migration because now I can move and add, remove, it knows, and we just kind of manage it there. Absolutely the other company I hear talking a lot about this thing is Amazon. You know, they've been working on database migration lots of companies, changing away their environment, and it's something that customers are looking for. >> Yeah, and it's almost like, for us with the public cloud at least you have a genuine sort of big hop in lift and shift, just because of the boundaries. It's a shame if we can't solve that problem without what we call make lift and shift invisible inside the data center at least so that's why we invest in things like Xtract so that people can, look, we're still less than one percent of the market so we expect a whole lot of migration to happen over the next few years. So anything that we can do to kind of accelerate customers to the point of ensuring that their architectural integrity is preserved in terms of environment I think it's a big focus for us. So you're going to see as emphasize Xtract not just for there for VM's or databases to Nutanix on pRAM. We're also going to see that as a fundamental construct for app mobility because imagine Calm as a construct that you're able to go in, proficient work loads and it's on pRAM or off pRAM but at some point in time you want to move them back and forth. You know the thing that we used to always say? "App mobility is slowly coming to fruition "with some of these constructs." >> Calms is the centerpiece of really your multi-cloud strategy. We've talked to some customers that some of the early folks pretty excited about it. A lot of the others have been like, "Okay, well, I've seen some slides and a demo," kind of squinting, looking at it. Reminds me of the early days, "I bet it can't really "do what they say it does." >> I think they have to taste the wine, just like everything else. There were a bunch of early believers who saw the product, who used the product, which we used as an early access program. But we took a step back when we acquired Calm a year ago, we had the choice of releasing a reasonably big product to mainstream. It's been seven years building our product, they had rewritten it two times. So they had already done a rewrite or two. What we took was, we took the time to ensure that it was burned into the Nutanix fabric. It had to fit into a Prism, it had to fit into a life cycle manager, it had to fit into a one-click update. It needs to look and feel like a natural extension versus a power-sucking alien, which is what we've seen with many of our competitor's products where you just buy some things and you put it in there and the more successful it is, the harder it is to homogenize. So we took our time, and that's what you're going to see in 5.5, customers can now actually genuinely use the product. And day one it'll have AHV support, AWS support, very quickly it'll have ESX, and GCP and Azure and it's a separate code train by the way, in a sense that the same code-base but it's being delivered as a service and you're going to see more and more of that paradigm where Nutanix is no longer going to be this blob of capabilities that in itself comes out fast but there's a bunch of microservices now that are going to be released. Not just on the cloud, but also on pRAM. So AFS is a good example, Xtract is a good example, Calm is a good example and now with 5.5 even Prism Central is going to be detached so that you can consume that at a different velocity than the code. >> How do you make sure that you balance that with the simplicity that really is the core piece of your business proposition? >> Yeah, yeah. I mean I think this is where we just have to be measured in ensuring that it's still one single code-base for example. What we want, we can't afford to have 18 different branches. So simple things like that will actually go a long way to make sure that somebody can still go to a console and say upgrade, it checks the right provisions. It's a little bit invisible, sort of like version mismatch of that is our problem, not a customer problem. >> Absolutely, so a lot in 5.5, which we haven't touched there but also really unveiling some of the next step in the journey, what you're working on for the next six months. What's the focus there, ya know cloud is, I think you talked about visible infrastructure to invisible cloud so looks like kind of expanding out and building out some of those cloud services. Take us through some of that. >> So I think the general theme is continue to fulfill our ambition around making infrastructure more invisible and then at the same time in parallel try to make clouds invisible and I'll break it down into three kinds of products. The first one is, we still have our journey, our things cut out to actually fulfill what I would call the A block, the Amazon block for the enterprise, and you can call it the Azure block or you can call it the Alphabet block now that we support multiple clouds. The point being that simple things suggest, we've done a great job of computer storage and virtualization. What about networking? And we've always said look, the problem is not in the data plane not working, top of the ax switches are pretty commodity, they work, you name it. The issue is always in the control plane, when something goes wrong, what are doing wrong, so that's one of the big things coming in 5.5 is built in network virtualization, provisioning, and one-click micro segmentation. And again the point being rather than buy very expensive products such as NSX or some other overlay products where you're virtualizing the network to secure the network. If you go to Amazon, or you go to Google, or you go to Azure not only do they not require to virtualize, the way that micro segmentation is built is genuinely with the simplicity of one click. You take out 10 VM's, put them in a secular group you're off to the races right? And the same paradigm then basically moves to us so in that vein of fulfilling that stack is one dimension. And a couple of key things that are new there that are in the next six months timeframe, not in the 5.5, the fact that when everything's said and done we've got a file service, we've got blocks, we've got containers, everything else, but what about object storage? Sounds obvious, right? So we've taken our time to kind of build a next generation object storage service, not a first generation one that can scale obviously to the levels of webscale that these days customers want, but is deployed with gentle requirements. An example of a gentle requirement is, you can't build an object story service that is simply on pRAM or simply off pRAM anymore. It has to be hybrid from day one. My primary needs to be data locality quote unquote to be invisible under the cover so my primary stuff is closer to my compute whereas my secondary and backup can be pulled out into the cloud. And the same thing applies on, even something much more simpler, which is EC2. What about EC2 for the enterprise? And that's where I think we were inspired to actually go build us Acropolis Compute Cloud, AC2, which essentially says you can take my Nutanix class, computer storage, and all of that, but then only have compute only nodes, and you could have SAB, SK lab requirements, you could have IBM power, you could have Oracle running on those, but they are essentially being managed with that single pane of glass. So this is the first time that you're seeing, based on a customer demand, now EH3 is now almost one of the three nodes being shipped is an EH3 node. We've come a long way in the last two years right? So people covet that simple virtualization, especially if we can, we extend it from a computer only fabric to the hyper-con only fabric. So I think that's one dimension-- >> It's interesting, just happenstance, that in the news recently, Amazon just announced that they're switching from Zen to KVM base so similar. Come on, you couldn't get Amazon to just sign on for AHV? >> No, see I think see what it is is that frankly AHV from our perspective was all about just ruggedizing KVM right, make it storage, Iops work well, the management plan work well, in fact, the fact that AWS is doing that is actually a good sign for us to go deeper with them frankly just as a tangent, rather than just go deeper with say Zi or GCP and so forth just natively as well now with C-fi instances there's an opportunity for Nutanix fabric to kind of seamlessly leverage that because the core constructs are similar with KBM right? So you're going to see some interesting stuff come up there, maybe that's for the next CUBE, the next conference. >> Sunill, it's interesting I've had a chance to talk to a few customers already and we talk about kind of that cloud, everything from the Germans that well I've got governance and compliance and I'm not not doing public cloud to, you've got a customer speaking today in a session that's like "I'm going to do "everything SAS and what I can't do SAS "I'll do infrastructure service," and then there's a little bit of stuff I can't do because I don't have enough network or things like that, and that's when Nutanix fit in for me. Making products and dealing with customers on such a broad spectrum is a little challenging and trying to fit where Nutanix is on that cloud because right if they're buying SAS from a lot of pieces it's like well you're not going to be as critical as opposed to somebody that's like well hey my data center is really my temple and you can help there so-- >> Yeah I think the philosophy that we use in terms of our product strategy and roadmap there is to maybe just give some color on it is it's the curse of the platform. The wealth of the platform which is like we are a platform company and we've internalized that, we're not a simple product company, so a lot of this comes down to what do we not do as well right which is versus what we just do. And one simple filter that we use is, is it directionally in a secular motion for enterprises or not. So a simple example is look, a lot of customers, and we would have probably quite a bit of sales if we simply said look I can take my existing Nutanix class serve, I just bought a three part array, I've bought a narat box, why don't you guys just co-exist with that. But then if you really think about it, it's like AWS coming to you and saying, "Oh by the way, take my service environment, "put my AWS software on it." It's like Apple coming out and saying, "Here's iOS, "I want it on Blackberry." So one click upgrades won't work, it's not the right thing. So there are things like that that we stayed away from that allows us to, even if we are stretched, lean in on the forward looking circular motions such as first, continue to finish the job inside, then harmonize inside and outside, and then go provide specialized services like Zi, in addition to what we're doing with DCP or Amazon, and others. >> Alright, last question I have for you, what's exciting you in the marketplace today, getting your engineers kind of fired up as kind of this next wave? >> Yeah I think look, I think some of the biggest thing is around how apps are now being re-platformed themselves, not just infrastructure and people used to word pass and all that other stuff but essentially I think we are now getting into the golden era, or the initial golden era where IAS re-platforming is more or less known. Now, of course it's going to take you five, 10 years to do it, but I don't think people are debating the way to do that. It's no longer open stack inside, it's no longer hosted clouds and all that crap right? It's two clouds, right? I think that wave has to emerge on the application side as well, you're starting to see some of that with communities, now becoming a defacto for one sliver of it, but there's so many other services that are up for grabs. So I think you're going to see in the next 12 to 18 months and you're obviously going to see Nutanix play a role there, is what does it mean to not hybridize my data center but what does it mean to hybridize my app. And I think there's a lot of interesting opportunity, interesting inspirational stuff there from an innovation perspective that keeps our guys going. >> Absolutely well Sunil, always a pleasure to chat with you, look forward to catching up with you at the next time and we'll be back with lots more coverage here from the Nutanix .NEXT conference in Nice, France. I'm Stu Miniman, you're watching theCUBE.