Muddu Sudhakar, Aisera | AWS re:Invent 2022
(upbeat music) >> Hey, welcome back everyone, live coverage here. Re:invent 2022. I'm John Furrier, host of theCUBE. Two sets here. We got amazing content flowing. A third set upstairs in the executive briefing area. It's kind of a final review, day three. We got a special guest for do a re:Invent review. Muddu Sudhakar CEO founder of Aisera. Former multi-exit entrepreneur. Kind of a CUBE analyst who's always watching the floor, comes in, reports on our behalf. Thank you, you're seasoned veteran. Good to see you. Thanks for coming. >> Thank you John >> We've only got five minutes. Let's get into it. What's your report? What are you seeing here at re:Invent? What's the most important story? What's happening? What should people pay attention to? >> No, a lot of things. First all, thank you for having me John. But, most important thing what Amazon has announced is AIML. How they're doubling down on AIML. Amazon Connect for Wise. Watch out all the contact center vendors. Third, is in the area of workflow, low-code, no-code, workflow automation. I see these three are three big pillars. And, the fourth is ETL and ELTs. They're offering ETL as included as a part of S3 Redshift. I see those four areas are the big buckets. >> Well, it's not no ETL to S3. It's ETL into S3 or migration. >> That's right. >> Then the other one was Zero ETL Promise. >> Muddu: That's right. >> Which there's a skeptical group out there that think that's not possible. I do. I think ultimately that'll happen, but what's your take? >> I think it's going to happen. So, it's going to happen both within that data store as well as outside the data store, data coming in. I think that area, Amazon is going to slowly encroach into the whole thing will be part offered as a part of Redshift and S3. >> Got it. What else are you seeing? Security. >> Amazon Connect Amazon Connect is a big thing. >> John: Why is that so important? It seems like they already have that. >> They have it, but what they're doing now is to automate AI bots. They want to use AI bot to automate both agent assist, AI assist, and also WiseBot automation. So, all the contact center Wise to text they're doubling down. I think it's a good competition to Microsoft with the Nuance acquisition and what Zoom is doing today. So, I think within Microsoft, Zoom, and Amazon, it's a nice competition there. >> Okay, so we had Adam's keynote, a lot of security and data, that was big. Today, we had Swami, all ML, 13 announcements. Adam did telegraph to me that he was going to to share the love. Jassy would've probably taken most of those announcements, we know that. Adam shared the love. So, Adam, props to you for sharing the love with Swami and some of those announcements. We had 13. So, good for him. >> Yes. >> And then, we had Aruba with the partners. What's your take on the partner network? A revamp? >> No, I think Aruba did a very good job in terms of partners. Look at these, one of the best stores that Amazon does. Even the companies like me, I'm a startup company. They know how to include the partners, drive more revenue with partners, sell through it, more expansion. So, Amazon is still one of the best for startup to mid-market companies to go into enterprise. So, I love their partnership angle. >> One of the things I like that she said that resonated with me 'cause, I've been working with those teams, is it's unified, clear roles, but together. But, scaling the support for partners and making money for partners. >> That's right. >> That is a huge deal. Big road ahead. She's focused on it. She says, no problem. We want to scale up the business model of the channel. >> Muddu: That's right. >> The resources, so that the ecosystem can make money and serve customers or serve customers and make money. >> Muddu: That's right. And, I think one thing that they're always good is Marketplace. Now, they're doing is outside of market with ISV, co-sell, selling through. I think Amazon really understood that adding the value so that we make money as a partners and they make money, incrementally. So, I think Aruba is doing a very good job. I really like it. >> Okay, final question. What's going on with Werner? What do you expect to hear tomorrow from a developer front? Not a lot of developer productivity conversations at this re:Invent. Not a lot of people talking about software supply chain although Snyk was on theCUBE earlier. Developer productivity. Werner's going to speak to that tomorrow we think. Or, I don't know. What do you think? >> I think he's going talk something called generative AI. Rumored the people are talking about the code will be returned by the algorithms now. I think if I'm Werner, I'm going to talk about where the technology is going, where the humans will not be writing code. So, I think AI is going to double down with Amazon more on the generative AI. He's going to try a lot about that. >> Generative AI is hot. We could have generative CUBE, no hosts. >> Muddu: Yes, that would be good. >> No code, no host >> Muddu: Have an answer, John Software. (both laugh) >> We're going to automate everything. Muddu, great to hear from you. Thanks for reporting. Anything else on the ecosystem? Any observations on the ecosystem and their opportunity? >> So, coming from my side, if I'd to provide an answer, today we have like close to thousand leads that are good. Most of them are financial, healthcare. Healthcare is still one of the largest ones I saw in this conference. Financials, and then, I'm started seeing a lot more on the manufacturing. So, I think supply chain, they were not so. I think Amazon is doing fantastic job with financial, healthcare, and supply chain. >> Where is their blind spot if you had to point that one? >> I think media and entertainment. Media and entertainment is not that big on Amazon. So, I think we should see a lot more of those. >> Yeah, I think they need to look at that. Any other observations? Hallway conversations that are notable that you would like to share with folks watching? >> I think what needs to happen is with VMware, and Citrix desktop, and Endpoint Management. That's their blind spot. So far, nobody's really talking about the Endpoints. Your workstation, laptop, desktop. Remember, that was big with VMware. Nope, that's not a thought of conversation in email right now. So, I think that area is left behind by Amazon. Somebody needs to go after that white space. >> John: And, the audience here is over 50,000. Big numbers. >> Huge. One of the best shows, right? I mean after Covid. It's by far the best show I've seen in this year. >> All right, if you'd do a sizzle reel, what would it be? >> Sizzle reel. I think it's going to be a lot more on, as I said, generative to AI is the key word to watch. And, more than that, low-code no-code workflow automation. How do you automate the workflows? Which is where ServiceNow is fairly strong. I think you'll see Amazon and ServiceNow playing in the workflow automation. >> Muddu, thank you so much for coming on theCube sharing. That's a wrap up for day three here in theCUBE. I'm John Furrier, Dave Vellante for Lisa Martin, Savannah Peterson, all working on Paul Gillan and John Walls and the whole team. Thanks for all your support. Wrapping it up to the end of the day. Pulling the plug. We'll see you tomorrow. (upbeat music)
SUMMARY :
Good to see you. What's the most important story? Third, is in the area Well, it's not no ETL to S3. Then the other one I think ultimately that'll I think it's going to happen. What else are you seeing? Amazon Connect is a big thing. John: Why is that so important? So, all the contact center Wise to text So, Adam, props to you Aruba with the partners. So, Amazon is still one of the best One of the things I like that she said business model of the channel. the ecosystem can make money that adding the value so that to that tomorrow we think. So, I think AI is going Generative AI is hot. Muddu: Have an answer, John Software. Anything else on the ecosystem? of the largest ones I saw So, I think we should that you would like to I think what needs to happen is John: And, the audience One of the best shows, right? I think it's going to be Walls and the whole team.
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Alvaro Celiss and Michal Lesiczka Accelerate Hybrid Cloud with Nutanix & Microsoft
>>In late 2009 when the industry was just beginning to offer so-called converged infrastructure, CI Nutanix was skating to the puck, so to speak, meaning unlike conversion infrastructure, which essentially bolted together compute and networking and storage into a single skew that was very hardware centric. Nutanix was focused on creating HCI hyperconverged infrastructure, which was a software led architecture that unified the key elements of data center infrastructure. Now, while both approaches saved time and money, HCI took the concept to new heights of cost savings and simplicity. Hyperconverged infrastructure became a staple of private clouds creating a cloudlike experience. OnPrem. As the public cloud evolved and grew, more and more customers are now taking a cloud first approach to it. So the challenge becomes how do you remodel your IT house so that you can connect your on-prem workloads to the cloud, to both simplify cloud migration, while at the same time creating an identical experience across your estate? >>Hello, and welcome to this special program, Accelerate Hybrid Cloud with Nutanix and Microsoft Made Possible by By Nutanix and produced by the Cube. I'm Dave Ante, one of your hosts today. Now, in this session, we'll hear how Nutanix is evolving its initial vision of simplifying infrastructure, deployment and management to support modern applications by partnering with Microsoft to enable that consistent experience that we talked about earlier, to extend hybrid cloud to Microsoft Azure and take advantage of cloud native tooling. Now, what's really important to stress here, and you'll hear this in our second segment, substantive engineering work has gone into this partnership. A lot of partnerships are sealed with a press release. We sometimes call it a Barney deal. You know, I love you, you love me. Like Barney, the once popular children's dinosaur character. We dig into the critical engineering aspects that enable that seamless connection between on-prem infrastructure and the public cloud. >>Now, in our first segment, Lisa Martin talks to Alro Salise, who is the vice president of Global ISD Commercial Solutions at Microsoft, and Michael Les Chica, who is the vice president of business development for the cloud and database partner ecosystem at Nutanix. Now, after that, Lisa will kick it back to me in our Boston studios to speak with Eric Lockard, who is the corporate vice president of Microsoft Azure specialized, along with Thomas Cornell, who is the senior vice president of products at Nutanix. And Indu Carey, who's the senior vice president of of engineering for NCI and NNC two at Nutanix. And we'll dig deeper into the announcement and it's salient features. Thanks for being with us. We hope you enjoy the program. Over to Lisa. >>Hi everyone. Welcome to our event Accelerate Hybrid Cloud with Nutanix and Microsoft. I'm your host Lisa Martin, and I've got two great guests here with me to give you some exciting news. Please welcome Alva Salise, the Vice President of Global ISD Commercial Solutions at Microsoft, and Michael Les Chika, VP of Business Development Cloud and database partner ecosystem at Nutanix. Guys, it's great to have you on the program. Thanks so much for joining me today. Great to be here. >>Thank you, Lisa. Looking forward, >>Yeah, so let's go ahead and start with you. Talk to me from your lens, what are you seeing in terms of the importance of the role of the the ISV ecosystem and really helping customers make their business outcomes successful? >>Oh, absolutely. Well, first of all, thank you for the invitation and thank you Michael and the Nutanix team for the partnership. The the ISV ecosystem plays a critical role as we support our customers and enable them in their data transformation journeys to create value, to move at their own pace, and more important to be sure that every one of them, as they transform themselves, have the right set of solutions for the long term with high differentiation, cost effectiveness and resiliency, especially given the times that we're living. >>Yeah, that resiliency is getting more and more critical as each day goes on. Ava was sticking with you. We got Microsoft Ignite going on today. What are some of the key themes that we should expect this year and how do they align to Microsoft's vision and strategy? >>Ah, great question. Thank you. When you think about it, we wanna talk about the topics that are very relevant and our customers have asked us to go deeper and, and share with them. One of them, as you may imagine, is how can we do more with less using Azure, especially given the current times that we're living in the, the business context has changed so much, they have different imperative, different different amount of pressure and priorities. How can we help? How can we combine the platform, the value that Microsoft can bring and our Microsoft ISV partner ecosystem to deliver more value and enable them to have their own journey? Actually, in that frame, if I may, we are making this announcement today with Nutanix. I, the Nutanix cloud clusters are often the fastest way on which customers will be able to do that journey into the cloud because it's very consistent with environments that they already know and use on premise. And once they go into the cloud, then they have all the benefit of scale, agility, resiliency, security, and cost benefits that they're looking for. So that topic and this type of announcements will be a big part of what we doing. Ignite, >>Exciting. Michael, let's bring you into the conversation now. Big milestone of our RDTs that the general availability of Nutanix Cloud clusters on Azure. Talk to us about that from Nutanix's perspective and also gimme a little bit of color, Michael, on the partnership, the relationship. >>Yeah, sure, absolutely. So we actually entered a partnership couple years ago, so we've been working on this solution quite a while, but really our ultimate goal from day one was really to make our customers journeys to hybrid cloud simpler and faster. So really for both companies, I think our goal is really being that trusted partner for our customers in their innovation journey. And as mentioned, you know, in the current macroeconomic conditions, really our customers really care about, but they have to be mindful of their bottom line as well. So they're really looking to leverage their existing investments in technology skill sets and leverage the most out of that. So the things like, for example, cost to operations and keeping those things consistent, cost on premises and the cloud are really important as customers are thinking about growth initiatives that they wanna implement. And of course, going to Azure public cloud is an important one as they think about flexibility, scale and modernizing their apps. >>And of course, as we look at the customer landscape, a lot of customers have an on on footprint, right? Whether that's for regulatory reasons for business or other technical reasons. So hybrid cloud has really become an ideal operating model for a lot of the customers that we see today. So really our partnership with Microsoft is critical because together, I really do see our US together simplifying that journey to the public cloud and making sure that it's not only easy but secure and really seamless. And really, I see our partnership as bringing the strengths of each company together, right? So Nutanix, of course, is known in the past versus hyperconverge infrastructure and really breaking down those silos between networking, compute, storage, and simplifying that infrastructure and operations. And our customers love that for the products and our, our NPS score of 90 over the last seven years. And if you look at Azure, at Microsoft, they're truly best in class cloud infrastructure with cutting edge services and innovation and really global scale. So when you think about those two combinations, right, that's really powerful for customers to be able to take their applications and whether they're on or even, and really combining all those various hybrid scenarios. And I think that's something that's pretty unique that we're to offer customers. >>Let's dig into that uniqueness of our, bringing you back into the conversation. You guys are meeting customers where they are helping them to accelerate their cloud transformations, delivering that consistency, you know, whether they're on-prem in Azure, in in the cloud. Talk to me about, from Microsoft's perspective about the significance of this announcement. I understand that the, the preview was oversubscribed, so the demand from your joint customers is clear. >>Thank you, Lisa. Michael, personally, I'm very proud and at the company we're very proud of the world that we did together with Nutanix. When you see two companies coming together with the mission of empowering customers and with the customer at the center and trying to solve real problems in this case, how to drive hybrid cloud and what is the best approach for them, opening more opportunities is, is, is extremely inspiring. And of course the welcome reception that we have from customer reiterates that we generating that value. Now, when you combine the power of Azure, that is very well known by resiliency, the scale, the performance, the elasticity, and the range of services with the reality of companies that might have hundreds or even thousands of different applications and data sources, those cloud journeys are very different for each and every one of them. So how do we combine our capabilities between Nutanix and Microsoft to be sure that that hybrid cloud journey that every one is gonna take can be simplified, you can take away the risk, the complexity on that transformation creates tones of value. >>And that's what a customers are asking us today. Either because they're trying to move and modernize their environment to Azure, or they're bringing their, you know, a enable ordinate services and cluster and data services on premise to a Nutanix platform, we together can combine and solve for that adding more value for any scenario that customers may have. And this is not once and done, this is not that we building, we forget it. It's a partnership that keeps evolving and also includes work that we do with our solution sales alliances that go to market seems to be sure that the customers have diverse service and support to make, to create the outcomes that they're asking us to deliver. >>Talk to me a little bit about the customers that were in the beta, as we mentioned, Alva, the, the preview was oversubscribed. So as I talked about earlier, the demand is clearly there. Talk to me about some of the customers in beta, you can even anonymize them or maybe talk about them by industry, but what, what were some of the, the key things they came to these two companies looking to, to solve, get to the cloud faster, be able to deliver the same sets of services with familiarity so that from a, they're able to do more with less? >>Maybe I could take that one out of our abital lines. It did. It means, but yeah, so like, like we, like you mentioned Lisa, you know, we've had a great preview oversubscribe, we had lots of, of cu not only customers, but also partners battle testing the solution. And you know, we're obviously very pleased now to have GN offered to everyone else, but one of our customers, Camper J was really looking forward to seeing how do they leverage Ncq and Azure to, like I mentioned, reduce that work workload, my, my migration and a risk for that and making sure, hey, some of the applications, maybe we are going to go and rewrite them, refactor them to take them natively to Azure. But there's others where we wanna lift and shift them to Azure. But like I mentioned, it's not just customers, right? We've been working with partners like PCs and Citrix where they share the same goal as Microsoft and Nutanix provides that superior customer experience where whatever the operating model might be for that customer. So they're going to be leveraging NC two on Azure to really provide those hybrid cloud experiences for their solutions on top of building on top of the, the work that we've done together. >>So this really kind of highlights the power of that Alva, the power of the ISV ecosystem and what you're all able to do together to really help customers achieve the outcomes that they individually need. >>A absolutely, look, I mean, we strongly believe that when you partner properly with an V you get to the, to the magical framework, one plus one equals three or more because you are combining superpowers and you are solving the problem on behalf of the customer so they can focus on their business. And this is a wonderful example, a very inspiring one where when you see the risk, the complexity that all these projects normally have, and Michael did a great job framing some of them, and the difference that they have now by having NC to on Azure, it's night and day. And we are fully committed to keep driving this innovation, this partnership on service of our customers and our partner ecosystem because at the same time, making our partners more successful, generating more value for customers and for all of us. >>Abar, can you comment a little bit on the go to market? Like how, how do your joint customers engage? What does that look like from their perspective? >>You know, when you think about the go to market, a lot of that is we have, you know, teams all over the world that will be aligned and working together in service of the customer. There is marketing and demand generation that will be done, that will be also work on enjoying opportunities that we will manage as well as a very tight connection on projects to be sure that the support experience for customers is well aligned. I don't wanna go into too much detail, but I will like to guarantee that our intent is not only to create an incredible technological experience, which the, the development teams are done, but also a great experience for the customers that are going through these projects, interacting with both teams that will work as one in service to empower the customer to achieve the outcomes that they need. >>Yeah, and just to comment maybe a little bit more on what Albar said, you know, it's not just about the product integration or it's really the full end to end experience for our customers. So when we embarked on this partnership with Microsoft, we really thought about what is the right product integration and with our engineering teams, but also how do we go and talk to customers with value prop together and all the way down through to support. So we actually been worked on how do we have a single joint support for our customers. So it doesn't really matter how the customer engages, they really see this as an end to end single solution across two companies. >>And that's so critical given just the, the natural challenges that that organizations face and the dynamics of the macro economic environment that we're living in. For them, for customers to be able to have that really seamless single point of interaction, they want that consistent experience on-prem to the cloud. But from an engagement perspective that you're, what sounds like what you're doing, Michael and Avaro is, is goes a long way to really giving customers a much more streamlined approach so that they can be laser focused on solving the business problems that they have, being competitive, getting products to market faster and all that good stuff. Michael, I wonder if you could comment on maybe the cultural alignment that Nutanix and Microsoft have. I know Microsoft's partner program has been around for decades and decades. Michael, what does that cultural alignment look like from, you know, the sales and marketing folks down to engineering, down to support? >>Yeah, I think honestly that was, that was something that kind of fit really well and we saw really a long alignment from day one. Of course, you know, Nutanix cares a lot about our customer experience, not just within the products, but again, through the entire life cycle to support and so forth. And Microsoft's no different, right? There's a huge emphasis on making sure that we provide the best customer experience and that we're also focusing on solving real world customer problems, right? And really focusing on the biggest problems that customers have. So really culturally it felt, it felt really natural. It felt like we were a single team, although it's, you know, two bar organizations working together, but I really felt like a single team working day in, day out on, on solving customer problems together. >>Yeah, >>Let, go ahead. >>No, I would say, well say Michael, the, the one element that we complement, the, I think the answer was super complete, is the, the fact that we work together from the outside in, look at it from the customer lenses is extremely powerful and inspire, as I mentioned, because that's what it's all about. And when you put the customer at the center, everything else falls in part on its its own place very, very quickly. And then it's hard work and innovation and, you know, doing what we do best, which is combining over superpowers in service of that customer. So that was the piece that, you know, I, I cannot emphasize enough how inspiring he's been. And again, the, the response for the previous is a great example of the opportunity that we have in there. >>And you've taken a lot of complexity out of the customer environment and I can imagine that the GA of Nutanix cloud clusters on Azure is gonna be a huge benefit for customers in every industry. Last question guys, I wanna get both your perspectives on Michael, we'll start with you and then Lvra will wrap with you. What's next? Obviously a lot of exciting stuff. What's next for the partnership of these, these two superheroes together, Michael? >>Yeah, so I think our goal doesn't change, right? I think our North star is to continue to make it easy for our customers to adopt, migrate and modernize their applications, leveraging Nutanix and Microsoft Azure, right? And I think NC two and Azure is just the start of that. So kind of maybe more immediate, like, you know, we mentioned obviously we have, we announced the ga that's J in Americas, but kind of the next more immediate step over the next few months look for us to continue expanding beyond Americas and making sure that we have support across all the global regions. And then beyond that, you know, again, as of our mentioned, it's working from kind of the s backwards. So we're, we're not, no, we're not waiting for ega. We're already working on the next set of solutions saying what are other problems that customer facing, especially across, they're running their workload cross on premises and public cloud, and what are the next set of solutions that we can deliver to the market to solve those real challenges for. >>It sounds really strongly that, that the partnership here, we're talking about Nutanix and Microsoft, it's really Nutanix and Microsoft with the customer at this center. I think you've both done a great job of articulating that there's laser focus there. Our last word to you, what excites you about the momentum that Microsoft and Nutanix have for the customers? >>Well, thank you Lisa. Michael, I will tell you, when you hear the customer feedback on the impact that you're having, that's the most inspiring part because you know you're generating value, you know, you're making a difference, especially in these complex times when the, the partnership gets tested where the, the right, you know, relationship gets built. We're being there for customers is extremely inspiring. Now, as Michael mentioned, this is all about what customer needs and how do we go even ahead of the game, being sure that we're ready not for what is the problem today, but the opportunities that we have tomorrow to keep working on this. We have a huge TA task ahead to be sure that we bring this value globally in the right way with the right quality. Every word, which is a, is never as small fist as you may imagine. You know, the, the world is a big place, but also the next wave of innovations that will be customer driven to keep and, and raise the bar on how, how much more value can we unlock and how much empowerment can we make for the customer to keep in innovating at their own pace, in their own terms. >>Absolutely that customer empowerment's key. Guys, it's been a pleasure talking to you about the announcement Nutanix cloud clusters on Azure of our Michael, thank you for your time, your inputs and helping us understand the impact that this powerhouse relationship is making. >>Thank you for having Lisa and thank you AAR for joining >>Me. Thank you Lisa, Michael, it's been fantastic. I looking forward and thank you to the audience for being here with us. Yeah, stay >>Tuned. Thanks to the audience. Exactly. And stay tuned. There's more to come. We have coming up next, a deeper conversation on the announcement with Dave and product execs from both Microsoft. You won't wanna.
SUMMARY :
So the experience that we talked about earlier, to extend hybrid cloud to Microsoft We hope you enjoy the program. Guys, it's great to have you on the program. what are you seeing in terms of the importance of the role of the the ISV ecosystem Well, first of all, thank you for the invitation and thank you Michael and the Nutanix team for the partnership. that we should expect this year and how do they align to Microsoft's vision in that frame, if I may, we are making this announcement today with Nutanix. our RDTs that the general availability of Nutanix Cloud clusters on Azure. So the things like, for example, cost to operations and keeping those And our customers love that for the products and our, our NPS score of 90 Let's dig into that uniqueness of our, bringing you back into the conversation. And of course the welcome reception that we have from customer reiterates that we generating that value. and modernize their environment to Azure, or they're bringing their, you know, Talk to me about some of the customers in beta, you can even anonymize them or maybe talk about them by industry, And you know, we're obviously very pleased now to have GN offered to everyone else, So this really kind of highlights the power of that Alva, the power of the ISV ecosystem and that they have now by having NC to on Azure, it's night and day. you know, teams all over the world that will be aligned and working together in service of Yeah, and just to comment maybe a little bit more on what Albar said, you know, problems that they have, being competitive, getting products to market faster and all that good stuff. It felt like we were a single team, although it's, you know, two bar organizations working together, And when you put the customer we'll start with you and then Lvra will wrap with you. So kind of maybe more immediate, like, you know, we mentioned obviously we have, what excites you about the momentum that Microsoft and Nutanix have for the customers? task ahead to be sure that we bring this value globally in the right way with the right quality. Guys, it's been a pleasure talking to you about the I looking forward and thank you to the audience for being Thanks to the audience.
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Alvaro Celis & Michal Lesiczka | Accelerate Hybrid Cloud with Nutanix & Microsoft
>>Hi everyone. Welcome to our event Accelerate Hybrid Cloud with Nutanix and Microsoft. I'm your host Lisa Martin, and I've got two great guests here with me to give you some exciting news. Please welcome Alva Salise, the Vice President of Global ISV Commercial Solutions at Microsoft. And Michael Luka, VP of Business Development Cloud and database partner ecosystem at Nutanix. Guys, it's great to have you on the program. Thanks so much for joining me today. Great to be here. >>Thank you, Lisa. Looking forward, >>Yeah, so a, let's go ahead and start with you. Talk to me from your lens, what are you seeing in terms of the importance of the role of the the ISV ecosystem and really helping customers make their business outcomes successful? >>Well, absolutely. Well, first of all, thank you for the invitation and thank you Michael and the Nutanix team for the partnership. So the, the ISV ecosystem plays a critical role as we support our customers and enable them in their data transformation journeys to create value, to move at the own pace, and more important to ensure that every one of them as they transform themselves, have the right set of solutions for the long term with high differentiation, cost effectiveness and resiliency, especially given the times that we're living in. >>Yeah, that resiliency is getting more and more critical as each day goes on. Ava was sticking with you. We got Microsoft Ignite going on today. What are some of the key themes that we should expect this year and how do they align to Microsoft's vision and strategy? >>Ah, great question. Thank you. When you think about it, we wanna talk about the topics that are very relevant and our customers have asked us to go deeper and, and share with them. One of them, as you may imagine, is how can we do more with less using Azure, especially given the current times that we're living in the, the business context has changed so much. They have different imperative, different different amount of pressure and priorities. How can we help, how can we combine the platform, the value that Microsoft can bring and or Microsoft ISV power ecosystem to deliver more value and enable them to have their own journey? Actually, in that frame, if I may, we are making this announcement today with Nutanix. The Nutanix cloud clusters are often the fastest way on which customers will be able to do that journey into the cloud because it's very consistent with environments that they already know and use on premise. And once they go into the cloud, then they have all the benefit of scale, agility, resiliency, security and cost benefits that they're looking for. So that topic and this type of announcements will be a big part of what we doing. Ignite >>Then exciting. Michael, let's bring you into the conversation now. Sure. Big milestone of our RDTs that the general availability of Nutanix Cloud clusters on Azure. Talk to us about that from Nutanix's perspective and also gimme a little bit of color, Michael, on the partnership, the relationship. >>Yeah, sure. Absolutely. So we actually entered a partnership couple years ago, so we've been working on this quite a while. But really our ultimate goal from day one was really to make our customers journeys to hybrid cloud simpler and faster. So really for both companies, I think our goal is really being that trusted partner for our customers in their innovation journey. And as I mentioned, you know, in the current macroeconomic conditions, really our customers really care about growing their top line, but they have to be mindful of their bottom line as well. So they're really looking to leverage their existing investments in technology skill and leverage the most that, So the things like, for example, cost to operations and keeping those things cost on premises and are really important as customers are thinking about growth initiatives that they wanna implement. And of course going to Azure public cloud is an important one as they think about flexibility, scale and modernizing in their apps. >>And of course as we look at the customer landscape, a lot of customers have an footprint, right? Whether that's for regulatory reasons for business or other technic for reasons. So hybrid cloud has really become an ideal operating model for a lot of the customers that we see today. So really our partnership with Microsoft is critical because together, I really do see our US together simplifying that journey to the public cloud and making sure that it's not only easy but secure and really seamless. And really, I see our partnership as bringing the strengths of each company together, right? So Nutanix, of course, is known in the past versus hyperconverge infrastructure and really breaking down those silos between networking, compute, storage, and simplifying that infrastructure and operations. And our customers love that for the products and our, our NPS score of 90 over the last seven years. And if you look at Azure, at Microsoft, they're truly best in class cloud infrastructure with cutting edge services and innovation and really global scale. So when you think about those two combinations, right, that's really powerful for customers to be able to take their applications and whether they're on pre the cloud or even the edge and really combining all those various hybrid scenarios. And I think that's something that's pretty unique that we're able to offer our joint customers. >>Let's into that uniqueness of our, bringing you back into the conversation, you guys are meeting customers where they are helping them to accelerate their cloud transformations, delivering that consistency, you know, whether they're on-prem in Azure, in in the cloud. Talk to me about, from Microsoft's perspective about the significance of this announcement. I understand that the, the preview was oversubscribed, so the demand from your joint customers is clear. >>Thank you, Lisa. Michael, personally, I'm very proud and at the company we're very proud of the world that we did together with Nutanix. When you see two companies coming together with the mission of empowering customers and with the customer at the center and trying to solve real problems in this case, how to drive hybrid cloud and what is the best approach for them, opening more opportunities is, is is extremely inspiring. And of course the welcome reception that we have from customer reiterates that we generating that value. Now, when you combine the power of Azure, that is very well known by resiliency, the scale, the performance, the elasticity, and the range of services with the reality of companies that might have hundreds of even thousands of different applications and data sources, those cloud journeys are very different for each and every one of them. So how do we combine our capabilities between Nutanix and Microsoft to be sure that that hybrid cloud journey that every one is gonna take can be simplified, you can take away the risk, the complexity on that transformation creates tons of value. >>And that's what a customers are asking us today. Either because they're trying to move and modernize their environment to Azure, or they're bringing their, you know, a enable services and cluster and data services on premise to the Nutanix platform, we together can combine and solve for that adding more value for any scenario that customers may have. And this is not once and done, this is not that we building, we forget it, it's a partnership that keeps evolving and also includes work that we do with our solution sales alliances that go to market seems to be sure that the customers have diverse service and support to make, to, to create the outcomes that they're asking us to deliver. >>And can you comment a little bit further, maybe both of you, of our, starting with you and then Michael, what are some of those business outcomes that customers are coming to Microsoft and Nutanix saying, help us, we've gotta be more competitive, we've gotta get, we've gotta be able to get solutions to market faster, et cetera. What are those key outcomes that these two powerhouse companies are helping customers to unlock? >>Yeah, I will say, look, the range of imperative of customers varies greatly depending on the industry, depending on the positioning. I think that the fundamental question is given your imperative, do we have the ability to empower you to achieve the outcome that you want? And these days, of course, the tons of companies, given the the business context that are being very conscious on cost and efficiency, how do you do more with less? How do I keep innovating? Because innovation will be at the heart of the solutions, but I do that on my own pace with my own priorities. That higher level answer is the one that we're enabling through partnership, like the one we're we're sharing today to the market with Nutanix. >>Yeah, I think >>From you, >>Go ahead. I was just gonna comment ON'S pump as well is that absolutely really depends on the customer and what they're trying to achieve, right? As they think about the next set of innovation that they're trying to develop. But for example, we take a, a web, a use case that we've seen with some of the customers is like migration to the cloud, right? And you know, a lot of companies, they embark on that migration. We see there's a lot of data that says basically, you know, it's much harder than it looks, right? And a lot of these projects become years behind schedule and millions and millions of dollars over budget, right? So reducing that risk and saying, Hey, how do I, can I land in Azure? And then bit by bit start thinking, how do I continue to innovate to get, since now I have easy and secure access while I'm in Azure with, and seek with Nutanix Nutanix clusters on Azure to continue my innovation by taking advantage of Azure native services, right? But again, like Aaro said, it's, it really depends on what the customer goals are. >>Talk to me a little bit about the customers that were in the beta, as we mentioned, Alva, the, the preview was oversubscribed. So as I talked about earlier, the demand is clearly there. Talk to me about some of the customers and beta, you can even anonymize them or maybe talk about them by industry, but what, what were some of the, the key things they came to these two companies looking to, to solve, get to the cloud faster, be able to deliver the same sets of services with familiarity so that from a, they're able to do more with less? >>Maybe I could take that one out of our rebuttal lines. It does means, but yeah, so like, like, like you mentioned, Lisa, you know, we've had a great preview oversubscribe, we had lots of CU not only s but also partners battle solution. And you know, we're obviously very pleased now to have offered to everyone else, but one of our customers Camp Day was really looking forward to seeing how do they leverage Nstitute and Azure to, like I mentioned, reduce that work workload, migration and risk for that and making sure, hey, some of the applications maybe we are going to go and rewrite them, refactor them to take them natively to Azure. But there's others where we wanna lift and shift them to Azure. But like I mentioned, it's not just customers, right? We've been working with partners like PCs and Citrix where they share the same goal as Microsoft and Nutanix provides that superior customer experience where whatever the operating model might be for that customer. So they're going to be leveraging NC two on Azure to really provide those hybrid cloud experiences for their solutions on top of building on top of the, the work that we've done together. >>So this really kind of highlights the power of that Ava, the power of the ISB ecosystem and what you're all able to do together to really help customers achieve the outcomes that they individually need. >>A absolutely, look, I mean, we strongly believe that when you partner properly with an isv, you get to the, to the magical framework, one plus one equals three or more because you are combining superpowers and you are solving the problem on behalf of the customer so they can focus on their business. And this is a wonderful example, a very inspiring one where when you see the risk, the complexity that all these projects normally have, and Michael did a great job framing some of them, and the difference that they have now by having NC to on Azure, it's night and day. And we are fully committed to keep driving this innovation, this partnership on service of our customers and our power ecosystem. Because at the same time, making our powers more successful, generating more value for customers and for all of us >>Of, Can you comment a little bit on the go to market? Like how, how do your joint customers engage? What does that look like from their perspective? >>You know, when you think about the go to market, a lot of that is we have, you know, teams all over the world that will be aligned and working together in service of the customer. There's marketing and demand generation that will be done, that will be also work on joy opportunities that we will manage as well as a very tight connection on projects to be sure that the support experience for customers is well aligned. I don't wanna talk, go into too much detail, but I would like to guarantee that our intent is not only to create an incredible technological experience, which the, the development teams are done, but also a great experience for the customers that are going through these projects, interacting with both teams that will work as one in service to empower the customer to achieve the outcomes that they need. >>Yeah, and just to comment maybe a little bit more on what all Borrow said, you know, it's not just about the product integration area, it's really the full end to end experience for our customers. So when we embarked on this partnership with Microsoft, we really thought about what is the right product integration and with our engineering teams, but also how do we go and talk to customers with value prop together and all the way down through to support. So we actually even worked on how do we have a single joint support for our customer. So it doesn't really matter how the customer engages, they really see this as an end to end single solution across two companies. >>And that's so critical given just the, the natural challenges that that organizations face and the dynamics of the macro economic environment that we're living in. For them, for customers to be able to have that really seamless single point of interaction, they want that consistent experience on-prem to the cloud. But from an engagement perspective that you're, what sounds like what you're doing, Michael and Avaro is, is goes a long way to really giving customers a much more streamlined approach so that they can be laser focused on solving the business problems that they have, being competitive, getting products to market faster and all that good stuff. Michael, I wonder if you could comment on maybe the cultural alignment that Nutanix and Microsoft have. I know Microsoft's partner program has been around for decades and decades. Michael, what does that cultural alignment look like from, you know, the sales and marketing folks down to engineering, down to support? >>Yeah, I think honestly that was, that was something that kind of fit really well and we saw really a lot alignment from day one. Of course, you know, Nutanix cares a lot about our customer experience, not just within the products, but again, through the entire life cycle to support and so forth. And Microsoft's no different, right? There's a huge emphasis on making sure that we provide the best customer experience and that we're also focusing on solving real world customer problems, right? And really focus on the biggest problems the customers have. So really culturally it felt, it felt really natural. It felt like we were a single team, although it's, you know, two bar drug organizations working together, but I really felt like a single team working day in, day out on, on solving customer problems together. >>Yeah. >>Let me, Go ahead. >>No, I will say, well say Michael, I think that the, the one element that we complement, I think the answer was super complete, is the, the fact that we work together from the outside in, look at it from the customer lenses is extremely powerful and far as I mentioned, because that's what it's all about. And when you put the customer at the center, everything else falls in part on its its own place very, very quickly. And then it's hard work and innovation and, you know, doing what we do best, which is combining over superpowers in service of that customer. So that was the piece that, you know, I i, I cannot emphasize enough how inspiring he's been. And again, the, the response for the previous is a great example of the opportunity that we have in there. >>Yeah. And, and you know, with every hard problem there's challenges along the way, right? And so I'm actually really proud of both of the teams that stepped up and, you know, figure it out. How do we go solve some of these technical problems? How do we go solve, making sure we continue to provide world class support for sports organizations? And, you know, these weren't easy things to solve and, and you know, everyone really stepped up the challenge >>And you've taken a lot of complexity out of the customer environment and I can imagine that the GA of Nutanix cloud clusters on Azure is gonna be a huge benefit for customers and every industry. Last question guys, I wanna get both your perspectives on Michael, we'll start with you and then Lvra will wrap with you. What's next? Obviously a lot of exciting stuff. What's next for the partnership of these, these two superheroes together, Michael? >>Yeah, so I think our goal doesn't change, right? I think our North star is to continue to make it easy for our customers to adopt, migrate and modernize their applications, leveraging Nutanix and Microsoft Azure, right? And I think NC two and Azure is just the start of that. So kind of maybe more immediate, like, you know, we mentioned obviously we have, we announced the GA that's J in Americas kind of the next more immediate step over the next few months. Look for us to continue expanding beyond Americas and making sure that we have support across all the global regions. And then beyond that, you know, again, as of our mentioned is working from kind of the customers backwards. So we're, we're not, no, we're not waiting for the ga, we're already working on the next set of solutions saying what are other problems that customer facing, especially across as they're running their workloads cross on premises and public cloud, and what are the next set of solutions that we can deliver to the market to solve those real challenges for them. >>It sounds really strongly that, that the partnership here, we're talking about Nutanix and Microsoft. It's really Nutanix and Microsoft with the customer at this center. I think you've do both, done a great job of articulating that there's laser focus there. Of our last word to you, what excites you about the momentum that Microsoft and Nutanix have for the customers? >>Well, thank you Lisa. Michael, I will tell you, when you hear the customer feedback on the impact that you're having, that's the most inspiring part because you know, you're generating value, you know, you're making a difference, especially in this complex times when the, the partnership gets tested where the, the right, you know, relationship gets built. We're being there for customers is extremely inspired. Now, as Michael mentioned, this is all about what customer needs and how do we go even ahead of the game so that we're ready not for what is the problem today, but the opportunities that we have tomorrow to keep working on this. We have a huge task ahead to be sure that we bring this value globally in the right way with the right quality. Every word, which is a, is never a small fist as you may imagine. You know, the, the world is a big place, but also the next wave of innovations that will be customer driven to keep and, and raise the bar on how, how much more value can we unlock and how much empowerment can we make for the customer to keep in innovating at their own pace, in their own terms. >>Absolutely that customer empowerment's key. Guys, it's been a pleasure talking to you about the announcement, Nutanix cloud clusters on Azure of our Michael, thank you for your time, your inputs and helping us understand the impact that this powerhouse relationship is making. >>Thank you for having Lisa and thank you Avara for joining me. >>Thank you, Lisa, Michael, it's been fantastic and looking forward and thank you to the audience for being here with us. Yeah, stay >>Tuned. Exactly. Thanks to the audience. >>Exactly. >>And stay tuned. There's more to come. We have coming up next, a deeper conversation on the announcement with Dave Valante and product execs from both and Microsoft. You won't wanna miss it.
SUMMARY :
Guys, it's great to have you on the program. what are you seeing in terms of the importance of the role of the the ISV ecosystem Well, first of all, thank you for the invitation and thank you Michael and the Nutanix team for the partnership. that we should expect this year and how do they align to Microsoft's vision in that frame, if I may, we are making this announcement today with Nutanix. our RDTs that the general availability of Nutanix Cloud clusters on Azure. So the things like, for example, cost to operations and keeping those things cost on And our customers love that for the products and our, our NPS score of 90 Let's into that uniqueness of our, bringing you back into the conversation, you guys are meeting customers And of course the welcome reception and modernize their environment to Azure, or they're bringing their, you know, And can you comment a little bit further, maybe both of you, of our, starting with you and then Michael, what are some of those do we have the ability to empower you to achieve the outcome that you want? And you know, a lot of companies, they embark on that migration. Talk to me about some of the customers and beta, you can even anonymize them or maybe talk about them by industry, migration and risk for that and making sure, hey, some of the applications maybe we are going to go and So this really kind of highlights the power of that Ava, the power of the ISB ecosystem and A absolutely, look, I mean, we strongly believe that when you partner properly on joy opportunities that we will manage as well as a very tight connection Yeah, and just to comment maybe a little bit more on what all Borrow said, you know, problems that they have, being competitive, getting products to market faster and all that good stuff. It felt like we were a single team, although it's, you know, two bar drug organizations working together, And then it's hard work and innovation and, you know, doing what we do best, And so I'm actually really proud of both of the teams that stepped up and, we'll start with you and then Lvra will wrap with you. So kind of maybe more immediate, like, you know, we mentioned obviously we have, It sounds really strongly that, that the partnership here, we're talking about Nutanix and Microsoft. the right, you know, relationship gets built. Guys, it's been a pleasure talking to you about the Thank you, Lisa, Michael, it's been fantastic and looking forward and thank you to the audience for being here with us. Thanks to the audience. on the announcement with Dave Valante and product execs from both and Microsoft.
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Keynote Analysis with Zeus Kerravala | VeeamON 2022
>>Hello, everybody. Welcome to Von 2022, the live version. Yes, we're finally back live. Last time we did Von was 2019 live. Of course we did two subsequent years, uh, virtual. My name is Dave Valante and we've got two days of wall to wall coverage of VEON. As usual Veeam has brought together a number of customers, but it's really doing something different this year. Like many, uh, companies that you see, they have a big hybrid event. It's close to 40,000 people online and that's sort of driving the actual program where the content is actually different for the, the, the virtual viewers versus the onsite onsite. There's the, the V I P event going on, they got the keynotes. VM is a company who's a ancy occurred during the, the VMware rise. They brought in a new way of doing data protection. They didn't use agents. They, they protected at the hypervisor level. >>That changed the way that people did things. They're now doing it again in cloud, in SAS, in containers and ransomware. And so we're gonna dig into that. My cohost is Dave Nicholson this week, and we've got a special guest Zs Carava who is the principal at ZK research. He's an extraordinary analyst Zs. Great to see you, David. Thanks for coming out. Absolutely good to see you Beon. Great to be here. Yeah, we've done. Von act, live things have changed so dramatically. Uh, I mean the focus ransomware, it's now a whole new Tam, uh, the adjacency to security data protection. It's just a Zs. It's a whole new ballgame, isn't it? >>Well, it is. And, and in fact, um, during the keynote, they, they mentioned that they've, they're now tied at number one in, for, you know, back of a recovery, which is, I think it's safe to say Veeam. Does that really well? >>I think from a that's tied with Dell. Yes. Right. They didn't, I don't think they met Dell as >>Keto. And, uh, but I, you know, they've been rising Dell, EMC's been falling. And so I think >>It's somebody said 10 points that Dell lost and sharing the I data. >>It's not a big surprise. I mean, they haven't really invested a whole lot, >>I think anyway, >>Anyways, but I think from a Veeam perspective, the question is now that they've kind of hit that number one spot or close to it, what do they do next? This company, they mentioned, I was talking the CTO yesterday. You mentioned they're holding X bite of customer data. That is a lot of data. Right. And so they, they do back recovery really well. They do it arguably better than anybody. And so how do they take that data and then move into other adjacent markets to go create, not just a back recovery company, but a true data management platform company that has relevancy in cyber and analytics and artificial intelligence and data warehousing. Right? All those other areas I think are, are really open territory for this company right now. >>You know, Dave, you were a CTO at, at EMC when you, when you saw a lot of the acquisitions that the company made, uh, you, you know, they really never had a singular focus on data protection. They had a big data protection business, but that's the differentiator with Veeam. That's all it does. And you see that shine through from a, from a CTO's perspective. How do you see this market changing, evolving? And what's your sense as to how Vema is doing here? >>I think a lot of it's being driven by kind of, uh, unfortunately evil genius, uh, out in the market space. Yeah. I know we're gonna be hearing a lot about ransomware, uh, a lot about some concepts that we didn't really talk about outside of maybe the defense industry, air gaping, logical air gaping, um, Zs, you mentioned, you know, this, this, this question of what do you do when you have so many petabytes of data under management exabytes now exabytes, I'm sorry. Yeah, I see there I'm I'm already falling behind. One thing you could do is you could encrypt it all and then ask for Bitcoin in exchange for access to that data. >>Yes. That is what happens a >>Lot of them. So we're, we're getting, we're getting so much of the evil genius stuff headed our way. You start, you start thinking in those ways, but yet to, to your point, uh, dedicated backup products, don't address the scale and scope and variety of threats, not just from operational, uh, uh, you know, mishaps, uh, but now from so many bad actors coming in from the outside, it it's a whole new world. >>See us as analysts. We get inundated with ransomware solutions. Everybody's talking about it across the spectrum. The thing that interested me about what's happening here at VEON is they're, they're sort of trotting out this study that they do Veeam does some serious research, you know, thousands of customers that got hit by ransomware that they dug into. And then a, a larger study of all companies, many of whom didn't realize or said they hadn't been hit by ransomware, but they're really trying to inject thought leadership into the equation. You saw some of that in the analyst session this morning, it's now public. Uh, so we could talk about it. What were your thoughts on that data? >>Yeah, that was, uh, really fascinating data cuz it shows the ransomware industry, the response to it is largely reactive, right? We wait to get breach. We wait to, to uh, to get held at ransom I suppose. And then we, a lot of companies paid out. In fact, I thought there's one hospital in Florida, they're buying lots and lots of Bitcoin simply to pay out ransomware attacks. They didn't even really argue with them. They just pay it out. And I think Veeam's trying to change that mentality a little bit. You know, if you have the right strategy in place to be more preventative, you can do that. You can protect your data and then restore it right when you want to. So you don't have to be in that big bucket of companies that frankly pay and actually don't get their data back. Right. >>And like a third, I think roughly >>It's shocking amount of companies that get hit by that. And for a lot of companies, that's the end of their business. >>You know, a lot of the recovery process is manual is again a technologist. You understand that that's not the ideal way to go. In fact, it's probably a, a way to fail. >>Well, recovery's always the problem when I was in corporate, it used to joke that we were the best at backup, terrible at recovery. Well, you know, that's not atypical. >>My Fred Fred Moore, who was the vice president of strategy at a company called storage tech storage technology, corpor of storage tech. He had a great, uh, saying, he said, backup is one thing. Recovery is everything. And he started, he said that 30 years ago, but, but orchestration and automating that orchestration is, is really vital. We saw in the study, a lot of organizations are using scripts and scripts are fragile here they break. Right? >>Yeah, no, absolutely. Absolutely. Um, unfortunately the idea of the red run book on the shelf is still with us. Uh, uh, you know, scripting does not equal automation necessarily in every case, there's still gonna be a lot of manual steps in the process. Um, but you know, what I hope we get to talk about during the next couple of days is, you know, some of the factors that go into this, we've got day zero exploits that have already been uncovered that are stockpiled, uh, and tucked away. And it's inevitable that they're gonna hit. Yeah. So whether it's a manual recovery process or some level of automation, um, if you don't have something that is air gapped and cut off from the rest of the world in a physical or logical way, you can't guarantee >>That the, the problem with manual processes and scripting is even if you can set it up today, the environment changes so fast, right? With shadow it and business units buying their own services and users storing things and you know, wherever, um, you, you can't keep up with scripts in manual. Automation must be the way and I've been, and I don't care what part of it. You work in, whether it's this area in networking, communications, whatever automation must be the way I think prior to the pandemic, I saw a lot of resistance from it pros in the area of mission. Since the pandemic, I've seen a lot of warming up to it because I think it pros, I just realized they can't do their job without it. So, so you >>Don't, you don't think that edge devices, uh, lend themselves to manual >>Recovery, no process. In fact, I think that's one of the things they didn't talk about. What's that is, is edge. Edge is gonna be huge. More, every retailer, I talk to oil and gas, company's been using it for a long time. I've, you know, manufacturing organizations are looking at edge as a way to put more data in more places to improve experiences. Cuz you're moving the data closer, but we're creating a world where the fragmentation of data, you think it's bad now just wait a couple of years until the edge is a little more, you know, uh, to life here. And I think you ain't see nothing yet. This is this world of data. Everywhere is truly becoming that. And the thing with edge is there's no one definition, edge, you got IOT edge cellular edge, campus edge, right? Um, you know, you look at hotels, they have their own edge. I talked to major league baseball, right? They have every, stadium's got its own edge server in it. So we're moving into a world. We're putting more data in more places it's more fragmented than ever. And we need better ways of managing Of securing that data. But then also being able to recover for when >>Things happen. I was having that Danny Allen, he used the term that we coined called super cloud. He used that in the analyst meeting today. And, and that's a metaphor for this new layer of cloud. That's developing to your point, whether it's on-prem in a hybrid across clouds, not just running on the cloud, but actually abstracting away the complexity of the underlying primitives and APIs. And then eventually to your point, going out to the edge, I don't know if anyone who has an aggressive edge strategy Veeam to its credit, you know, has gone well beyond just virtualization and gone to bare metal into cloud. They were the containers. There was first at SAS. They acquired Caston who was a partner of theirs and they tried to acquire them earlier, but there was some government things and you know, that whole thing that got cleaned up and now they've, they own Caston. And I think the edge is next. I mean, it's gotta be, there's gonna be so much data at the edge. I guess the question is where is it today? How much of that is actually persisted? How much goes back to the cloud? I don't think people really have a good answer for that yet. >>No. In fact, a lot of edge services will be very ephemeral in nature. So it's not like with cloud where we'll take data and we'll store it there forever with the edge, we're gonna take data, we'll store it there for the time, point in time we need it. But I think one of the interesting things about Veeam is because they're decoupled from the airline hardware, they can run virtual machines and containers, porting Veeam to whatever platform you have next actually isn't all that difficult. Right? And so then if you need to be able to go back to a certain point in time, they can do that instantly. It's, it's a fascinating way to do backup. Are >>You you' point about it? I mean, you remember the signs up and down, you know, near the EMC facility, right outside of Southborough no hardware agenda that that was Jeremy Burton when he was running Verto of course they've got a little hardware agenda. So, but Veeam doesn't Veeam is, you know, they they're friendly with all the hardware players of pure play software, couple other stats on them. So they're a billion dollar company. They've now started to talk about their ARR growth. They grew, uh, 27% last year in, in, in annual recurring revenue, uh, 25%, uh, in the most recent quarter. And so they're in, in the vast majority of their business is subscription. I think they said, uh, 73% is now subscription based. So they really trans transitioned that business. The other thing about vem is they they've come up with a licensing model that's very friendly. >>Um, and they sort of removed that friction early on in the process. I remember talking to TIR about this. He said, we are gonna incent our partners and make it transparent to them, whether it's, you know, that when we shift from, you know, the, the, the, the crack of, of perpetual license to a subscription model, we're gonna make that transparent to partners. We'll take care of that. Essentially. They funded that transition. So that's worked very well. So they do stand out, I think from some of the larger companies at these big portfolios, although the big portfolio companies, you know, they get board level contacts and they can elbow their ways in your thoughts on that sort of selling dynamic. >>So navigating that transition to a subscription model is always fraught with danger. Everybody wants you to be there, but they want you to be there now. Mm-hmm <affirmative>, they don't like the transition that happens over 1824 months to get there. Um, >>As a private company, they're somewhat shielded from what they would've been if they were appli. Sure, >>Exactly. But, but that, but that bodes well from a, from a, a Veeam perspective. Um, the other interesting thing is that they sit where customers sit today in the real world, a hybrid world, not everything is in the cloud or a single cloud, uh, still a lot of on-prem things to take care of. And, >>And there will be for >>A long time exactly. Back to this idea. Yeah. There's a very long tail on that. So it's, it's, it's well enough to have a niche product that addresses a certain segment of the market, but to be able to go in and say all data everywhere, it doesn't matter where it lives. We have you covered. Um, that's a powerful message. And we were talking earlier. I think they, they stand a really good shot at taking market share, you know, on an ongoing basis. >>Yeah. The interesting thing about this market, Dave is they're, you know, although, you know, they're tied to number one with Dell now, they're, it's 12%, right? This reminds me of the security industry five, six years ago, where it's so fragmented. There's so many vendors, no one really stood out right. Then what happened in security? It's a little company called Palo Alto networks came around, they created a platform story. They moved into adjacent markets like SDWAN, they did a lot of smart acquisitions and they took off. I think vem is at that similar point where they've now, you know, that 12% number they've got some capital. Now they could go do some acquisitions that they want do. There's lots of adjacent markets as they talk about this company could be the Palo Alto of the data management market, if you know, and based on good execution. But there's certainly the opportunities there with all the data that they're holding. >>That's a really interesting point. I wanna stay that in a second. So there's obviously, there's, there's backup, there's recovery, there's data protection, there's ransomware protection, there's SAS data protection. And now all of a sudden you're seeing even a company like Rubrik is kind of repositioning as a security play. Yeah. Which I'm not sure that's the right move for a company that's really been focused on, on backup to really dive into that fragmented market. But it's clearly an adjacency and we heard Anan the new CEO today in the analyst segment, you know, we asked him, what's your kinda legacy gonna look like? And he said, I want to, I want to, defragment this market he's looking at. Yeah. He wants 25 to 45% of the market, which I think is really ambitious. I love that goal now to your point, agree, he, he sure. But that doubles yeah. >>From today or more, and he gets there to your point, possibly through acquisitions, they've made some really interesting tuck-ins with Castin. They certainly bought an AWS, uh, cloud play years ago. But my, my so, uh, Veeam was purchased by, uh, private equity inside capital inside capital in January of 2020, just before COVID for 5 billion. And at the time, then COVID hit right after you were like uhoh. And then of course the market took off so great acquisition by insight. But I think an IPO is in their future and that's, uh, Zs when they can start picking up some of these adjacent markets through every day. >>And I think one of the challenges for them is now that the Holden XAB bited data, they need to be able to tell customers things they, the customer doesn't know. Right. And that's where a lot of the work they're doing in artificial intelligence machine learning comes into play. Right. And, and nobody does that better than AWS, right? AWS is always looking at your data and telling you things you don't know, which makes you buy more. And so I think from a Veeam perspective, they need to now take all this, this huge asset they have and, and find a way to monetize it. And that's by revealing these key insights to customers that the customers don't even know they have. And >>They've got that monitor monitoring layer. Um, it's if you called it, Danny, didn't like to use the term, but he called it an AI. It's really machine learning that monitors. And then I think makes recommendations. I want to dig into that a little bit with it. >>Well, you can see the platform story starting to build here. Right. And >>Here's a really good point. Yeah. Because they really have been historically a point product company. This notion of super cloud is really a platform play. >>Right. And if you look in the software industry, look across any, any segment of the software industry, those companies that were niche that became big became platforms, Salesforce, SAP, Oracle. Right. And, and they find a way to allow others to build on their platform. You know, companies, they think like a Citrix, they never did that. Yeah. And they kind of taped, you know, petered out at a certain level of growth and had to, you know, change. They're still changing their business model, in fact. But I think that's Veeam's at that inflection point, right. They either build a platform story, enable others to do more on their platform or they stagnate >>HP software is another good example. They never were able to get that platform. And we're not able bunch of spoke with it, a non used to work there. Why is it so important Dave, to have a platform over a product? >>Well, cynical, Dave says, uh, you have a platform because it attracts investment and it makes you look cooler than maybe you really are. Um, but, uh, but really for longevity, you have, you, you, you have to be a platform. So what's >>The difference. How do you know when you have platform versus it? APIs? Is it, yeah. Brett, is it ecosystem? >>Some of it is. Some of it is semantics. Look at when, when I'm worried about my critical assets, my data, um, I think of a platform, a portfolio of point solutions for backing up edge data stuff. That's in the cloud stuff that exists in SAS. I see that holistically. And I think guys, you're doing enough. This is good. Don't, don't dilute your efforts. Just keep focusing on making sure that you can back up my data wherever it lives and we'll both win together. So whenever I hear a platform, I get a little bit, a little bit sketchy, >>Well platform, beats products, doesn't >>It? Yeah. To me, it's a last word. You said ecosystem. Yes. When you think of the big platform players, everybody B in the customer, uh, experience space builds to build for Salesforce. First, if you're a small security vendor, you build for Palo Alto first, right? Right. If you're in the database, you build for Oracle first and when you're that de facto platform, you create an ecosystem around you that you no longer have to fund and build yourself. It just becomes self-fulfilling. And that drives a level of stickiness that can't be replicated through product. >>Well, look at the ecosystem that, that these guys are forming. I mean, it's clear. Yeah. So are they becoming in your view >>Of platform? I think they are becoming a platform and I think that's one of the reasons they brought on and in, I think he's got some good experience doing that. You could argue that ring kind of became that. Right. The, when, you know, when he was ring central. >>Yeah. >>Yeah. And, uh, so I think some, some of his experiences and then moving into adjacencies, I think is really the reason they brought him in to lead this company to the next level. >>Excellent guys, thanks so much for setting up VEON 20, 22, 2 days of coverage on the cube. We're here at the area. It's a, it's a great venue. I >>Love the area. >>Yeah. It's nice. It's a nice intimate spot. A lot of customers here. Of course, there's gonna be a big Veeam party. They're famous for their parties, but, uh, we'll, we'll be here to cover it and, uh, keep it right there. We'll be back with the next segment. You're watching the cube VEON 20, 22 from Las Vegas.
SUMMARY :
Like many, uh, companies that you see, Absolutely good to see you Beon. one in, for, you know, back of a recovery, which is, I think it's safe to say Veeam. I think from a that's tied with Dell. And so I think I mean, they haven't really invested a whole lot, And so how do they take that data and then move into other adjacent markets to And you see that shine through from I think a lot of it's being driven by kind of, uh, unfortunately evil genius, uh, uh, you know, mishaps, uh, but now from so many bad actors coming in from the outside, does some serious research, you know, thousands of customers that got hit by ransomware that they dug You know, if you have the right strategy in place to be more preventative, you can do that. And for a lot of companies, that's the end of their business. You know, a lot of the recovery process is manual is again a technologist. Well, you know, that's not atypical. And he started, he said that 30 years ago, but, but orchestration and automating that orchestration and cut off from the rest of the world in a physical or logical way, you can't guarantee services and users storing things and you know, wherever, um, you, And I think you ain't see nothing yet. they tried to acquire them earlier, but there was some government things and you know, that whole thing that got cleaned up and And so then if you need to be able to go back I mean, you remember the signs up and down, you know, near the EMC facility, although the big portfolio companies, you know, they get board level contacts and they can elbow their ways in your Everybody wants you to be there, but they want you to be there now. As a private company, they're somewhat shielded from what they would've been if they were appli. the other interesting thing is that they sit where customers sit market share, you know, on an ongoing basis. I think vem is at that similar point where they've now, you know, Anan the new CEO today in the analyst segment, you know, And at the time, then COVID hit right after you were like And I think one of the challenges for them is now that the Holden XAB bited data, they need to be able to tell Um, it's if you called it, Well, you can see the platform story starting to build here. Because they really have been historically a point product company. And they kind of taped, you know, Why is it so important Dave, to have a platform over a Well, cynical, Dave says, uh, you have a platform because it attracts investment and it makes you How do you know when you have platform versus it? sure that you can back up my data wherever it lives and we'll both win together. facto platform, you create an ecosystem around you that you no longer have to fund and build yourself. So are they becoming in your The, when, you know, when he was ring central. I think is really the reason they brought him in to lead this company to the next level. We're here at the area. They're famous for their parties, but, uh, we'll, we'll be here to cover it and,
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Eileen Haggerty & Jason Chaffee | CUBE Converstaion
(upbeat ambient music) >> Hey everyone, welcome to this CUBE Conversation. I'm your host, Lisa Martin. I've got NETSCOUT guests here with me today. Eileen Haggerty joins us, the AVP of product and solutions marketing and Jason Chaffee as well, senior product manager. We're going to be talking about gaps in edge visibility. Guys, great to have you on theCube. >> Yeah, thanks Lisa, I really appreciate it. I appreciate the time to be able to talk with everyone. >> Good to be here. >> Yeah. All right, Eileen, we're going to start with you. Oh, what a last two years we have had, COVID, digital transformation massively accelerated, it also both changed networking dynamics over the last couple of years. How has that changed? >> Yeah, and that's the absolute truth. I think we've really seen it in the huge swings where people are performing their jobs right now. You know, I think when people went home two years ago to do their jobs, no one ever expected we where we would be two years later, right? There's really been a variety of different stages from totally working at home to now where you see an awful lot of hybrid work. People splitting their time between the offices and home. That's really where we're at right now. And in fact, some of the studies that we've been reading up on and seeing, majority of workers actually really prefer a hybrid work model, I can understand that. (chuckles) As well the managers believe they are going to have some of their employees that work from a remote location on a regular basis going forward too. So that becomes one of the biggest issues that we have to support them from an IT perspective and a corporate of going forward. One aspect was interesting, two thirds of high revenue growth companies are really embracing hybrid work. This is going to require a couple of things though. Business continuity has depended on this model now, remote workers have been a part of it and we need applications in the network to support that as well as it used to when they were all based in one set of buildings, right? So one of the things that we find IT executives lamenting, some think that they have a lot of confidence in being able to troubleshoot problems when employees are having them remotely, others are actually not quite so confident. So we're going to have to look at this as an industry and help them assure IT infrastructure and services are performing flawlessly so that the hybrid workforce can be successful. >> Yeah, that hybrid environment, it's kind of like must embrace at this point. But Jason, there brings some network complexity to this. The digital transformation was absolutely essential, right, the last couple of years for businesses to first survive and then to thrive, but network complexity has increased. Jason, walk us through what the communications path looks like in today's hybrid environment. >> Yeah, Lisa, it really has. It's just become more complex, you know, in today's hybrid environment and the whole digital transformation, there's really three areas of visibility or three location types if you will that they really need to have to focus on. And one is sort of that data center, cloud services edge and then there's the network edge. And now the ever expanding and growing client edge and really what's common about all of these different edges is this is where the traffic gets altered and crosses across those two domains or those multiple domains really. And so what happens there is those are areas where problems can occur and these are possibly, if not probably blind spots for IT. So when you think about these different edges, like the service edge, just as your private data center or the cloud where applications that are actually hosted or the network edge are going through colocations and WANs and through the internet and your typical kind of network throughout the whole organization. And then lastly is the client edge. And the client edge is again, just continues to grow. And this, people now working from home as Eileen was just talking about and remote offices or their home one day and a remote office the next day and whatever that might be and heck, they might be working in coffee shops or in the corporate headquarters. So it's just really added complexity. And as we get further away from the data center, we start to lose all of that infrastructure that we own and can control. And so it makes it difficult to really manage and understand that. In fact, I think that's probably one of the biggest consequences or challenges of this whole digital transformation. You know, it's made it real easy for those of us to work from home and all these new systems, and it's real simple to work from literally anywhere, but it's just made it that much more complex and challenging for the IT organization to really be able to manage and kind of provide that ubiquitous end user experience regardless of where the users are. You know, kind of last point, I was just thinking about this is, when you think about an organization that maybe has 30,000 employees and if 80,000 of those sudden, or 80% of those suddenly got sent home and had to work during COVID and the whole pandemic, and maybe they're hybrid now, well, that's 24 to 25,000 employees that are really key to your revenue and customer satisfaction. So IT organizations just simply can't afford not to invest in all of this and really try and to understand these complexities and make sure that everything's working the way it should for productivity for the company. >> That's a great point, Jason, as consumers, we are so demanding. That's I think one of the things in COVID that went away was patients and maybe it's slowly coming back but the customer satisfaction, the brand reputation, those are all things that are dependent on solid networking. And of course IT challenges, IT is challenged to to really smooth out those challenges. But Eileen, as employees and end users, we've faced a lot of challenges. I know I have in the last couple of years. Walk us through some of those main pain points that the employees and the end users have been through in the last two years. >> You couldn't be more on spot there. So we really haven't. The irony is all of us on this call have been amongst the ones who have probably suffered from some of these issues as well. You know, one of the things that we found during this period is all of us were coming in over VPN or on video desktop interfaces like Citrix and others. And we were connecting to data center applications and software as service apps for everything. You know, it could be customer order processing, customer records, emails, and in any time or place that we were accessing, we could have slow responsiveness, we could have log issues, we had timeouts. I think one of the interesting ones was communications apps that became huge overnight, Teams, Zoom, WebEx, and those have had issues for us too. They had connection issues, poor quality voice, terrible video. So it became a very frustrating period of time in many cases for employees, they're there to deliver customer care, protect the corporate revenue. But networks and application disruptions counter that. So leading to productivity loss, that's a big issue and a concern. And certainly one of the bigger worries is customer dissatisfaction. But I'd say, you know what's fascinating here too is IT staffs were equally frustrated but for different reasons during this period. They were combating network and application issues for these employees. And usually, they were used to everybody being in one location or to a few buildings and they had total control if you will. Now they're managing 100s and sometimes 1000s of locations known as homes and those staff members we've heard them say things like, they felt like they were losing sight of the remote workforce or simply losing control. And hybrid work models, as they become the norm for many of these organizations, groups of IT professionals still have to ensure the quality of service performance for those employees wherever they do their jobs, home, remote offices or headquarters, and for any application wherever it happens to be hosted. So this is a big challenge. >> Big challenge for IT. You talked about that customer satisfaction. Reminded me of one time I was on the phone with a contact center and I heard a dog barking in the background and I first I thought was that my dog and I thought, no, that customer contact center person is also stuck working from home. Talk about losing control of your environment. But Jason, next question is actually for both of you and Jason, I'll start with you, how does IT assure performance? I mean, it's hard to manage, talk to us about that. >> Well, yeah, Lisa, really kind of as Eileen just said, we used to all sort of be in the same common area in the headquarters. And so people, you know, the IT organization was looking at things like the data center or server farms or internet links just going into and out of the headquarters or off to the data center itself. And so, but that's just not really the case anymore. And as people continue again, as I said before, work from literally anywhere, it's just made the ecosystem that much more challenging and much more complex and bigger frankly to try to manage. And so I think what you really need to do is you see something where it's challenging because the old adage is you just can't manage what you can't see. And so that's become that challenge. And I think what you need is visibility at every edge including up to the client edge that we've been talking about so that you can do things like track and trend volumes and bandwidth and capacity and application utilization and all the different things that make up that end user experience. You need that visibility from all of those locations to really understand and see what's going on from there. >> Eileen, what's your take? >> Well, Jason makes a bunch of valid points. I think what triggers in my mind as he was speaking was that there are other enterprises that have very specific remote locations which present themselves a very different kind of importance for value of the performance assurance. There's banks. They have financial transactions that are going on there, which are instantaneous in nature or need to be for a variety of different reasons, right? Factory plants they've been now wirelessly or WiFi driven production lines. And as a result, any disruption in that production line could have it turned off for 20 minutes an hour. And that has a deep impact to the business as well. Retail stores and distribution centers. This one rings probably for everybody, 'cause during this period of time, we were all online and we were ordering things, right? And so any issues with disruptions, slow downs from those types of remote locations for touchless pickup for the ability to go to a store or get something picked up that day, this was critical. And we all know those services broke down for one reason or another and it created a bit of a problem if you didn't have the right snack for the four year old today. >> Right, definitely the four year old losing control or losing patients, the poor parent. Jason, you talked about visibility and you said something really poignant, you can't manage what you can't see, what is needed for IT to have that visibility as this environment just scattered, what's needed to effectively manage it? >> Yeah. Lisa, you know I think as you just said, and as I said earlier, I think the real key is visibility at every edge and all of the different edges that we've talked about including the home user and it's really been impractical and expensive to instrument at every one of those, especially at all the home locations which are now everybody's home work office. And you just really can't get a view into it. And of course there's some solutions out there that sort of gives you a view of what's going on, what's that end user experience. And, but it doesn't really tell you why. And I think that's one of the key components of that. So as I think about this large new hybrid ecosystem, I think there's really three main things that you need in order to do that. And the first of all, again, is that complete visibility at every edge. And to me that means a combination of both passive and active synthetic based monitoring. So you're passive monitoring where you're actually looking at the real user traffic, and detecting trends and being able to understand what's going on there. But then you also do need, there's a time and a place for that synthetic active testing where we're getting an understanding and a baseline where we're testing continuously and automatically to understand what that end user experience is and understand what performance should look like. But as I mentioned, I think that's just not necessarily enough to do just do synthetics from those synthetic locations. I think it's really key to be able to get deep down into the wire day or the packets of that to really understand why something is happening. You know, for instance, today there might be an issue and you can say, well, I see it's a DNS issue. Hey, DNS guy, go off and try to fix this and figure out what's going on. Well, again, I think you need that visibility, you need a solution that can pull the packets back and give you that combination of both of those things. The next thing I think. >> So. >> Oh, sorry, go ahead. >> Go ahead. >> Well, the next thing I was going to say that I think that's really critical and key is tools that can manage the complexity as you go across all of these. I mean, there's just so many tools out there that are, SaaS and Ucast, your WebEx, Zoom teams, all of those. And it's just frankly, almost impossible to be an expert on all of those different solutions that you might have. And of course they have their own management platform forms that make it, so you can kind of see what's going on but being able to understand and see how to fix WebEx for instance, doesn't really help you when one of your users happens to be having a problem with teams. And so I think again, you need a solution that can go across all of those different applications to be able to see what's going on. And then thirdly, I think is the key, one of the key components is service and application collaboration. And what I mean by this is you need a tool that can give you the ability to have proof and evidence that you can share with your service providers, your application providers because they're very complex, right? They all have dozens of servers in different parts of the world, in different parts of the country. And frankly, they're going to probably blame you first, they're going to say, no, this is something on your end. And it really adds to the time of troubleshooting and get resolution. But if you can actually have that data to say, hey, I can see exactly what's going on. And it's this server at this data center and it's causing high retransmissions or latency. That just makes again more of a collaborative effort but allows you to sort of put all of those things together and stop the finger pointing and blame game and be able to solve those solutions much more quickly. So again, I think it's really a combination of active and passive together all in one console or one solution that really gives you that visibility across all of the different environments that we might have today. >> All those different environments, and there still are so many. Eileen, how have you seen this? How has NETSCOUT seen this actually in practice and how have the tool that you and talked about, how is it actually helping to give the visibility, to reduce the complexity and to ensure that ultimately the end users and the employees are productive so that the customers can be happy? >> Yeah, and you know, it's interesting as he was talking, I was thinking one of the accounts that I've talked to, an organization that's based in software development and they literally have offices all over the world. The hybrid workforce model is their choice going forward. And most of those worldwide employees are part of the sales and support organization for local prospects and customers. So one of the biggest things that's critical to them is communications. And that has to be top of their concerns for quality. The other business related applications are equally important because as you're talking to them, you're pulling those services up and they are in fact using solutions for looking at those edges, the WAN links are key for visibility. They're able to look at the inbound and outbound traffic at those locations. And then what they're able to do is to do two things, one, like Jason was talking about, collaborate, work with those local WAN providers. They're all different over the world. So you really need to build a relationship with them, you have to have some evidence and they're able to do that now. It helps them cost effectively and proactively plan bandwidth changes, and that's really important too. They're also using the synthetic testing that Jason referred to. These locations have the buildings able to test for different applications that are going to be important to the business that's at that location. They do it over ethernet, so for the people with hardwired desks, they can see what the traffic experience is. And then for those that are in open spaces or conference rooms on using WiFi, they're measuring there as well. They want to make sure that no matter where you sit in the office and how you connect, the quality is the same and that's important. Bottom line, they're being able to reduce dramatically the time it's taken to troubleshoot and resolve issues as they emerge. It's great. >> That is great. And of course, as we all have that patience limitation, that speed is key there. Guys, thank you so much for joining me talking about not just the gaps in edge visibility but the ways that they can be remedied and fixed so that ultimately customer satisfaction, employee productivity, all things are harmonious. We appreciate your insights. >> Absolutely, thank you. >> Thank you. >> For Eileen Haggerty and Jason Chaffee I'm Lisa Martin, you're watching a CUBE Conversation. 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Suni Potti & Lior Div | CUBE Conversation, October 2021
hello and welcome to this special cube conversation i'm dave nicholson and this is part of our continuing coverage of google cloud next 2021 i have two very special guests with me and we are going to talk about the topic of security uh i have sunil potti who is vice president and general manager of google cloud security uh who in a previous life had senior leadership roles at nutanix and citrix along with lior div who is the ceo and co-founder of cyber reason lior was formerly a commander in the much famed unit 8200 uh part of the israeli defense forces uh where he was actually a medal of honor recipient uh very uh honored to have him here this morning sunil and lior welcome to the cube sunil welcome back to the cube yeah great to be here david and and to be in the presence of a medal of honor recipient by the way a good friend of mine leor so be here well good to have both of you here so uh i'm the kind of person who likes my dessert before my uh before my entree so why don't we just get right to it you're the two of you are here to announce something very very significant uh in the field of security uh sunil do you want to start us out what are we here to talk about yeah i mean i think maybe uh you know just to set this context um as as many of you know about a decade ago a nation's sponsored attack you know actually got into google plus a whole bunch of tech companies you know the project aurora was quite uh you know infamous for a certain period of time and actually google realized almost a decade ago that look you know security can't just be a side thing it has to be the primary thing including one of the co-founders becoming for lack of a better word the chief security officer for a while but one of the key takeaways from that whole incident was that look you have to be able to detect everything and trust nothing and and the underpinning for at least one of them led to this whole zero trust architectures that everybody now knows about but the other part which is not as popular at least in industry vernacular but in many ways equally important and some ways more important is the fact that you need to be able to detect everything so that you can actually respond and that led to the formation of you know a project internal to google to actually say that look let's democratize uh storage and make sure that nobody has to pay for capturing security events and that led to the formation of this uh new industry concept called a security data lake in chronicle was born and then as we started evolving that over into the enterprise segment partnering with you know cyber reason on one hand created a one plus one equals three synergy between say the presence around what do you detect from the end point but also generally just so happens that as lior will tell you the cyber reason technology happens to start with endpoint but it's actually the core tech is around detecting events but doing it in a smart way to actually respond to them in much more of a contextual manner but beyond just that you know synergy between uh you know a world-class planet scale you know security data like forming the foundation and integrating you know in a much more cohesive way with uh cyber reasons detection response offering the spirit was actually that this is the first step of a long journey to really hit the reset button in terms of going from reactive mode of security to a proactive mode of security especially in a nation-state-sponsored attack vector so maybe leo you can speak a few minutes on that as well absolutely so um as you said i'm coming from a background of uh nation state hacking so for us at cyberism it's uh not is foreign uh what the chinese are doing uh on a daily basis and the growing uh ransomware cartel that's happening right now in russia um when we looked at it we said then uh cyberism is very famous by our endpoint detection and response capability but when we establish cyber reason we establish the cyberism on a core or almost fundamental idea of finding malicious operation we call it the male idea so basically instead of looking for alerts or instead of looking for just pieces of data we want to find the hackers we want to find the attack we want to be able to tell basically the full story of what's going on uh in order to do that we build the inside cyberism basically from day one the ability to analyze any data in real time in order to stitch it into the story of the male the malicious operation but what we realize very quickly that while our solution can process more than 27 trillion events a week we cannot feed it fast enough just from end point and we are kind of blind when it comes to the rest of the attack surface so we were looking uh to be honest quite a while for the best technology that can feed this engine and to as sunil said the one plus one equal three or four or five to be able to fight against those hackers so in this journey uh we we found basically chronicle and the combination of the scale that chronicle bringing the ability to feed the engine and together basically to be able to find those hackers in real time and real time is very very important and then to response to those type of attack so basically what is uh exciting here we created a solution that is five times faster than any solution that exists right now in the market and most importantly it enables us to reverse the atmospheric advantage and basically to find them and to push them out so we're moving from hey just to tell you a story to actually prevent hackers to being in your environment so leor can you i want to double click on that just just a little bit um can you give give us a kind of a concrete example of this difference between simply receiving alerts and uh and actually um you know taking taking uh uh correlating creating correlations and uh and actually creating actionable proactive intelligence can you give us an example of that working in in the real world yeah absolutely we can start from a simple example of ransomware by the time that i will tell you that there is a ransomware your environment and i will send an alert uh it will be five computers that are encrypted and by the time that you gonna look at the alert it's gonna be five thousand uh basically machines that are encrypted and by the time that you will do something it's going to be already too little too late and this is just a simple example so preventing that thing from happening this is critical and very timely manner in order to prevent the damage of ransomware but if you go aside from ransomware and you look for example of the attack like solarwind basically the purpose of this attack was not to create damage it was espionage the russian wanted to collect data on our government and this is kind of uh the main purpose that they did this attack so the ability to be able to say hey right now there is a penetration this is the step that they are doing and there is five ways to push them out of the environment and actually doing it this is something that today it's done manually and with the power of chronicle and cyberism we can do it automatically and that's the massive difference sunil are there specific industries that should be really interested in this or is this a is this a broad set of folks that should be impacted no you know in some ways uh you know the the the saying these days to learn's point on ransomware is that you know if if a customer or an enterprise has a reasonable top-line revenue you're a target you know you're a target to some extent so in that sense especially given that this has moved from pure espionage or you know whether it be you know government oriented or industrial espionage to a financial fraud then at that point in time it applies to pretty much a wide gamut of industries not just financial services or you know critical infrastructure companies like oil and gas pipeline or whatever it could be like any company that has any sort of ip that they feel drives their top line business is now a target for such attacks so when you talk about the idea of partnership and creating something out of a collaboration what's the meat behind this what what what do you what are you guys doing beyond saying you know hey sunil lior these guys really like each other and they respect what the other is doing what's going on behind the scenes what are you actually implementing here moving forward so every partnership is starting with love so it's good [Laughter] but then it need to translate to to really kind of pure value to our customers and pure value coming from a deep integration when it's come to the product so basically uh what will happen is every piece of data that we can collect at cyber is in uh from endpoint any piece of data that the chronicle can collect from any log that exists in the world so basically this is kind of covering the whole attack surface so first we have access to every piece of information across the full attack surface then the main question is okay once you collect all this data what you're gonna do with it and most of companies or all the companies today they don't have an answer they're saying oh we're gonna issue an alert and we hope that there is a smart person behind the keyboard that can understand what just happened and make a decision and with this partnership and with this integration basically we're not asking and outsourcing the question what to do to the user we're giving them the answer we're telling them hey this is the story of the attack this is all the pieces that's going on right now and in most cases we're gonna say hey and by the way we just stopped it so you can prevent it from the future when will people be able to leverage this capability in an integrated way and and and by the way restate how this is going to market as an integrated solution what is what is the what is what are we going to call this moving forward so basically this is the cyber reason xdr uh powered by chronicle and we are very very um uh happy about it yeah and i think just to add to that i would say look the the meta strategy here and the way it'll manifest is in this offering that comes out in early 2022 um is that if you think about it today you know a classical quote-unquote security pipeline is to detect you know analyze and then respond obviously you know just just doing those three in a good way is hard doing it in real time at scale is even harder so just that itself was where cyber reason and chronicle would add real value where we are able to collect a lot of events react in real time but a couple of things that i think that you know to your original point of why this is probably going to be a little for game changer in the years to come is we're trying to change that from detect analyze respond to detect understand and anticipate so because ultimately that's really how we can change you know the profile from being reactive in a world of ransomware or anything else to being proactive against a nation sponsored or nation's influenced attacks because they're not going to stop right so the only way to do this is to rather than just go back up the hatches is just really you know change change the profile of how you'll actually anticipate what they were probably going to do in 6 months or 12 months and so the the graph technology that powers the heart of you know cyber reason is going to be intricately woven in with the contextual information that chronicle can get so that the intermediate step is not just about analysis but it's about truly understanding the overall strategy that has been employed in the past to predict what could happen in the future so therefore then actions could be taken downstream that you can now say hey most likely this these five buckets have this kind of personal information data there's a reasonable chance that you know if they're exposed to the internet then as you create more such buckets in that project you're going to be susceptible to more ransomware attacks or some other attacks right and that's the the the kind of thinking or the transformation that we're trying to bring out with this joint office so lior uh this this concept of uh of mallops and uh cyber reason itself you weren't just born yesterday you've been you've been uh you have thousands of customers around the globe he does look like he was born i i know i know i know well you you know it used to be that the ideal candidate for ceo of a startup company was someone who dropped out of stanford i think it's getting to the point where it's people who refused admission to stanford so uh the the dawn of the 14 year old ceo it's just it's just around the corner but uh but lior do you get frustrated when you see um you know when you become aware of circumstances that would not have happened had they implemented your technology as it exists today yeah we have a for this year it was a really frustrating year that starting with solarwind if you analyze the code of solarwind and we did it but other did it as well basically the russians were checking if cyberism is installed on the machine and if we were installed on the machine they decided to stop the attack this is something that first it was a great compliment for us from you know our not friend from the other side that decided to stop the attack but on a serious note it's like we were pissed because if people were using this technology we know that they are not going to be attacked when we analyze it we realize that we have three different ways to find the solar wind hackers in a three different way so this is just one example and then the next example in the colonial pipeline hack we were the one that found darkseid as a group that we were hacking we were the first one that released a research on them and we showed how we can prevent the basically what they are doing with our technology so when you see kind of those type of just two examples and we have many of them on a daily basis we just know that we have the technology in order to do that now when we're combining uh the chronicle technology into the the technology that we already have we basically can reverse the adversary advantage this is something that you're not doing in a single day but this is something that really give power to the defenders to the communities of siso that exist kind of across the us um and i believe that if we're going to join forces and lean into this community and and basically push the solution out the ability for us to fight against those cartels specifically the ransomware cartels is going to be massive sunil this time next year when we are in uh google cloud next 2022 um are you guys going to come back on and offer up the we told you so awards because once this is actually out there and readily available the combination of chronicle and cyber reasons technology um it's going to be hard for some csos to have an excuse uh it may be it may be a uncomfortable to know that uh they could have kept the door secure uh but didn't yeah where's that bad business is that bad business to uh hand out awards for doing dumb things i don't know about uh you know a version of darwin awards probably don't make sense but but but generally speaking so i do think uh you know we're all like as citizens in this right because you know we talk about customers i mean you know alphabet and google is a customer in some ways cyber reason is a customer the cube is a customer right so i think i think the robot hitting the road a year from now will be we should we should do this where i don't know if the cube does more than two folks at the same time david but we should i mean i'm sure we'll have enough to have at least a half a dozen in in the room to kind of talk about the solution because i think the the you know as you can imagine this thing didn't materialize i mean it's been being cooked for a while between your team and our team and in fact it was inspired by feedback from some joint customers out in the market and all that good stuff so so a year from now i think the best thing would be not just having customers to talk about the solution but to really talk about that transformation from respond to anticipate and do they feel better on their security posture in a world that they know like and leo should probably spend a few minutes on this is i think we're on the tip of the sphere of this nation-state era and what we've just seen in the last few years is what maybe the nation-states have seen over two decades ago and they're going to run those playbooks on the enterprise for the next decade or so yeah leor talk about that for a minute yeah it's it's really you know just to continue the sunil thought it's it's really about finding the unknown because what's happening on the other side it's like specifically china and russia and lately we saw iran starting to gain uh power um basically their job is to become better and better and to basically innovate and create a new type of attack on a daily basis as technology has evolved so basically there is a very simple equation as we're using more technology and relying more on technology the other side is going to exploit it in order to gain more power espionage and create financial damage but it's important to say that this evolution it's not going to stop this is just the beginning and a lot of the data that was belong just to government against government fight basically linked in the past few years now criminals starting to use it as well so in a sense if you think about it what's happening right now there is basically a cold war that nobody is talking about it between kind of the giant that everybody is hacking everybody and in the crossfire we see all of those enterprises across the world it was not a surprise that um you know after the biden and putin uh meeting suddenly it was a quiet it was no ransomware for six weeks and after something changing the politics suddenly we can see a a groin kind of attack when it's come to ransomware that we know that was directed from russia in order to create pressure on the u.s economy sunil wrap us up what are your f what are what are your final thoughts and uh what's what's the what's the big takeaway here no i think you know i i think the key thing for everyone to know is look i think we are going into an era of state-sponsored uh not espionage as much as threat vectors that affect every business and so in many ways the chiefs the chief information security officer the chief risk officer in many ways the ceo and the board now have to pay attention to this topic much like they paid attention to mobile 15 years ago as a transformation thing or maybe cloud 10 years ago i think cyber has been one of those it's sort of like the wireless error david like it existed in the 90s but didn't really break around until iphone hit or the world of consumerization really took off right and i think we're at the tip of the spear of that cyber really becoming like the era of mobile for 15 years ago and so i think that's the if there's like a big takeaway i think yes there's lots of solutions the good news is great innovations are coming through companies like cyber reason working with you know proven providers like google and so forth and so there's a lot of like support in the ecosystem but i think if there was one takeaway that was that everybody should just be ready internalized we don't have to be paranoid about it but we anticipate that this is going to be a long game that we'll have to play together well with that uh taking off my journalist hat for a moment and putting on my citizen hat uh it's reassuring to know that we have really smart people working on this uh because when we talk about critical infrastructure control systems and things like that being under threat um that's more significant than simply having your social security number stolen in a in a data breach so um with that uh i'd like to thank you sunil leor thank you so much for joining us on this special cube conversation this is dave nicholson signing off from our continuing coverage of google cloud next 2021 [Music] you
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Peter Cho | KubeCon + CloudNativeCon NA 2021
(soft techno music) >> Good evening. Welcome back to the Kube. Live in Los Angeles. We are at KubeCon Cloud Native Con 2021. Lisa Martin with Dave Nicholson, rounding out our day. We're going to introduce you to a new company, a new company that's new to us. I should say, log DNA. Peter Choi joins us the VP of product. Peter, welcome to the program. >> Thanks for having me. >> (Lisa) Talk to us about log DNA. Who are you guys? What do you do? >> So, you know, log DNA is a log medicine platform. Traditionally, we've been focused on, you know, offering log analysis, log management capabilities to dev ops teams. So your classic kind of troubleshooting, debugging, getting into your systems. More recently, maybe in like the last year or so we've been focused on a lot of control functionality around log medicine. So what I mean by that is a lot of people typically think of kind of the analysis or the dashboards, but with the pandemic, we noticed that you see this kind of surge of data because all of the services are being used, but you also see a downward pressure on cost, right? Because all of a sudden you don't want to be spending two X on those digital experiences. So we've been focused really on kind of tamping down kind of controls on the volume of log data coming in and making sure that they have a higher kind of signal and noise ratio. And then, you know, I'll talk about it a little bit, but we've really been honing in on how can we take those capabilities and kind of form them more in a pipeline. So log management, dev ops, you know, focusing on log data, but moving forward really focused on that flow of data. >> (Dave) So, when you talk about the flow of data and logs that are being read, make this a little more real, bring it up, bring it up just to level in terms of data, from what? >> Yeah. >> What kind of logs? What things are generating logs? What's the relevant information that's being. Kept track of? >> Yeah, I mean, so from our perspective, we're actually agnostic to data source. So we have an assist log integration. We have kind of basic API's. We have, you know, agents for any sort of operating system. Funny enough people actually use those agents to install, log DNA on robots, right? And so we have a customer they're, you know, one of the largest E-commerce platforms on, in the, in the world and they have a warehouse robots division and they installed the agent on every single one of those robots. They're, you know, they're running like arm 64 processors and they will send the log data directly to us. Right? So to us, it's no different. A robot is no different from a server is no different from an application is no different from a router. We take in all that data. Traditionally though, to answer your question, I guess, in the simplest way, mostly applications, servers, firewalls, all the traditional stuff you'd expect kind of going into a log platform. >> So you mentioned a big name customer. I've got a guess as to who that is. I won't, I won't say, but talk to us about the observability pipeline. What is that? What are the benefits in it for customers? >> (Peter) Sure. So, like if we zoom out again, you know, you think about logs traditionally. I think a lot of folks say, okay, we'll ingest the logs. We'll analyze them. What we noticed is that there's a lot of value in the step before that. So I think in the earlier days it was really novel to say, Hey, we're going to get logs and we're going to put it into a system. We're going to analyze it. We're going to centralize. Right. And that had its merits. But I think over time it got a little chaotic. And so you saw a lot of the vendors over the last three years consolidating and doing more of a single pane of glass, all the pillars of observability and whatnot. But then the downside of that is you're seeing a lot of the teams that are using that then saying being constrained by single vendor for all the ways that you can access that data. So we decided that the control point being on the analysis side on, on the very far right side was constricting. So we said, okay, let's move the control point up into a pipeline where the logs are coming to a single point of ingress. And then what we'll do is we will offer views, but also allow you to stream into other systems. So we'll allow you to stream into like a SIM or a data warehouse or something, something like that. Right? So, and you know, we're still trying to like nail down the messaging. I'm sure our marketing person's going to roast me after this. But the simplest way to think of observability pipeline is it's the step before the analysis part, that kind of ingest processes and routes the data. >> (Dave) Yeah. This is the Kube, by the way, neither one of us is a weather reporter. (laughing) So, so the technical stuff is good with us. >> Yes. It is. What are, and talk to us about some of the key features and capabilities and maybe anything that's newly announced are going to be announced. >> Yeah. For sure. So what we recently announced early access on is our streaming capabilities. So it's something that we built in conjunction with IBM and with a couple of, you know, large major institutions that we were working with on the IBM cloud. And basically we realized as we were ingesting a log data, some of those consumers wanted to access subsets of that data and other systems such as Q radar or, you know, a security product. So we ended up taking, we filtered down a subset of that data and we stream it out into those systems. And so we're taking those capabilities and then bringing it into our direct product, you know, whatever you access via logging.com. That is what's essentially going to be the seed for the kind of observability pipeline moving forward. So when you start thinking about it, all of this stuff that I mentioned, where we say, we're focusing on control, like allowing you to exclude logs, allowing you to transform logs, you take those processing capabilities, you take the streaming capabilities, you put them together and all of a sudden that's the pipeline, right? So that's the biggest focus for us now. And then we also have supporting features such as, you know, control API's. We have index rate alerting so that you can get notified if you see aberrations in the amount of flow of data. We have things like variable retention. So when a certain subset of logs come in, if you want it store it for seven days or 30 days, you can go ahead and do that because we know that a large block of logs is going to have many different use cases and many different associated values, right? >> So let's pretend for a moment that a user, somebody who has spent their money on log DNA is putting together a Yelp review and they've given you five stars. >> Yup. >> What do they say about log DNA? Why did they give you that five star rating? >> Yeah. Absolutely. I think, you know, the most common one and it's funny it's Yelp because we actually religiously mine, our G2 crowd reviews. (all laughing) And so the thing that we hear most often is, it's ease of use, right? A lot of these tools. I mean, I'm sure, you know, you're talking to founders and product leaders every day with developers. Like the, the bar, the baseline is so low, you know, a lot of, a lot of organizations where like, we'll give them the, you know, their coders, they'll figure it out. We'll just give them docs and they'll figure it out. But we, we went a little bit extra in terms of like, how can we smooth that experience so that when you go to your computer and you type in QTPL, blah, blah, blah, two lines, and all of a sudden all your logs are shipping from your cluster to log DNA. So that's the constant theme for us in all of our views is, Hey, I showed up, I signed up and within 30 minutes I had everything going that I needed to get. >> (Lisa) So fast time to value. >> Yes. >> Which is critical these days. >> Absolutely. >> Talk to me. So here we are at, at KubeCon, the CNCF community is huge. I think I, the number I saw yesterday was 138,000 contributors. Lots of activity, because we're in person, which is great. We can have those hallway networking conversations that we haven't been able to have in a year and a half. What are some of the things that you guys have heard at the booth in terms of being able to engage with the community again? >> You know, the thing that we've heard most often is just like having a finger on the pulse. It's so hard to do that because you know, when we're all at our computers, we just go from zoom to zoom. And so it, it like, unless it punches you in the face, you're not aware of it. Right. But when you come here, you look around, you go, you can start to identify trends, you hear the conversations in the hallway, you see the sessions. It's just that, that sense of, it's almost like a Phantom limb that, that sense of community and being kind of connected. I think that's the thing that we've heard most often that people are excited. And, you know, I think a lot of us are just kind of treating this like a dry run. Like we're kind of easing our way back in. And so it, you know, it felt good to be back. >> Well, they've done a great job here, right? I mean, you have to show your proof of vaccination. They're doing temperature checks, or you can show your clear health pass. So they're making it. We were talking to the executive director of CNCF earlier today and you're making it, it's not rocket science. We have enough data to know that this can be done carefully and safely. >> (David) Don't forget the wristbands. >> That's right. And, and did you see the wristbands? >> (Peter) Oh yeah. >> Yeah, yeah that's great. >> Yep, it is great. >> I was, I was on the fence by the way. I was like, I was a green or yellow, depending on the person. >> (both) Yeah. >> Yeah. But giving, giving everybody the opportunity to socialize again and to have those, those conversations that you just can't have by zoom, because you have somebody you've seen someone and it jogs your memory and also the control of do I want to shake someone's hand or do I not. They've done a great job. And I think hopefully this is a good test in the water for others, other organizations to learn. This can be done safely because of the community. You can't replicate that on video. >> (Peter) Absolutely. And I'll tell you this one for us, this is our, this is our event. This is the event for us every single year. We, we it's the only event we care about at the end of the day. So. >> What are some of the things that you've seen in the last year, in terms of where, we were talking a lot about the, the adoption of Kubernetes, kind of, where is it in its maturation state, but we've seen so much acceleration and digital transformation in the last 18 months for every industry businesses rapidly pivoting multiple times to try to, to survive one and then figure out a new way to thrive in this, this new I'll call it the new. Now I'll borrow that from a friend at Citrix, the new now, not the new normal, the new now, what are some of the things that you've seen in the last year and a half from, from your customer base in terms of what have they been coming to you saying help? >> (Peter) You know, I think going back to the earlier point about time to value, that's the thing that a lot. So a lot of our customers are, you know, very big Kubernetes, you know, they're, they're big consumers of Kubernetes. I would say, you know, for me, when I do the, we do our, our QBRs with our top customers, I would say 80% of them are huge Kubernetes shops. Right. And the biggest bottleneck for them actually is onboarding new engineers because a lot of the, and you know, we have a customer, we have better mortgage. We have, IBM, we have Rappi is a customer of ours. They're like Latin American version of Instacart. They double their engineering base and you, you know, like 18 in 18 months. And so that's, you know, I think it was maybe from 1500 to 3000 developers or so, so their thing is like, we need to get people on board as soon as possible. We need to get them in these tools, getting access to, to, to their longs, to whatever they need. And so that's been the biggest thing that we've heard over and over again is A, how can we hire? And then B when we hire them, how do we onboard them as quickly as possible, so that they're ramped up and they're adding value. >> How do you help with that onboarding, making it faster, seamless so that they can get value faster? >> So for us, you know, we really lean in on our, our customer success teams. So they do, you know, they do trainings, they do best practices. Basically. We kind of think of ourselves given how much Kubernetes contradiction we have, we think of ourselves as cross pollinators. So a lot of the times we'll go into those decks and we'll try to learn just as much as we're trying to try to teach. And then we'll go and repeat that process through every single set of our customers. So a lot of the patterns that we'll see are, well, you know, what kinds of tools are you using for orchestration? What kind of tools are you using for deployment? How are you thinking about X, Y, and Z? And then, you know, even our own SRE teams will kind of get into the mix and, you know, provide tips and feedback. >> (Lisa) Customer centricity is key. We've heard that a lot today. We hear that from a lot of companies. It's one thing to hear it. It's another thing to see it. And it sounds like the Yelp review that you would have given, or, or what you're hearing through G2 crowd. I mean, that voice of the customer is valid. That's, that's the only validation. I think that really matters because analysts are paid. >> Yeah. >> But hearing that validation through the voice of the customer consistently lets you know, we're going in the right direction here. >> Absolutely. >> I think it's, it's interesting that ease of use comes up. You wonder if those are only anonymous reviews, you don't necessarily associate open source community with cutting edge, you know, we're the people on the pirate ship. >> (Peter) Yeah. And so when, when, when people start to finally admit, you know, some ease of use would be nice. I think that's an indication of maturity at a certain point. It's saying, okay, not everyone is going to come in and sit behind a keyboard and program things in machine language. Every time we want to do some simple tasks, let's automate, let's get some ease of use into this. >> And I'll tell you in the early days it drove me and our, our CEO talker. It drove us nuts that people would say easiest to be like, that's so shallow. It doesn't mean anything. Well, you know, all of that. However, but to your point, if we don't meet the use case, if we don't have the power behind it, the ease of use is abstracting away. It's like an iceberg, right. It's abstracting away a lot. So we can't even have the ease of use conversation unless we're able to meet the use case. So, so what we've been doing is digging into that more, be like, okay, ease of use, but what were you trying to do? What, what is it that we enabled? Because ease of use, if it's a very shallow set of use cases is not as valid as ease of use for petabytes of data for an organization like IBM. Right? >> That's a great, I'm glad that you dug into that because ease of use is one of those things that you'll see it in marketing materials, but to your point, you want to know what does this actually mean? What are we delivering? >> Right. >> And now, you know what you're delivering with Peter, thank you for sharing with us about logged in and what you guys are doing, how you're helping your community of customers and hearing the voice of the customer through G2 and others. Good work. >> Thank you. And by the way, I'll be remiss if I, if I don't say this, if you're interested in learning more about some of the stuff that we're working on, just go to logging in dot com. We've got, I think we've got a banner for the early access programs that I mentioned earlier. So, you know, at the end of the day, to your point about customer centricity, everything we prioritize is based on our customers, what they need, what they tell us about. And so, you know, whatever engagement that we get from the people at the show and prospects, like that's how we drive a roadmap. >> (Lisa) Yup. That's why we're all here. Log dna.com. Peter, thank you for joining Dave and me today. We appreciate it. >> Thanks for having me. >> Our pleasure for Dave Nicholson. I'm Lisa Martin signing off from Los Angeles today. The Kubes coverage of KubeCon clouding of con 21 continues tomorrow. We'll see then. (soft techno music)
SUMMARY :
you to a new company, What do you do? And then, you know, I'll What kind of logs? We have, you know, So you mentioned a big name customer. So, and you know, we're So, so the technical some of the key features and so that you can get notified they've given you five stars. experience so that when you go to that you guys have heard It's so hard to do that because you know, I mean, you have to show did you see the wristbands? depending on the person. that you just can't have I'll tell you this one for us, coming to you saying help? lot of the, and you know, So for us, you know, review that you would have customer consistently lets you know, cutting edge, you know, you know, some ease of use would be nice. Well, you know, all of that. And now, you know what And so, you know, Peter, thank you for The Kubes coverage of KubeCon
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Dion Hinchcliffe, Constellation Research | CUBE Conversation, October 2021
(upbeat music) >> Welcome to this Cube conversation sponsored by Citrix. This is the third and final installment in the Citrix launchpad series. We're going to be talking about the launchpad series for work. Lisa Martin here with Dion Hinchcliffe, VP and principal analyst at Constellation research. Dion, welcome to the program. >> No, thanks Lisa. Great to be here. >> So we have seen a tremendous amount of change in the last 18, 19 months. You know, we saw this massive scatter to work from home a year and a half ago. Now we're in this sort of distributed environment. That's been persisting for a long time. Talk to me about, we're going to be talking about some of the things that Citrix is seeing and some of the things that they're doing to help individuals and teams, but give me your lens from Constellation's perspective. What are some of the major challenges with this distributed environment that you've seen? >> Sure. Well, so we've gone from this, you know, the world of work, the way that it was now, we're all very decentralized, you know, work from anywhere. Remote work is really dominating, you know, white collar types of activities in the workplace and workplaces that in our homes for most of us even today. But that started to change. Some people are going back. Although I just recently spoke to a panel of CIOs that says they have no plans anytime soon, but they're very aware that they need to have workable plans for when we start sending people back to the office and there's this big divide. How are we going to make sure that we have one common culture? We have a collaborative organization when, you know, a good percentage of our workers are in the office, but also maybe as much as half the organization is at home. And so, how to make processes seamless, how to make people collaborate and make sure there's equity and inclusion so that the people at home aren't left out and then people in the office, maybe you don't have an unfair advantage. So those are all the conversations. And of course, because this is a technology revolution, remote work was enabled by technology. We're literally looking at it again for this hybrid work, this, you know, this divided organization that we're going to have. >> You mentioned culture that's incredibly important, but also challenging to do with this distribution. I was looking at some research that Citrix provided, asking individuals from a productivity perspective, and two thirds said, hey, for our organizations that have given us more tools for collaboration and communication, yes, we are absolutely more productive. But the kicker is, the same amount of people, about two thirds that answered the survey said, we've now got about ten tools. So complexity is more challenging. It's harder to work individually. It's harder to work in teams. And so Citrix is really coming to the table here with the launchpad series for work, saying let's help these individuals and these teams, because as we, we think, and I'm sure you have insight Dion on this as well, this hybrid model that we're starting to see emerge is going to be persistent for a while. >> Yeah. For the foreseeable future. Cause we don't know what the future holds. So we'll have to hold the hybrid model as the primary model. And we may eventually go back to the way that we were. But for the next several years, there's going to be that. And so we're trying to wrap our arms around that. And I think that we're seeing with things like the Citrix announcements, a wave of responses saying, all right, let's really design properly for these changes. You know, we kind of just adapted quickly when everyone went to remote last year and now we're actually adding features to streamline, to reduce the friction, to simplify remote work, which does use, you have to use more applications. You have to switch between different things. You have to, you know, your employee experience in the digital world is just more cluttered and complicated, but it doesn't have to be. And so I, you know, we can look to some of these announcements for last year, I think address some of that. >> Let's break some of that down because to your point, it doesn't have to be complex complicated. It shouldn't be. Initially this scatter was, let's do everything we can to ensure that our teams and our people can be productive, can communicate, can collaborate. And now, since this is going to be persistent for quite some time, to your point, let's design for this distributed environment, this hybrid workforce of the future. Talk to me about the, one of the things that Citrix is doing with Citrix workspace, the app personalization, I can imagine as an individual contributor, but also as a team leader, the ability to customize this to the way that I work best is critical. >> And it really is, especially when you know, you have workers, you know, 18 or 19 months worth of new hires that you've never met. They don't really feel like, you know, this is maybe their organization. But if you allow them to shape it a little bit, make it contextual for them. So they don't just come into this cookie cutter digital experience that actually is kind of more meaningful for them. It makes it easier for them to get their job done and things are the way that they want them and where they want them. I think that makes a lot of sense. And so the app personalization announcements is important for remote workers in particular, but all workers to say, hey, can I start tailoring, you know, parts of my employee experience? So they make more sense for me. And I feel like I belong a little bit more. I think it's significant. >> It is. Let's talk about it from a security perspective though. We've seen massive changes in the security landscape in the last year and a half. We've seen some Citrix data that I was looking at, said between 2019 and 2020, ransomware up 435%, malware up 358%. And of course the weakest link being humans. Talk to me from a Citrix workspace perspective about some of the things that they've done to ensure that those security policies can be applied. >> Well, and the part that I really liked about the launchpad announcements around work in terms of security was this much more intelligent analysis. You know, one of the most frustrating things is you're trying to get work done remotely and maybe you're you're in crunch mode and all of a sudden the security system clamps down because they think you're doing something that, you know, you might be sharing information you shouldn't be and now you can't, get your deadline met. I really liked how the analytics inside the new security features really try to make sure they're applying intelligent analysis of behavior. And only when it's clear that a bad actor is in there doing something, then they can restrict access, protect information. And so I have no doubt they'll continue to evolve the product so that it's even even more effective in terms of how it can include or exclude bad actors from doing things inside your system. And so this is the kind of intelligence security increasingly based on AI type technologies that I think that will keep our workers productive, but clamp down on the much higher rate of that activity we see out there. Because we do have so many more endpoints there's a thousand or more times more endpoints in today's organizations because of remote work. >> Right. And one of the things that we've seen with ransomware, I mentioned those numbers that Citrix was sharing. It's gotten so much more personalized, so it's harder and harder to catch these things. One of the things that I found interesting, Dion, that from a secure collaboration perspective, that Citrix is saying is that, you know, we need to go, security needs to go beyond the devices and the endpoints and the apps that an employee is using, which of which we said, there are at least 10 apps that are being used today and it needs to actually be applied at a content level, the content creation level. Talk to me about your thoughts about that. >> I think that's exactly right. So if you know the profile of that worker and the types of things they normally do, and you see unusual behavior that is uncharacteristic to that worker, because you know their patterns, the types of content, the locations of that content that they might normally have access to. And if they're just accessing things, you know, periodically, that's usually not a problem. When they suddenly access a large volume of information and appear to be downloading it, those are the types of issues and especially of content they don't normally use for their work. Then you can intervene and take more intelligent actions as opposed to just trying to limit all content for example. So that knowledge workers can actually get access to all that great information in your IT systems. You can now give them access to it, but when clearly something, something bad is happening, the system automatically does it and steps in. >> I was looking at some of the data with respect to updates to Citrix analytics that it can now auto change permissions on shared files to read only, I think you alluded to this earlier, when it detects that excess sharing is going on. >> And, inappropriate access sharing. So sometimes it's okay for a worker to access, you know, documents. But the big fear is that a bad actor gets access. They get a USB key and they download a bunch of files and they get a whole bunch of IP or important knowledge. Well, when you have a system that's continually monitoring and you know, the unblinking gaze of Citrix security capabilities are looking at the patterns, not just the content alone or just the device alone, but at the, at the usage patterns and saying, I can make this read only because that's clearly the, you know, we don't want them to be able to download this because this activity is completely out of bounds or very unusual. >> Right. One of the things also that Citrix is doing is integrating with Microsoft teams. I was listening to a fun quiz show the other day that said, what were the top two apps downloaded in 2020? And I guessed one of them correctly, Tiktok though. I still don't know how to use it. And the second one was Zoom, and I'm sure Microsoft teams is way up there. I was looking at some stats that said, I think as of the spring of 2020, there were 145 million daily users of Microsoft teams. So that, from a collaboration perspective, something that a lot of folks are dependent on during the pandemic. And now within Teams, I can access Microsoft workspace? Citrix workspace. >> Yes. Well, and it's more significant than it sounds because there's a real hunger to find a center of gravity for the employee experience. What do I put that? Where should they be spending most of their time? Where should I be training them to focus most of their attention? And obviously workers collaborate a lot and Teams as part of Office 365, is a juggernaut? You know, the rise of it during the pandemic has been incredible. And just to show this, I have a digital workplace advisory board. Its companies who are heading, are the farthest along in designing digital employee experiences, and 31% of them said, this January, they're planning on centralizing the employee experience in Teams. Now, if you're a Citrix customer, you have workspace you go, how do I, I don't want to be left out. This announcement allows you to say, you can have the goodness of teams and its capabilities and the power of Citrix workspace, and you have them in one place and really creating a true center of gravity and simplifying and streamlining the employee experience. You don't have this fragmented pieces. Everything's right there in one place, in one pane of glass. And so I like this announcement. It brings Citrix up to parody with a lot of their competitors and actually eclipses several of them as well. So I really like to see this. >> So then from within teams, I can access Citrix workspace. I can share documents with team members and collaborate as well as that kind of the idea. >> Yes. That is the idea, and of course, they'll continue to evolve that, but now you can do your work in Citrix workspace and when documents are involved and you want to bring your team in, they're already right there inside that experience. >> That ability to streamline things, so critical, given the fact that we're still in this distributed environment, I'm sure families are still dealing with some, some amount of remote learning, or there's still distractions from the, do I live at work, do I work from home environment? One of the grips I really felt for when this happened, Dion, was the contact center. I thought these poor people, more people now with shorter and shorter fuses trying to get updates on whatever it was that they were, if they had something ordered and of course all the shipping delays. And the contact center of course went (blowing sound) scattered as well. And we've got people working from home, trying to do their jobs. Talk to me about some of those things that Citrix is doing to enable with Google, those contact center workers to have a good experience so that ultimately the employee experience is good, so is the customer experience? >> The contact center worker has the toughest of all of the different employee profiles I've seen, they have the most they have to learn, the most number of applications. They're typically not highly skilled workers. So they might only just have a, you know, high school education. Yet, they're being asked to cram all of these technologies, each one with a different employee experience, and they don't stay very long as a result of that. You might train them for two months before they're effective and they only stay for six months on average. And so, both businesses really want to be able to streamline onboarding and provisioning a and getting them set up and effective. And they want it too, if you want happy contact center workers making your customers happy and staying around. And so this announcements really allows you to deploy pre-configured Citrix workspaces on, on Chrome OS so that, you know, if you need to field a whole bunch of workers or you have a big dose say you're a relief company and you have a lot of disaster care workers. You can certainly this issue that these devices very easily, they're ready to go with their employee experience and all the right things in place so they can be effective with the least amount of effort. So I guess, it's a big step forward for a worker that is often neglected and underserved. >> Right. Definitely often neglected. And you, you brought up a good point there. And one of the things that, that peaked in my mind, as you talked about, you know, the onboarding experience, the retention, well, these contact center folks are the front lines to the customer. So from a brand reputation perspective, that's on the line, for companies in every industry where people with short fuses are dealing with contact center folks. So the ability to onboard them to give them a much more seamless experience is critical for the brand reputation, customer retention for every industry, I would imagine. >> Absolutely. Especially when you're setting up a contact center or you have a new product launching and you want, you know, you've got to bring, onboard all these new workers, you can do it, and they are going to have the least challenges. They're going to be ready to go right out of the box, be able to receive their package, with their device and their Citrix employee experience, ready to go. You know, just turn the machine on and they're off to the races. And that's the vision and that's the right one. So I was glad to see that as well. >> Yeah. Fantastic. One of the things also that Citrix did, the Citrix workspace app builder, so that Citrix workspace can now be a system of record for certain things like collaboration, surveys, maybe even COVID-19 information, that system of record. Talk to me about why that's so critical for the distributed worker. >> So we've had this, this longstanding challenge in that we've had our systems of record, you know, these are CRM systems, ERP, things like that, which we use to run our business. And then we've had our collaboration tools and they're separate, even though we're collaborating on sales deals and we're collaborating on our supply chain. And so like, the team's announcement was in the same game. We can say, let's close that gap between our systems of record and our collaboration tools. Well, this announcement says, all right, well, we still have these isolated systems of record. How can we streamline them to build and start connecting together a little bit so that we have processes that might cross all of those things, right? It's still going to order comes in from the CRM system. Then you can complete it in the, in the ERP system, you know, ordering that product for them. So they actually get it. You know, and that's probably overkill, that scenario for this particular example. But for example, collecting data from workers saying, let's build some forms and collect some data and then feed it to this process, or this system record. You can do it much more easily than before, before you would have to hire a development team or a contractor to develop another system that would integrate, you know, CRM or ERP or whatever. Now you can do it very quickly inside that builder. First simple, basic applications, and get a lot of the low hanging fruit off your plate and more automated inside of your Citrix workspace. >> And automation has been one of the keys that we've seen to streamlining worker productivity in the last 18 months. Another thing that I was looking at is, you know, the fact that we have so many different apps and we're constantly switching apps, context is constantly changing. Is this sort of system of record going to allow or reduce the amount of context switching that employees have to do? >> Yep. Almost all of these announcements have some flavor to that saying, can we start bringing more systems together in one place? So you're not switching between applications. You don't have different and disconnected sets of data that if you need to, and if they are disconnected, you can connect them, right. That's what the app builder announcement again is about saying, all right, if you're already, always using these three applications to do something, and you're switching between them, maybe you can just build something that connect them into one experience and, you know, maybe a low level of IT person, or even a business user can do that. That's the big trend right now. >> That's so important for that continued productivity, as things will continue to be a little bit unstable, I guess, for awhile. One more thing that I saw that Citrix is announcing is integrations with, Wrike I've been a Wrike user myself. I like to have program project management tools that I can utilize to keep track of projects, but they've done a number of integrations, one of them with Wrike Signature, which I thought was really cool. So for, to secure e-signature within Wrike, based on a program or a project that you're working on. Talk to me about some of the boosts to Wrike that they've done and how you think that's going to be influential in the employee experience. >> Well, first let's just say that the Wrike acquisition was a really important one for Citrix to go above just the basic digital workplace and simple systems of record. This is a really a mass collaboration tool for managing work itself. And so they're, this is taking Citrix up the stack in the more sophisticated work scenarios. And, and when you, we are in more sophisticated work scenarios, you want to be able to pull in different data sets. So, you know, they have the Citrix ShareFile support. You want to be able to bring in really important things like, you know, signing contracts or signing sales deals or mortgage applications, or all sorts of exciting things that actually run in your business. And so, Wrike Signatures, support's really important so that when you have key processes that involve people putting signatures on documents, you can just build collaborative work management flows that, that take all that into account without having to leave the experience. Everything's in one place as much as possible. And this is the big push and we need to have all these different systems. We don't have too many apps. What we have is too many touchpoints, so lets start combining some of these. And so the Wrike integrations, really help you do that. >> Well, and ultimately it seems like what Citrix is doing with the work launchpad series. All the announcements here is really helping workers to work how and where they want to work. Which is very similar to what we say when we're talking about the end user customer experience. When tech companies like Citrix say, we have to meet our customers where they are, it sounds like that's the same thing that's happening here. >> It is. And I would just add on top of that and to make it all safe. So you can bring all these systems together, work from anywhere, and you can feel confident that you're going to do so securely and safely. And it's that whole package I think that's really critical here. >> You're right, I'm glad you brought up that security. All right, Dion take out your crystal ball for me. As we wrap things up, you're saying, you know, going into the future, we're going to be moving from this distributed workforce to this hybrid. What are some of the things that you see as really critical happening in the next six to nine months? >> Well, there's a real push to say, we need to bring in all the workers that we've hired over the last year. Maybe not bringing them in, in person, but can we use these collaborative tools and technologies to bring them, hold them closer so they get to know us. And so, you know, things like, having Microsoft teams integrated right into your Citrix workspace makes it easier for you to collaborate with remote workers and inside any process wherever you are. So whether you're in the office or not, it should bring workers closer, especially those remote ones that are at risk of being left out as they move to hybrid work. And then it's really important. And so the things like the app builder are going to also allow building those connections. And I think that workers and businesses are really going to try and build those bridges, because the number one thing I'm hearing from business leaders and IT leaders is, is it, you know, we're worried about splitting into two different organizations, the ones that are remote and the ones that are in the office and any way that we can bring all of them together in an easy way, in a natural way, situate the digital employee experience so that we really back or back to one company, one common culture, everybody has equal access and equity to the employee experience. That's going to be really important. And I think that Citrix launchpad announcements around work really are a step, a major step in the right direction for that. There's still more things that have to be done and all, all vendors are working on that. But it's nice to see. I really liked what Citrix is doing here to move the ball forward towards where we're all going. >> It is nice to see, and those connections are critically important. I happen to be at an in-person event last week, and several folks had just had been hired during the pandemic and just got to meet some of their teams. So in terms of, of getting that cultural alignment, once again, this is a great step towards that. Dion thank you for joining me on the program, talking about the Citrix launchpad series for work, all the great new things that they're announcing and sharing with us as some of the things that you see coming down the pike. We appreciate your time. >> Thanks Lisa, for having me. >> For Dion Hinchcliffe. I'm Lisa Martin. You're watching this Cube conversation. (upbeat music)
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Shira Rubinoff | CUBE Conversation, October 2021
(upbeat music) >> Welcome to this CUBE conversation. I'm Dave Nicholson and we are recapping the Citrix launchpad series. This series presents announcements on LinkedIn live on a variety of subjects, specifically cloud, security, and work. Three topics that I think all of us are keenly aware of going through the last 18 months of the pandemic. Citrix has taken time to sort of regroup and look at ways that security can be improved so that it isn't a hindrance for members of staff, but instead offers a unified integrated way of dealing with security across all of the variety of situations we find ourselves in today. Everything from a mobile device in a cafe through actually working back in the office when we get the opportunity to, to accessing information on a company issued laptop in a home office, secured networks, unsecured networks, secured browsers, unsecured browsers, the permutations are nearly endless. So Citrix has taken an interesting point of view, starting from the perspective of zero trust, meaning everything must be authenticated. They apply contextualism to their strategies. So the context and the posture of the access, the device, the location, all of those matter so that security protocols are tailored to help enhance productivity and security instead of, again, being a hindrance. So I highly recommend you go to the Citrix launchpad site dedicated to security. Two senior Citrix execs, Tim and Joe, will go through great detail on the announcements, but let's recap a little bit from an overview perspective. The first is this idea of secure private access. You combine that with secure internet access, and now you have a package that allows this contextual security posture that can change and adapt based upon varying conditions. Additionally, they have announced a partnership with Google where all of these capabilities are built into the Chrome OS. So now you have a device level native support for these protocols. They're also talking about bot management as something that is critical to security, moving forward. Bots out fishing, you want to kill them. You don't want them getting into your system, but there are some bots that are okay that have poking around in your environment. So again, go into the details with Tim and Joe. Having said that, I am delighted to have a very special guest here. Friend of theCUBE, veteran of theCUBE, author, advisor, author of the book, Cyber Minds and Tech Executive, Shira Rubinoff, is going to join us in just a moment. (upbeat music) Hello, and welcome to this special CUBE conversation. I'm Dave Nicholson, and we are recapping the Citrix launchpad series with a focus on the topic of security. Now, whenever we're going to talk security on theCUBE, we have a CUBE veteran and smartest person on cybersecurity that we know, Shira Rubinoff. She's a cybersecurity executive author and advisor, specifically author of the excellent book on the subject, Cyber Minds. Shira, welcome back to theCUBE. >> Thank you. Pleasure to be here. >> How are you today? >> Doing great, always great to be on theCUBE and talk to you folks and certainly be part of something from Citrix. >> Well, that might be the last pleasant thing that we say, because we are surrounded by security threats. So are you ready to get serious? >> Oh, always with a smile, serious with a smile. >> So, one kind of overriding question that a lot of people have now, if you're an IT executive, you've experienced a complete change in the world from so many different angles, but how has the pandemic changed the way you think of security? What are the dynamics at play, things that are different now that we couldn't have anticipated maybe two or three years ago? >> Interesting question. Certainly, if we look at the scope and the ecosystem of the way that organizations operated, it was pretty much in the high 90% of people being in the office with just the few percentage being working from home. And that had to shift literally overnight to literally the flip side of it, having the multitude of the organization work from home, work remotely, and maybe the few people that had to be in the office were there. So all of a sudden organizations were left with this, how do we secure down our organization? How do we keep our employees safe? How do we keep our organization safe? How do we connect to the outside world? What do we do to maintain the proper cyber? That's call it cyber hygiene within an organization. And that's a topic that I talk about quite frequently. When you look at cybersecurity as a whole, we look at the cyber posture of an organization. We also have to break it down and say, what does an organization need to do to be fully cyber secure? So of course, the ongoing training and that had to shift as well. We have now training for the organization and employees, but also think about the consumers and who else is interacting with organizations. We have to switch how that is done. And that has to be ongoing in the global awareness, the cybersecurity of course is at top of mind. And then that would lead to us to zero trust. Zero trust is a massive, massive piece of cybersecurity need for organizations. We think about it as who needs the data is king. Whoever has the data, they rule the world. They own the organization, they do what they need to do. Zero trust, limited access, knowledge of who gets in, why they get in, the need to get in, and the need for that within organization. So zero trust is a very key component and Citrix is very focused on as well. We talk about updated security and patching and all that has to happen, think about remotely. So not only are we thinking about all these topics, we have to think about them going at warp speed with people that might be working remote, who also have other things they have to take care of. Maybe they're taking care of elderly parents, maybe they're having to watch their kids on zoom, making sure they're staying on zoom, and all sorts of things with school, and other maybe roommates who are working for other organizations, not having important information in the backgrounds of their zoom while they're having these important conversations with organizations. But also think about the multiple devices people are using. They may have an area that's set up properly in order to do their work, but then again, they have to be in another room at the same time. Oh, let me just grab my device. So the whole area of the multiple devices, the warp speed of working and not, let's call this pause. And this is one of the key elements that I would tell all organizations to stop and pause, to think about what you're doing before you do it. Give the headaches, but that was not interplayed when the height of the pandemic. The height of the pandemic, we were worried about what's going on? Need knowledge of information, where we're getting this information, downloading it, clicking on links. Then we're working at the same time, taking care of people. So all these things are happening simultaneously, leaving these open vectors for the tax surface to be that much more heightened for the bad actors to get in. >> So, you advise some of the largest companies in the world on this subject, and obviously you're not going to reveal any names or specifics, but as a general overall view from your perspective, how are we doing right now? Is the average large organization now sort of back on cruise control, having figured everything out for this new reality? On a scale of 1 to 10, how well are we executing against all of these changes? >> That's a great question. Let me talk about the global whole. I think organizations are actually doing really well. I think there was a quick ramp up to figure out how to get it done, but because of also the shift of sharing of information that some of these largest companies across the world, they came together to share information with bad actors, to share information about the tax, to share information about what to do if something happens, who's out there and buying together almost like a whole. So it wasn't each finger on its own. It's a hand as a whole looking at it from a stronger perspective. So I think that shift coupled with the fact of the knowledge and understanding of what companies needed to do in terms of locking down the organization, but also allowing and helping their employees, empowering them to get their work done, but get it done in a secure safe fashion. And I believe now, obviously, we all know, they obviously, but the ransomware attacks are now prevalent and they're becoming even more intense with the rise of 5G, a way that attacks could happen, the warp speed. We're now having to understand that being reactive is not enough, being proactive is something that is wonderful to see organizations are doing as well. It used to be okay, let's be reactive. If something happens, what do we do? Let's have a plan in place. But that's not good enough and we've seen that happen because these attacks are coming a warp speed. So the proactivity of these organizations that they've taken is applaudable in general. I can't talk for all the companies, but the ones that I've been consulting to and have interactions with, I'm pleasantly surprised and not surprised as well, that the way that they've taken their cyber posture so seriously, and where they focus in, not only on the organization as a whole, but their employees as individuals, what their needs are and being able to give them what they need to do their jobs well. >> Yeah, that makes sense. You can almost think of it like cybersecurity is a team sport and to the extent that all of that proactive work that an organization can do can be absolutely undermined if we don't do our parts as endpoints, as endpoint people. And when someone reads Cyber Minds, I think there's an undercurrent that I definitely sensed. And then when I looked more closely into your background, I realized that, yes, in fact, you do have a background in psychology. I want to shift to a question along that line, if you don't mind. Thinking about the psychology of people who have lived through the pandemic, this concept of our personal hygiene and our personal security has been in the forefront of our mind. As you leave the house, and there's hand sanitizer and masks and maybe gloves, we're very, very aware of this. How has that affected us from a cybersecurity team sport perspective? Has that made us better players on the field? What are your thoughts in that regard? >> I actually love that question. As we saw the pandemic heightened, everyone became hyper aware of their own personal, what's called cleanliness. And in terms of where they are, what they're doing, if they're masking, if they're putting on gloves, the sanitizers are everywhere, six feet apart. Everybody's thinking about that. It's a forefront. It became a way of life. And if you then do you shift that and you're saying, okay, let's look at the technology or the cybersecurity part of it, your own personal safety, your own personal cybersecurity. I think we failed a lot in that area. I think because of the fact, if you think about the human psychology and the pieces that people needed to know information, everybody was hungry for the latest and greatest information. What's going on? What are the stats? How many people? Just terrible, terrible pandemic with so many people getting sick. So many people dying and wanting to know, what is going on? what are the latest rule sets? What can I do? What else can I do to protect myself? What is my business doing? So we also had bad actors sending out the phishing attacks, heightened tremendously. There is information being sent out, click here for the latest here. This is Dr. Fauchi, his latest report. Everything going out there was not necessarily to help us, but to hurt us. And because of people's human psychology of thinking, I need to protect myself, so I need the information. The stop and pause is, is this the right information? Is this a safe place to go? But then there's also the other flip side of, if I'm not interacting, I'm not there. Think about the different generational people we have going on. Gen Z, millennials, all sorts of it. Everybody's all over social media. And everybody needs to and wants to have a presence there, certainly in this world. So putting out lots of information and being present was very critical 'cause people weren't in-person anymore. So people were interacting online, whether it being on social, whether it being telling people where they're going, what they're doing, what they're eating, what their favorite animal is, all sorts of things that they were doing. But they were giving over personal information that made have be utilized as passwords or ways to get to know somebody, to either do a spear phishing attack or any types of attacks to gather information to hurt, not just a personal to steal money or to steal someone's identity or to come in and hurt the company, but information was everywhere. So we were taking care of our personal cleanliness, but our cyber hygiene with our psychologies aspect of cybersecurity itself, I think took a big dive. And I think that people started becoming aware as these attack surfaces grew. There were also different types of attacks that were happening where phone calls were coming in and saying, somebody is breaking into your bank account. Just verify yourself, give me the last four digits. I need to know who you are. So playing on the human psyche of fear, somebody is trying to get you nervous. So what are you going to do? You're going to act quickly without thinking. Or all sorts of, I think we were talking earlier about extended warranties for different things. That also grew extensively, but how did they do that? They were gathering information, personal information to give you something you want. So if you're playing again on the human psychology of people, when people get what they want, they're more likely to give over something they may not give to somebody else anyway. And one of my biggest example or a strong example is back in the day with Candy Crush. If you think about that game, before you sign up for that game, you literally have to give over your kidney. You're giving over access to your camera, to your contacts. If you look back at the permissions you are giving, it's really unbelievable that everybody was clicking yes, because they wanted to play a game. So take that example and transfer that into real life. We were doing the same thing. So the importance of brushing up on that personal cyber hygiene and really understanding what people needed to do to heighten their own security themselves, less sharing on social, not giving over information that they shouldn't, not allowing a trusted source who isn't really a trusted source into it. Having strong zero trust, not just organizations, but for yourself was very important. >> Yeah now, did we, Chuck. Chuck's my producer. Did we get Shira's social security number and her date of birth? Shira, can you give us that? >> Sure, it's 555-55-5555. >> Excellent Aha, phishing attack. >> There you go, go for it. (laughs) >> So you think there could be a little bit of security fatigue that might come into play when we're thinking of living up to our responsibilities as those end points? >> I think there was just fatigue in general and people were tired of being locked in the house. People were tired of having everybody under the same roof all the time, 24/7. Trying to get work done, trying to get school done, taking care of people, what they needed to do, having groceries delivered, going into groceries, all the thoughts that they had to do that was just a way of life before that we all took for granted during the pandemic. It was just a whole shift. People were just antsy, jumpy. We needed to connect and we need to connect in any way we could. So all these open vectors became a problem that ended up hurting us rather than helping us. So this has been something that was a big mind shift as a pandemic continued. People started realizing what was going on and organizations took a good stand on educating the population and telling them, look, these are the things that are happening. This is what we need to do. Certainly a lot of the companies I'm working with did such a great job with that. Giving their employees the wherewithal of wanting to connect, but doing in a secure manner. Giving them the tools of what they needed to do personal, only also in their personal lives, not just for their work lives. So that was helpful too. And as we're coming out of it, hopefully continue to come completely out of it, we'll see the shift back into, let's take that stop and pause. Let's think what we're doing. >> Yeah, well, we are all looking back to whatever resemblance of normal we can get to. Shira, I can spend hours picking your brain on a variety of subjects. Unfortunately, we are coming to the end of our time together. Do you promise to come back? >> Certainly, a big fan of theCUBE. >> Well, fantastic. Shira Rubinoff, thank you so much for your time. This is Dave Nicholson with a very special CUBE conversation, signing out. Thanks for watching. >> Shira: Thank you too. (gentle music)
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across all of the variety of situations Pleasure to be here. and talk to you folks Well, that might be the last Oh, always with a smile, and that had to shift as well. but the ones that I've been consulting to and to the extent that I need to know who you are. and her date of birth? There you go, go for it. all the thoughts that they had to do to whatever resemblance Shira Rubinoff, thank you Shira: Thank you too.
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Matt Holitza, UiPath & Gerd Weishaar, UiPath | UiPath FORWARD IV
>>From the Bellagio hotel in Las Vegas, it's the queue covering UI path forward for brought to you by UI path. >>We'll go back to the cubes coverage of UI paths forward for big customer event. You know, this company has always bucked the trend and they're doing it again. They're having a live event, physical event. There are customers here, partners, technologists. I'm here with Lisa Martin, my co-host for the show. And we're going to talk about testing. It's a new market for UI path. If anybody knows anything about testing, it's kind of this mundane, repetitive process ripe for automation geared vice-chairs. Here's the senior vice president of testing products at UI path and Matt Elisa. Who's the product marketing lead at UI path. Gents. Welcome to the cube. Thanks for coming on. Thanks for having us feminists. Explain to us how you guys think about testing both from an internal perspective and how you're going to market. >>Yeah, well, testing has been around for a long time, right? 25 years or so when, when I came to UI pass, the first thing I looked at was like, how do our customers test RPA? And it's quite interesting. We did a survey actually with 1500 people and, uh, 27% said that they wouldn't test at all. And I thought that's really interesting. RPA is a business critical software that runs in your production environment and you probably have to test. So we came up with this idea that we create the test suite we're using, you know, proven technology from UI pass. And, and we built this offering and brought this into the market for RPA testing and for application testing. So we do both. And of course we use it internally as well. I mean, that will be, you know, eat your own dog food or drink your own champagne, I guess. Yeah. >>Well, think about it. If you, if you automate, if you, if there's an ROI to automate a process, there's gotta be an ROI to verify that it's going to work before it goes into production too. And so it's amazing that a lot of companies are not doing this and they're doing it manually, um, today. >>So, so, but so, but parts of testing have been automated, haven't they with regression testing. So can, can you guys take us through kind of the before and after and how you're approaching it versus the traditional way? >>Yeah, absolutely. I mean, like I said, testing is not new, right? Um, but still when you look at the customers, they're not out to meeting more than I would say, 30, 40% of the manual tests. So still a lot of Stan manually, which I think, and we talked about this right manual testing is the, the original RPA. It's a tedious, repetitive tasks that you should not do manually. Right? And so what we are trying to bring in is now we're talking about this new role, it's called a digital tester. The digital tester is an empowered. We could call a manual tester, who's able to build automation and we believe that this will truly increase the automation, even in the existing testing market. And it's going to be, I don't want to use the word game-changer, but it's gonna change. Uh, the way testing is done. Yeah. >>And we're, we're applying, um, all the capabilities of UI path and delivering those testers, just like we would for HR team or a, or a, a finance and accounting team. But testing even has they understand this more, they've been doing this for 20 years. They understand automation and we're going to get them things like process mining so they can figure out what tests they need to run from production data. We're going to give them task mining so they can make more human-like tests test. Exactly. Like I used to be a tester, uh, and I ran a test team. And what I used to do is I have to go out to a warehouse and I'd have to go watch people as they entered orders, to make sure I was testing it the right way. So they would like click. We usually thought they were clicking things, whether you're using hotkeys, that's just an example of what they were doing. But now we can do task, task mining to get that remotely, pull that data in and do tests and make more realistic tests. >>How much of the there's so much potential there? I think you were saying that only 27% are actually doing testing. So there's so much opportunity. I'm curious, where are your conversations within the customer organization? We know that automation is a board level investor topic. Where are you? Where are those discussions with the testing folks, the RPA folks, helping them come together? >>Well, that's interesting. The question we typically, on the IP side, we talked to the cos by the people that are professionally developing those RPAs, but very easily, we get introduced to the test side of the house. And then usually there's a joint meeting where the test people are there, the RPA people are there. And that's why we are talking about this is going to convert somehow, right? They are in different departments today. But if you think about it, if five years down the road, maybe 10 years, they might be an automation discipline for the entire enterprise. So if that answered your question about, >>Yeah, >>Yeah. And we have a customer coming presenting this afternoon, Chipola and they're gonna be talking about how they, both of the teams are using a test teams and the RPA teams. And they built a reusable component library that, so when they built RPA team built their automations, they put them in a reusable library and the test team is able to recreate their tests much faster, reusing about 70% of the components. And so when the, when you think of automation, they're thinking about automating the application, not automating a process or a test so that people can use those like Lego blocks and build it if they're doing so, they could even, even it automation, if they wanted to start doing it, automation, they could pull those components out and use those. >>This is game changing is quality because so often, because in this day and age of agile, it's like move fast and break things. A lot of things break. And when we heard this morning in the keynotes, how you guys are pushing code like a couple of times a week, I mean, it's just a constant. And then you do two big releases. Okay. I get, I get it for the on-prem. But when you're pushing code that fast, you don't have time to test everything. There's a lot of stuff that's unknown. And so to the extent that you can compress all those checkboxes, now I can focus on the really important things that sometimes are architectural. How do you expect applying RPA to testing is going to affect the quality? Or maybe you got some examples. Chipotle. You just mentioned what, >>First of all, I mean, when you say we pushing code like bi-weekly or so, right. We're talking about continuous development. That's what it's called. Right? It's agile. You have sprint cycles, you continue to bring new code, new code, new code, and you test all the increments with it. So it's not that you building up a huge backlog for the testing on the RPA side. What I see is that there will be a transformation about the process, how they develop RPA at the moment. It's still done very much, I would say, in a waterfall issue, which is agree, >>A big bang waterfall. >>Yeah. It will transition. We already have partners that apply agile methodologies to their actually RPA development. And that's going to change that. >>Okay. So it's not so it's quality for those that are in testing obviously, but, but it's, but for the waterfall guys, it's, it's compressing the time to value. Oh yeah. That's going to be the big key. Yeah. That's really where it's coming. >>But he said his Chipotle is, was able to reuse 70% of the automation components. Right. That's huge. I mean, you have to think about it. 70% can be reused from testing to RPA and vice versa. That's a huge acceleration. Also on the IPA side, you can automate more processes faster. If you have components that you can trust. >>So you were a tester. Yeah. So you were a cost center. Yes, exactly. >>Unnecessary. What's the budget. >>So could you think RPA and automation can flip that mindset? Yes, >>Totally. And that's one of the things we want to do is we want to turn testing from a cost center to a value center, give testers a new career paths, even because really testers before all you could do is you could be more technical. Maybe you become a developer or you could be a manager, but you couldn't really become like an automation architect or a senior automation person. And now we're giving them a whole different career path to go down. So it's really exciting >>Because I know when I came out of college, I had a job offer and I wanted to be a developer, a programmer. We call them back then. And the only job I could get was as a tester. And I was like, oh, this is miserable. I'm not doing this, but there's a, there was a growth path there. They were like, Hey, do this for two or three years, maybe five years. I was like, forget it. I'm going into sales and marketing. But so what's the, what's the growth path today for the tester. And how do you see this >>Changing? So you want to go, you want to, I can take that one. No, you take it. I mean, I did it, so really it's, I mean, we're going to be giving these guys, the testing market has been kind of not innovating for years and years and years. And so we're going to be giving these guys some new tools to make them more powerful, make even the cause. Testing is a kind of a practice that is, you know, like, like you said, you didn't like testing. I didn't like testing either. Actually I hate testing. So I automated it. Right. So, um, and so that was the first thing I did. And so I think we're going to give these guys some new tools, some ways to grow their career and some ways to be even better testers, but like, like, like we talked about process mining, test mining, like maybe they're maybe they're testing the wrong things. Maybe they're not testing, you know, maybe, you know, there, cause there's kind of this test, everything mentality where we need to test everything and the whole release instead of like focusing in on what changed. And so I think we'll be able to help them really focus on the testing and the quality to make it more efficient as well. However, >>So T to defend the testers, right test is a very skilled people. Yes. They know their business, they know what to test and how to test in a way that nobody else knows that it's something we sometimes underestimate. They are not developers, so they don't write code or they don't build automations typically. But if we can equip them with tools that they can build out information, you have the brain and the muscle together, you know what I mean? You don't have to delegate the automation to some, whatever team that is maybe outsourced even you can do it. In-house and I think to some extent, that was also the story of Chipotle, right? Yeah. Yeah. They were in sourcing again because they're building their own >>And it saved them time because they have deal is handoffs, you know, to an external third party to do the testing for them. And so they pulled it all in made things much more streamlined and efficient. How >>Is that? It seems like a big cultural shift within any type of organization in any industry we're using as an example here, how does UI path help facilitate that cultural shift? Cause that's big and we're talking about really reducing, um, or speeding time to value. >>Right. Right. And it is a lot of the agile methodology is like, we're starting. So it's kind of like, we're going back in time, you know, and we're teaching these people, you know, the RPA community, all of the things that we learned from software development. Right. And so we're going to bring applying that to this. And so all those agile mindset, the th the agile values, you know, those are the things that are going to help them kind of come together. And that's one of the things that Julie talked about is one of the things is they had a kind of agile mindset, a can-do attitude that pulled them together. >>I think one thing that will really helps with changing the culture is empowering the people. If you give them the tools that they can do, they will do, and that will change the culture. I don't think it can come from top down. It needs to come from within and from the people. And that's what we see also with RPA, by the way, is adopted on department level and D build automations. And then at some point it becomes maybe an enterprise wide initiative, right. But somebody in HR had this idea and started >>The other thing too, is Matt, you mentioned this, you could go to a third party. So what years ago? In the early two thousands, we had a software company. We would use a company called agile on. They were us. I don't know if you ever heard of them. They're basically, we're a job shop. And we would throw our code over the very waterfall, throw the code over the fence. It was a black box and it was very asynchronous. And it would come back, you know, weeks later. And they say, I fix this, fix this, but we didn't have the analytics we didn't have. There was no transparency. Had we had that. We would have maybe come up with new ideas or a way to improve it because we knew the product way better. And so if you can bring that, in-house now you've got much better visibility. So what, what analytics are analytics a piece of this? >>Is that something that is so, I mean, I'll give you an example, SAP systems, right? When you have SAP systems, customers apply transports like five or 10 a day. Every transport can change the system in a way that you might break the automation. We have the possibility to actually not only understand what's going on in this system with process mining, but we also have the possibility to do change, impact, money, and change impact. Mining tells me with every process, every transport I apply, what has changed, and we can pinpoint the test cases that you need to run. So instead of running a thousand test cases, every time we pinpoint 50 of them and you know exactly what has changed. Yeah. >>That's right. Cause a lot of times you don't know what you don't know. And you're saying the machine is basically saying focus on these areas that are going to give you the biggest, that's kind of Amdahl's law, isn't it focus on the areas that are going to get the most return. Yeah. So this is a new business for UI path. You guys are targeting this as a market segment. Can you tell us more about that? >>We joined about two years ago. It takes some time to build something, right. There was a lot of proven technology there. And then we lounged, uh, I think it wasn't July last year, which was more like a, uh, private lounge. We, we didn't make much noise around it and it's gaining a lot of traction. So it's several hundred customers have already jumped on their test bandwagon, if you can call it this way. And yeah, this, this year we were pushing full speed into the testing market as well, because we see the benefits that customers get when they use both like the story from Chipotle. It has other customers like Cisco and, and more, when you hear the stories, what they were able to achieve. I mean, that's a no-brainer I think for any customer who wants to improve the automation. Yeah. >>Well, and also we're taking production grade automation and giving it to the testers and we're giving them this advanced AI so they can automate things. They weren't able to automate before, like Citrix virtual virtualized machines, point of sale systems, like 12 layer, any other business would have, they can automate all those things now that they couldn't do before, as well as everything else. And then they can also the testing tools, they talked about fragmentation this morning. That's another problem is there's a tool for mobile. There's a tool for this. There's a tool for API APIs. You have all these tools, you have to learn all these languages. We're going to give them one. They can learn and use and apply to all their technologies. And it's easy to use and it's easy to use. Yeah. >>That's kind of been the mantra of UI path for very long time, easy to use making, making RPA simple. We've got 8,000 plus customers. You mentioned a few of them. We're going to have some of them on the program this week. How do you expect good question for you that stat that you mentioned from that survey in the very beginning of our conversation, how do you expect that needle to move in the next year? Because we're seeing so much acceleration because of the pandemic. >>That's a really good question because the questions that we had in the, after we had the first hundred, right? The values didn't change that much. So we have now 1500 and you would assume that is pretty stable from the data. It didn't change that much. So we're still at 27% that are not testing. And that's what we see as our mission. We want to change that no customer that has more than, I dunno, five processes in production should not like not test that's crazy and we can help. And that's our mission. So, but the data is not changing. That's the interesting part. >>I know, I know we're out of time, but, but we're how do you price this? Is it a, is it a set? Is it a subscription? Is it a usage based model? How, how do you, >>It's fully included in the UI pass tool suite. So it means it's on the cloud and on-prem the pricing is the same. We are using this. There >>It is. Yeah. >>It's the same components. Like, like we're using studio for automation, we're using orchestrator, but we're using robots. We have cloud test manager on prem test manager. It's just a part of the >>Value, add that you're putting into the platform. Yeah, yeah, >>Exactly. Yeah. There are components that are priced. Yes. But I mean, it's part of the platform, how it is delivered. >>Yeah. So I paid for that module and you turn it on and use it. So it's a subscription. It could be an annual term if I want multi-year term. I can do that. Exactly. Good. Great guys. Thanks so much for coming on the Cuban and good luck with this. Thank you. Great, great innovations. Okay. Keep it right there at Dave Volante for Lisa Martin, we'll be back with our coverage of UI path forward for, from the Bellagio in Las Vegas. Keep it right there.
SUMMARY :
UI path forward for brought to you by UI path. And we're going to talk about testing. I mean, that will be, you know, And so it's amazing that a lot of companies are not doing this and they're doing it manually, um, today. So can, can you guys take us through kind of the before and after and how And it's going to be, I don't want to use the word game-changer, but it's gonna change. And what I used to do is I have to go out to a warehouse I think you were saying that only 27% are actually But if you think about it, And so when the, when you think of automation, they're thinking about automating the application, And so to the extent that you can compress all those checkboxes, So it's not that you building up a huge backlog for the testing on the RPA side. And that's going to change that. That's going to be the big key. I mean, you have to think about it. So you were a tester. What's the budget. And that's one of the things we want to do is we want to turn testing from a cost center to a value center, And how do you see this And so I think we're going to give these guys some new tools, some ways to grow their career and some ways to be that they can build out information, you have the brain and the muscle together, And it saved them time because they have deal is handoffs, you know, to an external third party to do the testing for them. Cause that's big and we're talking about really reducing, um, or speeding time to value. And so all those agile mindset, the th the agile values, you know, those are the things that are going to help them And that's what we see also with RPA, by the way, is adopted on department level and D build automations. And they say, I fix this, fix this, but we didn't have the analytics we didn't have. Is that something that is so, I mean, I'll give you an example, SAP systems, right? Cause a lot of times you don't know what you don't know. It has other customers like Cisco and, and more, when you hear the stories, And it's easy to use and it's easy to use. from that survey in the very beginning of our conversation, how do you expect that needle to move in the next year? That's a really good question because the questions that we had in the, after we had the first hundred, So it means it's on the cloud and on-prem the pricing is Yeah. It's the same components. Value, add that you're putting into the platform. But I mean, it's part of the platform, Thanks so much for coming on the Cuban and good luck with this.
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Matt Holitza, UiPath & Gerd Weishaar, UiPath | UiPath FORWARD IV
>>From the Bellagio hotel in Las Vegas, it's the cube covering UI path forward for brought to you by UI path. >>We'll go back to the cubes coverage of UI paths forward for big customer event. You know, this company has always bucked the trend and they're doing it again. They're having a live event, physical event. There are customers here, partners, technologists. I'm here with Lisa Martin, my co-host for the show. And we're going to talk about testing. It's a new market for UI path. If anybody knows anything about testing, it's kind of this mundane, repetitive process ripe for automation geared vice-chairs. Here's the senior vice president of testing products at UI path and Matt Elisa. Who's the product marketing lead at UI path. Gents. Welcome to the cube. Thanks for coming on. Thanks for having a feminist Likert. Explain to us how you guys think about testing both from an internal perspective and how you're going to market. >>Yeah, well, testing has been around for a long time, right? 20 twenty-five years or so when, when I came to UI pass, the first thing I looked at was like, how do our customers test RPA? And it's quite interesting. We did a survey actually with 1500 people and, uh, 27% said that they wouldn't test at all. And I thought that's really interesting. RPA is a business critical software that runs in your production environment and you probably have to test. So we came up with this idea that we create the test suite. We're using, you know, proven technology from UI pass. And, and we built this offering and brought us into market for RPA testing in for application testing. So we do both. And of course we use it internally as well. I mean, that will be, you know, eat your own dog food or drink your own champagne, I guess. So >>I want to think about it. If you, if you automate, if you, if there's an ROI to automate a process, there's gotta be an ROI to verify that it's going to work before it goes into production too. And so it's amazing that a lot of companies are not doing this and they're doing it manually, um, today. >>So, so, but so, but parts of testing have been automated, haven't they with regression testing. So can, can you guys take us through kind of the before and after and how you're approaching it versus the traditional? >>Yeah, absolutely. I mean, like I said, testing is not new, right? Um, but still when you look at the customers, they're not out to meeting more than I would say, 30, 40% of the manual tests. So still a lot of Stan manually, which I think, and we talked about this right manual testing is the, the original RPA. It's a tedious, repetitive tasks that you should not do manually. Right? And so what we are trying to bring in is now we're talking about this new role it's called the digital tester. The digital tester is an empowered. We could call a manual tester, who's able to build automation and we believe that this will truly increase the automation, even in the existing testing market. And it's going to be, I don't want to use the word game changer, but it's going change. Uh, the way testing is done. Yeah. >>And we're, we're applying, um, all the capabilities of UI path and delivering those to testers, just like we would for HR team or a, or a, a finance and accounting team. But testing even has they understand this more, they've been doing this for 20 years. They understand automation and we're going to give them things like process mining so they can figure out what tests they need to run from production data. We're going to give them task mining so they can make more human-like tests test. Exactly. Like I used to be a tester and I ran a test team. And what I used to do is I have to go out to a warehouse and I'd have to go watch people as they entered orders, to make sure I was testing it the right way. So they would like click. We usually thought they were clicking things, but they were using hotkeys. That's just an example of what they were doing. But now we can do task task mining to get that remotely, pull that data in and do tests and make more realistic tests. >>So much of the there's so much potential there. I think you were saying that only 27% are actually doing testing. So there's so much opportunity. I'm curious, where are your conversations within the customer organization? We know that automation is a board level investor topic. Where are you? Where are those discussions with the testing folks, the RPA folks, helping them come together? >>Well, that's interesting. The question, uh, we typically on the IPS, have we talked to the cos, right? The people that are professionally developing those RPAs, but very easily, we get introduced to the test side of the house. And then usually there's a joint meeting where the test people are there, the RPA people are there. And that's why we are talking about this is going to convert somehow, right? The are in different departments today. But if you think about it, five years down the road, maybe 10 years, they might be at an automation discipline for the entire enterprise. So if that answered your question about, >>Yeah. >>Going to require a cultural shift. Yeah. And we have a customer coming presenting this afternoon. and they're gonna be talking about how they, both of the teams are using a test teams and the RPA teams. And they built a reusable component library that, so when they built RPA team built their automations, they put them in a reusable library and the test team is able to recreate their test much faster reusing about 70% of the components. And so when the, when you think of automation, they're thinking about automating the application, not automating a process or a test so that people can use those like Lego blocks and build it if they're doing so, they could even, even it automation, if they wanted to start with an it automation, they could pull those components out and use those. >>I think this is game changing is quality because so often, because in this day and age of agile, it's like move fast and break things. A lot of things break. And when we heard this morning in the keynotes, how you guys are pushing code like a couple of times a week, I mean, it's just a constant. And then you do two big releases. Okay. I get, I get it for the on-prem. But when you're pushing code that fast, you don't have time to test everything. There's a lot of stuff that's unknown. And so to the extent that you can compress all those check boxes, now I can focus on the really important things that sometimes are architectural. How do you expect applying RPA to testing is going to affect the quality? Or maybe you've got some examples. Chipotle, you just mentioned, >>First of all, I mean, when you say we pushing code like bi-weekly or so, right. We're talking about continuous development. That's what it's called. Right? It's agile. You have sprint cycles, you continue to bring new code, new code, new code, and you test all the increments with it. So it's not that you building up a huge backlog for the testing on the IPA side. What I see is that there will be a transformation about the process, how they develop RPA at the moment. It's still done very much, I would say, in a waterfall way, which is agree. A big bang waterfall. Yeah. It will transition. We already have partners that apply agile methodologies to their actually RPA development. And that's going to change that. >>Okay. So it's not so it's quality for those that are in testing obviously, but, but it's, but for the waterfall guys, it's, it's compressing the time to value. Oh yeah. That's going to be the big key. That's really worth. >>I mean, what he said is Chipotle is, was able to reuse 70% of the automation components. Right. That's huge. I mean, you have to think about it. 70% can be reused from testing to RPA and vice versa. That's a huge acceleration. Also on the RPA side, you can automate more processes faster. If you have components that you can trust. >>So you were a tester. Yeah. So you were a cost center. Yes, exactly. >>Unnecessary. What's the budget. >>So could you think RPA and automation can flip that mindset? >>Yeah, totally. And that's one of the things we want to do is we want to turn testing from a cost center to a value center, give testers a new career paths, even because really testers before all you could do is you could be more technical. Maybe you become a developer or you can be a manager, but you couldn't really become like an automation architect or a senior automation person. And now we're giving them a whole different career path to go down. So it's really exciting. >>'cause I know when I came out of college, I had a job offer and I wanted to be a developer, a programmer. We called them back then. And the only job I could get was as a tester. And I was like, oh, this is miserable. I'm not doing this, but there's a, there was, there's a growth path there. They were like, Hey, do this for two or three years, maybe five years. I was like, forget it. I'm going into sales and marketing. But so what's the, what's the growth path today for the tester. And how do you see this changing? >>So you want to go, you want to, I can take that one. No, you take it. So that's a really, yeah. I mean, I did it, so really it's, I mean, we're going to be giving these guys, the testing market has been kind of not innovating for years and years and years. And so we're going to be giving these guys some new tools to make them more powerful, make even the cause. Testing is a kind of a practice that is, you know, like, like you said, you, you didn't like testing. I didn't like testing either. Actually I hate testing. So I automated it. So, um, and so that was the first thing I did. And so I think we're going to give these guys some new tools, some ways to grow their career and some ways to be even better testers, but like, like, like we've talked about process mining, test mining, like maybe they're maybe they're testing the wrong things. Maybe they're not testing, you know, maybe, you know, there, cause there's kind of this test, everything mentality we're we need to test everything and the whole release instead of like focusing in on what changed. And so I think we'll be able to help them really focus on the testing and the quality to make it more efficient as well. >>Go ahead. So do to defend the testers, right? Test is a very skilled people. Yes. They know their business, they know what to test and how to test in a way that nobody else knows that it's something we sometimes underestimate. They are not developers so that they don't write code and they don't build automations typically. But if we can equip them with tools that they can build out information, you have the brain and the muscle together, you know what I mean? You don't have to delegate the automation to some, whatever team that is maybe outsourced even you can do it. In-house and I think to some extent, that was also the story of Portland sourcing again, because they're building their own automation. Yeah. >>And it saved them time because they have deal is handoffs, you know, to an external third party to do the testing for them. And so they pulled it all in made things much more streamlined and efficient. How >>Is that? It seems like a big cultural shift within any type of organization in any industry we're using Chipola as an example here, how does your path help facilitate that cultural shift? Because that's big and we're talking about really reducing, um, or speeding time to value. >>Right. Right. And it is a lot of the agile methodologies like we're starting. So it's kind of like, we're going back in time, you know, and we're teaching these people, you know, the RPA community, all of the things that we learned from software development. Right. And so we're going to be applying that to this. And so all those agile mindset, the th the agile values, you know, those are the things that are going to help them kind of come together. And that's one of the things that Julie talked about is one of the things is they had a, kind of an agile mindset, a can-do attitude that pulled them down. >>And I think one thing that will really helps with changing the culture is empowering the people. If you give them the tools that they can do, they will do, and that will change the culture. I don't think it can come from top down. It needs to come from within and from the people. And that's what we see also with RPA, by the way, is adopted on department level and D build automations. And then at some point it becomes maybe an enterprise wide initiative, right. But somebody in HR had this idea and started >>The other thing too, is Matt, you mentioned this you'd go to a third party. So years ago in the early two thousands, we had a software company. We would use a company called agile on. They were, so I don't know if you ever heard of them. They're basically, we're a job shop. And we would throw our code over the very waterfall, throw the code over the fence. It was a black box and it was very asynchronous. And it would come back, you know, weeks later. And they say, oh, I fixed this, fixed this, but we didn't have the analytics we didn't have. There was no transparency had we had that. We would have maybe come up with new ideas or have way to improve it because we knew the product way better. And so if you can bring that, in-house now you've got much better visibility. So what, what analytics are our analytics a piece of this? And is that something? Yeah. >>Yeah. So, I mean, they'll give you an example, SAP systems, right? When you have SAP systems, customers apply transports like five or 10 a day. Every transport can change the system in a way that you might break the automation. We have the possibility to actually not only understand what's going on in this system with process mining, but we also have the possibility to do change, impact, money, and change impact. Mining tells me with every process, every transport I apply, what has changed, and we can pinpoint the test cases that you need to run. So instead of running a thousand test cases, every time we pinpoint 50 of them and you know exactly what has changed. Yeah. >>That's right. Because a lot of times you don't know what you don't know. And you're saying the machine is basically saying focus on these areas that are going to give you the biggest, that's kind of Amdahl's law. Isn't it focus on the areas that going to get the most return. Yeah. So this is a new business for UI path. You guys are targeting this as a market segment. Can you tell us more about that? >>We joined about two years ago. It takes some time to build something, right. There was a lot of proven technology there. And then we lounged, uh, I think it wasn't July last year, which was more like a private lounge. We, we didn't make much noise around it and it's gaining a lot of traction. So it's several hundred customers have already jumped on that test bandwagon, if you can call it this way. And yeah, this, this year we are pushing full speed into the testing market as well, because we see the benefits that customers get when they use both like the story from Chipotle. It has other customers like Cisco and, and more, when you hear the stories, what they were able to achieve. I mean, that's a no-brainer I think for any customer who wants to improve the automation. Yeah. >>Well, and also we're taking production grade automation and giving it to the testers and we're giving them this advanced AI so they can automate things. They weren't able to automate before, like Citrix virtual virtualized machines, point of sale systems, like 12 layer, any other business would have, they can automate all those things now that they couldn't do before, as well as everything else. And then they can also the testing tools, they talked about fragmentation this morning. That's another problem is there's a tool for mobile. There's a tool for this. There's a tool for API APIs and you have all these tools. You have to learn all these languages. We're going to give them one that they can learn and use and apply to all their technologies. And it's easy to use and it's easy to use. Yeah. >>That's kind of been the mantra of UiPath for very long time, easy to use making, making RPA simple. We've got 8,000 plus customers. You mentioned a few of them. We're going to have some of them on the program this week. How do you expect good question for you that stat that you mentioned from that survey in the very beginning of our conversation, how do you expect that needle to move in the next year? Because we're seeing so much acceleration because of the pandemic. >>A really good question, because the questions that we had in the beginning after we had the first hundred, right? The values didn't change that much. So we have now 1500 and you would assume that is pretty stable from the data. It didn't change that much. So we're still at 27% that are not testing. And that's what we see as our mission. We want to change that no customer that has more than, I dunno, five processes in production should not like not test that's crazy and we can help. And that's our mission. So, but the data is not changing. That's the interesting part. >>And I know, I know we're out of time, but, but we're how do you price this? Is it a, is it a set? Is it a subscription? Is it a usage based model? How >>It's fully included in the UI pass tool suite. So it means it's on the cloud and on-prem the pricing is the same. We are using this. There it is. Yeah. It's the same components. Like, like we're using studio for automation, we're using orchestrator, but we're using robots. We have cloud test manager on prem test manager. It's just a part of the, >>So it's a value add that you're putting into the platform. Yeah, yeah, exactly. >>Yeah. Th there are components that are priced. Yes. But I mean, it's part of the platform, how, >>But it's a module. So I paid for that module and you turn it on and then they can use it. So it's a subscription. It could be an annual term if I want multi-year term, I can do that. Exactly. Good. Great guys. Thanks so much for coming on the Cuban and good luck with this. Thank you. Great, great innovations. Okay. Keep it right there at Dave Volante for Lisa Martin, we'll be back with our coverage of UI path forward for, from the Bellagio in Las Vegas. Keep it right there.
SUMMARY :
UI path forward for brought to you by UI path. Explain to us how you guys think about testing both from an internal I mean, that will be, you know, And so it's amazing that a lot of companies are not doing this and they're doing it manually, um, today. So can, can you guys take us through kind of the before and after and how And it's going to be, I don't want to use the word game changer, but it's going change. And what I used to do is I have to go out to a warehouse So much of the there's so much potential there. But if you think about it, And so when the, when you think of automation, they're thinking about automating And so to the extent that you can compress all those check So it's not that you building up a huge backlog for the testing on the IPA side. That's going to be the big key. I mean, you have to think about it. So you were a tester. What's the budget. And that's one of the things we want to do is we want to turn testing from a cost center to a value And how do you see this And so I think we're going to give these guys some new tools, some ways to grow their career and some ways to be with tools that they can build out information, you have the brain and the muscle together, And it saved them time because they have deal is handoffs, you know, to an external third party to do the testing for them. Because that's big and we're talking about really reducing, um, or speeding time to value. And so all those agile mindset, the th the agile values, you know, those are the things that are going to help them And I think one thing that will really helps with changing the culture is empowering the people. And they say, oh, I fixed this, fixed this, but we didn't have the analytics we didn't have. of them and you know exactly what has changed. Because a lot of times you don't know what you don't know. It has other customers like Cisco and, and more, when you hear the stories, And it's easy to use and it's easy to use. from that survey in the very beginning of our conversation, how do you expect that needle to move in the next year? And that's what we see as our So it means it's on the cloud and on-prem the pricing is So it's a value add that you're putting into the platform. But I mean, it's part of the platform, So I paid for that module and you turn it on and then they can use it.
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Shira Rubinoff | CUBE Conversation, October 2021
>> Hello and welcome to this special Cube Conversation. I'm Dave Nicholson, and we are recapping the Citrix Launchpad series with a focus on the topic of security. Now, whenever we're going to talk security on The Cube, we have a Cube veteran and smartest person on cybersecurity that we know Shira Rubinoff. She's a cyber security executive author and advisor, specifically author of the excellent book on the subject, 'Cyber Mines'. Shira welcome back to The Cube. >> Thank you. Pleasure to be here. >> How are you today? >> It's been great. Always great to be on The Cube and talk to you folks, and certainly be part of something from Citrix. >> Well, that might be the last pleasant thing that we say, because we are surrounded by security threats. So are you ready to get serious? >> Oh always. With a smile, serious with a smile. >> So, you know, one over kind of overriding question that a lot of people have now. If you're an IT executive you've experienced a complete change in the world from so many different angles, but how has the pandemic changed the way you think of security? What are the dynamics at play things that have, that are different now that we couldn't have anticipated maybe two or three years ago? >> Interesting questions. Certainly if we look at the scope and the ecosystem of the way that organizations operated, it was pretty much, you know, in the high 90% of people being in the office with just the few percentage being working from home. And that had to shift literally overnight to literally the flip side of it, having the multitude of the organization work from home, work remotely, and maybe the few people that had to be in the office were there. So all of a sudden organizations were left with this. How do we secure down our organization? How do we keep our employees safe? How do we keep our organization safe? How do we connect to the outside world? What do we do to maintain the proper cyber let's call it cyber hygiene with an organization. And that's a topic that I talk about quite frequently. When you look at cybersecurity as a whole, we look at the cyber posture of an organization. We also have to break it down and say, what does an organization need to do to be fully cyber secure? So of course the ongoing training and that had to shift as well. We have now training for the organization and employees, but also think about the consumers and who else is interacting with the organizations. We have to switch how that is done. And that has to be ongoing. And the global awareness of cybersecurity, of course, a top of mind. And then that would lead to also zero trust. Zero trust is a massive, massive piece of cybersecurity need for organizations. We think about it as who needs the data is king. Whoever has the data, they rule the world, right? They own the organization, they do what they need to do. Zero trust, limited access, knowledge of who gets in, why they get in, the need to get in and the need for that with an organization. So zero trust is a very key component of Citrix is very focused on as well. We talk about updated security and patching and all that has to happen. Think about remotely. So not only are we thinking about all these topics, we have to think about them going at warp speed with people that might be working remote, who also have other things they have to take care of. Maybe they're taking care of elderly parents. Maybe they're having to watch their kids on Zoom, making sure they're staying on Zoom and all sorts of things with school and other maybe roommates who are working for other organizations, not having important information in the backgrounds of their Zoom while they're having these important conversations with organizations. But also think about the multiple devices people are using. They may have an area that's set up properly in order to do their work, but then again, they have to be in another room at the same time. Oh, let me just grab my device. So the whole area of the multiple devices, the warp speed of working and not, let's call it this pause. And this is one of the key elements that I would tell all organizations to stop and pause to think about what you're doing before you do it. It's never headaches, but that was not interplayed. When the height of the pandemic, the height of the pandemic, we were worried about what's going on need knowledge of information, where we're getting this information, downloading it, clicking on links. Then we're working at the same time, taking care of people. So all these things are happening simultaneously, leaving open these open vectors for the tax surface to be that much more heightened for the bad actors to get in. >> So you advise some of the largest companies in the world on this subject, and obviously you're not going to reveal any names or specifics, but as a general overall view, from your perspective, how are we doing right now? Are, are, is the average large organization now sort of back on cruise control, having figured everything out for this new reality on a scale of one to 10, how well are we executing against all of these changes? >> That's a great question. Let me talk about the global whole. I think organizations are actually doing really well. I think there was a quick ramp up to figure out how to get it done, but because of also the shift of sharing of information that some of these largest companies across the world, they came together to share information with bad actors, to share information about the tax, to share information about what to do if something happens who's out there and buying together almost like a whole. So it wasn't, you know, each finger on its own. It's a hand as a whole looking at it from a stronger perspective. So I think that shift coupled with the fact of the knowledge and understanding of what companies needed to do in terms of locking down the organization, but also allowing and helping their employees, empowering them to get their work done, but get it done in a secure, safe fashion. And I believe now, you know, obviously we all know they obviously, but the ransomware attacks are now prevalent and they're becoming even more intense with the rise of 5G, the way that attacks could happen, the warp speed we're now having to understand that being reactive is not enough. Being proactive is something that is wonderful to see organizations are doing as well. It used to be okay, let's be reactive. If something happens, what do we do? Let's have a plan in place, but that's not good enough. And we've seen that happen because these attacks are coming at warp speed. So the proactivity of these organizations that they've taken is applaudable, you know, in general, you know, I can't talk for all the companies, but the ones that I've been consulting to and have interactions with, I'm pleasantly surprised and not surprised as well, that the way that they've taken their cyber posture so seriously, and where they focus in not only on the organization as a whole, but their employees as individuals, what their needs are and being able to give them what they need to do their jobs well. >> Yeah, that makes sense. When you can, you can almost think of it like, you know, cybersecurity is a team sport. And to the extent that all of that proactive work that an organization can do can be absolutely undermined if we don't do our parts as endpoints, as endpoint people. And you know, when someone reads cyber minds, I think it'd be, I think it's, there's an undercurrent that I definitely sensed. And then when I looked more closely into your background, I realized that, yes, in fact, you do have a background in psychology. I want to shift to kind of a question along along that line, if you don't mind. Think about the psychology of people who have lived through the pandemic, this concept of our personal hygiene and our personal security has been in the forefront of our mind. You leave the house and there's hand sanitizer and masks and maybe gloves. We're very, very aware of this. How has that affected us from a cybersecurity team sport perspective has that, has that made us better players on the field? What are your thoughts in that regard? >> I actually love that question. You know, as we saw the pandemic heightened, everyone became hyper aware of their own personal, well cleanliness. And in terms of where they are, what they're doing, if they're masking, if they're putting on gloves, the sanitizers are everywhere, six feet apart. Everybody's thinking about that. It's a forefront. It became a way of life. And if you, then you shift that and you're saying, okay, let's look at the technology, the cybersecurity part of it, your own personal safety, your own personal cybersecurity. I think we failed a lot in that area. I think because of the fact you think about the human psychology and the pieces that people need to know information, everybody was hungry for the latest and greatest information. What's going on? What are the stats? How many people? Just terrible, terrible pandemic with so many people getting sick. So many people dying and wanting to know what is going on? What are the latest rule sets? What are, what can I do? What else can I do to protect myself? What is my business doing? So we also have bad actors sending out the phishing attacks, heightened tremendously. There is information being sent out. Click here for the latest here. This is Dr. Fauci's latest report, everything going out there was not necessarily to help us, but to hurt us. And because of people's human psychology of thinking, I need to protect myself. So I need the information. The stop and pause is, is this the right information? Is this a safe place to go? But then there's also the other flip side of, if I'm not interacting, I'm not there. Think about the different generational people we have going on. Gen Z, millennials, all sorts of it. Everybody's all over social media. And everybody needs to and wants to have a presence there certainly in this world. So putting out lots of information and being, being present was very critical because people weren't in person anymore. So people were interacting online, whether it being on social, whether it be telling people where they're going, what they're doing, what they're eating, what their favorite animal is, all sorts of things that they were doing. But they were giving over personal information that made of be utilized as passwords or ways to get to know somebody, to either do a spear phishing attack or any types of attacks to gather information to hurt. Not just a personal to steal money or to steal someone's identity or to come in and hurt the company. But information was everywhere. So we were taking care of our personal cleanliness, but our cyber hygiene with our psychology's aspect of cybersecurity itself, I think took a big dive. And I think that people started becoming aware as these attack surfaces grew. There were also different types of attacks that were happening, where phone calls were coming in saying, somebody's breaking into your bank account. Just verify yourself, give me the last four digits. I need to know who you are. So playing on the human psyche of fear. Somebody is trying to get you nervous. So what are you going to do? You're going to act quickly without thinking or all sorts of, I think we were talking earlier about extended warranties for different things. You know, that has, that also grew extensively, but how did they do that? They were gathering information, personal information to give you something you want. So if you're playing again on the human psychology of people, when people get what they want, they're more likely to give over something they may not give to somebody else anyway. And one of my biggest example of a strong example is back in the day with Candy Crush. If you think about that game before you sign up for that game, you literally have to give over your kidney. You're giving over access to your camera, to your contacts. If you look back at the permissions you're giving, it's really unbelievable that everybody was clicking yes because they wanted to play a game. So take that example and transfer that into real life. We were doing the same thing. So the importance of brushing up on that personal cyber hygiene and really understanding what people needed to do to heighten their own security themselves. Less sharing on social, not giving over information that they shouldn't. Not allowing a trusted source, who isn't really a trusted source into it. Having strong zero trust, not just for organizations, but for yourself was very important. >> Yeah. Now did we Chuck, Chuck, Chuck's my producer. Did we get Shira's social security number and her date of birth? Shira, can you give us that? >> Sure, it's 5, 5, 5, 5, 5, 5, 5, 5. >> Excellent, ha! Phishing attack. >> There you go. Go for it. (both laughing) >> So, so you think there could be a little bit of security fatigue that might come into play. When, you know, when we're thinking of living up to our responsibilities as those end points. >> I think there was just fatigue in general. >> Yeah. >> People were tired of being locked in the house. People were tired of having everybody under the same roof all the time, 24/7, trying to get work done, trying to get school done, taking care of people, what they needed to do. Having groceries delivered, going into groceries, all the thoughts that they had to do, that was just a way of life before, that we all took for granted during the pandemic. It was just a whole shift. People were just antsy, jumpy. We needed to connect and we need to connect in any way we could. So all these open vectors became a problem that ended up hurting us rather than helping us. So this has been something that was a big mind shift. As the pandemic continued, people started realizing what was going on and organizations took a good stand on educating the population and telling them, look, these are the things that are happening. This is what we need to do. Certainly a lot of the companies I'm working with did such a great job with that, giving their employees the wherewithal of wanting to connect, but doing in a secure manner, giving them the tools of what they needed to do personal only, also in their personal lives, not just for their work lives. So that was helpful too. And as we're coming out of it, hopefully continue to come completely out of it, we'll see the shift back into let's take that stop and pause. Let's think what we're doing. >> Yeah, well, we are all looking back to whatever semblance of normal we can get to. Shira I could spend hours picking your brain on a variety of subjects. Unfortunately, we are coming to the end of our time together. Do you promise to come back? >> Certainly a big fan of The Cube. >> Well, fantastic. Shira Rubinoff thank you so much for your time. This is Dave Nicholson with a very special Cube Conversation signing out. Thanks for watching. >> (Shira) Thank you, Dave. (lively music)
SUMMARY :
focus on the topic of security. Pleasure to be here. Cube and talk to you folks, Well, that might be the last serious with a smile. changed the way you think of for the tax surface to be that the way that they've Think about the psychology of I need to know who you are. Shira, can you give us that? There you go. When, you know, I think there was need to connect in any way we we are coming to the end Shira Rubinoff thank you (Shira) Thank you, Dave.
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Accelerating Transformation for Greater Business Outcomes
>>Welcome back to our coverage of HBs. Green Lake announcement's gonna talk about transformation acceleration, who doesn't wanna go faster as they're transforming, right? Everybody is transforming and they want to go as fast as possible to get time to value keith White is here, he's the senior vice president and general manager of Green Lakes commercial business at HP. Michelle LaU is Green Lake cloud services solutions at HP gents. Welcome. Good to see you >>awesome to be here. Thanks so much. Great to be here. >>Dave keith, we've we've been talking virtually for >>quite some time now. >>Q three earnings beaten raise uh focusing on, you know, some real momentum uh want to understand where it's coming from. A r I've said it's headed toward a billion, I think you said 700 million was where you were at last quarter, 1100 customers, orders were up 46%,, Last quarter revenue up over 30%. Where's the momentum >>coming from? No, it's fantastic. And I think what you're seeing is, you know, the world is hybrid. So in essence customers are looking for that solution that says, hey, mere my public cloud with my on premise scenario and give me that hybrid solution and we're just seeing just tremendous momentum and interest across a variety of workloads across a variety of vertical solutions and frankly we're seeing customers basically uh lean in on really running their business on HP. Green Lake, so you know, we had a pretty exciting announcement with the s a a couple weeks back, $2 billion deal, um but again, this shows the value of what Green Lake and the on prem requirements are high level of security, high level of capability? They're doing analytics on all the data that's out there. I mean this is the number one intelligence agency in the world. Right? So super excited about that and it just validates our strategy and validates where we're going. Um the other thing that's really exciting is we're seeing a lot of customers with this whole S. A. P migration, right? Um so ongc, one of the largest oil and gas companies in India, I want to say it's one of the top five S. A. P. Implementations in the world has chosen. Green Lake is their opportunity as well, huge retailers like wal wars. Uh so worldwide we're seeing tremendous momentum. >>That's great. Congratulations on the momentum. I know you're not done uh Michelle new role for you. Awesome. Um when we covered uh discover this year in the cube, we talked about sort of new workload solutions that you guys had. Uh S. A. P. As keith was just mentioning Ml Ops V. D. I. A number of of those workloads that you were really focused on the solution side. How's that going? Give us the update there? >>No, it's coming along really well. I mean you highlighted some of the big ones there. I mean the way we are thinking about Green Lake. Right? I mean, you know, we talked about the great momentum that we've had. The question is why are we having that right? Why are missing that momentum in the market? And I think I'll kind of call out a few features of the green platform that's really making it attractive to customers. Right? What is the experience? What we're trying to do is make it a very, very seamless experience for them? Right. Quick provisioning, easy to manage, easy to monitor, kind of an automated solution. Right? So that's kind of a key element of what we're trying to offer performances. Another one. Right? I mean, the end of the day, what we're doing is we are building out our infrastructure stack and the software stack in such a way that is optimized for the performance. Right? I mean, if you take data for example, it's called the right elements to make sure that the analytics can be done in a machine learning algorithms can be run. So those are like, you know, some of the performance, I think it's a great experience is a big factor. Tco right? I mean customers are very, very focused on their cost base. Right? Especially as they are starting to run up the bills in public cloud. They're like, man, this is expensive, I need to start thinking about costs here because costs catch up pretty fast. So that's kind of another element that people are really focused on and I would say the last one being choice. Right? I mean we provide this platform which is open. Alright. So customers can use it if they want to migrate off it, they can migrate off it. We're not locking them in. So those are some of the value propositions that are really resonating in the marketplace and you're seeing that in the numbers that we just talked about. >>So keep speaking of transformation you guys are undergoing obviously a transformation your your cloud company now. Okay, so part of that is the ecosystem. The partners talk about your strategy in that regard, why you're so excited about welcoming the partners into this old Green Lake world, >>you bet and you know I'm a big fan of one plus one equals three. My seven year old daughter tells me that doesn't actually add up correctly but at the same time it's so true with what we're doing and as official just said an open platform that allows partners to really plug in so that we can leverage the power of S. A. P. Or the power of Nutanix. So the power of Citrix at the same time, all of these are solutions that require, you know deep system integration and capabilities to really be customized for that customers environment. So whether that's infosys or accenture or we pro you know that we need we need those partners as well along with our own advisory and professional services to help customers. But at the same time, you know we talked about the fact that this is really about bringing that cloud experience to the on prem world might be a data center but we're seeing a lot of customers get out of the data center management business and move into a Coehlo. And so the fact that we can partner with the ECU annexes and the Cyrus ones of the world really enable a whole new environment so that customers again can run their business and not get caught up with keeping the lights on and managing power and those types of things. And then finally I'll say, look, the channel itself is actually migrating to offer more services to their customers managed service providers, telcos, distance and resellers and now what we're providing them is that platform with which to offer their own manage services to customers in a much more cost effective cloud experience way with all the benefits of being on prem secure latency app integration and that sort of thing. So it's exciting to see the ecosystem really gate Gardner the momentum and really partner with us closely >>follow up on the partner question if I could. So partner services are part of Green Lake. It's a journey, not everything all at once. Uh but so it's essentially as simple as saying, okay, I want that service, that's my choice. Uh you've given them optionality and it's ideally as seamless as it is in HP services, that the direction that you're >>going. That's right, yeah. So the set that api set that Stalin team are building are basically saying, hey, leverage our cost analytics capabilities, leverage our capacity management, leverage the interface so that you can plug into that single control plane. And so they're making it super simple for our partner ecosystem to do that. And what I think is really important is that if you are a partner, you want to basically offer choice to the customer and if the customer decides, hey, I want to use um red hats open shift for the container platform versus rs morale offering, then they can get just as good of a first class offering with respect to that. Someone wants to use Citrix or Nutanix or VM ware for their video solution. They have that choice. And so we want to make sure we're offering customer choice for what's best for their situation, but also making sure that it's fully integrated with what we do. God thank >>You. So we see more software content of the show. I wonder if you could. I mean certainly as morale is a big piece of that. I talked earlier about margins hit record for HPE. Almost 35% gross margins. This course of software is gonna obviously push that further along um, Lighthouses, another one. How should we think about the direction that you're going >>software. Absolutely. So if you think about what we are building out here is a solution, right? This is solution that's very tightly integrated between the infrastructure stack and the soft and this software that enables it. So really there three or four components to the solution day. Right. So think about Lighthouse, which is an infrastructure stack that is optimized for what's going to run on that. Right? If it's a general purpose compute it will the infrastructure will look different. If it's a storage intensive workload, it will look different. If it's a machine learning workloads will look different. Right? So that's kind of the first component and just optimizing it for what's going to run on it. Second is, um, what we call the Green light platform, which is all about managing and orchestrating it. And what we want to do is we want to have a completely automated experience right from from the way you provisioned it to the way you run the workloads to the way you manage it, to the way you monitor it to the way partners link into it. Right to the way in the software vendors kind of sit on top of that. Right. And then we talked about escrow as well as the engine that runs it right from a container platform perspective or we spend some time talking about unified analytics today. Those are the types of data integration that power Green Lake and the last piece of software I would say is as we kind of think about the ecosystem that runs on top of Green Lake, whether it's our software or third party software. Right? They all have a place equal place on top of the green light platform. And we are very focused on building on the ecosystem. Right? So as a customer or an enterprise who wants to use you should have the choice to run you know 40 50 102 105 100 different software packages on top of Green Lake. And it should be all an automated fashion. But we have tested that in advance. There's there's commercials behind that. It becomes a very very self service provision, seamless experience from the customer's perspective. >>Great. Thank you. So keep 2020 was sort of like sometimes called the force marched to digital right? And some some customers they were already there. Uh so there's a majority now that we've been through this awful year and change, customers are kind of rethinking their digital strategies and their transformations that there can be a little bit more planned fel now you know the world didn't end and and you know I. T. Budgets kind of stabilized a bit actually, you know did better than perhaps we thought. So where are we in terms of transformations? What's the business angle? What are you seeing out there? >>Yeah. I mean customers found a lot of holes that they had in their environment because of the pandemic. I think customers are also seeing opportunities to grow pretty aggressively. You know we just announced Patrick terminals, one of the largest shipping companies in south pack and you know that whole shipping craziness that's going on right now they needed a new digital transformation in order to really make sure they could orchestrate their container ships effectively. Even we talked about Woolworth's there now, changing how they deal with their suppliers because of the Green Lake platform that they have. And so what you're seeing is, hey, you know, first phase of digital transformation public cloud was an interesting scenario. Now they're being able to be planned for like you said and say, where's the best place for me to run this for the latency required with that data, for the choice that we have from an I. S. V. Standpoint, you know, for the on prem capabilities of what we're trying to do from a security standpoint etcetera. So the nice thing is we've seen it move from, you know, hey, we're just trying to get the basic things modernized into truly modernizing data centers, monetizing the data that I have and continuing to transform that environment for their customers, partners, employees and products >>kind of a left field question a bit off topic, but certainly related edge. You guys talk about edge a lot. Hybrid is clear. I think in people's minds you've got an on prem you're connecting to a cloud maybe across clouds? Is edge an extension of hybrid or is it today sort of a bespoke opportunity that maybe we'll come back to this new version of cloud, What's happening at the edge >>that you see? Yeah. So let me just uh I mean think of the edge as it's a continuum. Right? The way at least we think about it, it's not data center or the edge. Right. Think of it as, you know, there's a data center, uh there's a hyper scale data center, there's a data center, there's a closet somewhere, right? There's a cola opportunity, Right? And then you're running something in the store. Right? So let's take the example of a retailer. They're running something in the store and what are they running? They're running? Point of service applications or they're running IOT devices. Right. And at some point they have to connect back into the cloud. Right. So we actually have, you know, something to find van capabilities that connect, you know, uh you know, the Edge devices or edge analytics back into the cloud, we actually have a small form factor kubernetes um operating system that runs on the edge. Right. So we think of all of that as kind of a distributed environment in which Edge is one place where the application runs and where the data sites but it needs to be connected back and so we provide the connectivity back, we provide the mechanism by which we run it and then there's a security model, especially around sassy that is emerging on securing that. So that's kind of how we think about it as part of the overall distributed architecture that we are building and that's where the world will be >>another node in the cloud. >>Another note in the distributed world. Exactly >>yeah. I think the other thing to think about with the edges that this is where the majority of your data is actually getting created. Right? You talked about IOT devices, you know, you'll hear from Zen's Act and what they're doing with respect to autonomous driving with vehicles. You know, we talk about folks like ab that are building the factory of the future and robotics as a service in order to be able to really make sure that that precision happens at that at that point. So a ton of data is coming from that. And so again, how do you analyze that? How do you monetize that? How do you make decisions off of it? And it's it's an exciting place for us. So it's great to have all the connectivity we talked >>about last question, maybe both could address it. Uh we've we we used to see this cadence of of products often times in the form of boxes come out from HP and HP. Now we're seeing a cadence of services, we're seeing more capabilities across this, this this this green lake uh state that you guys are building out. What should we expect in the future? What are the kinds of things that we should evaluate you on? >>Well, I'll start and then maybe you can jump in but you know, the reality is we are becoming much deeper partners with our customers right there looking to us to say help me run my data center, help me improve my data and analytics. Help me at the edge so that I can have the most effective scenario. So what you're seeing from us is this flip from hardware provider into deep partnerships with that with the open platform. I'd say the second thing that we're doing is we're helping them fuel that digital transformation because again, they're looking for that hybrid solution. And so now they're saying, hey HP come and showcase all the experience you have from point next from your advisor and professional services and help me understand what other customers are doing so that I can implement that faster, better, cheaper, easier, etcetera. And then from a product standpoint, kind of a ton of great things. >>That's exactly right. I mean uh we are taking a very, very focused customer back view as we are looking at the future of Green Lake. Right. And exactly the way kids said, right, I mean it's all about solving customer problems for us. Some customer problems are still in the data center, some of them are in close, some customer problems are in the edge. So they're all uh fair game for us as we think about, you know, what we are going to be building out and do your point earlier. Dave it's not about, you know, a server or storage is the institutions right. And the solutions have to have integrated hardware, integrated software, staff, integrated services. Right. There are partners who sell that, who service that and all that entire experience from a customer perspective has to be a seamless. Right? And it's just in our cloud platform, we kind of help the customer run it and manage it and we give them kind of the best performance at the lowest cost, which is what they're looking for. So that's kind of what you'll see us. You'll see more of a cadence of these services can come out, but it's all going in that direction in helping customers with new solutions. >>A lot of customer problems out there, which your opportunities and you know, generally the hyper scale as they are good at solutions. They don't, you know, there's not a lot of solution folks like that. That's a that's a wonderful opportunity for you to build on on top of that huge gift, that Capex gift >>at the hyper scholars have given us all. That's right. And we're seeing the momentum happen. So it's exciting. That's cool guys. Hey, thanks a lot for coming to the cube. Yeah, Yeah. All right, >>okay. And thank you for watching keep it right there more action from HP. Es Green Lake announcements, you're watching the cube. Mm. Mm
SUMMARY :
Good to see you awesome to be here. it's headed toward a billion, I think you said 700 million was where you were at last quarter, 1100 customers, Um the other thing that's really exciting is we're seeing a lot of customers with this whole S. A. P migration, in the cube, we talked about sort of new workload solutions that you guys had. I mean the way we are thinking about Green Lake. So keep speaking of transformation you guys are undergoing obviously a transformation your your cloud company now. And so the fact that we can partner with the ECU annexes and the Cyrus ones of the world really as seamless as it is in HP services, that the direction that you're leverage the interface so that you can plug into that single control plane. I wonder if you could. it to the way you run the workloads to the way you manage it, to the way you monitor it to the way partners strategies and their transformations that there can be a little bit more planned fel now you know the world terminals, one of the largest shipping companies in south pack and you I think in people's minds you've got an it as part of the overall distributed architecture that we are building and that's where the world will be Another note in the distributed world. So it's great to have all the connectivity we talked What are the kinds of things that we should evaluate And so now they're saying, hey HP come and showcase all the experience you have from point next fair game for us as we think about, you know, what we are going to be building out and do your point earlier. They don't, you know, there's not a lot of solution folks like that. at the hyper scholars have given us all. And thank you for watching keep it right there more action from HP.
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Kevin L. Jackson, GC GlobalNet | CUBE Conversation, September 2021
(upbeat music) >> Hello and welcome to this special CUBE conversation. I'm John Furrier, host of theCUBE here, remote in Washington, DC, not in Palo Alto, but we're all around the world with theCUBE as we are virtual. We're here recapping the Citrix Launchpad: Cloud (accelerating IT modernization) announcements with CUBE alumni Kevin Jackson, Kevin L. Jackson, CEO of GC Global Net. Kevin, great to see you. Thanks for coming on. >> No, thank you very much, John. It's always a pleasure to be on theCUBE. >> It's great to have. You always have great insights. But here, we're recapping the event, Citrix Launchpad: Cloud (accelerator IT modernization). And again, we're seeing this theme constantly now, IT modernization, application modernization. People are now seeing clearly what the pandemic has shown us all that there's a lot of projects that need to be up-leveled or kill. There's a lot of things happening and going on. What's your take of what you heard? >> Well, you know, from a general point of view, organizations can no longer put off this digitalization and the modernization of their IT. Many of these projects have been on a shelf waiting for the right time or, you know, the budget to get right. But when the pandemic hit, everyone found themselves in the virtual world. And one of the most difficult things was how do you make decisions in the virtual world when you can't physically be with someone? How do you have a meeting when you can't shake someone's hand? And they all sort of, you know, stared at each other and virtually, of course, to try to figure this out. And they dusted off all of the technologies they had on the shelf that they were, you know, they were told to use years ago, but just didn't feel that it was right. And now it became necessary. It became the way of life. And the thing that really jumped at me yesterday, well, jumped at me with Launchpad, the Launchpad of the cloud is that Citrix honed in on the key issues with this virtual world. I mean, delivering applications, knowing what the internet state is so that you could select the right sources for information and data. And making security holistic. So you didn't have to, it was no longer sort of this bolted on thing. So, I mean, we are in the virtual world to stay. >> You know, good call out there. Honing in was a good way to put it. One quote I heard from Tim (Minahan) was, you know, he said one thing that's become painfully evident is a lot of companies are going through the pandemic and they're experiencing the criticality of the application experience. And he says, "Application experience is the new currency." Okay, so the pandemic, we all kind of know what's going on there. It's highlighting all the needs. But this idea of an application experience is the new currency is a very interesting comment because, I mean, you nailed it. Everyone's working from home. The whole work is shifting. And the applications, they kind of weren't designed to be this way 100%. >> Right, right. You know, the thing about the old IT was that you would build something and you would deploy it and you would use it for a period of time. You know, a year, two years, three years, and then there would be an upgrade. You would upgrade your hardware, you would upgrade your applications, and then you go through the process again, you know? What was it referred to as, it wasn't modernization, but it was refresh. You know, you would refresh everything. Well today, refresh occurs every day. Sometimes two or three times a day. And you don't even know it's occurring. Especially in the application world, right? I think I was looking at something about Chrome, and I think we're at like Chrome 95. It's like Chrome is updated constantly as a regular course of business. So you have to deploy this, understand when it's going to be deployed, and the customers and users, you can't stop their work. So this whole application delivery and security aspect is completely different than before. That's why this, you know, this intent driven solution that Citrix has come up with is so revolutionary. I mean, by being able to know the real business needs and requirements, and then translating them to real policies that can be enforced, you can really, I guess, project the needs, requirement of the organization anywhere in the world immediately with the applications and with this security platform. >> I want to get your reactions to something because that's right on point there, because when we look at the security piece and the applications you see, okay, your mind goes okay, old IT, new IT. Now with cloud, with the pandemic showing that cloud scale matters, a couple themes have come from that used to be inside the ropes concepts. Virtualization, virtual, and automation. Those two concepts are going mainstream because now automation with data and virtual, virtual work, virtual CUBE, I mean, we're doing virtual interviews. Virtualization is coming here. So building on those things. New things are happening around those two concepts. Automation is becoming much more programmable, much more real time, not just repetitive tasks. Virtual is not just doing virtual work from home. It's integrating that virtual experience into other applications. This requires a whole new organizational structure mindset. What's your thoughts on that? >> Well, one of the things is the whole concept of automation. It used to be a nice to have. Something that you could do maybe to improve your particular process, not all of the processes. And then it became the only way of reacting to reality. Humans, it was no longer possible for humans to recognize a need to change and then execute on that change within the allotted time. So that's why automation became a critical element of every business process. And then it expanded that this automated process needed to be connect and interact with that automated process and the age of the API. And then the organization grew from only relying on itself to relying on its ecosystem. Now an organization had to automate their communications, their integration, the transfer of data and information. So automation is key to business and globalization creates that requirement, or magnifies that requirement. >> One of the things we heard in the event was, obviously Citrix has the experience with virtual apps, virtual desktop, all that stuff, we know that. But as the cloud grows in, they're making a direct statement around Citrix is going to add value on top of the cloud services. Because that's the reality of the hybrid, and now soon to be multi-cloud workflows or architectures. How do you see that evolve? Is that something that's being driven by the cloud or the app experience or both? What's your take on that focus of Citrix taking their concepts and leadership to add value on top of the cloud? >> To be honest, I don't like referring to the cloud. It gives an impression that there's only a single cloud and it's the same no matter what. That couldn't be further from the truth. A typical organization will consume services from three to five cloud service providers. And these providers aren't working with each other. Their services are unique, independent. And it's up to the enterprise to determine which applications and how those applications are presented to their employees. So it's the enterprise that's responsible for the employee experience. Integrating data from one cloud service provider to another cloud service provider within this automated business process or multiple business processes. So I see Citrix is really helping the enterprise to continually monitor performance from these independent cloud service provider and to optimize that experience. You know, the things like, where is the application being consumed for? What is the latency today on the internet? What type of throughput do I need from cloud service provider A versus cloud service provider B? All of this is continually changing. So the it's the enterprise that needs to constantly monitor the performance degradation and look at outages and all of that. So I think, you know, Citrix is on point by understanding that there's no single cloud. Hybrid and multi-cloud is the cloud. It's the real world. >> You know, that's a great call. And I think it's naive for enterprises to think that, you know, Microsoft is sitting there saying hmm, let's figure out a way to really work well with AWS. And vice versa, right? I mean, and you got Google, right? They all have their own specialties. I mean, Amazon web service has got great compliance action going on there. Much back stronger than Microsoft. Microsoft's got much deeper legacy and integration to their base, and Google's doing great with developers. So they're all kind of picking their lanes, but they all exist. So the question in the enterprise is what? Do I, how do I deal with that? And again, this is an opportunity for Citrix, right? So this kind of comes down to the single pane of glass (indistinct) always talks about, or how do I manage this new environment that I need to operate in? Because I will want to take advantage of some of the Google goodness and the Azure and the AWS. But now I got my own on premises. Bare metals grow. You're seeing more bare metal deals going down now because the cloud operations has come on premises. >> Yeah, and in fact, that's hybrid IT, right? I always see that there are an enterprise, when enterprise thinks about modernizing or digitally transforming a business process, you have three options, right? You could put it in your own data center. In fact, building a data center and optimizing a data center for a particular process is the cheapest and most efficient way of executing a business process. But it's only way cheaper and efficient if that process is also stable and consistent. I'll say, but some are like that. But you can also do a managed service provider. But that is a distinctly different approach. And the third option is a cloud service provider. So this is a hybrid IT environment. It's not just cloud. It's sort of, you know, it's not smart to think everything's going to go into the cloud. >> It's distributed computing. We see (indistinct). >> Yeah, yeah, absolutely. I mean, in today's paperless world, don't you still use a pen and paper and pencil? Yes. The right tool for the right job. So it's hybrid IT. Cloud is not always a perfect thing. And that's something that I believe Citrix has looked at. That interface between the enterprise and all of these choices when it comes to delivering applications, delivering the data, integrating that data, and making it secure. >> And I think that's a winning positioning to have this app experience, the currency narrative, because that ultimately is an outcome that you need to win on. And with the cloud and the cloud scale that goes on with all the multiple services now available, the company's business model is app driven, right? That's their application. So I love that, and I love that narrative. Also like this idea of app delivering security. It's kind of in the weeds a little bit, but it highlights this hybrid IT concept you were saying. So I got to ask you as the expert in the industry in this area, you know, as you have intent, what do they call it? Intent driven solution for app delivering security. Self healing, continuous optimization, et cetera, et cetera. The KPIs are changing, right? So I want to get your thoughts on that. Because now, as IT shifts to be much faster, whether it's security teams or IT teams to service that DevOps speed, shifting left everyone talks about, what's the KPIs that are changing? What is the new KPIs that the managers and people can work through as a north star or just tactically? What's your thoughts? >> Well, actually, every KPI has to relate to either the customer experience or the employee experience, and sometimes even more important, your business partner experience. That's the integration of these business processes. And one of the most important aspects that people really don't think about is the API, the application programming interface. You know, you think about software applications and you think about hardware, but how is this hardware deployed? How do you deploy and expand the number of servers based upon more usage from your customer? It's via the API. You manage the customer experience via APIs. You manage your ability to interact with your business partners through the API, their experience. You manage how efficient and effective your employees are through their experience with the IT and the applications through the API. So it's all about that, you know, that experience. Everybody yells customer experience, but it's also your employee experience and your partner experience. So that depends upon this integrated holistic approach to applications and the API security. The web app, the management of bots, and the protection of your APIs. >> Yeah, that really nailed it. I think the position is good. You know, if you can get faster app delivery, keep the security in line, and not bolt it on after the fact and reduce costs, that's a winning formula. And obviously, stitching together the service layer of app and software for all the cloud services is really key. I got to ask you though, Kevin, since you and I have riffed on theCUBE about this before, more importantly now than ever with the pandemic, look at the work edge. People working at home and what's causing the office spaces changing. The entire network architecture. I mean, I was talking to a big enterprise that said, oh yeah, we had, you know, the network for the commercial and the network for dial up now 100% provisioned for everyone at home. The radical change to the structural interface has completely changed the game. What is your view on this? I mean, give us your, where does it go? What happens next? >> So it's not what's next, it's where we are right now. And you need to be able to be, work from anywhere at any time across multiple devices. And on top of that, you have to be able to adapt to constant change in both the devices, the applications, the environment, and a business model. I did a interview with Citrix, actually, from an RV in the middle of a park, right? And it's like, we did video, we did it live. I think it was through LinkedIn live. But I mean, you need to be able to do anything from anywhere. And the enterprise needs to support that business imperative. So I think that's key. It's it's not the future, it's the today. >> I mean, the final question I have for you is, okay, is the frog in the boiling water? At what point does the CIO and the IT leaders, I mean, their minds are probably blown. I can only imagine. The conversations I've been having, it's been, you know, be agile, do it in the cloud, do it at speed, fix the security, programmable infrastructure. What? How fast can I run? This is the management challenge. How are people dealing with this when you talk to them? >> First of all, the IT professional needs to focus on the business needs, the business requirements, the business key performance indicators, not technology, and a business ROI. The CIO has to be right there in the C sweep of understanding what's needed by the business. And there also has to be an expert in being able to translate these business KPIs into IT requirements, all right? And understanding that all of this is going to be within a realm of constant change. So the CIO, the CTO, and the IT professional needs to realize their key deliverable is business performance. >> Kevin, great insight. Loved having you on theCUBE. Thanks for coming on. I really appreciate your time highlighting and recapping the Citrix Launchpad: Cloud announcements. Accelerating IT modernization can't go fast enough. People, they want to go faster. >> Faster, faster, yes. >> So great stuff. Thanks for coming, I appreciate it. >> Thank you, John. I really enjoyed it. >> Okay, it's theCUBE conversation. I'm John Furrier, host of theCUBE. Thanks for watching. (upbeat music)
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the world with theCUBE It's always a pleasure to be on theCUBE. that need to be up-leveled or kill. and the modernization of their IT. And the applications, and the customers and users, and the applications you see, okay, and the age of the API. One of the things we and it's the same no matter what. and the Azure and the AWS. And the third option is It's distributed computing. That interface between the enterprise What is the new KPIs that the managers and the protection of your APIs. and the network for dial up And the enterprise needs to support CIO and the IT leaders, and the IT professional highlighting and recapping the Citrix Launchpad: Cloud announcements. So great stuff. I really enjoyed it. I'm John Furrier, host of theCUBE.
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Monica Kumar & Tarkan Maner, Nutanix | CUBEconversation
(upbeat music) >> The cloud is evolving. You know, it's no longer a set of remote services somewhere off in the cloud, in the distance. It's expanding. It's moving to on-prem. On-prem workloads are connecting to the cloud. They're spanning clouds in a way that hides the plumbing and simplifies deployment, management, security, and governance. So hybrid multicloud is the next big thing in infrastructure, and at the recent Nutanix .NEXT conference, we got a major dose of that theme, and with me to talk about what we heard at that event, what we learned, why it matters, and what it means to customers are Monica Kumar, who's the senior vice president of marketing and cloud go-to-market at Nutanix, and Tarkan Maner, who's the chief commercial officer at Nutanix. Guys, great to see you again. Welcome to the theCUBE. >> Great to be back here. >> Great to see you, Dave. >> Okay, so you just completed another .NEXT. As an analyst, I like to evaluate the messaging at an event like this, drill into the technical details to try to understand if you're actually investing in the things that you're promoting in your keynotes, and then talk to customers to see how real it is. So with that as a warning, you guys are all in on hybrid multicloud, and I have my takeaways that I'd be happy to share, but, Tarkan, what were your impressions, coming out of the event? >> Look, you had a great entry. Our goal, as Monica is going to outline, too, cloud is not a destination. It's an operating model. Our customers are basically using cloud as a business model, as an operating model. It's not just a bunch of techno mumbo-jumbo, as, kind of, you outlined. We want to make sure we make cloud invisible to the customer so they can focus on what they need to focus on as a business. So as part of that, we want to make sure the workloads, the apps, they can run anywhere the way the customer wants. So in that context, you know, our entire story was bringing customer workloads, use-cases, partner ecosystem with ISVs and cloud providers and service providers and ISPs we're working with like Citrix on end user computing, like Red Hat on cloud native, and also bringing the right products, both in terms of infrastructure capability and management capability for both operators and application developers. So bringing all these pieces together and make it simple for the customer to use the cloud as an operating model. That was the biggest goal here. >> Great, thank you. Monica, anything you'd add in terms of your takeaways? >> Well, I think Tarkan said it right. We are here to make cloud complexity invisible. This was our big event to get thousands of our customers, partners, our supporters together and unveil our product portfolio, which is much more simplified, now. It's a cloud platform. And really have a chance to show them how we are building an ecosystem around it, and really bringing to life the whole notion of hybrid multicloud computing. >> So, Monica, could you just, for our audience, just summarize the big news that came out of .NEXT? >> Yeah, we actually made four different announcements, and most of them were focused around, obviously, our product portfolio. So the first one was around enhancements to our cloud platform to help customers build modern, software-defined data centers to speed their hybrid multicloud deployments while supporting their business-critical applications, and that was really about the next version of our flagship, AOS six, availability. We announced the general availability of that, and key features really included things like built-in virtual networking, disaster recovery enhancements, security enhancements that otherwise would need a lot of specialized hardware, software, and skills are now built into our platform. And, most importantly, all of this functionality being managed through a single interface, right? Which significantly decreases the operational overhead. So that was one announcement. The second announcement was focused around data services and really making it easy for customers to simplify data management, also optimize big data and database workloads. We announced capability that now improves performances of database workloads by 2x, big data workloads by 3x, so lots of great stuff there. We also announced a new service called Nutanix Data Lens, which is a new unstructured data governance service. So, again, I don't want to go into a lot of details here. Maybe we can do it later. That was our second big announcement. The third announcement, which is really around partnerships, and we'll talk more about that, is with Microsoft. We announced the preview of Nutanix Clusters and Azure, and that's really taking our entire flagship Nutanix platform and running it on Azure. And so, now, we are in preview on that one, and we're super excited about that. And then, last but not least, and I know Tarkan is going to go into a lot more detail, is we announced a strategic partnership with Citrix around the whole future of hybrid work. So lots of big news coming out of it. I just gave you a quick summary. There's a lot more around this, as well. >> Okay. Now, I'd like to give you my honest take, if you guys don't mind, and, Tarkan, I'll steal one of your lines. Don't hate me, okay? So the first thing I'm going to say is I think, Nutanix, you have the absolute right vision. There's no question in my mind. But what you're doing is not trivial, and I think it's going to play out. It's going to take a number of years. To actually build an abstraction layer, which is where you're going, as I take it, as a platform that can exploit all the respective cloud native primitives and run virtually any workload in any cloud. And then what you're doing, as I see it, is abstracting that underlying technology complexity and bringing that same experience on-prem, across clouds, and as I say, that's hard. I will say this: the deep dives that I got at the analyst event, it convinced me that you're committed to this vision. You're spending real dollars on focused research and development on this effort, and, very importantly, you're sticking to your true heritage of making this simple. Now, you're not alone. All the non-hyperscalers are going after the multicloud opportunity, which, again, is really challenging, but my assessment is you're ahead of the game. You're certainly focused on your markets, but, from what I've seen, I believe it's one of the best examples of a true hybrid multicloud-- you're on that journey-- that I've seen to date. So I would give you high marks there. And I like the ecosystem-building piece of it. So, Tarkan, you could course-correct anything that I've said, and I'd love for you to pick up on your comments. It takes a village, you know, you're sort of invoking Hillary Clinton, to bring the right solution to customers. So maybe you could talk about some of that, as well. >> Look, actually, you hit all the right points, and I don't hate you for that. I love you for that, as you know. Look, at the end of the day, we started this journey about 10 years ago. The last two years with Monica, with the great executive team, and overall team as a whole, big push to what you just suggested. We're not necessarily, you know, passionate about cloud. Again, it's a business model. We're passionate about customer outcomes, and some of those outcomes sometimes are going to also be on-prem. That's why we focus on this terminology, hybrid multicloud. It is not multicloud, it's not just private cloud or on-prem and non-cloud. We want to make sure customers have the right outcomes. So based on that, whether those are cloud partners or platform partners like HPE, Dell, Supermicro. We just announced a partnership with Supermicro, now, we're selling our software. HPE, we run on GreenLake. Lenovo, we run on TruScale. Big support for Lenovo. Dell's still a great partner to us. On cloud partnerships, as Monica mentioned, obviously Azure. We had a big session with AWS. Lots of new work going on with Red Hat as an ISV partner. Tying that also to IBM Cloud, as we move forward, as Red Hat and IBM Cloud go hand in hand, and also tons of workarounds, as Monica mentioned. So it takes a village. We want to make sure customer outcomes deliver value. So anywhere, for any app, on any infrastructure, any cloud, regardless standards or protocols, we want to make sure we have an open system coverage, not only for operators, but also for application developers, develop those applications securely and for operators, run and manage those applications securely anywhere. So from that perspective, tons of interest, obviously, on the Citrix or the UC side, as Monica mentioned earlier, we also just announced the Red Hat partnership for cloud services. Right before that, next we highlighted that, and we are super excited about those two partnerships. >> Yeah, so, when I talked to some of your product folks and got into the technology a little bit, it's clear to me you're not wrapping your stack in containers and shoving it into the cloud and hosting it like some do. You're actually going much deeper. And, again, that's why it's hard. You could take advantage of those things, but-- So, Monica, you were on the stage at .NEXT with Eric Lockhart of Microsoft. Maybe you can share some details around the focus on Azure and what it means for customers. >> Absolutely. First of all, I'm so grateful that Eric actually flew out to the Bay Area to be live on stage with us. So very super grateful for Eric and Azure partnership there. As I said earlier, we announced the preview of Nutanix Clusters and Azure. It's a big deal. We've been working on it for a while. What this means is that a select few organizations will have an opportunity to get early access and also help shape the roadmap of our offering. And, obviously, we're looking forward to then announcing general availability soon after that. So that's number one. We're already seeing tremendous interest. We have a large number of customers who want to get their hands on early access. We are already working with them to get them set up. The second piece that Eric and I talked about really was, you know, the reason why the work that we're doing together is so important is because we do know that hybrid cloud is the preferred IT model. You know, we've heard that in spades from all different industries' research, by talking to customers, by talking to people like yourselves. However, when customers actually start deploying it, there's lots of issues that come up. There's limited skill sets, resources, and, most importantly, there's a disparity between the on-premises networking security management and the cloud networking security management. And that's what we are focused on, together as partners, is removing that barrier, the friction between on-prem and Azure cloud. So our customers can easily migrate their workloads in Azure cloud, do cloud disaster recovery, create a burst into cloud for elasticity if they need to, or even use Azure as an on-ramp to modernize applications by using the Azure cloud services. So that's one big piece. The second piece is our partnership around Kubernetes and cloud native, and that's something we've already provided to the market. It's GA with Azure and Nutanix cloud platform working together to build Kubernetes-based applications, container-based applications, and run them and manage them. So there's a lot more information on nutanix.com/azure. And I would say, for those of our listeners who want to give it a try and who want their hands on it, we also have a test drive available. You can actually experience the product by going to nutanix.com/azure and taking the test drive. >> Excellent. Now, Tarkan, we saw recently that you announced services. You've got HPE GreenLake, Lenovo, their Azure service, which is called TruScale. We saw you with Keith White at HPE Discover. I was just with Keith White this week, by the way, face to face. Awesome guy. So that's exciting. You got some investments going on there. What can you tell us about those partnerships? >> So, look, as we talked through this a little bit, the HPE relationship is a very critical relationship. One of our fastest growing partnerships. You know, our customers now can run a Nutanix software on any HPE platform. We call it DX, is the platform. But beyond that, now, if the customers want to use HPE service as-a-service, now, Nutanix software, the entire stack, it's not only hybrid multicloud platform, the database capability, EUC capability, storage capability, can run on HPE's service, GreenLake service. Same thing, by the way, same way available on Lenovo. Again, we're doing similar work with Dell and Supermicro, again, giving our customers choice. If they want to go to a public club partner like Azure, AWS, they have that choice. And also, as you know, I know Monica, you're going to talk about this, with our GSI partnerships and new service provider program, we're giving options to customers because, in some other regions, HPE might not be their choice or Azure not be choice, and a local telco might the choice in some country like Japan or India. So we give options and capability to the customers to run Nutanix software anywhere they like. >> I think that's a really important point you're making because, as I see all these infrastructure providers, who are traditionally on-prem players, introduce as-a-service, one of the things I'm looking for is, sure, they've got to have their own services, their own products available, but what other ecosystem partners are they offering? Are they truly giving the customers choice? Because that's, really, that's the hallmark of a cloud provider. You know, if we think about Amazon, you don't always have to use the Amazon product. You can use actually a competitive product, and that's the way it is. They let the customers choose. Of course, they want to sell their own, but, if you innovate fast enough, which, of course, Nutanix is all about innovation, a lot of customers are going to choose you. So that's key to these as-a-service models. So, Monica, Tarkan mentioned the GSIs. What can you tell us about the big partners there? >> Yeah, definitely. Actually, before I talk about GSIs, I do want to make sure our listeners understand we already support AWS in a public cloud, right? So Nutanix totally is available in general, generally available on AWS to use and build a hybrid cloud offering. And the reason I say that is because our philosophy from day one, even on the infrastructure side, has been freedom of choice for our customers and supporting as large a number of platforms and substrates as we can. And that's the notion that we are continuing, here, forward with. So to talk about GSIs a bit more, obviously, when you say one platform, any app, any cloud, any cloud includes on-prem, it includes hyperscalers, it includes the regional service providers, as well. So as an example, TCS is a really great partner of ours. We have a long history of working together with TCS, in global 2000 accounts across many different industries, retail, financial services, energy, and we are really focused, for example, with them, on expanding our joint business around mission critical applications deployment in our customer accounts, and specifically our databases with Nutanix Era, for example. Another great partner for us is HCL. In fact, HCL's solution SKALE DB, we showcased at .NEXT just yesterday. And SKALE DB is a fully managed database service that HCL offers which includes a Nutanix platform, including Nutanix Era, which is our database service, along with HCL services, as well as the hardware/software that customers need to actually run their business applications on it. And then, moving on to service providers, you know, we have great partnerships like with Cyxtera, who, in fact, was the service provider partner of the year. That's the award they just got. And many other service providers, including working with, you know, all of the edge cloud, Equinix. So, I can go on. We have a long list of partnerships, but what I want to say is that these are very important partnerships to us. All the way from, as Tarkan said, OEMs, hyperscalers, ISVs, you know, like Red Hat, Citrix, and, of course, our service provider, GSI partnerships. And then, last but not least, I think, Tarkan, I'd love for you to maybe comment on our channel partnerships as well, right? That's a very important part of our ecosystem. >> No, absolutely. You're absolutely right. Monica. As you suggested, our GSI program is one of the best programs in the industry in number of GSIs we support, new SP program, enterprise solution providers, service provider program, covering telcos and regional service providers, like you suggested, OVH in France, NTT in Japan, Yotta group in India, Cyxtera in the US. We have over 50 new service providers signed up in the last few months since the announcement, but tying all these things, obviously, to our overall channel ecosystem with our distributors and resellers, which is moving very nicely. We have Christian Alvarez, who is running our channel programs globally. And one last piece, Dave, I think this was important point that Monica brought up. Again, give choice to our customers. It's not about cloud by itself. It's outcomes, but cloud is an enabler to get there, especially in a hybrid multicloud fashion. And last point I would add to this is help customers regardless of the stage they're in in their cloud migration. From rehosting to replatforming, repurchasing or refactoring, rearchitecting applications or retaining applications or retiring applications, they will have different needs. And what we're trying to do, with Monica's help, with the entire team: choice. Choice in stage, choice in maturity to migrate to cloud, and choice on platform. >> So I want to close. First of all, I want to give some of my impressions. So we've been watching Nutanix since the early days. I remember vividly standing around the conference call with my colleague at the time, Stu Miniman. The state-of-the-art was converged infrastructure, at the time, bolting together storage, networking, and compute, very hardware centric. And the founding team at Nutanix told us, "We're going to have a software-led version of that." And you popularized, you kind of created the hyperconverged infrastructure market. You created what we called at the time true private cloud, scaled up as a company, and now you're really going after that multicloud, hybrid cloud opportunity. Jerry Chen and Greylock, they just wrote a piece called Castles on the Cloud, and the whole concept was, and I say this all the time, the hyperscalers, last year, just spent a hundred billion dollars on CapEx. That's a gift to companies that can add value on top of that. And that's exactly the strategy that you're taking, so I like it. You've got to move fast, and you are. So, guys, thanks for coming on, but I want you to both-- maybe, Tarkan, you can start, and Monica, you can bring us home. Give us your wrap up, your summary, and any final thoughts. >> All right, look, I'm going to go back to where I started this. Again, I know I go back. This is like a broken record, but it's so important we hear from the customers. Again, cloud is not a destination. It's a business model. We are here to support those outcomes, regardless of platform, regardless of hypervisor, cloud type or app, making sure from legacy apps to cloud native apps, we are there for the customers regardless of their stage in their migration. >> Dave: Right, thank you. Monica? >> Yeah. And I, again, you know, just the whole conversation we've been having is around this but I'll remind everybody that why we started out. Our journey was to make infrastructure invisible. We are now very well poised to helping our customers, making the cloud complexity invisible. So our customers can focus on business outcomes and innovation. And, as you can see, coming out of .NEXT, we've been firing on all cylinders to deliver this differentiated, unified hybrid multicloud platform so our customers can really run any app, anywhere, on any cloud. And with the simplicity that we are known for because, you know, our customers love us. NPS 90 plus seven years in a row. But, again, the guiding principle is simplicity, portability, choice. And, really, our compass is our customers. So that's what we are focused on. >> Well, I love not having to get on planes every Sunday and coming back every Friday, but I do miss going to events like .NEXT, where I meet a lot of those customers. And I, again, we've been following you guys since the early days. I can attest to the customer delight. I've spent a lot of time with them, driven in taxis, hung out at parties, on buses. And so, guys, listen, good luck in the next chapter of Nutanix. We'll be there reporting and really appreciate your time. >> Thank you so much. >> Thank you so much, Dave. >> All right, and thank you for watching, everybody. This is Dave Vellante for theCUBE, and, as always, we'll see you next time. (light music)
SUMMARY :
and at the recent and then talk to customers and also bringing the right products, terms of your takeaways? and really bringing to just summarize the big news So the first one was around enhancements So the first thing I'm going to say is big push to what you just suggested. and got into the technology a little bit, and also help shape the face to face. and a local telco might the choice and that's the way it is. And that's the notion but cloud is an enabler to get there, and the whole concept was, We are here to support those outcomes, Dave: Right, thank you. just the whole conversation in the next chapter of Nutanix. and, as always, we'll see you next time.
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Christian Reilly, VP, Technology Strategy , Citrix | CUBE Conversation, September 2021
>>Hi, welcome to this cube conversation. I'm Lisa Martin and pleased to welcome back. One of our cube alumni, Christian rowdy, the VP of technology strategy at Citrix Christian. Welcome back to the program. >>Thank you, Lisa. And thanks for having me. Great to see you again, and we'll be virtually at this time. >>Great to see you too. It's been a couple of years and quite a few things have changed since we got to sit down at synergy a couple of years together together. Citrix has an exciting new announcement. Let's unpack that. Talk me to me about what you're announcing and what it's going to deliver. >>Sure. You know, as you said, actually, I can't believe it's been a couple of years since we last saw each other. And I think, you know, time's kind of just disappeared within the pandemic. So it actually, as a result of some of those things that we've seen, you know, people get so tired of being stuck in the same place and tired of being on this constant stream of video. And one of the things that we wanted to do was, was actually a vital Citrix launch part, which is kind of our new announcement series that will be delivered via LinkedIn live. But he's really intended to be kind of a short burst approach to providing updates to some of them really important things that we're working on at Citrix. So, uh, hopefully, uh, people would love to say a reason and get some rich information from them. >>And there's going to be a series of three launchpad programs. Now we've seen so much change since the rapid pivot to work from home. Now this worked from anywhere hybrid environment. We've seen the, the massive adoption of cloud and SAS. We've also seen the threat landscape, the attack surface, just expand and expand. Talk to me about why Citrix is doing the launch pad series and then we'll go through each of the three series. >>Yeah, absolutely. So maybe I think just to set a little bit of context, you know, we, we were working on some pretty interesting things, uh, pre pandemic, you know, uh, as a result of the, kind of the, the evolution of Citrix as an organization, but perhaps more importantly, the journey that our customers were on globally, you know, every customer that we had in, in any industry across the world, we're all at various stages of their own digital transformation. And I think what the pandemic has done apart from all the really bad things, actually, if you look at it as a, perhaps one gleaming bit of light in the whole thing was that we've given organizations, whether we realize it or not the opportunity to try this huge remote work experiment. And I think what it has done above anything else has shown that remote work actually works. >>And so as a result of that, what we've seen coming out of the pandemic is that organizations are really going to use that as a springboard. So implement some new strategies, new technologies, and really drive the next generation of that business. So with one eye on that, I think if you were to categorize the three big things that we're looking at from a Citrix perspective, it's really about how to help, we'll continue to help our customers with that accelerated it modernization to really help them understand what it takes to have secure, flexible work in this new post pandemic world. And then also to think about productivity, what does productivity mean in a world of ever more distributed teams? And so the events that we're talking about and specifically the cloud one, we'll focus on some of the new offerings from Citrix, some of the new technologies and talk about the trends that we've seen within our customers. >>So, you know, one of the big things that Citrix has always been very proud of is our market leading position in virtual application and virtual desktop delivery. And even that itself has now begun to emerge into what we call desktop as a service. And there's a ton of new innovations that we've been working on in that space as well. But also if you think about what's happening in cloud, as you talked about, you know, the evolution of applications being from traditional on premises, wills to SAS applications, what we're also seeing is things like the network services that use to support those applications when they looked slightly different, which from a deployment perspective, and now all moving to cloud services, the security that you alluded to in terms of how complicated that is, but how important it is for it, organizations, those services also moving to cloud as the applications begin to look very differently in the future. So extremely excited about the cloud launch. Patino, we're going to talk a lot about those things that we're doing both in the public cloud, in the hybrid cloud. And I think it will resonate well with customers around the world. >>I think it will as well. And you mentioned there are glimmers of hope that we've seen in the last 18 months. And one of the things that this has proved is that work from home can be productive, can be successful. Employees need to be empowered to be able to do that. Let's go ahead and talk through the first, um, program accelerating it monetization. This is Tuesday, September 28th. Let's talk about some of the, of the Citrix innovations that you're going to be announcing. >>Yeah, so I mean, as I mentioned know, we, we, we think about sort of ecstatic. I see modernization in various parts. You know, we tend to start with the classic infrastructure and we've seen over the years that lots of infrastructure, you know, he's leaving the building. And by that we mean the traditional realms of on-premise data centers or co-location facilities, this constant evolution and migration of those services, uh, to, to infrastructure as a service providers from the huge cloud companies that are out there. And we can continue to see that as a, as a huge trend. Of course. Um, one of the things that off the back of that of course is our move from the traditional world of virtual desktops, which was a very on-premise concept into desktop as a service. So really the key around desktop as a service, it's a simplification, some cost optimization and the things that it are looking at in terms of how they can really bring things to the party for their organizations going forward. >>And of course, as we move into that world of everything being delivered as a service know, things like network services, security services, they almost follow. So some of the things that you'll hear about that is really around our application, delivering security and also our move from VDI to DAS. And, you know, you'll hear a lot about what we're doing with the world's leading cloud providers to really add more Citrix value or build on what we've already done with them, but lots, lots more, uh, and really support the, the, the notion of the, every customer is on a journey to cloud one way or the other. And of course, districts will be ready to help at any stage of that journey. >>Every customer is on the journey to cloud. And we've seen that accelerate so much in the last 18 months. Talk to me a little bit about if we, if we think of desktop as a service, as an evolution of VDI, is that what you're saying? >>Yeah. You know, you think about sort of the traditional VDI scenario was that your virtual desktops, where we were using instead of physical desktops, you know, in inside the usual office location, but during the pandemic, you know, we saw so many customers rely on moving to VDI, to cloud, for reasons of scalability and reasons of security, but then also needing to still in many cases, provide access to those sort of traditional physical PCs. And of course, Citrix has had solutions for that for fundamentally many, many years. Um, but what we're also seeing is that organizations are striving for simplicity. You know, the kind of the value of the desktop is being able to deliver it on demand to the end user securely from wherever they are in the world on whatever device they're on. And as we see this sort of establishment of these new working norms, and I'm not a great fan of the phrase, the new normal, I think we have a new now and that now will evolve. You know, they almost daily as we come through the other side of the pandemic. So the real key drivers for us there obviously flexibility, reliability, security, and also cost optimization, which of course is the bread and butter of most conversations we have with CIO and CTO is around the world. >>That's critical. And I'm going to borrow that, um, the new, now, if you don't mind, I'll cite you credit. But I like that. I agree that I hope this is not the new normal, but one of the things that we've seen in the new now on the security front is we've seen this massive increase in ransomware. Everybody went to work from home almost overnight. Suddenly you have millions of devices, IOT devices connecting to corporate networks. Security became the acceleration of security, became a huge challenge for customers in any organization globally. Let's talk about now the second announcement. This is going to be Tuesday, October 5th, empowering a secure distributed workforce. >>Yeah. And I, and I think you you've hit the nail on the head there. I think the one thing that was perhaps completely staggering to everybody was the speed in which organizations were forced to lock their employees out of the physical office locations and by force. I mean, for all the right reasons that are around the health and wellbeing. I mean, if I think back to my earlier career, you know, before I joined Citrix, I was in a large organization and we would, you know, perform these fire drills every so often where we would go through our disaster recovery business continuity plans and really play scenarios out. Like the office in London was unavailable or the office in LA was unavailable, but never once do I remember is doing every office. And every location is offline from tomorrow. And there's no negotiability. If you have a device at home, please use it. >>You know, we can't provide laptops quick enough, especially with the global chip shortage now as well. So whatever device you have, we'll do our best to, to make that secure. And I think there was, uh, an expectation that the employees would sort of play nicely in that scenario. But of course, you know, if you have your home device, you probably don't update it as much as a work device. So it really does require a new set of thinking. And of course, Citrix has been at the forefront of the zero trust evolution. Now the technologies that we have in place do permit remote work and have them for many years. But I think what we're seeing now is a slightly different type of remote work, you know, with different types of, of applications and devices, as you said, different locations, you know, needing to knit all of that together in a sort of a more contextual way so that we can understand, you know, combinations of the end user, their location, the types of applications that they're using the state of their devices, and sort of bring it all that together to really understand, you know, just exactly how much security needs to be applied. >>I think the traditional challenges are still there, you know, too much security and end users will find a way around it because it's not a good user experience. And, you know, perhaps too much user experience without the security leaves, big holes and big problems for organizations. So, yeah, I think this balancing act is really key. And of course, uh, as we go through the launch funnel security, we'll talk about some of the great innovations and solutions that are coming from central. >>You're right with the fact that, uh, you know, this rapid pivot security, the changes, the things that people are saying, the workforce needs to be empowered. You know, we saw this sudden dependence on all these SAS applications to communicate and to collaborate. We also saw with that rapid PennDOT to work from home ransomware, I was doing some research recently, Christian, and that's it, it's up almost 11 X just in the first half of 2021 DDoSs is massively up. People are, are working from home in environments that are just suddenly a bit chaotic. And it's challenging from a security perspective when you have so many distractions to be able to make sure that you're following all the right steps as an employee, um, that you're not clicking on nefarious links and that you're really doing your own due diligence. So having that zero trust and help from folks like Citrix is really key to this new. Now, as you say, >>It is, you know, the unfortunate thing is that wildlife, uh, no end user, or certainly I would hope that no one user would willingly cause a problem from a security perspective. I think just by the very nature of the way that end users thing, can they interact with links in emails or the, uh, you know, interact with attachments in emails? Unfortunately, relying on the human is always going to be the weakest link in the chain. And I think that's why we have to have new approaches to how we address the use of behavior. You know, can we actually, uh, you know, guide people in different ways. There are plenty of technologies that are out there now. And then many, many from Citrix that actually allow us to what we've lovingly said is, is to save the users from themselves. You know, we can't simply rely on every user to be diligent for every single email or every single link that they see. So, you know, being able to actually understand, you know, where the threats are as it relates to the end user and the likely interaction they have, and then being able to combat those threats in the technology at a seamless way is really part of the excited evolution of, of what we're doing with Citrix. And again, lots of great things to come as we go through the security. >>And the third announcement is around worker boosting worker productivity. That's been a challenge that we've all faced in the last 18 months of having, like I said, a minute ago, you know, people that have suddenly kids learning from home spouses, working people competing for bandwidth. Talk to me about some of the things that Citrix is doing to help those workers be more engaged, be plugged in and really be able to get their jobs done from anywhere. >>Yeah, well, you know, I mean, I can give you the benefit of my experience, you know, being, uh, in a, in a home office for, for, for almost 20 months has been completely the antithesis of the opposite of the rest of my career. You know, I've, I've always been very mobile, um, you know, kind of picking up different devices and using them for different things, just purely from a, you know, the perspective of what's most convenient to me. And I think, you know, if you take that and extrapolate it to, to every employee and every organization around the world who has had to invite work into their home, you know, and another soundbite that I use quite often now is that, you know, for the last 20 months, we really haven't been working from home. We've been living at work, you know, and, and, and it's, it's a fact, you know, we've probably done more hours than ever before. >>We've run the risk of burnout more than ever before. And, you know, prior to the pandemic, I know, talked to you and I talked about this very thing, uh, at synergy, you know, w we talked about the notion of needing to focus on employee experience and employee productivity. You know, we saw plenty of examples in customers with huge initiatives around employee experience and employee productivity. You know, CIO is partnering with HR leads and really trying to figure out a map, the employee journey, you know, what is it that they do every day? You know, how can we make their life easier? And perhaps interestingly, how can we reduce some of the mundane overhead, you know, approvals or requests or things that we see in our everyday life, but actually give the employees more time to be valuable and, and do great cognitive work, which is of course, what, what humans do best. >>And so, you know, you remember, we talked about the micro apps back then. We, we we'd completed the acquisition of Sappho, uh, as you and I talked last time when we unveiled micro apps and micro workflows, as a way to really help end users interact within Citrix workspace. So the systems that they use every day, but provide a new way to do that. And just earlier this year, we completed the acquisition and integration of Reich, which was a fantastic addition to the Citrix portfolio. And so we've really begun to think about, you know, how can we actually help employees to do their best work? You know, w w what are the new capabilities that we need within Citrix workspace? What are the new capabilities that we need in Reich? How do we bring all that together with some of the other solutions that we have Citrix Podio is a really interesting suite of productivity applications that we have really aimed at that number one problem, which is how can I get people to be productive, to stay engaged, to lower the burnout and help them do their best work. And I'm really, really excited because there's some fantastic things. So we announced that the work version of the launch pod, which is on October 12th, >>All of those are so critical. You know, I I've always said employee productivity employee is directly related to the customer experience. I've used Wrike myself before, um, for different projects and being able to have productivity tools that allow the employee to engage, to be able to empower them to move projects forward, especially in a time that is still somewhat chaotic is, is critical as is to your point, ensuring that there are the proper tools to facilitate folks so that they get what they need when they need it to help reduce burnout. That's been a big challenge. You're right. That the living at work thing is real, it's persisting, and we're going to be in this hybrid environment for some TBD amount of time longer. So having the ability to be empowered and productive in a secure way, leveraging cloud capabilities is really key. And it's exciting to hear what Citrix launchpad is going to announce over those three days and deliver. >>Yeah. You know, I, I would just say, you know, in, in, in sort of summary where we're, we're really excited about the three areas now, and they really do sort of all come together in some of those challenges that we talked about, you know, specifically around how we can help organizations to address that accelerated it modernization to drive secure, flexible work in the new now, and also to really reach that goal of having extremely productive, distributed teams as we come out the other side of the pandemic. So, you know, lots going on a fantastic time to, to be here and to talk to you and to be at Citrix, of course, with so many, you know, huge customer issues that we, that we have to solve. And we're really excited for the challenge. >>Excellent. And we all are looking forward to that, the Citrix launchpad series, Christian, where can folks go to register for these different programs? >>Yeah, sure. So it's pretty simple. So if we just go to HTTP bit dot Lee, bit dot L Y forward slash Citrix launchpad, and we can sign up through that. >>Excellent. I've already signed up. I'm looking forward to these series, this series, to learn more about what you guys are doing and kind of dig in double click on some of the things that you spoke about Christian. Thank you for joining me today, talking about the launch pad series and letting folks know where they can go to register. >>Thank you. Great to be on the great to see you again. >>Likewise, for Christian Riley, I'm Lisa Martin, you're watching a cube conversation.
SUMMARY :
One of our cube alumni, Christian rowdy, the VP of technology strategy at Citrix Christian. Great to see you again, and we'll be virtually at this time. Great to see you too. And one of the things that we wanted to do was, the rapid pivot to work from home. So maybe I think just to set a little bit of context, you know, we, we were working on some pretty And then also to and now all moving to cloud services, the security that you alluded to in terms of how complicated And one of the things that this has proved is that work from home can be productive, you know, he's leaving the building. the notion of the, every customer is on a journey to cloud one way or the other. Every customer is on the journey to cloud. but during the pandemic, you know, we saw so many customers rely on moving And I'm going to borrow that, um, the new, now, if you don't mind, I mean, if I think back to my earlier career, you know, before I joined Citrix, But I think what we're seeing now is a slightly different type of remote work, you know, I think the traditional challenges are still there, you know, too much security and end users will find You're right with the fact that, uh, you know, this rapid pivot security, And again, lots of great things to come as we go through the security. like I said, a minute ago, you know, people that have suddenly kids learning from home spouses, And I think, you know, if you take that and extrapolate it And perhaps interestingly, how can we reduce some of the mundane overhead, you know, And so we've really begun to think about, you know, how can we actually help employees to do And it's exciting to hear what Citrix launchpad is going to announce over those three now, and they really do sort of all come together in some of those challenges that we talked about, you know, And we all are looking forward to that, the Citrix launchpad series, Christian, where can folks go to So if we just go to HTTP bit dot Lee, bit dot L Y to learn more about what you guys are doing and kind of dig in double click on some of the things that you spoke about Christian. Great to be on the great to see you again.
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Keith White, GreenLake Cloud Services | HPE Discover 2021
>>mhm >>mm >>Hello and welcome back to HPD discovered 2021. My name is Dave Volonte and we're going to dig into H P E. Green Lake, we've heard a lot about this, we want to find out how real it is and test a little bit of how how can help solve your business problems. We also want to understand Green Lake relative to the competition. HPV was the first, as you probably know to declare it all in with an as a service model and virtually every major infrastructure player has now followed suit. So we want to hear from HP directly how it's different from the competition, where it's innovating and that means we're gonna poke a little bit of customer examples and how the partner ecosystem is adopting and responding to Green Lake and with me is the right person to do this is keith White, who is the senior Vice President General Manager of the Green Lake cloud services business unit at HP, keith, great to see you, thanks for coming back to the cube. >>Okay, fantastic to see you as always. So thanks so much for having me. >>Yeah, it's our pleasure. So look, we're hearing a lot leading up to discover and at this event about Green Lake you got momentum now, everybody's excited about it. What's driving demand? Where's the excitement coming from? >>No, it's a great question. And you know, the reality is customers are expecting this cloud experience, right? So they they've been using the public cloud, they've been engaging on that front and this cloud experience is really driven, a pretty high amount of customer expectations, make itself served, make it automated, make it easy to consume, only want to pay for what I'm using and then manage it all for me on the back end. But 60 to 70% of apps and data will stay on prem per Gardner and I D. C. And so give me that experience on prem. And so that's why I think Green Lake has gotten so much interest, so much positive growth and momentum is because we're bringing that cloud experience to our customers in their data center, in their Coehlo or at the edge and that's where they want to see it just as much. And so since the world is now hybrid, we have a fantastic solution for folks. >>So you, you were first in this game and so you took some arrows and I'm interested in how Green Lake has evolved, Take us through the journey maybe what were some of the bumps in the road that you had to overcome? Maybe how it compares with the competition. Maybe some of the things that they're going to have to go through as well to get to the point where you are. >>No, it's true. And you know, the great thing is HP as a company is really moving to be much more of a cloud services and software company. And you know, we're seeing this from our competition, as you mentioned, have followed suit. But in essence, you know, you have to move from just sort of providing lease type financing type scenarios for our customers into truly delivering that cloud experience. And that's what's been so exciting over this last year is we've gone from just the basic cloud services, compute storage, networking and VMS to really providing containers as a service, bare metal as a service. Uh, machine learning ops, S. A P V. D I. You know, we've now created a set of workloads and as you heard it discover we're now delivering industry solutions, so electronic medical records for hospitals or high delivery payment transaction processing for, for financial, so that the challenge of moving from just sort of leasing basic capabilities to a true cloud experience that again pay as I go, fully automated self serve, all managed for me has really been a challenge and it's exciting, it's exciting to see customers jump on and really sort of lean in and see the business value that comes from having that level of solution >>keith, am I correct in that pretty much every large tech company has a services arm and they could, they could sort of brute force, some kind of cloud like experience and that's kind of what people have done historically the layer in a financial like leasing financial as you said and and but every situation was unique, it was kind of a snowflake if you will and you guys are probably there a few years ago as well and so I'm interested in sort of how you evolved beyond that. Was it a mindset was a technology, was it sort of cultural? You know, it came from the top as well, but maybe you could describe that a little bit. >>Yeah, the ship comes from our customers because what's happening is customers no longer trying to buy component parts. They're saying it's really about Tesla's like, hey, I want you to deliver this for me. In essence, we're running the data center for them now. We're running their machine learning operations environment for them. Now, you know, we're migrating their mainframe over now. And so what's happening is these sls are really, what matters to customers like that? It's not so much about, hey, what are the speeds and feeds and this and that? And so yes, you can sort of brute force that piece of it. But what you really are having to do is create this deep partnership and relationship with your customer to truly understand their business challenges and then provide them with that capability. Now I think the things that's exciting is yes, the public cloud gives you some some significant benefits for certain workloads and certain capabilities. But what we're hearing from customers is hey, I want to have much more control over my data center. I want to ensure that it has the security required. I want to make sure that I can make the adjustments necessary and so you're doing all that at a lower cost with open platform that I can use a variety of tools and other applications just makes it that much more powerful. So I think that's what we're seeing is we're getting into what our customers really requiring and then you know the most interesting thing is how do you make it work with my entire environment because I am running Azure and I am running A W. S. And I am running google and I'm running some other things. And so how does this cloud really helped me bring all those together to really govern that hybrid estate? And that's where I think Green Lake has really shine. >>So it kind of part of the secret sauce is automation because you've got to be, you still have, you have to be competitive, you know, at least within reason to cloud cost, sometimes it's going to be less expensive, maybe sometimes it can be more expensive. You've got some advantages in certain cases where, you know, there's government governance things and and you know, we don't have to go through all that, but there's the automation but you've got to be profitable at this too. So there's the automation, there's the tooling, there's the openness. So, so that was really a key part of it. Is it not that sort of automating? >>That's right. Automation is key as is really understanding what that customer environment is and optimizing for that piece of it. And so as you heard, we're really excited to announce our Green Lake Lighthouse, which is really providing workload optimized systems that are fully managed for them that provide that capability to run multiple workloads for that customer. But at the same time, to your point, there's a lot of charges that happened on the public cloud side. So, you know, data is the new, you know, gold if you will right, everyone's trying to monetize their data, trying to use it to make decisions and really understand what's happening across their environment and in the cloud. You know, if you put it up in the cloud, you have to pay to get it out. The egress charges can be significant and it's also a bit slower at times because of the latency that happens across that that that connection. And so we are now in a situation where we're seeing a lot of customers that are really trying to analyze their data, leveraging our HPC systems, leveraging our machine learning operation systems in order to really get that data happening, Getting the dancers out much, much faster and a much lower cost than what it would cost them to do that in the cloud. >>So you have some experience at this now. I wonder if we could dig into the customers how customers are using Green Lake. Maybe you can give some examples of success. >>Yeah. Yeah, no. You know it's exciting because you know first off everyone's looking at their digital transformation and that means something different for every single customer, so really understanding what they're trying to do from a transformation standpoint and then saying, okay, well how can we bring a solution to help accelerate that? To help be uh, you know, more connected to your customers to help improve your product delivery. We went to Lyondellbasell for example, one of the largest manufacturers in the world. And you know, they said, hey look, we don't want to run our data center anymore. Most most customers are trying to get out of the data center management business and they're saying, hey, run this for me, uh let me free up resources to go focus on things that really can drive additional value for our customers instead of keeping the lights on patching, blah blah blah. So we have taken their entire environment and moved it to a Coehlo and we're managing it now for them. And so in essence we freed up not just a ton of resources, but they have also been able to drop their carbon footprint, which is also this whole sustainability push is significant as well. And then you look at a customer like care stream, one of the largest medical diagnostic companies in the world, saying hey we gotta be able to allow our doctors to be able to um analyze and diagnose things much much faster through our X ray systems and through our diagnostic machines. And so they have implemented our machine learning operations scenario to dramatically speed up those types of capabilities. So as you go down the list and you start to see these customers really um leveraging technology to meet that digital transformation, saving costs, moving their business forward, creating new business models. It's just, it's really exciting. >>What about partners keith? How how have they responded? I mean, on the one hand, you know, that's great opportunities for them, you know, they're they're transforming their own business model. On the other hand, you know, maybe they were comfortable with the old model, they got a big house, nice, nice boat, you >>know? >>But how are they changing their their their business and how are they leaning in >>similar to what we're seeing? The opportunity for partners is dramatic, right? Because what happens is you have to have a very different relationship with your customer to truly understand their digital transformation. Their business challenges the problems that they're having to address. And so where we're seeing partners really, really sort of the opportunity is where there's the services and that sort of deeper relationship piece of it. So in essence, it's creating much more opportunity because the white spaces dramatic we're seeing, I want to say it's in the 30 to $40 billion worth of market opportunity as we move into an as a service on prem world. So they're seeing that opportunity. They're seeing the ability to add services on top of that and deepen the relationship with our customers. And you know, it's it's from my SVS. We're working closely with S. A. P. For example, to deliver their new rise private cloud customer edition. We're working closely with loosest, for example, who is doing a lot of payment processing type scenarios Nutanix and their database as a service scenario and Splunk because again, we went back to the data piece and these guys are doing so much big data type implementations for risk analytics and and regulatory type scenarios. It's just significant. And so because there's such a push to keep things on prem to have the security to reduce the latency to get rid of the egress charges and everything else. There's just a significant white space for both our partners and then from our distributors and resellers, they're getting to change their business model again, to get much deeper in that relationship with our customers >>to be Green Lake is, I mean it's H. P. E. As a service, it's your platform. And so I wonder if you can think about how you're thinking about uh, share with us, How you think about platform innovation? Um, you've got the pricing model, you know, flex up, flex down. Is there other technology we should know about and other things that are going to move you forward in this battle for the next great hybrid cloud and edge platform? >>Yeah, it's a great push because if you think about it, we are Green Lake is the edge to cloud platform And in essence because we have such a strong edge capability with the arab acquisition we made a few years back. That's really significant momentum with the Silver Peak acquisition to give us SD when you've got that edge connectivity all the way up to our high performance computing. And so you'll see us deliver high performance computing as a service. We're announcing that here at discover um you'll see us announced, you know, machine learning ops I mentioned ASAP, but also a virtual desktops. I think the pandemic has brought a lot more work from home type scenarios and customers really want to have that secure desktop. And so, working with partners like Citrix and Nutanix and and VM ware and Crew were able to provide that again, unique scenario for our customers. And so, um, yeah, the innovation is going to keep coming. You know, I mentioned bare metal as a service because many people are starting to really leverage the metal that's out there. You're seeing us also engaged with folks like intel on our silicon on demand. So this is a really exciting technology because what it allows us to do is turn on cores when we need them. So hey, I need additional capacity. I need some power. Let's turn on some cores. But then I turn off those cores when I'm not using them. You go to a software core based software pricing model, like an oracle or a sequel server. I'm saving dramatic cost now because I don't have to pay for all the cores that are on the system. I'm only paying the licenses for the ones that I use. And so that should bring dramatic cost savings to our customers as well. So we're looking from the silicon all the way up. Uh you know, you hear us talk about project Aurora, which is our security capability. We're looking at the silicon level, but we're also looking at the the container and bare metal and then obviously the workloads in the industry solution. So we're sprinting forward. We're listening to our customers were taking their feedback. We're seeing what they're prioritizing and because we have that tight relationship with them as we help move them to the direction they want to go, it's giving us a ton of fantastic inside information for what really matters. >>Right, Thank you for that. So, I want to ask you about data. A lot of organizations are kind of rethinking their ideal data architecture, their organization. They're they're they're seeing the amount of data that is potentially going to be created at the edge, thinking about ai inference and influencing at the edge and maybe reimagining their data organization in this age of insight. I wonder how Green Lake fits into that. How are you thinking about the new era of data and specifically Green Lakes role? >>Yeah, you mentioned the age of insights and and it really is right. So we've moved sort of as the next phase of digital transformation is basically saying, hey look, I've got all this data. I've got to first get my arms around my data estate because in essence it's in all these different pockets around. And so Green Lake gives you that ability to really get that data estate established. Then I want to take and get the answers in the analytics out of it. And then I want to monetize that data either out to my customer set or out to my industry or out to other scenarios as well. And so as we start to deliver our develops capability, our ai and analytics capabilities through HPC. And it's an open platform. So it allows data scientists to easy boot up easily boot up a cluster with which to do their models and their training and their algorithms. But we can also then use and Estancia at that into the business decisions that our customers are trying to make again without the significant cost that they're seeing on that on the public cloud side and in a very secure way because they have the data exactly where they need it. You'll see us continue to do sort of disaster recovery and data protection and those types of scenarios both with our partners and from H P E. So it's exciting to just understand that now you're going to have the tools and resources so you can actually focus on those business outcomes versus how do I protect the data? Where do I start, how do I get my model set up, etcetera. All that becomes automated and self service. You mentioned earlier >>When you talk to customers Keith one of the big sort of challenges that you're addressing. What's the typical, there was no typical but the but the real nuts that they're trying to crack is it financial? We want to move from Capex to opec's is that hey we want this cloud model but we can't do it in the public cloud for a variety of reasons, edicts, organization leaders or we want to modernize our our state. What are the real sort of sticking points that you're addressing with Green Lake? >>Yeah, I think it's threefold and you sort of touched on those. So one is, it really does start with modernization. Hey, you know, we've got to take costs out of the equation. We've got to reduce our carbon footprint. We've got to automate these things because we have limited resources and how do we maximize the ones that we have? And so I mentioned earlier, getting out of the data center, modernizing our apps, really monetizing our data. So I think that's number one. Number two is what you said as well, which is, hey look, I don't need to have all these capital assets. I don't want to be in charge of managing all all these assets. I just want the capability and so being able to sell them that service that says, hey, we can, we can do X number of desktops for your V. D. I. We can run your S. A. P. Environment or we can make sure that you have the, the analytics structure set up to be able to run your models that becomes super compelling and it frees up a lot of resources in cash on that front as well. And then I think the third thing is what you said, which is the world is hybrid. And so I need to find out what's going to run best in my on prem environment and what's going to run best up in the cloud. And I want to be able to optimize that so that I'm not wasting costs in one place or the other, and I want to be able to govern and govern that holistically. So I have the ability to see what's happening end to end across that so I can manage my business most effectively. So I think those are the three big things that people are really excited about with Green Lake as they enable those things. Um and you know, the reality is that it also means that they have a new partner to help them really think through how can they move forward? So it's not them by themselves. Uh It's really in a one plus one equals three type scenario and then you bring the ecosystem in and now you've got, you know, things working really well. So, >>so big enterprise tech, it's like, it's like the NFL is a sort of a copycat league. And so what, you know what I'm saying? But you guys all got >>big, yeah, >>you've got great resources, hey, this West Coast office exactly is gonna work. We're gonna get a short passing game going. And so that happened. So I feel like, okay, you've raised the bar now on as a service and that's gonna become table stakes. Um you know, it's got a lot of work to get there. I know, and it's a it's a journey, but but when you think about the future uh for H. P. E. Uh what's exciting you the most? >>I think what's exciting me the most is this the reaction that we're seeing with customers because in essence it gets them out of the bits and bytes and speeds and feeds and you know, um >>you >>know, component goo and really gets into business value, business outcomes sls and, and that's what they're looking for because what they're trying to do is break out of, you know that day to day and be able to really focus on the future and where they're going. So I think that's one, I think the second big thing is as you see all these things come together, um you know, we're able to basically provide customers with, I would say a mindset that's like, hey, I can do this holistically, but I can always pick and choose the best that I want and if I ramp up, I have capacity. If I ramp down, I don't have to pay for first scenarios. And so I'm getting the best of both worlds across that piece of it. And then third is I mentioned it earlier. But this whole relationship thing is so important because you know, this isn't about technology anymore. As much as it it is about what's the value that you're going to get out of that technology. And how does that help us move the company and the world forward? Like I love the fact that H. P. E. Was so involved in this pandemic. >>You know, >>with our systems were able to actually uh to run a set of of algorithms and analysis on how to, you know, find a vaccine on how to how to address the things that are going forward. You've seen us now up in space and as we, we broaden our frontier and so as a company you're seeing technology turned into things that are truly helping the world go forward. I think that's exciting as well. >>Yeah. Space. It's like the ultimate edge. >>I >>like you said to me if I take it, it's not not about ports and Mick, nips and gigabytes anymore. It's about the outcome. You mentioned before the S L. A. Um, you know, the thing about, you know, think about virtual, it's great. We have to get in the plane. Its downside. We all know we can't hang out, you know, afterwards, you know, have a drink or you know, chit chat about what's going on in the world, but we can't reach a lot more people. But the other downside of virtual is, you know, you don't have the hallway track. It's not like, hey, did you check out that, that demo on IOT? It's really cool. Where is that? So give us the hallway track. How can folks learn more about discover where would you direct folks? >>You bet. You know, I'm doing a full spot. Obviously let me start with at the top right Antonio Neri our ceo he's going to lay out the whole strategy and then I'll have a spotlight. It's about a 30 minute deep dive on all of these things that that you and I just talked about and then we've got a bunch of breakout sessions were doing some with our partners like Nutanix and others, um, Microsoft as well as we talk about, we didn't really touch on that, but you know, we have a strong partnership with the hyper scholars with Microsoft and with others because in essence customers are expecting an integrated solution that's hybrid. And so, you know, we're showcasing all of that with the with the discover breakouts as well and they're available on demand. We have a huge opportunity with respect to that, so really excited and you know, frankly we're here to help, like I hope people understand this is our opportunity to help you be successful and so please know that our ears are wide open to hear what the challenges are and we're ready to help customers as they needed. >>I'm glad you mentioned the partnership with Microsoft and other hyper skills. I feel like keith, the the Hyper scale is giving us a gift. They've spent last year they spent over $100 billion on Capex build out. That is like, it's like the internet. Thank you. >>Now we're gonna build on >>top of it, we're gonna build an abstraction layer that hides all that underlying complexity. We're gonna connect things and and that's really your job. That's really kind of what you're bringing to the table I think with Green Lake and some of these innovations. So >>I really >>appreciate it. Go ahead please. >>I appreciate the time as well. It's always a pleasure and it's always exciting to get a chance to share with you and and as always, any time you don't want me back, I'm happy to happy to join. Alright, >>would love to do that. So appreciate that. And thank you for spending some time with us. Stay tuned for more great coverage from HPD discovered 21 everything is available on demand as well as the that is the other good thing about virtually go back and watch all this content. This is Dave Volonte for the cube the leader in enterprise tech coverage. Be right back
SUMMARY :
HPV was the first, as you probably know to declare it all Okay, fantastic to see you as always. about Green Lake you got momentum now, everybody's excited about it. And you know, the reality is customers are to get to the point where you are. And you know, the great thing is HP as a company is really moving to be much more of a cloud and so I'm interested in sort of how you evolved beyond that. And so yes, you can sort of brute force that piece of it. in certain cases where, you know, there's government governance things and and you know, And so as you heard, So you have some experience at this now. And you know, they said, On the other hand, you know, maybe they were comfortable with the old model, they got a big house, nice, nice boat, And you know, it's it's from my SVS. And so I wonder if you can think about how you're thinking about uh, Uh you know, you hear us talk about project Aurora, which is our security capability. So, I want to ask you about data. And so Green Lake gives you that ability to really get that data estate established. When you talk to customers Keith one of the big sort of challenges And then I think the third thing is what you said, And so what, you know what I'm saying? and it's a it's a journey, but but when you think about the future uh for H. But this whole relationship thing is so important because you know, this isn't about technology and analysis on how to, you know, find a vaccine on how to how to address the things that are going forward. It's like the ultimate edge. But the other downside of virtual is, you know, you don't have the hallway track. And so, you know, we're showcasing all of that with the with the discover breakouts as well I'm glad you mentioned the partnership with Microsoft and other hyper skills. That's really kind of what you're bringing to the table I think with Green Lake and some of these innovations. appreciate it. It's always a pleasure and it's always exciting to get a chance to share with you And thank you for spending some time with us.
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Alex Dillard & Daryl Dickhudt | IBM Watson Health ASM 2021
>>Welcome to this IBM Watson health client conversation here. We're probing the dynamics of the relationship between IBM and its clients. And we're looking back, we're exploring the present situation and discussing the future state of healthcare. My name is Dave Volante from the cube and with me are Alex Dillard. Who's a senior director data analysis at blue choice, blue choice health plan, and Darryl decode, who is IBM with IBM Watson health. Of course. Welcome gentlemen. Good to see you. Thanks for coming on. >>Hey, >>So, you know, you think about lasting relationships. They're the foundation to any partnership and this past year, and it's tested all of us. We've had to rely on both personal and professional relationships to get us through the pandemic. So Alex, let me start with you. How has the partnership with IBM supported you in 2020? >>Well, uh, I've just a piece of a larger puzzle. Uh, the relationship that Darrell and I have had is confined to IBM Watson health, but blue cross blue shield, South Carolina, which food choice is a wholly owned subsidiary of has had a standing relationship with IBM on the it side. Uh, we are a mainframe shop, uh, about 70% of our it infrastructure is on a mainframe. And, uh, that puts us as a segment one client for IBM, we're in the top 300 of all of their clients in the Americans. And more specifically we're the fourth largest, um, uh, Linux on Z shop in the world. So, uh, we've got a lot of diversification at blue cross blue shield of South Carolina and the mainframe and the vastness of that. It infrastructure reflects that, uh, diversification. We are more than just a crossing the shield. Uh, that's typically what people think of is insurance when they think of crossing shield, but we also have a division that does a lot of subcontract work for government programs, uh, track air, which is the military healthcare, uh, claims processing and Medicare claims processing. >>We were a subcontractor of other folks that use our back office, it infrastructure to, to run their claims through. So that's, that's the larger, um, aspect of our relationship that, that blue cross blue shield of South Carolina house with IBM, uh, as it relates to Watson health, we have been a client since 1994 and obviously that predates the IBM proper. Uh, we were a client of med stat and then Truven, who then, uh, was bought by IBM. So we have used the products from Watson health throughout our system to support provider profiling, uh, count group reporting, um, and ad hoc analysis and to some extent to, uh, support our value-based products with, uh, ACO and PCMH, >>Uh, products. >>Awesome. Thank you for that. So Daryl is very long-term relationship. Obviously, if people forget sometimes that, uh, how IBM has modernized the Z Alex talked about, uh, Linux on the mainframe. That's pretty cool. I wonder if you could talk about specifically the things that, that you've done with Alex in his, in his, in his team, you know, thinking back last year, what were your accomplishments that you really stand out? >>Yeah, so, so one thing that jumps to mind is, uh, given the long standing relationship, I relied heavily on Alex to help us work through a multi-year renewal. And it was, it was a, um, a good adventure for us. We, we were able to laugh along the way. We certainly had some, some phone calls that, that were a little bit challenging, but the great thing about it was that the relationship that Alex and I had, he really views it as a partnership. And that was just so encouraging and uplifting. So to me, from my perspective, that was absolutely, uh, one of the highlights of my year and working through even through the pandemic and all that, we figured it out. >>So you guys, when you get together, go ahead, please. >>That's what I had as well. Um, you know, the, the unique thing about the Watson health contract is because it involves data. Uh, we take the stance that it's an it contract, so I'm on the business side. So I've got to just, as Daryl has to navigate it with me, we've got to navigate a large of your it bureaucracy. Um, and, uh, it, it was challenging. Um, you know, the business people kind of smooth the tracks and then you get the lawyers involved in, it just goes haywire. So, um, we were able to navigate that. Um, uh, so yeah, so it was a big accomplishment. So Alex, it's not real sexy to talk about, but we got it done >>Well. So Alex you're, you're in sales, so you're, you're used to role playing. So imagine you're, you're, you're sitting down, uh, sorry, Darryl. You're used to, role-playing out. Imagine you're sitting down with Alex and you're thinking about 20, 21 planning, so, you know, take it away. W what do you, what would you ask, what would you talk about or share with us? >>Yeah, yeah, absolutely. So, so I, I know that, you know, one of the key objectives is, uh, continued to ingest, engage with your members and you have key business strategies. I know you recently migrated over to a new PBM, and so there, there's some complexities that come with that. Um, but just, you know, Alex, if you don't mind, why don't you share a little bit about kind of your, your perspective on what 2020 would hold for you in your organization? Well, I think that due to the pandemic, we are, I personally kick the, can down the road on a couple of things, particularly >>Having a strategic roadmap discussion, um, you know, uh, I was going to get into this later, but I enjoy doing things face-to-face rather than, uh, over the phone or, or virtually. And so, uh, I guess I was a little too optimistic about maybe being able to get together late 2020 to have that strategic roadmap discussion. Um, I think, uh, given what has developed with, um, the pandemic and vaccines and stuff, I may, I may be able to get everybody on the same page later this year, hopefully. Uh, but certainly we want to have a strategic roadmap discussion. Um, we license, uh, Watson Hills, uh, cat group insights, uh, tool, which we use for employer group reporting. And we are currently in the beginning stages of rolling that out to our external clients, whether it's agents, brokers, um, those types of folks. And then it vanished we as our core product that we use for analysis, and that product is transitioning to what is called health insights. And so from an analytical standpoint, my staff and the staff of our cluster areas will need to sort of move to health insights since that's where it's going, uh, from an analytic standpoint. So we're going to work on that as well. Um, and then some more detailed things around database rebuilds and stuff like that. Those are all sort of on the roadmap for 2021. >>Yeah. So, you know, you talk about strategic planning and you think about the way planning used to be. I mean, sometimes you take a longer term horizon, maybe that's five years, you know, technology cycles, you know, even though they go very fast, but you see major technology shifts, they're like go through these seven year cycles, you see that in financial world. And then with the, with the pandemic, we're talking about seven day cycles, you know, how do I support people work from home? Do I open the store or not? You know, it's a day-to-day type of thing. So I wonder if you could each talk about personally and professionally w how, how is 2020, you know, changed you and maybe position you for, for what's ahead, maybe Alex, you could start, >>Well, you know, I'm an analyst, so I always fall back to the numbers. What are the numbers show us, um, you know, people can have four perceptions, but, uh, the numbers give us a reality. So the reality is that a year ago, pre pandemic, uh, just 13% of blue cross blue shield employees were working from home a hundred percent, uh fast-forward to today. And that number is now 87%. So think about, uh, just the lift from a it infrastructure to support that we almost, all of those people are using Citrix to get in to our network. Uh, we're using a remote desktop. So you've got this pipeline that probably had to go from, you know, this small, to huge, to get all this bandwidth, all this data and everything. So you've got that huge lift. Um, and then it affects different areas, um, differently. Uh, I don't have any first-line staff, any staff that are member facing, so I didn't really have to navigate, you know, how do these people talk to our member? >>How does staff talk to our members on the phone when they're at home, as opposed to in the office, and, you know, is there background noise, things like that. So I've got analysts, uh, they're just crunching numbers. Um, but my, my, my personal, uh, feeling was I like doing managing by walking around, you know, stopping and talking to other, working on. So that went away and I like face-to-face meetings, as I've mentioned, and that went away. So it was really a culture change for me personally, it was a culture change for our organization. Uh, and, and now we're having conversations with executive management that, you know, if you've got staff who have been doing a good job and they remain productive, you know, give me a reason they got to come back in, which is just, as you told me that I'm going to be the case a year ago, I would have been, you know, flabbergasted, but that's where we are right now. >>And so on a personal standpoint, you know, I went home for a little while and then came back. And so my wife also works for blue cross blue shield of South Carolina. Um, so, you know, she set up in the dining room working, uh, I have my own book in our living room working, and then we've got a great side, you know, the school is not in session, you know, in person. So he's doing virtual learning. So combine all those things, and you've got all kinds of crazy things that could happen. Uh, and then you've got staff who are in the same situation. Um, so it was a lot to handle. And the longer it goes on the novelty of working from home wears off, and you kind of realize, you know, I can't go do this. I can't go out to eat. I can't do all types of things that I used to do. And so that affects your mental health. So as, as a leader, um, of my small area, and then our executives really had to become more, uh, uh, in, in people's faces. So we've got, we've done a lot more video, uh, messages, a lot more emails. Um, I have been tasked with being very deliberate about checking on how everything is going at their house. Are they getting what they need? Um, you know, how are they feeling? Are they getting up and exercising, all those things that you took for granted, uh, beforehand. >>Yeah. So Daryl, anything you'd add to that in terms of specifically in terms of how you might, how you might change the way in which you interact with your clients generally, uh, an Alex specifically, Alex likes, face to face, you know, we can't wait. All right. >>Yeah, yeah. It's funny. We never quite got to do it Alex, but we were talking about doing a virtual happy hour at one point too, to just celebrate the success. Um, but for me, you know, typically I would travel and visit Alex face-to-face on maybe a monthly basis. And so it it's been really hard for me. I didn't realize how, how much I enjoyed that in-person interaction. And so that, that was something that I I've been, you know, working through and finding ways to, to still interact with people. And I'm certainly making, making the best of, of the video phone calls and, you know, that sort of thing. So, uh, just work working to maintain those relationships. >>I wonder if I could ask you when, when, when this thing, when we're through the pandemic, what do you expect the work from home percentage? I think I heard 13% prior to the pandemic, 87% today. What do you think is going to be post pandemic? >>That is a good question. Um, it, it may go back to maybe 60% at home. I think, I think there will be a simple majority, uh, working from home. Um, that's, that's from our planning, uh, space planning standpoint. That's, that's what we are, uh, what we're expecting, um, if, if production stays, um, at acceptable levels, um, >>Do you feel like productivity was negatively impacted positive? It will be impacted or it's kind of weird. >>Yeah. All the metrics that we track show that it was, it was sustained and in some areas even better. Uh, and if you really think about, um, sort of your typical day when you work from home, I found, uh, that I was logged on an hour earlier. That's probably what's happening with other staff as well is they're, they're motivated to get up and, and get online, uh, earlier. >>Yeah. Mostly tech leaders that I talk to share that sentiment, that the productivity is actually improved. So Darryl, I presume you see the same thing in your observation space. Yeah. >>Yeah. I, I do. And, and I have other clients too, and, and, and they are definitely looking at ways to continue to work remotely. I know that for a lot of people who are in the office all the time, uh, having a little bit more flexibility when you work from home can be a good thing. And, and like you said, you, you have to make sure that the productivity is still there and the productivity is up. Um, but I, I could see that the trend continuing absolutely >>I'd love for you to, to look at Darryl and say, and tell him what the kinds of things that IBM can do to help you both today, immediately 20, 21, and in the future and a Darryl, how, how your, how you'll respond. >>Well, I'll tell you that. Um, so in 2020, what, what changed most dramatically for us as a health plan? Uh, and, and I, it echoes what we see across the country is the gigantic shift in telehealth. Um, you know, if, if, again, if you look at the numbers, uh, our telehealth visits per thousand, so that's the number of visits per thousand members in a given month, went up 1472%. And so, you know, the common response to that is, well, you know, your visits overall probably, you know, were flat because, uh, you know, they just weren't happening in that. And that's not necessarily true for us. So if you look at visits overall, they written down four and a half percent. Um, so there was a shift, but it, it was not a big enough shift to account for, uh, visits overall sustaining the level that they were pre pandemic. >>Um, so as we look into 2021, uh, we will be investigating how we can maintain, uh, the, uh, the accessibility of our healthcare providers via telehealth. Um, you know, one of the projects that we started in 2020, uh, was based upon the choosing wisely campaign. So if you're not familiar with choosing wisely, it's a very well thought out process. It involves many, many provider specialties and its sole target is to reduce low value care. Uh, so we took it upon ourselves to Institute sort of a mirror of that plan or that program at, at blue cross here in South Carolina. And so as we moved to 2021, obviously those low value services just because of the pandemic were reduced, uh, and some of the high-value care was reduced as well. And so what we are going to try to do is bring back habit, bring back that high value care, but not bring back that low value care and so low value care or things like vitamin D testing. Uh, it can be other things like, um, uh, CT for head headaches, um, imaging for low abdominal pain, things like that. So, uh, we want to focus on low, uh, eliminating what value care, bringing back high value care, >>Okay, Dale, you're up? How are you going to help Alex achieve that? So, so good news is, is that we've got the analytic warehouse and the database where all of the data is captured. And so we we've got the treasure trove of information and data. And so what we'll do is we'll come alongside Alex and his team will do the analytics, we'll provide the analytic methods measures, and we'll also help him uncover where perhaps those individuals may be, who had postponed care, um, because of the pandemic. And so we can put together strategies to help make sure that they get the care that they need. Uh, I also a hundred percent agree that tele-health hopefully is something that will continue because I do think that that is a good way and efficient way to get care for people. Um, and, you know, as a, as, as a way to, to address some of their needs and, and in, in a safe way too. >>So, um, I, I look forward to working with Alec and his team over this coming year. I think there is, uh, knowing Alex and, and the partnership and his readiness to be a client reference for us. You know, those are all great, um, recognition of how he partners with us. And we really value and appreciate, uh, the relationship that we have with blue cross blue shield, South Carolina and, and blue choice. Excellent. Daryl's right. The, the, the database we use already has some of that low value care measures baked into it. And so throughout 2020, I've worked with our analytic consulting team. Uh, it's under Daryl too, to talk about what's on the product product roadmap for adding to the cadre of live low value care measures inside advantage suite. Uh, so that's something that we'll actively be, um, uh, discussing because certainly, you know, we're, we're obviously not the only client only health plan clients. So there may be other plans that have priorities that very different made very differently than ours. Uh, so we want to give them what we're studying, what we're interested in, so they can just add it in to all their other client feedback, uh, for advantage suites, roadmap. Excellent. >>Look, my last question, Alex is how would you grade IBM, if you had to take a bundle of sort of attributes, you know, uh, delivery, uh, value for service relationship, uh, et cetera, how would you grade the job that IBM is doing? >>I, the thing that I enjoy most about working with IBM and Darryl specifically, is that they're always challenging us to look at different things. Um, things that sometimes we hadn't considered, because obviously it may be an issue for another health plan client or an employer client that they've got. Uh, they tell us, this is what we're seeing. You know, you should look at it. Uh, a lot of times they do some of the foundational work in producing a report to show us what they're seeing in our data that is similar to what is in some of their other clients data. So that's refreshing to be, uh, challenged by IBM to look at things that we may not be, uh, looking at, uh, or maybe missing, because we've got our eye on the ball on something else you >>Care to put a letter grade on that. >>Oh, definitely. Definitely. Thank you. >>Well, Darryl, congratulations, that says a lot and, uh, we have to leave it there and one at a time, but, but Daryl, anything that I didn't ask Alex, that you, you wanted me to, >>So, um, Alex re able to keep your tennis game up during the pandemic? Uh, I, yes, I tried as, as often as my wife would let me good. I would play every time I was asked, but, uh, yeah, so I, I did have to temper it a little bit, although when you spend all day with her and, and my son, you know, she may be a little more, uh, lenient on letting me leave the house. Well, maybe she's >>Yeah. The tribute to the late great comedian Mitch Hedberg, who says, uh, you know, when I, I played tennis, I played against the wall walls. Really good, hard to beat if it's pandemic appropriate. >>Oh, that's good. That's a true statement. And there was a lot of that going on, a lot of that play and playing against the wall. >>Hey, thanks so much, stay safe and really appreciate the time. Thank you. >>Thank you. Thank you. You're >>Really welcome. It was a great conversation and thank you for watching and spending some time with client conversations with IBM Watson health.
SUMMARY :
the cube and with me are Alex Dillard. So, you know, you think about lasting relationships. and I have had is confined to IBM Watson health, and obviously that predates the IBM proper. I wonder if you could talk about specifically the things Yeah, so, so one thing that jumps to mind is, uh, given the long standing relationship, Um, you know, the business people kind of smooth the tracks and then so, you know, take it away. Um, but just, you know, Alex, if you don't mind, why don't you share a little bit about Having a strategic roadmap discussion, um, you know, uh, w how, how is 2020, you know, changed you and maybe position you for, that probably had to go from, you know, this small, to huge, you know, give me a reason they got to come back in, which is just, as you told me that I'm going to be the case And so on a personal standpoint, you know, Alex likes, face to face, you know, we can't wait. And so that, that was something that I I've been, you know, working through and finding ways what do you expect the work from home percentage? it may go back to maybe 60% at home. Do you feel like productivity was negatively impacted positive? Uh, and if you really think about, um, sort of your typical So Darryl, I presume you see the same thing in your observation space. And, and like you said, you, you have to make sure that the productivity is still there kinds of things that IBM can do to help you both today, And so, you know, the common response to that is, well, you know, your visits overall probably, Um, you know, one of the projects that we started in 2020, and, you know, as a, as, as a way to, to address some of their needs and, um, uh, discussing because certainly, you know, we're, uh, or maybe missing, because we've got our eye on the ball on something else you Thank you. and my son, you know, she may be a little more, uh, uh, you know, when I, I played tennis, I played against the wall walls. And there was a lot of that going on, a lot of that play and playing against the wall. Hey, thanks so much, stay safe and really appreciate the time. Thank you. It was a great conversation and thank you for watching and spending some time
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Breaking Analysis: 2021 Predictions Post with Erik Bradley
>> From theCUBE studios in Palo Alto and Boston, bringing you data-driven insights from theCUBE and ETR, this is Breaking Analysis with Dave Vellante. >> In our 2020 predictions post, we said that organizations would begin to operationalize their digital transformation experiments and POCs. We also said that based on spending data that cybersecurity companies like CrowdStrike and Okta were poised to rise above the rest in 2020, and we even said the S&P 500 would surpass 3,700 this year. Little did we know that we'd have a pandemic that would make these predictions a virtual lock, and, of course, COVID did blow us out of the water in some other areas, like our prediction that IT spending would increase plus 4% in 2020, when in reality, we have a dropping by 4%. We made a number of other calls that did pretty well, but I'll let you review last year's predictions at your leisure to see how we did. Hello, everyone. This is Dave Vellante and welcome to this week's Wikibon CUBE Insights powered by ETR. Erik Bradley of ETR is joining me again for this Breaking Analysis, and we're going to lay out our top picks for 2021. Erik, great to see you. Welcome back. Happy to have you on theCUBE, my friend. >> Always great to see you too, Dave. I'm excited about these picks this year. >> Well, let's get right into it. Let's bring up the first prediction here. Tech spending will rebound in 2021. We expect a 4% midpoint increase next year in spending. Erik, there are a number of factors that really support this prediction, which of course is based on ETR's most recent survey work, and we've listed a number of them here in this slide. I wonder if we can talk about that a little bit, the pace of the vaccine rollout. I've called this a forced march to COVID, but I can see people doubling down on things that are working. Productivity improvements are going to go back into the business. People are going to come back to the headquarters and that maybe is going to spur infrastructure on some pent-up demand, and work from home, we're going to talk about that. What are your thoughts on this prediction? >> Well, first of all, you weren't wrong last year. You were just, (laughs) you were just delayed. Just delayed a little bit, that's all. No, very much so. Early on, just three months ago, we were not seeing this optimism. The most recent survey, however, is capturing 4%. I truly believe that still might be a little bit mild. I think it can go even higher, and that's going to be driven by some of the things you've said about. This is a year where a lot of spending was paused on machine learning, on automation, on some of these projects that had to be stopped because of what we all went through. Right now, that is not a nice to have, it's a must have, and that spending is going quickly. There's a rapid pace on that spending, so I do think that's going to push it and, of course, security. We're going to get to this later on so I don't want to bury the lede, but with what's happening right now, every CISO I speak to is not panicked, but they are concerned and there will definitely be increased security spending that might push this 4% even higher. >> Yeah, and as we've reported as well, the survey data shows that there's less freezing of IT, there are fewer layoffs, there's more hiring, we're accelerating IT deployments, so that, I think, 34% last survey, 34% of organizations are accelerating IT deployments over the next three months, so that's great news. >> And also your point too about hiring. I was remiss in not bringing that up because we had layoffs and we had freezes on hiring. Both of that is stopping. As you know, as more head count comes in, whether that be from home or whether that be in your headquarters, both of those require support and require spending. >> All right, let's bring up the next prediction. Remote worker trends are going to become fossilized, settling in at an average of 34% by year-end 2021. Now, I love this chart, you guys. It's been amazingly consistent to me, Erik. We're showing data here from ETR's latest COVID survey. So it shows that prior to the pandemic, about 15 to 16% of employees on average worked remotely. That jumped to where we are today and well into the 70s, and we're going to stay close to that, according to the ETR data, in the first half of 2021, but by the end of the year, it's going to settle in at around 34%. Erik, that's double the pre-pandemic numbers and that's been consistent in your surveys over the past six month, and even within the sub-samples. >> Yeah, super surprised by the consistency, Dave. You're right about that. We were expecting the most recent data to kind of come down, right? We see the vaccines being rolled out. We kind of thought that that number would shift, but it hasn't, it has been dead consistent, and that's just from the data perspective. What we're hearing from the interviews and the feedback is that's not going to change, it really isn't, and there's a main reason for that. Productivity is up, and we'll talk about that in a second, but if you have productivity up and you have employees happy, they're not commuting, they're working more, they're working effectively, there is no reason to rush. And now imagine if you're a company that's trying to hire the best talent and attract the best talent but you're also the only company telling them where they have to live. I mean, good luck with that, right? So even if a few of them decide to make this permanent, that's something where you're going to really have to follow suit to attract talent. >> Yeah, so let's talk about that. Productivity leads us to our next prediction. We can bring that up. Number three is productivity increases are going to lead organizations to double down on the successes of 2020 and productivity apps are going to benefit. Now, of course, I'm always careful to cautious to interpret when you ask somebody by how much did productivity increase. It's a very hard thing to estimate depending on how you measure it. Is it revenue per employee? Is it profit? But nonetheless, the vast majority of people that we talk to are seeing productivity is going up. The productivity apps are really the winners here. Who do you see, Erik, as really benefiting from this trend? This year we saw Zoom, Teams, even Webex benefit, but how do you see this playing out in 2021? >> Well, first of all, the real beneficiaries are the companies themselves because they are getting more productivity, and our data is not only showing more productivity, but that's continuing to increase over time, so that's number one. But you're 100% right that the reason that's happening is because of the support of the applications and what would have been put in place. Now, what we do expect to see here, early on it was a rising tide lifted all boats, even Citrix got pulled up, but over time you realize Citrix is really just about legacy applications. Maybe that's not really the virtualization platform we need or maybe we just don't want to go that route at all. So the ones that we think are going to win longer term are part of this paradigm shift. The easiest one to put out as example is DocuSign. Nobody is going to travel and sit in an office to sign a paper ever again. It's not happening. I don't care if you go back to the office or you go back to headquarters. This is a paradigm shift that is not temporary. It is permanent. Another one that we're seeing is Smartsheet. Early on it started in. I was a little concerned about it 'cause it was a shadow IT type of a company where it was just spreading and spreading and spreading. It's turned out that this, the data on Smartsheet is continuing to be strong. It's an effective tool for project management when you're remotely working, so that's another one I don't see changing anytime. The other one I would call out would be Twilio. Slightly different, yes. It's more about the customer experience, but when you look at how many brick and mortar or how many in-person transactions have moved online and will stay there, companies like Twilio that support that customer experience, I'll throw out a Qualtrics out there as well, not a name we hear about a lot, but that customer experience software is a name that needs to be watched going forward. >> What do you think's going to happen to Zoom and Teams? Certainly Zoom just escalated this year, a huge ascendancy, and Teams I look at a little differently 'cause it's not just video conferencing, and both have done really, really well. How do you interpret the data that you're seeing there? >> There's no way around it, our data is decelerating quickly, really quickly. We were kind of bullish when Zoom first came out on the IPO prospects. It did very well. Obviously what happened in this remote shift turned them into an absolute overnight huge success. I don't see that continuing going forward, and there's a reason. What we're seeing and hearing from our feedback interviews is that now that people recognize this isn't temporary and they're not scrambling and they need to set up for permanency, they're going to consolidate their spend. They don't need to have Teams and Zoom. It's not necessary. They will consolidate where they can. There's always going to be the players that are going to choose Slack and Zoom 'cause they don't want to be on Microsoft architecture. That's fine, but you and I both know that the majority of large enterprises have Microsoft already. It's bundled in in pricing. I just don't see it happening. There's going to be M&A out there, which we can talk about again soon, so maybe Zoom, just like Slack, gets to a point where somebody thinks it's worthwhile, but there's a lot of other video conferencing out there. They're trying to push their telephony. They're trying to push their mobile solutions. There's a lot of companies out there doing it, so we'll see, but the current market cap does not seem to make sense in a permanent remote work situation. >> I think I'm inferring Teams is a little different because it's Microsoft. They've got this huge software estate they can leverage. They can bundle. Now, it's going to be interesting to see how and if Zoom can then expand its TAM, use its recent largesse to really enter potentially new markets. >> It will be, but listen, just the other day there was another headline that one of Zoom's executives out in China was actually blocking content as per directed by the Chinese government. Those are the kind of headlines that just really just get a little bit difficult when you're running a true enterprise size. Zoom is wonderful in the consumer space, but what I do is I research enterprise technology, and it's going to be really, really difficult to make inroads there with Microsoft. >> Yep. I agree. Okay, let's bring up number four, prediction number four. Permanent shifts in CISO strategies lead to measurable share shifts in network security. So the remote work sort of hyper-pivot, we'll call it, it's definitely exposed us. We've seen recent breaches that underscore the need for change. They've been well-publicized. We've talked a lot about identity access management, cloud security, endpoint security, and so as a result, we've seen the upstarts, and just a couple that we called, CrowdStrike, Okta, Zscaler has really benefited and we expect them to continue to show consistent growth, some well over 50% revenue growth. Erik, you really follow this space closely. You've been focused on microsegmentation and other, some of the big players. What are your thoughts here? >> Yeah, first of all, security, number one in spending overall when we started looking and asking people what their priority is going to be. That's not changing, and that was before the SolarWinds breach. I just had a great interview today with a CISO of a global hospitality enterprise to really talk about the implications of this. It is real. Him and his peers are not panicking but pretty close, is the way he put it, so there is spend happening. So first of all, to your point, continued on Okta, continued on identity access. See no reason why that changes. CrowdStrike, continue. What this is going to do is bring in some new areas, like we just mentioned, in network segmentation. Illumio is a pure play in that name that doesn't have a lot of citations, but I have watched over the last week their net spending score go from about 30 to 60%, so I am watching in real time, as this data comes in in the later part of our survey, that it's really happening Forescout is another one that's in there. We're seeing some of the zero trust names really picking up in the last week. Now, to talk about some of the more established names, yeah, Cisco plays in this space and we can talk about Cisco and what they're doing in security forever. They're really reinventing themselves and doing a great job. Palo Alto was in this space as well, but I do believe that network and microsegmentation is going to be something that's going to continue. The other one I'm going to throw out that I'm hearing a lot about lately is user behavior analytics. People need to be able to watch the trends, compare them to past trends, and catch something sooner. Varonis is a name in that space that we're seeing get a lot of adoptions right now. It's early trend, but based on our data, Varonis is a name to watch in that area as well. >> Yeah, and you mentioned Cisco transitioning, reinventing themselves toward a SaaS player. Their subscription, Cisco's security business is a real bright spot for them. Palo Alto, every time I sit in on a VENN, which is ETR's proprietary roundtable, the CISOs, they love Palo Alto. They want to work, many of them, anyway, want to work with Palo Alto. They see them as a thought leader. They seem to be getting their cloud act together. Fortinet has been doing a pretty good job there and especially for mid-market. So we're going to see this equilibrium, best of breed versus the big portfolio companies, and I think 2021 sets up as a really interesting battle for those guys with momentum and those guys with big portfolios. >> I completely agree and you nailed it again. Palo Alto has this perception that they're really thought leaders in the space and people want to work with them, but let's not rule Cisco out. They have a much, much bigger market cap. They are really good at acquisitions. In the past, they maybe didn't integrate them as well, but it seems like they're getting their act together on that. And they're pushing now what they call SecureX, which is sort of like their own full-on platform in the cloud, and they're starting to market that, I'm starting to hear more about it, and I do think Cisco is really changing people's perception of them. We shall see going forward because in the last year, you're 100% right, Palo Alto definitely got a little bit more of the sentiment, of positive sentiment. Now, let's also realize, and we'll talk about this again in a bit, there's a lot of players out there. There will probably be continued consolidation in the security space, that we'll see what happens, but it's an area where spending is increasing, there is a lot of vendors out there to play with, and I do believe we'll see consolidation in that space. >> Yes. No question. A highly fragmented business. A lack of skills is a real challenge. Automation is a big watch word and so I would expect, which brings us, Erik, to prediction number five. Can be hard to do prediction posts without talking about M&A. We see the trend toward increased tech spending driving more IPOs, SPACs and M&A. We've seen some pretty amazing liquidity events this year. Snowflake, obviously a big one. Airbnb, DoorDash, outside of our enterprise tech but still notable. Palantir, JFrog, number of others. UiPath just filed confidentially and their CEO said, "Over the next 12 to 18 months, I would think Automation Anywhere is going to follow suit at some point." Hashicorp was a company we called out in our 2020 predictions as one to watch along with Snowflake and some others, and, Erik, we've seen some real shifts in observability. The ELK Stack gaining prominence with Elastic, ChaosSearch just raised 40 million, and everybody's going after 5G. Lots of M&A opportunities. What are your thoughts? >> I think if we're going to make this a prediction show, I'm going to say that was a great year, but we're going to even have a better year next year. There is a lot of cash on the balance sheet. There are low interest rates. There is a lot of spending momentum in enterprise IT. The three of those set up for a perfect storm of more liquidity events, whether it be continued IPOs, whether it could be M&A, I do expect that to continue. You mentioned a lot of the names. I think you're 100% right. Another one I would throw out there in that observability space, is it's Grafana along with the ELK Stack is really making changes to some of the pure plays in that area. I've been pretty vocal about how I thought Splunk was having some problems. They've already made three acquisitions. They are trying really hard to get back up and keep that growth trajectory and be the great company they always have been, so I think the observability area is certainly one. We have a lot of names in that space that could be taken out. The other one that wasn't mentioned, however, that I'd like to mention is more in the CDN area. Akamai being the grandfather there, and we'll get into it a little bit too, but CloudFlare has a huge market cap, Fastly running a little bit behind that, and then there's Limelight, and there's a few startups in that space and the CDN is really changing. It's not about content delivery as much as it is about edge compute these days, and they would be a real easy takeout for one of these large market cap names that need to get into that spot. >> That's a great call. All right, let's bring up number six, and this is one that's near and dear to my heart. It's more of a longer-term prediction and that prediction is in the 2020s, 75% of large organizations are going to re-architect their big data platforms, and the premise here is we're seeing a rapid shift to cloud database and cross-cloud data sharing and automated governance. And the prediction is that because big data platforms are fundamentally flawed and are not going to be corrected by incremental improvements in data lakes and data warehouses and data hubs, we're going to see a shift toward a domain-centric ownership of the data pipeline where data teams are going to be organized around data product or data service builders and embedded into lines of business. And in this scenario, the technology details and complexity will become abstracted. You've got hyper-specialized data teams today. They serve multiple business owners. There's no domain context. Different data agendas. Those, we think, are going to be subsumed within the business lines, and in the future, the primary metric is going to shift from the cost and the quality of the big data platform outputs to the time it takes to go from idea to revenue generation, and this change is going to take four to five years to coalesce, but it's going to begin in earnest in 2021. Erik, anything you'd add to this? >> I'm going to let you kind of own that one 'cause I completely agree, and for all the listeners out there, that was Dave's original thought and I think it's fantastic and I want to get behind it. One of the things I will say to support that is big data analytics, which is what people are calling it because they got over the hype of machine learning, they're sick of vendors saying machine learning, and I'm hearing more and more people just talk about it as we need big data analytics, we need 'em at the edge, we need 'em faster, we need 'em in real time. That's happening, and what we're seeing more is this is happening with vendor-agnostic tools. This isn't just AWS-aligned. This isn't just GCP-aligned or Azure-aligned. The winners are the Snowflakes. The winners are the Databricks. The winners are the ones that are allowing this interoperability, the portability, which fully supports what you're saying. And then the only other comment I would make, which I really like about your prediction, is about the lines of business owning it 'cause I think this is even bigger. Right now, we track IT spending through the CIO, through the CTO, through IT in general. IT spending is actually becoming more diversified. IT spending is coming under the purview of marketing, it's coming under the purview of sales, so we're seeing more and more IT spending, but it's happening with the business user or the business lines and obviously data first, so I think you're 100% right. >> Yeah, and if you think about it, we've contextualized our operational systems, whether it's the CRM or the supply chain, the logistics, the business lines own their respective data. It's not true for the analytics systems, and we talked about Snowflake and Databricks. I actually see these two companies who were sort of birds of a feather in the early days together, applying Databricks machine learning on top of Snowflake, I actually see them going in diverging places. I see Databricks trying to improve on the data lake. I see Snowflake trying to reinvent the concept of data warehouse to this global mesh, and it's going to be really interesting to see how that shakes out. The data behind Snowflake, obviously very, very exciting. >> Yeah, it's just, real quickly to add on that if we have time, Dave. >> Yeah, sure. >> We all know the valuation of Snowflake, one of the most incredible IPOs I've seen in a long time. The data still supports it. It still supports that growth. Unfortunately for Databricks, their IPO has been a little bit more volatile. If you look at their stock chart every time they report, it's got a little bit of a roller coaster ride going on, and our most recent data for Databricks is actually decelerating, so again, I'm going to use the caveat that we only have about 950 survey responses in. We'll probably get that up to 1,300 or so, so it's not done yet, but right now we are putting Databricks into a category where we're seeing it decelerate a little bit, which is surprising for a company that's just right out of the gate. >> Well, it's interesting because I do see Databricks as more incremental on data lakes and I see Snowflake as more transformative, so at least from a vision standpoint, we'll see if they can execute on that. All right, number seven, let's bring up number seven. This is talking about the cloud, hybrid cloud, multi-cloud. The battle to define hybrid and multi-cloud is going to escalate in 2021. It's already started and it's going to create bifurcated CIO strategies. And, Erik, spending data clearly shows that cloud is continuing its steady margin share gains relative to on-prem, but the definitions of the cloud, they're shifting. Just a couple of years ago, AWS, they never talk about hybrid, just like they don't talk about multi-cloud today, yet AWS continues now to push into on-prem. They treat on-prem as just another node at the edge and they continue to win in the marketplace despite their slower growth rates. Still, they're so large now. 45 billion or so this year. The data is mixed. This ETR data shows that just under 50% of buyers are consolidating workloads, and then a similar, in the cloud workloads, and a similar percentage of customers are spreading evenly across clouds, so really interesting dynamic there. Erik, how do you see it shaking out? >> Yeah, the data is interesting here, and I would actually state that overall spend on the cloud is actually flat from last year, so we're not seeing a huge increase in spend, and coupled with that, we're seeing that the overall market share, which means the amount of responses within our survey, is increasing, certainly increasing. So cloud usage is increasing, but it's happening over an even spectrum. There's no clear winner of that market share increase. So they really, according to our data, the multi-cloud approach is happening and not one particular winner over another. That's just from the data perspective that various do point on AWS. Let's be honest, when they first started, they wanted all the data. They just want to take it from on-prem, put it in their data center. They wanted all of it. They never were interested in actually having interoperability. Then you look at an approach like Google. Google was always about the technology, but not necessarily about the enterprise customer. They come out with Anthos which is allowing you to have interoperability in more cloud. They're not nearly as big, but their growth rate is much higher. Law of numbers, of course. But it really is interesting to see how these cloud players are going to approach this because multi-cloud is happening whether they like it or not. >> Well, I'm glad you brought up multi-cloud in a context of what the data's showing 'cause I would agree we're, and particularly two areas that I would call out in ETR data, VMware Cloud on AWS as well as VM Cloud Foundation are showing real momentum and also OpenStack from Red Hat is showing real progress here and they're making moves. They're putting great solutions inside of AWS, doing some stuff on bare metal, and it's interesting to see. VMware, basically it's the VMware stack. They want to put that everywhere. Whereas Red Hat, similarly, but Red Hat has the developer angle. They're trying to infuse Red Hat in throughout everybody's stack, and so I think Red Hat is going to be really interesting to, especially to the extent that IBM keeps them, sort of lets them do their own thing and doesn't kind of pollute them. So, so far so good there. >> Yeah, I agree with that. I think you brought up the good point about it being developer-friendly. It's a real option as people start kicking a little bit more of new, different developer ways and containers are growing, growing more. They're not testing anymore, but they're real workloads. It is a stack that you could really use. Now, what I would say to caveat that though is I'm not seeing any net new business go to IBM Red Hat. If you were already aligned with that, then yes, you got to love these new tools they're giving you to play with, but I don't see anyone moving to them that wasn't already net new there and I would say the same thing with VMware. Listen, they have a great entrenched base. The longer they can kick that can down the road, that's fantastic, but I don't see net new customers coming onto VMware because of their alignment with AWS. >> Great, thank you for that. That's a good nuance. Number eight, cloud, containers, AI and ML and automation are going to lead 2021 spending velocity, so really is those are the kind of the big four, cloud, containers, AI, automation, And, Erik, this next one's a bit nuanced and it supports our first prediction of a rebound in tech spending next year. We're seeing cloud, containers, AI and automation, in the form of RPA especially, as the areas with the highest net scores or spending momentum, but we put an asterisk around the cloud because you can see in this inserted graphic, which again is preliminary 'cause the survey's still out in the field and it's just a little tidbit here, but cloud is not only above that 40% line of net score, but it has one of the higher sector market shares. Now, as you said, earlier you made a comment that you're not necessarily seeing the kind of growth that you saw before, but it's from a very, very large base. Virtually every sector in the ETR dataset with the exception of outsourcing and IT consulting is seeing meaningful upward spending momentum, and even those two, we're seeing some positive signs. So again, with what we talked about before, with the freezing of the IT projects starting to thaw, things are looking much, much better for 2021. >> I'd agree with that. I'm going to make two quick comments on that, one on the machine learning automation. Without a doubt, that's where we're seeing a lot of the increase right now, and I've had a multiple number of people reach out or in my interviews say to me, "This is very simple. These projects were slated to happen in 2020 and they got paused. It's as simple as that. The business needs to have more machine learning, big data analytics, and it needs to have more automation. This has just been paused and now it's coming back and it's coming back rapidly." Another comment, I'm actually going to post an article on LinkedIn as soon as we're done here. I did an interview with the lead technology director, automation director from Disney, and this guy obviously has a big budget and he was basically saying UiPath and Automation Anywhere dominate RPA, and that on top of it, the COVID crisis greatly accelerated automation, greatly accelerated it because it had to happen, we needed to find a way to get rid of these mundane tasks, we had to put them into real workloads. And another aspect you don't think about, a lot of times with automation, there's people, employees that really have friction. They don't want to adopt it. That went away. So COVID really pushed automation, so we're going to see that happening in machine learning and automation without a doubt. And now for a fun prediction real quick. You brought up the IT outsourcing and consulting. This might be a little bit more out there, the dark horse, but based on our data and what we're seeing and the COVID information about, you said about new projects being unwrapped, new hiring happening, we really do believe that this might be the bottom on IT outsourcing and consulting. >> Great, thank you for that, and then that brings us to number nine here. The automation mandate is accelerating and it will continue to accelerate in 2021. Now, you may say, "Okay, well, this is a lay-up," but not necessarily. UiPath and Automation Anywhere go public and Microsoft remains a threat. Look, UiPath, I've said UiPath and Automation Anywhere, if they were ready to go public, they probably would have already this year, so I think they're still trying to get their proverbial act together, so this is not necessarily a lay-up for them from an operational standpoint. They probably got some things to still clean up, but I think they're going to really try to go for it. If the markets stay positive and tech spending continues to go forward, I think we can see that. And I would say this, automation is going mainstream. The benefits of taking simple RPA tools to automate mundane tasks with software bots, it's both awakened organizations to the possibilities of automation, and combined with COVID, it's caused them to get serious about automation. And we think 2021, we're going to see organizations go beyond implementing point tools, they're going to use the pandemic to restructure their entire business. Erik, how do you see it, and what are the big players like Microsoft that have entered the market? What kind of impact do you see them having? >> Yeah, completely agree with you. This is a year where we go from small workloads into real deployment, and those two are the leader. In our data, UiPath by far the clear leader. We are seeing a lot of adoptions on Automation Anywhere, so they're getting some market sentiment. People are realizing, starting to actually adopt them. And by far, the number one is Microsoft Power Automate. Now, again, we have to be careful because we know Microsoft is entrenched everywhere. We know that they are good at bundling, so if I'm in charge of automation for my enterprise and I'm already a Microsoft customer, I'm going to use it. That doesn't mean it's the best tool to use for the right job. From what I've heard from people, each of these have a certain area where they are better. Some can get more in depth and do heavier lifting. Some are better at doing a lot of projects at once but not in depth, so we're going to see this play out. Right now, according to our data, UiPath is still number one, Automation Anywhere is number two, and Microsoft just by default of being entrenched in all of these enterprises has a lot of market share or mind share. >> And I also want to do a shout out to, or a call out, not really a shout out, but a call out to Pegasystems. We put them in the RPA category. They're covered in the ETR taxonomy. I don't consider them an RPA vendor. They're a business process vendor. They've been around for a long, long time. They've had a great year, done very, very well. The stock has done well. Their spending momentum, the early signs in the latest survey are just becoming, starting to moderate a little bit, but I like what they've done. They're not trying to take UiPath and Automation Anywhere head-on, and so I think there's some possibilities there. You've also got IBM who went to the market, SAP, Infor, and everybody's going to hop on the bandwagon here who's a software player. >> I completely agree, but I do think there's a very strong line in the sand between RPA and business process. I don't know if they're going to be able to make that transition. Now, business process also tends to be extremely costly. RPA came into this with trying to be, prove their ROI, trying to say, "Yeah, we're going to cost a little bit of money, but we're going to make it back." Business process has always been, at least the legacies, the ones you're mentioning, the Pega, the IBMs, really expensive. So again, I'm going to allude to that article I'm about to post. This particular person who's a lead tech automation for a very large company said, "Not only are UiPath and AA dominating RPA, but they're likely going to evolve to take over the business process space as well." So if they are proving what they can do, he's saying there's no real reason they can't turn around and take what Appian's doing, what IBM's doing and what Pega's doing. That's just one man's opinion. Our data is not actually tracking it in that space, so we can't back that, but I did think it was an interesting comment for and an interesting opportunity for UiPath and Automation Anywhere. >> Yeah, it's always great to hear directly from the mouths of the practitioners. All right, brings us to number 10 here. 5G rollouts are going to push new edge IoT workloads and necessitate new system architectures. AI and real-time inferencing, we think, require new thinking, particularly around processor and system design, and the focus is increasingly going to be on efficiency and at much, much lower costs versus what we've known for decades as general purpose workloads accommodating a lot of different use cases. You're seeing alternative processors like Nvidia, certainly the ARM acquisition. You've got companies hitting the market like Fungible with DPAs, and they're dominating these new workloads in the coming decade, we think, and they continue to demonstrate superior price performance metrics. And over the next five years they're going to find their way, we think, into mainstream enterprise workloads and put continued pressure on Intel general purpose microprocessors. Erik, look, we've seen cloud players. They're diversifying their processor suppliers. They're developing their own in-house silicon. This is a multi-year trend that's going to show meaningful progress next year, certainly if you measure it in terms of innovations, announcements and new use cases and funding and M&A activity. Your thoughts? >> Yeah, there's a lot there and I think you're right. It's a big trend that's going to have a wide implication, but right now, it's there's no doubt that the supply and demand is out of whack. You and I might be the only people around who still remember the great chip famine in 1999, but it seems to be happening again and some of that is due to just overwhelming demand, like you mentioned. Things like IoT. Things like 5G. Just the increased power of handheld devices. The remote from work home. All of this is creating a perfect storm, but it also has to do with some of the chip makers themselves kind of misfired, and you probably know the space better than me, so I'll leave you for that on that one. But I also want to talk a little bit, just another aspect of this 5G rollout, in my opinion, is we have to get closer to the edge, we have to get closer to the end consumer, and I do believe the CDN players have an area to play in this. And maybe we can leave that as there and we could do this some other time, but I do believe the CDN players are no longer about content delivery and they're really about edge compute. So as we see IoT and 5G roll out, it's going to have huge implications on the chip supply. No doubt. It's also could have really huge implications for the CDN network. >> All right, there you have it, folks. Erik, it's great working with you. It's been awesome this year. I hope we can do more in 2021. Really been a pleasure. >> Always. Have a great holiday, everybody. Stay safe. >> Yeah, you too. Okay, so look, that's our prediction for 2021 and the coming decade. Remember, all these episodes are available as podcasts. All you got to do is search Breaking Analysis podcast. You'll find it. We publish each week on wikibon.com and siliconangle.com, and you got to check out etr.plus. It's where all the survey action is. Definitely subscribe to their services if you haven't already. You can DM me @dvellante or email me at david.vellante@siliconangle.com. This is Dave Vellante for Erik Bradley for theCUBE Insights powered by ETR. Thanks for watching, everyone. Be well and we'll see you next time. (relaxing music)
SUMMARY :
bringing you data-driven Happy to have you on theCUBE, my friend. Always great to see you too, Dave. are going to go back into the business. and that's going to be driven Yeah, and as we've reported as well, Both of that is stopping. So it shows that prior to the pandemic, and that's just from the data perspective. are going to lead is a name that needs to to happen to Zoom and Teams? and they need to set up for permanency, Now, it's going to be interesting to see and it's going to be and just a couple that we called, So first of all, to your point, Yeah, and you mentioned and they're starting to market that, "Over the next 12 to 18 months, I do expect that to continue. and are not going to be corrected and for all the listeners out there, and it's going to be real quickly to add on so again, I'm going to use the caveat and it's going to create are going to approach this and it's interesting to see. but I don't see anyone moving to them are going to lead 2021 spending velocity, and it needs to have more automation. and tech spending continues to go forward, I'm going to use it. and everybody's going to I don't know if they're going to be able and they continue to demonstrate and some of that is due to I hope we can do more in 2021. Have a great and the coming decade.
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Dec 15th Keynote Analysis with Sarbjeet Johal & Rob Hirschfeld | AWS re:Invent 2020
>>From around the globe. It's the queue with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. >>Welcome back to the cubes. Live coverage for ADFS reinvent 2020 I'm John Ford with the cube, your host. We are the cube virtual. We're not there in person this year. We're remote with the pandemic and we're here for the keynote analysis for Verner Vogels, and we've got some great analysts on and friends of the cube cube alumni is Rob Hirschfeld is the founder and CEO of Rakin a pioneer in the dev ops space, as well as early on on the bare metal, getting on the whole on-premise he's seen the vision and I can tell you, I've talked to him many times over the years. He's been on the same track. He's on the right wave frog. Great to have you on. I'm going to have to start Veatch, come on. Y'all come on as well, but great to see you. Thanks, pleasure to be here. Um, so the keynote with Verna was, you know, he's like takes you on a journey, you know, and, and virtual is actually a little bit different vibe, but I thought he did an exceptional job of stage layout and some of the virtual stage craft. Um, but what I really enjoyed the most was really this next level, thinking around systems thinking, right, which is my favorite topic, because, you know, we've been saying, going back 10 years, the cloud is just, here's a computer, right. It's operating system. And so, um, this is the big thing. This is, what's your reaction to the keynote. >>Wow. So I think you're right. This is one of the challenges with what Amazon has been building is it's, you know, it is a lock box, it's a service. So you don't, you don't get to see behind the scenes. You don't really get to know how they run these services. And what, what I see happening out of all of those pieces is they've really come back and said, we need to help people operate this platform. And, and that shouldn't be surprising to anyone. Right? Last couple of years, they've been rolling out service, service service, all these new things. This talk was really different for Verner's con normal ones, because he wasn't talking about whizzbang new technologies. Um, he was really talking about operations, um, you know, died in the wool. How do we make the system easier to use? How do we expose things? What assistance can we have in, in building applications? Uh, in some cases it felt like, uh, an application performance monitoring or management APM talk from five or even 10 years ago, um, canaries, um, you know, Canary deployments, chaos engineering, observability, uh, sort of bread and butter, operational things. >>We have Savi Joel, who's a influencer cloud computing Xtrordinair dev ops guru. Uh, we don't need dev ops guru from Amazon. We got Sarpy and prop here. So it'd be great to see you. Um, you guys had a watch party. Um, tell me what the reaction was, um, with, of the influencers in the cloud or ADI out there that were looking at Vernon's announcement, because it does attract a tech crowd. What was your take and what was the conversation like? >>Yeah, we kinda geeked out. Um, we had a watch party and we were commenting back and forth, like when we were watching it. I think that the general consensus is that the complexity of AWS stack itself is, is increasing. Right. And they have been focused on developers a lot, I think a lot longer than they needed to be a little bit. I think, uh, now they need to focus on the operations. Like we, we are, we all love dev ops talks and it's very fancy and it's very modern way of building software. But if you think deep down that, like once we developed software traditionally and, and also going forward, I think we need to have that separation. Once you develop something in production, it's, it's, it's operating right. Once you build a car, you're operating car, you're not building car all the time. Right? >>So same with the software. Once you build a system, it should have some stability where you're running it, operating it for, for a while, at least before you touch it or refactoring all that stuff. So I think like building and operating at the same time, it's very good for companies like Amazon, AWS, especially, uh, and, and Google and, and, and Facebook and all those folks who are building technology because they are purely high-tech companies, but not for GM Ford Chrysler or Kaiser Permanente, which is healthcare or a school district. The, they, they need, need to operate that stuff once it's built. So I think, uh, the operationalization of cloud, uh, well, I think take focus going forward a lot more than it has and absorbable Deanna, on a funny note, I said, observability is one of those things. I, now these days, like, like, you know, and the beauty pageants that every contestant say is like, whatever question you asked, is it Dora and the answer and say at the end world peace, right? >>And that's a world peace term, which is the absorbability. Like you can talk about all the tech stuff and all that stuff. And at the end you say observability and you'll be fine. So, um, what I'm making is like observability is, and was very important. And when I was talking today about like how we can enable the building of absorbability into this new paradigm, which is a microservices, like where you pass a service ID, uh, all across all the functions from beginning to the end. Right. And so, so you can trace stuff. So I think he was talking, uh, at that level. Yeah. >>Let me, let's take an observer Billy real quick. I have a couple of other points. I want to get your opinions on. He said, quote, this three, enabling major enabling technologies, powering observability metrics, logging and tracing here. We know that it would, that is of course, but he didn't take a position. If you look at all the startups out there that are sitting there, the next observability, there's at least six that I know of. I mean, that are saying, and then you got ones that are kind of come in. I think signal effects was one. I liked, like I got bought by Splunk and then is observability, um, a feature, um, or is it a company? I mean, this is something that kind of gets talked about, right? I mean, it's, I mean, is it really something you can build a business on or is it a white space? That's a feature that gets pulled in what'd you guys react to that? >>So this is a platform conversation and, and, you know, one of the things that we've been having conversations around recently is this idea of platforms. And, and, you know, I've been doing a lot of work on infrastructure as code and distributed infrastructure and how people want infrastructure to be more code, like, which is very much what, what Verna was, was saying, right? How do we bring development process capabilities into our infrastructure operations? Um, and these are platform challenges. W what you're asking about from, uh, observability is perspective is if I'm running my code in a platform, if I'm running my infrastructure as a platform, I actually need to understand what that platform is doing and how it's making actions. Um, but today we haven't really built the platforms to be very transparent to the users. And observability becomes this necessary component to fix all the platforms that we have, whether they're Kubernetes or AWS, or, you know, even going back to VMware or bare metal, if you can't see what's going on, then you're operating in the blind. And that is an increasingly big problem. As we get more and more sophisticated infrastructure, right? Amazon's outage was based on systems can being very connected together, and we keep connecting systems together. And so we have to be able to diagnose and troubleshoot when those connections break or for using containers or Lambdas. The code that's running is ephemeral. It's only around for short periods of time. And if something's going wrong in it, it's incredibly hard to fix it, >>You know? And, and also he, you know, he reiterated his whole notion of log everything, right? He kept on banging on the drum on that one, like log everything, which is actually a good practice. You got to log everything. Why wouldn't you, >>I mean, how you do, but they don't make it easy. Right? Amazon has not made it easy to cross, cross, and, uh, connect all the data across all of those platforms. Right? People think of Amazon as one thing, but you know, the people who are using it understand it's actually a collection of services. And some of those are not particularly that tied together. So figuring out something that's going on across, across all of your service bundles, and this isn't an Amazon problem, this is an industry challenge. Especially as we go towards microservices, I have to be able to figure out what happened, even if I used 10 services, >>Horizontal, scalability argument. Sorry. Do you want to get your thoughts on this? So the observability, uh, he also mentioned theory kind of couched it before he went into the talk about systems theory. I'm like, okay. Let's, I mean, I love systems, and I think that's going to be the big wake up call here for the next 10 years. That's a systems mindset. And I think, you know, um, Rob's right. It's a platform conversation. When you're thinking about an operating system or a system, it has consequences when things change, but he talked about controllability versus, uh, observability and kinda T that teed up the, well, you can control systems controls, or you can have observability, uh, what's he getting at in all of this? What's he trying to say, keep, you know, is it a cover story? Is it this, is it a feature? What was the, what was the burner getting at with all this? >>Uh, I, I, I believe they, they understand that, that, uh, that all these services are very sort of micro in nature from Amazon itself. Right. And then they are not tied together as Rob said earlier. And they, he addressed that. He, uh, he, uh, announced that service. I don't know the name of that right now of problem ahead that we will gather all the data from all the different places. And then you can take a look at all the data coming from different services at this at one place where you have the service ID passed on to all the servers services. You have to do that. It's a discipline as a software developer, you have to sort of adhere to even in traditional world, like, like, you know, like how you do logging and monitoring and tracing, um, it's, it's your creativity at play, right? >>So that's what software is like, if you can pass on, I was treating what they gave an example of Citrix, uh, when, when, when you are using like tons of applications with George stream to your desktop, through Citrix, they had app ID concept, right? So you can trace what you're using and all that stuff, and you can trace the usage and all that stuff, and they can, they can map that log to that application, to that user. So you need that. So I think he w he was talking about, I think that's what he's getting too. Like we have to, we have to sort of rethink how we write software in this new Microsoft, uh, sort of a paradigm, which I believe it, it's a beautiful thing. Uh, as long as we can manage it, because Microsoft is, are spread across like, um, small and a smaller piece of software is everywhere, right? So the state, how do we keep the state intact? How do we, um, sort of trace things? Uh, it becomes a huge problem if we don't do it right? So it it's, um, it's a little, this is some learning curve for most of the developers out there. So 60 dash 70% >>Rob was bringing this up, get into this whole crash. And what is it kind of breakdown? Because, you know, there's a point where you don't have the Nirvana of true horizontal scalability, where you might have microservices that need to traverse boundaries or systems, boundaries, where, or silos. So to Rob's point earlier, if you don't see it, you can't measure it or you can't get through it. How do you wire services across boundaries? Is that containers, is that, I mean, how does this all work? How do you guys see that working? I just see a train wreck there. >>It's, it's a really hard problem. And I don't think we should underestimate it because everything we toast talked about sounds great. If you're in a single AWS region, we're talking about distributed infrastructure, right? If you think about what we've been seeing, even more generally about, you know, edge sites, uh, colo on prem, you know, in cloud multi-region cloud, all these things are actually taking this one concept and you're like, Oh, I just want to store all the log data. Now, you're not going to store all your log data in one central location anymore. That in itself, as a distributed infrastructure problem, where I have to be able to troubleshoot what's going on, you know, and know that the logs are going to the right place and capture the data, that's really important. Um, and one of the innovations in this that I think is going to impact the industry over the next couple of years is the addition of more artificial intelligence and machine learning, into understanding operations patterns and practices. >>And I think that that's a really significant industry trend where Amazon has a distinct advantage because it's their systems and it's captive. They can analyze and collect a lot of data across very many customers and learn from those things and program systems that learn from those things. Um, and so the way you're going to keep up with this is not by logging more and more data, but by doing exactly what we're talking through, which was how do I analyze the patterns with machine learning so that I can get predictive analysis so that I can understand something that looks wrong and then put people on checking it before it goes wrong. >>All right, I gotta, I gotta bring up something controversial. I can't hold back any longer. Um, you know, Mark Zuckerberg said many, many years ago, all the old people, they can do startups, they're too old and you gotta be young and hungry. You gotta do that stuff. If we're talking systems theory, uh, automated meta reasoning, evolvable systems, resilience, distributed computing, isn't that us old guys that have actually have systems experience. I mean, if you're under the age of 30, you probably don't even know what a system is. Um, and, or co coded to the level of systems that we use to code. And I'm putting my quote old man kind of theory, only kidding, by the way on the 30. But my point is there is a generation of us that had done computer science in the, in the eighties and seventies, late seventies, maybe eighties and nineties, it's all it was, was systems. It was a systems world. Now, when you have a software world, the aperture is increasing in terms of software, are the younger generation of developers system thinkers, or have we lost that art, uh, or is it doesn't matter? What do you guys think? >>I, I think systems thinking comes with age. I mean, that's, that's sort of how I think, I mean, like I take the systems thinking a greater sort of, >>Um, world, like state as a system country, as a system and everything is a system, your body's a system family system, so it's the same way. And then what impacts the system when you operated internal things, which happened within the system and external, right. And we usually don't talk about the economics and geopolitics. There's a lot of the technology. Sometimes we do, like we have, I think we need to talk more about that, the data sovereignty and all that stuff. But, but even within the system, I think the younger people appreciate it less because they don't have the, they don't see, um, software taught like that in the universities. And, and, and, and by these micro micro universities now online trainings and stuff like sweaty, like, okay, you learn this thing and you're good at it saying, no, no, it's not like that. So you've got to understand the basics and how the systems operate. >>Uh, I'll give you an example. So like we were doing the, the, the client server in early nineties, and then gradually we moved more towards like having ESB enterprise services, bus where you pass a state, uh, from one object to another, and we can bring in the heterogeneous, uh, languages. This thing is written in Java. This is in.net. This is in Python. And then you can pass it through that. Uh, you're gonna make a state for, right. And that, that was contained environment. Like ESBs were contained environment. We were, I, I wrote software for ESPs myself at commerce one. And so like, we, what we need today is the ESP equallant in the cloud. We don't have that. >>Rob, is there a reverse ageism developers? I mean, if you're young, you might not have systems. What do you think? I, I don't agree with that. I actually think that the nature of the systems that we're programming forces people into more distributed infrastructure thinking the platforms we have today are much better than they were, you know, 20 years ago, 30 years ago, um, in the sense that I can do distributed infrastructure programming without thinking about it very much anymore, but you know, people know, they know how to use cloud. They know how to use a big platform. They know how to break things into microservices. I, I think that these are inherent skills that people need to think about that you're you're right. There is a challenge in that, you know, you get very used to the platform doing the work for you, and that you need to break through it, but that's an experiential thing, right? >>The more experienced developers are going to have to understand what the platforms do. Just like, you know, we used to have to understand how registers worked inside of a CPU, something I haven't worried about for a long, long time. So I, I don't think it's that big of a problem. Um, from, from that perspective, I do think that the thing that's really hard is collaboration. And so, you know, it's, it's hard people to people it's hard inside of a platform. It's hard when you're an Amazon size and you've been rolling out services all over the place and now have to figure out how to fit them all together. Um, and that to me is, is a design problem. And it's more about being patient and letting things, uh, mature. If anything might take away from this keynote is, you know, everybody asked Amazon to take a breath and work on usability and, and cross cross services synchronizations rather than, than adding more services into the mix. And that's, >>That's a good point. I mean, again, I bring up the conversation because it's kind of the elephant in the room and I make it being controversial to make a point there. So our view, because, you know, I interviewed Judy Estrin who helped found the internet with Vince Cerf. She's well-known for her contributions for the TCP IP protocol. Andy Besta Stein. Who's the, who's the Rembrandt of motherboards. But as Pat Gelsinger, CEO of VMware, I would say both said to me on the cube that without systems thinking, you don't understand consequences of when things change. And we start thinking about this microservices conversation, you start to hear a little bit of that pattern emerging, where those systems, uh, designs matter. And then you have, on the other hand, you have this modern application framework where serverless takes over. So, you know, Rob back to your infrastructure as code, it really isn't an either, or they're not mutually exclusive. You're going to have a set of nerds and geeks engineering systems to make them better and easier and scalable. And then you're going to have application developers that need to just make it work. So you start to see the formation of kind of the, I won't say swim lanes, but I mean, what do you guys think about that? Because you know, Judy and, um, Andy better sign up. They're kind of right. Uh, >>Th th the enemy here, and we're seeing this over and over again is complexity. And, and the challenge has been, and serverless is like, those people like, Oh, I don't have to worry about servers anymore because I'm dealing with serverless, which is not true. What you're doing is you're not worrying about infrastructure as much, but you, the complexity, especially in a serverless infrastructure where you're pulling, you know, events from all sorts of things, and you have one, one action, one piece of code, you know, triggering a whole bunch of other pieces of code in a decoupled way. We are, we are bringing so much complexity into these systems, um, that they're very hard to conceive of. Um, and AIML is not gonna not gonna address that. Um, I think one of the things that was wonderful about the setting, uh, in the sugar factory and at all of that, you know, sort of very mechanical viewpoint, you know, when you're actually connecting all things together, you can see it. A lot of what we've been building today is almost impossible to observe. And so the complexity price that we're paying in infrastructure is going up exponentially and we can't sustain infrastructures like that. We have to start leveling that in, right? >>Your point on the keynote, by the way, great call out on, on the, on the setting. I thought that was very clever. So what do you think about this? Because as enterprises go through this transformation, one of the big conversations is the solution architecture, the architecture of, um, how you lay all this out. It's complexity involved. Now you've got on premise system, you've got cloud, you've got edge, which you're hearing more and more local processing, disconnected systems, managing it at the edge with visualization. We're going to hear more about that, uh, with Dirk, when he comes on the queue, but you know, just in general as a practitioner out there, what, what's, what's your, what do you see people getting their arms around, around this, this keynote? What do they, what's your thoughts? >>Yeah, I, I think, uh, the, the pattern I see emerging is like, or in the whole industry, regardless, like if you put, when does your sign is that like, we will write less and less software in-house I believe that SAS will emerge. Uh, and it has to, I mean, that is the solution to kill the complexity. I believe, like we always talk about software all the time and we, we try to put this in the one band, like it's, everybody's dining, same kind of software, and they have, I'm going to complexity and they have the end years and all that stuff. That's not true. Right. If you are Facebook, you're writing totally different kind of software that needs to scale differently. You needs a lot of cash and all that stuff, right. Gash like this and cash. Well, I ain't both gases, but when you are a mid size enterprise out there in the middle, like fly over America, what, uh, my friend Wayne says, like, we need to think about those people too. >>Like, how do they drive software? What kind of software do they write? Like how many components they have in there? Like they have three tiers of four tiers. So I think they're a little more simpler software for internal use. We have to distinguish these applications. I always talk about this, like the systems of record systems of differentiation, the system of innovation. And I think cloud will do great. And the newer breed of applications, because you're doing a lot of, a lot of experimentation. You're doing a lot of DevOps. You have two pizza teams and all that stuff, which is good stuff we talk about, well, when you go to systems of record, you need stability. You need, you need some things which is operational. You don't want to touch it again, once it's in production. Right? And so the, in between that, that thing is, I think that's, that's where the complexity lies the systems are, which are in between those systems of record and system or innovation, which are very new Greenfield. That, that's what I think that's where we need to focus, uh, our, um, platform development, um, platform as a service development sort of, uh, dollars, if you will, as an industry, I think Amazon is doing that right. And, and Azura is doing that right to a certain extent too. I, I, I, I worry a little bit about, uh, uh, Google because they're more tilted towards the data science, uh, sort of side of things right now. >>Well, Microsoft has the most visibility into kind of the legacy world, but Rob, you're shaking your head there. Um, on his comment, >>You know, I, I, you know, I, I watched the complexity of all these systems and, and, you know, I'm not sure that sass suffocation of everything that we're doing is leading to less is pushing the complexity behind a curtain so that you, you, you can ignore the man behind the curtain. Um, but at the end of the day, you know what we're really driving towards. And I think Amazon is accelerating this. The cloud is accelerating. This is a new set of standard operating processes and procedures based on automation, based on API APIs, based on platforms, uh, that ultimately, I think people could own and could come back to how we want to operate it. When I look at what we w we were just shown with the keynote, you know, it was an, is things that application performance management and monitoring do. It's, it's not really Amazon specific stuff. There's no magic beans that Amazon is growing operational knowledge, you know, in Amazon, greenhouses that only they know how to consume. This is actually pretty block and tackle stuff. Yeah. And most people don't need to operate it at that type of scale to be successful. >>It's a great point. I mean, let's, let's pick up on that for the last couple of minutes we have left. Cause I think that's a great, great double-down because you're thinking about the mantra, Hey, everything is a service, you know, that's great for business model. You know, you hand it over to the techies. They go, wait a minute. What does that actually mean? It's harder. But when I talk to people out there and you hear people talking about everything is a service or sanctification, I do agree. I think you're putting complexity behind the curtain, but it's kind of the depends answer. So if you're going to have everything as a service, the common thesis is it has to have support automation everywhere. You got to automate things to make things sassiphy specified, which means you need five nines, like factory type environments. They're not true factories, but Rob, to your point, if you're going to make something a SAS, it better be Bulletproof. Because if you're, if you're automating something, it better be automated, right? You can measure things all you want, but if it's not automated, like a, like a, >>And you have no idea what's going on behind the curtains with some of these, these things, right. Especially, you know, I know our business and you know, our customers' businesses, they're, they're reliant on more and more services and you have no idea, you know, the persistence that service, if they're going to break an API, if they're going to change things, a lot of the stuff that Amazon is adding here defensively is because they're constantly changing the wheels on the bus. Um, and that is not bad operational practice. You should be resilient to that. You should have processes that are able to be constantly updated and CICB pipelines and, you know, continuous deployments, you shouldn't expect to, to, you know, fossilize your it environment in Amber, and then hope it doesn't have to change for 10 years. But at the same time, we'll work control your house. >>That's angle about better dev ops hypothetical, like a factory, almost metaphor. Do you care if the cars are being shipped down the assembly line and the output works and the output, if you have self-healing and you have these kinds of mechanisms, you know, you could have do care. The services are being terminated and stood up and reformed as long as the factory works. Right? So again, it's a complexity level of how much it, or you want to bite off and chew or make work. So to me, if it's automated, it's simple, did it work or not? And then the cost of work to be, what's your, what's your angle on this? Yeah. >>I believe if you believe in systems thinking, right. You have to believe in, um, um, the concept of, um, um, Oh gosh, I'm losing over minor. Um, abstraction. Right? So abstraction is your friend in software. Abstraction is your friend anyways, right? That's how we, humans pieces actually make a lot more progress than any other sort of living things here in this world. So that's why we are smart. We can abstract complexity behind the curtains, right? We, we can, we can keep improving, like from the, the, you know, wooden cart to the car, to the, to the plane, to the other, like, we, we, we have this, like when, when we see we are flying these airplanes, like 90% of the time they're on autopilot, like that's >>Hi, hiding my attractions is, is about evolution. Evolvable software term. He said, it's true. All right, guys, we have one minute left. Um, let's close this out real quick. Each of you give a closing statement on what you thought of the keynote and Verner's talk prop, we'll start with you. >>Uh, you know, as always, it's a perf keynote, uh, very different this year because it was so operationally focused and using the platform and, and helping people run their, their, off their applications and software better. And I think it's an interesting turn that we've been waiting for for Amazon, uh, to look at, you know, helping people use their own platform more. Um, so, uh, refreshing change and I think really powerful and well delivered. I really did like the setting >>Great shopping. And when we found, I found out today, that's Teresa Carlson is now running training and certification. So I'm expecting that to be highly awesomely accelerated a success there. Sorry, what's your take real quick on burners talk, walk away. Keynote thoughts. >>I, I, I think it was what I expected it to be like, he focused on the more like a software architecture kind of discussion. And he focused this time a little more on the ops side and the dev side, which I think they, they are pivoting a little bit, um, because they, they want to sell more AWS stuff to us, uh, to the existing enterprises. So I think, um, that was, um, good. Uh, I wish at the end, he said, not only like, go, go build, but also go build and operate. So can, you know, they all say, go build, build, build, but like, who's going to operate this stuff. Right. So I think, um, uh, I will see a little shift, I think, going forward, but we were talking earlier, uh, during or watch party that I think, uh, going forward, uh, AWS will open start open sourcing the commoditized version of their cloud, which have been commoditized by other vendors and gradually they will open source it so they can keep the hold onto the enterprises. I think that's what my take is. That's my prediction is >>Awesome and want, I'll make sure I'm at your watch party next time. Sorry. I missed it. Nobody's taking notes. Try and prepare. Sorry, Rob. Thanks for coming on and sharing awesome insight and expertise to experts in cloud and dev ops. I know them. And can firstly vouch for their awesomeness? Thanks for coming on. I think Verner can verify what I thought already was reporting Amazon everywhere. And if you connect the dots, this idea of reasoning, are we going to have smarter cloud? That's the next conversation? I'm John for your host of the cube here, trying to get smarter with Aus coverage. Thanks to Robin. Sarvi becoming on. Thanks for watching.
SUMMARY :
It's the queue with digital coverage of Um, so the keynote with Verna was, you know, he's like takes you on a journey, he was really talking about operations, um, you know, died in the wool. Um, you guys had a watch party. Once you build a car, you're operating car, you're not building car all the time. I, now these days, like, like, you know, and the beauty pageants that every contestant And at the end you say observability and I mean, that are saying, and then you got ones So this is a platform conversation and, and, you know, And, and also he, you know, he reiterated his whole notion of log everything, People think of Amazon as one thing, but you know, the people who are using it understand And I think, you know, um, And then you can take a look at all the data coming from different services at this at one place where So you can trace what you're using and all that stuff, and you can trace the usage and all that stuff, So to Rob's point earlier, if you don't see problem, where I have to be able to troubleshoot what's going on, you know, and know that the logs Um, and so the way you're going to keep up with this is not by logging more and more data, you know, Mark Zuckerberg said many, many years ago, all the old people, they can do startups, I mean, like I take the systems thinking a greater sort of, and stuff like sweaty, like, okay, you learn this thing and you're good at it saying, no, no, it's not like that. And then you can pass it through that. about it very much anymore, but you know, people know, they know how to use cloud. And so, you know, it's, it's hard people to people it's hard So, you know, Rob back to your infrastructure as code, it really isn't an either, and at all of that, you know, sort of very mechanical viewpoint, uh, with Dirk, when he comes on the queue, but you know, just in general as a practitioner out there, what, what's, If you are Facebook, you're writing totally different kind of software that needs which is good stuff we talk about, well, when you go to systems of record, you need stability. Well, Microsoft has the most visibility into kind of the legacy world, but Rob, you're shaking your head there. that Amazon is growing operational knowledge, you know, in Amazon, You know, you hand it over to the techies. you know, the persistence that service, if they're going to break an API, if they're going to change things, So again, it's a complexity level of how much it, or you want to bite I believe if you believe in systems thinking, right. Each of you give a closing statement on Uh, you know, as always, it's a perf keynote, uh, very different this year because it was So I'm expecting that to be highly awesomely accelerated a success there. So can, you know, they all say, go build, And if you connect the dots, this idea of reasoning, are we going to have smarter
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Practical Solutions For Today | Workplace Next
>>from around the globe. It's the Cube with digital coverage of workplace next made possible by Hewlett Packard Enterprise. >>Hello, everyone. We're here covering workplace next on the Cube For years, you know, we've talked about new ways to work, and it was great thought exercise. And then overnight the pandemic heightened the challenges of creating an effective work force. Most of the executives that we talked to in our survey say that productivity actually has improved since the work from Home Mandate was initiative. But, you know, we're talking not just about productivity, but the well being of our associates and managing the unknown. We're going to shift gears a little bit now. We've heard some interesting real world examples of how organizations are dealing with the rapid change in workplace, and we've heard about some lessons to take into the future. But now we're going to get more practical and look at some of the tools that are available to help you navigate. The changes that we've been discussing and with me to talk about these trends related to the future of work are are are Qadoura, who's the vice president of worldwide sales and go to market for Green Lake at HP Sadat Malik is the VP of I O t and Intelligent Edge at HP and Satish Yarra Valley is the global cloud and infrastructure practice Head at Whip Probe guys welcomes. Good to see you. Thanks for coming on. >>Thanks for having us. >>You're very welcome. Let me start with Sadat. You're coming from Austin, Texas here. So thank you. Stay crazy. As they say in Austin, for the uninitiated, maybe you could talk a little bit about h p E point. Next. It's a strategic component of H p. E. And maybe tell us a little bit about those services. >>Thank you so much for taking the time today. Appreciate everybody's participation here. So absolutely so point Next is HP Services on. This is the 23,000 strong organization globally spread out, and we have a very strong ecosystem of partners that be leveraged to deliver services to our customers. Um, our organization differentiates itself in the market by focusing on digital digital transformation journeys for our customers. For customers looking toe move to a different way off, engaging with its customers, transforming the way its employees work, figuring out a different way off producing the products that it sells to. His customers are changing the way it operationalize these things. For example, moving to the cloud going to a hybrid model, we help them achieve any of these four transformation outcomes. So point next job is toe point. What is next in this digital transformation journey and then partner with our customers to make that happen? So that's what we do. >>Thank you for that. I mean, obviously, you're gonna be seeing a lot of activity around workplace with shift from work from home, changes in the network changes in security. I mean the whole deal. What are some of your top takeaways that you can share with our audience? >>Yeah, they're >>so a lot has been happening in the workplace arena lately. So this is not new, right? This is not something that all of a sudden side happening when Kobe 19 hit, uh, the digital workplace was already transforming before over 19 happened. What over 19 has done is that it has massively accelerated the pace at which this change was happening. So, for example, right remote work was already there before over 19. But now everybody is working remotely so, in many ways, the solution that we have for remote work. They have been strained to appoint, never seen before. Networks that support these remote work environments have been pushed to their limits. Security was already there, right? So security was a critical piece off any off the thinking, any of the frameworks that we had. But now security is pivotal and central. Any discussion that we're having about the workplace environment data is being generated all across the all across the environment that we operated, right? So it's no longer being generated. One place being stored. Another. It's all over the place now. So what Kobe, 19 has done is that the transformation that was already underway in the digital workplace, it has taken that and accelerated it massive. The key take away for me is right that we have to make sure that when we're working with our customers, our clients, we don't just look at the technology aspect of things. We have to look at all the other aspect as well the people in the process aspect off this environment. It is critical that we don't assume that just because the technology is there to address these challenges that I just mentioned. Our people and our processes would be able to handle that as well. We need to bring everybody along. Everybody has different needs, and we need to be able to cater to those needs effectively. So that's my biggest take away. Make sure that the process and the people aspect of things was hand in glove with the technology that we were able to bring to bear here. >>Got it. Thank you. So, ah, let's go to San Francisco, bringing our war to the conversation. You're one of your areas of focus is is HP Green Lake. You guys were early on with the as a service model. Clearly, we've seen Mawr interest in cloud and cloud like models. I wonder if you could just start by sharing. What's Green Lake all about? Where does it fit into this whole workplace? Next, Uh, conversation that we're having? >>Yeah, absolutely. Um HP Green lake effectively is the cloud that comes to your data center to your Coehlo or to your edge, right? We saw with Public Cloud. The public cloud brought a ton of innovations, um, into the sort of hyper scale model. Now, with HP. What we've done is we've said, Look, customers need this level of innovation and this level of, you know, pay as you go economics the, you know, management layer the automation layer not just in a public cloud environment, but also in our customers data center or to the other potential edges or Coehlo scenarios. And what we've done is we've brought together Asada just mentioned the best of our point next services our software management layer as well as H. P. E s rich portfolio of hardware to come together to create that cloud experience. Um, of course, we can't do this without the rich ecosystem around us as well. And so everything from you know, some of our big S I partners like we bro, who also have the virtual desktop expertise or virtual desk that then come together to start helping us launch some of these new workloads supported cloud services such as D. D i eso for my perspective, v. D. I is the most important topic for a lot of our customers right now, especially in sectors like financial services, um, advanced engineering scenarios and health care where they need access to those, uh to their data centers in a very secure way and in a highly cost optimized way as well. >>Well, okay. Thank you. And then let's let's bring in, uh, petition talk a little bit about the ecosystem. I mean, we're pro. That's really kind of your wheelhouse. We've been talking a lot on the cube about moving from an industry of point products to platforms and now ecosystem innovation, Uh, are are mentioned VD I we saw that exploding eso teach. Maybe you could weigh in here and and share with us what you're seeing in the market and specifically around ecosystem. >>As we all know, the pandemic has redefined the way we collaborate to support this collaboration. We have set up huge campuses and office infrastructure In summary, our industry has centralized approach. Now, the very premise of the centralization bringing people together for work has changed. This evolving workspace dynamics have triggered the agency to reimagine the workspace strategy. CEO, CEO S and C H R ose are all coming together to redefine the business process and find new ways off engaging with customers and employees as organizations embrace work from home for the foreseeable future. Customer need to create secure by design workspaces for remote working environments. With the pro virtual disk platform, we can help create such seamless distal workspaces and enable customers to connect, collaborate and communicate with ease from anywhere securely. They're consistent user experience. Through this platform led approach, we are able to utter the market demands which are focused on business outcomes. >>Okay, and this is the specifics of this hard news that you're talking about Video on demand and Citrix coming together with your ecosystem. H p E were pro and again, the many partners that you work with is that correct? >>Well, actually, Dave, we see a strong playoff ecosystem partners coming together to achieve transformative business outcomes. As Arbor said earlier, HP and Wipro have long standing partnership, and today's announcement around HP Green Lake is an extension off this collaboration, where we provide leverage HP Green Leg Andre Pro, which elders platform to offer video as a service in a paper user model. Our aim is to enable customers fast track there. It is still works based transformation efforts by eliminating the need to support upfront capital investments and old provisioning costs while allowing customers to enjoy the benefit off compromise, control, security and compliance. Together, we have implemented our solution across various industry segments and deliver exceptional customer experiences by helping customer businesses in their workspace. Transformation journeys by defining their workspace strategy with an intelligent, platform led approach that enables responsiveness, scalability and resilience. It's known that Wipro is recognized as a global leader in the distal workspace and video I, with HP being a technology leader, enabling us with high level of program ability on integration capabilities. We see tremendous potential to jointly address the industry challenges as we move forward. >>Excellent. Uh, sad. I wanna come back to you. We talk a lot about the digital business, the mandate for digital business, especially with the pandemic. Let's talk about data. Earlier this year, HP announced the number of solutions that used data to help organizations work more productively safely. You know, the gamut talk about data and the importance of data and what you guys were doing there specifically, >>Yeah, that's a great question. So that is fundamental to everything that we're doing in the workplace arena, right? So from a technology perspective that provides us with the wherewithal to be able to make all the changes that we want to make happen for the people in the process side of things. So the journey that we've been on this past year is a very interesting one. Let me share with the audience a little bit of what's been going on on the ground with our customers. Um, what's what's been happening in the field? So when the when Kobe 19 hit right, a lot of our customers were subjected to these shutdown, which were very pervasive, and they had to stop their operations. In many cases, they had to send their employees home. So at that point, HB stepped in the point. Next organization stepped in and helped these customers set up remote work out options, which allowed them to keep their businesses going while they handle these shutdowns. Fast forward. Six months and the shutdown. We're starting to get lifted and our customers were coming back to us and saying to us that Hey, we would now like to get a least a portion off our workforce back to the normal place of work. But we're concerned that if we do that, it's gonna jeopardize their safety because off the infection concerned that were there. So what we did was that we built a cities or five solutions using various types of video analytics and data analysis analysis technologies that allowed these customers to make that move. So these five solutions, uh, let me walk, walk our customers and our clients and audience through those. The first two of these solutions are touchless entry and fever detection. So this is the access control off your premise, right? So to make sure that whoever is entering the building that's in a safe manner and any infection concerned, we stop it at the very get go once the employees inside the workplace, the next thing that we have is a set of two solutions. What one is social distance tracing and tracking, and the other one is workplace alerting. What these two solutions do is that they use video analytics and data technology is to figure out if there is a concern with employees adhering to the various guidelines that are in place on alerting the employees and the employers if there is any infringement happening which could risk overall environment. Finally, we realized right that irrespective off how much technology and process we put in place. Not everybody will be able to come into the normal place of work. So what we have done is that the first solution that we have is augmented reality and visual remote guidance. This solution uses a our technologies allow. People were on site to take advantage of the expertise that resides offsite to undertake complex task task, which could be as complex as overhauling a machine on ah factory floor using augmented reality where somebody off site who's an expert in that machine is helping somebody on site data has become central to a lot of the things that we do. But as I said, technology is one aspect of things. So ultimately the people process technology continuum has to come together to make these solutions real for our customers. >>Thank you, Arwa. We just have just about 30 seconds left and I wonder if you could close on. We're talking about cloud hybrid. Uh, everybody's talking about hybrid. We're talking about the hybrid workplace. What do you see for the for the future over the next 2345 years? >>Absolutely. And I think you're right, Dave. It is, ah, hybrid world. It's a multi cloud world. Ultimately, what our customers want is the choice and the flexibility to bring in the capabilities that drive the business outcomes that they need to support. And that has multiple dimensions, right? It's making sure that they are minimizing their egress costs, right. And many of our on Prem solutions do give them that flexibility. It is the paper use economics that we talked about. It is about our collective capability as an ecosystem to come together. You know, with Citrix and NVIDIA with R s I partner we pro and the rich heritage of HP es services as well as hardware to bring together these solutions that are fully managed on behalf of our customers so that they can focus their staff their i t capabilities on the products and services they need to deliver to their customers. >>Awesome. Guys, I wish we had more time. We got to go day volonte for the cube. Keep it right there. Lots of great more content coming your way. >>Yeah,
SUMMARY :
It's the Cube with digital coverage Most of the executives that we talked to in our survey say that productivity actually has improved So thank you. This is the 23,000 I mean the whole deal. all across the all across the environment that we operated, So, ah, let's go to San Francisco, bringing our war to the conversation. Asada just mentioned the best of our point next services our We've been talking a lot on the cube about the business process and find new ways off engaging with customers and employees as demand and Citrix coming together with your ecosystem. the need to support upfront capital investments and old provisioning costs while allowing customers the digital business, the mandate for digital business, especially with the pandemic. the people process technology continuum has to come together to make these solutions real for our customers. We're talking about the hybrid workplace. It is the paper use economics that we talked about. We got to go day volonte for the cube.
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Kevin L. Jackson, GC GlobalNet | Citrix Security Summit 2020
from the cube studios in palo alto in boston connecting with thought leaders all around the world this is a cube conversation hey welcome back everybody jeff frick here with the cube coming to you from our palo alto studios with a cube conversation with a great influencer we haven't had him on for a while last had him on uh in may i think of 2019 mid 2019. we're excited to welcome back to the program he's kevin l jackson he is the ceo of gc globalnet kevin great to see you today hey how you doing jeff thanks for having me it's uh it's been a while but i really enjoyed it yeah i really enjoy being on thecube well thank you for uh for coming back so we've got you on to talk about citrix we had you last on we had you on a citrix synergy this year obviously covet hit all the all the events have gone virtual and digital and citrix made an interesting move they decided to kind of break their thing into three buckets kind of around the main topics that people are interested in in their world and that's cloud so they had a citrix cloud summit they had a citrix workplace summit and now they just had their last one of the three which is the citrix security summit uh just wrapped up so before we jump into that i just want to get your take how are you doing how you getting through the kind of covid madness from you know the light switch moment that we experienced in march april 2. you know now we're like seven eight months into this and it's not going to end anytime soon well you know it's it was kind of different for me because um i've been working from home and remotely since i guess 2014 being a consultant and with all my different clients i was doing a lot more traveling um but with respect to doing meetings and being on collaborative systems all day long it's sort of like uh old hat and i say welcome to my world but i find that you know society is really changing the things that you thought were necessary in business you know being physically at meetings and shaking hands that's all like you know although we don't do that anymore yeah i used to joke right when we started this year that we finally got to 2020 the year that we know everything right with the benefit of hindsight but it turned out to be the year that we actually find out that we don't know anything and everything that we thought we knew in fact is not necessarily what we thought and um we got thrown into this we got thrown into this thing and you know thankfully for you and for me we're in you know we're in the tech space we can we can go to digital we're not in the hotel business or the hospitality business or you know so many businesses that are still suffering uh greatly but we were able to make the move in i.t and and citrix is a big piece of that in terms of enabling people to support remote work they've always been in remote work but this really changed the game a lot and i think as you said before we turned on the cameras accelerated you know this digital transformation way faster than anybody planned on oh oh yeah absolutely and another one of the areas that was particularly um accelerated they sort of put the rockets on is security which i'm really happy about because of the rapid increase in the number of remote workers i mean historically companies had most of their workforce in their own buildings on on their own property and there was a small percentage that would remote work remotely right but it's completely flipped now and it flipped within a period of a week or a week and a half and many of these companies were really scrambling to make you know their entire workforce be able to communicate collaborate and just get access to information uh remotely right right well david talked about it in the security keynote you know that you know as you said when this light switch moment hit in mid-march you had to get everybody uh secure and take care of your people and get them set up but you know he talked a little bit about you know maybe there were some shortcuts taken um and now that we've been into this thing in a prolonged duration and again it's going to be going on for a while longer uh that there's really an opportunity to to make sure that you put all the proper uh systems in place and make sure that you're protecting people you're protecting the assets and you're protecting you know the jewels of the company which today are data right and data in all the systems that people are working with every single day yeah yeah absolutely they had to rapidly rethink all of the work models and this uh accelerated digital transformation and the adoption of cloud and it was just this this huge demand for remote work but it was also important to uh keep to think about the user experience the employee experience i mean they were learning new things learning new technologies trying to figure out how to how to do new things and that at the beginning of this uh trend this transition people were thinking that hey you know after a few months we'll be okay but now and it's starting to sink in that this stuff is here to stay so you have to understand that work is not a place and i think actually david said that right it's really you have to look at how the worker is delivering and contributing to the mission of the organization to the business model and you have to be able to measure the workers level of output and their accomplishment and be able to do this remotely so back to office is is not going to happen in reality so the employee experience through this digital environment this digital work space it's critical yeah i think one of the quotes he had whether i think was either this one or one of the prior ones is like back to work is not back to normal right we're not going to go back to the way that it was before but it's interesting you touched on employee experience and that's a big piece of the conversation right how do we measure output versus you know just time punching the clock how do we give people that that experience that they've come to expect with the way they interact in technology in their personal lives but there's an interesting you know kind of conflict and i think you've talked about it before between employee experience and security because those two kind of inherently are going to be always in conflict because the employee's going to want more access to more things easier to use and yet you've got to keep security baked in throughout the stack whether it's access to the systems whether it's the individual and and so there's always this built-in kind of tension between those two objectives well the tension is because of history security has always been sort of a a second thought an afterthought uh you know you said due to work oh security we'll catch up to it when we need to but now because of the importance of data and the inherently global connectivity that we have the the need for security has is paramount so in order to attract that in order to address that the existing infrastructures had this where we just bolted security on to the existing infrastructures uh this is when they when the data centers and we said well as long as it's in our data center we can control it but then we with this covet thing we'll just burst out of any data center we have to rely on cloud so this this concept of just bolting on security just doesn't work because you no longer own or control the security right so you have to look at the entire platform and have a holistic security approach and it has to go from being infrastructure-centric to data centric because that's the only way you're going to provide security to your data to those remote employees right right and there's a very significant shift we hear all the time we've got rsa uh all the time to talk about security and that's this concept of zero trust and and the idea that rather than as you said kind of the old school you put a a wall and a moat around the things that you're trying to protect right you kind of start from the perspective of i don't trust anybody i don't trust where they're coming from i don't trust their device i don't trust that they have access to those applications and i don't trust that they have access to that data and then you basically enable that on a kind of a need to know basis across all those different factors at kind of the least the least amount that they need to get their job done it's a really different kind of approach to thinking about security right and but it's a standardized approach i mean before present time you would customize security to the individual or 2d organization or component of the organization because you know you knew where they were and you would you would say well they won't accept this so we'll do that so everything was sort of piecemeal now that work is not a location you have to be much more standardized much more focused and being able to track and secure that data requires things like digital rights management and and secure browsers and some of the work that citrix has done with google has really been amazing they they looked at it from a different point of view they said okay where people are always working through the cloud in different locations from from anywhere but they all work through their browser so you know we could and i think this was something that the vice president at google said uh sunil potty i believe uh vice president of google cloud they said well we can capitalize on that interface without affecting the experience and he was talking about chrome so so citrix and and google have worked together to drive sort of an agent-less experience to order to enhance security so instead of making everything location specific or organizational specific they set a standard and they support this intent-driven security model yeah it's interesting sunil's a really sharp guy we've had him on thecube a ton of times uh over the years but there's another really interesting take on security and i want to get your your feedback on it and that's kind of this coopetation right and silicon valley is very famous for you know coopetation you might be competing tooth and nail with the company across the street at the same time you got an opportunity to partner you might share apis you know it's a really interesting thing and one of the the items that came out of the citrix show was this new thing called the workspace security alliance because what's interesting in security that even if we're competitors if you're suddenly getting a new type of threat where you're getting a new type of attack and there's a new you know kind of profile actually the industry likes to share that information to help other people in the security business as kind of you know us versus the bad guys even if we're you know competing for purchase orders we're competing you know kind of face-to-face so they announced this security alliance which is pretty interesting to basically bring in partners to support uh coopetition around the zero trust framework uh yeah absolutely this is happening across just about every industry though you're going away from uh point-to-point relationships to where you're operating and working within an ecosystem and in security just this week it's been highlighted by the uh the trick trick bot um activity this uh persistent uh malware that i guess this week is attacking um health care uh facilities the actual the u.s department of homeland security put out an alert now and this is a threat to the entire ecosystem so everyone has to work together to protect everyone's data and that improves that that is the way forward and that's really the only way to be successful so uh we have to go from this point-to-point mindset to understanding that we're all in the same boat together and in this uh alliance the workspace security alliance is an indication that citrix gets it right everyone has workers everyone's workers are remote okay and everyone has to protect their own data so why don't we work together to do that yeah that's great that's interesting i had not heard of that alert but what we are hearing a lot of um in in a lot of the interviews that we're doing is kind of a resurfacing of kind of old techniques uh that the bad guys are using to to try to get remote workers because they're not necessarily surrounded with as much security or have as much baked in in their home setup as they have in the office and apparently you know ransomware is really on the rise and the sophistication of the ransom where folks is very high and that they try to go after your backup and all in you know your replication stuff before they actually hit you up for the uh for the want for the money so it's it's there's absolutely that's right yeah go ahead i'm sorry i was just saying that's indicative of the shift that most of your workers are no longer in your facilities than now and at home where companies never really put a lot of investment into protecting that channel that data channel they didn't think they needed to right right one of the other interesting things that came up uh at the citrix event was the use of uh artificial intelligence and machine learning to basically have a dynamic environment where you're adjusting you know kind of the access levels based on the behavior of the individual so what apps are they accessing what you know are they moving stuff around are they downloading stuff and to actually kind of keep a monitor if you will to look for anomalies and behavior so even if someone is trusted to do a particular type of thing if suddenly they're you know kind of out of band for a while then you know you can flag alerts to say hey what's going on is that this person did their job change you know why are they doing things that they don't normally do maybe there's a reason maybe there isn't a reason maybe it's not them so you know i think there's so many great applications for applied machine learning and artificial intelligence and these are the types of applications where you're going to see the huge benefits come from this type of technology oh yeah absolutely i mean the citrix analytics for security is really a um security service right um that monitors the activities of of people on the internet and it this machine learning gives you or gives the service this insight no one company can monitor the entire internet and you can go anywhere on the internet so bob working together leveraging this external service you can actually have automated remediation of your users you can put this specific user security risk score so um companies and organizations can be assured that they are within their risk tolerance right right and of course the other thing you've been in the business for a while that we're seeing that we're just kind of on the cusp of right is 5g and iot so a lot more connected devices a lot more data a lot more data moving at machine speed which is really what 5g is all about it's not necessarily for having a better phone call right so we're just going to see you know kind of again this this growth in terms of attack surfaces this growth in terms of the quantity of data and the growth in terms of the the the rate of change that that data is coming in and and the scale and the speed with the old uh you know velocity and and variety and volume uh the old big data memes so again the other thing go ahead the other thing it's not just data when you have 5g the virtual machines themselves are going to be traveling over this network so it's a whole new paradigm yeah yeah so the uh once again to have you know kind of a platform approach to make sure you're applying intelligence to keep an eye on all these things from zero trust uh uh kind of baseline position right pretty damn important yeah absolutely with with edge computing the internet of things this whole infrastructure based data centric approach where you can focus on how the individual is interacting with the network is important and and uh another real important component of that is the um software-defined wide area network because people work from everywhere and you have to monitor what they're doing right right yeah it's really worked from anywhere not necessarily work from home anymore i just want to you know again you've been doing this for a while get your feedback on on the fact that this is so much of a human problem and so much of a human opportunity versus just pure technology i think it's really easy to kind of get wrapped up in the technology but i think you said before digital transformation is a cultural issue it's not a technology issue and getting people to change the way they work and to change the way they work with each other and to change what they're measuring um as you said kobe kind of accelerated that whole thing but this has always been more of a cultural challenge in a technology challenge yeah the technology in a relative sense of you is kind of easy right but it's the expectations of humans is what they're used to is what they have been told in the past is the right thing no longer is right so you have to teach you have to learn you have to accept change and not just change but rapid change and accelerated change and people just don't like change they're uncomfortable in change so another aspect of this culture is learning to be adaptable and to accept change because it's going to come whether you want it or not faster than you think as well for sure you're right well that's great so kevin i'll give i give you the final word as as you think about how things have changed and again i think i think the significant thing is that we went from you know kind of this light switch moment where it was you know emergency and and quick get everything squared away but now we're in this we're in kind of this new normal it's going to be going for a while we'll get back to some some version of a hybrid uh solution at some point and you and i will be seeing each other at trade shows at some point in time in the in the future but it's not going to go back the way that it was and people can't wait and hope that it goes back the way that it was and really need to get behind this kind of hybrid if you will work environment and helping people you know be more productive with the tools they need it always gets back to giving the right people the right information at the right time to do what they need to do so just kind of get your perspective as we you know kind of get to the end of 2020 we're going to turn the page here rapidly on 2021 and we're going to start 2021 in kind of the same place we are today well to be honest we've talked about a lot of these things but the answer to all of them is agility agility agility is the key to success this is like not locking into a single cloud you're going to have multiple clouds not locking into a single application you have multiple applications not assuming that you're always going to be working from home or working through a certain browser you have to be agile to adapt to rapid change and the organizations that recognize that and uh teach their workers teach their entire ecosystem to operate together in a rapidly changing world with agility will be successful that's a great that's a great way to leave it i saw beth comstack the former vice chair at ge give a keynote one time and one of her great lines was get comfortable with being uncomfortable and i think you nailed it right this is about agility it's about change it's we've seen it in devops where you embrace change you don't try to avoid it you know you take that really at the top level and try to architect to be successful in that environment as opposed to sticking your head in the sand and praying it doesn't absolutely all right well kevin so great to catch up i'm i'm sorry it's been as long as it's been but hopefully it'll be uh shorter uh before the next time we get to see each other yes fine thank you very much i really enjoyed it absolutely all right he's kevin l jackson i'm jeff frick you're watching thecube from our palo alto studios keep conversation we'll see you next time you
SUMMARY :
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Tamara McCleary, Thulium | Citrix Workspace Summit
>> Announcer: From theCUBE Studios in Palo Alto and Boston, connecting with thought leaders all around the world, this is a CUBE Conversation. >> Hey, welcome back, everybody. Jeff Frick here with theCUBE coming to you from our Palo Alto studios for a CUBE Conversation. We're talking about the Citrix Workspace Summit. It happened earlier today. And we've got one of the experts in the field, CUBE alumni and always a really fun guest to have on. Let's give a welcome to Tamara McCleary. She's coming to us from Colorado. She's the CEO of Thulium but you know her from social media and seeing her at all the conferences and speaking. And Tamara, it's great to see you again >> Jeff, it's so good to be here. Hey, next best thing to being in person, right? >> Absolutely. I mean, there is some good stuff. Neither of us had to get on an airplane today and we were able just to connect via the magic of the internet, which I think people forget how magic it truly is. So I looked up, we last spoke, it was mid-April. We were about a month into this thing after the kind of shutdown. And really the topic there was about this light switch moment on the work from home front. Now we're seven months into this, eight months into this, and clearly it's not going away anytime soon. And even when it does, it's not going to go back exactly to the way it was. So first off, how are you doing? 'Cause I know you spend a lot of time at conferences and traveling all over the world, so your life's been changed quite a bit. And then two, just your kind of perspective as we've moved from the light switch moment to the, that this is the new normal and will be the new normal going forward. Maybe not exactly how it is today, but we're not going back to the way that it was before. >> You couldn't be more spot on, Jeff. In fact, when you said April, to me, it almost feels like not seven months. It feels much longer ago. And since the last time I got on an airplane was the end of February, and that was a huge disruption to me in my life. I had always been in three, four cities a week, every week, and haven't traveled on an airplane since February. So the world is different, and it has shifted, and there's no going back. We can't step in the river twice and hit that same spot. I totally messed up that quote, but that's me. You're used to that already. >> Jeff: Exactly. >> But some things don't change. But I think when we look at work, and what we were talking about back in April is that now we're looking at the potential for kind of a hybrid approach, whether we're talking about work or even kids, some kids going back to school, there's a hybrid approach. And with that comes its own set of complexities that we have to consider. So not only has the culture shifted into a place where you have your workforce who has gotten used to working remotely, and there's a lot of things with working remotely that we didn't have when office was the centrical focus for the workplace. So there's a lot of flexibility when you work from home. And I think one of the interesting things with the Citrix Workspace Summit was when CEO David Henshall talked about how it's the people, right? So it's our workforce, our employees who are our most valuable, but also our most costly assets. So we have to make sure that the employee experience is one that is pleasing and helps us to have not only talent acquisition, but also talent retention in a really dynamic, competitive atmosphere. And I'm sure I just posed this question so we could go a million different places with this. Where do you want to go with it, Jeff? >> Well, I was going to say, and of course we can go forever, and we don't have forever, so at some point we'll have to stop talking at the end of this interview. But I just love having you on. And what I want to drill in is as we've talked about the new way to work for a very, very long time. This is not a new topic. And we've had remote work tools and we've had VPNs and we've had mobile phones now since 2007, but we didn't have this forcing function, and I think that's what's really different here is that now it wasn't a choice anymore. There was no more planning and talking about it and maybe or maybe not. Work from home was kind of a first-class citizen in terms of priority. COVID changed all that dramatically overnight. And it's driven home this other kind of concept which we talk a lot about generically in terms of the customer experience as they interact with our applications, which is the way that now they actually interact with the company. And we've talked a little bit about new way to work, but now it's really driven to the forefront, because as you said, there's a lot of benefits from working from home. You could eat dinner with your family, maybe can pick up a few more of the kids' activities, whether it's a sports game in the middle of the afternoon or something in the evening, but there's also a lot of stress. There's a lot of kind of this always on and this constant notifications, whether it's coming from email or text or Slack or Teams or Asana or whatever. So refocusing on the employee experience and elevating that up into a much more important thing, as you said, for both wellness and employee satisfaction, but also retention and getting new employees. It's really changed the priority of that whole set of, kind of point of view around the employee experience that wasn't there kind of pre-COVID. >> Absolutely. And I think you just tapped onto something that I think affects all of us who are juggling these multifaceted lives, and that is the constant interruption and distraction, and that costs money. And I think about that as the CEO of our organization is that how many of these distractions could be avoided to create efficiency and productivity. It also creates happiness for the individual. I don't think anybody likes to be constantly distracted, but when you have a bunch of different applications and you don't have them in one accessible place and you're constantly having to flip between these applications, it can cause a lot of friction and frustration. And I think genuinely that was my very first introduction to Citrix was the ability to really streamline and have everything in one place on a beautiful dashboard that was personalized to the individual. Not everybody in the organization needs to have all the applications, right? Some of your employees only need a few, and it just depends on who they are and what they're doing within the organization. And so I think decreasing that friction, making it easier for people, and certainly ensuring not only a frictionless experience at home but also ensuring security is huge. I mean, how many times have we talked about cybersecurity is not a bolt on afterwards. It has to be all the way up through the stack. And certainly we did have an increased threat landscape with work from home situations because there were all these security breaches and issues and vulnerabilities. So I know we're not talking security today, but I'm wild about it. But I think that all of these things, what I like about what Citrix is doing, and I enjoy the Summit, is the fact that they're blending everything into a single solution so that it just gets done. Work gets done from wherever you are, whether you're at home, you're in office, or in your car, work gets done. >> And not only work but I thought the theme that's interesting that came out in David's keynote is our best work. It's good work and high-value work. And there's really kind of two aspects of that. One, as you just said, is please help me with the distractions and use machine learning and artificial intelligence and this unified platform to decide whether I should or should not be distracted. Also help me prioritize what I should be working on kind of right now, which, again, a great opportunity for AI and ML to elevate that which is most important to the top of my inbox. But even more in one of the keynotes was integrating the concept of wellness, and not just wellness in the HR manual at the back after vision and dental and getting your health checks, but wellness even where the application suggests that you take a two-hour window in this particular period of time to be thoughtful and do some deep thinking. And someone mentioned the people we talk about in automation and getting rid of drudgery and errors and all the bad stuff that comes from doing crappy work, not only is it not fun, but super error prone. This is a really different to use technology to help the employee, as you said, not only just get work done, but get good work done, get high-value work done, prioritize good stuff, and not just deal with the incessant henpecking that is the notification world that it's really easy to fall into if you don't turn some of that stuff off or at least tone them down a little bit. >> That's so true. I don't know if you saw this, but there a study by Stanford of, I think it was 16,000 workers, and over a nine-month period, they did this study, and it was a study looking at work from home and whether productivity was increased. And every, 'cause at first you remember what it was, Jeff. I mean, in the old regime, we would thought, oh dear, we don't want a remote workforce because everybody's going to be hanging out in their pajamas and screwing around and not doing work. And that's not true. What ends up happening is that this study showed that productivity increased by 13%. And, I mean, that's huge, right? So there was a huge bump in performance. And in this particular study, the variables that they cited was perhaps that they had a quieter workspace. I mean, you're not getting barraged by all the endless meetings, unless you have endless Zoom meetings, but that's a whole nother conversation. But you're having more time to focus and flexibility on when you work, which also increases focus. But I thought what you mentioned, the wellness piece was important, because then if you look at other studies, there was a Forbes article that cited that the average worker starts at 8:32 a.m. or something like that and works until 5:38 p.m. And I think the days of the week that were the most productive were Tuesday, Wednesdays, and Thursdays. But this was interesting, I thought. Telephone calls were up by 230%, so the calls that employees were making, and CRM activity was up by 176% and email up by 57% and chats up by 9%. So what we're seeing is that people are trying to find creative ways to remain connected and communicate, but in different ways. And I think that's where the wellness piece comes in and kind of what you were saying with that. I think it's a microapp that Citrix has on their Workspace, their workspace dashboard that pops up a reminder and says, hey, you think you should take a break or get up from your desk. But I think that what's nice about that is it's easy to get sucked into your computer all day. I'm guilty. I will definitely say I can start off pretty darn early in the morning or usually around by five and go till late at night. But, and it's all in front of the computer screen. So maybe I need that Citrix workspace solution to tap me on the shoulder and tell me to go take a meditation break. >> At least one of those watches that'll tell you to get up and twist around. Well, let's shift gears a little bit. They had Satya Nadella on, and Satya is a phenomenal executive, been super successful turning that big, very large boat, Microsoft, into really a cloud company and a SaaS company, and nothing but great success. Always happy to hear him. He had some interesting comments I want to run by you. One of them he said is we were dogmatic about work before, but don't replace what we were with just a new dogma. And what he really highlighted, A, obviously without the technology platform and cloud and all these tools that we have in place, this couldn't have happened. But more importantly, he said it really highlights the need for flexibility and resiliency, and to really, again, kind of elevate those as the first class citizens as to what you should be optimizing for. And really the highlight within this sudden shift with COVID that if you've got those capabilities, you're going to be successful, and if you don't, you're in real trouble >> I'm glad you brought Satya up, because he also said something really cool that I think is true, and that is we are running right now, currently we are running a global scale experiment. Do you remember him saying that? >> Yeah. >> And it's so true. I think right now the social scientists are going wild because finally they've got their captive collection of their study, their guinea pigs. But the other thing he was saying, too, is that we're going to be harnessing all these technologies to be able to re-skill and up-skill. And how long have we been talking about this, Jeff, with the future of work, that it will be a re-skilling and up-skilling of the workforce. He even mentioned holographic technology. He didn't go into it, but just the mention of it got me thinking about how we are currently using some of those nascent technologies to be able to up-skill and re-skill our workforces and also protect a workforce that doesn't necessarily need to be on scene on the edge of it all. And then he gave an example of an engineer being able to communicate with a first-line worker without having to be actually in the physical presence. And so I think this crucible that we're in called a global pandemic, forcing our hand, really, to do all the things that we've been talking about at all these conferences that we've been to, for me, maybe the past two decades, is that it's show, don't tell. So we're not talking about it anymore. We actually have to do it. And another thing that Satya said was that nine to five is definitely not true anymore with work. It's flexibility. And it's really... He also mentioned this EEG study into meeting fatigue. >> Jeff: Yes. >> I thought it was pretty wild. An EEG study into meeting fatigue. And I bet even without reading that study, all of us who are on video conferencing systems can probably tell what the outcome of that was. But concentration wanes very quickly. In fact, I think in that study it was after 20 minutes. But, so kudos to Citrix for putting on their summits, because did you notice for once we had the enjoyment of all these just really contents, deliciously packed segments that were short. >> Jeff: Right. >> Whereas at live events, they went on way too long. I mean, even customer stories went on way too long. And I really love the staccato nature of these customer stories and partnerships and what was working, and I just thought that they did a really nice job, and it was interesting because it met perfectly with staying underneath that 20-minute window before attention wanes. >> Right, right. And they even broke it up into three conferences, right? It was Citrix Synergy before. >> Right. >> Now it's workspaces, it's cloud, and then the third one will be security. But I want to double down on another concept. We talked about it last time with you and with Amy about measuring work and about kind of old work paradigms in terms of measuring performance that were really based more on activity than output. And this concept that work is an output, not a place. And it kind of makes you think of talking about cloud and a cloud-centric way of thinking about things. It's not necessarily the delivery method. It's about adopting quick change and rapid pace and having everything available that you need anywhere you are at the same time. So it seems strange to me that it took this to drive people to figure out that they should be measuring output and not activity. And were some early applications that came out when this all went down that are going to report back as to how often are you looking at your Zoom calls and how often are you sitting in front of your desk and all this silly stuff that just, again, misses the point. And I think this whole employee experience is, as you said, make 'em happy, make 'em feel fulfilled. They want to do meaningful work. They want to do high-value work. They just don't want to be an integration machine between the email system and the accounts receivable system and the accounts payable system. There's so much of an opportunity to get more value from the people, which, oh, by the way, makes for happier people. So do you think finally we're at a point where we can start getting away from just measuring activity unless that's your job to put a widget on a screw and really focus on output and high-value output and innovative output and deep thinking output versus just checking another box and passing the paper down the line? >> You know, Jeff, that reminds me of what Erica Volini, I think she's global human capital practice at Deloitte. I really loved her presentation. I also like the fact that I felt like she was speaking from her home, and she mentioned she's a new mom, and so there was this warmth and connection there which also I think is something really that we don't think about being, but it is a gift since we've all had to work from home is being able to see kind of executive individuals in a regular environment, and it humanizes it all, right? She said something really interesting in her talk. She was talking about rearchitecting the future of work, and she was talking about essentially, the premise was that human beings need, crave, have to have work that's meaningful and real. And part of this whole experience piece, part of this removing the friction from the experience of the employee and providing opportunities, stimulating growth opportunities for employees to give them that sense of meaning. But also she talked about the relationships. I mean, work is a huge part of the relationships in our life. And so this meaningful relationships and connections and in her architecting the work of the future, it's harnessing technology in service to humans to do a better job. And I think the word she used was augmentation, right? So the augmentation piece would be as we think about reinventing or re-imagining or re-architecting, we look at what's going to happen when we have the human working with the machine, but the machine in service to augmenting that human being to do, potential is what she was talking about, to really reach their potential. And so it's not about being replaced by technology. It's not being replaced by artificial intelligence, with machine learning algorithms. It's actually working in tandem so that technology potentiates the human that is using the technology. And I think that was a really good way of putting it. >> Right, right. I mean, we talk, it's one of our taglines, right? To separate the signal from the noise. And the problem is with so many systems now, and I forget, you may know off the top of your head, the average number of applications that people have to interact with every day to get their job done. >> Too many. >> Too many. >> Too many. >> It's a lot. So, so there is a lot of noise, but there's also some signal. And so if you're not paying attention, you can miss the signal that might be super, super important because you're overwhelmed by the noise. And so I think it is a real interesting challenge. It's a technology challenge to apply the machine learning and artificial intelligence, to sort through the total flow, to be able to prioritize and separate the signal from the noise to make sure we're working on the stuff that we should be working on. And I think it's a growing challenge as we just seem to always be adding new applications and adding new notifications and adding new systems that we have to interact with versus taking them away. So Citrix has this approach where we're just going to bring it all in together under one place. And so whether it's your Salesforce notification or your Slack notification or Zoom meeting, whatever, to have it orchestrated as a single place so I don't have 18 tabs, 14 browsers, and two laptops running just to get my day job done. >> You're going to make me self-conscious of all the tabs I have right now. Thanks a lot, Jeff. But, it's kind of, I like hearing stories, right? I think stories communicate to me kind of these practical applications. And I think Citrix did a brilliant job in the Workspace Summit of highlighting some of these customer stories that were really inspiring during the pandemic. One of 'em was City National Bank and Ariel Carrion? This is a test of my memory. He's the CTO, right, of City National Bank. And he's talking about that they had already had a partial migration to the cloud prior to the pandemic. So obviously there was an advantage for those organizations that already had their toe in the water. So, but when the pandemic hit, then it really catalyzed that movement all the way into the cloud and essentially creating a digital bank. And what was really interesting to me is that they funded 9600 loans and taking on new clients during that time of transformation to a digital bank. And one of the coolest things that he said to me was that in a regular program, it would've taken, mind you, get this. It would've taken 14 years, 14 years to accomplish what they did in three months. >> That's a long time. >> I was blown away, right? Just to me, that speaks a lot, because what we're talking about here is their clients are small business, and who do you think was impacted most during the pandemic? Small business. So the ability to get loans was critically important to the survival of a lot of companies. And the same story they had with eBay and David Lessor was talking, he's a senior manager in the office of the CIO, I think I remember. And he was talking about how obviously eBay is a digital platform, right? But if you think about the pandemic when we were all had these shelter in place orders, lots of people were able to still make money and earn a living because they were able to do business on eBay. And both eBay and City National Bank are obviously customers of Citrix. But I just found this to be really inspiring, because for eBay pre-pandemic, it was like, I don't know. I think they said they had 11,000 connected users prior to the pandemic, and a lot of those were in physical call centers. >> Jeff: Right. >> And then post-pandemic, I think he was reaching, saying end of Q4 was going to be something like 14,000 connected users. That's huge from 11 to 14. >> Yeah. >> And again, to your point, it's kind of forcing our hand into really not only pivoting, but increasing our speed in this ever-changing dynamic environment. >> Right. >> You know, one of the other things that came up, before I let you go, that it's always nice to have frameworks. Sometimes it just helps us organize our thoughts and it's kind of a mental cheat sheet. And they talked about the four Cs, connectivity, content, collaboration, and culture. And I would have to say they're in inverse order of how I would potentially have prioritized them. But I just wanted to zero in on the culture piece, 'cause I don't think people focus enough on culture. And one of the things I think we talked about in April, and I've certainly talked about a number of times going through this thing in leadership in these crazy times is that the frequency and the type and the topics in communication within your internal world have gone up dramatically. I think we had the, we had a CMO on the other day, and she said internal comms, this is a big company, prior to COVID was important, but not that important within the list of the CMO's activity. But then once this thing hit, right, suddenly internal communications, again, in terms of frequency and the types of topics you're talking about and the forums that you talk about and the actual vehicles in which you talk about, whether it's a all hands Zoom call or it's more frequent one-on-ones with your manager, really, really increase the importance of culture, and then I think probably is going to show over time the people that have it right, getting some separation distance from the people that got it wrong. I wonder if you could just talk about, 'cause you're a big culture person and you know how important the people part of the whole thing is. >> Yeah, culture drives everything. You're right. And that was Citrix's CIO who gave those four Cs, I think, Meerah Rajavel. >> Yeah, yeah. >> She gave those four Cs. And you couldn't be, you couldn't have tapped into something that I think is the soft underbelly of the organization, which is what is the culture. And anyone who's worked in an organization with a sick culture knows that it's just, it's cancerous, right? It grows and it causes decay. And I don't care how much innovation you have. If the culture is sick, you just, you're going to lose your best people. It's hard to work in a sick culture. And so I think what we had to do is when we all started working remotely, that was a culture shift, because we were siloed off of it. We weren't actually hanging out in physical space. Some of the things that we enjoyed about meeting with other human beings physically changed. And so it really behooved organizations to take a look at how they were going to foster culture digitally, how they were going to create that sense of bonding between not only those within your departmental area, but cross over into other areas. And I think that creating that culture that says I don't have to be in the exact same physical space, but we can still connect. I mean, you and I are doing this. We're not in the same physical space. >> Jeff: Right. >> But I'm still going to feel like we met today. >> Jeff: Right. >> You can create that for your employees. And it also means that we learned that we don't have to be in that same physical space, right? And I thought that was a really interesting position when Hayden Brown, the CEO of Upwork, was talking at the summit and saying that even when we look at creating culture with employees who aren't necessarily, maybe it's a workforce from all over the world that you're using, a remote workforce. And when you're using things like employees, if you've got work to do and you can find a really good talent and you can grab them for what it is that you need, you're actually increasing your ability to be able to deliver on things versus having to worry about whether you have that person in house, but you still can create that culture where everyone is inclusive, where someone can be in Australia and someone's in San Francisco and someone's in the UK, and you still have to create a cohesive, inclusive culture. And it matters not anymore whether or not you are a full-time employee or if you're a contract worker. I think in today's space, and certainly in those future of work conversations, it's more about, to the very first thing you said at the beginning, it's more about output. How's that for tying it back up again? >> Jeff: Yeah, very good. >> And that was totally unplanned. But it is about output, and that's going to be the future of work culture. It's not going to be the title that you have, whether or not you're a full-time employee or a part-time employee or a contract worker. It's going to be who are you meeting with? Who are you having these digital interfaces with and Slacking with or using any sort of platform application that you want to use. It's remaining in touch and in communication, and no longer is it about a physical space. It's a digital space. >> Right, right. All right, well, I'm going to give you the last word. You are a super positive person, and there's reasons, and for people that haven't watched your TED Talk, they should. I think it's super impactful and it really changed the way I look at you. So of all the negatives, wrap us up with some positives that you see as we come out of COVID that going through this experience will make in our lives, both our work lives as well as our personal lives. >> Well, since you're going to allow me to go deep here, I would say one of the things that COVID has brought us is pause. It caused us to go in. And with any dark night of the soul, we have to wrestle with the things that are real for us, and the things that fall away are those that were false, false perceptions, false ideas, illusions of even thinking who we are, what we're doing. And we had to come home to ourselves. And I think one of the things that COVID gave us through uncertainty was finding a center in that uncertainty. And maybe we got to know our beloveds a bit more. Maybe we got to know our kids a bit more, even if they drive us crazy sometimes. But in the end, I think maybe we all got to know ourselves a little bit more. And for that, I think we can harness those seeds of wisdom and make better choices in the future to co-create together a future that we are all pleased to wake up in, one that is fair, one that is equal, one that is inclusive, and one that we can be proud to have contributed to. And that's what I hope we've taken from this extremely hard time. >> Well, Tamara, thanks for sharing your wisdom with us. Really appreciate it. And great to see ya. >> Good to see you, too, thank you. >> All right, she's Tamara, I'm Jeff. You're watching theCUBE. Thanks for watching. We'll see you next time. (bright music)
SUMMARY :
leaders all around the world, And Tamara, it's great to see you again Jeff, it's so good to be here. And really the topic there was about and that was a huge that the employee experience and of course we can go forever, and that is the constant and all the bad stuff that and kind of what you and to really, again, and that is we are running right now, And so I think this crucible that we're in And I bet even without reading that study, And I really love the staccato nature And they even broke it up and passing the paper down the line? And I think that was a really And the problem is with and separate the signal from the noise that he said to me was that And the same story they had with eBay I think he was reaching, And again, to your point, and the forums that you talk about And that was Citrix's CIO Some of the things that we enjoyed about But I'm still going to and someone's in the UK, and that's going to be the and for people that haven't watched and one that we can be proud And great to see ya. We'll see you next time.
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Breaking Analysis: 2H 2020 Tech Spending: Headwinds into 2021
>> From theCube Studios in Palo Alto in Boston, bringing you data driven insights from theCube and ETR, this is breaking analysis with Dave Vellante. >> As we reported in our last episode tech spending overall continues to be significantly muted relative to 2019. Now, our forecast continues to project a 4 to 5% decline in 2020 spending, and a tepid 2% increase in 2021. This is based on the latest data from ETR surveys of CIOs and other it buyers. Nonetheless, there continues to be some sectors and vendor bright spots in what is generally an overall challenging market. Hello everyone, and welcome to this week's Wikibon Cube Insights powered by ETR. My name is Dave Vellante, and in this breaking analysis, we welcome back Erik Bradley from ETR to provide added color from my solo flight from last time. Erik always a pleasure to see you, thanks so much for coming back in theCube. >> I always enjoy it. Happy Friday Dave, We're almost through. >> Happy Friday. They just blend together. Guys, if you would bring up the first slide, I just want to summarize the situation. This is from ETR's latest findings, I just extracted some. And I want to go down very quickly, Erik, and then get your take. As I said, technology buyers expect the downturn for 2020, but this quarter, coming into fourth quarter, minus 3.2% was ETR's forecast, that's year to year spending decline and a 2% uptick in 2021. Now, Erik this is slightly, what I call it slightly less bad, relative to last quarter. So sequentially it's less bad. >> Yeah, there's a couple of things to break down there. So first to begin with, beginning of the year, when we launched not only our spending attention surveys, we did a simultaneous COVID impact survey, and that's where we caught originally a 5% decline was expected. So although negative 3.2 was probably the worst quarter over quarter lapse we've seen, as a matter of fact it is the lowest drop we've had theory, going into 2021, the IT people that we've actually surveyed are actually expecting a 2% increase. So there is a reason for optimism, but if we're looking at the current data set, there is no doubt the picture remains a little bit bleak. We can go into different sectors and vendors where they are impacted, but I think maybe if you're willing, I think it might be worth just sort of breaking down the demographics of the survey a little bit and how we got to that 3.2% survey over survey decline. >> Yeah, and we have a chart on that. But before we get that, I just wanted to lay out some of the other key points of your analysis. The other one, which is we talked about this in the last episode, we call it a slow thawing. Hiring an IT project freezes are thawing, with fewer companies expecting layoffs. So that gives us some bright spots, but there are definitely a widening bifurcation between vendors gaining share and those who are donating share. And then, you know, again, relative to last quarter survey we're seeing government and education and fortune 100, you guys are showing the deepest cuts from the last survey. Where's IT Telco, retail and retail consumer are showing a little bit more stability. And then of course you talked about the work from home which we've covered doubling from pre pandemic. Pretty interesting findings from your COVID survey. >> Yeah, it's a fantastic, and this is the fourth iteration of this survey that we've done now. So we've been able to track it very quickly, launched it in the field when we realized the true impact of what was happening in early March. This is our fourth version, and we've been able to track it overall. Yes, without a doubt government, education are being the biggest impact, the biggest declines without a doubt. Now, clearly the caveat to that is if there's any sort of government policy maybe those could actually help a little bit, but for right now, those are getting hit the most. Retail consumer is fairing much, much better, and the IT companies, as generally, we're seeing in the market as well, they can, you know, are still spending money and still moving. But the reason for optimism actually comes from multiple metrics. And I will say, we have caught a bottom on all of the negative metrics at this point. Now, who knows what will happen the next time we do it, right? The world is always fluid. But based on this, this is our fourth iteration of this survey, whether it be IT projects being frozen, whether it be layoffs, whether it be just overall expected budget increase, everything looks like it is already bottomed and there is some optimism going into 2021. Of course, the January survey that we launched will be able to corroborate that hopefully, and we'll have much more granularity into those findings at that time. >> Great. Okay, now let's get into the demographics that you referenced for. This next slide shows those. The record number of respondents Erik, congratulations on that. And so take us through the makeup of the survey respondents guys, if you bring up this next slide. >> Yeah. So for the October 20, what we're really doing here is we're asking the it decision makers to update the survey responses they gave us in July. We're basically saying, okay, you thought you were going to spend this in the back half, what did you actually do? And in this particular survey we had 1,438 qualified IT decision makers get involved. That's 60% of the fortune 100 is represented, almost a quarter of the global 1000, and we had about 35% of the fortune 500. The industry breakdown is all across the board, whether it's financials/insurance, IT/Telco, we have industrials/manufacturing, we have energy/utilities, we have government. So it's really a great cross section. Now, geographically, that tends to be about 80% North America. We are heavily concentrated in that area, but we also have a 12% EMEA, 5% APAC and remainder is Latin AmErika. If there were any visibility concerns at all would probably be in China. It's just not that easy to get qualified IT decision makers from China to respond to us. But that's an area we are working on going forward, but overall a huge survey response, certainly meaningful end, and we're very happy with the data that we collected this time. >> Okay, thank you for that. Now, I want to go into the next graphic here, and I want to look at how net score has changed over time. And I want to remind people that, so this slide basically goes back to 2016, and shows some ebbs and flows and then some real strength coming in, 'cause you see 17 and 18, and you may forget going into Q4'19 and into 2020, the ETR data was telling us, hey, things are going to slow down a little bit. It's hard to remember that. And so, and the thinking back then was okay, last couple of years, people have spent a lot on digital transformation, and would a lot of experimentation, they were hanging on to their legacy stuff, and with all that technical debt and they were experimenting with a lot of the new technologies. And what we saw coming into Q4 2019 was people beginning to unplug some of that and making bets basically, unplugging some of the legacy stuff. Oh, and by the way, maybe saying hey, the new stuff that we tried didn't work, we're going to do less experimentation. So we saw a somewhat depressed next score, and you can see that in here coming into 2020, and then of course COVID hit and you can see the bottom fell out. But wow what a drop, I mean, that says it all, a lot different than what we're seeing in the stock market. >> Yeah, first of all, just a great recap on what we caught last year. Really well done. So at that time there was concurrent spending. There was a lot of proof of concepts being done. People weren't exactly sure how to transition off, how fast they were going to get into the cloud, how fast they could make that digital transformation. And they were kicking the tires on everything, and there was a ton of spend. It was the golden era of IT spending at the time. But we did catch that some of that was coming down. So what we will see now is obviously that spending was going to cool off either way, but now with the global pandemic impact hitting what we've caught, of course, is the biggest survey over survey decline. 3.2% was matched at one other point in our survey's history, but that was at very elevated spendings, so that drop was not as meaningful. When we're seeing from a more baseline that drop right now is extremely seasonal, and extremely meaningful, my apologies. Now, I do want to make a quick caveat that usually the October survey catches some seasonality, because a lot of people have expected spend in the back half that doesn't always materialize. But make no mistake, this is way beyond our normal seasonality. This trough is a real metric. >> Yeah, and when I talk to buyers and I talk to even salespeople, for if you want the truth, you'll talk to salespeople, if you can get the truth out of them, which you usually can. Sales and engineering, that's really if we want to know what's happening in companies, but they will tell you that their visibility, same with the buyers, they're saying, look, I think I'm going to spend and I think I'm going to get approval on it, but the normal buying signals, you kind of have to take with a grain of salt because it's, the buyers don't know the sellers don't really know. I mean, they think they've got reasonable visibility but things change so fast as we know. So you have to be really, really careful. All right, let's drill in to some of the sectors, and that's really the next two slides, guys, if you bring up the first of the next two. So this shows the change from July to October. So the last survey to this survey, 2020, and the green bars of July, yellow bars are October. And you can see right away, jumps out at you, container orchestration and ML and AI, and we've got some other data on this jump right off the charts. They're still elevated levels, so that's a real positive. You can see AI actually, maybe waning a bit, and I think that's probably, Erik, is a lot of it is just, you don't even see it, it's just embedded. But take us through this first chart and then we'll dig into some of these sectors. What are you seeing? >> Yeah, certainly. So from a sector breakdown point of view, that lesson, none of them were spared, let's be honest, right? There's a slow down in spending. But containers and containerization were by far the most stable. So clearly this is a priority. People are recognizing that they need to go that route. Nobody wants to be tied to any particular cloud provider. So container and containers are moving the best, they are looking about as stable as they can be. When we drill down a little bit further in there, we're seeing Kubernetes of course, Microsoft and AWS really supporting in that sector. Now, when you talk about the ones that had the biggest survey over survey declines, we are looking at ML/AI, but like you said, still elevated spend. So even though there was a big survey over survey decline, the overall spending intentions are healthy. Nobody is getting away from it. Also to corroborate that in the COVID impact study, we asked people, given the current situation where their priorities are, and unfortunately in that area ML/AI and the RPA we're actually not positioned as well. So it actually corroborates the COVID impact survey, corroborates what we're seeing here in our larger intentions. Now, when you look at ML/AI, Microsoft is still very well suited in that area. Virtualization was another big area that dropped, which was interesting because I think the immediate COVID impact and the work from home, we saw a little spike there. I think we definitely saw companies like Citrix, right? F5 and Nutanix and AWS workspaces. They all had a really good impact, positive, when we first hit, but virtualization is dropping quite a bit there. And again, no surprise, Microsoft is well positioned as well. And then lastly, enterprise content management also had a big, big drop-off, and there you're looking at Adobe Box, Open Text, those are the type of companies that seem to be having the biggest survey over survey decline and ECM. >> Yeah. And I just want to make a comment on this first of the two slides. Is you see security, it's okay, there's a little bit of decline, but there's the story of the haves and the have nots. If you're an end point security, you're in cloud security, you're in identity access management, there's some real tailwinds for you right now. You're seeing that with Octa, CrowdStrike and Zscaler, SailPoint, you know, had a really good quarter. So that's the story of kind of the, a mixed bag. If you go to the next slide, guys, what jumps out here on the second sector breakdown, and Erik you alluded to this as RPA, very elevated, although down, somewhat still, again, very elevated and cloud computing. I mean, that's all everybody wants to talk about. This is a large market that continues to grow very, very fast. >> Yeah. It's a A2 cloud, right? I mean, even the cloud, we're kind of shocked and we saw that too. But, you know, again, it's still a healthy survey at 4Cloud. Spending is still there, but what we are seeing is a pretty big survey over-serving decline that is probably, if you had to translate that, it's going to show slower growth. Still double digit growth, but slower than we expected. And interestingly in the cloud, again, Microsoft is very steady, GCP steady. We saw AWS soften a little bit, and that's something that I think we need to keep an eye on there, we are seeing some softening trends. IBM and Oracle, unfortunately, no matter how hard they push, it doesn't really seem to be making a dent, at least with our it decision makers that respond to the survey. But one thing that was interesting was VMware on AWS actually looked much, much better than VMware alone. So on the cloud side, those are pretty interesting takeaways. >> Yeah, we talked about that a couple of episodes back as the, well, couple of things to pick up on your comments. You mentioned IBM and Oracle, they're just so large, they're growing businesses are not growing fast enough and they're not large enough to offset the decline and their declining businesses. Yet they're huge, they have, they throw off a lot of cash and so maybe their stock's not going through the roof, but they're pretty stable companies from that regard. I wonder, maybe AWS is starting to hit some of those, the law of large numbers. I mean, it's still growing very, very rapidly for a 45 plus billion dollar organization, still growing well into the double digits, so it just gets harder. And then, but the other thing I wanted to pick up on is you mentioned VMware cloud on AWS, we're seeing those hybrid solutions really start to pick up the multi-cloud solutions, which I was a real skeptic a couple of years ago 'cause it wasn't really real, now becoming real. And I think when you talk to, you know this well from your Ven discussions, people are looking at options for cloud. They want multiple clouds, the right horse for the right course, they want to reduce their risk, they want to ensure exit strategies and some clouds are just better at some things than others. >> Yeah, completely agree. And as you know, I do interview a lot of these IT decision makers that we survey to get a little more granularity and to dig into the details, and you and I just, great example. We did a session on Data Warehousing as a Service, we're at Snowflake. And the main reason that people love them is 'cause they have cloud portability. They can move across multiple clouds. Nobody wants to be tied to one cloud provider, they need to be agnostic. And if you look at, you know, something like Microsoft, right? Their Software Suite is fantastic. So most people are going to be aligned for them. They provide great active directory, the enterprise applications are absolutely incredible. But if you're looking to do straight ML/AI or straight data warehousing, maybe AWS Redshift, maybe Google Big Query might be a better fit for you. There's no reason to be tied into one. So what we're seeing more and more is those vendors that offer cloud portability or hybrid availability to do some on-prem for security, some cloud, they're really taking a step up in our recent surveys. Another comment you made Dave, if I can just backtrack to it is, you kind of mentioned how some of the vendors are taking more and more share. We are continuing to see this theme of a widening bifurcation, where although the overall spend that pie is shrinking, the leading vendors are taking much bigger slices from that pie. And that is continuing across the entire year. >> Yeah, definitely a time of disruption. So thank you for bringing that up. Okay, the next graphic I want to show you is actually a motion graphic, and what we're showing here is one of our favorite views. On the vertical axis you've got net score, remember, net score, essentially ETR, every quarter like clockwork asks customers are you spending more you're spending less, it's more granular than that, but essentially they subtract the red from the green and that leaves you with net score. So the higher the net score the better on the vertical axis, on the on the horizontal is axis is market share, its presence, its pervasiveness in the dataset. So you want to be up into the right, of course, like all these charts and XY's. And what we're showing here is, we go back to October, 2018. Remember this is the October survey and you can see the movement and what's happening. And a couple of points here really is one is container orchestration and container platforms, cloud, RPA, ML, they all stand out. And now we, you can see the the context of their "market share" as well, and you see that bunching, you see some of the Legacy stuff, the more mature markets like storage and PC tablets and laptops. They don't have a huge next or outsourcing, not a big net score, but they're there and they're kind of bunched up, down in the middle. But you can also see how they've slowly got depressed over time, even the elevated ones. Nobody in the recent survey is over a 60% net net score. I think you guys said that the overall net score was the lowest in history. So this is just a good way to visualize the various sectors and how spending, momentum and share is shifting. >> Yeah, that's a very good point, and you are right. The overall survey net score is actually 25.3% and it is the lowest ever we've captured. So that actually is translating into what we expect to be single digit declines in overall growth in IT budgets, which again is in line with what we've been saying. We caught early on about negative 5 1/2, that is improved now it's in this quarter to about negative 3 1/2, but if you look at the mid point here, we're very clearly in mid single digit declines, and the entire area is being impacted. Now, there are certainly some areas that are more important than others, there's no doubt about it. But yeah, outsourcing is one you mentioned, absolutely getting decimated. Nobody really has the money right now to be doing IT outsourcing, that's just not a priority. The priority is remote connectivity, remote security, how do I get identity access and governance to make sure that my employees are doing what they're supposed to be doing, even though they're not on my network anymore. All of those things are continuing. And as you saw on the COVID-19 Impact Survey, they're not going away. You had mentioned on a solo session you did, I think a week ago, where you have cited our data saying that permanent workforce is going to double from where it was in pre-pandemic levels. So that means a lot of the people that slapped a bandaid on their networking to get their employees to work from home, that bandaid solution is not going to work. They need to find one that's permanent now. So the areas of spend, although it is declining, there are very clear delineations of where that spend is going. >> Yeah, I want to just pick up on something you said about the work from home doubling, 'cause I've shared that data with some folks and had some discussions. We're talking about people that work from home, not come in a couple of times a week, this is the work from home component. And so I think the hybrid is going to increase as well, but the hardcore work from home, I think it was mid-teens, 16% or something doubling in the post pandemic was the expectation. And again, I just wanted to sort of clarify that I think your data there is quite good. How about some of the vendors? I think, now that's Snowflakes public, you guys may be doing some forecasts there. Let's start there. >> Sure, yeah. So it's fun to talk about the high level, right? And talk about the sector breakdown and where we're seeing things, but at the end of the day, people just love to talk about the individual vendors. So there's a few things that were interesting, yeah. We were able to finally come out with a real viewpoint on Snowflake now that they're out in public, and we kind of launched with a positive to neutral viewpoint. I don't think there's going to be anything here that shocks you. We're absolutely outstanding expansion rates. All the commentary we get from our CIOs are just incredible, the market share gains are about as high as you're going to see in the survey, they are extremely well positioned to continue executing, and this is not in the data set, but we also know that that management team is fantastic. I would think that they had set themselves up coming out as a public company not to completely disappoint. And everything in our data set shows absolutely no reason why they would disappoint. >> Well, and so you may be wondering folks, like, well, wait a minute, with all that great news, I mean, how could they be positive to neutral. Maybe it maybe neutral, the reason is because they have a 66, roughly $66 billion valuation. And what ETR is doing is they're taking that into consideration as well relative to, so they're looking at the street forecast, the consensus forecast and saying, okay, how does the data line up to that? And so a lot of people are asking the question, can Snowflake live up to its valuation. I don't think there's any lack of total available market here. I mean, it's very, very large, the data market, it's enormous. And as, just a plug for an event that we're doing on November 17th, it starts, we're doing a global event, and we're going to be looking at this issue very closely, interviewing customers and partners and executives and, you know, you can judge for yourself if you think the vision, they're putting out this vision of a data cloud. You see this, if this vision, you think is going to have a big enough term that they can grow into, and as Erik said, great management team, will they be able to execute? Decide for yourself, but very exciting IPO obviously that we've tracked quite closely. Elastic is another one that you guys have followed quite closely. I know you've got some data there that you want to share as well. >> Yeah, I certainly do. The APM spaces is really interesting. One last quick point on Snowflake. We don't have regression forecasts on them, because they haven't been out public long enough for us to be able to do that sort of back-testing. So without that data science behind us, we will never really go with a full positive. So to your point that saying positive to neutral is not negative or neutral stance whatsoever, it's just without that regression support behind our data, that's what we just tend to do. Because at the end of the day, we're a data science company, so.. >> Yeah. You need some some history there to really make those calls. But yeah, let's talk about Elastic. >> Yeah, sure, you got it. So recently I hosted a panel on the APM and monitoring space. It was incredibly enlightening. It's a very crowded space that our CIOs told us is right for disruption. And it ended up being a little bit of an avalanche in our data, because it wasn't just Elastic, but it was also Splunk and Dynatrace that we ended up putting ratings on. Now, Elastic as we know is an open source model, a freemium to pay type of model. And we normally try to stay away from open source models, 'cause it's kind of hard to predict how that converts to revenue, but the data was so strong that again, we came out with a positive to neutral rating on Elastic. It was based on just elevated spend levels across, there was almost no negativity, we weren't seeing any decrease or replacement indications, really solid positioning in the fortune 500 accounts, which I was a bit surprised about. And the other thing here is that Elastic tends to be really expanding in the information security. This is no longer just about monitoring and logging, they are becoming a very relevant infosec play and they are breathing down the necks of Splunk. They can do the same thing and they can do it much cheaper. The caveat being, you need to have the IT and the human skillset to run Elastic. So it really comes down to, are you sophisticated enough with the human capital management to run it? But everything we saw here just incredibly improved competitive positioning, they actually had the number one net score in all of information security in any vendor that had over 50 citations. It was just too hard to ignore, we had to come out with a positive neutral. >> That's super interesting Erik, and of course, yeah, we covered that space recently. Everybody wants a piece of Splunk and have for a number of years, but, you know, you see in Datadog come after it, then you see some startups getting into the space. Jeremy Burton launched his company, Observe, Honeycomb is in that, they kind of coined the term observability. Kakao Search is another one. Ed Wall's joined that company, and so you see a lot of folks really going after that space, why not? I mean, it's such a successful company. The pickup of SignalFX filling some holes, we talked about that on the Ven, and it's a very interesting space, and one I think has some somewhat depressed levels from a net score standpoint but as some of your Ven observers said, this market is here to stay and it becoming much more important as part of digital transformation, as part of a dashboard of digital transformation. >> Yeah. Coining that term observability really just hit it on the nail on the head. When we just talked about monitoring an application, that's not what it's about anymore, right? You need to have observability in multi hybrid cloud environments, whether it's your infrastructure or people actually writing code for your application. And so that single pane of glass, end-to-end is the holy grail of monitoring, and that's what these guys are pushing for. The New Relics, the Datadog's, the Elastics, they're getting there more quickly than Splunk and Dynatrace or AppDynamics from Cisco are. That's what the people are telling us, the ones I speak to, the CIOs that use it in the field. They're getting there more quickly and they're doing it more cheaply. Now, this is not to say Splunk is not a great company, we know it is. And also Splunk has more API integration into any ecosystem you want. They're not getting pulled or ripped out anytime soon, we're not saying that. But when we look at our data, we had no choice but to come out with a neutral to negative. They are deteriorating and their spending intentions, their customer growth is completely stalling, we're not seeing any more increased perversion in our dataset or among customers. There just wasn't really anything we could really do. Looking at the data set and that's what we do, we had no choice. There's a lot of skepticism heading into the back half of this year and next year, there's so much competition coming after them, and some of these people are just giving it away for free. It's pretty hard to compete with free. >> Yeah, free is very powerful. All right, speaking of skepticism, Rackspace had their IPO, what do you see in there? >> Oh man, I'm not really sure how to start there. But listen, I don't want to beat a company while it's down, but their net scores are actually negative. I think at the negative 20% range, if I could possibly recall that. But listen, Rackspace, when they were private, let's give them some credit, right? They decided to go out and buy a bunch of different managed service providers, they tried to align themselves with AWS, with Oracle. So they've got this whole bundle thing right now that isn't just straight cloud computing anymore. We'll see if that plays out. But clearly we saw that the IPO was not a very special IPO. In this environment the valuations in the technology stocks being very elevated, having a negative IPO was very telling. But sticking straight to the data, basically we're seeing negativity across several years, it's the worst position vendor in cloud computing that we even cover. We just had to take a look at it right now, and just be honest and say according to the data, this is a very negative data set, there just isn't much we can do about it. Wish them the best, I hope their MSP revenue starts kicking in, and hopefully it'll change. But for right now the snapshot of our data was quite dire. >> Okay, Erik, Well, thanks so much. So let's update folks, so the ETR is exiting, it's quiet, period, which I love, because that means I can have the data and share with you. So we'll be updating our cloud scenarios, security, automation, our infrastructure, and many other segments as well. Certainly the data piece, we've been tracking snowflake very closely. And of course, Erik, you guys are already gearing up for your January survey. So, you know... >> It never ends Dave. And I've... >> Well, I got a really... I've got a sizzle panel that I'm doing next week as well, where we got four sizzles talking about security threats and priorities for 2021. So as soon as I wrap that, you'll be the first one I get my summary to. >> Oh, those are great. I mean, there's such deep dives with practitioners, and it's just an open discussion. So Erik Bradley, thanks so much for coming back in theCube. >> Have a great weekend Dave. >> Yeah, you too. And thank you for watching everybody this episode of Cube Insights powered by ETR. Go to etr.plus, that's where all the survey action is. I publish every week on wikibon.com and siliconangle.com. All these episodes are available on podcast. Wherever you watch, you can DM me, I'm @DVelllante. I post on LinkedIn, you can comment there or email me @david.vellanteat, @siliconangle.com. This is Dave Vellante for Erik Bradley. Thanks for watching everybody, we'll see you next time. (upbeat music)
SUMMARY :
bringing you data driven This is based on the latest data I always enjoy it. expect the downturn for 2020, beginning of the year, Yeah, and we have a chart on that. Now, clearly the caveat to that is if of the survey respondents guys, So for the October 20, what and the thinking back then was okay, is the biggest survey over survey decline. So the last survey to this survey, 2020, and the work from home, and Erik you alluded to this as RPA, So on the cloud side, And I think when you talk to, and to dig into the details, and that leaves you with net score. and it is the lowest ever we've captured. in the post pandemic was the expectation. All the commentary we get Well, and so you Because at the end of the day, to really make those calls. and the human skillset getting into the space. is the holy grail of monitoring, what do you see in there? But for right now the snapshot of our data so the ETR is exiting, And I've... and priorities for 2021. and it's just an open discussion. And thank you for watching everybody
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Bob Evans, Cloud Wars Media | Citrix Cloud Summit 2020
>> Woman: From theCube studios in Palo Alto in Boston, connecting with thought leaders all around the world. This is theCube conversation. >> Hey, welcome back everybody. Jeff Frick here with theCube coming to you from our Palo Alto studios to have a Cube conversation with a real leader in the industry he's been publishing for a long, long time. I've been following him in social media. First time I've ever get the met in person and kind of a virtual COVID 20, 20 way. And we're excited to welcome into the studio. Bob Evans. He's a founder and principal analyst, the Cloud Wars Media coming to us. Bob where are you coming to us from today? >> In Pittsburgh today. Jeff. Good to see you. >> Awesome. Pittsburgh Pennsylvania. There's a lot of Fricks in Pittsburgh Pennsylvania cause Henry Clay was there many moons ago so that's a good town. So welcome. >> Thank you, Jeff. Thanks. Great to be here. And I look forward to our conversation. >> Absolutely. So let's, let's jump into it. So I know you attended today, the Citrix Cloud Summit you know, we've covered Citrix energy in the past this year, they decided to go we'll obviously virtual like everybody did but they, you know, they did something a little creative I think as, and they broke it into pieces, which, which I think is the way of the future. There's no reason to necessarily aggregate all of your news, all of your customer stuff, all your customer appreciation, the party the partners, all for three days in Vegas. Cause that's the only time you could get the Science Convention Center. So today was the Cloud Summit all day long. First off, just, you know, your general impressions of the event, >> Jeff, you know, I just thought that the guys had hit a really good note about what's going on in the outside world. You know, sometimes I think it's a little awkward when tech companies come in and the first thing they want to talk about is themselves, which I guess in some ways fine but I think the Citrix guys did a really good job at coming outside in here's what's going on in the outside world. Here's how we as a technology player trying to adapt to that and deliver the maximum value to our customers in this time of unprecedented change. So I thought they really nailed that with cloud and some of the other big topics that they laid out >> Great. And you've been covering cloud for a long time and, and you know, COVID is, we're still in it. There's a lot of really bad things that are happening. There's hundreds of thousands of people that are dying and a lot of businesses are getting crushed especially hospitality, travel you know, anything that relies on an aggregation of people. Conversely though we're, we're fortunate to be in the IT industry and in the information industry. And for a lot of industries, it's actually been kind of an accelerant. And one of the main accelerants is this, you know kind of digital transformation and new way to work. And some of these things that were initiatives in play but on March 15th, approximately it was go, right? It was Light switch no more planning, no more talking, it's here now. Ready, set, go. And it's in, you know, Citrix is in a pretty good position in terms of the products that they offer, the services that they offer, the customer base that they have to take advantage of that opportunity and, and you know, go to this, we've all seen the social media memes right? Who's driving your digital transformation the CEO, the CIO, or COVID. And we all know what the answer to the question is. They're pretty well positioned and it seems like, you know, they're doing a good job kind of doubling down on the opportunity. >> Jeff. Yeah. And I'd sure echo your, your initial point there about the nightmare that everybody's experienced over the last six or seven months. There's, there's no way around that yet. It has forced in these categories like, you know, that we've all heard hundreds of thousand time digital transformation to the point where the term almost becomes a cliche but in fact right? You know, it has become something that's really you know, one of the driving forces, touching everybody in the planet, right? There's, and I think digital transformation. Isn't so much about the technology, of course but it's because, you know, there's a couple billion people around the world who want to live digitally enhanced digitally driven lifestyles. And the pandemic only accelerated that as you said. So it triggered things you know, in our personal lives and our new set of requirements and expectations sort of rippled up to the B2C companies and from them back up to the B2B companies So every company on earth, every industry has had to do this. And like you said, if they were, deluding themselves maybe telling themselves these different companies that yeah, we're going fast, we're aggressive. Well, when this thing hit earlier this year as you said, they just had to really slam their foot down. I think that David Henshall from Citrix said that they had some companies that had, they were compressing three years into five months or he said in some cases even weeks. So it's really been extraordinary. And cloud has been the vehicle for these companies to get over into their digital future. >> Right. And let's talk about that for a minute because you know, Moore's law is my favorite law that nobody knows which was, you know, we tend to underestimate, excuse me we tend to overestimate the impact of technology in the short term of specific technology and underestimate the longterm impact. You know, Gardener kind of uses a similar thing with the hype cycle. And then you know, the thing goes at the end, you know, had COVID hit five years ago, 10 years ago, 15 years ago you know, the ease in which the information workers were able to basically just not show up and turn on their computer at home and have access to most of their tools and most of the security and most of their applications that wasn't even possible. So it's a really interesting, you know, just validation on the enabler that we are actually able to not go to work on Tuesday the 16th or whatever the day was. And for the most part, you know, get most of our work done. >> Yeah. Yeah. Jeff, you know, I've thought about it a lot over the last several months. Remember the big consultant companies used to try to do these measures of technology and they'd always come out and say, well, we've done all these studies. And despite the billions of dollars of investment we can't show that IT has actually boosted productivity or, you know, delivered an ROI that customers should be happy with. I was always puzzled by some of the things that went into those. But I would say that today over these last six or seven months to your point, we have seen extraordinary validation of these investments in technology broadly. But specifically I think some of these things that are happening with the cloud, you know, as you've said how fast some companies have been able to do this and then not remarkable thing, Jeff right. About human nature. And we hear a lot about in, in when companies change that relative to changing human behavior changing technology is somewhat easy but you try to change human behavior and it's wicked. Well, we had this highly motivating force behind it, of the pandemic. So you had a desire on the part of people to change. And as you pointed out, there's also this corresponding thing of, you know, the technology was here. It was right. You've got a fast number of companies delivering some extraordinary solutions. And, you know, I thought it was interesting. I think it was a Kirsten Kliphouse from Google cloud. One of Citrix's partners who said that we're two best of breed companies, Citrix and Google cloud. So I thought that, that coming from Google you know, that is very high praise. So again, I think the guys at Citrix are sort of coming into this at the right time with the right set of outside in-approaches and having that flexibility to say that we're moving into territory nobody's ever been both been in before. So we better be able to move as fast as possible. >> Right. Right. And, and just to keep going down the quote line, you know once everyone is taken care of and you, you deal with the health and safety of your people which is a number one, right? The other thing is the great Winston Churchill quote which has never let a good crisis go to waste. And I think you know, David talked about in that, in his keynote that this is an opportunity, He said to challenge assumptions, challenge the models of the past. So, you know get beyond the technology discussion and use this really as a catalyst to rethink the way that you do things. And, you know, I think it's a really interesting moment because there is no model right? There is no, there is no formula for how do you reopen, there was no playbook for how do you shut down? You know, it was, everybody's figuring it out. And you've got kind of all these concurrent processes happening at the same time as everyone tries to figure it out and come to solutions. But clearly, you know, the path to, to leverage as much as you can, is the cloud and the flexibility of the cloud and, you know the ability to, to expand, add more applications. And so, you know, Citrix again, right place, right time right. Solution, but also you know, taking an aggressive tact to take advantage of this opportunity, both in taking care of their customers, but really it's a real great opportunity for them to change a little bit. >> It is. And Jeff, you know, I think if I could just piggyback on you know, your, your guy there Winston Churchill, one of his other quotes, I love it too. And he said, if find yourself crawling through hell, keep going. And I think so many companies have really had to do that now. It's, it's not ideal. It's not maybe the way they plan it but this is the reality we're facing here in 2020 and a couple of things right? I think it requires a new type of leadership within the customer companies right? What, how the CEO gets engaged in saying, I, I'm not going to relegate this to the CIO for this to happen and something else to the CMO. They've got to be front and center on this because people are pretty smart. And then the heightened sensitivity that everybody in every business has around the world today if you think your CEO is just paying lip service to this stuff about digital transformation and all these changes that everybody's going to make, the people aren't going to buy into it. So you've got the leadership thing happening on the one side and into that it's not a vacuum, but into that void or that opportunity of this unprecedented space that you mentioned come the smart, capable forward-looking technology companies that are less concerned with the stuff that they've dragged along with them for years or decade or more. But instead of trying to say, what is the new stuff that people are going to be desperately in need of and how can I help these customers do things that they never did before? It's going to require me as a tech company to do stuff that I've never done before. So I, I've just been really inspired by seeing a lot of the tech companies doing what they are helping their customers to do which is take a product development cycle, look at all the new stuff that came out around COVID and back to work, workspaces. And so on what Citrix, you know others are doing like this, the product development cycles Jeff, you study this stuff closely. It's, it's almost unimaginable. If you had said that somebody within three months within two months, we're going to have a new suite of product available we would have said it just, it's not possible the nice idea but it can't work, but that's happening now, right? >> Yeah. Isn't it interesting that had you asked them on March 10th, they would have told you it's not possible. And by March 20th, they were doing it. >> Yeah. >> At scale, huge companies. And to your point, I think that the good news is they had kind of their own companies to eat their own dog food and get their own employees you know, working from home and then, you know, bake that into the way that they had their go to market. But let's talk a little bit more specifically about work from home or work from anywhere or the new way to work. And it's funny cause that's been bantered about for, for way too long, but now, now it's here. And most indications are that for many people, many companies are saying you're not going to go back for a while. And even when you do go back it's going to be a lot different. So, you know, the new way to work is really important. And there's so much that goes into that. And one of the big pieces that I'm encouraged to hear is how do you measure work? And, you know, there's a great line I heard where, you know work is an output. It's not a place to go. And, you know, I had Martin Michaelson early on in this thing, and he had the great line, you know it's so easy to fake it at work, you know, just look busy and walk around and go to all the meetings where with a work from home or work from anywhere. What the leadership needs to do is, is a couple of things. One, is measure output right? Not activity. And you know, it's great. People can have dinner with their family or go see the kid's baseball game. Or I guess they don't have a baseball games right now but, you know, measure output, not activity which is, doesn't seem to be that revolutionary. But I think it kind of is. And, and then the other thing is really be an enabler and be a, an unblocker for people in terms of a leadership role right? Get out, help get stuff out of the way. And, but unfortunately, the counter is, you know how many apps does a normal person have to interact with every day? And how many notifications do those apps fire off every day between Slack and Asana and Salesforce and, and texts and tweets and everything else. You know, I think there's a real opportunity to take a whole nother level of productivity improvement by removing these, these silly distractions automating, you know, as much of the crap away as we can to enable people to use their brains and have some quiet time and think about things and deliver much better value than this constant reaction to nonstop notifications. >> Yeah. Yeah. Jeff, you know, I loved your point there about the difference between people's outlook on March 10th versus on March 20th. And I believe that, you know, all limitations are self-imposed, right? We tend to form constructs around how we think and allow those then to shape and often restrict or confine our behavior. And here's an example of the CEO of Novartis Pharmaceutical Company. He said, we have been brought up in the pharmaceutical industry to believe that it is immutable law of physics that it's going to take 12 and a half years and two and a half billion dollars to get a new drug approved. And he said in the past with the technology and the processes and the capabilities that that was true it is not true today yet too often, the pharmaceutical industries behave like those external limitations are put in there. So flip that over to one of the customers that, that was at the Citrix Cloud Summit today Jim Noga, who's the CIO at Mass General Brigham. I thought it was remarkable what he said when you asked about how are things going with this work from home? Well, Jim Noga the CIO there said that we had been averaging before COVID 9,000 virtual visits a month. And he said since then that number has gone up to a quarter of a million virtual visits a month or it's 8,000 a day. So they're doing an a day what they used to do in a month. Like, you said it, you tell them that on March 10th, they're not going to believe it but March 20th, it started to become reality. So I think for the customers, they're going to be more drawn to companies that are willing to say, I see your need. I see how fast you want to move. I see where you need to go and do things you never did before. I'm willing to lock elbows with you, and go in on that. And the tech number is that sort of sit back and say, ah well, I'd like to help you there, but that's not what I do. They're going to get destroyed. They're going to get blown out. And I think over the next year or two, we're going to see this massive forcing function in the tech industry. That's going to separate the companies that are able to move at the pace of market and keep up with their customers versus those that are trapped by their past or by their legacy. And it is, going to be a fascinating talk. >> So I throw on a follow up to make sure I understand that number. Those are patient visits per unit time. >> Yeah. At Mass Brigham. So he said 9,000 virtual visits a month is what they're averaging before COVID. He said, now we're up to 250,000 virtual visits per month. >> Wow. >> So it's 8,000 a day. >> Wow. I mean the thing that highlights to me, Bob, and the fact that we're doing this right now, and none of us had to get on an airplane is, you know, I think when people think back or sit back and look at what does this enable? right? What does digital enable? Instead of saying instead of focusing what we can't do, like we can't go out and get a cup of coffee after this is over and we can't and that would be great and we'd have a good time but conversely, there's so many new things that you can do right? And you can reach so many more people than you could physically. And, and for like, you know, events like the one today. And, you know, we cover events all the time. So many more people can attend if they don't have the expense, of flying to Vegas and they don't have to leave the shop or, you know, whatever the limitations are. And we're seeing massive increases in registrants for virtual events, massive increase in new registrants. Who've never attended the, the events before. So I think he really brings up a good point, which is, you know, focus on what you can do and which is a whole new opportunity a whole new space, if you will, as opposed to continuing to whine about the things that we can't do because we can't do anything about those anyway >> No, and you know, that old line of a wish in one hand and spit in the other and see which one fills up first (laughs) you know, one of the other guests that that was on the Cloud Summit today Jeff, I don't know if you got to see 'em, but Steve Shute from SAP who heads up their entire 40,000 person customer success organization he said this about Citrix. "Citrix workspace is the foundation to provide secure cloud based access for this new generation of remote workers." So you get companies like SAP, and, you know, you want to talk about somebody that has earned its way into the, you know the biggest companies in the world and how they go along. You know, it's pretty powerful. They end up, your point Jeff, about how things have changed, focus on what we can do. The former CEO of SAP, Bill McDermott. He recently said, we think of phones as, you know, devices that help us be more productive. We think of computers as devices that help us be more productive. He said, now the world's going to start thinking of the office or the headquarters. It's a productivity tool. That's all it is. It's not the place that measures Hey, he was only at work, four days today. So, you know, he didn't really contribute. It's going to be a productivity tool. So we're going to look at a lot of concepts and just flip them upside down what they meant in February. Isn't going to to mean that much after this incredible change that we've all been through. >> Right. Right. Another big theme I wanted to touch base with you on it was very evident at the at the show today was multicloud right and hybrid cloud. And, you know, I used to work for Oracle in, in the day. And you know Amazon really changed the game in, in public cloud. The greatest line, one of Jeff's best lines is you know, we had seven year headstart. Nobody even was paying attention to the small book seller in Seattle and they completely changed enterprise technology. But what came across today pretty clearly right? As horses for courses, and really focusing at the application first right? The workload first and where that thing runs and how that thing runs, can be any place in that in a large organization you know, this is pick an airline or, or a big bank right? They're going to have stuff running at Oracle. They're going to have stuff running at AWS. They're going to have stuff running on Google. They're going to to have stuff running in Azure. They're going to have stuff running in their data center. IBM cloud, Ali Baba. I mean there's restrictions for location and, and data sovereigncy and all these things that are driving it. And really, you know, kind of drives this concept where the concept of cloud is kind of simple but the actual execution day to day at the enterprise level and managing and keeping track of this stuff, it is definitely a multicloud hybrid cloud. Pick your, pick your, your adjective but it's definitely not a single cloud world. That's for sure. >> Yeah. Yeah. And Jeff, you know, the Citrix customer that I mentioned earlier, Jim Noga is that the CIO at mass General Brigham, one of the other points he made about this was he said he's been very pleased about some of the contributions that cloud has made in, in, in his hospital organizations, you know transformation, what they've been able today and all the new things that they're capable of doing now that they were not people poor. But he said, you know, cloud is a tool. He said, it's not Nirvana. It's not a place for everything. He said, we have some on-premises systems. He said, they're more valuable now than they were a couple of years ago. And then we've got edge devices and we have something else over here. He said, so I think his point was it's important to put the proper value on cloud for all the things it can do for a specific organization, but not the thing that it's a panacea for everything though, big fan, but also a realist about it. >> Great. >> And so from that to the hybrid stuff and multicloud and I know all the big tech vendors would love it and say Oh no, it's not a multicloud, but just be my cloud. Just, just use my stuff. Everything will be easy, but that's not true. So I think Citrix position itself really well big emphasis on security, big emphasis on the experience that employees need to have. It isn't just sort of like a road war you loose five or seven years ago, as long as he, or she can connect through email and, you know, sending a sales data back and forth, they're all set. Now. It's very different. You've got people sitting in a wildly different environments for, you know, six, eight, 10 hours a day and chunk of an hour or two or three here or there. But that, that seamless experience always dependable, always reliable is just, you know, it can't be compromised. And I just thought you have one you know, high level thought about what happened. It was impressive for me to see that Citrix certainly a fine company put it. It's not one of the biggest tech companies in the world but look at the companies we have, the Microsoft, SAP talking about Google Cloud, AWS, you know, up and down the line. So I just thought it was really impressive how they showed their might as sort of a part of a network effect that is undeniable right now. >> Right. Right. And I think it's driven, you know, we hear over and over right? I mean, co-opertition is a very Silicon Valley thing. And ultimately it's about customer choice and the customer's going to choose you know, kind of by workload, even if you will or by budget as to what they're going to do where so you have to be able to operate in that world or you're going to be you're going to get, you're going to get left out unless you're just super dominant and it's a single application and they built it on you and that's it. But that's not realistic. I want to shift gears a little bit Bob, since I'm so happy to be talking to you on another topic, that's, that's a big mega trend and we're slowly seeing more and more applications. That's machine learning and artificial intelligence and you know, and, and the generic conversations about these remind me of the old big data conversations. It's like okay. So what you know, who cares? It doesn't really matter until you apply it. And with all these new applications and even just around the work from home that we discussed earlier, you know, there's so many opportunities to apply machine learning and AI, to very specific functions and tasks to, again, help people prioritize what they're going to do help people not have to deal with the crap that they shouldn't have to do. And really, you know at a whole another level of, of productivity really, based on a smarter way to help them figure out what am I going to do in my next, my next marginal minute? You know, cause ultimately that's the decision that people make when they're sitting down getting work, done it, how do they do the best work? And I think the AI and machine learning opportunities are gargantuan. >> Jeff. The point you made a few minutes ago about, you know, we tend to overestimate the impact of a new technology in the short term and underestimate it, what it'll be overtime well, we've been doing that with AI for the last 40 years but this is going to be sort of the golden age of it. And one of the reasons why I have been so bullish on cloud is it presents like the perfect delivery system for it. This is we see in medicine, there's sometimes breakthroughs at the laboratory level where they've got the new breakthrough medication but they don't have the bullet. They don't have the delivery system to get it in there, cloud's going to be an accelerator for that. And it gives the tech companies, which and this is going to be very good for customers, every big tech company. Now as a data company, every company says, it's an analytics. Everybody says I'm into AI. Every company says I'm into ML. And in a way that's real good for customers cause the competitive level is going to soar. It's going to bring more choice. As you said, the more customers more types of solutions, more sorts of innovation. And it's also going to be incumbent on those tech vendors. You've got to make it as easy as possible, as fast as possible for these customers to get the benefit of it. I think it was Thomas Kurian, the CEO of Google cloud said, Hey, you know, if, if a shoe company or a retailer or a bank had fantastic expertise in data science, they could go out and hire 200 data scientists do this all themselves. He said, but that's not what they do. And they don't want to do that. >> Right. >> So he said, come to the companies who can do it. And I think that we will see changes in how business works driven by ML and AI, unlike anything that we've ever seen. >> Yeah. >> And that's going to happen over the next 12, 18 months. >> Yeah. Baked into everything. Well, Bob, I really am excited that we finally got to catch up in, in person COVID style. Like I said, I've been following you for a long time. So I just gave you the last word before we sign off. You know, you've been in this business for a long time. You've seen lots and lots of waves. You know, this is just another wave with this, with this, you know, gasoline thrown on the fire with, with COVID in terms of the rate of change. And the, you know there's no more talking, the time to move is now, share kind of your perspective as to kind of where we are. And, you know, we're, we're not that far from flipping the calendar to 2021, which is a good thing you know, as you, as you look forward a little bit you know, what's in your mind, what's getting you excited. What's getting you up in the morning. >> Yeah. Jeff, I guess it comes down to this thing of, we, I think here late in 2020, everybody's got a reason to be pretty proud of what we have done, not only in the last six months but over the last several years, if you look at the improvements that have been made in health care and making it available to more people, in education the things that teenagers or young teenagers or even pre-teenagers can do now to learn and explore the world and communicate with people from all over the globe, there's a lot of great things going on, but I think we're going to look back on this point and say, this was, this was a pivot point here in mid and late 2020, when we stopped letting in some ways, as you described it earlier worrying so much about the things we can't do. And instead put more time into what we can do, what breakthroughs can we make. And I think these things we've talked about with AI and ML are going to be a big part of that, the computer industry or the tech industry, maturing and understanding they're not in charge. It's the customers who are in charge here. And the tech companies have to reorient themselves and reimagine themselves to meet the demands of this new fast changing world. And so I think those are some of the mega trends and more and more Jeff, I think these tech companies are going to say that the customers are demanding that the tech companies give them the gift of speed, give them the gift of engaging with customers in new ways, give them the gift of seeing the world as other people see it rather than just through the narrow lens of, you know sometimes the tech bubble that can percolate somewhere out sometimes out in the Palo Alto area. So I, I'm incredibly optimistic about what the future is going to bring. >> Well, Thank you. Thanks for Bob for sharing your insight. You can follow Bob on Twitter. He's got podcasts, he's very prolific writer and again, really, really a great to meet you in person. And thanks for sharing your thoughts >> Jeff, thanks so much. You guys do a fantastic job and it's been a pleasure to be with you. >> Thank you. Allright. He's Bob Evans. I'm Jeff Frick. You're watching theCube from our Palo Alto studios. Thanks for watching. We'll see you next time. (soft music)
SUMMARY :
leaders all around the world. the Cloud Wars Media coming to us. In Pittsburgh today. There's a lot of Fricks And I look forward to our conversation. Cause that's the only time you could get Jeff, you know, I just thought And it's in, you know, Citrix but it's because, you know, And for the most part, you with the cloud, you know, as you've said to rethink the way that you do things. And Jeff, you know, I think that had you asked them and he had the great line, you know and do things you never did before. to make sure I understand that number. So he said 9,000 virtual visits a month And, and for like, you know, No, and you know, that old but the actual execution day to day But he said, you know, cloud is a tool. And so from that to the and the customer's going to choose and this is going to be So he said, come to the And that's going to happen the time to move is now, the narrow lens of, you know great to meet you in person. and it's been a pleasure to be with you. We'll see you next time.
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