hello everybody and thank you for joining us today for the virtual verdict of BBC 2020 today's breakout session is entitled the shortest path to Vertica best practices for data warehouse migration ETL I'm Jeff Healey I'll leave verdict and marketing I'll be your host for this breakout session joining me today are Marco guesser and Mauricio lychee vertical product engineer is joining us from yume region but before we begin I encourage you to submit questions or comments or in the virtual session don't have to wait just type question in a comment in the question box below the slides that click Submit as always there will be a Q&A session the end of the presentation will answer as many questions were able to during that time any questions we don't address we'll do our best to answer them offline alternatively visit Vertica forums that formed at vertical comm to post your questions there after the session our engineering team is planning to join the forums to keep the conversation going also reminder that you can maximize your screen by clicking the double arrow button and lower right corner of the sides and yes this virtual session is being recorded be available to view on demand this week send you a notification as soon as it's ready now let's get started over to you mark marco andretti oh hello everybody this is Marco speaking a sales engineer from Amir said I'll just get going ah this is the agenda part one will be done by me part two will be done by Mauricio the agenda is as you can see big bang or piece by piece and the migration of the DTL migration of the physical data model migration of et I saw VTL + bi functionality what to do with store procedures what to do with any possible existing user defined functions and migration of the data doctor will be by Maurice it you want to talk about emeritus Rider yeah hello everybody my name is Mauricio Felicia and I'm a birth record pre-sales like Marco I'm going to talk about how to optimize that were always using some specific vertical techniques like table flattening live aggregated projections so let me start with be a quick overview of the data browser migration process we are going to talk about today and normally we often suggest to start migrating the current that allows the older disease with limited or minimal changes in the overall architecture and yeah clearly we will have to port the DDL or to redirect the data access tool and we will platform but we should minimizing the initial phase the amount of changes in order to go go live as soon as possible this is something that we also suggest in the second phase we can start optimizing Bill arouse and which again with no or minimal changes in the architecture as such and during this optimization phase we can create for example dog projections or for some specific query or optimize encoding or change some of the visual spools this is something that we normally do if and when needed and finally and again if and when needed we go through the architectural design for these operations using full vertical techniques in order to take advantage of all the features we have in vertical and this is normally an iterative approach so we go back to name some of the specific feature before moving back to the architecture and science we are going through this process in the next few slides ok instead in order to encourage everyone to keep using their common sense when migrating to a new database management system people are you often afraid of it it's just often useful to use the analogy of how smooth in your old home you might have developed solutions for your everyday life that make perfect sense there for example if your old cent burner dog can't walk anymore you might be using a fork lifter to heap in through your window in the old home well in the new home consider the elevator and don't complain that the window is too small to fit the dog through this is very much in the same way as Narita but starting to make the transition gentle again I love to remain in my analogy with the house move picture your new house as your new holiday home begin to install everything you miss and everything you like from your old home once you have everything you need in your new house you can shut down themselves the old one so move each by feet and go for quick wins to make your audience happy you do bigbang only if they are going to retire the platform you are sitting on where you're really on a sinking ship otherwise again identify quick wings implement published and quickly in Vertica reap the benefits enjoy the applause use the gained reputation for further funding and if you find that nobody's using the old platform anymore you can shut it down if you really have to migrate you can still go to really go to big battle in one go only if you absolutely have to otherwise migrate by subject area use the group all similar clear divisions right having said that ah you start off by migrating objects objects in the database that's one of the very first steps it consists of migrating verbs the places where you can put the other objects into that is owners locations which is usually schemers then what do you have that you extract tables news then you convert the object definition deploy them to Vertica and think that you shouldn't do it manually never type what you can generate ultimate whatever you can use it enrolls usually there is a system tables in the old database that contains all the roads you can export those to a file reformat them and then you have a create role and create user scripts that you can apply to Vertica if LDAP Active Directory was used for the authentication the old database vertical supports anything within the l dubs standard catalogued schemas should be relatively straightforward with maybe sometimes the difference Vertica does not restrict you by defining a schema as a collection of all objects owned by a user but it supports it emulates it for old times sake Vertica does not need the catalog or if you absolutely need the catalog from the old tools that you use it it usually said it is always set to the name of the database in case of vertical having had now the schemas the catalogs the users and roles in place move the take the definition language of Jesus thought if you are allowed to it's best to use a tool that translates to date types in the PTL generated you might see as a mention of old idea to listen by memory to by the way several times in this presentation we are very happy to have it it actually can export the old database table definition because they got it works with the odbc it gets what the old database ODBC driver translates to ODBC and then it has internal translation tables to several target schema to several target DBMS flavors the most important which is obviously vertical if they force you to use something else there are always tubes like sequel plots in Oracle the show table command in Tara data etc H each DBMS should have a set of tools to extract the object definitions to be deployed in the other instance of the same DBMS ah if I talk about youth views usually a very new definition also in the old database catalog one thing that you might you you use special a bit of special care synonyms is something that were to get emulated different ways depending on the specific needs I said I stop you on the view or table to be referred to or something that is really neat but other databases don't have the search path in particular that works that works very much like the path environment variable in Windows or Linux where you specify in a table an object name without the schema name and then it searched it first in the first entry of the search path then in a second then in third which makes synonym hugely completely unneeded when you generate uvl we remained in the analogy of moving house dust and clean your stuff before placing it in the new house if you see a table like the one here at the bottom this is usually corpse of a bad migration in the past already an ID is usually an integer and not an almost floating-point data type a first name hardly ever has 256 characters and that if it's called higher DT it's not necessarily needed to store the second when somebody was hired so take good care in using while you are moving dust off your stuff and use better data types the same applies especially could string how many bytes does a string container contains for eurozone's it's not for it's actually 12 euros in utf-8 in the way that Vertica encodes strings and ASCII characters one died but the Euro sign thinks three that means that you have to very often you have when you have a single byte character set up a source you have to pay attention oversize it first because otherwise it gets rejected or truncated and then you you will have to very carefully check what their best science is the best promising is the most promising approach is to initially dimension strings in multiples of very initial length and again ODP with the command you see there would be - I you 2 comma 4 will double the lengths of what otherwise will single byte character and multiply that for the length of characters that are wide characters in traditional databases and then load the representative sample of your cells data and profile using the tools that we personally use to find the actually longest datatype and then make them shorter notice you might be talking about the issues of having too long and too big data types on projection design are we live and die with our projects you might know remember the rules on how default projects has come to exist the way that we do initially would be just like for the profiling load a representative sample of the data collector representative set of already known queries from the Vertica database designer and you don't have to decide immediately you can always amend things and otherwise follow the laws of physics avoid moving data back and forth across nodes avoid heavy iOS if you can design your your projections initially by hand encoding matters you know that the database designer is a very tight fisted thing it would optimize to use as little space as possible you will have to think of the fact that if you compress very well you might end up using more time in reading it this is the testimony to run once using several encoding types and you see that they are l e is the wrong length encoded if sorted is not even visible while the others are considerably slower you can get those nights and look it in look at them in detail I will go in detail you now hear about it VI migrations move usually you can expect 80% of everything to work to be able to live to be lifted and shifted you don't need most of the pre aggregated tables because we have live like regain projections many BI tools have specialized query objects for the dimensions and the facts and we have the possibility to use flatten tables that are going to be talked about later you might have to ride those by hand you will be able to switch off casting because vertical speeds of everything with laps Lyle aggregate projections and you have worked with molap cubes before you very probably won't meet them at all ETL tools what you will have to do is if you do it row by row in the old database consider changing everything to very big transactions and if you use in search statements with parameter markers consider writing to make pipes and using verticals copy command mouse inserts yeah copy c'mon that's what I have here ask you custom functionality you can see on this slide the verticals the biggest number of functions in the database we compare them regularly by far compared to any other database you might find that many of them that you have written won't be needed on the new database so look at the vertical catalog instead of trying to look to migrate a function that you don't need stored procedures are very often used in the old database to overcome their shortcomings that Vertica doesn't have very rarely you will have to actually write a procedure that involves a loop but it's really in our experience very very rarely usually you can just switch to standard scripting and this is basically repeating what Mauricio said in the interest of time I will skip this look at this one here the most of the database data warehouse migration talks should be automatic you can use you can automate GDL migration using ODB which is crucial data profiling it's not crucial but game-changing the encoding is the same thing you can automate at you using our database designer the physical data model optimization in general is game-changing you have the database designer use the provisioning use the old platforms tools to generate the SQL you have no objects without their onus is crucial and asking functions and procedures they are only crucial if they depict the company's intellectual property otherwise you can almost always replace them with something else that's it from me for now Thank You Marco Thank You Marco so we will now point our presentation talking about some of the Vertica that overall the presentation techniques that we can implement in order to improve the general efficiency of the dot arouse and let me start with a few simple messages well the first one is that you are supposed to optimize only if and when this is needed in most of the cases just a little shift from the old that allows to birth will provide you exhaust the person as if you were looking for or even better so in this case probably is not really needed to to optimize anything in case you want optimize or you need to optimize then keep in mind some of the vertical peculiarities for example implement delete and updates in the vertical way use live aggregate projections in order to avoid or better in order to limit the goodbye executions at one time used for flattening in order to avoid or limit joint and and then you can also implement invert have some specific birth extensions life for example time series analysis or machine learning on top of your data we will now start by reviewing the first of these ballots optimize if and when needed well if this is okay I mean if you get when you migrate from the old data where else to birth without any optimization if the first four month level is okay then probably you only took my jacketing but this is not the case one very easier to dispute in session technique that you can ask is to ask basket cells to optimize the physical data model using the birth ticket of a designer how well DB deal which is the vertical database designer has several interfaces here I'm going to use what we call the DB DB programmatic API so basically sequel functions and using other databases you might need to hire experts looking at your data your data browser your table definition creating indexes or whatever in vertical all you need is to run something like these are simple as six single sequel statement to get a very well optimized physical base model you see that we start creating a new design then we had to be redesigned tables and queries the queries that we want to optimize we set our target in this case we are tuning the physical data model in order to maximize query performances this is why we are using my design query and in our statement another possible journal tip would be to tune in order to reduce storage or a mix between during storage and cheering queries and finally we asked Vertica to produce and deploy these optimized design in a matter of literally it's a matter of minutes and in a few minutes what you can get is a fully optimized fiscal data model okay this is something very very easy to implement keep in mind some of the vertical peculiarities Vaska is very well tuned for load and query operations aunt Berta bright rose container to biscuits hi the Pharos container is a group of files we will never ever change the content of this file the fact that the Rose containers files are never modified is one of the political peculiarities and these approach led us to use minimal locks we can add multiple load operations in parallel against the very same table assuming we don't have a primary or unique constraint on the target table in parallel as a sage because they will end up in two different growth containers salad in read committed requires in not rocket fuel and can run concurrently with insert selected because the Select will work on a snapshot of the catalog when the transaction start this is what we call snapshot isolation the kappa recovery because we never change our rows files are very simple and robust so we have a huge amount of bandages due to the fact that we never change the content of B rows files contain indiarose containers but on the other side believes and updates require a little attention so what about delete first when you believe in the ethica you basically create a new object able it back so it appeared a bit later in the Rose or in memory and this vector will point to the data being deleted so that when the feed is executed Vertica will just ignore the rules listed in B delete records and it's not just about the leak and updating vertical consists of two operations delete and insert merge consists of either insert or update which interim is made of the little insert so basically if we tuned how the delete work we will also have tune the update in the merge so what should we do in order to optimize delete well remember what we said that every time we please actually we create a new object a delete vector so avoid committing believe and update too often we reduce work the work for the merge out for the removal method out activities that are run afterwards and be sure that all the interested projections will contain the column views in the dedicate this will let workers directly after access the projection without having to go through the super projection in order to create the vector and the delete will be much much faster and finally another very interesting optimization technique is trying to segregate the update and delete operation from Pyrenean third workload in order to reduce lock contention beliefs something we are going to discuss and these contain using partition partition operation this is exactly what I want to talk about now here you have a typical that arouse architecture so we have data arriving in a landing zone where the data is loaded that is from the data sources then we have a transformation a year writing into a staging area that in turn will feed the partitions block of data in the green data structure we have at the end those green data structure we have at the end are the ones used by the data access tools when they run their queries sometimes we might need to change old data for example because we have late records or maybe because we want to fix some errors that have been originated in the facilities so what we do in this case is we just copied back the partition we want to change or we want to adjust from the green interior a the end to the stage in the area we have a very fast operation which is Tokyo Station then we run our updates or our adjustment procedure or whatever we need in order to fix the errors in the data in the staging area and at the very same time people continues to you with green data structures that are at the end so we will never have contention between the two operations when we updating the staging area is completed what we have to do is just to run a swap partition between tables in order to swap the data that we just finished to adjust in be staging zone to the query area that is the green one at the end this swap partition is very fast is an atomic operation and basically what will happens is just that well exchange the pointer to the data this is a very very effective techniques and lot of customer useless so why flops on table and live aggregate for injections well basically we use slot in table and live aggregate objection to minimize or avoid joint this is what flatten table are used for or goodbye and this is what live aggregate projections are used for now compared to traditional data warehouses better can store and process and aggregate and join order of magnitudes more data that is a true columnar database joint and goodbye normally are not a problem at all they run faster than any traditional data browse that page there are still scenarios were deficits are so big and we are talking about petabytes of data and so quickly going that would mean be something in order to boost drop by and join performances and this is why you can't reduce live aggregate projections to perform aggregations hard loading time and limit the need for global appear on time and flux and tables to combine information from different entity uploading time and again avoid running joint has query undefined okay so live aggregate projections at this point in time we can use live aggregate projections using for built in aggregate functions which are some min Max and count okay let's see how this works suppose that you have a normal table in this case we have a table unit sold with three columns PIB their time and quantity which has been segmented in a given way and on top of this base table we call it uncle table we create a projection you see that we create the projection using the salad that will aggregate the data we get the PID we get the date portion of the time and we get the sum of quantity from from the base table grouping on the first two columns so PID and the date portion of day time okay what happens in this case when we load data into the base table all we have to do with load data into the base table when we load data into the base table we will feel of course big injections that assuming we are running with k61 we will have to projection to projections and we will know the data in those two projection with all the detail in data we are going to load into the table so PAB playtime and quantity but at the very same time at the very same time and without having to do nothing any any particular operation or without having to run any any ETL procedure we will also get automatically in the live aggregate projection for the data pre aggregated with be a big day portion of day time and the sum of quantity into the table name total quantity you see is something that we get for free without having to run any specific procedure and this is very very efficient so the key concept is that during the loading operation from VDL point of view is executed again the base table we do not explicitly aggregate data or we don't have any any plc do the aggregation is automatic and we'll bring the pizza to be live aggregate projection every time we go into the base table you see the two selection that we have we have on in this line on the left side and you see that those two selects will produce exactly the same result so running select PA did they trying some quantity from the base table or running the select star from the live aggregate projection will result exactly in the same data you know this is of course very useful but is much more useful result that if we and we can observe this if we run an explained if we run the select against the base table asking for this group data what happens behind the scene is that basically vertical itself that is a live aggregate projection with the data that has been already aggregating loading phase and rewrite your query using polite aggregate projection this happens automatically you see this is a query that ran a group by against unit sold and vertical decided to rewrite this clearly as something that has to be collected against the light aggregates projection because if I decrease this will save a huge amount of time and effort during the ETL cycle okay and is not just limited to be information you want to aggregate for example another query like select count this thing you might note that can't be seen better basically our goodbyes will also take advantage of the live aggregate injection and again this is something that happens automatically you don't have to do anything to get this okay one thing that we have to keep very very clear in mind Brassica what what we store in the live aggregate for injection are basically partially aggregated beta so in this example we have two inserts okay you see that we have the first insert that is entered in four volts and the second insert which is inserting five rules well in for each of these insert we will have a partial aggregation you will never know that after the first insert you will have a second one so better will calculate the aggregation of the data every time irin be insert it is a key concept and be also means that you can imagine lies the effectiveness of bees technique by inserting large chunk of data ok if you insert data row by row this technique live aggregate rejection is not very useful because for every goal that you insert you will have an aggregation so basically they'll live aggregate injection will end up containing the same number of rows that you have in the base table but if you everytime insert a large chunk of data the number of the aggregations that you will have in the library get from structure is much less than B base data so this is this is a key concept you can see how these works by counting the number of rows that you have in alive aggregate injection you see that if you run the select count star from the solved live aggregate rejection the query on the left side you will get four rules but actually if you explain this query you will see that he was reading six rows so this was because every of those two inserts that we're actively interested a few rows in three rows in India in the live aggregate projection so this is a key concept live aggregate projection keep partially aggregated data this final aggregation will always happen at runtime okay another which is very similar to be live aggregate projection or what we call top K projection we actually do not aggregate anything in the top case injection we just keep the last or limit the amount of rows that we collect using the limit over partition by all the by clothes and this again in this case we create on top of the base stable to top gay projection want to keep the last quantity that has been sold and the other one to keep the max quantity in both cases is just a matter of ordering the data in the first case using the B time column in the second page using quantity in both cases we fill projection with just the last roof and again this is something that we do when we insert data into the base table and this is something that happens automatically okay if we now run after the insert our select against either the max quantity okay or be lost wanted it okay we will get the very last you see that we have much less rows in the top k projections okay we told at the beginning that basically we can use for built-in function you might remember me max sum and count what if I want to create my own specific aggregation on top of the lid and customer sum up because our customers have very specific needs in terms of live aggregate projections well in this case you can code your own live aggregate production user-defined functions so you can create the user-defined transport function to implement any sort of complex aggregation while loading data basically after you implemented miss VPS you can deploy using a be pre pass approach that basically means the data is aggregated as loading time during the data ingestion or the batch approach that means that the data is when that woman is running on top which things to remember on live a granade projections they are limited to be built in function again some max min and count but you can call your own you DTF so you can do whatever you want they can reference only one table and for bass cab version before 9.3 it was impossible to update or delete on the uncle table this limit has been removed in 9.3 so you now can update and delete data from the uncle table okay live aggregate projection will follow the segmentation of the group by expression and in some cases the best optimizer can decide to pick the live aggregates objection or not depending on if depending on the fact that the aggregation is a consistent or not remember that if we insert and commit every single role to be uncoachable then we will end up with a live aggregate indirection that contains exactly the same number of rows in this case living block or using the base table it would be the same okay so this is one of the two fantastic techniques that we can implement in Burtka this live aggregate projection is basically to avoid or limit goodbyes the other which we are going to talk about is cutting table and be reused in order to avoid the means for joins remember that K is very fast running joints but when we scale up to petabytes of beta we need to boost and this is what we have in order to have is problem fixed regardless the amount of data we are dealing with so how what about suction table let me start with normalized schemas everybody knows what is a normalized scheme under is no but related stuff in this slide the main scope of an normalized schema is to reduce data redundancies so and the fact that we reduce data analysis is a good thing because we will obtain fast and more brides we will have to write into a database small chunks of data into the right table the problem with these normalized schemas is that when you run your queries you have to put together the information that arrives from different table and be required to run joint again jointly that again normally is very good to run joint but sometimes the amount of data makes not easy to deal with joints and joints sometimes are not easy to tune what happens in in the normal let's say traditional data browser is that we D normalize the schemas normally either manually or using an ETL so basically we have on one side in this light on the left side the normalized schemas where we can get very fast right on the other side on the left we have the wider table where we run all the three joints and pre aggregation in order to prepare the data for the queries and so we will have fast bribes on the left fast reads on the Left sorry fast bra on the right and fast read on the left side of these slides the probability in the middle because we will push all the complexity in the middle in the ETL that will have to transform be normalized schema into the water table and the way we normally implement these either manually using procedures that we call the door using ETL this is what happens in traditional data warehouse is that we will have to coach in ETL layer in order to round the insert select that will feed from the normalized schema and right into the widest table at the end the one that is used by the data access tools we we are going to to view store to run our theories so this approach is costly because of course someone will have to code this ETL and is slow because someone will have to execute those batches normally overnight after loading the data and maybe someone will have to check the following morning that everything was ok with the batch and is resource intensive of course and is also human being intensive because of the people that will have to code and check the results it ever thrown because it can fail and introduce a latency because there is a get in the time axis between the time t0 when you load the data into be normalized schema and the time t1 when we get the data finally ready to be to be queried so what would be inverter to facilitate this process is to create this flatten table with the flattened T work first you avoid data redundancy because you don't need the wide table on the normalized schema on the left side second is fully automatic you don't have to do anything you just have to insert the data into the water table and the ETL that you have coded is transformed into an insert select by vatika automatically you don't have to do anything it's robust and this Latin c0 is a single fast as soon as you load the data into the water table you will get all the joints executed for you so let's have a look on how it works in this case we have the table we are going to flatten and basically we have to focus on two different clauses the first one is you see that there is one table here I mentioned value 1 which can be defined as default and then the Select or set using okay the difference between the fold and set using is when the data is populated if we use default data is populated as soon as we know the data into the base table if we use set using Google Earth to refresh but everything is there I mean you don't need them ETL you don't need to code any transformation because everything is in the table definition itself and it's for free and of course is in latency zero so as soon as you load the other columns you will have the dimension value valued as well okay let's see an example here suppose here we have a dimension table customer dimension that is on the left side and we have a fact table on on the right you see that the fact table uses columns like o underscore name or Oh the score city which are basically the result of the salad on top of the customer dimension so Beezus were the join is executed as soon as a remote data into the fact table directly into the fact table without of course loading data that arise from the dimension all the data from the dimension will be populated automatically so let's have an example here suppose that we are running this insert as you can see we are running be inserted directly into the fact table and we are loading o ID customer ID and total we are not loading made a major name no city those name and city will be automatically populated by Vertica for you because of the definition of the flood table okay you see behave well all you need in order to have your widest tables built for you your flattened table and this means that at runtime you won't need any join between base fuck table and the customer dimension that we have used in order to calculate name and city because the data is already there this was using default the other option was is using set using the concept is absolutely the same you see that in this case on the on the right side we have we have basically replaced this all on the school name default with all underscore name set using and same is true for city the concept that I said is the same but in this case which we set using then we will have to refresh you see that we have to run these select trash columns and then the name of the table in this case all columns will be fresh or you can specify only certain columns and this will bring the values for name and city reading from the customer dimension so this technique this technique is extremely useful the difference between default and said choosing just to summarize the most important differences remember you just have to remember that default will relate your target when you load set using when you refresh end and in some cases you might need to use them both so in some cases you might want to use both default end set using in this example here we'll see that we define the underscore name using both default and securing and this means that we love the data populated either when we load the data into the base table or when we run the Refresh this is summary of the technique that we can implement in birth in order to make our and other browsers even more efficient and well basically this is the end of our presentation thank you for listening and now we are ready for the Q&A session you

from the silicon angle media office in Boston Massachusetts it's the queue now here's your host David on tape hi everybody welcome to this cube conversation I'm Dave Volante and you're cloud and cloud migrations are a major challenge for customers they move things into the cloud and variably they've got things that they want to maintain on Prem they've got to figure out what to move how to move it how to maintain performance and how to maintain the experience from on Prem into the cloud rate Krueger's here is a solution architect at net scout rate thanks for coming on nice to be here thank you so tell us a little bit about nesco yeah I mean net sky I mean primarily it helps you provide the visibility required to protect your digital digital business transformation we give you availability information performance information and security insights into what's going on in your environment we do this for 90% of the fortune 500 we do this for 95% of service provider so we're kind of Carrio class service provider and enterprise sophistication and we basically give you that visibility without borders and the visibility without borders is all about saying wherever you deploy your application whether it's being on Prem in your private data center software-defined data center or West en or whatever it might be or whether you migrate some or all of that into the public cloud AWS or as your we give you that same visibility same metrics wherever you host your application even in this hybrid world or this multi cloud world of today okay so top level one of those discussions like you heard my sort of intro and some of the challenges but what a customer is telling you about their cloud migrations well ok that's interesting so so that's kind of been around for eight years we're in like as I said thousands of customers and and these guys have been tasked they've been tasked with going to the cloud for business agility reasons and the idea of business agility is can you sort of create new services quicker new business initiatives new projects new application new ways that customers can we communicate with the business and they it's all about wrapping this and delivering these applications very quickly so the guys that we're talking to us said are being our task to move it to the cloud for various reasons it's not necessarily cost reasons as well it's LT and the the view is of the businesses the cloud will give them that agility maybe easier to manage maybe it's quicker to deploy applications quickly and all that sort of thing so they mean tasks to do that and that's a challenge because you know providing that visibility on premon in the cloud has been historically true well the other thing about the cloud is it's it's easy to test you know you test things you experiment you fail fast try the next one and it's relatively inexpensive to do that versus you know buying infrastructure but now so you see that but so talk a little bit more about some of the the real challenges that customers are facing you know when they start that migration as I said before they've got on-prem they've got workloads in the cloud they want a consistent experience but what are some of the problems yeah I mean yeah yeah yeah that's that shadow IT if you thought it has been a big problem but that's business utility isn't it okay because it's taken so long to deploy stuff on Prem ok to take four days before I have a new host ready for you to do that application so no wonder they've done that shadow whitey right but but anyway okay so on task to migrate this application so okay so I got to understand what that application looks like what are the components what it's what is it talking to because if I miss something right if I don't migrate all the components and don't forget these application it's not just one server or one component of the application it's maybe ten components might be whatever it is I need to know what that is and I can't just go to the documentation team to actually see all the protocols it's talking to all the dependencies whether it's one app tier talking to a database tier or whatever it might be the documentation just doesn't exist and the developers who developed that application no longer are part of the company they've long gone if ever they wrote any documentation so to understand right what you need to migrate is one of the biggest challenges and as it happens it's one of the challenges that we can help in netscape well this is a huge problem because you mentioned dependencies so if as you say an application talking to a database and maybe an ancillary application downstream those are going to affect business processes and unless you understand those dependencies if you effect one it's going to have a ripple effect on others and it could affect the business process so so that is a critical problem okay well so how do you nets go solve that problem I mean I have a question how does the industry generally solve it and I want to understand how you're different yeah okay so there's a couple of problems there is what one is understanding the components the dependencies and then one is understanding the performance so you can migrate successfully and all that sort of thing yeah so the industry typically will actually try and use some rudimentary network data to try and take a look at one application communicating to another and trying to get that from some devices various devices around the network because what they'll try to do to do that looking for connections is ok looking for connections and how they're doing that and in terms of performance they're they're resorting to looking at the different logs or the different infrastructure information like CPU utilization or those sort of things or developers are looking at instrumenting code into the applications which give them that performance information trouble with those they only see what the developers put into them rather than the whole picture of all those dependencies so while a bespoke data a lot of bespoke data trying to bring that together and come up with a conclusion that they this is all the components and this is how it's performing it is it's tricky ok so how do you guys do so yeah ok so as you know we use the network the wire data in order to understand what's going on so think about it if an application if I'm talking to my CRM application I might have a web browser it's talking to a web server talking to an app server to talking to a micro survey database or whatever it might be but all of those are interactions in a network different protocols HTTP HWS database Active Directory DNS so because we look at the network we can see it all so we can see all the traffic on the network we can see how things are communicating in reality so you don't necessarily need the documentation because we're documenting what's going on right now and that's kind of where we really score big in terms of understanding those dependencies and it's the it's the secret sauce that we've always known about the that that net Scout has your ability to to probe the network your your layer that analyzes that data the architecture that you've created right that's your IT yeah that's our secret sauce so we translate why data trauma is why data there's a lot of it and it's hard to interpret so that's one thing so we we've cured that problem by creating a patented technology called ASI adaptive service intelligent which translates that wire data into meaningful key performance metrics so you name the application it's all the applications going on your network translate them into performance metrics let's say application performance metrics and then differentiating that's a application latency from Network latency so we can see whether it was a network problem slowing things down or the application server slowing things down but also errors we can see all of that in that that wire data so that's that next layer up and then we have the analytics platform which we call ingenious one which actually takes that metadata and then allows us to display okay it's service dependency map so this is how your application is communicating all the nooks and cranny's the things that you didn't expect and not only does it do the dependency it does the performance as well the metadata oh it always comes back to the metadata one of the challenges that customers tell us they have is just creating the experience between on Prem and cloud you know the so called hybrid a lot of times it's it's different and they want to take that cloud experience and bring it to wherever they are cloud a cloud be on Prem are you able to maintain that experience in in this hybrid model yeah so to multi cloud or or not to multi class yeah no that's the beauty of number one why data and what we do why data is everywhere ok so if your applications communicate communicating in the cloud it's still communicating over IP and so we can actually instrument into the cloud collecting that wire data and then doing the same analytics asi in the same taking the same meta data and actually bring together a view of now the dependencies across the multi-cloud so whatever the cloud were able to get at that wire data and translate it into a si all uniform it's the same metrics okay so let's say we're out in a bar and you meet me and I'm an IT guy and I start chatting and I say hey I got this I'm doing this big project I'm really you know get this important it's got visibility at the board level and we're moving to the cloud and it gets your attention say whoo that's interesting and you start asking me to what advice would you would you give me I'm open to that okay obviously it's a talk to Nets character but the important thing is is this is that the question is that I've got a migrate this to the cloud and all that something and it's like sort of quite scary because I don't necessarily understand the cloud I don't realize that it's either the same or it's it's it's it's different or how its performing and it's I'm losing that visibility so you want to give that guy confidence you also want to give that guy the ability to say okay I understand the cloud and when things aren't the cloud I can continue to monitor it because that's after all the important thing so we've given them that confidence by saying hey we can instrument that application when it goes to the cloud and we can instrument beforehand so it goes it goes in the view understand what you're going to migrate all the components because you don't want to miss something migrate it and still have that visibility when it goes into the cloud we can give you that we give you this is interesting we give you access to that wire data when there are no wires that's to say the magic of nets carrots because we can instrument inside the workloads and get access to the traffic that's going in and out of those virtual machines those ec2 instances those virtual machines in in different clouds get access to that wire data and translate it into those key performance metrics and that's unique to Nets code like how do you do that well okay so the ASI is unique and the our agent technology is also unique to us to actually translate in the virtual machine in the cloud that wire data into metrics and then doing that all on the workload itself is very powerful if we can't instrument in the workload then there's another solution as well to get access to that wire data and that's what recently people like Amazon web services and as you I have announced the ability to tap in to that traffic so as you offer V tap which allows you to copy packets from VM to a destination which would be one of our probe technologies in the cloud Amazon have V PC traffic mirroring to actually get access to that data as well and we do the same thing the point is whether their workloads in the cloud workloads in the private cloud or the data center it's the same metrics and we get that visibility end-to-end visibility is the key ray thanks so much for coming on the cube and explaining so that your approach to a cloud and multi clouds great have you thank you very much you're welcome Eric thanks for watching everybody this is Dave Volante thanks for watching this cubed conversation [Music]

(mellow music) >> Oh, welcome back to theCUBE. We continue our coverage here at AWS re:Invent 22. We're in the Venetian in Las Vegas, and this place is hopping. I'm tell you what. It is a nearly standing room only that exhibit floor is jam packed, and it's been great to be along for the ride here on Accenture's sponsorship at the Executive summit as well. We'll talk about Pfizer today, you know them quite well, one of the largest biopharmaceutical companies in the world but their tech footprint is impressive, to say the least. And to talk more about that is Wes Barnes, senior Director of Pfizer's Digital Hosting Solutions. Wes, good to see you, sir. >> Good to meet you, John. >> And Jon Harrison, the North American lead for Infrastructure and engineering at Accenture. Jon, good to see you as well. >> Good to see you as well. >> Thanks for joining us. >> Happy to be here. >> Alright, so let's jump in. Pfizer, we make drugs, right? >> Pharmaceuticals. >> Yes. >> Among the most preeminent, as I said biopharms in the world. But your tech capabilities and your tech focus as we were talking about earlier, has changed dramatically in the 18 years that you've been there. >> Yep. >> Now, talk about that evolution a little bit to where you were and what you have to be now. >> Yeah, yeah. It's interesting. When I started at Pfizer, IT was an enabling function. It was akin to HR or our facilities function. And over the past couple years, it's dramatically changed. Where Digital now is really at the center of everything we do across Pfizer. You know it really is a core strategic element of our business. >> Yeah. And those elements that you were talking about, just in terms of whether it's research, whether it's your patients, I don't want to go through the laundry lists the litany of things, but the touch points with data and what you need it to do for you in terms of you know, computations, what you, the list is long. It's pretty impressive. >> Yeah, yeah, for sure yeah. >> I mean, shed some light on that for us. >> We cannot release a medicine without the use of technology. And if you think about research now, a huge component of our research is computational chemistry. Manufacturing medicines now is a practice in using data and analytics and predictive machine learning and analytics capabilities to help us determine how to best you know, apply the capabilities to deliver the outcomes that we need. The way in which we connect with patients and payers now is wholly digital. So it's an entirely different way of operating than it was 10 years ago. >> And the past three years, pretty remarkable in many respects, to say the least, I would think, I mean, John, you've seen what Pfizer's been up to, talk about maybe just this, the recent past and all that has happened and what they've been able to do. >> Yeah, I mean, what is so exciting to me about working with a company like Pfizer and working in life sciences more broadly is the impact that they make on patients around the world world, right? I mean, think about those past three years and Pfizer stepped up and met the moment for all of us, right? And as we talk a little bit about the role that we played together with Pfizer with AWS in their journey to the cloud, it's so motivating for myself personally it's so motivating for every single person on the team that we ask to spend nights and weekends migrating things to the cloud, creating new capabilities, knowing that at the end of the day, the work that they're doing is making the world a healthier place. >> Yeah, we talk so much about modernization now, right? And it's, but it kind of means different things to different people depending on where you're coming into the game, right? If you've been smart and been planning all along then this is not a dramatic shift in some cases though, for others it is. Right? >> Yeah. >> Traumatic in some cases for some people. >> For sure. >> For Pfizer, I mean talk about how do you see modernization and what does it mean to your operations? >> Following our success of the COVID program of 2021, I mean it became evident to us that, you know we needed to maintain a new pace of innovation and in fact try to find ways to accelerate that pace of innovation. And as I said earlier everything we do at Pfizer is centered around digital. But despite that, and despite 10 years of consolidating infrastructure and moving towards modern technology, last year, only 10% of Pfizer's infrastructure was in the native public cloud. So we had a problem to solve. In fact, I remember, you know, we had to build up our clinical systems to support the volume of work that we were doing for COVID-19 vaccine. We were rolling things into our data center to build up the capacity to achieve what we needed to achieve. Moving to the public cloud became more imperative to try to achieve the scale and the modern capabilities that we need. >> And so where did you come into play here with this? Because obviously as a partner you're right alongside for the ride but you saw these inherent challenges that they had and how did Accenture answer the bell there? >> Well, so look, I mean we saw Pfizer react to the pandemic. We saw them seize the moment. We talked together about how IT needed to move quicker and quicker towards the cloud to unlock capabilities that would serve Pfizer's business well into the future. And together we laid out some pretty ambitious goals. I mean, really moving at a velocity in a pace that I think for both Accenture and AWS surpassed the velocity and pace that we've done anywhere else. >> Yeah, right, yeah. >> So we've set out on an ambitious plan together. You know, I was kind of reflecting about some of the successes, what went well what didn't in preparation for re:Invent. And you know, many of the folks that'll listen to this will remember the old days of moving data centers when you'd have a war room you'd have a conference bridge open the whole time. Someone would be running around the tile floor in the data center, do a task, call back up to the bridge and say, what do I do next, right? Then when I think about what we did together at Pfizer in moving towards the public cloud, I mean, we had weekends most weekends where we were running a wave with 10,000 plus discrete activities. >> Yeah. >> Wow. >> Right, so that old model doesn't scale. >> Right. >> And we really anchored, >> You have a very crowded data center with a lot of people running into each other. >> You'd have a whole lot of people running around. But we really anchored to an Accenture capability that we call myNav Migrate. I know you guys have talked about it here before so I won't go into that. But what we found is that we approached this problem of velocity not as a technical problem to solve for but as a loading and optimization problem of resources. Right, thought about it just a little bit different way and made sure that we could programmatically control command and control of the program in a way that people didn't have to wait around all Saturday afternoon to be notified that their next activity was ready, right? They could go out, they could live their day and they could get a notification from the platform that says, hey it's about your turn. Right, they could claim it they could do it, they could finish it, and that was really important to us. I mean, to be able to control the program in that type of way at scale. >> Yeah, by the way, the reason we went as fast it was a deliberate choice and you'll talk to plenty of folks who have a five year journey to the public cloud. And the reason we wanted to move as fast as we did and Jon talked about some of it, we wanted to get the capabilities to the business as quickly as we could. The pace of innovation was such that we had to offer native cloud capabilities we had to offer quickly. We also knew that by compressing the time it took to get to the cloud, we could focus the organization get it done as economically as possible but then lift all boats with the tide and move the organization forward in terms of the skills and the capabilities that we need to deliver modern outcomes. >> So, you know, we talk about impacts internally, obviously with your processes, but beyond that, not just scientists not just chemists, but to your, I mean, millions of customers, right? We're talking, you know, globally here. What kind of impacts can you see that directly relate to them, and benefits that they're receiving by this massive technical move you've made? >> Pfizer's mission is breakthroughs that change patient lives. I mean, the work that we do the work that everybody does within Pfizer is about delivering therapies that, you know provide health outcomes that make people live longer, live healthier lives. For us, modernizing our infrastructure means that we can enable the work of scientists to find novel therapies faster or find things that perhaps couldn't have been found any other way without some of the modern technologies that we're bringing to bear. Saving money within infrastructure and IT is treasure that we can pour back into the important areas of research or development or manufacturing. We're also able to, you know, offer an ecosystem and a capability in which we connect with patients differently through digital mechanisms. And modern cloud enables that, you know, using modern digital experiences and customer experience, and patient experience platforms means that we can use wearable devices and mobile technologies and connect to people in different ways and offer solutions that just didn't exist a couple years ago. >> And so, I mean, you're talking about IoT stuff too, right? >> 100%. >> It's way out on the edge and personal mobile, in a mobile environment. And so challenges in terms of you know, data governance and compliance and security, all these things, right? They come into play because it's personal health information. So how, as you've taken them, you know to this public cloud environment how much of a factor are those considerations? Because, you know, this is not just a product a service, it's a live human being. >> Yeah. I mean, you start with that, you think about it through the process and you think about it afterwards, right, I mean, that has to be a core factor in every stage of the program, and it was. >> So in, in terms of where you are now, then, okay, it's not over. >> It's never over. >> I mean, you know, as good as you are today and as fast as you are and as accurate and as efficient. >> Yeah. >> Got to get better, right? You got to stay competitive. >> Yeah. >> So where do you find that? Because, you know, with powers being what they are with speed and what it is how much more is there to squeeze out of this rock? >> There's a lot more to squeeze out of the rock. If you think about what we've done over the past year it's about creating sort of a new minimum viable product for infrastructure. So we've sort of raised the bar and created an environment upon which we can continue to innovate that innovation is going to continue sort of forever at this point. You know, the next focus for us is how to identify the business processes that deliver the greatest value ultimately to our patients. And use the modern platform that we've just built to improve those processes to deliver things faster, deliver new capabilities. Pfizer is making a huge investment in digital medicines therapies that are delivered through smart devices through wearables using, as I said technology that didn't exist before. That wouldn't be possible without the platform that we've built. So over the past year, we've come a long way but I think that we've effectively set the table for all of the things that are yet to come. >> So, Jon, how do you then, as you've learned a lot about life science or, and certainly Pfizer with what they're up to, how do you then apply, you know, what you know about their world to what you know about the tech world and make it actionable for growth to make it actionable for, for future expansion? >> Yeah, I mean, we start by doing it together, right? I think that's a really important part. Accenture brings a wealth of knowledge, both industry experience and expertise, technology experience and expertise. We work together with our clients like Pfizer with our partners like AWS to bring the best across that power of three to meet clients where they're at to understand where they want to go, and then create a bespoke approach that meets their business needs. And that's effectively what we're doing now, right? I mean, if you think about the phase that we've just went through, I mean, a couple of fast facts here no pun intended, right? 7,800 server instances across 11 operating system versions 7,500 databases across 20 database versions, right? 4,700 applications, 350,000 migration activities managed across an eight month period. >> In eight months. >> Yeah. But that's not the goal, right? The goal is now to take, to Wes' point that platform that's been developed and leverage that to the benefit of the business ultimately to the benefit of the patient. >> You know, why them, we have we've talked a lot about Pfizer, but why Accenture? What, what, what's, 'cause it's got to be a two way street, right? >> We've had a long partnership with Accenture. Accenture supports a huge component of our application environment at Pfizer and has for quite a long time. Look, we didn't make it easy on them. We put them up against a large number of world class SIs. But look, Accenture brought, you know, sort of what I think of as the trifecta here. They brought the technical capabilities and knowledge of the AWS environment. They brought the ability to really understand the business outcomes that we were trying to achieve and a program leadership capability that, you know I think is world class. And Jon talked about myNav, you know, we recognized that doing what we were trying to do in the time that we were doing it required new machinery, new analytics and data capabilities that just didn't exist. Automation didn't exist. Some people experience capabilities that would allow us to interface with application owners and users at a velocity and a pace and a scale that just hasn't been seen before at Pfizer. Accenture brought all three of those things together and I think they did a great job helping us get to where we need to be. >> When you hear Jon rattle through the stats like he just did, right? We talk about all, I mean, not that I'm going to ask you to pat yourself on the back but do you ever, >> He should. >> Does it blow your mind a little bit, honestly that you're talking about that magnitude of activity in that compressed period of time? That's extraordinary. >> It's 75% of our global IT footprint now in the public cloud, which is fantastic. I mean, look, I think the timing was right. I think Pfizer is in a little bit of a unique position coming off of COVID. We are incredibly motivated to keep the pace up, I mean across all lines of business. So, you know what we found is a really willing leadership team, executive leadership team, digital leadership team to endorse a change of this magnitude. >> Well, it's a great success story. It's beyond impressive. So congratulations to both you on that front and certainly you wish you continued success down the road as well. >> Thank you. >> Thank you gentlemen. >> Thank you. >> Good job. >> Pfizer, and boy, you talk about a job well done. Just spectacular. All right, you are watching our coverage here on theCUBE, we're at the AWS re:Invent 22 show. This is Executive Summit sponsored by Accenture and you're watching theCUBE the leader in high tech coverage.

(mellow music) >> Oh, welcome back to theCUBE. We continue our coverage here at AWS re:Invent 22. We're in the Venetian in Las Vegas, and this place is hopping. I'm tell you what. It is a nearly standing room only that exhibit floor is jam packed, and it's been great to be along for the ride here on Accenture's sponsorship at the Executive summit as well. We'll talk about Pfizer today, you know them quite well, one of the largest biopharmaceutical companies in the world but their tech footprint is impressive, to say the least. And to talk more about that is Wes Barnes, senior Director of Pfizer's Digital Hosting Solutions. Wes, good to see you, sir. >> Good to meet you, John. >> And Jon Harrison, the North American lead for Infrastructure and engineering at Accenture. Jon, good to see you as well. >> Good to see you as well. >> Thanks for joining us. >> Happy to be here. >> Alright, so let's jump in. Pfizer, we make drugs, right? >> Pharmaceuticals. >> Yes. >> Among the most preeminent, as I said biopharms in the world. But your tech capabilities and your tech focus as we were talking about earlier, has changed dramatically in the 18 years that you've been there. >> Yep. >> Now, talk about that evolution a little bit to where you were and what you have to be now. >> Yeah, yeah. It's interesting. When I started at Pfizer, IT was an enabling function. It was akin to HR or our facilities function. And over the past couple years, it's dramatically changed. Where Digital now is really at the center of everything we do across Pfizer. You know it really is a core strategic element of our business. >> Yeah. And those elements that you were talking about, just in terms of whether it's research, whether it's your patients, I don't want to go through the laundry lists the litany of things, but the touch points with data and what you need it to do for you in terms of you know, computations, what you, the list is long. It's pretty impressive. >> Yeah, yeah, for sure yeah. >> I mean, shed some light on that for us. >> We cannot release a medicine without the use of technology. And if you think about research now, a huge component of our research is computational chemistry. Manufacturing medicines now is a practice in using data and analytics and predictive machine learning and analytics capabilities to help us determine how to best you know, apply the capabilities to deliver the outcomes that we need. The way in which we connect with patients and payers now is wholly digital. So it's an entirely different way of operating than it was 10 years ago. >> And the past three years, pretty remarkable in many respects, to say the least, I would think, I mean, John, you've seen what Pfizer's been up to, talk about maybe just this, the recent past and all that has happened and what they've been able to do. >> Yeah, I mean, what is so exciting to me about working with a company like Pfizer and working in life sciences more broadly is the impact that they make on patients around the world world, right? I mean, think about those past three years and Pfizer stepped up and met the moment for all of us, right? And as we talk a little bit about the role that we played together with Pfizer with AWS in their journey to the cloud, it's so motivating for myself personally it's so motivating for every single person on the team that we ask to spend nights and weekends migrating things to the cloud, creating new capabilities, knowing that at the end of the day, the work that they're doing is making the world a healthier place. >> Yeah, we talk so much about modernization now, right? And it's, but it kind of means different things to different people depending on where you're coming into the game, right? If you've been smart and been planning all along then this is not a dramatic shift in some cases though, for others it is. Right? >> Yeah. >> Traumatic in some cases for some people. >> For sure. >> For Pfizer, I mean talk about how do you see modernization and what does it mean to your operations? >> Following our success of the COVID program of 2021, I mean it became evident to us that, you know we needed to maintain a new pace of innovation and in fact try to find ways to accelerate that pace of innovation. And as I said earlier everything we do at Pfizer is centered around digital. But despite that, and despite 10 years of consolidating infrastructure and moving towards modern technology, last year, only 10% of Pfizer's infrastructure was in the native public cloud. So we had a problem to solve. In fact, I remember, you know, we had to build up our clinical systems to support the volume of work that we were doing for COVID-19 vaccine. We were rolling things into our data center to build up the capacity to achieve what we needed to achieve. Moving to the public cloud became more imperative to try to achieve the scale and the modern capabilities that we need. >> And so where did you come into play here with this? Because obviously as a partner you're right alongside for the ride but you saw these inherent challenges that they had and how did Accenture answer the bell there? >> Well, so look, I mean we saw Pfizer react to the pandemic. We saw them seize the moment. We talked together about how IT needed to move quicker and quicker towards the cloud to unlock capabilities that would serve Pfizer's business well into the future. And together we laid out some pretty ambitious goals. I mean, really moving at a velocity in a pace that I think for both Accenture and AWS surpassed the velocity and pace that we've done anywhere else. >> Yeah, right, yeah. >> So we've set out on an ambitious plan together. You know, I was kind of reflecting about some of the successes, what went well what didn't in preparation for re:Invent. And you know, many of the folks that'll listen to this will remember the old days of moving data centers when you'd have a war room you'd have a conference bridge open the whole time. Someone would be running around the tile floor in the data center, do a task, call back up to the bridge and say, what do I do next, right? Then when I think about what we did together at Pfizer in moving towards the public cloud, I mean, we had weekends most weekends where we were running a wave with 10,000 plus discrete activities. >> Yeah. >> Wow. >> Right, so that old model doesn't scale. >> Right. >> And we really anchored, >> You have a very crowded data center with a lot of people running into each other. >> You'd have a whole lot of people running around. But we really anchored to an Accenture capability that we call myNav Migrate. I know you guys have talked about it here before so I won't go into that. But what we found is that we approached this problem of velocity not as a technical problem to solve for but as a loading and optimization problem of resources. Right, thought about it just a little bit different way and made sure that we could programmatically control command and control of the program in a way that people didn't have to wait around all Saturday afternoon to be notified that their next activity was ready, right? They could go out, they could live their day and they could get a notification from the platform that says, hey it's about your turn. Right, they could claim it they could do it, they could finish it, and that was really important to us. I mean, to be able to control the program in that type of way at scale. >> Yeah, by the way, the reason we went as fast it was a deliberate choice and you'll talk to plenty of folks who have a five year journey to the public cloud. And the reason we wanted to move as fast as we did and Jon talked about some of it, we wanted to get the capabilities to the business as quickly as we could. The pace of innovation was such that we had to offer native cloud capabilities we had to offer quickly. We also knew that by compressing the time it took to get to the cloud, we could focus the organization get it done as economically as possible but then lift all boats with the tide and move the organization forward in terms of the skills and the capabilities that we need to deliver modern outcomes. >> So, you know, we talk about impacts internally, obviously with your processes, but beyond that, not just scientists not just chemists, but to your, I mean, millions of customers, right? We're talking, you know, globally here. What kind of impacts can you see that directly relate to them, and benefits that they're receiving by this massive technical move you've made? >> Pfizer's mission is breakthroughs that change patient lives. I mean, the work that we do the work that everybody does within Pfizer is about delivering therapies that, you know provide health outcomes that make people live longer, live healthier lives. For us, modernizing our infrastructure means that we can enable the work of scientists to find novel therapies faster or find things that perhaps couldn't have been found any other way without some of the modern technologies that we're bringing to bear. Saving money within infrastructure and IT is treasure that we can pour back into the important areas of research or development or manufacturing. We're also able to, you know, offer an ecosystem and a capability in which we connect with patients differently through digital mechanisms. And modern cloud enables that, you know, using modern digital experiences and customer experience, and patient experience platforms means that we can use wearable devices and mobile technologies and connect to people in different ways and offer solutions that just didn't exist a couple years ago. >> And so, I mean, you're talking about IoT stuff too, right? >> 100%. >> It's way out on the edge and personal mobile, in a mobile environment. And so challenges in terms of you know, data governance and compliance and security, all these things, right? They come into play because it's personal health information. So how, as you've taken them, you know to this public cloud environment how much of a factor are those considerations? Because, you know, this is not just a product a service, it's a live human being. >> Yeah. I mean, you start with that, you think about it through the process and you think about it afterwards, right, I mean, that has to be a core factor in every stage of the program, and it was. >> So in, in terms of where you are now, then, okay, it's not over. >> It's never over. >> I mean, you know, as good as you are today and as fast as you are and as accurate and as efficient. >> Yeah. >> Got to get better, right? You got to stay competitive. >> Yeah. >> So where do you find that? Because, you know, with powers being what they are with speed and what it is how much more is there to squeeze out of this rock? >> There's a lot more to squeeze out of the rock. If you think about what we've done over the past year it's about creating sort of a new minimum viable product for infrastructure. So we've sort of raised the bar and created an environment upon which we can continue to innovate that innovation is going to continue sort of forever at this point. You know, the next focus for us is how to identify the business processes that deliver the greatest value ultimately to our patients. And use the modern platform that we've just built to improve those processes to deliver things faster, deliver new capabilities. Pfizer is making a huge investment in digital medicines therapies that are delivered through smart devices through wearables using, as I said technology that didn't exist before. That wouldn't be possible without the platform that we've built. So over the past year, we've come a long way but I think that we've effectively set the table for all of the things that are yet to come. >> So, Jon, how do you then, as you've learned a lot about life science or, and certainly Pfizer with what they're up to, how do you then apply, you know, what you know about their world to what you know about the tech world and make it actionable for growth to make it actionable for, for future expansion? >> Yeah, I mean, we start by doing it together, right? I think that's a really important part. Accenture brings a wealth of knowledge, both industry experience and expertise, technology experience and expertise. We work together with our clients like Pfizer with our partners like AWS to bring the best across that power of three to meet clients where they're at to understand where they want to go, and then create a bespoke approach that meets their business needs. And that's effectively what we're doing now, right? I mean, if you think about the phase that we've just went through, I mean, a couple of fast facts here no pun intended, right? 7,800 server instances across 11 operating system versions 7,500 databases across 20 database versions, right? 4,700 applications, 350,000 migration activities managed across an eight month period. >> In eight months. >> Yeah. But that's not the goal, right? The goal is now to take, to Wes' point that platform that's been developed and leverage that to the benefit of the business ultimately to the benefit of the patient. >> You know, why them, we have we've talked a lot about Pfizer, but why Accenture? What, what, what's, 'cause it's got to be a two way street, right? >> We've had a long partnership with Accenture. Accenture supports a huge component of our application environment at Pfizer and has for quite a long time. Look, we didn't make it easy on them. We put them up against a large number of world class SIs. But look, Accenture brought, you know, sort of what I think of as the trifecta here. They brought the technical capabilities and knowledge of the AWS environment. They brought the ability to really understand the business outcomes that we were trying to achieve and a program leadership capability that, you know I think is world class. And Jon talked about myNav, you know, we recognized that doing what we were trying to do in the time that we were doing it required new machinery, new analytics and data capabilities that just didn't exist. Automation didn't exist. Some people experience capabilities that would allow us to interface with application owners and users at a velocity and a pace and a scale that just hasn't been seen before at Pfizer. Accenture brought all three of those things together and I think they did a great job helping us get to where we need to be. >> When you hear Jon rattle through the stats like he just did, right? We talk about all, I mean, not that I'm going to ask you to pat yourself on the back but do you ever, >> He should. >> Does it blow your mind a little bit, honestly that you're talking about that magnitude of activity in that compressed period of time? That's extraordinary. >> It's 75% of our global IT footprint now in the public cloud, which is fantastic. I mean, look, I think the timing was right. I think Pfizer is in a little bit of a unique position coming off of COVID. We are incredibly motivated to keep the pace up, I mean across all lines of business. So, you know what we found is a really willing leadership team, executive leadership team, digital leadership team to endorse a change of this magnitude. >> Well, it's a great success story. It's beyond impressive. So congratulations to both you on that front and certainly you wish you continued success down the road as well. >> Thank you. >> Thank you gentlemen. >> Thank you. >> Good job. >> Pfizer, and boy, you talk about a job well done. Just spectacular. All right, you are watching our coverage here on theCUBE, we're at the AWS re:Invent 22 show. This is Executive Summit sponsored by Accenture and you're watching theCUBE the leader in high tech coverage.

(upbeat music) >> Hey, everyone. Welcome back to New York City. Lisa Martin and John Furrier with theCUBE here live covering the AWS Summit NYC 2022. There's about 15 different summits going on this year, John, globally. We're here with about 10,000 attendees. Just finished the keynote and two guests from SoftwareONE. Please welcome David Torres, the director of cloud services and Asim Khan, a North American AWS services delivery lead at SoftwareONE. Welcome, guys. >> Thank you for having us. >> Thank you for having us. >> Talk to us, David, kick us off. Give the audience an overview of SoftwareONE. What do you guys do? And then tell us a little bit about the AWS partnership. >> Sure, so SoftwareONE, we are one of Microsoft and VMware's largest resellers. We help customers with our IT asset management services, managing their on-premises license real estate, but we're definitely a company that's undergoing a transformation. And when I say that, essentially we're focused on three key pillars with our go to market, supporting the hyperscalers. So we do support AWS, Azure, GCP at modernization because we do see this with a lot of our customers, you know, they're moving from on premises to AWS. They have a lot of technical debt and they're looking at options to modernize that, and mission critical workloads like SAP, Windows, Oracle, and we offer, you know, a suite of professional services, managed services, migrations, quite quite a bit of services. >> Asim, can you kind of double click on the services that SoftwareONE delivers to customers? Maybe some key use cases? >> Yeah, sure. I think in the Amazon space, I would say we're currently focusing in the area of funding programs that Amazon currently has, for example, the Migration Acceleration Program, which is a map with supporting customers basically with the entire cloud journey that they might have, or helping them define that cloud journey. And then we can help the customer in any phase of that journey as well to basically take them a step step above. So that's what our area of focus is right now to basically help enable customers. >> So on the Microsoft, AWS, you mentioned Microsoft, I mean, they've had the enterprise business for years and, you know, developers was their, you know, ecosystem. Back in the day, "Developers, developers, developers" as Steve Ballmer once said, and that was their crown jewel. But then, you know, .NET now has Linux. They got a lot more open source. So those enterprises, their customers are changing. A lot of them are on AWS. So talk about that dynamic of the shift to AWS. And now that Azure's out there, what's the relationship of those hyperscale? How do you guys navigate those waters? >> Sure, I mean, it's always the concept of work backwards from the customer, right? What are the business outcomes they're trying to drive and, you know, define a strategy from that. And it's still a function of change management for a lot of customers, people, process and tools. So, you know, in a lot of cases, our customers are evaluating what's a skillset of our people, do we need to upskill them, the tools that we're using, how do we use those on the multiple clouds, right? And then the processes. So for us, you know, we have some customers that prefer one cloud over another. We have customers that run cross multiple clouds. They deploy different workloads. And then we have some customers that transformation and modernization are really big top of stack for them. So in some cases, those customers are going to AWS and, you know, we're helping them kind of with that journey. It's interesting, Amazon literally won the developer cloud market early on, going back 15 years. >> Absolutely. >> But not all developers, enterprise developers who, you know, in the enterprises, they're stuck in their ways, but are changing. This is a digital transformation moment 'cause cloud native applications, the modernization piece, is developer centric. >> Absolutely. >> That's key, the developers. So I'm interested in your perspective and reaction to what's going on in that developer market right now with DevOps exploding in a great way, the goodness of the cloud coming more and more to the table. >> Sure, no, absolutely, great question. So I think with enterprise developers, you know, we see just the businesses driving a lot of the outcomes, right? So the modernization aspect of needing to get to market faster, needing to deploy applications faster, having a more efficient operating model, more automation. And for your point on the .NET modernization, you know, we work with customers too as well. We made an acquisition a couple years ago, a company, InterGrupo. They actually specialize in this in .NET modernization. So we know we're seeing some customers that are moving to Linux, right? And they want to go .NET Core and, you know, they're kind of standardizing on Linux. So we kind of see a, you know, wide spectrum, but yeah, maybe. >> Where are your customer conversations as things have changed so much in accelerated dramatically in the last couple of years? >> Sure. >> Obviously we've talked about the developers, but talk to me about, you know, business imperatives for businesses in every industry to digitally transform, number one, to survive the last couple of years, but, two, to be at a competitive advantage. >> Sure, no, so I think with businesses, you know, obviously, 2017, innovation, 2022, it's a little bit different, right? There's obviously macro conditions, you have COVID. So, you know, we're seeing where customers are essentially really doing their due diligence, right, when they make their choices more than ever before. And they're trying to maximize, right, their spend and their ROI when they move to cloud and that involves, you know, the licensing advisory, what they can move, what they can modernize, migrations, and just the roadmap and what strategy. But what I see is, it's the business outcomes, what they're trying to drive, and, you know, we're seeing some trends too with maybe a more conservative segments like healthcare, public sector, right, utilities that they are really investing and moving towards the cloud. >> Asim, I got a question from Twitter, a DM, I want to ask. You guys are on the front line. So you see the customers, which is really great 'cause it's primary data. You guys are right there. And you're not biased. You work with whatever hyperscaler. So it's really good. So the question that came up was, "Can you ask them the following, 'What's going on in the data warehouse front, cloud warehouse front, you got Redshift competing with Synapse, Azure Synapse, Google BigQuery, and then you got Snowflake and Databricks out there?'" So you got this new data provider, but it's not a data warehouse. And you got data refactoring on AWS, for instance as well. So, you know, this whole new level of data analytics with how you're doing cloud data. And you call it a data warehouse, I guess for categorically, but it's really not a warehouse. It's a data lake and you got lake front foundation. What are you guys seeing on the front lines with customers as they try to squint through how to deal with the data and which cloud to work with? >> That is a good question. I mean, I've been in the industry a long time. I've worked for some major financial institutions as well and data or big data was big for that industry. (John chuckles) So I've seen how the trends have changed, but from our perspective, because we are an agnostic services company, as you mentioned, we basically can work with any hyperscaler, we initially see what the business needs are for the customer. If the customer is already, for example, using Amazon, we initially want to have the customer use native tooling available within that hyperscaler space. If the customer is open for us to give them any recommendations, of course, we look at the business needs. We look at what type of data is going to be stored. What the industry is. Based on all of those inputs is when we basically give the right recommendation, it could be a third party data warehousing solution. It could be an area one. It all depends on what the business needs of the customer are. >> So for example, and most companies do this they build on say AWS, who is one of the first big clouds. And then they go, "Hey, we got customers over there at Azure, that's Microsoft they got thousands and thousands of customers. Snowflake's done, and they have marketplaces as well." So you guys are kind of agnostic it sounds like. Whatever the architecture is on the stack that they choose. >> Correct, so that's what makes us special. I think we are one of those services companies which is quite unique in the industry. And I don't say that just because I work for SoftwareONE, (John chuckle) that is a fact that gives us a very unique perspective of giving the customer the right piece of advice because we've seen it all and we've done it all. So that's, I think what puts us unique and regarding technology, all the different hyperscalers, they might have a very similar backend technology stack, but what the front end services each hyperscaler is building are very unique. Amazon being the leader in this space, they've been ahead of the curb by a few years, they will always have certain solutions which are above the rest. So I mean, I've always been an Amazon person, so I'm slightly biased, but, hey, I mean, I'm not complaining about that. >> The good news is the customer has choices. >> Right, absolutely. And we do see customers that want to be agnostic, right, >> Yeah. >> With their technology choices. Actually, that's a good segue about our partnership with AWS. We recently signed a strategic collaboration agreement between both parties. So there's going to continue to be big investment from us, scaling out our professional services, our practice areas, and then also key focus area for a fin ops. >> Is that your number one area? >> It's one of the areas, yeah. >> Okay, what your top three practice areas? >> Top three, mission critical workloads. So enterprise workloads like SAP, Microsoft, Oracle, two, app modernization, and, three, definitely fin ops and the hyperscalers, right? Because we see a lot of customers that have already heavily adopted cloud, they're struggling with that cloud financial management aspect. >> So if they're struggling, what are some of the key business outcomes that they come to you, to SoftwareONE, and say, "Help us figure this out. We have to achieve A, B, C." >> Sure, so depending on the maturity of the customer and where they are in the journey, if they're already very heavily adopting cloud, you know, AWS or Azure, we see in a lot of cases that the customers are unsure if they're getting the most out of their cloud spend, and they're looking at their operations, and their governance, and, you know, they're coming to us and basically asking us, "Hey, we feel like our cloud spend is a little bit out of control. Can you help us?" And that's where we can come in, you know, provide the advice, the guidance, the advisory but also give them the tooling, right, to have visibility into their cloud spend and make those conditions. And we also offer a managed fin op service that will end to end do this for the customers to help to manage their resale, their invoicing, their marketplace buy, as well as their cloud spend. >> So obviously the engagement varies customer to customer. What's a typical timeframe? Like how long does it take you to really get in there with a customer, understand the direction they need to go, and create the right plan? >> Sure, again, comes back to the cloud journey. You know, if the customer is still, you know, very much on prem and maybe more, you know, conservative, it may start with licensing assessments just to give them an idea of what it would cost to move those workloads, right? Then it turns into migration modernization, you know, it can be an anywhere from one to six months, you know, of just consulting, right, to get the customer ready. And then we help 'em, you know, obviously with their migration plan. But if they're already heavily adopting cloud, you know, we do remediation work, we do optimization. Obviously, SAP, that's a longer cycle, so. (chuckles) >> So I got to ask you guys, what is the PyraCloud? SoftwareONE as a platform PyraCloud. What is that? >> I might want to answer that. >> Sure. (chuckles) >> It's pronounced PyraCloud. >> How do you pronounce it? >> PyraCloud. >> PyraCloud, okay. I like PyraCloud better. (chuckles) >> With the Y in there. It's basically our spend insight platform. It gives customers an a truly agnostic single pane of glass view into their entire cloud enterprise spend. What I mean by that is with a single login, the customer has access to looking at their enterprise spend on AWS, on Azure, as well as GCP. And in the future, of course, we're going to add other hyperscalers in there as well. Because of the single pin of glass view, the customer has a true or the customer leadership, or, for example, the CTO has a single pane of glass view into the entire spend. We allow the customer to basically have an enterprise level tagging strategy, which is across all the hyperscalers as well as then allowing a certain amount of automated cost management as well, which is again agnostic and enterprisewide. >> Can you share an example of a customer for whom you've given them this single pane of glass through PyraCloud, and by how much they've been able to reduce costs or optimize costs? >> Yes, mostly the customers who would be a very good fit for PyraCloud would be a slightly more mature customer who already has a large amount of spend, or who is already very mature in their different hyperscalers. And usually what we've seen once a customer is mature in the cloud over a certain period of time, controlling costs does become difficult, even though you might have automation in place, but to get to that automation, you have to go through a certain amount of time of basically things breaking and you fixing them. So this is where per cloud becomes very helpful to help control that. And building a strategy, which once in place is repetitive and helps you manage costs and spend in the cloud year after year then. >> One of the things I want to get your guys reaction before we wrap up is this show here has got 10,000 people which is a big number, post COVID, events are coming back but in the past five years, or six years, or seven years, since like 2015, a lot's changed. What's changed the most? Shared to the audience what you think is the biggest step function change that's happening right now? Is it that data's now prime time? Everyone's got a lot of data, hasn't figured out the consequences with it. Is it scale? Is it super cloud? Is it the ecosystem because this is not stopping ,the growth in the enterprise on the digital transformation is expanding, even though GDPs down, and gas prices are high, and inflation, this isn't stopping. Now, some of the unicorns might be impacted by the headwinds, the big overfunded valuations but not the ecosystem. What's changed? What's the big change? >> Well, I think what I see is this cloud is becoming the defacto operating model and customers are working backwards from that as their primary goal, right, to operate in the cloud. And as I mentioned before, they really are doing due diligence, right, to really understand the best approach for seeing kind of maybe some of the challenges other customers have had when they first moved to AWS, so. And I'm, you know, seeing industries that maybe five years ago, you know, were not about moving to cloud, like healthcare. I can tell you a lot of our healthcare customers, they're trying to get to cloud as fast as possible. >> It's a wake up call. >> It's a wake up call. >> Absolutely. Absolutely. >> Asim, what's your reaction? >> In my point of view with what's happened these last few years with a lot of companies having their employees work from home and being remotely, I think end user compute was one of the big booms which happened about two years ago. We support a lot of customer in that space as well. And then overall, I think we actually saw that there was much more business focus with employees working for home for some reason. And we saw that internally in our own organization as well. And with that focus, the whole area of being more lean and agile in the cloud space, I think became much more prevalent for all the enterprises. Everybody wanted to be spend conscious, availing the different tools available in the cloud arena, like autoscaling like using, for example, containerization, using such solutions to basically be more resilient and more lean to basic control costs. >> So necessity is the mother of all inventions >> It is. >> That got forced. So you got wake up call and then a forcing function to like, okay, but exposes the consequences of a modern application, modern environment because they didn't, they're out of business. So then it's like, okay, this is actually working, (chuckles) why don't we like kill that project that we've doubled down on, move it over here." So I see that same pattern. What do you guys see? >> Yeah, no, I mean, we see that pattern as well. Just modernization, efficiency. You could just move faster, more elasticity, you know, and, again, the wake up call, you know, for organizations that people couldn't go to data centers, right? (chuckles) >> Yeah. (chuckles) >> We actually have a customer, that was literally the reason they made the move, right, to AWS. >> And I would add one more thing to that particular point. With the time available, I think customers were able to actually now re-architect their applications slightly better to be able to avail, for example, no server type of solutions or using certain design principles which were much more cost lean in the cloud. That's what we saw. I think customers spent that time available over the past couple of years to be much more cloud centric, I would say. >> Yeah, the forced March was really an accelerant and a catalyst in a lot of ways for good, and there's definitely some silver linings there. Guys, we're out of time. But thank you so much for joining John >> Oh, awesome. >> And me talking about SoftwareONE, what you guys are doing, helping customers, what you're doing with AWS and the hyperscalers. We appreciate your time and your insights. >> Thank you. >> Awesome. Thank you for having us. >> Thanks for having us. >> Really appreciate it. >> All right, for our guests and John Furrier, I'm Lisa Martin. You're watching theCUBE live from New York City at AWS Summit at NYC. Stick around, John and I will be right back with our next guest. (upbeat music) (upbeat music continues)

>>Hi, everyone. Welcome back to the cubes coverage of splunk.com, virtual 2021. I'm John Ford, your host of the cube. We're here with Teresa Carlson, special guests cube alumni. Who's now the president and chief growth officer of Splunk. Teresa, welcome back to the queue. >>So glad you're here with us >>As the president of Splunk. Great to see you. Great to see you. So we've had many conversations in the queue. When you were the chief of public sector of Amazon web services, you grew that business significantly over the years. We've documented on the cube and we've talked about I've written about it. Um, now Splunk, it feels a lot like AWS was back in LA a couple of years ago, where you have this amazing product everyone's using. They don't lose customers. They're getting customers they're in the middle of the security thing, which you know a lot about, and they have this large enterprise base growing. It's just a minute. Grazer leaning in Splunk is, seems to be going to the next level. >>Totally. Well, you nailed it. I would say we're definitely in a scale mode at this point at Splunk. And also to your point, our customers are so loyal to us and we're seeing actually customers with more than a million dollars doubling their spend almost with us. Uh, it's pretty cool. And now we have this cloud portfolio, which is one of my jobs, as you know, I love, I've got my cloud shirt on. I've been believer in cloud. I'm a real believer. You know, I saw the transformational effects of cloud in real time, over 11 years and bringing that here even more to utilize that in our security and observability spaces is quite phenomenal. And then you see again in a much more, uh, set of segmented workloads, how customers take advantage of this. And of course today, like no other John security is just top of mind. It's always been you and I talked earlier about how security kind of evolved over the years and public sector led some of that over time. And then commercial industry say, you know, wow, that today it's, I mean, it's more than top of mind for not just every enterprise organization and government entity, but it's also every board out there. It's something that we think about internal threat, external threat. How do we manage it? How do we get the data around it to understand it? And then how do we take action on it? >>I seen you up on stage as a senior leader here at Splunk, um, at the virtual venue at a great keynote was a lot of news. And we'll get into that in a second, but I want to ask you, knowing you personally and covering you over the years of Amazon web services, you've been a fierce competitor. Okay. But you also have been a great people, person, people loved working for you, Splunk, is it the same? We've been covering them just as long as we cover an ADFS. The culture seemed to fit because Splunk is kind of competitive, but they're kind of quiet, competitive culture. Yeah. Interesting. Tell us about, tell us about your experience. >>Well, and I think we can, yeah, we can do it in our own Spanky way. I'm learning new it's six minutes today that I've been as blind quiches and believable that I've been here this long already, but, uh, Splunk has a very quirky culture, which I led. They have a lot of fan. They have a big following and I'm so sorry that everyone couldn't attend in person, but the virtual social media feeds are off the charts. I mean, I'm just, I'm having so much fencing high already. They come together. It's a real community, but, uh, yeah, on the competition front, here's what reminds me so much about my old world is that I always love that when somebody wakes up and realizes that it's a huge industry and they want to participate. And that's kind of what happened when I was at AWS and now it's blank. >>I'm like, Hey, all these companies are waking up and saying, data's this real thing. It's like a $90 billion plus industry and growing, and then data with security. Hello, are you kidding me? So I feel like really that's kind of what's happened. And Splunk has such a unique set of tools and solutions that just work, they work. And that's what customers, I have heard that statement from customers and partners so much that it just works. And the other thing that's pretty unique about us, I would say John is our ability to navigate between an on-prem world and a cloud world in a unique set of areas like IOT, edge computing. So wherever customer's data is multiple clouds, we're able to take advantage of that for the customer. So they make the choice of where that data comes from and they use the splint tooling then to be able to get those insights and information >>Well, great to have you on the Cuban grid, that's swung to have you, and they're going to be lucky to have you going to do a lot stuff, knowing you and knowing the Splunk community and the team here. A great team. Now talking about the announcements, look at what's going on. Obviously security is still in everything. Yep. A couple of things, rebranding of the partner versus sends a huge message of the ecosystem. You know, that movie you've seen that movie before, um, digital journey for customer success. Again, they have tons of customers that have been with them from beginning and new customers, but they've got to go government action going on here. Whereas you know, a lot about the government logging in monetization program. >>Yeah. Well, as you know, the government, uh, you got 11, but they do continually come up with N fended mandates. And my government customers always have said, oh my gosh, I've got another unfunded mandate. So we're really helping them at that because yes, while it's infested in this budget this year, as it states, they know how important it is. And I do think this initiative is something that is going to have a waterfall effect into the commercial industries. Also just like a lot of these things do and around security, uh, but it's important that we help our government customer made as best as they can. So we've come up with, I think, a very unique offering that they can take advantage of for Splunk and we're going to be out there helping them every way. And, and hopefully John L also helped them learn more about cross governmental, what they're doing and how they can understand from their logs and metrics even more about how to protect. Yes. >>One of the things that we've talked about before in the past, but how cloud-scale, and as creates ecosystems, Amazon VMware, you seeing all these ecosystems that have been thriving for, for decades, Splunk has an ecosystem developing very, very fast. Their partners are, are loyal and they're making money with them. And they're being delivered solutions as data becomes the new enablement. How do you see the role of the partners that growing? How do you see them evolving over time? >>Well, let me just tell you, I'm, I'm a real believer in the partner community. I mean, firsthand over the years, my time at Microsoft at AWS, I saw it as an unbelievable force multiplier to your business. And I mean that, and they do things that you don't even think of. I, you know, I'm always amazed at partners. I'm like, oh, you're using the tool for that. Wow. So while we are broadly good, we're, we're very good at what we do, but we cannot understand every horizontal or vertical industry out there. And the reason it's important to have partners, they can take you to places that you never dreamed. And for us, if you look at the categories, we need our CSP or cloud service providers to be able to really help us make sure that we take advantage of the cloud platforms that are out there and our primary, we AWS, and then Google cloud. >>Uh, and then after that we work, we work with both those a migration. You saw Steve Schmidt today. Good friend of mine love Steve. And the work we're doing. And you saw, we were one of the first migration partners with AWS. You'll see us continue that program. We'll work together to continue to look for security services jointly that we can offer. And we're a customer of theirs. They're a customer of ours. It makes a good partnership. And then additionally, you have, uh, you have your MSPs, right? Your managed service providers. And today we talked about blue buoyant who had multiples, and these are partners out there that have a unique offering for me, generally managed security or observability in the marketplace. They take the Splunk toolkit, they add to it and they have it off, offered out to their customers. Um, and then you have your largest size like Accenture. I'm so excited about that. First of all, led Julie Sweet. She's an amazing CEO and leader. Uh, and w in what they're doing with this, they've been a long-standing partner of ours, but now they've actually made us part of their, one of their 11 business groups. So it's Accenture plus Splunk, and now they'll take us into all of their industries together. So it's huge. And, you know, >>Does that mean cause, cause this is a business deal. This isn't just like a, you know, some sort of deal where you guys saying we're going together. This is a specific division. >>That's right. That's right. So they have a leaven partners that they work with. AWS is one of them. SAP's one of them. Uh, IBM's one of them, Salesforce, I believe is one of them. And they have, they have experts at Accenture that can go into customers to implement tools and services for customers at the enterprise level. And so they have selected. Splunk is one of those business partners that you heard Paul today talk about. We already have 400 customers together and growing, we will expand that, but it's a joint effort of both go-to-market selling and technical resources that will deliver. But for Splunk, again, it's back to that horizontal and vertical slicing where they can take us into security practice that they have chosen. Splunk is one of their security offerings and it's important that we really support them. But also in the splint, a partner verse, we're going to do some new things. >>John, if I just first take and talk about it, we've had a great partner program, but now we're going to Korea's credits, uh, technology, architecture, tooling support, uh, getting in, you know, to certify themselves, to be pro serve ready for those migrations and modernizations. But also really what we heard from a lot of them is they need more training and education remaster to understand our new cloud offerings. And that makes sense. So it's more digital and more cloud oriented with these partners. And then guess what they would love for us to talk about how great they are and we should. So when we get them out there that helps our customers really understand the offerings they have in the marketplace >>At Brooke honeymoon was saying she didn't do a lot more listening and they're working on this next level partner verse. I found that really interesting, all sorts of Katie beyond key. I talked with she's the SVP of customer success, something you're I know you're obsessed about. You always work backwards from the customers as the AWS way. How do you view customer stuff? Because you have a lot of different customers, you have diverse customers. What's important. What are you going to keep Katie's on top of this, but what's your view. >>We ha we do have a lot of different customers. However, we have a concentration of the largest, most important and influential customers in the world. So our customer base is very large enterprise oriented, multiple departments within that enterprise take advantage of Splunk. We work with 90 to the 100 fortune 100 companies, and we've worked with them for a long time. And like I said, we're continuing to see them use more of splice, not less as blank. And the way that that happens is, and I hear from him, I sit and talk to him and they're like, now we're using Splunk in these multiple departments and we need to bring it all together at the enterprise level for the C-suite to look at it. Now, I know it sounds a little strange John, but that's changed a bit over the years. And that is because, you know, if you look at big spenders at an enterprise, he spends a lot of money because they need to at dev, you know, uh, security, right. Security infrastructure, and they need to monitor all that. They need to understand it, but guess what they want, understand it now at the corporate level. And they need it at the CIO, they need at the Cisco level for threat analysis. And then now boards want more and more that information they want to roll up of what's happening. So we're seeing a trend where the C-suite, the senior executives really are much more interested in Splunk. It used to be very departmental. >>I'll throw another wrench in the equation. There is one developers want shifting left. They want real time data security policy in the development, CDC at pipelining. So another problem. Yeah. >>Yeah. And developers lever tools. And again, they're, they're another unique group I should totally talk about. That takes your tools to another level and really fears that ways within their customer set to take advantage of the tooling. >>He's a great to see you. Congratulations on a new opportunity here. And the leadership at Splunk, um, really perfectly poised to take the growth of the cloud. That's. So I have to ask you, what's your mission? What's your mission for the next year as you come on? You're six months in what's the, >>Well, for us, here's blankets, continuing to scale, really listening to our customers and partners. It sounds, I don't want it to sound like a cliche. We really are spending time listening and working back, Sean and I are working. He's their president of technology products and technology. He and I are working very closely to look at features and functionality that we need to be talking about. Uh, it is about taking advantage of the partner community in a way to support them, to help again, get us into new areas of the business. And then lastly, continue to make sure that we have the training and education for customers directly because our tools and technologies are evolving. And if I've learned anything over the last 11 years is cloud is a step change for a lot of customers and they're still hybrid. So it's important that we meet them where they are, but help them get over that bridge so that they have that full digital journey. So that's what you're going to see me focused on. I'm super excited. >>I was talking with Claire, the CMO just before you leave, I want to get your reaction. This event went virtual the last minute. It became a studio here in Silicon valley. You're a media company now Splunk. Yeah. >>It's like it. I mean, it is amazing what we accomplished today. Uh, I, you know, I don't want to pre give numbers, but we had way, way over 20,000 today, online and, uh, growing. So the numbers we're still looking at, but it was unbelievable. And we had, I think we had had like 22,000 registered and we even got more. So people joined in, they stay, they watched the keynote, there were out narrow specialty sessions. And I all agree, like it was pretty cool. It was a step change because we were thinking about doing it in person. We took a pulse and we said, you know, we think we can actually do a better job this year because of COVID steel. If we do it all virtually and it turned out and we have you, so look at this, you're like, we have you here. And I love your cool backdrop here, John. Yeah. >>Well, you guys do a great job. You guys are a media company. Now you're telling your own stories direct. There's a lot of stories to tell. Thank you for coming on the cube. Great to see you >>Again. John's great to see you because the >>Cubes coverage here at.com 2021 virtual I'm John for your host of the cube. Thanks for watching.

>> Instructor: From around the globe, it's theCUBE. With digital coverage of AWS re:Invent 2020. Special coverage sponsored by AWS Worldwide Public Sector. >> And welcome back to theCUBE's virtual coverage of AWS re:Invent 2020. I'm John Furrier your host. This is theCUBE virtual. Special coverage of the public sector. Today Rebecca Wetherly, Director of Worldwide Public Sector System Integrator Partners for AWS. Great to see you. Welcome to theCUBE virtual. >> Thanks, John. I'm glad to be here. >> So just the news we've been covering all through re:Invented priors, just the growth in public sector. The acceleration with the pandemic, it's just that this acceleration has been massive. So I want to just get get your take. It's been hard but also, it's been an opportunity for partners. >> You leading the Integrators. >> Sure. >> They're on the front lines. I got to ask you, (chuckling) what is AWS doing to support their partners, as the business models are forced really upon them to move faster? >> Yeah, sure. Thank you. Let me start with saying that, companies are really building a business in partnering with us. Because of global needs such as the pandemic. But we also have many partners that are coming to us because of our customer demand outside of COVID. Because we're a leader in cloud innovation, and because we've got a global field engagement and go-to-market strategy. You know AWS is a customer driven company, and our partners are also our customers. We have a full suite of programs for our partners and whether they be a consulting partner or a technology partner. We have tens of thousands of partners all across the globe, with more than 35,000 new partners since January 2016. And in our public sector space, we have over 1,500 partners with solutions and experience, delivering on a combination of government, education, and nonprofit customer missions all around the world. Consulting partners are really professional services firms. That help customers of all types and sizes design, architect, build, migrate and manage workloads and applications on AWS. They accelerate the journey to the cloud for our customers. And they often are implementing technology solutions. As you referred to around COVID, that our technology partners are actually developing. So consulting partners are SIs that I work with, Strategic Consultant Partners, Managed Service Providers, and also resellers. And they are providing really great value to our customers by providing strategic advisory services, implementation and migration services, Staffog. They also have great specialty depth and machine learning or AI. IOT, data lakes and analytics. And even in things like communication tools using technologies like we're doing today on zoom, and taking those to our customers. Our technology partners on the other hand they deliver hardware, connectivity services and software solutions that are hosted or integrated with AWS cloud. And they deliver components to broad customer solutions, often via our consulting partners. We have a great, a great way of delivering technology through our AWS Marketplace and we'll talk about that in a minute. But I will say, that our tech partners are helping our customers decrease their deployment times, provide cost optimization and infrastructure for DevOps and production workloads. They're also lowering their costs on code development by using our broad portfolio of services. And oftentimes for our public sector customers they are helping shorten the path to achieving regulatory requirements for our public sector needs. >> That's awesome. You guys have a lot to do there to support your partners. Obviously the main concern is, how do I maintain that profitability in the fast pace. And then making sure that their customers can also transition and ride the digital transformation wave. So I have to ask you, what programs are you guys offering to help these partners succeed because certainly it's beyond just the profitability. it's this new business model of Cloud-scale. So what programs specifically are you guys offering? >> Yeah, we have a lot of different programs at AWS. The first stop is really the AWS Partner Network. Which I'll refer to as the APN. This is really our global partner program for technology and consulting businesses to leverage Amazon Web Services to build solutions and services for customers. The APN is the first place where companies can build, market, and sell their offerings, and provide valuable business, technical, and opportunities for marketing with their customers. Our programs provide promotional support. We provide visibility throughout our website. We give partners opportunities to engage with customers for events, social media. And we provide access to funding and go-to market opportunities. I touched on briefly our AWS Marketplace . And this is really a great program offering to our customers both consulting partners and technology partners. The AWS Marketplace simplifies procurement and entitlement of provisioning software across 50 different categories. And we have more than 8,000 transactional listings. That marketplace connects customers with more than 1,000 different ISBs or independent software vendors to help meet their business needs. And we have more than 300,000 customers using software from the AWS Marketplace. The Marketplace is also available on 24 different regions. So when a customer chooses to use the Marketplace they have the opportunity to procure their software from our consulting partners and leverage the software and the technology from our from our tech partners. Other really cool programs we have are our Partner Transformation Program or SaaS Factory Program, and also our Migration Acceleration Program. >> Awesome. Great programs. What else are you guys besides programs, Are you guys doing >> Yeah. >> to help partners succeed. Because I know there's a lot of touches, there's some new things going on. What else do you guys do? >> Yeah, I think we have a lot of great resources available to our partners. Most of our partners have Partner Development Managers that are working with them on a daily basis. Access to our business development and sales teams, solutions architects and other subject matter experts. Really getting deep into the technology and having access to those folks to help our partners design, build, architect and validate a purchase with customers. Also our Professional Services Teams.Right? They are deep subject matter experts that our partners have the ability to tap into. And then of course, because of the way we go to market in public sector, access and engagement with our capture, bid, and proposal teams are super important. We also have to consider access for our partners to be trained and become certified. That's a real requirement that our customers need to help them achieve their goals. We offer digital and classroom training for our partners to be able to learn at their own pace or via an AWS instructor. And AWS training and certification helps our partners build competence, confidence, and credibility with our customers. We also have AWS competencies. And our competency program is designed to identify, validate, and promote APN partners that have demonstrated technical expertise and proven customer success. One of the most critical competencies for us is and these days is around our migration. Migration competencies allows our partners to accelerate their customer's cloud adoption journey by providing strategy, personnel tools, education, and tech support to their customers. One of those customers and partners is InterVision. They're a consulting firm that provide strategic advisory services to organizations to help them run, grow, and transform their business needs with the cloud via modern IT services. Their experts have a deep history in technology solutions and they have a deep bench of certified engineers and data scientists to excel delivering Managed Services and Migration Services to both public sector and commercial customers. And with the California Department of Technology. Which is a state agency that provides authority and responsibility over all aspects of technology for California state governments, they selected InterVision to work with them due to their expertise and their proprietary offering called Cloud Migration Lifecycle Assurance. And that offering provided that CDT, the ability, pardon me. To take advantage of their Cloud Migration operations and optimization specialty. So our partners are really getting great opportunities to build their business and to accelerate their their work with us through a variety of programs, and by really digging deep and leveraging all of the programs that are available to them. >> It's nice with the mix of programs, plus the field support, plus the care they're nurtured that, grow that. As you know in these in these markets where you have partnerships and channels and relationships. You need to be profitable. And profitability is about happy customers. >> Rebecca: Sure. >> And margins.(chuckles) Making money. >> Rebecca: Yeah. Sure. >> You got to make money to stay in business. So, this is a big opportunity as the new economics of cloud come into the channel. This is really a big conversation. Moving fast, scaling up, new kinds of services. The integrators are really having a good time here. And these are new practices. How can someone learn more? What's out there? How does someone get engaged with you guys? What information can they, is there a site? Is there a program? How does someone get the resources? What would they do? >> Yeah. Well, I will tell you. The first stop is really our website. And that may sound trivial but that is the best place to get started for us. You're going to find there by visiting https://aws.amazon.com. You can register to become an AWS partner very easily. Right there you're going to get step-by-step instructions and learning paths, as well as tutorials and how to get your business up and running, and how to become a partner. And the journey largely looks like this. Right? One. get on board. Get familiar. Establish your relationship and join the Amazon Partner Network. Go through some very basic training and get familiar with their services. Second. Develop those technical and sales skills. Develop a business model where AWS lends the greatest value to your partner business. And as you move through the tiers of maturity, we will co-invest in your business to help you scale. And then three, really go to market. Establish the pathways to your customers. Build out your differentiated approach. Look at the competencies we offer and decide which ones are going to be the most relevant to you. We want you to leverage the funding mechanisms we have, and we want you also to think about how we co-market together. There are so many roads to success and AWS offers lots of different partner programs and opportunities to develop your unique roadmap John. >> Yeah, that's great enablement. That is super valuable. Having the co-funding, the go marketing, and the tools and the programs. All there to enable services to be successful. Rebecca, thanks for sharing that program. >> My pleasure. >> Great to have you on. Rebecca Wetherly, >> Thank you so much. Director of the Worldwide Public Sector System Integrator Partners. A big growing part of the public sector when we need it the most, which is now and it's growing. So check them out. Thanks for watching. This is theCUBE coverage. CUBE virtual, for AWS re:Invent reinvent public sector, special coverage. Thanks for watching. (upbeat music)

>> Announcer: From around the globe, it's theCUBE. Covering Google Cloud Next on Air '20. >> Hi, I'm Stu Miniman. And this is theCUBE's coverage of Google Cloud Next On Air. One of the weeks that they had for the show is to dig deep into infrastructure, of course, one of the foundational pieces when we talk about cloud, so happy to welcome to the program, I've got two of the general managers for both compute and networking. First of all, welcome back one of our cube alumni, June Yang, who's the vice president of compute and also welcoming Shailesh Shukla who's the vice president and general manager of networking both with Google Cloud. Thank you both so much for joining us. >> Great to be here. >> Great to be here, thanks for inviting us Stu. >> So June, if I can start with, you know, one of the themes I heard in the keynote that you gave during the infrastructure week was talking about, we talked about meeting customers where they are, how do I get, you know, all of my applications that I have, obviously some of them are building new applications. Some of them I'm doing SaaS, but many of them, I have to say, how do I get it from where I am to where I want to be and then start taking advantage of cloud and modernization and new capabilities. So if you could, you know, what's new when it comes to migration from a Google Cloud standpoint and, you know, give us a little bit insight as to what you're hearing from your customers. >> Yeah, definitely happy to do so. I think for many of our customers, migration is really the first step, right? A lot of the applications on premise today so the goal is really how do I move from on prem to the cloud? So to that extend, I think we have announced a number of capabilities. And one of the programs that are very exciting that we have just launched is called RAMP program which stands for Google Cloud Rapid Assessment and Migration Program. So it's really kind of bundling a holistic approach of you know, kind of programs tooling and you know, as well as incentives altogether to really help customer with that kind of a journey, right? And then also on the product side, we have introduced a number of new capabilities to really ease that transition for customer to move from on premise to the cloud as well. One of the things we just announced is Google Cloud VMware Engine. And this is really, you know, we built as a native service inside Google as a (indistinct) to allow customer to run their VMware as a service on top of Google infrastructure. So customers can easily take their, you know, what's running on premise, that's running VMware today and move it to cloud was really no change whatsoever and really lift and shift. And your other point is really about a modernization, right? Cause most of our customers coming in today, it's not just about I'm running this as a way it is. It's also, how do I extract value out of this kind of capability? So we build this as a service so that customer can easily start using services like BigQuery to be able to extract data and insights out of this and to be able to give them additional advantages and to create new services and things like that. And for other customers who might want to be able to, you know, leverage our AI, ML capability, that's at their fingertips as well. So it's just really trying to make that process super easy. Another kind of class of workloads we see is really around SAP, right? That's our bread and butter for many enterprises. So customers are moving those out into the clouds and we've seen many examples really kind of really, allow customers to take the data that's sitting in SAP HANA and be able to extract more value out of those. Home Depot is a great example of those and where they're able to leverage the inquiry to take, you know, their stockouts and some of the inventory management and really to the next level, and really giving a customer a much better experience at the end of the day. So those are kind of just a few things that we're doing on that side to really make you a customer easy to lift and shift and then be able to modernize along the way. >> Well yeah, June, if I would like to dig in a little bit on the VMware piece that you talked about. I've been talking of VM-ware a bit lately, talking to some of their customers leveraging the VMware cloud offerings and that modernization is so important because the traditional way you think about virtualization was I stick something in a VM and I leave it there and of course customers, I want to be able to take advantage of the innovation and changes in the cloud. So it seems like things like your analytics and AI would be a natural fit for VMware customers to then get access to those services that you're offering. >> Yeah, absolutely. I think we have lots of customers, that's kind of want to differentiators that customers are looking for, right? I can buy my VMware in a variety of places, but I want to be able to take it to the next level. How do I use data as my differentiator? You know, one of the core missions as part of the Google mission is really how do we help customers to digitally transform and reimagine their business was a data power innovation, and that's kind of one key piece we know we want to focus on, and this is part of the reason why we built this as really a native service inside of Google Cloud so that you're going through the same council using, you know, accessing VMware engine, accessing BigQuery, accessing networking, firewalls, and so forth, all really seamlessly. And so it makes it really easy to be able to extend and modernize. >> All right, well, June one of the other things, anytime we come to the Cloud event is we know that there's going to be updates in some of the primary offerings. So when it comes to compute and storage, know there's a number of announcements there, probably more than we'll be able to cover in this, but give us some of the highlights. >> Yeah, let me give some highlights I mean, at the core of this is a really Google Compute Engine, and we're very excited we've introduced a number of new, what we call VM families, right? Essentially different UBM instances, that's catered towards different use cases and different kinds of workloads. So for example, we launched the N2D VM, so this is a set of VMs on EMD technology and really kind of provide excellent price performance benefit for customers and who can choose to go down that particular path. We're also just really introduced our A2 VM family. This is based on GPU accelerator optimized to VM. So we're the first ones in the market to introduce NVIDIA Ampere A 100. So for lots of customers who were really introduced, we're interesting, you know, use GPU to do their ML and AI type of analysis. This is a big help because it's got a better performance compared to the previous generation so they can run their models faster and turn it around and turn insights. >> Wonderful. Shailesh, of course we want to hear about the networking components to, you know, Google, very well known you know, everybody leverages Google's network and global reach so how about the update from your network side? >> Absolutely. Stu, let me give you a set of updates that we have announced at next conference. So first of all as you know, many customers choose Google Cloud for the scale, the reach, the performance and the elasticity that we provide and ultimately results in better user experience or customer experience. And the backbone of all of this capability is our private global backbone network, right? Which all of our cloud customers benefit from. The networking is extremely important to advance our customers digital journeys, the ones that June talked about, migration and modernization, as well as security, right? So to that end, we made several announcements. Let's talk about some of them. First we announced a new subsea cable called the Grace Hopper which will actually run between the U.S. on one side and UK on the other and Spain on another leg. And it's equipped with about 16 fiber pairs that will get completed in 2022. And it will allow for significant new capacity between the U.S. and Europe, right? Second Google Cloud CDN, it's one of our most popular and fast-growing service offerings. It now offers the capability to serve content from on prem, as well as other clouds especially for hybrid and multicloud deployments. This provides a tremendous amount of flexibility in where the content can be placed and overall content and application delivery. Third we have announced the expansion of our partnership with Cisco and it's we have announced this notion of Cisco SD-WAN Cloud Hub with Google Cloud. It's one of the first in the industry to actually create an automated end to end solution that intelligently and securely, you know, connects or bridges enterprise networks to any workload across multiple clouds and to other locations. Four, we announced a new capabilities in the network intelligence center. It's a platform that provides customers with unmatched visibility into their networks, along with proactive kind of network verification, security recommendations, and so on. There were two specific modules there, around firewall insights and performance dashboard that we announced in addition to the three that already existed. And finally, we have a range of really powerful announcements in the security front, as you know, security is one of our top priorities and our infrastructure and products are designed, built and operated with an end to end security framework and end to end security as a core design principle. Let me give you a few highlights. First, as part of making it easy for firewall management for our customers to manage firewall across multiple organizations, we announced hierarchical firewall. Second, in order to enable, you know, better security capability, we announced the notion of packet metering, right? So which is something that we announced earlier in the year, but it's now GA and allows customers to collect and inspect network traffic across multiple machine types without any overhead, right? Third is, in actually in our compute and security teams, we announced the capability to what we call as confidential VMs, which offer the ability to encrypt data while being processed. We have always had the capability to encrypt data at rest and while in motion, now we are the first in the industry to announce the ability to encrypt data even while it is being processed. So we are really, you know, pleased to offer that as part of our confidential computing portfolio. We also announced the ability to do a managed service around our cloud armor security portfolio for DDoS web application and bot detection, that's called Cloud Armor Managed Protection. And finally we also announced the capability called Private Service Connect that allows customers to connect effortlessly to other Google Cloud services or to third party SaaS applications while keeping their traffic secure and private over the, in kind of the broader internet. So we were really pleased to announce in number of, you know, very critical kind of announcements, products and capabilities and partnerships such as Cisco in order to further the modernization and migration for our customers. >> Yeah, one note I will make for our audience, you know, check the details on the website. I know some of the security features are now in data, many of the other things it's now general availability. Shailesh, follow up question I have for you is when I look in 2020, the internet patterns of traffic have changed drastically. You saw a very rapid shift, everyone had needed to work from home, there's been a lot of stresses and strains on the network, when I hear things like your CDN or your SD-WAN partnership with Cisco, I have to think that there's, you know, an impact on that. What are you seeing? What are you hearing from your customers? How are you helping them work through these rapid changes to be able to respond and still give people the, you know, the performance and reliability of traffic where they need it, when they need? >> Right, absolutely. This is a, you know, very important question and a very important topic, right? And when we saw the impact of COVID, you know, as you know Google's mission is to be, continue to be helpful to our customers, we actually invested and continue to invest in building out our CDN capability, our interconnect, the capacity in our network infrastructure, and so on, in order to provide better, for example distance learning, video conferencing, e-commerce, financial services and so on and we are proud to say that we were able to support a very significant expansion in the overall traffic, you know, on a global basis, right? In Google Clouds and Google's network without a hitch. So we are really proud to be able to say that. In addition there are other areas where we have been looking to help our customers. For example, high performance computing is a very interesting capability that many customers are using for things such as COVID research, right? So a good example is Northeastern University in Boston that has been using, you know, a sort of thousands of kind of preemptable virtual machines on Google Cloud to power very large scale and a data driven model and simulations to figure out how the travel restrictions and social distancing will actually impact the spread of the virus. That's an example of the way that we are trying to be helpful as part of the the broader global situation. >> Great. June, I have to imagine generally from infrastructure there've been a number of other impacts that Google Cloud has been helping your customers, any other examples that you'd like to share? >> Yeah, absolutely. I mean, if you look at the COVID impact, it impact different industries quite differently. We've seen certain industries that just really, their demand skyrocketed overnight. For example you know, I take one of our internal customer, Google, you know, Google Meet, which is Google's video conferencing service, we just announced that we saw a 30X increase over the last few months since COVID has started. And this is all running on Google infrastructure. And we've seen similar kind of a pattern for a number of our customers on the media entertainment area, and certainly video conferencing and so forth. And we've been able to scale to beat these key customer's demand and to make sure that they have the agility they need to meet the demand from their customers and so we're definitely very proud to be part of the, you know, part of this effort to kind of enable folks to be able to work from home, to be able to study from home and so on and so forth. You know, for some customers, you know, the whole business continuity is really a big deal for them, you know, where's the whole work from home a mandate. So for example, one of our customers Telus International, it's a Canadian telecommunication company, because of COVID they had to, you know, be able to transition tens and thousands of employees to work on the whole model immediately. And they were able to work with Google Cloud and our partner, itopia, who is specializing in virtual desktop and application. So overnight, literally in 24 hours, we're able to deploy a fully configured virtual desktop environments from Google Cloud and allow their employees to come back to service. So that's just one example, there's hundreds and thousands more of those examples, and it's been very heartening to be part of this, you know, Google to be helpful to our customer. >> Great. Well, I want to let both of you just have the final word when you're talking to customers here in 2020, how should they be thinking of Google Cloud? How do you make sure that you're helping them in differentiating from some of the other solutions and the environment? May be June if we could start with you. >> Sure, so at Google Cloud, our goal is to make it easy for anyone you know, whether you're big big enterprises or small startups, to be able to build your applications, to be able to innovate and harness the power of data to extract additional information, insights, and to be able to scale your business. As an infrastructure provider, we want to deliver the best infrastructure to run all customers application and on a global basis, reliably and securely. Definitely getting more and more complicated and you know, as we kind of spread our capacity to different locations, it gets more complicated from a logistics and a perspective as well so we want to help to do the heavy lifting around the infrastructure, so that from a customer, they can simply consume our infrastructure as a service and be able to focus on their businesses and not worry about the infrastructure side. So, you know, that's our goal, we'll do the plumbing work and we'll allow customers innovate on top of that. >> Right. You know, June you said that very well, right? Distributed infrastructure is a key part of our strategy to help our customers. In addition, we also provide the platform capability. So essentially a digital transformation platform that manages data at scale to help, you know, develop and modernize the applications, right? And finally we layer on top of that, a suite of industry specific solutions that deliver kind of these digital capabilities across each of the key verticals, such as financial services or telecommunications or media and entertainment, retail, healthcare, et cetera. So that's how combining together infrastructure platform and solutions we are able to help customers in their modernization journeys. >> All right, June and Shailesh, thank you so much for sharing the updates, congratulations to your teams on the progress, and absolutely look forward to hearing more in the future. >> Great, thank you Stu. >> Thank you Stu. >> All right, and stay tuned for more coverage of Google Cloud Next On Air '20. I'm Stu Miniman, thank you for watching theCUBE. (Upbeat music)

>> Narrator: From theCUBE studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is theCUBE conversation. >> Everyone, welcome to the Cube special coverage of the AWS Summit San Francisco, North America all over the world, and most of the parts Asia, Pacific Amazon Summit is the hashtag. This is part of theCUBE Virtual Program, where we're going to be covering Amazon Summits throughout the year. I'm John Furrier, host of theCUBE. And of course, we're not at the events. We're here in the Palo Alto Studios, with our COVID-19 quarantine crew. And we got a great guest here from AWS, Dave Brown, Vice President of EC2, leads the team on elastic compute, and its business where it's evolving and most importantly, what it means for the customers in the industry. Dave, thanks for spending the time to come on theCUBE virtual program. >> Hey John, it's really great to be here, thanks for having me. >> So we got the summit going down. It's new format because of the shelter in place. They're going virtual or digital, virtualization of events. And I want to have a session with you on EC2, and some of the new things they're going on. And I think the story is important, because certainly around the pandemic, and certainly on the large scale, SaaS business models, which are turning out to be quite the impact from a positive standpoint, with people sheltering in place, what is the role of data in all this, okay? And also, there's a lot of pressure financially. We've had the payroll loan programs from the government, and to companies really looking at their bottom lines. So two major highlights going on in the world that's directly impacted. And you have some products, and news around this, I want to do a deep dive on that. One is AppFlow, which is a new integration service by AWS, that really talks about taking the scale and value of AWS services, and integrating that with SaaS Applications. And the migration acceleration program for Windows, which has a storied history of database. For many, many years, you guys have been powering most of the Windows workloads, ironic that you guys are not Microsoft, but certainly had success there. Let's start with the AppFlow. Okay, this was recently announced on the 22nd of April. This is a new service. Can you take us through why this is important? What is the service? Why now, what was the main driver behind AppFlow? >> Yeah, absolutely. So with the launcher AppFlow, what we're really trying to do is make it easy for organizations and enterprises to really control the flow of their data, between the number of different applications that they use on premise, and AWS. And so the problem we started to see was, enterprises just had this data all over the place, and they wanted to do something useful with it. Right, we see many organizations running Data Lakes, large scale analytics, Big Machine Learning on AWS, but before you can do all of that, you have to have access to the data. And if that data is sitting in an application, either on-premise or elsewhere in AWS, it's very difficult to get out of that application, and into S3, or Redshift, or one of those services, before you can manipulate it, that was the challenge. And so the journey kind of started a few years ago, we actually launched a service on the EC2 network, inside Private Link. And it was really, it provided organizations with a very secure way to transfer network data, both between VPCs, and also between VPC, and on-prem networks. And what this highlighted to us, is organizations say that's great, but I actually don't have the technical ability, or the team, to actually do the work that's required to transform the data from, whether it's Salesforce, or SAP, and actually move it over Private Link to AWS. And so we realized, while private link was useful, we needed another layer of service that actually provided this, and one of the key requirements was an organization must be able to do this with no code at all. So basically, no developer required. And I want to be able to transfer data from Salesforce, my Salesforce database, and put that in Redshift together with some other data, and then perform some function on that. And so that's what AppFlow is all about. And so we came up with the idea about a little bit more than a year ago, that was the first time I sat down, and actually reviewed the content for what this was going to be. And the team's been hard at work, and launched on the 22nd of April. And we actually launched with 14 partners as well, that provide what we call connectors, which allow us to access these various services, and companies like Salesforce and ServiceNow, Slack, Snowflake, to name a few. >> Well, certainly you guys have a great ecosystem of SaaS partners, and that's you know well documented in the industry that you guys are not going to be competing directly with a lot of these big SaaS players, although you do have a few services for customers who want end to end, Jassy continues to pound that home on my Cube interviews. But I think this, >> Absolutely. is notable, and I want to get your thoughts on this, because this seems to be the key unlocking of the value of SaaS and Cloud, because data traversal, data transfer, there's costs involved, also moving traffic over the internet is unsecure, and unreliable. So a couple questions I wanted to just ask you directly. One is did the AppFlow come out of the AWS Private Link piece of it? And two, is it one directional or bi-directional? How is that working? Because I'm guessing that you had Private Link became successful, because no one wants to move on the internet. They wanted direct connects. Was there something inadequate about that service? Was there more headroom there? And is it bi-directional for the customer? >> So let me take the second one, it's absolutely bi-directional. So you can transfer that data between an on-premise application and AWS, or AWS and the on-premise application. Really, anything that has a connector can support the data flow in both directions. And with transformations, and so data in one data source, may need to be transformed, before it's actually useful in a second data source. And so AppFlow takes care of all that transformation as well, in both directions, And again, with no requirement for any code, on behalf of the customer. Which really unlocks it for a lot of the more business focused parts of an organization, who maybe don't have immediate access to developers. They can use it immediately, just literally with a few transformations via the console, and it's working for you. In terms of, you mentioned sort of the flow of data over the internet, and the need for security of data. It's critically important, and as we look at just what had happened as a company does. We have very, very strict requirements around the flow of data, and what services we can use internally. And where's any of our data going to be going? And I think it's a good example of how many enterprises are thinking about data today. They don't even want to trust even HTTPS, and encryption of data on the internet. I'd rather just be in a world where my data never ever traverses the internet, and I just never have to deal with that. And so, the journey all started with Private Link there, and probably was an interesting feature, 'cause it really was changing the way that we asked our customers to think about networking. Nothing like Private Link has ever existed, in the sort of standard networking that an enterprise would normally have. It's kind of only possible because of what VPC allows you to do, and what the software defined network on AWS gives you. And so we built Private Link, and as I said, customers started to adopt it. They loved the idea of being able to transfer data, either between VPCs, or between on-premise. Or between their own VPC, and maybe a third party provider, like Snowflake, has been a very big adopter of Private Link, and they have many customers using it to get access to Snowflake databases in a very secure way. And so that's where it all started, and in those discussions with customers, we started to see that they wanted us to up level a little bit. They said, "We can use Private Link, it's great, "but one of the problems we have is just the flow of data." And how do we move data in a very secure, in a highly available way, with no sort of bottlenecks in the system. And so we thought Private Link was a great sort of underlying technology, that empowered all of this, but we had to build the system on top of that, which is AppFlow. That says we're going to take care of all the complexity. And then we had to go to the ecosystem, and say to all these providers, "Can you guys build connectors?" 'Cause everybody realized it's super important that data can be shared, and so that organizations can really extract the value from that data. And so the 14 of them at launch, we have many, many more down the road, have come to the party with with connectors, and full support of what AppFlow provides. >> Yeah us DevOps purists always are pounding the fist on the table, now virtual table, API's and connectors. This is the model, so people are integrating. And I want to get your thoughts on this. I think you said low code, or no code on the developer simplicity side. Is it no code, or low code? Can you just explain quickly and clarify that point? >> It's no code for getting started literally, for the kind of, it's basic to medium complexity use case. It's not code, and a lot of customers we spoke to, that was a bottleneck. Right, they needed something from data. It might have been the finance organization, or it could have been human resources, somebody else in organization needed that. They don't have a developer that helps them typically. And so we find that they would wait many, many months, or maybe even never get the project done, just because they never ever had access to that data, or to the developer to actually do the work that was required for the transformation. And so it's no code for almost all use cases. Where it literally is, select your data source, select the connector, and then select the transformations. And some basic transformations, renaming of fields, transformation of data in simple ways. That's more than sufficient for the vast majority of use cases. And then obviously through to the destination, with the connector on the other side, to do the final transformation, to the final data source that you want to migrate the data to. >> You know, you have an interesting background, was looking at your history, and you've essentially been a web services kind of guy all your life. From a code standpoint software environment, and now I'll say EC2 is the crown jewel of AWS, and doing more and more with S3. But what's interesting, as you build more of these layers services in there, there's more flexibility. So right now, in most of the customer environments, is a debate around, do I build something monolithic, and or decoupled, okay? And I think there's a world where there's a mutually, not mutually exclusive, I mean, you have a mainframe, you have a big monolithic thing, if it does something. But generally people would agree that a decoupled environment is more flexible, and more agile. So I want to kind of get to the customer use case, 'cause I can really see this being really powerful, AppFlow with Private Link, where you mentioned Snowflake. I mean, Snowflake is built on AWS, they're doing extremely, extremely well, like any other company that builds on AWS. Whether it's theCUBE Cloud, or it's Snowflake. As we tap those services, customers, we might have people who want to build on our platform on top of AWS. So I know a bunch of startups that are building within the Snowflake ecosystem, a customer of yours. >> Yeah. >> So they're technically a customer of Amazon, but they're also in the ecosystem of say, Snowflake. >> Yes. >> So this brings up an interesting kind of computer science problem, which is architecturally, how do I think about that? Is this something where AppFlow could help me? Because I certainly want to enable people to build on a platform, that I build if I'm doing that, if I'm not going to be a pure SaaS turnkey application. But if I'm going to bring partners in, and do integration, use the benefits of the goodness of an API or Connector driven architecture, I need that. So explain to me how this helps me, or doesn't help me. Is this something that makes sense to you? Does this question make sense? How do you react to that? >> I think so, I think the question is pretty broad. But I think there's an element in which I can help. So firstly, you talk about sort of decoupled applications, right? And I think that is certainly the way that we've gone at Amazon, and been very, very successful for us. I think we started that journey back in 2003, when we decoupled the monolithic application that was amazon.com. And that's when our service journey started. And a lot of that sort of inspired AWS, and how we built what we built today. And we see a lot of our customers doing that, moving to smaller applications. It just works better, it's easier to debug, there's ownership at a very controlled level. So you can get all your engineering teams to have very clear and crisp ownership. And it just drives innovation, right? 'Cause each little component can innovate without the burden of the rest of the ecosystem. And so that's what we really enjoy. I think the other thing that's important when you think about design, is to see how much of the ecosystem you can leverage. And so whether you're building on Snowflake, or you're building directly on top of AWS, or you're building on top of one of our other customers and partners. If you can use something that solves the problem for you, versus building it yourself. Well that just leaves you with more time to actually go and focus on the stuff that you need to be solving, right? The product you need to be building. And so in the case of AppFlow, I think if there's a need for transfer of data, between, for example, Snowflake and some data warehouse, that you as an organisation are trying to build on a Snowflake infrastructure. AppFlow is something you could potentially look at. It's certainly not something that you could just use for, it's very specific and focused to the flow of data between services from a data analytics point of view. It's not really something you could use from an API point of view, or messaging between services. It's more really just facilitating that flow of data, and the transformation of data, to get it into a place that you can do something useful with it. >> And you said-- >> But like any of our services-- (speakers talk over each other) Couldn't be using any layer in the stack. >> Yes, it's a level of integration, right? There's no code to code, depending on how you look at it, cool. Customer use cases, you mentioned, large scale analytics, I thought I heard you say, machine learning, Data Lakes. I mean, basically, anyone who's using data is going to want to tap some sort of data repository, and figure out how to scale data when appropriate. There's also contextual, relevant data that might be specific to say, an industry vertical, or a database. And obviously, AI becomes the application for all this. >> Exactly. >> If I'm a customer, how does AppFlow relate to that? How does that help me, and what's the bottom line? >> So I think there's two parts to that journey. And depending on where customers are, and so there's, we do have millions of customers today that are running applications on AWS. Over the last few years, we've seen the emergence of Data Lakes, really just the storage of a large amount of data, typically in S3. But then companies want to extract value out of, and use in certain ways. Obviously, we have many, many tools today, from Redshift, Athena, that allow you to utilize these Data Lakes, and be able to run queries against this information. Things like EMR, and one of our oldest services in the space. And so doing some sort of large scale analytics, and more recently, services like SageMaker, are allowing us to do machine learning. And so being able to run machine learning across an enormous amount of data that we have stored in AWS. And there's some stuff in the IoT, workload use space as well, that's emerging. And many customers are using it. There's obviously many customers today that aren't using it on AWS, potential customers for us, that are looking to do something useful with data. And so the one part of the journey is taking up all of that infrastructure, and we have a lot of services that make it really easy to do machine learning, and do analytics, and that sort of thing. And then the other problem, the other side of the problem, which is what AppFlow is addressing is, how do I get that data to S3, or to Redshift, to actually go and run that machine learning workload? And that's what it's really unlocking for customers. And it's not just the one time transfer of data, the other thing that AppFlow actually supports, is the continuous updating of data. And so if you decide that you want to have that view of your data in S3, for example, and Data Lake, that's kept up to date, within a few minutes, within an hour, you can actually configure AppFlow to do that. And so the data source could be Salesforce, it could be Slack, it could be whatever data source you want to blend. And you continuously have that flow of data between those systems. And so when you go to run your machine learning workload, or your analytics, it's all continuously up to date. And you don't have this problem of, let me get the data, right? And when I think about some of the data jobs that I've run, in my time, back in the day as an engineer, on early EC2, a small part of it was actually running the job on the data. A large part of it was how do I actually get that data, and is it up to date? >> Up to date data is critical, I think that's the big feature there is that, this idea of having the data connectors, really makes the data fresh, because we go through the modeling, and you realize why I missed a big patch of data, the machine learnings not effective. >> Exactly. >> I mean, it's only-- >> Exactly, and the other thing is, it's very easy to bring in new data sources, right? You think about how many companies today have an enormous amount of data just stored in silos, and they haven't done anything with it. Often it'll be a conversation somewhere, right? Around the coffee machine, "Hey, we could do this, and we can do this." But they haven't had the developers to help them, and haven't had access to the data, and haven't been able to move the data, and to put it in a useful place. And so, I think what we're seeing here, with AppFlow, really unlocking of that. Because going from that initial conversation, to actually having something running, literally requires no code. Log into the AWS console, configure a few connectors, and it's up and running, and you're ready to go. And you can do the same thing with SageMaker, or any of the other services we have on the other side that make it really simple to run some of these ideas, that just historically have been just too complicated. >> Alright, so take me through that console piece. Just walk me through, I'm in, you sold me on this. I just came out of meeting with my company, and I said, "Hey, you know what? "We're blowing up this siloed approach. "We want to kind of create this horizontal data model, "where we can mix "and match connectors based upon our needs." >> Yeah. >> So what do I do? I'm using SageMaker, using some data, I got S3, I got an application. What do I do? I'm connecting what, S3? >> Yeah, well-- >> To the app? >> So the simplest thing is, and the simplest place to find this actually, is on Jeff Bezos blog, that he did for the release, right? Jeff always does a great job in demonstrating how to use our various products. But it literally is going into the standard AWS console, which is the console that we use for all of our services. I think we have 200 of them, so it is getting kind of challenging to find the ball in that console, as we continue to grow. And find AppFlow. AppFlow is a top level service, and so you'll see it in the console. And the first thing you got to do, is you got to configure your Source-Connect. And so it's a connector that, where's the data coming from? And as I said, we had 14 partners, you'll be able to see those connectors there, and see what's supported. And obviously, there's the connectivity. Do you have access to that data, or where is the data running? AppFlow runs within AWS, and so you need to have either VPN, or direct connect back to the organization, if the data source is on-premise. If the data source happens to be in AWS, and obviously be in a VPC, and you just need to configure some of that connectivity functionality. >> So no code if the connectors are there, but what if I want to build my own connector? >> So building your own connector, that is something that we working with third parties with right now. I could be corrected, but not 100% sure whether that's available. It's certainly something I think we would allow customers to do, is to extend sort of either the existing connectors, or to add additional transformations as well. And so you'd be able to do that. But the transformations that the vast majority of our customers are using are literally just in the console, with the basic transformations. >> It comes bigger apps that people have, and just building those connectors. How does a partner get involved? You got 14 partners now, how do you extend the partner base contact in Amazon Partner Manager, or you send an email to someone? How does someone get involved? What are you recommending? >> So there are a couple of ways, right? We have an extensive partner ecosystem that the vast majority of these ISVs are already integrated with. And so, we have the 14 we launched with, we also pre announced SAP, which is going to be a very critical one for the vast majority of our customers. Having deep integration with SAP data, and being able to bring that seamlessly into AWS. That'll be launching soon. And then there's a long list of other ones, that we're currently working on. And they're currently working on them themselves. And then the other one is going to be, like with most things that Amazon, feedback from customers. And so what we hear from customers, and very often you'll hear from third party partners as well, who'll come and say, "Hey, my customers are asking me "to integrate with the AppFlow, what do I need to do?" And so, you know, just reaching out to AWS, and letting them know that you'd be interested in integrating, that you're not part of the partner program. The team would be happy to engage, and bring you on board, so-- >> (mumbles) on playbook, get the top use cases nailed down, listen to customers, and figure it out. >> Exactly. >> Great stuff Dave, we really appreciate it. I'm looking forward to digging in AppFlow, and I'll check on Jeff Bezos blog. Sure, it's April 22, was the launch day, probably had up there. One of the things that want to just jump into, now moving into the next topic, is the cost structure. A lot of pressure on costs. This is where I think this Migration Acceleration Program for Windows is interesting. Andy Jassy always likes to boast on stage at Reinvent, about the number of workloads of Windows running on Amazon Web Services. This has been a big part of the customers, I think, for over 10 years, that I can think of him talking about this. What is this about? Are you still seeing uptake on Windows workloads, or, I mean,-- >> Absolutely. >> Azure has got some market share, >> Absolutely. >> but now you, doesn't really kind of square in my mind, what's going on here. Tell us about this migration service. >> Yeah, absolutely, on the migration side. So Windows is absolutely, we still believe AWS is the best place to run a Windows workload. And we have many, many happy Windows customers today. And it's a very big, very large, growing point of our business today, it used to be. I was part of the original team back in 2008, that launched, I think it was Windows 2008, back then on EC2. And I remember sort of working out all the details, of how to do all the virtualization with Windows, obviously back then we'd done Linux. And getting Windows up and running, and working through some of the challenges that Windows had as an operating system in the early days. And it was October 2008 that we actually launched Windows as an operating system. And it's just been, we've had many, many happy Windows customers since then. >> Why is Amazon so peak to run workloads from Windows so effectively? >> Well, I think, sorry what did you say peaked? >> Why is Amazon so in well positioned to run the Windows workloads? >> Well, firstly, I mean, I think Windows is really just the operating system, right? And so if you think about that as the very last little bit of your sort of virtualization stack, and then being able to support your applications. What you really have to think about is, everything below that, both in terms of the compute, so performance you're going to get, the price performance you're going to get. With our Nitro Hypervisor, and the Nitro System that we developed back in 2018, or launched in 2018. We really are able to provide you with the best price performance, and have the very least overhead from a hypervisor point of view. And then what that means is you're getting more out of your machine, for the price that you pay. And then you think about the rest of the ecosystem, right? Think about all the other services, and all the features, and just the breadth, and the extensiveness of AWS. And that's critically important for all of our Windows customers as well. And so you're going to have things like Active Directory, and these sort of things that are very Windows specific, and we can absolutely support all of those, natively. And in the Windows operating system as well. We have things like various agents that you can run inside the Windows box to do more maintenance and management. And so I think we've done a really good job in bringing Windows into the larger, and broader ecosystem of AWS. And it really is just a case of making sure that Windows runs smoothly. And that's just the last little bit on top of that, and so many customers enterprises run Windows today. When I started out my career, I was developing software in the banking industry, and it was a very much a Windows environment. They were running critical applications. And so we see it's critically important for customers who run Windows today, to be able to bring those Windows workloads to AWS. >> Yeah, and that's certainly-- >> We are seeing a trend. Yeah, sorry, go ahead. >> Well, they're certainly out there from a market share standpoint, but this is a cost driver, you guys are saying, and I want you to just give an example, or just illustrate why it costs less. How is it a cost savings? Is it just services, cycle times on EC2? I mean what's the cost savings? I'm a customer like, "Okay, so I'm going to go to Amazon with my workloads." Why is it a cost saving? >> I think there are a few things. The one I was referring to in my previous comment was the price performance, right? And so if I'm running on a system, where the hypervisor is using a significant portion of the physical CPU that I want to use as well. Well there's an overhead to that. And so from a price performance point of view, I look at, if I go and benchmark a CPU, and I look at how much I pay for that per unit of that benchmark, it's better on AWS. Because with our natural system, we're able to give you 100% of the floor. And so you get a performance then. So that's the first thing is price performance, which is different from this price. But there's a saving there as well. The other one is a large part, and getting into the migration program as well. A large part of what we do with our customers, when they come to AWS, is supposed to be, we take a long look at their license strategy. What licenses do they have? And a key part of bringing in Windows workloads AWS, is license optimization. What can we do to help you optimize the licenses that you're using today for Windows, for SQL Server, and really try and find efficiencies in that. And so we're able to secure significant savings for many of our customers by doing that. And we have a number of tools that they use as part of the migration program to do that. And so that helps save there. And then finally, we have a lot of customers doing what we call modernization of their applications. And so it really embraced Cloud, and some of the benefits that you get from Cloud. Especially elasticities, so being able to scale for demand. It's very difficult to do that when you bound by license for your operating system, because every box you run, you have to have a license for it. And so tuning auto scaling on, you've got to make sure you have enough licenses for all these Windows boxes you've seen. And so the push the Cloud's bringing, we've seen a lot of customers move Windows applications from Windows to Linux, or even move SQL Server, from SQL server to SQL Server on Linux, or another database platform. And do a modernization there, that already allows them to benefit from the elasticity that Cloud provides, without having to constantly worry about licenses. >> So final question on this point, migration service implies migration from somewhere else. How do they get involved? What's the onboarding process? Can you give a quick detail on that? >> Absolutely, so we've been helping customers with migrations for years. We've launched a migration program, or Migration Acceleration Program, MAP. We launched it, I think about 2016, 2017 was the first part of that. It was really just a bringing together of the various, the things we'd learned, the tools we built, the best strategies to do a migration. And we said, "How do we help customers looking "to migrate to the Cloud." And so that's what MAP's all about, is just a three phase, we'll help you assess the migration, we'll help you do a lot of planning. And then ultimately, we help you actually do the migration. We partner with a number of external partners, and ISVs, and GSIs, who also worked very closely with us to help customers do migrations. And so what we launched in April of this year, with the Windows migration program, is really just more support for Windows workload, as part of the broader Migration Acceleration Program. And there's benefits to customers, it's a smoother migration, it's a faster migration in almost all cases, we're doing license assessments, and so there's cost reduction in that as well. And ultimately, there's there's other benefits as well that we offer them, if they partner with us in bringing the workload to AWS. And so getting involved is really just reaching out to one of our AWS sales folks, or one of your account managers, if you have an account manager, and talk to them about workloads that you'd like to bring in. And we even go as far as helping you identify which applications are easiest to migrate. And so that you can kind of get going with some of the easier ones, while we help you with some of the more difficult ones. And strategies' about removing those roadblocks to bring your services to AWS. >> Takes the blockers away, Dave Brown, Vice President of EC2, the crown jewel of AWS, breaking down AppFlow, and the migration to Windows services. Great insights, appreciate the time. >> Thanks. >> We're here with Dave Brown, VP of EC2, as part of the virtual Cube coverage. Dave, I want to get your thoughts on an industry topic. Given what you've done with EC2, and the success, and with COVID-19, you're seeing that scale problem play out on the world stage for the entire population of the global world. This is now turning non-believers into believers of DevOps, web services, real time. I mean, this is now a moment in history, with the challenges that we have, even when we come out of this, whether it's six months or 12 months, the world won't be the same. And I believe that there's going to be a Cambrian explosion of applications. And an architecture that's going to look a lot like Cloud, Cloud-native. You've been doing this for many, many years, key architect of EC2 with your team. How do you see this playing out? Because a lot of people are going to be squirreling in rooms, when this comes back. They're going to be video conferencing now, but when they have meetings, they're going to look at the window of the future, and they're going to be exposed to what's failed. And saying, "We need to double down on that, "we have to fix this." So there's going to be winners and losers coming out of this pandemic, really quickly. And I think this is going to be a major opportunity for everyone to rally around this moment, to reset. And I think it's going to look a lot like this decoupled, this distributed computing environment, leveraging all the things that we've talked about in the past. So what's your advice, and how do you see this evolving? >> Yeah, I completely agree. I mean, I think, just the speed at which it happened as well. And the way in which organizations, both internally and externally, had to reinvent themselves very, very quickly, right? We've been very fortunate within Amazon, moving to working from home was relatively simple for the vast majority of us. Obviously, we have a number of our employees that work in data centers, and performance centers that have been on the front lines, and be doing a great job. But for the rest of us, it's been virtual video conferencing, right? All about meetings, and being able to use all of our networking tools securely, either over the VPN, or the no VPN infrastructure that we have. And many organizations had to do that. And so I think there are a number of different things that have impacted us right now. Obviously, virtual desktops has been a significant sort of growth point, right? Folks don't have access to the physical machine anymore, they're now all having to work remote, and so service like Workspaces, which runs on EC2, as well, has being a critical service data to support many of our largest customers. Our client VPN service, so we have within EC2 on the networking side, has also been critical for many large organizations, as they see more of their staff working everyday remotely. It has also seen, been able to support a lot of customers there. Just more broadly, what we've seen with COVID-19, is we've seen some industries really struggle, obviously travel industry, people just aren't traveling anymore. And so there's been immediate impact to some of those industries. They've been other industries that support functions like the video conferencing, or entertainment side of the house, has seen a bit of growth, over the last couple of months. And education has been an interesting one for us as well, where schools have been moving online. And behind the scenes in AWS, and on EC2, we've been working really hard to make sure that our supply chains are not interrupted in any way. The last thing we want to do is have any of our customers not be able to get EC2 capacity, when they desperately need it. And so we've made sure that capacity is fully available, even all the way through the pandemic. And we've even been able to support customers with, I remember one customer who told me the next day, they're going to have more than hundred thousand students coming online. And they suddenly had to grow their business, by some crazy number. And we were able to support them, and give them the capacity, which is way outside of any sort of demand--. >> I think this is the Cambrain explosion that I was referring to, because a whole new set of new things have emerged. New gaps in businesses have been exposed, new opportunities are emerging. This is about agility. It's real time now. It's actually happening for everybody, not just the folks on the inside of the industry. This is going to create a reinvention. So it's ironic, I've heard the word reinvent mentioned more times now, over the past three months, than I've heard it representing to Amazon. 'Cause that's your annual conference, Reinvent, but people are resetting and reinventing. It's actually a tactic, this is going on. So they're going to need some Clouds. So what do you say to that? >> So, I mean, the first thing is making sure that we can continue to be highly available, continue to have the capacity. The worst scenario is not being able to have the capacity for our customers, right? We did see that with some providers, and that honesty on outside is just years and years of experience of being able to manage supply chain. And the second thing is obviously, making sure that we remain available, that we don't have issues. And so, you know, with all of our stuff going remote and working from home, all my teams are working from home. Being able to support AWS in this environment, we haven't missed a beat there, which has been really good. We were well set up to be able to absorb this. And then obviously, remaining secure, which was our highest priority. And then innovating with our customers, and being able to, and that's both products that we're going to launch over time. But in many cases, like that education scenario I was talking about, that's been able to find that capacity, in multiple regions around the world, literally on a Sunday night, because they found out literally that afternoon, that Monday morning, all schools were virtual, and they were going to use their platform. And so they've been able to respond to that demand. We've seen a lot more machine learning workloads, we've seen an increase there as well as organizations are running more models, both within the health sciences area, but also in the financial areas. And also in just general business, (mumbles), yes, wherever it might be. Everybody's trying to respond to, what is the impact of this? And better understand it. And so machine learning is helping there, and so we've been able to support all those workloads. And so there's been an explosion. >> I was joking with my son, I said, "This world is interesting." Amazon really wins, that stuff's getting delivered to my house, and I want to play video games and Twitch, and I want to build applications, and write software. Now I could do that all in my home. So you went all around. But all kidding aside, this is an opportunity to define agility, so I want to get your thoughts, because I'm a bit a big fan of Amazon. As everyone knows, I'm kind of a pro Amazon person, and as other Clouds kind of try to level up, they're moving in the same direction, which is good for everybody, good competition and all. But S3 and EC2 have been the crown jewels. And building more services around those, and creating these abstraction layers, and new sets of service to make it easier, I know has been a top priority for AWS. So can you share your vision on how you're going to make EC2, and all these services easier for me? So if I'm a coder, I want literally no code, low code, infrastructure as code. I need to make Amazon more programmable and easier. Can you just share your vision on, as we talk about the virtual summits, as we cover the show, what's your take on making Amazon easier to consume and use? >> It's been something we thought a lot over the years, right? When we started out, we were very simple. The early days of EC2, it wasn't that rich feature set. And it's been an interesting journey for us. We've obviously become a lot more, we've written, launched local features, which narrative brings some more complexity to the platform. We have launched things like Lightsail over the years. Lightsail is a hosting environment that gives you that EC2 like experience, but it's a lot simpler. And it's also integrated with a number of other services like RDS and ELB as well, basic load balancing functionality. And we've seen some really good growth there. But what we've also learned is customers enjoy the richness of what ECU provides, and what the full ecosystem provides, and being able to use the pieces that they really need to build their application. From an S3 point of view, from a board ecosystem point of view. It's providing customers with the features and functionality that they really need to be successful. From the compute side of the house, we've done some things. Obviously, Containers have really taken off. And there's a lot of frameworks, whether it's EKS, or community service, or a Docker-based ECS, has made that a lot simpler for developers. And then obviously, in the serverless space, Landers, a great way of consuming EC2, right? I know it's serverless, but there's still an EC2 instance under the hood. And being able to bring a basic function and run those functions in serverless is, a lot of customers are enjoying that. The other complexity we're going after is on the networking side of the house, I find that a lot of developers out there, they're more than happy to write the code, they're more than happy to bring their reputation to AWS. But they struggle a little bit more on the networking side, they really do not want to have to worry about whether they have a route to an internet gateway, and if their subnets defined correctly to actually make the application work. And so, we have services like App Mesh, and the whole mesh server space is developing a lot. To really make that a lot simpler, where you can just bring your application, and call it on an application that just uses service discovery. And so those higher level services are definitely helping. In terms of no code, I think that App Mesh, sorry not App Mesh, AppFlow is one of the examples for already given organizations something at that level, that says I can do something with no code. I'm sure there's a lot of work happening in other areas. It's not something I'm actively thinking on right now , in my role in leading EC2, but I'm sure as the use cases come from customers, I'm sure you'll see more from us in those areas. They'll likely be more specific, though. 'Cause as soon as you take code out of the picture, you're going to have to get pretty specific in the use case. You already get the depth, the functionality the customers will need. >> Well, it's been super awesome to have your valuable time here on the virtual Cube for covering Amazon Summit, Virtual Digital Event that's going on. And we'll be going on throughout the year. Really appreciate the insight. And I think, it's right on the money. I think the world is going to have in six to 12 months, surge in reset, reinventing, and growing. So I think a lot of companies who are smart, are going to reset, reinvent, and set a new growth trajectory. Because it's a Cloud-native world, it's Cloud-computing, this is now a reality, and I think there's proof points now. So the whole world's experiencing it, not just the insiders, and the industry, and it's going to be an interesting time. So really appreciate that, they appreciate it. >> Great, >> Them coming on. >> Thank you very much for having me. It's been good. >> I'm John Furrier, here inside theCUBE Virtual, our virtual Cube coverage of AWS Summit 2020. We're going to have ongoing Amazon Summit Virtual Cube. We can't be on the show floor, so we'll be on the virtual show floor, covering and talking to the people behind the stories, and of course, the most important stories in silicon angle, and thecube.net. Thanks for watching. (upbeat music)

>>from the Cube Studios in Palo Alto and Boston connecting with thought leaders all around the world. >>This is a cube conversation >>live on. Welcome to the Special Cube Virtual coverage of AWS Summit Online. This is an event of virtual event by AWS. We're covering with the Virtual Cube his Amazon, so it would have no >>looking started. We started. Thank you. Right >>everyone, welcome to this Special Cube. Virtual coverage of the AWS Summit Virtual Online This is an event that Amazon normally has in person in San Francisco, but now it's virtual around the world. Seoul, Korea, in Tokyo, all over the world, in Asia Pacific and in North America, I'm John Furrier Dave Jones Stew Minimum. Let's do We're kicking off aws Virtual with the Cube Virtual. I'm in Palo Alto with the quarantine crew. You're in Massachusetts in Boston when the quarantine crew there still great to have you on to talk about AWS Virtual summit. >>Yeah, John, it's it's great to see you. Ah, it's been ah, you know, interesting times doing all these remote interviews A Z Many of us say I don't blame hotels, but I do miss the communities I do miss the hallway conversation. But great to see you, John. Love the Midnight Madness shirt. We >>want to thank Amazon for stepping up with some sponsorship for allow us to do the Virtual Cube alongside their virtual event because now it's a global community. It's all virtual. There are no boundaries. The Cube has no boundaries to We've got a great program. We have Cory Quinn coming up. Expect to hear from him last week in AWS is known for is a rising star in the community. Certainly Cube guest and also guest host and analyst for the Cube. We spent to hear all the latest from his big zoom post controversy to really what's going on in AWS around what services are hot. I know you're going to a great interview with him, but that's not what Amazon we're seeing a ton of activity, obviously, most recently last week was the jet, I think, which was an agency protest kind of confidential. Microsoft blew that up big time with a post by their worldwide comes person. Frank Shaw countered by Drew Heard Who's the coms globally for end of us and so a war of words is ensuing. This is again pointing to the cloud Native War that's going on with a jet I conference gets Jedi contract a $10 billion which is awards to Microsoft. This shows that the heat is on to do. This is a absolute bloodbath between AWS and Microsoft. We're seeing it play out now virtually with Amazon ai Large scale cloud. This is huge. This is this is another level. A def con one. Basically your thoughts. >>Yeah, John, you know, you've covered this really well and really impressing plot number one you talk about You know, this requirement When AWS launched the govcloud had the CIA as a client early on many years ago. It was the green light for many companies to go from. Wait. Is the club secure enough? Do well, good enough for the federal government in the US It's probably good enough for the enterprise. When Microsoft one jet I they didn't have all the certifications to meet what was in the contract? They had a ticking clock. Make sure that they could meet those security engagements. Aziz. Well, as you know what, one of the pieces the esports that move was working, made a partnership announced with Azure. We know the federal government uses Oracle quite a bit, though they can now run that in azure and not have the penalties from Oracle. So you know that many have said, you know Hey, AWS, why don't you kind of let that one go? You got federal business, but those ripple effect we understand from one contract kind of move things around. >>Well, my take on this is just the tip of the teapot. Either Microsoft's got something that we don't know where they're running scared. My predictions do is that the clock is gonna take out D o. D. Is going award the contract again to Microsoft because I don't think the d. O. D. Wants to change basically on the data that I'm getting from my reporting. And then, ultimately Amazon will keep this going in court because Microsoft has been deficient on winning the deal. That is by the judge and in government contracts. As you know, when you're deficient, you're ineligible. So, essentially on the tech specs, Microsoft failed to meet the criteria the contract and they're deficient. They still can't host top secret content even if they wanted to. This is going to be a game changer when if this comes out to be true, it will be a huge tech scandal. If it's true, then am I gonna have egg on their face? OK, so we passed. This speaks to the large scale problems that are having with Cove it. You're seeing Amazon. They're all working at home, but they still got to run the servers. They >>can do >>it. They got cloud native. You've got Dev ops. But for their customers to be people who are trying to do hybrid. What >>are you >>hearing in terms of the kinds of situations that people are doing? Are they still going to work with maths on our There's still data centers that need to be managed. What >>are >>you hearing in the tech world's do around Covad 19. And as the cloud becomes more apparent, it's obvious that if you're not cloud native, you're going to be on the wrong side of history. Here is pretty obvious. >>Yeah, well, absolutely. John. There there is a bit of a Elwyn behind cloud. Everything from you mentioned work from home. Everybody needs to be on their VPN. They need to access their service access their services where they are. If you've got a global workforce, if you thought that your infrastructure was going to be able to handle that, you might not be in for a WS is meeting that need. There's been some of the cloud providers that have had performance issues have had to prioritize which customers can get access to things AWS standing strong. They're meeting their customers and their answering the call of cloud. You know, we know that AWS puts a huge investment into their environment. If you compare an availability zone from AWS, you know, it is very, very sturdy. It's not just, you know, a you know, a small cluster on. And they say, Hey, we can run all over the place, you know, to be specific It's, you know, John Azure has been having some of those performance issues and has been from concerns. Corey actually wrote a really good article talking about that. It actually put a bad you on public cloud in general. But we know not all public cloud with the same, though, you know, Google has been doing quite well, you know. Managing the demand spike, though, has AWS. Microsoft has needed to respond a little bit. >>It's just mentioned Microsoft's outages. Microsoft actually got caught on eight K filing, which you just have to be going through, and they noticed that they said they had all this up. Time for the cloud. Turns out it wasn't the cloud. It was the teams product. They had to actually put a strike a line through it legally. So a lot of people getting called out, it doesn't matter. It's a crisis. I think that's not gonna be a core issue is gonna be what technology has been needed the most. And I got to ask you still, when was the last time you and I talked about virtual desktops? Because, hey, if you're working at home and you're not at your desk, you need might need some stuff on your desk. This >>is a real issue. >>I mean, it's a >>kind >>of a corner case in tech, but virtual desktops. If >>you're not >>at the office, you need to have that at home. This is a huge issue. It's been a surge >>in demand. Yeah, there were jokes in the community that you know, finally, it's the year of VD I, but desktop as a service. John is an area that took a little while to get going. You know, Dave Volante and I were just having about this. You and Dave interviewed me when Amazon released workspaces, and it was like, Ah, you know, Citrix is doing so well and VD I, you know, isn't the hotness anymore, But that's not service as grown. If you talk about desktop as a service compared to V i p. I is still, you know, a bit of a heavy lift. Even if you've got, you know, hyper converged infrastructure. Roll this out. It's a couple of months to put these whole solutions together. Now, if you have some of that in perspective, can you scale it and you build them up much faster? Yes, you can. But if you're starting to enable your workforce a little bit faster, desktop as a service is going to be faster. AWS has a strong solution with work base. Is it really is that enablement? And it's also putting pressure on the SAS providers. One. They need scale and do they need to be responsive that some of their customers need to scale up really fast and some of them dial things down. Always worry about some of these on track that the SAS providers, but you in. So you know, customers need to make sure they're being loud and clear with their providers. If you need help. If you need to adjust something, you know, push back on them because they should be responsive because we know that there is a broad impact on this. But it will not be a permanent impact, though you know, these are the times that companies need to work closely with customers because otherwise you will. You will either make a customer for life, or you will have somebody that will not be saying about you for a long >>while. Still, let's just quickly run through some of the highlights so far on the virtual conference virtual event. Aussie Amazon Pre announced last month the Windows Migration Service, which has been a big part of their business. They've been doing it for 11 years, so we're gonna have an interview with an AWS person to talk about that also app Flows announced as well as part of the virtual kind of private, you know, private checks. So you're seeing that right here. Large scale data lakes breaking down those silos, moving data from the cloud from the console into the top. Applicants like Salesforce is a big one. That was kind of pre announced. The big story here is the Kendra availability and the augmented AI availability. Among other things, this is the big story. This kind of shows the Amazon track record they pre announced at reinvent, trying to run as fast as they can to get it shipping the focus of AI. The focus of large scale capacity, whether it's building on top of GC, too. Server list. Lambda ai. All this is kind of coming together data, high capacity, operational throughput and added value. That seems to be the highlights. Your reaction? >>Yeah, John, You know, at flow is an interesting one. We were just talking about asp providers. An area that we've been spending a lot of time talking with. The system is you know, my data is all over the place, you know? Yes, there's my data centers public, but there's all of these past provides. So, you know, if I have data in service now, I have it in workday. I have a sales force you know, how do I have connectors there? How do I You're that How do I protect that, though? Amazon, you know, working with a broad ecosystem and helping to pull that together. Eyes definitely an interesting one. What? Kendra definitely been some good buzz in the ecosystem for a while. They're You know, the question is on natural language processing and a I, you know, where are the customers with these deployments? Because some of them, if they're a little bit more long term, Egypt might be the kind of projects that get put on pause rather than the ones that are critical for me to run the business today. >>And I just did a podcast with the VM ware ecosystem last week talking about which projects will be funded. Which ones won't. It brings up this new virtual work environment where, you know, some people are going to get paid and some people aren't. If you're not core to the enterprise, you're probably not going to get paid. If you're not getting a phone call to come into work, you're probably gonna get fired. So there will be project that will be cut and projects that will be funded certainly virtual events, which I want to talk to you about in a minute to applications that are driving revenue and or engagement around the new workforce. So the virtualization of business is happening now. We joke because we know server virtualization actually enabled the cloud. Right? So I think there's going to be a huge Cambrian explosion of applications. So I want to get your thoughts. The folks you've been talking to the past few months, what are you hearing in terms of those kinds of projects that people will be leaning into and funding versus ones they might put on hold? Have you heard anything? >>Yeah. Well, you know, John, it's interesting when you go back at its core, what is AWS and they want to enable built. So, you know, the last couple of years we've been talking about all of the new applications that will get built. That's not getting put on hold, Jones. You know it. What? I do not just to run the business but grow the business. I need the We'll have applications at the core of what we do. Data and applications, Really. Or what? Driving companies today. So that piece is so critically important and therefore AWS is a very strategic partner there. >>I'm saying the same things Do I think the common trend that I would just add to that would be I'm seeing companies looking at the covert crisis is the opportunity and frankly in some cases, an excuse to lay people off, and that's kind of you're seeing some of that. But the >>end of >>the day that people are resetting, reinventing and then putting new growth strategies together that still doesn't change business still needs to get done. So great point. It's to virtual events were here with the AWS summit. Normally run the show floor. The Cube. We're here with the Virtual Cube doing our virtual thing. It's been interesting to a lot of our events have converted to virtual. Some have been canceled, but most of them have been been running on the virtual. We've been plugged in, but the cube is evolving, and I want to get your thoughts on how you see the Cube evolving. I've been getting a lot of questions that came again on the VM Ware community podcast. How is the Cube morphed and I know that we've been working hard with a lot of our customers. How have we evolved? Because we're >>in the >>middle of this digital way, this virtualization away. The Cube is in there. We've been successful. That's been different use cases. Some have been embedded into the software. Amazon's got their own run a show. But events are more than just running the show content. >>Yeah, more John, >>more community behind us to your thoughts and how well Cube has evolved. And what are you seeing? >>I'm glad, John. You just mentioned community. So you know, you and I have talked many times on air that, you know, the Cube is much network in the community as it is a media company. So, you know, first of all, it's been so heartening over the last couple of months that we've been putting out. We're still getting some great feedback from the community. One of things I personally miss is, you know, when we step off the stage and you walk the hallway and you bump into people that know when they ask your questions were you know, they share some of the things that they're going through. That data that we always look for is something we still need. So I'm making sure that reach out to friends, you know, diving back into the social channels to make sure that we understand the pulse of what's going on. But you know, John, you know, our community has always been online, though a big piece of the Cube is relatively unchanged. Other than we're doing all the interviews, we have to deal with everyone's home systems in home network. Every once in a while you hear a dog barking in the background or, you know, a child running, but it actually humanized. So there's that opportunity or the communities to rally together. Some of my favorite interviews have been, you know, the open source communities that are gathering together toe work on common issues, a lot of them specifically for the global endemic, you know, And so there are some really good stories out there. I worry when you talk about companies that are think, Hey, this There have been so many job losses in this pandemic that it just is heartbreak. So, you know, we've loved when the tech community is helping to spur new opportunities, great new industries. I had a great interview that I did with our friends from a cloud guru, and they've seen about a 20 to 30% increase on people taking the online training. And one of the main things that they're taking training on is the one on one courses on AWS on Google and on Azure, as well as an interesting point. John, they said, Multi cloud is something that come up. So you know, 2020 we've been wondering. Is aws going to admit that multi cloud is a thing, or are they going to stick with their hybrid message and, you know, as their partners not talk about? It's >>been interesting on the virtual queue because we and Amazon's been a visionary and this leading Q B virtual with them. It's become a connective tissues to between the community. And if you think about how much money the companies they're saving by not running the physical events and with the layoffs, as you mentioned, I think that could be an opportunity for the Cube to be that connective tissue to bring people together. I think that's the mission that we hope will unfold, but ultimately, digital investments will probably go up from this. I'm seeing a lot of great conversion around. Okay, So the content, What does it mean to me? Is that my friend group are my friends involved? How do I learn? How do I discover? How do I connect? And I think the interesting thing about the Cube is we've seen that up front. And I think there's a positive sign of heads do around virtualization of the media and the community. And I think it's going to be economic opportunity. And I hope that we could help people find either jobs or ways to re engage and reconnect. So again, reinvents coming. You got VM World. All >>these big shows do They dropped so much cash. Can you answer? They >>put all that cash with the community. I think that's a viable scenario. >>Yeah. No, Absolutely. John. There there is, you know, big money and events, you know? Yes, there are less cost. They're also, you know, almost none of them are charging for people to attend, and very few of them are urging the bunker. So, you know, big shift in and how we have to look at these. It needs to be a real focus on content. I mean from our standpoint, John, from day one. We've been doing this a decade now. In the early days when it was a wing and a prayer on the technology, it was always about the content. And the best people help extract that signal from the noise. So, you know, some things have changed the mission overall days. >>And you know what? Amazon is being humble. They're saying we're figuring it out. Of course, we're psyched that we're there with the Virtual Cube students do. Thanks for spending the time kicking off this virtual coverage wrap up. Not >>as good as face to face. >>Love to be there on site. But I think it's easy to get guests used to in the virtual world. But we're gonna go to a hybrid as soon as it comes back to normal. Sounds like clouds to public hybrid virtual. There it is too. Thanks so much. Okay, that's the cube coverage for AWS Summit. Virtual online. That's the Cube virtual coverage. I'm sure. First Amendment, Thanks for watching. Stay tuned for the next segment. Yeah, >>yeah, yeah, yeah

>> From New York City, it's theCube covering New Relic Feature Stack 2019. Brought to you by New Relic. >> Stu: Hi, I'm Stu Miniman and this is theCube's first year of coverage at the seventh year of New Relic's Futurestack 2019 here in New York City and happy to welcome back to the program two Cube alumni. So, Todd Osborne is the GVP of Alliances and Channel with New Relic and Dave McCann is the Vice President of Migration Services, Marketplace and Control Services with AWS. Gentlemen, thanks so much for joining us. >> Dave: Great seeing you again, Stu. >> Todd: Thanks for having us. >> Allright, um, Todd, let's start with you uh, you know, quite a bit of a relationship with, between New Relic and AWS. I know we've had Lou on our program at the AWS shows a couple of times. So, set us up with the, the partnership and how it's been evolving. >> Todd: Yeah, it's been a, uh an unbelievable partnership, um, for many, many years we've worked together starting with technology integrations, we've got dozens of them that, that natively monitor a bunch of different AWS services but the most exciting thing of late ah, really came to life middle of last year when we started working with, uh, a bunch of different folks at AWS. Our, basically, our biggest thing that we need help with is migrations. We know we have this massive opportunity, uh, to, for more and more applications more and more workloads to move to the cloud. There's lots of different ways in which customers, partners and Amazon needed help in doing that. They brought us several different challenges related to that and we responded by, ah, at Reinvent Launch last year, launching what we call the Cloud Adoption Solution. That really was how, um, a process that linked up with the Amazon Migration Acceleration Program and used New Relic as the platform to help with migrations from beginning to end. So, starting with the planning, uh, phase of the process, getting the information you need to have a successful migration and design a successful migration, troubleshooting that may, of anything tat may occur during the migration and then post migration, really helping to optimize the performance and cost of how that migration, uh, or that post migration, ah, optimization and run phase. So, it started with that. It's really evolved. What's been really amazing, just since we launced last November December at Reinvent, the whole, we've seen a massive shift already, just the last nine months, where it's not about just simple lift and shift anymore, almost all customers that are migrating now, are also thinking about modernizing their software stack, running on containers, using kubernetes, running micro services, which is New Relic's sweet spot, really, at the application space. So, as we've evolved, starting with migration, evolving into modernization, it's been an amazing partnership working with AWS. >> Stu: So, Dave, migration services, obviously something we hear a lot about from AWS. Every time I go on one of these shows, it's one of the key steps that gets thrown out. Uh, you have a very broad ecosystem, the marketplace, uh, you know is, is the closest I call to the kind of the enterprise app store, uh, of today. Tell us what's, you know, special and, really, you know the effort that goes together between AWS and New Relic here. >> Dave: So, I think, from a migration point of view, um, you know we've spent a lot of time in AWS designing a migration methodology. Our professional services team, let by Tom Weatherby is really delivering a playbook directly to our customers on how to migrate. And, also, we've certified over fifty consultant partners who are certified to do the migration. But all the migrations hinge on a customer knowing what they have and whether they want to migrate it. And, so, to necessarily know what you have, you have to go through application discovery. So, if you've got a larger server fleet, you've got four or five thousand instances, you have a thousand apps, you've actually got to discover and analyze what you have. And, clearly New Relic's tool is widely installed. So they actually have the visibility to a lot of the installed apps. So, last year, at the end of last year, we bought a Canadian company called TSO Logic. And TSO Logic is a business case tool from building the business case on whether to move an application running on PRIM. What would it look like on The Cloud? So, we need to have that data in the tool. And, so, New Relic's been a great partner, integrating New Relic into TSO Logic, so we cal actually take the instrument in visibility that New Relic brings to the table and pop it right into the tool. And, so, the New Relic, TSO tool integration is a great new mechanism that we have. And we just acquired TSO in Q1 of 2019. So that we're now giving the TSO tool to all of our solution architects and all of our consulting partners and New Relic feeds the data right into the TSO tool. So that's a huge, um, uh, mechanism for accelerating migration. >> Okay, uh, can, can you speak to, you know, how, are you, who and what customers and how are you targeting them, uh, for, for this solution? >> So, first of all, customer are moving to AWS. You know, thousand of enterprises are moving applications. I think you have to assume that most enterprises are moving to The Cloud. And the question is, "At what speed?" So, as our sales teams engage with the customer, the sales team have a notion to discuss migration we run migration methodology. And so, as we engage with the teams, the solution architect brings TSO to the tool, to the discussion. And that's happening all around the world. And we've trained our solution architects on TSO. And as we've done that, the second thing we've done is, you know, New Relic engineered engine marketplace over two years ago. But we've launched a new capability called Private Offers. And Private Offers is where the customer, while they're planning the migration, may also need to license more New Relic and New New Relic. And, so, how do we make licensing really easy? And, so, New Relic worked with us on, the, what we call the Private Offers Workflow. And that Private Offer Workflow allows a New Relic sales executive to generate the quote right in the marketplace portal. And you, an AWS customer, and you receive that private quotation right in your AWS account. So not only are we business casing on TSO, but New Relic is quoting through marketplace. So that's happening into lots of large customers. >> Stu: Yeah, uh, you know, what if you talk about the adoption of Cloud we need to make it simpler for customers to move those. And the financial piece has always been one of the promises of Cloud, but things like this Private Offer, it sounds like it helps accelerate, uh, that simplicity, and, and you know, reduces any, you know, perceived barriers there are between some of the software vendors and what you're offering. >> Dave: Well, it flows the New Relic software supply right through marketplace and more and more large companies are using marketplace for software supply. And, so, New Relic's in there. It means that our sales teams are working together So, we talked this morning at the conference with the VP of Cloud architecture who was in the conversation. And so, Chris has been working with the AWS team and with the New Relic team and we're joined at the hip as they expand their use of New Relic. And they announced this morning that they've now moved over thirty percent of all of the Cox application onto the AWS Cloud. And New Relic's been the center of that visibility. >> Stu: All right, so, Todd, a lot of announcements at the show, especially uh, you know, the capital p platform as Lou talked about in the keynote this morning. Well, you know, AWS is one of the largest platforms out there today. Help us understand how these fit together, both platforms as well as just, just the announcements in general as to how they work with AWS. >> Yeah, what every single thing we announced today had some sort of AWS tie to it. So, I mean first of all with New Relic, one, being a platform, it's open, connected, and, um, and, and programmable. And, so, the open part of that means that not only can we just inject data with New Relic agents, now we, we now are an observability platform that will take date from all kinds of sources, so think of what that opens up in working with AWS and AWS's other partners and getting data from a bunch of different sources, to then make the observability even better. We announce a log in solution. We're already connected with AWS, uh, cloud watch logs and, and, uh, working on some other new feature solutions in the log in space. And then from a programmability perspective, um, we can now take what we have, we can write all kinds of applications on top of the New Relic platform. And some of the initial couple of, of the dozen application that have already been opensource, one is a cost optimization play which looks at Amazon data, uh, both utilization performance data, some other sources of data that New Relic has, and then pulls in the Amazon cost data, can actually look at, in the New Relic platform, as a free opensource application, how do I optimize my cost in the AWS environment? And the second one, which we didn't talk about too much this morning but it's out there, but we can take some of VienMore data and some of the on PRIM data that we have visibility to today and help design that landing zone to help migrations do better, So, it's just two really quick examples of how we can take data from all these different sources and program it, write new applications on top of it, create an awesome customer use case and work with Amazon and, uh, help migrations and optimization along the way. >> Stu: All right, Dave, I'm wondering if you have any customer examples that might highlight some of the joint work that's being worked on between New Relic and AWS. >> Dave: Also, You Know, obviously I've just made some Cox We stood on stage this morning with the press where Cox has said that they've now got nine thousand work loads under New Relic visibility. And so that nine thousand work loads is across hundreds of development teams and, I think, Cox is just an illustration of many customers that we have in common. Um, you know, we're, AWS has got thousands of enterprises, so does New Relic. I think you've said you have over one hundred thousand five hundred enterprises using you. So, some large number. So there's a high overlap in many customers at this conference. And as we sat in the room this morning, um, I would say more than half the room held up their hands when I said, "Who in this room is using AWS?" Half of the audience here are AWS customers and New Relic customers. >> Todd: If I could maybe just add on the Cox story a little bit, because I've been very involved with that one. The beauty of the partnership we have there was multiple, on multiple phases. First, Cox has been a customer of ours for a number of years. Both on PRIM and in the cloud as they have accelerated their cloud, we've helped a lot with that. What was great about that partnership was that our field teams got together and, and actually really sat down and, and mapped out the migration, multiple migration scenarios. We had data on a bunch of on PRIM stuff that was valuable to AWS. AWS was the standard on a couple of divisions on cloud that we weren't monitoring all the applications there. So the teams really worked really well together and then at the end of the day, we came together and said, um, there's a bunch of benefits for the customer, for AWS and us, if the, if uh, if a transaction, the last transaction we did there, went though the marketplace, which was a significant transaction that we did with, ah, on the marketplace. So it was just such a win, win, win that tied together the, uh, all the aspects of the strategic nature-natureship, nature of our partnership. >> Stu: All right, so, you know, it's clear you're teams have been working close tother, iterating and adding a lot of the last kind of year, year or two or so. Give us a little bit look forward. What more should we expect of, a, from, from this partnership? >> Dave: So the area I think I would talk about next, that I think all customers are paying attention to, is spam management. So, you migrate your application to the cloud, you establish a could operating modem, um, we license out software through marketplace, you're now running it, at last week we have another product that I run called Service Catalog. And last week what we launched in Service Catalog was a new ability, and Service Catalog is a library of templates, so those templates are launched as Jason Templates using something called cloud formation and we've versioned the templates and what we launched last week was an integration between Service Catalog and another tool our customers have called AWS Budgets. So now what you actually want to do is you want to grant the team access to a resource and on the tag of the template, you actually want to give that resource template a budget. So that is actually under an API, so there's an AWS Budget API, there's a Service Catalog API, Lou's team today announced a whole raft of New Relic tools. But one of the things that they announced was the ability to essentially build these new widgets, using a React widget, and pull data from other sources. So that's the area some of the customers are looking at as far as taking your spam widget and connecting it into both AWS Budgets and Service Catalog. I don't know if you want to give us your thoughts on that. >> Todd: I, I already talked a little bit about it but it's, it's, it's where we can go. Like the future if almost, almost, uh, infinity right now. What we can go do together. We are trying to align to several of the programs Dave mentioned around Service Catalog, Migration Hub, focus on a couple different use cases of what, um, ever migration has a bunch of nuances and every optimization story has a bunch of nuances. But how can we create the right application, which are a starting point, opensource, put, put the repository up on get up and then allow customers and partners to go and fork that, do what they want to match, kind of of standard use case and maybe eighty percent of the way there. But then it needs a little but of tweak, a little bit of customization basesd on whatever that customer's situation is. We've enabled the entire, uh, community of millions apps that are going to migrate to the AWS cloud over the next couple of years. We've enabled that with what we've launched today. So, the, uh, the future is, is infinity and beyond. >> Stu: All right, well, Todd and Dave, thank you so much for the update. We look forward to seeing what gets announced at AWS Reinvent, which, of course, it'll be our seventh year of having theCube there. Big presence, uh, please reach out if you want to talk to us ahead of time. And check out theCube.net, of course, where you can see, uh, where we will be, including, of course, AWS Reinvent, uh, in December, uh, in Las Vegas. So, This is theCube at Future Stack 2019. I'm Stu Miniman. Thanks for watching theCube.

>> Live from Anaheim, California It's the queue covering nutanix dot next twenty nineteen. Brought to you by Nutanix >> Welcome back, everyone to the Cubes Live coverage of Nutanix Next here in Anaheim, California I'm your host, Rebecca Night, along with my co host, John Furrier. We're joined by Pharma's Mahdavi. He is the senior group director Cadence Design Systems. Thank you so much for coming on the Cube. So tell our viewers a little bit about Kate, based in San Jose. Can't tell our viewers a little bit about your company Cadence Design Systems. >> So Cajuns has been a A company in the very essence about thirty years ago. So we make software to enable semiconductor companies to design test than billed chips. So most technique, you know, technology that you bought, you see, and the fries Electronics has some cadence solution. >> So you guys had a lot of legacy and you're talking about the nutanix relationship. >> So our journey with Nutanix started about three years ago. I'd actually explored Nutanix at a previous company. I've been with Cadence three and a half years. Eso liked it, but there was really no opportunity Teo do much At that time, the company was very new at the time. But I cadence, we identified some opportunities Teo to explore nutanix. And it's been a great experience so far Way actually are running a lot of our critical of business applications on nutanix. So we're all in. >> What was the door opener for? What was the door opener for you? You guys there? That cadence. What? Goddammit! >> The overall architecture look good in a presentation level s so it was worth exploring. But, you know, it's a new company. New architecture. Er you have to kind of going to it carefully. So it was a matter of identifying opportunities that were maybe not production, not super business critical to start. But as time goes on, you build confidence and you do more and more. So today we're using Nutanix. As I said for business applications were using your for VD I AA lot of ours End that stop. You know, instances are running on nutanix today. We use that as well because here zero so a lot of art shared services. You know, the n s active directory. Those sorts of services are running on his hands. So, you know, we're looking for more and more opportunities to expand it. >> So I always like to know how this actually helps you and your company. Do people do their jobs better, more quickly, more efficiently, more productively? Can you sort of walk us through what life was like before nutanix and what life is like now in terms of the staffing and the overhead and the >> star? So I would say there's a couple of different, you know, big benefits. One is we're in a cloud, uh, era, right? So a lot of companies are looking for work close to move to the public cloud, and we're no different. We're constantly looking for what? What makes sense and the public cloud. What makes sense on Prem? So from this support and skill sets, fan point is very important to be consistent. I basically have the same support model for both on Prima's well as public public cloud. So that's one big benefit that Nutanix offers because the same skill sets to support. Let's say eight lbs environment is the same as, you know, the nutanix support environment. Thie. Other critical thing is just like any ICTSI organization were challenged with limited resource is you know, doing more with less. So the ease of administration, ease of support, just inherent reliability of the technology allows our staff to, you know, sleep more at nights and, you know, work less often during the weekend. So the overalls support overhead has reduced significantly. So that's the those are the biggest things. I would say. >> Those are two very important things. >> Those are the two biggest things that way went into this, um, this engagement with But, you know, we're pleasantly surprised that performance is exceeded our expectations, you know? You know, I did expect reliability. I didn't quite expect this level of performance improvement, so that's been excellent. So again, we're looking for more and more opportunities to expand it. Just given that experience, he >> said, the staff sleeps well at night. How have they reacted? What if some other anecdotes from the staff freed more free time management playing? What's the most of what was some of the feedback from the from your team? >> Well, I mean, I don't want to give the wrong impression. It's not like they're not >> working. Yeah, I write >> the scenario, but, you know, I would say it's gone from, uh, crazy environments is something a little more humane, S O, I think not only with the staff just across the company. You have those who are who kind of buy in and go into it positively and others who are more reluctant. And that's no different the support staff. So I think just their own confidence level. And, you know, there, >> uh, a >> desire to do more with nutanix as increase as they had more experience with >> it. It's interesting. I did a panel yesterday with some customers from NUTANIX and was a mixed in a big bank, midsized company and and a good, big corporate kind of it. And it's very interesting. The legacy with was where there was more legacy. There was a lot of dependencies, and they were looking at time frames for pushing stuff out, like eight weeks to two months in two hours. So they went for eight weeks. Teo pushing any kind of rule propagation or any kind of new stuff. It weeks the two hours and that was a huge number. Are you Are you guys seeing anything around in terms of performance and group on the time side with Nutanix? What are some of the things that you're getting benefits wise operationally. >> Well, the more we do, the more cookie cutter it becomes. So you know, each migration is easier and faster and so on. And that also acid with confidence, right? The very first critical business application that we moved to Nutanix the level of testing we did was insane. Now it's less Oh, so for multiple reasons that migration experience is much more efficient much, much quicker today than it was early on. >> One of the things we hear to Rebecca was, you know, new channels. The new vendor you mentioned new company. They're ten years old, so still new relative to the bigger guys getting it pushed, getting it through, getting it approved by executive confidence from executive management around. Wait, was this new new company what's the benefits? All kinds of gyrations, of approvals and sometimes politics and, you know, legacy kind of factors in How does that work on your N? How did that go? Getting nutanix through was a struggle. That was The challenge was to take us through that. >> So as you mentioned the fact that it's new technology new company that has its own set of challenges from first, some application owners and executives. You know, why take the risk? Why not do the same thing we've done? You know, always, um so? So that that's one big big challenge. The other was There is a tendency, especially early on when NUTANIX was selling it as an appliance, as opposed to license on Lee. Um, there is a tendency to view it as a hardware solution, and it's exactly not that it's the exact opposite of that is purely a software solution. That's where the value is. So it's very easy to get chopped into that hardware discussion where people will kind of compare with servers and storage versus nutanix s. So you have to kind of change that mindset and show the real value that hyper convergence provides thes of administration, that high performance reliability and so on on DH. Then, as you make that argument and convince more people again, you have to, you know, start small and expand. But that that was some of the main challenges. I would say >> when you're talking about the migration experience and you said when we formed the first business critical application with it was a long time we tested it. We really worked at it. Now we have a bit more faith that it's that it's going to work out. But can you talk about some best practices that emerged in terms of how to migrate and my great well, that maybe other companies could learn from from Cadence Design System? >> Yeah, well, I would say the best practices aren't unique to unit nutanix. Any migration process has, you know, various phases in terms of planning, testing and so on. And I think just having that discipline well documented, consistent process so that you're not starting fresh every time there's a new migration initiative going on. But I think nutanix makes it easier just given the especially the prison management tool. But I would say it's not particularly unique to your tent. NUTANIX Torto organization just need to be well disciplined in immigration process. >> One of the things that you mentioned software, which is great point that cultural shifts, not a hardware box, and it's probably all the best practices around. Evaluating hardware software is becoming more and more central to it. How do you see it evolving because you got cloud right on the horizon. You got public cloud benefits. They are clear if you're greenfield yet legacy Stop. We have containers containing ization happening as a trend lift and shift versus, you know, evolved life cycle management of APS and workloads, or are now under a new kind of view with software that was changing and, you know, as a as a practitioner in the field. Now, do you look at the evolution of how it is going to change? >> So my side of the house is the infrastructure and operations side, and they tend to be historically kind of manual, you know, different network administrator, storage administrator, system administrations, the administrators that is all changing and all becoming more developer skill sets, scripting automation, things without sort. So I think that's the biggest changes going on in today is kind of changing the skill sets and kind of viewing it as a full stack as opposed to just stories. You're just network. So having that holistic view point having ability, too, develop automation that works across the stack. I think that those those are the changes that traditional infrastructure groups need. Thio adapted. >> While I was talking to a customer yesterday And he was a young young guy, was I think, in this late twenties I'm seeing myself. You know, ten years ago he was in high school or college. So you see a new generation coming up where they gravitate towards Dev ops, right? And so they get that so they don't have that dogma. What? We went with this vendor. So they kind of this new thinking, Any observations that you can share on this younger generation coming inside your new talent that's coming in. That's developer or what they like. What? What's the work style? What they gravitate to what some of the tools they like. That's the mindset. >> So I think they can teach us to be honest way have you know, the older folks like myself have a tendency to look at the way things have always been done. Right? So having the fresh viewpoint is great to kind of come into it with a dead body develops mentality, you know, off jump. But I think I which we should kind of welcome that and take advantage of that. Um you know, for cadence in General Wei are pretty mature company in terms of our personnel we don't have that rapid turnover person of, you know, our team members. So we're trying to actually, you know, we welcome that new talent, eh? So that we can kind of get that, uh, Dev officer mentality in house and kind of mature it ourselves. So we're in the beginning of that journey. >> How do you work together? Because, I mean, you're not that old first of all, but But this This is the time where we have multiple generations together working in the workforce, thes digital natives that we were talking about that and the people who get technology so innate Li grew up with it versus the Gen Xers. The boomers are still there. The gen y's that are emerging and graduating. Now, how is it a challenge at at Cadence to to get all these people working collaboratively productively together? >> Well, Katie, this is an extremely technical company. Uh, referred to our customers, you know, they're all double e, you know, Master's and doctorate engineers. So it's a very technical environment. We try not to really focus on the technology, actually, but to look at, you know, the business objectives, you know? What are we trying to achieve what problems that we're trying to solve. That supposed, Tio. Oh, here's a cool technology. How can we use it? You know, the mindset is a little bit different. We're looking at the business side first and then using technology to solve for those problems. So once you have that focus, regardless of your experience, your age, your background, you work together, you know, to to achieve that end goal. >> What you think about the show. We're here at NUTANIX next Anaheim. What's what's your verdict on so far? The content. Positioning your customer. What's next for you guys? Yeah, very loyal customer. Based on what we found. People love the product. What's next, Joe? >> I'm very impressed. I wasn't expecting it to be this large. You know, I went Teo Local smaller version that was in the area last year. That was pretty impressive, too. But this is amazing. I like it because, you know, I t leaders get sales calls all the time, and we kind of get bombarded. So Tennessee so ignore those. This kind of gives us a chance to at our own pace kind of see who the key partners are. Two new tenants look for opportunities and meet some of these other vendors s. So it's been both educational as well as kind of entertaining. >> Excellent. Well, thank you so much. Farmers for coming on the Q b really appreciated >> my pleasure to meet you. Thank you. >> I'm Rebecca Knight for John Furrier. We will have much more of nutanix next here in Anaheim, coming up in just a little bit.

[Music] [Music] [Music] [Music] [Music] [Music] that will be successful in the 21st century [Music] being open is really important because it comes with a lot of trust the open-source community now has matured so much and that contribution from the community is really driving innovation [Music] but what's really exciting is the change that we've seen in our teams not only the way they collaborate but the way they operate in the way they work [Music] I think idea is everything ideas can change the way you see things open-source is more than a license it's actually a way of operating [Music] ladies and gentlemen please welcome Red Hat president and chief executive officer Jim Whitehurst [Music] all right well welcome to day two at the Red Hat summit I'm amazed to see this many people here at 8:30 in the morning given the number of people I saw pretty late last night out and about so thank you for being here and have to give a shout out speaking of power participation that DJ is was Mike Walker who is our global director of open innovation labs so really enjoyed that this morning was great to have him doing that so hey so day one yesterday we had some phenomenal announcements both around Red Hat products and things that we're doing as well as some great partner announcements which we found exciting I hope they were interesting to you and I hope you had a chance to learn a little more about that and enjoy the breakout sessions that we had yesterday so yesterday was a lot about the what with these announcements and partnerships today I wanted to spin this morning talking a little bit more about the how right how do we actually survive and thrive in this digitally transformed world and to some extent the easy parts identifying the problem we all know that we have to be able to move more quickly we all know that we have to be able to react to change faster and we all know that we need to innovate more effectively all right so the problem is easy but how do you actually go about solving that right the problem is that's not a product that you can buy off the shelf right it is a capability that you have to build and certainly it's technology enabled but it's also depends on process culture a whole bunch of things to figure out how we actually do that and the answer is likely to be different in different organizations with different objective functions and different starting points right so this is a challenge that we all need to feel our way to an answer on and so I want to spend some time today talking about what we've seen in the market and how people are working to address that and it's one of the reasons that the summit this year the theme is ideas worth it lorring to take us back on a little history lesson so two years ago here at Moscone the theme of the summit was the power of participation and then I talked a lot about the power of groups of people working together and participating are able to solve problems much more quickly and much more effectively than individuals or even individual organizations working by themselves and some of the largest problems that we face in technology but more broadly in the world will ultimately only be solved if we effectively participate and work together then last year the theme of the summit was the impact of the individual and we took this concept of participation a bit further and we talked about how participation has to be active right it's a this isn't something where you can be passive that you can sit back you have to be involved because the problem in a more participative type community is that there is no road map right you can't sit back and wait for an edict on high or some central planning or some central authority to tell you what to do you have to take initiative you have to get involved right this is a active participation sport now one of the things that I talked about as part of that was that planning was dead and it was kind of a key my I think my keynote was actually titled planning is dead and the concept was that in a world that's less knowable when we're solving problems in a more organic bottom-up way our ability to effectively plan into the future it's much less than it was in the past and this idea that you're gonna be able to plan for success and then build to it it really is being replaced by a more bottom-up participative approach now aside from my whole strategic planning team kind of being up in arms saying what are you saying planning is dead I have multiple times had people say to me well I get that point but I still need to prepare for the future how do I prepare my organization for the future isn't that planning and so I wanted to spend a couple minutes talk a little more detail about what I meant by that but importantly taking our own advice we spent a lot of time this past year looking around at what our customers are doing because what a better place to learn then from large companies and small companies around the world information technology organizations having to work to solve these problems for their organizations and so our ability to learn from each other take the power of participation an individual initiative that people and organizations have taken there are just so many great learnings this year that I want to get a chance to share I also thought rather than listening to me do that that we could actually highlight some of the people who are doing this and so I do want to spend about five minutes kind of contextualizing what we're going to go through over the next hour or so and some of the lessons learned but then we want to share some real-world stories of how organizations are attacking some of these problems under this how do we be successful in a world of constant change in uncertainty so just going back a little bit more to last year talking about planning was dead when I said planning it's kind of a planning writ large and so that's if you think about the way traditional organizations work to solve problems and ultimately execute you start off planning so what's a position you want to get to in X years and whether that's a competitive strategy in a position of competitive advantage or a certain position you want an organizational function to reach you kind of lay out a plan to get there you then typically a senior leaders or a planning team prescribes the sets of activities and the organization structure and the other components required to get there and then ultimately execution is about driving compliance against that plan and you look at you say well that's all logical right we plan for something we then figure out how we're gonna get there we go execute to get there and you know in a traditional world that was easy and still some of this makes sense I don't say throw out all of this but you have to recognize in a more uncertain volatile world where you can be blindsided by orthogonal competitors coming in and you the term uber eyes you have to recognize that you can't always plan or know what the future is and so if you don't well then what replaces the traditional model or certainly how do you augment the traditional model to be successful in a world that you knows ambiguous well what we've heard from customers and what you'll see examples of this through the course of this morning planning is can be replaced by configuring so you can configure for a constant rate of change without necessarily having to know what that change is this idea of prescription of here's the activities people need to perform and let's lay these out very very crisply job descriptions what organizations are going to do can be replaced by a greater degree of enablement right so this idea of how do you enable people with the knowledge and things that they need to be able to make the right decisions and then ultimately this idea of execution as compliance can be replaced by a greater level of engagement of people across the organization to ultimately be able to react at a faster speed to the changes that happen so just double clicking in each of those for a couple minutes so what I mean by configure for constant change so again we don't know exactly what the change is going to be but we know it's going to happen and last year I talked a little bit about a process solution to that problem I called it that you have to try learn modify and what that model try learn modify was for anybody in the app dev space it was basically taking the principles of agile and DevOps and applying those more broadly to business processes in technology organizations and ultimately organizations broadly this idea of you don't have to know what your ultimate destination is but you can try and experiment you can learn from those things and you can move forward and so that I do think in technology organizations we've seen tremendous progress even over the last year as organizations are adopting agile endeavor and so that still continues to be I think a great way for people to to configure their processes for change but this year we've seen some great examples of organizations taking a different tack to that problem and that's literally building modularity into their structures themselves right actually building the idea that change is going to happen into how you're laying out your technology architectures right we've all seen the reverse of that when you build these optimized systems for you know kind of one environment you kind of flip over two years later what was the optimized system it's now called a legacy system that needs to be migrated that's an optimized system that now has to be moved to a new environment because the world has changed so again you'll see a great example of that in a few minutes here on stage next this concept of enabled double-clicking on that a little bit so much of what we've done in technology over the past few years has been around automation how do we actually replace things that people were doing with technology or augmenting what people are doing with technology and that's incredibly important and that's work that can continue to go forward it needs to happen it's not really what I'm talking about here though enablement in this case it's much more around how do you make sure individuals are getting the context they need how are you making sure that they're getting the information they need how are you making sure they're getting the tools they need to make decisions on the spot so it's less about automating what people are doing and more about how can you better enable people with tools and technology now from a leadership perspective that's around making sure people understand the strategy of the company the context in which they're working in making sure you've set the appropriate values etc etc from a technology perspective that's ensuring that you're building the right systems that allow the right information the right tools at the right time to the right people now to some extent even that might not be hard but when the world is constantly changing that gets to be even harder and I think that's one of the reasons we see a lot of traction and open source to solve these problems to use flexible systems to help enterprises be able to enable their people not just in it today but to be flexible going forward and again we'll see some great examples of that and finally engagement so again if execution can't be around driving compliance to a plan because you no longer have this kind of Cris plan well what do leaders do how do organizations operate and so you know I'll broadly use the term engagement several of our customers have used this term and this is really saying well how do you engage your people in real-time to make the right decisions how do you accelerate a pace of cadence how do you operate at a different speed so you can react to change and take advantage of opportunities as they arise and everywhere we look IT is a key enabler of this right in the past IT was often seen as an inhibitor to this because the IT systems move slower than the business might want to move but we are seeing with some of these new technologies that literally IT is becoming the enabler and driving the pace of change back on to the business and you'll again see some great examples of that as well so again rather than listen to me sit here and theoretically talk about these things or refer to what we've seen others doing I thought it'd be much more interesting to bring some of our partners and our customers up here to specifically talk about what they're doing so I'm really excited to have a great group of customers who have agreed to stand in front of 7,500 people or however many here this morning and talk a little bit more about what they're doing so really excited to have them here and really appreciate all them agreeing to be a part of this and so to start I want to start with tee systems we have the CEO of tee systems here and I think this is a great story because they're really two parts to it right because he has two perspectives one is as the CEO of a global company itself having to navigate its way through digital disruption and as a global cloud service provider obviously helping its customers through this same type of change so I'm really thrilled to have a del hasta li join me on stage to talk a little bit about T systems and what they're doing and what we're doing jointly together so Adelle [Music] Jim took to see you Adele thank you for being here you for having me please join me I love to DJ when that fantastic we may have to hire him no more events for events where's well employed he's well employed though here that team do not give him mics activation it's great to have you here really do appreciate it well you're the CEO of a large organization that's going through this disruption in the same way we are I'd love to hear a little bit how for your company you're thinking about you know navigating this change that we're going through great well you know key systems as an ICT service provider we've been around for decades I'm not different to many of our clients we had to change the whole disruption of the cloud and digitization and new skills and new capability and agility it's something we had to face as well so over the last five years and especially in the last three years we invested heavily invested over a billion euros in building new capabilities building new offerings new infrastructures to support our clients so to be very disruptive for us as well and so and then with your customers themselves they're going through this set of change and you're working to help them how are you working to help enable your your customers as they're going through this change well you know all of them you know in this journey of changing the way they run their business leveraging IT much more to drive business results digitization and they're all looking for new skills new ideas they're looking for platforms that take them away from traditional waterfall development that takes a year or a year and a half before they see any results to processes and ways of bringing applications in a week in a month etcetera so it's it's we are part of that journey with them helping them for that and speaking of that I know we're working together and to help our joint customers with that can you talk a little bit more about what we're doing together sure well you know our relationship goes back years and years with with the Enterprise Linux but over the last few years we've invested heavily in OpenShift and OpenStack to build peope as layers to build you know flexible infrastructure for our clients and we've been working with you we tested many different technology in the marketplace and been more successful with Red Hat and the stack there and I'll give you an applique an example several large European car manufacturers who have connected cars now as a given have been accelerating the applications that needed to be in the car and in the past it took them years if not you know scores to get an application into the car and today we're using open shift as the past layer to develop to enable these DevOps for these companies and they bring applications in less than a month and it's a huge change in the dynamics of the competitiveness in the marketplace and we rely on your team and in helping us drive that capability to our clients yeah do you find it fascinating so many of the stories that you hear and that we've talked about with with our customers is this need for speed and this ability to accelerate and enable a greater degree of innovation by simply accelerating what what we're seeing with our customers absolutely with that plus you know the speed is important agility is really critical but doing it securely doing it doing it in a way that is not gonna destabilize the you know the broader ecosystem is really critical and things like GDP are which is a new security standard in Europe is something that a lot of our customers worry about they need help with and we're one of the partners that know what that really is all about and how to navigate within that and use not prevent them from using the new technologies yeah I will say it isn't just the speed of the external but the security and the regulation especially GDR we have spent an hour on that with our board this week there you go he said well thank you so much for being here really to appreciate the work that we're doing together and look forward to continued same here thank you thank you [Applause] we've had a great partnership with tea systems over the years and we've really taken it to the next level and what's really exciting about that is you know we've moved beyond just helping kind of host systems for our customers we really are jointly enabling their success and it's really exciting and we're really excited about what we're able to to jointly accomplish so next i'm really excited that we have our innovation award winners here and we'll have on stage with us our innovation award winners this year our BBVA dnm IAG lasat Lufthansa Technik and UPS and yet they're all working in one for specific technology initiatives that they're doing that really really stand out and are really really exciting you'll have a chance to learn a lot more about those through the course of the event over the next couple of days but in this context what I found fascinating is they were each addressing a different point of this configure enable engage and I thought it would be really great for you all to hear about how they're experimenting and working to solve these problems you know real-time large organizations you know happening now let's start with the video to see what they think about when they think about innovation I define innovation is something that's changing the model changing the way of thinking not just a step change improvement not just making something better but actually taking a look at what already exists and then putting them together in new and exciting lives innovation is about to build something nobody has done before historically we had a statement that business drives technology we flip that equation around an IT is now demonstrating to the business at power of technology innovation desde el punto de vista de la tecnología supone salir de plataform as proprietary as ADA Madero cloud basado an open source it's a possibility the open source que no parameter no sir Kamala and I think way that for me open-source stands for flexibility speed security the community and that contribution from the community is really driving innovation innovation at a pace that I don't think our one individual organization could actually do ourselves right so first I'd like to talk with BBVA I love this story because as you know Financial Services is going through a massive set of transformations and BBVA really is at the leading edge of thinking about how to deploy a hybrid cloud strategy and kind of modular layered architecture to be successful regardless of what happens in the future so with that I'd like to welcome on stage Jose Maria Rosetta from BBVA [Music] thank you for being here and congratulations on your innovation award it's been a pleasure to be here with you it's great to have you hi everybody so Josemaria for those who might not be familiar with BBVA can you give us a little bit of background on your company yeah a brief description BBVA is is a bank as a financial institution with diversified business model and that provides well financial services to more than 73 million of customers in more than 20 countries great and I know we've worked with you for a long time so we appreciate that the partnership with you so I thought I'd start with a really easy question for you how will blockchain you know impact financial services in the next five years I've gotten no idea but if someone knows the answer I've got a job for him for him up a pretty good job indeed you know oh all right well let me go a little easier then so how will the global payments industry change in the next you know four or five years five years well I think you need a a Weezer well I tried to make my best prediction means that in five years just probably will be five years older good answer I like that I always abstract up I hope so I hope so yah-yah-yah hope so good point so you know immediately that's the obvious question you have a massive technology infrastructure is a global bank how do you prepare yourself to enable the organization to be successful when you really don't know what the future is gonna be well global banks and wealth BBBS a global gam Bank a certain component foundations you know today I would like to talk about risk and efficiency so World Bank's deal with risk with the market great the operational reputational risk and so on so risk control is part of all or DNA you know and when you've got millions of customers you know efficiency efficiency is a must so I think there's no problem with all these foundations they problem the problem analyze the problems appears when when banks translate these foundations is valued into technology so risk control or risk management avoid risk usually means by the most expensive proprietary technology in the market you know from one of the biggest software companies in the world you know so probably all of you there are so those people in the room were glad to hear you say that yeah probably my guess the name of those companies around San Francisco most of them and efficiency usually means a savory business unit as every department or country has his own specific needs by a specific solution for them so imagine yourself working in a data center full of silos with many different Hardware operating systems different languages and complex interfaces to communicate among them you know not always documented what really never documented so your life your life in is not easy you know in this scenario are well there's no room for innovation so what's been or or strategy be BES ready to move forward in this new digital world well we've chosen a different approach which is quite simple is to replace all local proprietary system by a global platform based on on open source with three main goals you know the first one is reduce the average transaction cost to one-third the second one is increase or developers productivity five times you know and the third is enable or delete the business be able to deliver solutions of three times faster so you're not quite easy Wow and everything with the same reliability as on security standards as we've got today Wow that is an extraordinary set of objectives and I will say their world on the path of making that successful which is just amazing yeah okay this is a long journey sometimes a tough journey you know to be honest so we decided to partnership with the with the best companies in there in the world and world record we think rate cut is one of these companies so we think or your values and your knowledge is critical for BBVA and well as I mentioned before our collaboration started some time ago you know and just an example in today in BBVA a Spain being one of the biggest banks in in the country you know and using red hat technology of course our firm and fronting architecture you know for mobile and internet channels runs the ninety five percent of our customers request this is approximately 3,000 requests per second and our back in architecture execute 70 millions of business transactions a day this is almost a 50% of total online transactions executed in the country so it's all running yes running I hope so you check for you came on stage it's I'll be flying you know okay good there's no wood up here to knock on it's been a really great partnership it's been a pleasure yeah thank you so much for being here thank you thank you [Applause] I do love that story because again so much of what we talk about when we when we talk about preparing for digital is a processed solution and again things like agile and DevOps and modular izing components of work but this idea of thinking about platforms broadly and how they can run anywhere and actually delivering it delivering at a scale it's just a phenomenal project and experience and in the progress they've made it's a great team so next up we have two organizations that have done an exceptional job of enabling their people with the right information and the tools they need to be successful you know in both of these cases these are organizations who are under constant change and so leveraging the power of open-source to help them build these tools to enable and you'll see it the size and the scale of these in two very very different contexts it's great to see and so I'd like to welcome on stage Oh smart alza' with dnm and David Abraham's with IAG [Music] Oh smart welcome thank you so much for being here Dave great to see you thank you appreciate you being here and congratulations to you both on winning the Innovation Awards thank you so Omar I really found your story fascinating and how you're able to enable your people with data which is just significantly accelerated the pace with which they can make decisions and accelerate your ability to to act could you tell us a little more about the project and then what you're doing Jim and Tina when the muchisimas gracias por ever say interesado pono true projecto [Music] encargado registry controller las entradas a leda's persona por la Frontera argentina yo sé de dos siento treinta siete puestos de contrôle tienen lo largo de la Frontera tanto area the restreamer it EEMA e if looool in dilute ammonia shame or cinta me Jonas the tránsito sacra he trod on in another Fronteras dingus idea idea de la Magneto la cual estamos hablando la Frontera cantina tienen extension the kin same in kilo metros esto es el gada mint a maje or allege Estancia kaeun a poor carretera a la co de mexico con el akka a direction emulation s 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calidad de vida de atras de mettre personas SI y meet our que el delito perform a trois Natura from Dana's Argentine sigue siendo en favor de esto SI temes uno de los países mess Alberto's Allah immigration en Latin America yah hora con una plataforma mas segunda first of all I want to thank you for the interest is played for our project the National migration administration or diem records the entry and exit of people on the Argentine territory it grants residents permits to foreigners who wish to live in our country through 237 entry points land air border sea and river ways Jim dnm registered over 80 million transits throughout last year Argentine borders cover about 15,000 kilometers just our just to give you an idea of the magnitude of our borders this is greater than the distance on a highway between Mexico City and Alaska our department applies the mechanisms that prevent the entry and residents of people involved in crimes like terrorism trafficking of persons weapons drugs and others in 2016 we shifted to a more preventive and predictive paradigm that is how Sam's the system for migration analysis was created with red hats great assistance and support this allowed us to tackle the challenge of integrating multiple and varied issues legal issues police databases national and international security organizations like Interpol API advanced passenger information and PNR passenger name record this involved starting private cloud with OpenShift Rev data virtualization cloud forms and fuse that were the basis to develop Sam and implementing machine learning models and artificial intelligence our analysts consulted a number of systems and other manual files before 2016 4 days for each person entering or leaving the country so this has allowed us to optimize our decisions making them in real time each time Sam is consulted it processes patterns of over two billion data entries Sam's aim is to improve the quality of life of our citizens and visitors making sure that crime doesn't pierce our borders in an environment of analytic evolution and constant improvement in essence Sam contributes toward Argentina being one of the leaders in Latin America in terms of immigration with our new system great thank you and and so Dave tell us a little more about the insurance industry and the challenges in the EU face yeah sure so you know in the insurance industry it's a it's been a bit sort of insulated from a lot of major change in disruption just purely from the fact that it's highly regulated and the cost of so that the barrier to entry is quite high in fact if you think about insurance you know you have to have capital reserves to protect against those major events like floods bush fires and so on but the whole thing is a lot of change there's come in a really rapid pace I'm also in the areas of customer expectations you know customers and now looking and expecting for the same levels of flexibility and convenience that they would experience with more modern and new startups they're expecting out of the older institutions like banks and insurance companies like us so definitely expecting the industry to to be a lot more adaptable and to better meet their needs I think the other aspect of it really is in the data the data area where I think that the donor is now creating a much more significant connection between organizations in a car summers especially when you think about the level of devices that are now enabled and the sheer growth of data that's that that's growing at exponential rates so so that the impact then is that the systems that we used to rely on are the technology we used to rely on to be able to handle that kind of growth no longer keeps up and is able to to you know build for the future so we need to sort of change that so what I G's really doing is transform transforming the organization to become a lot more efficient focus more on customers and and really set ourselves up to be agile and adaptive and so ya know as part of your Innovation Award that the specific set of projects you tied a huge amount of different disparate systems together and with M&A and other you have a lot to do there to you tell us a little more about kind of how you're able to better respond to customer needs by being able to do that yeah no you're right so we've we've we're nearly a hundred year old company that's grown from lots of merger and acquisition and just as a result of that that means that data's been sort of spread out and fragmented across multiple brands and multiple products and so the number one sort of issue and problem that we were hearing was that it was too hard to get access to data and it's highly complicated which is not great from a company from our perspective really because because we are a data company right that's what we do we we collect data about people what they what's important to them what they value and the environment in which they live so that we can understand that risk and better manage and protect those people so what we're doing is we're trying to make and what we have been doing is making data more open and accessible and and by that I mean making data more of easily available for people to use it to make decisions in their day-to-day activity and to do that what we've done is built a single data platform across the group that unifies the data into a single source of truth that we can then build on top of that single views of customers for example that puts the right information into the into the hands of the people that need it the most and so now why does open source play such a big part in doing that I know there are a lot of different solutions that could get you there sure well firstly I think I've been sauce has been k2 these and really it's been key because we've basically started started from scratch to build this this new next-generation data platform based on entirely open-source you know using great components like Kafka and Postgres and airflow and and and and and then fundamentally building on top of red Red Hat OpenStack right to power all that and they give us the flexibility that we need to be able to make things happen much faster for example we were just talking to the pivotal guys earlier this week here and some of the stuff that we're doing they're they're things quite interesting innovative writes even sort of maybe first in the world where we've taken the older sort of appliance and dedicated sort of massive parallel processing unit and ported that over onto red Red Hat OpenStack right which is now giving us a lot more flexibility for scale in a much more efficient way but you're right though that we've come from in the past a more traditional approach to to using vendor based technology right which was good back then when you know technology solutions could last for around 10 years or so on and and that was fine but now that we need to move much faster we've had to rethink that and and so our focus has been on using you know more commoditized open source technology built by communities to give us that adaptability and sort of remove the locking in there any entrenchment of technology so that's really helped us but but I think that the last point that's been really critical to us is is answering that that concern and question about ongoing support and maintenance right so you know in a regular environment the regulator is really concerned about anything that could fundamentally impact business operation and and so the question is always about what happens when something goes wrong who's going to be there to support you which is where the value of the the partnership we have with Red Hat has really come into its own right and what what it's done is is it's actually giving us the best of both worlds a means that we can we can leverage and use and and and you know take some of the technology that's being developed by great communities in the open source way but also partner with a trusted partner in red had to say you know they're going to stand behind that community and provide that support when we needed the most so that's been the kind of the real value out of that partnership okay well I appreciate I love the story it's how do you move quickly leverage the power community but do it in a safe secure way and I love the idea of your literally empowering people with machine learning and AI at the moment when they need it it's just an incredible story so thank you so much for being here appreciate it thank you [Applause] you know again you see in these the the importance of enabling people with data and in an old-world was so much data was created with a system in mind versus data is a separate asset that needs to be available real time to anyone is a theme we hear over and over and over again and so you know really looking at open source solutions that allow that flexibility and keep data from getting locked into proprietary silos you know is a theme that we've I've heard over and over over the past year with many of our customers so I love logistics I'm a geek that way I come from that background in the past and I know that running large complex operations requires flawless execution and that requires great data and we have two great examples today around how to engage own organizations in new and more effective ways in the case of lufthansa technik literally IT became the business so it wasn't enabling the business it became the business offering and importantly went from idea to delivery to customers in a hundred days and so this theme of speed and the importance of speed it's a it's a great story you'll hear more about and then also at UPS UPS again I talked a little earlier about IT used to be kind of the long pole in the tent the thing that was slow moving because of the technology but UPS is showing that IT can actually drive the business and the cadence of business even faster by demonstrating the power and potential of technology to engage in this case hundreds of thousands of people to make decisions real-time in the face of obviously constant change around weather mechanicals and all the different things that can happen in a large logistics operation like that so I'd like to welcome on stage to be us more from Lufthansa Technik and Nick Castillo from ups to be us welcome thank you for being here Nick thank you thank you Jim and congratulations on your Innovation Awards oh thank you it's a great honor so to be us let's start with you can you tell us a little bit more about what a viet are is yeah avatars are a digital platform offering features like aircraft condition analytics reliability management and predictive maintenance and it helps airlines worldwide to digitize and improve their operations so all of the features work and can be used separately or generate even more where you burn combined and finally we decided to set up a viet as an open platform that means that we avoid the whole aviation industry to join the community and develop ideas on our platform and to be as one of things i found really fascinating about this is that you had a mandate to do this at a hundred days and you ultimately delivered on it you tell us a little bit about that i mean nothing in aviation moves that fast yeah that's been a big challenge so in the beginning of our story the Lufthansa bot asked us to develop somehow digital to win of an aircraft within just hundred days and to deliver something of value within 100 days means you cannot spend much time and producing specifications in terms of paper etc so for us it was pretty clear that we should go for an angel approach and immediately start and developing ideas so we put the best experts we know just in one room and let them start to work and on day 2 I think we already had the first scribbles for the UI on day 5 we wrote the first lines of code and we were able to do that because it has been a major advantage for us to already have four technologies taken place it's based on open source and especially rated solutions because we did not have to waste any time setting up the infrastructure and since we wanted to get feedback very fast we were certainly visited an airline from the Lufthansa group already on day 30 and showed them the first results and got a lot of feedback and because from the very beginning customer centricity has been an important aspect for us and changing the direction based on customer feedback has become quite normal for us over time yeah it's an interesting story not only engaging the people internally but be able to engage with a with that with a launch customer like that and get feedback along the way as it's great thing how is it going overall since launch yeah since the launch last year in April we generated much interest in the industry as well from Airlines as from competitors and in the following month we focused on a few Airlines which had been open minded and already advanced in digital activities and we've got a lot of feedback by working with them and we're able to improve our products by developing new features for example we learned that data integration can become quite complex in the industry and therefore we developed a new feature called quick boarding allowing Airlines to integrate into the via table platform within one day using a self-service so and currently we're heading for the next steps beyond predictive maintenance working on process automation and prescriptive prescriptive maintenance because we believe prediction without fulfillment still isn't enough it really is a great example of even once you're out there quickly continuing to innovate change react it's great to see so Nick I mean we all know ups I'm still always blown away by the size and scale of the company and the logistics operations that you run you tell us a little more about the project and what we're doing together yeah sure Jim and you know first of all I think I didn't get the sportcoat memo I think I'm the first one up here today with a sport coat but you know first on you know on behalf of the 430,000 ups was around the world and our just world-class talented team of 5,000 IT professionals I have to tell you we're humbled to be one of this year's red hat Innovation Award recipients so we really appreciate that you know as a global logistics provider we deliver about 20 million packages each day and we've got a portfolio of technologies both operational and customer tech and another customer facing side the power what we call the UPS smart logistics network and I gotta tell you innovations in our DNA technology is at the core of everything we do you know from the ever familiar first and industry mobile platform that a lot of you see when you get delivered a package which we call the diad which believe it or not we delivered in 1992 my choice a data-driven solution that drives over 40 million of our my choice customers I'm whatever you know what this is great he loves logistics he's a my choice customer you could be one too by the way there's a free app in the App Store but it provides unmatched visibility and really controls that last mile delivery experience so now today we're gonna talk about the solution that we're recognized for which is called site which is part of a much greater platform that we call edge which is transforming how our package delivery teams operate providing them real-time insights into our operations you know this allows them to make decisions based on data from 32 disparate data sources and these insights help us to optimize our operations but more importantly they help us improve the delivery experience for our customers just like you Jim you know on the on the back end is Big Data and it's on a large scale our systems are crunching billions of events to render those insights on an easy-to-use mobile platform in real time I got to tell you placing that information in our operators hands makes ups agile and being agile being able to react to changing conditions as you know is the name of the game in logistics now we built edge in our private cloud where Red Hat technologies play a very important role as part of our overage overarching cloud strategy and our migration to agile and DevOps so it's it's amazing it's amazing the size and scale so so you have this technology vision around engaging people in a more effect way those are my word not yours but but I'd be at that's how it certainly feels and so tell us a little more about how that enables the hundreds of thousands people to make better decisions every day yep so you know we're a people company and the edge platform is really the latest in a series of solutions to really empower our people and really power that smart logistics network you know we've been deploying technology believe it or not since we founded the company in 1907 we'll be a hundred and eleven years old this August it's just a phenomenal story now prior to edge and specifically the syphon ishutin firm ation from a number of disparate systems and reports they then need to manually look across these various data sources and and frankly it was inefficient and prone to inaccuracy and it wasn't really real-time at all now edge consumes data as I mentioned earlier from 32 disparate systems it allows our operators to make decisions on staffing equipment the flow of packages through the buildings in real time the ability to give our people on the ground the most up-to-date data allows them to make informed decisions now that's incredibly empowering because not only are they influencing their local operations but frankly they're influencing the entire global network it's truly extraordinary and so why open source and open shift in particular as part of that solution yeah you know so as I mentioned Red Hat and Red Hat technology you know specifically open shift there's really core to our cloud strategy and to our DevOps strategy the tools and environments that we've partnered with Red Hat to put in place truly are foundational and they've fundamentally changed the way we develop and deploy our systems you know I heard Jose talk earlier you know we had complex solutions that used to take 12 to 18 months to develop and deliver to market today we deliver those same solutions same level of complexity in months and even weeks now openshift enables us to container raise our workloads that run in our private cloud during normal operating periods but as we scale our business during our holiday peak season which is a very sure window about five weeks during the year last year as a matter of fact we delivered seven hundred and sixty-two million packages in that small window and our transactions our systems they just spiked dramatically during that period we think that having open shift will allow us in those peak periods to seamlessly move workloads to the public cloud so we can take advantage of burst capacity economically when needed and I have to tell you having this flexibility I think is key because you know ultimately it's going to allow us to react quickly to customer demands when needed dial back capacity when we don't need that capacity and I have to say it's a really great story of UPS and red hat working you together it really is a great story is just amazing again the size and scope but both stories here a lot speed speed speed getting to market quickly being able to try things it's great lessons learned for all of us the importance of being able to operate at a fundamentally different clock speed so thank you all for being here very much appreciated congratulate thank you [Applause] [Music] alright so while it's great to hear from our Innovation Award winners and it should be no surprise that they're leading and experimenting in some really interesting areas its scale so I hope that you got a chance to learn something from these interviews you'll have an opportunity to learn more about them you'll also have an opportunity to vote on the innovator of the year you can do that on the Red Hat summit mobile app or on the Red Hat Innovation Awards homepage you can learn even more about their stories and you'll have a chance to vote and I'll be back tomorrow to announce the the summit winner so next I like to spend a few minutes on talking about how Red Hat is working to catalyze our customers efforts Marko bill Peter our senior vice president of customer experience and engagement and John Alessio our vice president of global services will both describe areas in how we are working to configure our own organization to effectively engage with our customers to use open source to help drive their success so with that I'd like to welcome marquel on stage [Music] good morning good morning thank you Jim so I want to spend a few minutes to talk about how we are configured how we are configured towards your success how we enable internally as well to work towards your success and actually engage as well you know Paul yesterday talked about the open source culture and our open source development net model you know there's a lot of attributes that we have like transparency meritocracy collaboration those are the key of our culture they made RedHat what it is today and what it will be in the future but we also added our passion for customer success to that let me tell you this is kind of the configuration from a cultural perspective let me tell you a little bit on what that means so if you heard the name my organization is customer experience and engagement right in the past we talked a lot about support it's an important part of the Red Hat right and how we are configured we are configured probably very uniquely in the industry we put support together we have product security in there we add a documentation we add a quality engineering into an organization you think there's like wow why are they doing it we're also running actually the IT team for actually the product teams why are we doing that now you can imagine right we want to go through what you see as well right and I'll give you a few examples on how what's coming out of this configuration we invest more and more in testing integration and use cases which you are applying so you can see it between the support team experiencing a lot what you do and actually changing our test structure that makes a lot of sense we are investing more and more testing outside the boundaries so not exactly how things must fall by product management or engineering but also how does it really run in an environment that you operate we run complex setups internally right taking openshift putting in OpenStack using software-defined storage underneath managing it with cloud forms managing it if inside we do that we want to see how that works right we are reshaping documentation console to kind of help you better instead of just documenting features and knobs as in how can how do you want to achieve things now part of this is the configuration that are the big part of the configuration is the voice of the customer to listen to what you say I've been here at Red Hat a few years and one of my passion has always been really hearing from customers how they do it I travel constantly in the world and meet with customers because I want to know what is really going on we use channels like support we use channels like getting from salespeople the interaction from customers we do surveys we do you know we interact with our people to really hear what you do what we also do what maybe not many know and it's also very unique in the industry we have a webpage called you asked reacted we show very transparently you told us this is an area for improvement and it's not just in support it's across the company right build us a better web store build us this we're very transparent about Hades improvements we want to do with you now if you want to be part of the process today go to the feedback zone on the next floor down and talk to my team I might be there as well hit me up we want to hear the feedback this is how we talk about configuration of the organization how we are configured let me go to let me go to another part which is innovation innovation every day and that in my opinion the enable section right we gotta constantly innovate ourselves how do we work with you how do we actually provide better value how do we provide faster responses in support this is what we would I say is is our you know commitment to innovation which is the enabling that Jim talked about and I give you a few examples which I'm really happy and it kind of shows the open source culture at Red Hat our commitment is for innovation I'll give you good example right if you have a few thousand engineers and you empower them you kind of set the business framework as hey this is an area we got to do something you get a lot of good IDs you get a lot of IDs and you got a shape an inter an area that hey this is really something that brings now a few years ago we kind of said or I say is like based on a lot of feedback is we got to get more and more proactive if you customers and so I shaped my team and and I shaped it around how can we be more proactive it started very simple as in like from kbase articles or knowledgebase articles in getting started guys then we started a a tool that we put out called labs you've probably seen them if you're on the technical side really taking small applications out for you to kind of validate is this configured correctly stat configure there was the start then out of that the ideas came and they took different turns and one of the turns that we came out was right at insights that we launched a few years ago and did you see the demo yesterday that in Paul's keynote that they showed how something was broken with one the data centers how it was applied to fix and how has changed this is how innovation really came from the ground up from the support side and turned into something really a being a cornerstone of our strategy and we're keeping it married from the day to day work right you don't want to separate this you want to actually keep that the data that's coming from the support goes in that because that's the power that we saw yesterday in the demo now innovation doesn't stop when you set the challenge so we did the labs we did the insights we just launched a solution engine called solution engine another thing that came out of that challenge is in how do we break complex issues down that it's easier for you to find a solution quicker it's one example but we're also experimenting with AI so insights uses AI as you probably heard yesterday we also use it internally to actually drive faster resolution we did in one case with a a our I bought basically that we get to 25% faster resolution on challenges that you have the beauty for you obviously it's well this is much faster 10% of all our support cases today are supported and assisted by an AI now I'll give you another example of just trying to tell you the innovation that comes out if you configure and enable the team correctly kbase articles are knowledgebase articles we q8 thousands and thousands every year and then I get feedback as and while they're good but they're in English as you can tell my English is perfect so it's not no issue for that but for many of you is maybe like even here even I read it in Japanese so we actually did machine translation because it's too many that we can do manually the using machine translation I can tell it's a funny example two weeks ago I tried it I tried something from English to German I looked at it the German looked really bad I went back but the English was bad so it really translates one to one actually what it does but it's really cool this is innovation that you can apply and the team actually worked on this and really proud on that now the real innovation there is not these tools the real innovation is that you can actually shape it in a way that the innovation comes that you empower the people that's the configure and enable and what I think is all it's important this don't reinvent the plumbing don't start from scratch use systems like containers on open shift to actually build the innovation in a smaller way without reinventing the plumbing you save a lot of issues on security a lot of issues on reinventing the wheel focus on that that's what we do as well if you want to hear more details again go in the second floor now let's talk about the engage that Jim mentioned before what I translate that engage is actually engaging you as a customer towards your success now what does commitment to success really mean and I want to reflect on that on a traditional IT company shows up with you talk the salesperson solution architect works with you consulting implements solution it comes over to support and trust me in a very traditional way the support guy has no clue what actually was sold early on it's what happens right and this is actually I think that red had better that we're not so silent we don't show our internal silos or internal organization that much today we engage in a way it doesn't matter from which team it comes we have a better flow than that you deserve how the sausage is made but we can never forget what was your business objective early on now how is Red Hat different in this and we are very strong in my opinion you might disagree but we are very strong in a virtual accounting right really putting you in the middle and actually having a solution architect work directly with support or consulting involved and driving that together you can also help us in actually really embracing that model if that's also other partners or system integrators integrate put yourself in the middle be around that's how we want to make sure that we don't lose sight of the original business problem trust me reducing the hierarchy or getting rid of hierarchy and bureaucracy goes a long way now this is how we configured this is how we engage and this is how we are committed to your success with that I'm going to introduce you to John Alessio that talks more about some of the innovation done with customers thank you [Music] good morning I'm John Alessio I'm the vice president of Global Services and I'm delighted to be with you here today I'd like to talk to you about a couple of things as it relates to what we've been doing since the last summit in the services organization at the core of everything we did it's very similar to what Marco talked to you about our number one priority is driving our customer success with red hat technology and as you see here on the screen we have a number of different offerings and capabilities all the way from training certification open innovation labs consulting really pairing those capabilities together with what you just heard from Marco in the support or cee organization really that's the journey you all go through from the beginning of discovering what your business challenge is all the way through designing those solutions and deploying them with red hat now the highlight like to highlight a few things of what we've been up to over the last year so if I start with the training and certification team they've been very busy over the last year really updating enhancing our curriculum if you haven't stopped by the booth there's a preview for new capability around our learning community which is a new way of learning and really driving that enable meant in the community because 70% of what you need to know you learned from your peers and so it's a very key part of our learning strategy and in fact we take customer satisfaction with our training and certification business very seriously we survey all of our students coming out of training 93% of our students tell us they're better prepared because of red hat training and certification after Weeds they've completed the course we've updated the courses and we've trained well over a hundred and fifty thousand people over the last two years so it's a very very key part of our strategy and that combined with innovation labs and the consulting operation really drive that overall journey now we've been equally busy in enhancing the system of enablement and support for our business partners another very very key initiative is building out the ecosystem we've enhanced our open platform which is online partner enablement network we've added new capability and in fact much of the training and enablement that we do for our internal consultants our deal is delivered through the open platform now what I'm really impressed with and thankful for our partners is how they are consuming and leveraging this material we train and enable for sales for pre-sales and for delivery and we're up over 70% year in year in our partners that are enabled on RedHat technology let's give our business partners a round of applause now one of our offerings Red Hat open innovation labs I'd like to talk a bit more about and take you through a case study open innovation labs was created two years ago it's really there to help you on your journey in adopting open source technology it's an immersive experience where your team will work side-by-side with Red Hatters to really propel your journey forward in adopting open source technology and in fact we've been very busy since the summit in Boston as you'll see coming up on the screen we've completed dozens of engagements leveraging our methods tools and processes for open innovation labs as you can see we've worked with large and small accounts in fact if you remember summit last year we had a European customer easier AG on stage which was a startup and we worked with them at the very beginning of their business to create capabilities in a very short four-week engagement but over the last year we've also worked with very large customers such as Optim and Delta Airlines here in North America as well as Motability operations in the European arena one of the accounts I want to spend a little bit more time on is Heritage Bank heritage Bank is a community owned bank in Toowoomba Australia their challenge was not just on creating new innovative technology but their challenge was also around cultural transformation how to get people to work together across the silos within their organization we worked with them at all levels of the organization to create a new capability the first engagement went so well that they asked us to come in into a second engagement so I'd like to do now is run a video with Peter lock the chief executive officer of Heritage Bank so he can take you through their experience Heritage Bank is one of the country's oldest financial institutions we have to be smarter we have to be more innovative we have to be more agile we had to change we had to find people to help us make that change the Red Hat lab is the only one that truly helps drive that change with a business problem the change within the team is very visible from the start to now we've gone from being separated to very single goal minded seeing people that I only ever seen before in their cubicles in the room made me smile programmers in their thinking I'm now understanding how the whole process fits together the productivity of IT will change and that is good for our business that's really the value that were looking for the Red Hat innovation labs for us were a really great experience I'm not interested in running an organization I'm interested in making a great organization to say I was pleasantly surprised by it is an understatement I was delighted I love the quote I was delighted makes my heart warm every time I see that video you know since we were at summit for those of you who are with us in Boston some of you went on our hardhat tours we've opened three physical facilities here at Red Hat where we can conduct red head open Innovation Lab engagements Singapore London and Boston were all opened within the last physical year and in fact our site in Boston is paired with our world-class executive briefing center as well so if you haven't been there please do check it out I'd like to now talk to you a bit about a very special engagement that we just recently completed we just recently completed an engagement with UNICEF the United Nations Children's Fund and the the purpose behind this engagement was really to help UNICEF create an open-source platform that marries big data with social good the idea is UNICEF needs to be better prepared to respond to emergency situations and as you can imagine emergency situations are by nature unpredictable you can't really plan for them they can happen anytime anywhere and so we worked with them on a project that we called school mapping and the idea was to provide more insights so that when emergency situations arise UNICEF could do a much better job in helping the children in the region and so we leveraged our Red Hat open innovation lab methods tools processes that you've heard about just like we did at Heritage Bank and the other accounts I mentioned but then we also leveraged Red Hat software technologies so we leveraged OpenShift container platform we leveraged ansible automation we helped the client with a more agile development approach so they could have releases much more frequently and continue to update this over time we created a continuous integration continuous deployment pipeline we worked on containers and container in the application etc with that we've been able to provide a platform that is going to allow for their growth to better respond to these emergency situations let's watch a short video on UNICEF mission of UNICEF innovation is to apply technology to the world's most pressing problems facing children data is changing the landscape of what we do at UNICEF this means that we can figure out what's happening now on the ground who it's happening to and actually respond to it in much more of a real-time manner than we used to be able to do we love working with open source communities because of their commitment that we should be doing good for the world we're actually with red hat building a sandbox where universities or other researchers or data scientists can connect and help us with our work if you want to use data for social good there's so many groups out there that really need your help and there's so many ways to get involved [Music] so let's give a very very warm red hat summit welcome to Erica kochi co-founder of unicef innovation well Erica first of all welcome to Red Hat summit thanks for having me here it's our pleasure and thank you for joining us so Erica I've just talked a bit about kind of what we've been up to and Red Hat services over the last year we talked a bit about our open innovation labs and we did this project the school mapping project together our two teams and I thought the audience might find it interesting from your point of view on why the approach we use in innovation labs was such a good fit for the school mapping project yeah it was a great fit for for two reasons the first is values everything that we do at UNICEF innovation we use open source technology and that's for a couple of reasons because we can take it from one place and very easily move it to other countries around the world we work in 190 countries so that's really important for us not to be able to scale things also because it makes sense we can get we can get more communities involved in this and look not just try to do everything by ourselves but look much open much more openly towards the open source communities out there to help us with our work we can't do it alone yeah and then the second thing is methodology you know the labs are really looking at taking this agile approach to prototyping things trying things failing trying again and that's really necessary when you're developing something new and trying to do something new like mapping every school in the world yeah very challenging work think about it 190 countries Wow and so the open source platform really works well and then the the rapid prototyping was really a good fit so I think the audience might find it interesting on how this application and this platform will help children in Latin America so in a lot of countries in Latin America and many countries throughout the world that UNICEF works in are coming out of either decades of conflict or are are subject to natural disasters and not great infrastructure so it's really important to a for us to know where schools are where communities are well where help is needed what's connected what's not and using a overlay of various sources of data from poverty mapping to satellite imagery to other sources we can really figure out what's happening where resources are where they aren't and so we can plan better to respond to emergencies and to and to really invest in areas that are needed that need that investment excellent excellent it's quite powerful what we were able to do in a relatively short eight or nine week engagement that our two teams did together now many of your colleagues in the audience are using open source today looking to expand their use of open source and I thought you might have some recommendations for them on how they kind of go through that journey and expanding their use of open source since your experience at that yeah for us it was it was very much based on what's this gonna cost we have limited resources and what's how is this gonna spread as quickly as possible mm-hmm and so we really asked ourselves those two questions you know about 10 years ago and what we realized is if we are going to be recommending technologies that governments are going to be using it really needs to be open source they need to have control over it yeah and they need to be working with communities not developing it themselves yeah excellent excellent so I got really inspired with what we were doing here in this project it's one of those you know every customer project is really interesting to me this one kind of pulls a little bit at your heartstrings on what the real impact could be here and so I know some of our colleagues here in the audience may want to get involved how can they get involved well there's many ways to get involved with the other UNICEF or other groups out there you can search for our work on github and there are tasks that you can do right now if and if you're looking for to do she's got work for you and if you want sort of a more a longer engagement or a bigger engagement you can check out our website UNICEF stories org and you can look at the areas you might be interested in and contact us we're always open to collaboration excellent well Erica thank you for being with us here today thank you for the great project we worked on together and have a great summer thank you for being give her a round of applause all right well I hope that's been helpful to you to give you a bit of an update on what we've been focused on in global services the message I'll leave with you is our top priority is customer success as you heard through the story from UNICEF from Heritage Bank and others we can help you innovate where you are today I hope you have a great summit and I'll call out Jim Whitehurst thank you John and thank you Erica that's really an inspiring story we have so many great examples of how individuals and organizations are stepping up to transform in the face of digital disruption I'd like to spend my last few minutes with one real-world example that brings a lot of this together and truly with life-saving impact how many times do you think you can solve a problem which is going to allow a clinician to now save the life I think the challenge all of his physicians are dealing with is data overload I probably look at over 100,000 images in a day and that's just gonna get worse what if it was possible for some computer program to look at these images with them and automatically flag images that might deserve better attention Chris on the surface seems pretty simple but underneath Chris has a lot going on in the past year I've seen Chris Foreman community and a space usually dominated by proprietary software I think Chris can change medicine as we know it today [Music] all right with that I'd like to invite on stage dr. Ellen grant from Boston Children's Hospital dr. grant welcome thank you for being here so dr. grant tell me who is Chris Chris does a lot of work for us and I think Chris is making me or has definitely the potential to make me a better doctor Chris helps us take data from our archives in the hospital and port it to wrap the fastback ends like the mass up and cloud to do rapid data processing and provide it back to me in any format on a desktop an iPad or an iPhone so it it basically brings high-end data analysis right to me at the bedside and that's been a barrier that I struggled with years ago to try to break down so that's where we started with Chris is to to break that barrier between research that occurred on a timeline of days to weeks to months to clinical practice which occurs in the timeline of seconds to minutes well one of things I found really fascinating about this story RedHat in case you can't tell we're really passionate about user driven innovation is this is an example of user driven innovation not directly at a technology company but in medicine excuse me can you tell us just a little bit about the genesis of Chris and how I got started yeah Chris got started when I was running a clinical division and I was very frustrated with not having the latest image analysis tools at my fingertips while I was on clinical practice and I would have to on the research so I could go over and you know do line code and do the data analysis but if I'm always over in clinical I kept forgetting how to do those things and I wanted to have all those innovations that my fingertips and not have to remember all the computer science because I'm a physician not like a better scientist so I wanted to build a platform that gave me easy access to that back-end without having to remember all the details and so that's what Chris does for us is brings allowed me to go into the PAC's grab a dataset send it to a computer and back in to do the analysis and bring it back to me without having to worry about where it was or how it got there that's all involved in the in the platform Chris and why not just go to a vendor and ask them to write a piece of software for you to do that yeah we thought about that and we do a lot of technical innovations and we always work with the experts so we wanted to work with if I'm going to be able to say an optical device I'm going to work with the optical engineers or an EM our system I'm going to work with em our engineers so we wanted to work with people who really knew or the plumbers so to speak of the software in industry so we ended up working with the massive point cloud for the platform and the distributed systems in Red Hat as the infrastructure that's starting to support Chris and that's been actually a really incredible journey for us because medical ready medical softwares not typically been a community process and that's something that working with dan from Red Hat we learned a lot about how to participate in an open community and I think our team has grown a lot as a result of that collaboration and I know you we've talked about in the past that getting this data locked into a proprietary system you may not be able to get out there's a real issue can you talk about the importance of open and how that's worked in the process yeah and I think for the medical community and I find this resonates with other physicians as well too is that it's medical data we want to continue to own and we feel very awkward about giving it to industry so we would rather have our data sitting in an open cloud like the mass open cloud where we can have a data consortium that oversees the data governance so that we're not giving our data way to somebody else but have a platform that we can still keep a control of our own data and I think it's going to be the future because we're running of a space in the hospital we generate so much data and it's just going to get worse as I was mentioning and all the systems run faster we get new devices so the amount of data that we have to filter through is just astronomically increasing so we need to have resources to store and compute on such large databases and so thinking about where this could go I mean this is a classic feels like an open-source project it started really really small with a originally modest set of goals and it's just kind of continue to grow and grow and grow it's a lot like if yes leanest torval Linux would be in 1995 you probably wouldn't think it would be where it is now so if you dream with me a little bit where do you think this could possibly go in the next five years ten years what I hope it'll do is allow us to break down the silos within the hospital because to do the best job at what we physicians do not only do we have to talk and collaborate together as individuals we have to take the data each each community develops and be able to bring it together so in other words I need to be able to bring in information from vital monitors from mr scans from optical devices from genetic tests electronic health record and be able to analyze on all that data combined so ideally this would be a platform that breaks down those information barriers in a hospital and also allows us to collaborate across multiple institutions because many disorders you only see a few in each hospital so we really have to work as teams in the medical community to combine our data together and also I'm hoping that and we even have discussions with people in the developing world because they have systems to generate or to got to create data or say for example an M R system they can't create data but they don't have the resources to analyze on it so this would be a portable for them to participate in this growing data analysis world without having to have the infrastructure there and be a portal into our back-end and we could provide the infrastructure to do the data analysis it really is truly amazing to see how it's just continued to grow and grow and expand it really is it's a phenomenal story thank you so much for being here appreciate it thank you [Applause] I really do love that story it's a great example of user driven innovation you know in a different industry than in technology and you know recognizing that a clinicians need for real-time information is very different than a researchers need you know in projects that can last weeks and months and so rather than trying to get an industry to pivot and change it's a great opportunity to use a user driven approach to directly meet those needs so we still have a long way to go we have two more days of the summit and as I said yesterday you know we're not here to give you all the answers we're here to convene the conversation so I hope you will have an opportunity today and tomorrow to meet some new people to share some ideas we're really really excited about what we can all do when we work together so I hope you found today valuable we still have a lot more happening on the main stage as well this afternoon please join us back for the general session it's a really amazing lineup you'll hear from the women and opensource Award winners you'll also hear more about our collab program which is really cool it's getting middle school girls interested in open sourcing coding and so you'll have an opportunity to see some people involved in that you'll also hear from the open source Story speakers and you'll including in that you will see a demo done by a technologist who happens to be 11 years old so really cool you don't want to miss that so I look forward to seeing you then this afternoon thank you [Applause]

(bright music) >> Hello everybody, welcome to this special CUBE Conversation. I'm John Furrier here in theCUBE's Palo Alto studio. We're here with Jonathan Nguyen, who's with, formally Verizon, now with Fortinet. What's your title? >> Vice President of Strategy. >> Vice President of Strategy, but you're really, I would say, more of a security guru. You had, notably, with the author of the Verizon Data Breach Investigative Report. Great report, it really has been interesting. Congratulations, it's great to have you here. >> Thanks, it was great, 16 years at Verizon, in the security business. ran the data breach investigations team, so that was a great honor in my career, yeah. >> John: So, you called strategy, 'cause they didn't want you to use the word cyber security on your title on LinkedIn in case they spearfish you, is that right, no? (laughs) >> Jonathan: You know, having started my career as a US foreign service officer, as a victim of the OPM data breach, everything about me is out there. >> Yeah. (laughs) >> I live in a perfect universe about how do you defend your identity when everything about you's been compromised to begin with? >> Some of these stories, I had a CUBE guest talk about LinkedIn, and attackers involved in spearfishing, and the efforts that people go into to attack that critical resources inside the parameter. This is a big problem. This is the problem with cyber warfare and security, and crime. >> Yes. Talk about that dynamic, 'cause this is, we always talk about the cloud change, the perimeter, of course. >> Sure. >> More than ever, this is really critical. >> Jonathan: Fundamentally, as we begin going into digital transformation and notions about where data is today and the nature of computing, everything has changed, and the notion of a traditional perimeter has changed as well. I'm going to borrow a great analogy from my friend, Ed Amoroso, and he said, "Look, let's pretend "this is your traditional enterprise network, "and all your assets are in there. "And we all agree that that perimeter firewall "is being probed everyday by nation state actors, "organized criminal syndicates, hacktivists, anybody. "Everyone's probing that environment." It's also dissolving because we've got staffers inside there using shadow IT, so they're opening up that firewall as well. Then you've got applications and portals that need to be accessed by your stakeholders, your vendors, your customers. And so that traditional wall is gradually eroding, yet, that's where all of our data is, right? And against this environment, you've got this group, this unstoppable force, as Ed calls it. These nation-state actors, these organized crime, these hacktivist groups, all highly sophisticated. And we all agree, that with time and effort, they can all penetrate that traditional perimeter. We know that because that's why we hire pin testers, and red teamers, to demonstrate how to get into that network and how to protect that. So if that's the case, that we have this force, and they're going to break in eventually, why are we still spending all of our time and effort to defend this traditional perimeter that's highly vulnerable? Well, the answer is, of course, that we need to distribute these workloads, into multiple clouds, into multi hybrid cloud solutions. The challenge has been, well, how do you do that with enough control and visibility and detection as you have with a traditional perimeter, because a lot of folks just simply don't trust that type of deployment. >> That's the state of the, I mean, that's the state of our problem. How to deal with the complexity of IT, with digital transformation, as it becomes so complicated, and so important, at the same time. Yet, cloud is also on the horizon, it's here. We see the results of Amazon Web Services, see what Azure is doing, Google, et cetera, et cetera. And some companies are doing their own cloud. So, you have this new model, cloud computing. Data driven applications. And it's complex, but does that change the security paradigm? How does the complexity play into it? >> Jonathan: Absolutely, so, complexity has always been the enemy of security. And at Fortinet, what we essentially do is that we help companies understand and manage complexity to manage risk. So complexity is only going to increase. So digital transformation, the widespread adoption of digital technology is to enable exponential explosive productivity growth. Societal level changes, right? Also, massively expand the inter-connective nature of our society. More and more connections, accelerated cycles across the board, greater levels of complexity. The challenge is going to be not about whether we're moving to the cloud, everyone is going to move into the cloud, that is the basis of computing moving next. So in the Australian government, the US government, all of the agencies have a cloud-first migration initiative. It's not about whether, it's not about, it's really about when. So how you move forward with moving your computing, your workloads into the cloud? In many ways it goes back to fundamentals about risk management. It's about understanding your users and your systems, the criticality, the applications you're associated with. And understanding what can you move into the cloud, and what do you keep on-prem, in a private cloud, as it were? >> I want to ask you more about global, more about cybersecurity, but first, take a step back and set the table. What is the holistic and the general trend, in cybersecurity today? What's going on in the landscape, and what are the core problems people are optimizing for? >> Sure. >> So, across my 20-odd years in cyber, what we've seen consistently has been the acceleration of the volume, the complexity, and the variety of cyber threats. So, 10 years ago, 2007 or so, there were about 500 threat factors; today, we're north of 5000. Back at that point, there were maybe 200 vendors; today, we're north of 5000 vendors. There was less than a billion dollars of cybersecurity spent; today, we're north of 80 billion dollars spent. And yet, the same challenges pervade. And what's happening now, they're only becoming more accelerated. So in the threat environment, the criminal environment, the nation-state threat actors, they're all becoming more sophisticated. They're all sharing information! (laughs) They're sharing TTP, and they're sharing it on a highly effective marketplace: the dark web cyber crime marketplace is an effective mechanism of sharing information, of matching threat actors to targets. So the frequency, the variety, the intelligence of attacks, automated ransomware attacks, is only going to grow. Across the board, all of us on this side of the fence, our challenge is going to be, how do we effectively address security at speed and scale? And that's the key. Because you can affect security very well, in very discreet systems, networks, facilities. But how do you do it from the IOT edge? From the home area network, the vehicle area network, the personal area network? To the enterprise network, to then, to a hybrid cloud. A highly distributed ecosystem. And how do you have visibility and scale across that, when the interval of detection, between the detonation of malware, to the point of irrecoverable damage, is in seconds. >> So, tons of attack vectors, but, also, I would add, to complicate the situation further is, the service area, you mentioned IOT. We've seen examples of IOT increasing more avenues in. Okay, so you've got more surface area, more attack vectors with technology. Malware, we see that in ransomware, certainly, number one. But it's not just financial gain, there's also this terrorism involved. >> Absolutely. It's not just financial services get the cash, and embarrass the company, it's, I want to take down that power plant. So, is there a common thread? I mean, every vertical is going to have their own, kind of situation, contextually. But is there a common thread across the industries, that cybersecurity, is there a baseline, that you guys are attacking, that problems are being solved? Can you talk about that? >> Sure. >> So, at the heart of that is a convergence of operational technologies and information technology. Operational technologies were never designed to be IP enabled, they were air gapped. Never designed to be integrated and interconnected, with information technology systems. The challenge has been, as you said, is that as you go through digital transformation, become more interconnected, how do you understand when a thermostat has gone offline, or a conveyor belt has gone offline, or a furnace is going out of control? How do you understand that the HVAC system for the operating theater, the surgery theater, is operating properly? Now we have this notion of functional safety, and you have to marry that with cybersecurity. So, in many ways, the traditional approaches are still relevant today. Understanding what systems you have, the users that use them, and what's happening, in that. And detect those anomalies and to mitigate that, in a timely fashion? Those same themes are still relevant. It's just that they're much, much larger now. >> John: Let's get back to the perimeter erosion issue because one of the things that we're seeing on theCUBE is digital transformations out there. And that's, I kicked a lot of buzzwords out there, but certainly, it's relevant. >> Yeah. People are transforming to digital business. Peter Burroughs had research, we keep on top of those all of the time. And it's, a lot involves IT. Business process, putting data to work, all that good stuff, transforming the business, drive revenue. But security is more coarse. And sometimes we're seeing it unbundled from IT, and we're reporting directly to the board level, or CEO level. That being said, how do you solve this? I'm a digital transformation candidate, I'm doing it, and I'm mindful of security all the time. How do I solve the security problem, cyber security problem? Just prevention, other things? What's the formula? >> Okay, so at the heart of cybersecurity is risk management. So digital transformation is the use of digital technologies to drive exponential productivity gains across the board. And it's about data driven decision making, versus intuitive led human decision making. So at the heart of digital transformation is making sure that the business leaders have their timely information to make decisions, in a much more timely fashion, so they have better business outcomes and better quality of life. Safety, if you will. And so the challenge is about, how do you actually enable digital transformation, it comes down to trust. And so, again, across the pillars of digital transformation. And they are, first, IOT. These devices that are connected collect, share information, to make decisions. The sheer volume of data, zettabytes of data, that will be generated in the process of these transactions. Then you have ubiquitous access. And you're going to have five G, you have this notion of centralized and distributed computing. How will you enable those decisions to be made, across the board? And then how do you secure all of that? And so, at the heart of this is the ability to have, automated, that's key, automated deep visibility and control across an ecosystem. So you've got to be able to understand, at machine speed, what is happening. >> John: How do I do that, what do I do? Do I buy a box, is it mindset, is it everything? How do I solve, how do I stop cyber attacks? >> You need a framework of automated devices that are integrated. So, a couple of things you're going to need: you're going to need to have the points, across this ecosystem, where you can detect. And so, whether that is a firewall on that IOT edge, or in the home, or that's an internally segmented firewall, across the enterprise network into the hybrid cloud. You're also going to need to have intelligence, and by intelligence, that means, you're going to need a partner who has a global infrastructure of telemetry, to understand what's happening in real time, in the wild. And once you collect that data, you're going to need to have intelligence analysts, researchers, that can put into context what that data means, because data doesn't come into information on its own, you actively have to have someone to analyze that. So you have to have a team, at Fortinet, we have hundreds of people who do just that. And once you have the intelligence, you've got to have a way of utilizing it, right? And so, then you've got to have a way of orchestrating that intelligence into that large framework of integrated devices, so you can act. And in order to do that, effectively, you have to do that at machine speed. And that's what I mean by speed and scale. The big challenge about security is the ability to have deep visibility, and control, at speed, at machine speed. And at scale, from that IOT edge, way across, into the cloud. >> Scale is interesting, so what I want to ask you about Fortinet, how are you guys, at Fortinet, solving this problem for customers? Because you have to, is it, the totality of the offering, is it, some technology here, and again, you have 5000 attack vectors, you mentioned that earlier, and you did the defense report at Verizon, in your former jobs. You kind of know the landscape. What does Fortinet do, what are you guys, how do you solve that problem? >> So, from day one, every CSO has been trying to build a fabric, we didn't call it that. But from my first packet-filtering firewall, to my first stateful firewall, then I employed intrusion detection systems, and all of that generated far more lists I can manage, and I deployed an SEM. And then I went to intrusion prevention. And I had to look at logs, so I went to an SIEM. And when that didn't work, I deployed sandboxing, which was called dynamic malware inspection, back in the day, and then when that didn't work, I had to go to analytics. And then, I had to bring in third party technology, third party intelligence feats, and all along, I hoped I was able to make those firewalls, and defense sensors, that platform, integrated with intelligence, work somehow to detect the attack, and mitigate that in real time. Now, what we essentially do, in the Fortinet security fabric is, we reduce that complexity. We bring that level of-- >> And by the way. >> John: You're Ed Hoff, you're reacting in that mode, you're just, I got to do this, I got to add that to it. So it's almost like sprawling, software sprawl. You're just throwing solutions at the wall. >> Right, and a lot of that time, no one knows if their vices are properly configured, no one has actually done the third party technology integration. No one has actually met the requirements that were deployed three years ago, there are requirements today, there are requirements three years from now. And so, that's a huge level of complexity, and I think, at the heart of that complexity. That's reflected in the fact that, we're missing the basic elements in security today. The reason, the large data attacks, and the data breaches, didn't come because of advanced malware, they didn't happen off nation-state threats. These were known vulnerabilities, the patches existed, they weren't patched! In my experience, 80% of all the attacks could be mitigated through simple to intermediate controls. >> Deploying the patches, doing the job. >> Complexity. Patch management sounds easy, it's hard. Some applications, there is no patch available. You can't take things offline, you have to have virtual patches, there are unintended consequences. And there are a lot of things that don't happen. There's the handoff between the IT team and the security team, and it adds complexity. And if you think about this, if our current teams are so overwhelmed that they cannot mitigate known attacks, exploits against known vulnerabilities. How are they going to be able to grapple with the complexity of managing zettabytes of data, with an ecosystem that spans around the world, and operates in milliseconds, where, now, it's not just digital issues, it's health, safety, physical security. How can we trust a connected vehicle, is it secure or not? >> Jon, talk about the digital transformation for industries. As we talked earlier about the commonalities of the industries, they all have their own unique use cases, contextually, I mean, oil and gas, financial services, healthcare, EDU, they all have different things. What is the digital transformation objective and agenda and challenges and opportunities for financial services, healthcare, education, and the public sector? >> So, digital transformation has some similar themes, across industry verticals. For financial services, it's about omnichannel customer engagement, it's about owning that customer experience, how will a financial service company be able to reach each connected consumer? Highly personalized way, highly customized services, suited for that customer so that they can interact, at any time, that they desire, on any device, any media they desire, across the entire experience? For when that person first becomes employed, and has a first checking account, to the point that they retire, the notion around digital transformation for financial services. How do we go about, as an FS company, to reach that customer, in an omnidirectional, omnichannel way, and maximize that experience? How do we do that with highly personalized, highly customized service, self-service, if you will, all with security, across massive amounts of data? How do you ensure that that's the challenge? And then you have to do that in a very distributed ecosystem, from the ATM, home, from the vehicle, and as we move into digitally enabled societies, from the connected car, all of those places will have transactions, all of that will have to be the purveyance of financial services companies. So the level of complexity that they're going to have to grapple with is going to be immense. >> John: And the app, too, is basically the teller, 'cause the app is driving everything, too. It brings up, essentially, the argument, not argument, our thesis, your thesis, on the obvious, which is, the perimeter is eroding. It's the app on the phone. (laughs) Okay, healthcare. Healthcare is one of those things that is near and dear to my heart because, I remember back in the days, when I was younger, HIPAA compliance, it created all of these databases. Creating complexity, but also, structured things. So, healthcare is being disrupted, and security is obviously concerned. More ransomware in hospitals, you see, everywhere these days, big, big issue. >> Yeah, so, challenges in healthcare are twofold. On the one hand, their targets are ransomware because that's where money is. They have compliance challenges, but in a very interesting way, based off of the research we've seen, is that healthcare is a lot more kin to the intelligence community than any other. Because it has insider threats. Large amounts, 7 out of 10 healthcare data breaches are the result of insider threat. So, like financial services, and the other verticals in digital transformation, again, it comes to the notion of the connected consumer and the connected citizen. How do you make sure that that person can be touched and served, irrespective of whether they're in the home, or in another healthcare facility, and all of their devices that are IP-enabled are safe and secure, and to monitor that. And to keep that secure, across a large distributed ecosystem, and for a long period of time, as well. >> Education, talk about insider threats probably there, too. Education is a huge vertical with a lot of, sure, students, but also the general EDU market is hot too. >> Jon: And it's incredibly challenging, because the environment ranges from kindergarten, preschool, to high school, to higher levels of education, that are government funded, with classified intelligence, and materials, and research labs. And the educational environment, how do you provide security, confidentiality, and availability, in an ecosystem that was designed for the free flow and access of information, and how do you do that across a highly distributed ecosystem? Again, constant themes of complexity, volumes of data, and personalized and customized services. >> John: And you got to be able to turn those services on fast, and turn them off and on. Okay, finally, my favorite area is the federal, or public sector market, of course, that also includes higher ed, whatnot. But really government and federal. Public sector, seeing govcloud booming. What are some of the challenges with digital transformation in federal? >> So the hard part of federal government is the notion of service to the connected citizen. And that connected citizen now wants to be able to access city hall, their members of Congress, the White House, in a digital way, at any time, on any device, so that they can log their opinion. It is a cacophony of demand from across the board. From state, local, to federal, that every citizen now demands access to services, on any digital media, and, at the same time, for everything from potholes, and snow removal, and trash removal, those are the types of services that are needed. So, government, now, needs to provide services in the digital way, and provide security across that. >> John: In respect to those verticals, especially public sector and education, transparency is critical. You can't hide, the government can't hide. They provide citizens connectivity, and services. There's no more excuses, they have to go faster. This is a big dynamic. >> I think that we all have expectations of what it is to grow up in a digital world. My children have only grown up in a digital world. They expect things to happen at digital speed, at machine speed, they expect a high level of customized services, so that when they go, and interact with a government agency or a vendor, that vendor, that service provider, needs to know his or her preference. And will automate that and deliver those services in an incredible fashion. As I said earlier, when my kids talk about, when they learned about Moses, and heard about Moses coming down from the mountain with tablets, they thought that he was an Apple user. You know, there was no notion of other types of tablets. The connected citizen is a digital citizen, with digital demands and expectations. And our job in cyber is to enable the digital transformation so that all of those things can be delivered, and expectations met. >> Talk about the dynamic between machines and humans, because you mentioned patches, this is, you could argue it's a human mistake. But also, you mentioned automation earlier. Balance between automation, and using machines and humans. Because prevention and risk management seem to be the axis of the practice. It used to be all prevention, now it's a lot more risk management. There's still a human component in here. How are you guys talking about that, and how is that rendering itself, as a value proposition for customers? >> Sure, so it's just, humans are the essence. Both the challenge, in so many cases, we have faulty passwords, we have bad hygiene. That's why security awareness training is so critical, right, because humans are part of the problem, on one end. On the other end, within the sock, humans are grappling with huge amounts of data, and trying to understand what is malicious, what needs to be mitigated, and then prioritizing that. For us, it's about helping reduce the complexity of that challenge, and helping automate those areas that should be automated, so that humans can act better and faster, as it were. >> We have Jonathan Nguyen with Fortinet. I wanted to ask you about the ecosystem, you mentioned that earlier, and also the role of CSOs, chief information security officers, and CIOs, essentially, they're the executives in charge of security. So, you have the executives in charge of the risk management, don't get hacked, don't get breached. And also, the ecosystem partners. So you have a very interesting environment right now where people are sharing information, you mentioned that earlier, as well. So you got the ecosystem of sharing, and you have executives in charge of running their businesses effectively, and not have security breaches happen. What's happening, what are they working on, what are they key things that chief security officers are working on with CIOs, what specifics are on their plate? And what's the ecosystem doing around that, too? >> So digital transformation dominates all discussions today. And every CSO has two masters. They have a productivity master, which is always the business side of the house, and they have a security master. Which is ensuring that reasonable level of security, in the advent, and managing risk, right? And that's the challenge, how do you balance that? So, across the board, CSOs are being challenged to make sure that the applications, those digital transformation initiatives are actually occurring. At the same time, in the advent of a data breach, understanding the risk and managing the risk. How do you tell your board of directors, your governments, that you're not only compliant, but that you have handled risk to a reasonable level of assurance? And that means, in my opinion, across my experience, you've got to be able to demonstrate a couple of things. One, you have identified and adopted, with third party implementation, and attestation, of recommended best practices and controls. Second, you have implemented and used best-in-class products and technology, like Fortinet. Products that have gone through clearances, gone through common criteria, where things are properly certified. And that's how you demonstrate a reasonable level, it's really about risk management. Understanding what level of risk you will tolerate, what level of risk you will mitigate, and what level of risk you're going to transfer. And I think that's the discussion at the board level today. >> So, make people feel comfortable. But also have a partner that can actually do the heavy lifting on new things. 'Cause there's always going to be a new attack vector out there. >> Absolutely, so, I think the key to it is understanding what you're really good at. And so one of the questions that I ask every CSO is that, when you look at technology, what is it that your organization is really good at? Is it using technology, operationalizing that experience? Or is it really about ensuring that that firewall is integrated with your sim, that the sim works in trying to create your own threat intelligence. And I think one of the things that we do better than anybody else is that we reduce the level of complexity, of that allowing our clients to really focus on providing security, using best-in-class technologies to do that. >> John: That's awesome. I want to just kind of go off the board, on a question that's a little bit more societal oriented, but it's mostly here in the US. You're seeing cryptocurrencies booming, blockchain, whatnot, and it is really kind of two vectors there, that conversation, it's attacks and regulation. So the regulatory environment in DC, on the hill, looks at tech companies these days, oh my god, the big bad, Google, Apple, Facebook. And that's kind of today's narrative. But in general, technology can be an innovation opportunity. So around cyber, it's a little bit more relevant. As govcloud becomes much more ingrained in public sector, what is the regulatory environment out there? Is it helping, is it hurting? What's your thoughts? >> Jonathan: I think, on the most part, it's helping, because regulatory and compliance environments typically lag behind technology. And that's been consistent across not just cyber, but just every field of human endeavor. And I think in cryptocurrency we're beginning to see the effects as governments around the world begin to grapple with, what does this mean, if they have no visibility, insight, or control, over a currency, and we're seeing that in East Asia today. We're seeing that in China, we're seeing that in South Korea. It will have implications, I mean, the question you have to ask, with regards to cryptocurrencies is, will governments allow a non-controlled currency to operate in their marketplace? And given that we are a more integrated and digital marketplace, unless it's adopted on a global basis, is it really compelling? Now, blockchain technology is compelling; what is going to be powering that is a different question. I think that regu-- >> And also. >> The profiteering mode of hackers, which, we talked before we came on camera, is a central part of the dynamic. So if you have a flourishing ecosystem of cryptocurrency, aka Bitcoin, you have, now, a clearinghouse for payments. And that's where ransomware is mostly paid off, in Bitcoin. >> Absolutely. So this is an interesting dynamic, I'm just trying to get a read from how that plays into some of these cybersecurity dynamics. >> I think cybersecurity is highly dynamic, as you said. It is move and countermove, active threat adversaries, active marketplaces coming up with new challenges. I think, for us, on this side of the fence, it's really about making sure, getting the fundamentals right first. I often tell people, first, do you really have all of the security controls in place? Do you really know what's operating in your system? Do you understand your users? Have you done the vulnerability scans? Where are you in those basic things, first? I mean, if you do the basics, you'll mitigate, eight, nine, out of 10 attacks. >> John: Well the costs are going up, obviously, we talked about it, global, earlier. The global impact is interesting, and that's not to say cloud is global, but you now have different regional aspects of cryptocurrencies as one example. But yeah, data breach is another, look at GEPR, the penalties involved. (laughs) And certain countries in Europe, it's going to be astronomical. So there seems to be a tax involved here. So the motivations are multifold. >> So, the motivations in cyber crime. Always consistent, whether they're monetary gain, social media gain, or some sort of political gain. And I think the way you address that is that you cannot take down the marketplace, you cannot take down the physical criminals themselves. You're going to have to take away the ability to monetize, or make gains from cyber attacks. And the way I look at it is that, if you make it so complex to actually launch a successful attack, and then, to go beyond that, and monetize what you've gained, or compromised, you effectively take away the root motivation for cyber crime. And that's, it's an interesting thought, because no one talks about that, because at an industry level, do you really have the ability to, what I call, affect the trajectory of cyber crime? That's a very different way to look at it. >> John: And it's interesting, in Jeff's position, he's basically saying, make it more complex, that'll be more effective against cybersecurity, yet, digital transformation is supposed to make it easier. With building blocks in cloud, you can almost argue that if you can make it easy to deploy in cloud, it's inherently complex. So, creating a very easy to use, complex environment, or complex system, seems to be the architecture. >> The essence of cyber, I think, moving forward, is managing complexity. If you can manage complexity then you have taken complexity and made it your advantage. Because now the cyber criminal has to figure out, where is the data? Is it in the traditional data center, that enterprise environment? Is it a multi-cloud environment, if so, which node, and if I'm successful at compromising one node, I can't get to the next node, because the security fabric separated it. >> John: Jon, the final question, 2018, what's your outlook for the year, for CSOs, and companies with cyber, right now? >> I think it's going to be an exciting time. I think, is there going to be a focus back on basics? Because before we take this next evolutionary leap, in terms of cyber, and computing, and the digital nature of our society, we've got to get the basics done right. And I think the way Fortinet is going, our ability to use the fabric, to help manage risk, and reduce risk, is going to be the path forward. >> Jonathan Nguyen, with Fortinet, former author of the Data Breach Investigation Report, which I've been a big fan of, been reading it for years. Super document, congratulations, it must have been fun working on that. >> It was the high point of my career, at this point. >> It really was a great doc, it was the Bible of state of the art, state of the union, for cyber security. This is theCUBE, bringing you commentary and coverage of cybersecurity, of course, here, in our Palo Alto studio. I'm John Furrier, thanks for watching. (bright music)

>> Narrator: Live from Manhattan, it's theCUBE, covering AWS Summit New York City 2017, brought to you by Amazon Web Services. >> And welcome back to New York, here. AWS Summit, theCUBE continue our coverage of what's happening here in the Big Apple. I'm John Walls along with Stu Miniman, and what this is is maybe not the most prolific CUBE guest of all time, but he's in the hall of fame. He really is a CUBE MVP for sure. It's good to have David Richards with us, the president, chairman, CEO of WANdisco. Good to see you, sir. >> It's a pleasure to be back again. It feels like home. >> It is like home. We need to get you your own microphone, I think, you know? >> David: I know it. I need my name on the back of the seat or something. >> This isn't quite a home game for you. All right, so you've got an office in Sheffield, England. >> David: Yeah. >> You've got an office out in the valley, Silicon Valley. We got ya right in the middle, I think. >> David: Yeah. >> Almost, don't we? So-- >> Exactly. >> We kind of split the difference for you this one. >> I always tell people I'm recolonizing the United States. I've been here for about 20 years. I can change the accent. >> Right. >> I'll get you all, eventually. >> All right, well, another year or two, we'll see how that works for ya. Big, big, I guess six, seven months for you, right? As far as some acquisitions you've done, some vice partnerships and arrangements you've done. >> Yes, as a business, we've really progressed well in the first half of the year. I've got to be a little bit careful. We've got results coming out September the sixth in London, but we did do a pre-announcement of a business update. We signed a record big data cloud contract with a very large bank for over four million dollars. That was our largest ever contract win. We signed a major retailer who we can't name, obviously, which is another sort of cloud ObjectStore on premises. A big data win, and interestingly, we stopped burning cash and investors really like this kind of perfect storm of, 175%, 173% growth in our cloud big data revenue, booking, sorry, combined with a flat cost-base, which meant, first half of last year, burning five point four million dollars down to virtually zero, just $600,000 in the first half. So, investors really like that. We really like that, and it demonstrates that perfect storm of flat cost-base and growing sales. >> David, I'm curious, does working with Amazon, and your customers being on Amazon, does the speed and agility and everything like that contribute to that profitability? >> Well, Amazon kind of changes the game for all vendors, right? Because nobody, it used to be this sort of big four, five, six, whatever it is these days, consulting companies that had to implement ERP systems and all those complex applications. I don't necessarily think they're the people, they're not the go-to people anymore for cloud. So, it's down to uniqueness of technology. Amazon have got such a wide array, we were talking earlier about some of their announcements out today as they continue to go up the stack with applications and so on. So, it does lend itself very well to small vendors with sticky, unique intellectual property and unique products and services that are going to really thrive in this kind of cloud environment. So, we've really enjoyed working with Amazon, but we're also working with the other cloud vendors, as well, and I have to say, when we first saw the Snowmobile and the Snowball, well, actually, the Snowmobile, drive out on stage in New York, was it 12, 18 months ago? It's dog years, so everything goes seven times faster. >> John: Right, right, right. >> I was laughing. I was like, "How on Earth can you possibly use a truck to move data?" But a customer came to us, a prospect came to us the other day, he wanted to move a hundred petabytes of data. Now, if you're going to use the public internet to do that, that's going to take a hell of a long time. So, this idea of a mix between physical and digital data movement I think is, when moving to cloud, is actually fascinating. I think it's a really fascinating subject area. One that customers are definitely going to use. >> Yeah, you've got a great vantage point looking at customers' migrations. >> David: Yeah. >> It was actually something big in the keynote talking about, there are so many migrations out there that Amazon released an AWS Migration Hubs. So, obviously, physics is always a challenge, my legacy mindset. Customers, we heard a customer up onstage and it's usually not lift and shift maybe for the private cloud, but for public cloud, I usually, I need to rewrite, I need to do micro-services. What is the friction for customers, and how are you and Amazon and the other clouds helping customers work through those challenges? >> OK, so, just to take a step back and think about the problems that happen at hyper-scale data movement. So, small-scale data, gigabyte-scale data, the stuff that you typically see in a relational database, they're not particularly big problems. It's kind of minimal outage, press pause, move data, make it consistent, and you're done. You can have a sort of, a small outage, maybe 15 minutes or even a day to move data, but when it gets to hyper-scale, when it gets to petabyte-scale, multi-terabyte-scale data moves, that's when you have a problem, and that's really the problem that we solve. So, the idea that you can move data that's moving and changing without an interruption to service from on-premise to cloud and support a hybrid cloud topology for an elongated period of time is fascinating. I was listening at an investor conference to the CEO of VMware who was talking about, we're going to be in a situation of hybrid cloud for the next 20, 25 years because, overnight, not everybody can just repurpose every single application that they're running on-premise, whether it's in the main frame application, or a relational data application, or wherever it is in the OP application, and repurpose that in cloud overnight. So, we're going to have to gradually move and migrate those applications over. So, it's highly likely we're going to be in a hybrid cloud environment for the foreseeable future, and that's actually fantastic news for us. We're moving, as I said, at scale companies into cloud with transactional data, and nobody else can touch us in terms of the uniqueness of the IP, which is fantastic news for us. >> In terms of just big data in general, Stu has one use for it, I have a different use for it. It's going to live in a lot of different places. How are you responding to different needs within your clients and trying to make them more effective, make them more efficient? And yet, when you're dealing with more and more data, that's a big storm to handle. >> That's a great question. I went to speak a couple of months ago to a new customer of ours who is a major healthcare provider on the east coast, and I kind of said to him, "OK, you've had this deep cluster for the past three years. Why are you calling us? Why now?" Which is the question that I always ask our customers. Why? What changed? Why are you doing this right now?" And maybe for the past three years they've been putting legal data into the system. That's data, but who cares if you can't get access to it? We can move to telephone. We can move to e-mails. We can go into an archive, into a paper archive even, to find it, but the why now is that they're now putting patient record data, patient information with regulated SLA's into this system, and that really is our sweet spot. As you get to, remember that investment thesis, small-scale gigabyte outage is small outage, when you get into petabyte, exabyte-scale, when you've got data sets that are a thousand, a million times greater, it's linear to the quantum of data. That outage becomes a thousand or a million times greater. So, that's kind of intolerable. So, we love it when strategic applications, regardless of what the use case is, we could all have different, it might be patient data, it might be retail information, it might be banking data, it might be customer retention information, when those strategic applications move onto this hyper-scale infrastructure, you have to support RTO and RTP, and that's what we do. >> And is a byte a byte a byte? You have these thousands of needles in haystacks, right? How do you assign value to one as opposed to another? >> So, this is another great question and one that investors kind of ask me a lot. So, we used to model our business from kind of the ground up. So, we take the classic enterprise sales team, you have a sales and marketing organization that's quite large, you would multiply that by their quota and then multiply it by 66% because that's how many of them are going to be successful in selling product. Well, we completely threw that away when we launched WANdisco Fusion, our new technology, early 2016. Then, we moved to a channel-based approach. So, we have IBM, we have an OAM, 5,000 quarter-carrying enterprise sales guys at IBM selling our products. That was a fantastic deal for us. We signed it in April 2016, and they've done the first half of this year, and made at least six million dollars in sales that we have also announced, and then, we've got strategic partnerships with Amazon, with Microsoft, with Google, and we model our business by those channels. So, we're not looking for needles in haystacks. We don't, we could never hire another, I mean, if we had to come into the market and say, "We need to go and hire 5,000 enterprise sales guys," we'd have to be raising, doing fund-raisers like Uber or something. We'd just be untenable. We couldn't do it. So, we have a product that lends itself very well to a channel-based approach, and that's working very nicely for us. So, we're not looking for, we're just looking for haystacks. Somebody else can go and find the needles. >> John: Find me and you, right? >> Right. >> David, how are your customers managing the pace of change these days? We've said Amazon is an example. It's like everyday there's three new services coming out. Are they excited? Are they completely overwhelmed? What do you see these days? >> So, I think it's classic sort of products and option lifecycle stuff. The sort of technical enthusiasts, they love all this change. The early-stage companies that are implementing this new cloud-based technology, ObjectStore technology and so on, they're managing very well. It's the later-stage companies you might go to and say, "ObjectStore," and they'll go, "What's ObjectStore? We're just getting our head around Hadoop, and Hive, and Pig, and all this other stuff that you were talking about three years ago," and sales guys go in there now and say, "Oh, no, no, no, don't worry about Hadoop. Nobody's going to run Hadoop in the cloud." It's like, "Well, that's what you told me three years ago." So, I think the market's certainly divided. I think you're going to see, as we move up products and option lifecycle, you're going to see lots and lots and lots of interesting moves happen. The companies that seem to be owning cloud, I think Alibaba is coming up really fast. We're seeing them doing some interesting things. Obviously, they've got dominoes in the Chinese market. Amazon First-Mover, Microsoft's futures dependent on cloud. So, they all have their different spin and different take on applications that they're going to run in cloud. I think there is, I think it's a bit like the cellphone industry. There's lot and lots of different plans, lots and lots of different confusing nomenclature, but that's going to settle out in the next couple of years, but there's unquestionably, if you look at the audience here today, unquestionably large-scale movement of applications and data to cloud. >> Well, we appreciate the time, as always. Great to see you. Another notch in your CUBE belt. (laughing) So, congratulations for that, and maybe you can settle in to New York for a day or two. You said your travels have had you flip-floppin' back and forth between England and here. So, maybe you can settle in for a day or two. >> Yeah, I need to replicate myself. I need to put myself in at least two different places at the same time. >> Live data replication right here. (laughing) All right, David, thanks for bein' with us. David Richards. >> Thank you. Thanks guys. >> Back with more here on theCUBE, we continue our coverage of AWS Summit from New York City right after this break. (upbeat music)