(soft music begins) >> Welcome to this CUBE conversation. I'm Lisa Martin, I'm joined by Jeremy Swift, the CEO and co-founder of Cordial. Jeremy, welcome to theCUBE, it's great to have you on the program. >> Hey, thanks so much Lisa, it's great to be here with you. >> Making this conversation's work very socially distanced, but I'd love to understand a little bit about Cordial. What do you offer and how do you help customers? >> Yeah, yeah, I appreciate the question. I guess for starters Cordial is a cross-channel messaging and data platform. Our clients, let me tell you a little bit about what that actually means. But I would say our clients can collect all of their unstructured, kind of disparate customer and business data from wherever it lives within their tech stack. And then ultimately use that data to build audience segments, gather insights about that data and about their customers. Kind of discover some trends on that too and then ultimately automate and orchestrate hyper-personalized customer experiences at enterprise scale. And when I say experiences too, to define that a little bit. I really am talking about, frankly, kind of a wealth of interactions that a customer might have with a brand. So, that could be things like transforming your promotional, your triggered and your transactional email, communications to your SMS and your MMS messages, to your push in your in-app messages, targeted direct mail, all the way, actually, frankly, to things like in-store devices like clienteling experiences and things like that when you're physically going into the store, whenever we can get back into that, a little bit more consistently, I would say. And then even things like sending targeted audiences to third-party social platforms like a Google Adwords or a Facebook or whatnot. So, in short, I would say we're the underlying data platform and the activation layer that helps brands better communicate with their customers because they ultimately understand their customers better. Um, yeah, go ahead. >> You mentioned hyper-personalized and we've been talking about personalization for a long time. And especially as the more demanding we consumers get, we expect brands to know who we are, offer us the right things that are in sequence and offer me something I've already purchased. But define hyper-personalized customer experiences. >> Yeah, yeah, it's a really good question. You know, I think this is a significant piece that when we think about kind of the marketing language or lingo that gets used out there, this is probably one that gets used a little bit flippantly. It really is this idea of taking the individualized behaviors of you, Lisa, of me, Jeremy, and looking at those in a full view, not just what I did in this moment but what is my history with your brand tell me? And how do also some of those behaviors now also, maybe predict future behaviors as well. And using that data to ultimately drive and derive the content that is being put into the message. So, hyper-personalized meaning truly, one-to-one, like very, very discreet or descriptive pieces of data that ultimately tie to unique pieces of content that are going to drive a great experience or a particular behavior. So, some examples of maybe how we deploy that with folks, we work with brands like Backcountry or Revolve Clothing, Eddie Bauer, 1-800 contacts, we work with brands like that to help them drive revenue growth through things like, again, hyper-personalized messages drives higher revenue per message. It helps them significantly increase their customer lifetime value, again because the experience that they're creating for them is very tailored, very unique to that individual. So, some things that we measure ourselves on with respect to that and things where we're really proud of are things like our clients are generating a 250 X ROI. And typically they're achieving triple digit revenue growth within their first 30 days using Cordial, our platform, because of the data layer that we have there, we built a transformations product to that just last year alone for our clients transformed and activated over 110 billion customer data records, again for our clients there. And probably the thing that I think excites me the most and frankly kind of gets back to some of my roots in my history of why we started this business too, but, it really is our implementation process as well. So, brands want to hyper-personalize, they want to do all these things that we talk about. But often they think, man, the process to get there is going to take me a really long time. Again, one of the things we really pride ourselves on is that implementation process. It's 90% faster than the legacy marketing clouds out there within the market. To give you an idea of how incredibly fast that is. Our enterprise clients are up in sending typically in less than seven days. That really is unheard of to nearly all enterprise brands but we really pride ourselves on the flexibility of cordless technology coupled with our incredibly talented services team that really helps unlock that for many of our brands and customers. >> So, big numbers that you mentioned, customers achieving impressive metrics-based business outcomes. You talked about the 250 X ROI, triple digit revenue growth very quickly. You also talked about your implementation process being 90% faster than legacy marketing clouds. Talk to me about the actual data platform. And I'd like to kind of unpack that into some of the things that differentiate it. >> Yeah, yeah, absolutely. I guess first and foremost, on the data platform side of things, that really is a significant differentiator. And I guess even before I jump into that though, too. I would be remissed actually if... I think that's natural to probably jump right into product as being the key differentiator at the end of the day. But when I really do honestly think about what differentiates Cordial in the market and what are the things that we really hang our hat on, I can honestly say Lisa, like first and foremost it really is our people. Again, I know it's really natural to go straight to product and talk about the features and the functions or how you thought about building a particular thing. And again, those things are highly important in this kind of digital transformation era that we're in. But I would say in a market that is incredibly saturated with a lot of players across it, within marketing technology and brands, trying to differentiate who does what and who they should work with, at the end of the day we really do believe that creating and enabling a culture of world-class human beings that live out for succinct values. Those for us are things like communicate better than the rest, being tenacious about our clients and the problems we solve for them, acting like owners and then really being kind of on-mission, if you will, to be Cordial, we think that those things are differentiated and frankly really necessary, especially in today's society and culture that we're in. I'm happy to talk about some of the product side of things there though, too. But I'll pause in there for a second-- >> I love that you've said that about one of the key differentiators is the corporate culture. That's one of the things that a lot of companies, legacy companies struggle with. Especially in dynamic times like this, but I would always thought for all the tech shows I've been to, over the many, many years that the customer experience is dependent and inextricably linked to the employee experience. It sounds like you've kind of built the company with that in mind. >> I think you have to. Again, robots have not taken over the world yet, right? And so, this really is still about people combined with technology and how those two things married together. Not just on our side, in terms of what we're bringing to bear for our clients but the experiences our clients are having too, you know. Our clients are working with their IT department or with their engineers and their marketing teams, and they have to figure out how do you make all those things very harmonious together. I just think that at the end of the day, the experience that your people are bringing, the empathy that you're bringing to people, especially in this environment where we've been virtual and you don't get that face-to-face contact, you don't get to maybe delve deep into understanding people, relationally. I just think it's really important. And we, as a business, again, I have this said to me often, and in turn, I said often too, is you can't name your company Cordial and be a jerk at the end of the day. So, there really is a level of empathy that I think needs to be brought through in everything that we do. We're not just out to be, you know, a world-class technology company for our clients. We know our clients expect that from us but we really want to be great human beings at the end of the day, which I think that's really the kind of the link that creates really great partnerships at the end of the day. >> I completely agree and I think especially now more than ever, that infusion of empathy is so critical for businesses in any industry. I do want to unpack the data architecture. You talked about customers being able to get to unstructured customer business data from wherever it lives in the stack. How do you enable that? >> Yeah, yeah, absolutely. Again, that product side is from a differentiators perspective, it's significant. I would say we purposely built Cordial with a data architecture to accommodate just that, to accommodate any number of channels but also an infinite amount of data sources. And then in turn I alluded to this earlier but the ability to manipulate and restructure or transform that data coming in, or going out of Cordial to maybe other systems within a client's tech stack. This differentiation really is significant compared to the legacy clouds, but it is also significant, I would say relative to other kind of next gen options within the market. Investing in Cordial for a brand is... it's a huge step forward in terms of digital kind of future-proofing themselves and how they're setting themselves up to meet the needs of a really rapid evolving consumer and the experience the consumer expects to have with the brands. So, brands collect daily more and more information about users' behaviors and patterns, and we've frankly just see an incredible opportunity for our clients to learn from their customers and the massive amount of data that that client is kind of showing or exhibiting to them. And then putting that to action, putting that to work in terms of the experience that they're creating for their customer, you know, this kind of ties that word of empathy back to it as well. Even though we're talking about digital communications for a brand, it's still a human interaction, it's still a relationship. And so, if we can help brands really understand their data, again through a data architecture that's really purpose-built to really ingest all of that in and then activate that in terms, of their messaging that they're sending out to folks. That can create a level of empathy, that might sound altruistic, I don't believe it is. I think we as human beings, as a professional, if my job is to communicate my brand or my products to my end customer, I would want to do that with a level of empathy, with a level of sincerity, with a level of understanding and knowledge that tells that end customer I know who you are, I'm paying attention. I'm not being creepy and big brother-ish about it, but I'm paying attention. I want to show that I understand you, no differently, frankly than the relationships that we all have as human beings. I mean, if I walked into a conversation with you, Lisa, and I've known you for two years but I started asking you all the same boilerplate questions of like, hey, can you tell me your name again? And who are you? And where did you come from? And what school did you go to? You would kind of think that's so odd. You don't... I thought you knew me but you're not acting like you know me. I think we're all about creating an opportunity for brands to be able to do that with their customers and do it with a level that the customer goes, you know me, you get me, you understand what my desires, wishes, or patterns are with your business. >> Right? No, I think that's so interesting. And I agree with you. The opportunity is just getting bigger and bigger and bigger and bigger. It's not just more data is born and created, more data sources are born and created. The consumer demand is only increasing. So you mentioned, I want to talk about customer tech. You talked about, you mentioned Eddie Bauer being a customer. Eddie Bauer is a legacy organization which has been around for a long time. But I also know you guys work with, with younger, fresher, maybe more cloud native companies. I wonder, though, how an Eddie Bauer goes about fast implementation, you said 90% faster than legacy data platforms. I wonder how an Eddie Bauer goes through that. 'Cause I imagine they replaced a legacy marketing platform with Cordial? >> They did, they did. They actually replaced a handful of kind of legacy platforms and systems that they had in place. And Eddie Bauer is just like, I would say, many other kind of mainstay brands that you and I grew up with to where if they want to compete, if they want to really be on the cutting edge, they need to innovate quickly. They need to evolve from maybe legacy systems to newer systems. Like you said, maybe what more digital native or digital first brands are starting out with, when they launched their business. Eddie Bauer is a really cool story though. Again, it's kind of an iconic brand at the end of the day but they came to us with a really clear set of challenges. And the first and foremost, again, kind of goes back to the point we were talking about, which was Cordial help us consolidate our data from multiple sources that we have. Online, offline order data, loyalty information that they had, a disparate unique customer IDs that they had across all the different databases they had. They had geolocation data, they had product data, customer behavior data, a lot of data all sitting in different places. So first and foremost, like help us get that organized in one central place, being within Cordial's data platform. And then from there they wanted to use those data sources, right? It's not just about bringing it together. It's about now, what do you do with it? How do you activate that? And in the case with Eddie Bauer, they used Cordial to dynamically render... This is a cool example actually, dynamically render a message to each individual customer containing their rewards balance, the expiration date of that reward, a unique bar code specific to that individual to eliminate fraud there... what was it? Nearest store address that they had as well as a map of the store location. All within the message that they were receiving. And by clicking on that message it immediately activated kind of an API sequence behind the scenes, transparent to the user, but something that Eddie Bauer had never been able to do before. And that API sequence that initiated, generated a personalized pass for that particular customer that loaded directly into their wallet, on their device for them to be able to redeem in store. By doing that, it actually then enabled the ability for, if I'm near an Eddie Bauer store, let's say within a mile of it, Eddie Bauer can immediately push a notification to my phone without even having a branded app on the phone, saying, Hey you have a $20 rewards certificate in your wallet, it expires in seven days. You're a mile away from your closest store. Click here and we'll navigate you to that store. Some really cool use cases that really helped them kind of take some big steps forward in that digital transformation for them as a brand. And I would just say kind of going back to even the AWS piece of this too. All of that might sound easy at the end of the day. It's incredibly difficult to do that across millions of customers in minutes, it's very difficult. And I can genuinely say that our experiences and the work that we've done with AWS cloud services is a huge piece of making all of that a reality. And oddly enough, Eddie Bauer actually is an AWS customer as well. And some of those synergies in terms of how we're able to sync up data via Kinesis Streams and S3 buckets and things like that, and be able to make that data very operable was a huge advantage, I think for us, especially in terms of speed to market and the ability to get these kind of programs up and live for a brand like them. >> So, when you were looking at building Cordial and co-founding it back in 2014. Were you drawn to AWS right away? Because you just had this sense that we have to go this direction to enable this complexity to be achieved at scale? >> I mean, yes. I mean, unequivocally 2014 feels like eons ago. It's not really, I guess at the end of the day, but there was... I mean there was no other even remotely viable competitive option at the time to even consider. There are obviously are plenty of cloud services out there now, but I mean that was probably the shortest negotiation we had as co-founders about what we should do with respect to that. It was immediately, I mean that was part of our thesis, was all of the legacy clouds were in co-lo centers and trying to figure out migration plans to even get some of their infrastructure into the cloud. And we said, let's just start straight in the cloud right from day one, it's a huge competitive advantage. It gives us speed, it gives us scale. It gives us all sorts of things that we can immediately start unlocking value with. And so, yeah, when we started Cordial, AWS was, I mean that was day one. We initiated that and they've been an incredibly strategic partner for us ever since then. >> One of the things that are wrapping up here that I always find interesting when you're looking at new technologies like yours, you're right. 2014 does seem like eons ago, but it really wasn't. But you working with legacy, iconic brands like an Eddie Bauer that was probably at one point all paper-based transactions, having to digitize and digitally transform to meet their customers where they are now that need to marry online and offline behaviors to deliver that hyper-personalized experience. I know you guys also work with companies like Revolve as well. So, this is the technology that any type of business, historic, new, can use and implement, sounds like fairly quickly to make big impacts. And I think nowadays being able to deliver information in real-time that's hyper-personalized, it's going to be a make or break for companies that survive this new era that we're living in. >> Yeah, it, it really is. And again, for us, fundamentally goes back to again, why we set out to build Cordial? My co-founders and I actually had history in building one of the first gen, what I characterize as kind of a legacy platform now in this space. And frankly, after seeing or 15 years of seeing marketers struggle to get those platforms to scale to the level of data and sophistication out there, we knew there was a better way for marketers and technologists to work together. And we intimately then knew the way that this should be architected. So, as you said, in 2014, I mean, we set out to build Cordial to really transform the way marketers and technologists, you know, how they collaborated to fundamentally change the experiences their customers were having with their brands. Again, it was very, I guess, heart-centered on some level as the way that I would put that, this was never monetarily driven for us. It was all around, I think our own personal frustrations of not being able to meet those needs of our customers. And it wasn't a fault of the previous kind of legacy platforms. It was just technology had evolved and frankly consumers and digital devices had evolved enough to where there needed to be somebody and some brand or some companies who said, let's rethink this, let's rebuild this from the ground up. You mentioned Revolve, which Revolve Clothing is just a really cool example. They've been a Cordial client now for four years, they're going on their fifth year with Cordial. And they really are an incredible success story. One of the stories that I just, it's kind of like a crown jewel that we take a lot of pride in. I know our teams do with respect to Revolve is, when they came to us, they had, gosh! Two automations in place that it took them roughly about two years working with the legacy cloud, even to get those in place. And in a matter of their first eight months with Cordial they had nearly 30 new automations live using Cordial. And those 30 automations had generated eight times more revenue than they had previously generated with automations. It was an incremental at the time roughly almost $12 million in net new revenue that was unrealized for the business prior to that. And, you know, that's something we take a lot of pride in. We take a lot of pride in again, the speed of how quickly we can help a brand be able to do this, but it's not just a matter of getting something up and running. It's about the results that we can drive for them. We hold ourselves accountable to that and we expect our clients to hold us accountable to that as well. Next gen technology or new technology or modern technology for the sake of just new is uninteresting, unless it is actually... not just incrementally moving things forward for your business but I would say it needs to be an outsized set of results that you're driving for them to frankly make that even just the mental hurdle to get over that, make that worth it at the end of the day. >> Yeah. I was looking at some of the customer stories on your website and was very impressed seeing those metrics-based business outcomes. 'Cause that's what it's about. It's about that and delivering that at speed and with agility. Jeremy, I wish we had more time 'cause I know we could keep talking, but I really enjoyed understanding more about Cordial and what you guys do. And I look forward to seeing what's to come. >> So good, thanks so much, Lisa. It was wonderful. >> My pleasure, for Jeremy Swift, I'm Lisa Martin, you're watching theCUBE. (soft music ends)

>> from Austin, Texas. It's Theo Cube, covering your storage. Accelerate 2019. Brought to you by pure storage. >> Welcome to Austin, Texas. This is the Cube. Live at the fourth annual pure accelerate. I'm Lisa Martin with David, Dante, Dave or in Texas, >> Texas again. >> Austin, Texas. Very interesting venue for this fourth annual hear stories. >> A lot of construction, >> music, a >> lot of music. >> So we just came from the keynote and news announcements, customers on stage. But the first thing to point out is, this is here is about to celebrate their 10th anniversary. Charlie Giancarlo, CEO and chairman who's coming on the program with us, and just a few minutes talking about what they have innovated and delivered these 10 X improvements and 10 years kind of this overnight success in 10 years and what's coming? What was with the things that really stuck out at you, Nicky Note. >> Well, first of all, ironically, this is the 10th year of the Cube, not our 10th anniversary, but it's the 10th year of doing the Cube. And so our fourth year, I think it's pure accelerate about what 3000 people here, >> you know, the keynotes >> pure was laying out what their vision is of the modern data experience and that I felt like the keynotes least there were sort of, ah, speed date of what's coming. There was a couple of major announcements that we'll talk about, >> Uh, but >> they really are trying to differentiate as the modern storage company turn a deep position. The competition, as the old guard is to use this term that Andy Jassy uses pure, didn't use that term. But they really talked about it's time to go Modern. And so they were an overnight success. It took him 10 years, was one of the comments that was on stage. So I think this is worth pointing out. A couple of things. I mean, let me lay out. Sort of my thoughts on Pure is a company. They were the only storage company Ah, in the past. Let's call a decade to reach what I'll call escape velocity. They achieved a billion dollars a couple years ago. They're doing their due about a billion and 1/2 on a trailing 12 month basis. They'll do 1.7 billion this year and evaluations about 4.5 billion. So they got a a three ex valuation in that fluctuates. That's pretty good for a storage company. Billy on Lee major storage company. That's really growing rapidly. They got 28% growth. I did a breaking analysis on Lincoln, and I'll just share with you some of the numbers. Dallas flat at 0%. So Del is actually gaining share with no growth has got a scary NetApp minus 16% in the quarter H P E minus 3% IBM minus 21%. And so it is pure A 28%. So they're really crushing it in terms of growth. They've also got a 69% gross gross margin, even if it's in its heyday. E emcees gross margins weren't that high, you know. They were in the sort of mid sixties, and so, and they've also got a good balance sheet. About a billion dollars in cash A little. A little more than that, they got some debt. They're shifting their model to a deferred revenue model. Now the only thing is, you know they're growing much, much faster than the competition. But they're throwing off a lot less cash because they're much smaller. Just as an example, they probably throw off 5 to 6% of their revenues in cash. Netapp probably throws about 23% of its revenues, often catch the big Delta there, so the point is long winded. But but pure storage is in growth mode. And until the market rewards more consistent with a cash flow, they're gonna, I think, stay in huge growth mode. >> There was a great analysis. Dave and I saw an analysis that you did with some spends data, just a couple of your reverence. A little bit of that. There's there seems to be a tailwind behind here you mention the 28% wrote that they announced in Q two, and some of the things that also they talked about were there. Adding about in Q two of F Y 2020 about seven net new customers every business day, adding about 450 new customers just in that quarter. Like you said, 3000 folks expected here today. The momentum is behind them, but they're also a company of firsts. You talked about this a number of times. The first, with all flashed the first with envy me on the back and a couple of additional firsts announced today. Talk about the as a service model and how that youth, in your opinion, you think might continue that trajectory that they're on. >> Yes, so basically pure laid out today, said that vast majority are Pouliot Portfolio is gonna be available as a service. That's the cloud consumption mall is important because pure has about $600 million in deferred revenue, largely coming from their evergreen service. But there they are, slowly shifting their model to a subscription model. It's gonna be very interesting to see how that plays out. Um, we've seen a number of companies do a tableau in Adobe kind of pulled the band Aid off and did it Splunk has taken years to do. It will be interesting to see how how pure goes. For that. I'll >> bring it >> back to the cloud up yours largely an on Prem storage company. That's where most of the revenues come from. But we heard the gentleman from Amazon today. I think it was E ethan whiner, not Ethan, anyway, Mr Whiner, he said. That gardener did A survey last year showed 88% of customers said they have a cloud for a strategy, but 86% of those customers continue to spend on prim. So here you have the cloud. Amazon gorilla wants everybody to go to the cloud pure would much rather they make much more money on Prem? But they realize customers air pulling them in. So they have to move to that as a service model. One of the interesting things that pure is done, which, you know, that's not really a first. But it certainly is for the large storage companies they've announced. Ah, block storage on AWS. So basically what they're doing is they're taking the pure experience. It all looks like pure software, and they're front ending cheap s3 storage from Amazon with E. C. To compute instances, and they've architected using Amazon service. Is this basically a block storage array in the cloud so Amazon gets paid, pure, gets paid? It's a little bit of a premium, but you get higher availability. You get great right performance and you get the pure cloud experience pretty interesting strategy, >> and they're talking about it really as this. This positioning it rather as a bridge, a bridge to hybrid cloud. This numbers that the Amazon gentlemen, share that you mentioned Gardner were really interesting both sides recognizing there's a forcing function there and that forcing function is the customers from the enterprise to the small business who need to have data available immediately wherever it is people to extract this insights from it quickly so that those companies, whether it's a capital one or a Delta Airlines or a smaller organization, can act on it quickly to Dr Competitive Advantage. Same kind of challenge that your storage has. But really that forcing function of the customer, clearly bringing the giant AWS together with yet another story >> so pure as they say reached escape velocity. They and Nutanix were the only on a new entrance that reached a billion dollars Nutanix. I really don't consider a storage company. They're kind of hyper converged. And the way they did that as they drove a truck through E emcees install base with flash. So they were the first within all flash array. Maybe maybe they weren't the first, but they were the first to really drive it. They hired a bunch of DMC sales reps. They knew where all the skeletons were buried and they really took out a lot of old Symmetric Se's and Claire eons and V. Max is and all the old sort of GMC install base, and that helped them catapult their way there 1st 10 years. Now they got to do that again. They got to get to get They're on their way to two billion. But how did they get to five billion? Um, and and so the way they do that is they have to expand their tam. I mean, we'll talk to Charlie Jean Carlo about this. My feeling is a big job of the CEO is to expand the Tamil. How do they do that? They go after new workloads like a i. They go for cloud. They go from multi cloud. These are all very large markets in which they don't participate. Data protection. They'll partner with Lex, Kohi City and Rubric and Beam to to have data protection software running on their flash. A raise with very, very fast restores. That's something that's taking off. It's gonna be really interested in seeing as they say, they've got this subscription model that's coming in. They've got all this deferred revenue that in a way, it's going to slow him down a little bit just from an accounting standpoint, cause when you recognize deferred revenue, you recognize that, you know over 12 months over 36 months, so that's a little bit of a transition. The other thing that pure is facing in a tactical basis is Nande pricing. It's like this countervailing effects nan pricing is coming down, which means lower prices, lower costs but also lower revenue. But at the same time, it becomes more competitive with spinning disk. This is something else. We'll talk to Charlie Jean. Cholera right about it opens up new markets. So this tam expansion is critical for pure in terms of driving this modern data experience into these new workloads and fighting the competition, the competition is not sitting still. All those companies that I mentioned the H P ease, the the Delhi emcees, et cetera, are basically taking a page out of your swords narrative, talking about the cloud experience, talking about, you know, flexible pricing models, building cloud products on prime and hybrid cloud and multi cloud. So it's hard sometimes for customers to squint through that. And really, no, I guess the bottom line, the last thing I'll say is pure. Doesn't have as many feet on the street is these other guys. So it's gotta leverage the channel increasingly, and that's how it gets beyond two billion on its way to five billion. >> And that was one of the factors that they attributed the second quarter. 28% year on year growth is to not just innovation, but also to the channel. So they've done a good job of really pivoting. There's large enterprise deals to be covered, direct and then bringing in the channel for those smaller mid size business customers. Adding a lot of momentum in cute to you mentioned the nan pricing that in some of the political climate with the start of China, most of their businesses in the Americas so they're not facing as many of those challenges. So they did lower guidance for the rest of it is >> the second time they've >> lowered 20. However, they kind of attributed that thio the nan supply oversupply and they say happy Matt to flatten out quickly, say they're >> not worried about the macro. I mean, look, if if the economy is good and is booming and people are spending money on cap ex. That's good for even a high growth company. They're basically positioning to the street that if if the economy does turn down and there's a softness at the macro, they'll actually gain share more rapidly. Which, by the way, is probably true. But look at the rising tide lifts all boats. Nobody wants to see Ah recession. Having said that, well, it's interesting. When you saw Pure Lower, its guidance stock took a hit, and then net app, I'd be him. All these other company you have to see a deli emcee they announced in the market said, Wow, pure must be doing really well compared to these other guys. So it's come back in a big way. My opinion pure is going to in the e. T. Our data shows this from a spending intentions Pure is going to continue to gain share at a much, much more rapid pace of the other. The other guys, from a product standpoint, delicacies consolidating its product portfolio, trying to lower its cost. H. P E is really focused on limbo. IBM needs a mainframe product cycle to get back going, Ned APS facing its challenges and its kind of tweaking its go to market model. So all these other companies air dealing with sort of some structural changes. Where is pure is like put the put the foot on the gas and accelerate no pun intended. And so I think they're gonna continue to gain share for quite quite a number of quarters. >> I want to talk about sustainability before we break. And one of the things that Charlie talked about on his keynote is in terms of the modern data experience, he said. It was three things. It was simple, seamless and sustainable, an inch sustainable. You really started talking about the evergreen model that they launched a while ago that seems to be really sticky with organizations. He also talked about sustainability is a lot of other organization I need to adjust in terms of, you know, waste and carbon emissions and things like that. But I'm just curious, since Pierre is much smaller than the competitors that you mentioned and a lot more focus, obviously all in on flash. Where does the evergreen model, in your opinion, give them that tail winter? That advantage? >> Well, the Evergreen model was first of all brilliant marketing strategy and a business strategy Because if you think about the traditional storage vendors, they make so much money on maintenance, they would never have done this unless pure force them to do it. Because they're making so much cash on the maintenance. You know, it's it's you. You put the storage array in and we're just gonna charge you maintenance. And if you're not on the maintenance contract, sorry. You don't get all the software upgrades, everything else. So it's just this, you know, this lock in strategy, which is work brilliantly for two decades pure, comes along and says, Hey, where? Software driven. We're gonna allow you to get all the modern software. As long as you're got a subscription with us, we'll swap out your controller for free. You know, the competitors hate that. There's all kinds of nuances and stuff, but it worked, and customers love it. And so it's very strong, and it's a fundamental as they said, they got $600 million in deferred revenue, largely from that evergreen model. So they, you know, Charlie mentioned first for non disruptive upgrades. First for cloud management, first for a I ops first for always on que Os first with always on encryption, and if they're really the first, we're probably the first big company. They got a lot of attention there. Last thing, it's it's a four big announcements today. There's a I ready infrastructure, airy. They're doing some stuff they were first to announce with video. You know, a year or so ago, they got cloud offerings. Ah, block storage for AWS. And they've got clout Snap for Azure, which is actually pretty hot. It's backup on Azure, and they got product extensions. They got cheaper flash with a flash or a C for capacity. And then they have extended their all flashy raise their flash played etcetera with storage class, memory and and storage memory. And in this, this as a service model. Those are really the four big announcements that were gonna dig into all this week. >> We are, and we're gonna be talking with This is a great event. Two days. The cube is going to be here. We have seven pure customers to talk to you that I think kind of a record, at least in my cube experience of the last >> AWS always puts a lot of customers up too. You know. All >> right, well, there's no better validation than the success of a brand, whether we're talking about Evergreen or their first or the reaction of the market to bringing flash down to satya prices. So excited to dig into customer stories with you, Dave. Course we'll talk to some partners who got c'mon slung Cisco somebody else and probably forgetting. And, of course, some of the pure, exactly gonna be exciting two days with you and looking for two days >> looking forward to at least a great >> all right stick around. Dave and I will be right back with our first guest, Charlie Giancarlo, chairman and CEO of Pier Storage. Stick around, come back Mawston in just a minute.

>> live from San Francisco, celebrating 10 years of high tech coverage. It's the Cube covering Veum World 2019. Brought to you by VM Wear and its ecosystem partners. >> Welcome back. We're here. Of'em World 2019. You're watching the Cubans? Our 10th year of coverage at the event. I'm stupid. And my co host this afternoon is Justin Warren. And happy to welcome back to the program. Bob Ghaffari, who's the general manager of the Enterprise and Claude networking division at Intel. Bob, welcome back. Great. Great to be here. Thank you. S Oh, uh, you know, it's a dressing. And I think that last year I felt like every single show that I went to there was an Intel executive up on the stage. You know, there's a way we talked about. You know, the tic tac of the industry is something that drove things. So last year? Ah, lot going on. Um, haven't seen intel quite as much, but we know that means that, you know, you're you and your team aren't really busy. You know a lot of things going on here. VM worldwide. Give us the update since last we spoke. Well, you know, um >> So I think we have to just go back a little bit in terms of how until has been involved in terms of really driving. Just hold this whole network transformation. I want to say it started about a decade ago when we were really focused on trying to go Dr. You know, a lot of the capabilities on to more of a standard architecture, right? In the past, you know, people were encumbered by challenging architectures, you know, using, you know, proprietary kind of network processors. We were able to bring this together until architecture we open source dp decay, which is really this fast packet processing, you know, library that we basically enabled the industry on. And with that, there's basically been this. I want to say this revolution in terms of how networking has come together. And so what we've seen since last year is you know how NSX via Miranda sex itself has really grown up and be able to sort of get to these newer, interesting usage models. And so, for us, you know what really gets us excited is being really involved with enabling hybrid cloud multi cloud from a network perspective. And that's just what really gets me out of bed every day. Yeah, An s >> t n is, I think, gone from that early days where it was all a bit scary and new, and people weren't quite sure that they wanted to have that. Whereas now Stu is the thing, it's people are quite happy and comfortable to use it. It's it's now a very accepted way of doing networking. What have you noticed about that change where people have gone? Well, actually, it's accepted. Now, what is that enabling customers to do with S T. N. >> You know, um I mean, I think what you know S Dan really does. It gives you a lot of the enterprise customers and cloud customers, and a lot of other is really the flexibility to be able to do what you really need to do much better. And so if you can imagine the first stage, we had to go get a lot of the functions virtualized, right? So we did that over the last 10 years, getting the functions virtualized, getting him optimized and making sure that the performance is there as a virtual function. The next step here is really trying to make sure that you know you weaken enable customers to be able to do what they need to end their micro service's and feels. Or do this in a micro segmented kind of view. When and so um and also being in a scenario, we don't have to trombone the traffic, you know, off to be there, be it's inspected or, you know, our load balance and bringing that capability in a way, in a distributed fashion to where the workloads Neto happen. >> Yeah, who you mentioned micro segmentation there, And that's something which has been spoken about again for quite a while. What's the state of play with micro segmentation? Because it some customs have been trying to use it and found it a little bit tricky. And so they were seeing lots of vendors who come in and say We'll help you manage that. What's the state of play with Michael segmentation From your perspective, >> you know, I would say the way I would categorize it as micro segmentation has definitely become a very important usage model. In turn, how did really contain, you know, uh, policies within certain segments, right? So, one you know, you're able to sort of get to a better way of managing your environments. And you're also getting to a better way of containing any kind of threats. And so the fact that you can somehow, you know, segment off, um, you know, areas and FAA. And if you basically get some kind of, like attack or some kind of, you know, exploit, it's not gonna, you know, will go out of that segmented area to to some extent, that simplifies how you look at your environment, but you want to be able to do it in the fashion that you know, helps. Ultimately, the enterprises managed what they got on their environments. >> So, Bob, one of things that really struck me last year was the messaging that VM were had around networking specifically around multi cloud. It really hearken back to what I had heard from my syrup reacquisition on. Of course. Now, Veum, we're extending that with of'em or cloud in all of you know, aws the partnerships they are false, extended with azure, with Google in non premises with Delhi emcee and others. And a big piece of that message is we're gonna be able to have the same stack on on both sides. You could kind of explain. Where does Intel fit in there? How does Intel's networking multi cloud story dovetail with what we're hearing from VM? Where Right, So I >> think >> the first thing is that until has been very involved in terms of being into, um, any on Prem or public clouds, we get really involved there. What were you really trying to do on my team does is really focusing on the networking aspects. And so, for us is to not only make sure that if you're running something on prime, you get the best experience on from but also the consistency of having a lot of the key instruction sets and any cloud and be able to sort of, ah, you know, managed that ballistically, especially when you're looking at a hybrid cloud environment where you're basically trying to communicate between a certain cloud. It could be on Prem to another cloud that might be somewhere else. Having the consistent way of managing through encrypted tunnels and making sure you're getting the kind of performance that you need to be able to go address that I think these are the kind of things that we really focus on, and I think that for us, it's not only really bring this out and, um improving our instructions that architecture's so most recently What we did is, you know, we launched our second generations Aeon Scaleable processors that really came out in April, and so for us that really takes it to the next level. We get some really interesting new instruction, sets things like a V X 5 12 We get also other kind of, you know, you know more of, like inference, analytic inference capabilities with things like Deal Boost that really brings things together so you can be more effective and efficient in terms of how you look at your workloads and what you need to do with them, making sure they're secure but also giving you the insights that you need to be able to make that kind of decisions you want from a enterprise perspective >> steward. It always amuses me how much Intel is involved in all of his cloud stuff when it it would support. We don't care about hardware anymore. It's all terribly obstructed. And come >> on, Justin, there is no cloud. It's just someone tells his computer and there's a reasonable chance there's an Intel component or two Wednesday, right? >> Isn't Intel intelligence and the fact that Intel comes out and is continuing to talk to customers and coming to these kinds of events and showing that it's still relevant, and the technology that you're creating? Exactly how that ties into what's happening in cloud and in networking, I think is an amazing credit to what? To Intel's ability to adapt. >> You know, it's definitely been very exciting, and so not only have we really been focused on, how do we really expand our processor franchise really getting the key capabilities we need. So any time, anywhere you're doing any kind of computer, we want to make sure we're doing the best for our customers as possible. But in addition to that, what we've really done is we've been helped us around doubt our platform capabilities from a solution perspective to really bring out not only what has historically been a very strong franchise, pressed with her what we call our foundational nicks or network interface cards, but we've been eldest would expand that to be able to bring better capabilities no matter what you're trying to do. So let's say, for example, you know, um, you are a customer that wants to be able to do something unique, and you want to be able to sort of accelerate, you know, your own specific networking kind of functions or virtual switches. Well, we have the ability to do that. And so, with her intel, f p g. A and 3000 card as an example, you get that capability to be able to expand what you would traditionally do from a platform level perspective. >> I want to talk about the edge, but before we go there, there's a topic that's hot conversation here. But when I've been talking to Intel for a lot of years out container ization in general and kubernetes more specifically, you know, where does that fit into your group? I mentioned it just cause you know that the last time Intel Developer forum happened, a friend of mine gave a presentation working for intel, and, you know, just talking about how much was going on in that space on. Do you know, I made a comment back there this few years ago. You know, we just spent over a decade fixing all the networking and storage issues with virtualization. Aren't we going to have to do that again? And containers Asian? Of course, we know way are having toe solve some of those things again. So, you >> know, and for us, you know, as you guys probably know, until it's been really involved in one of the biggest things that you know sometimes it's kept as a secret is that we're probably one of the bigger, um, employers of software engineers. And so until was really, really involved. We have a lot of people that started off with, you know, open source of clinics and being involved there. And, of course, containers is sort of evolution to that. And for us really trying to be involved in making sure that we can sort of bring the capabilities that's needed from our instructions, said architecture is to be able to do containers kubernetes, and, you know, to do this efficient, efficiently and effectively is definitely key to what we want to get done. >> All right, so that was a setup. I I wanted for EJ computing because a lot of these we have different architectures we're gonna be doing when we're getting to the edge starting here. A little bit of that show that this show. But it's in overall piece of that multi cloud architecture that we're starting to build out. You know, where's your play? >> Well, so for us, I mean the way that we look at it as we think it starts all, obviously with the network. So when you are really trying to do things often times Dedge is the closest to word that data is being, you know, realized. And so for us making sure that, you know, we have the right kind of platform level capabilities that can take this data. And then you have to do something with this data. So there's a computer aspect to it, and then you have to be able to really ship it somewhere else, right? And so it's basically going to be to another cloud and might be to another micro server somewhere else. And so for us, what really sets the foundation is having a scale will set a platform sort of this thick, too thin kind of concept. That sort of says, depending on what you're trying to do, what you need to have something that could go the answer mold into that. And so for us, having a scaleable platform that can go from our Biggers eons down to an Adam processor is really important. And then also what we've been doing is working with the ecosystem to make sure that the network functions and software defined when and you know that we think sets a foundation to how you want to go and live in this multi cloud world. But starting off of the edge, you want to make sure that that is really effective, efficient. We can basically provide this in a very efficient capability because there's some areas where you know this. It's gonna be very price sensitive. So we think we have this awesome capability here with our Adam processors. In fact, yesterday was really interesting. We had Tom Burns and Tom Gillis basically get on the stage and talk about how Dell and VM we're collaborating on this. Um, and this basically revolves around platforms based on the Adam Process sitter, and that could scale up to our ze aan de processors and above that, so it depends on what you're trying to do, and we've been working with our partners to make sure that these functions that start off with networker optimized and you can do as much compute auras little computer as you want on that edge >> off the customers who were starting to use age because it's it's kind of you, but it's also kind of not. It's been around for a while. We just used to call it other things, like robots for the customers who were using engine the moment. What's what's the most surprising thing that you've seen them do with your technology? >> You know what is interesting is, you know, we sometimes get surprised by this ourselves and so one of the things that you know, some customers say, Well, you know, we really need low cost because all we really care about is just low level. You know, we we want to build the deploy this into a cafe, and we don't think you're gonna be all that the price spot because they automatically think that all intel does is Biggs eons, and we do a great job with that. But what is really interesting is that with their aunt in processors, we get to these very interesting, you know, solutions that are cost effective and yet gives you the scalability of what you might want to do. And so, for example, you know, we've seen customers that say, Yeah, you know, we want to start off with this, but you know, I'm networking, is it? But you know what? We have this plan, and this plan is like this. Maybe it's a 90 day plan or it could be up to a two year plan in terms of how they want to bring more capabilities at that branch and want to want to be able to do more. They want to be able to compute more. They want to make decisions more. They want to be able to give their customers at that place a much better experience that we think we have a really good position here with their platforms and giving you this mix and match capability, but easily built to scale up and do what our customers want. Great >> Bob, You know, when I think about this space in general, we haven't talked about five g yet, and you know, five g WiFi six, you know, expected to have a significant impact on networking. We're talking a little bit about you know edge. It's gonna play in that environment. Uh, what do you hear from Augusta Summers? How much is that involved with the activities you're working through? You know, >> it's definitely, really interesting. So, uh, five g is definitely getting a lot of hype. Were very, very involved. We've been working on this for a while until it's, uh, on the forefront of enabling five G, especially as it relates to network infrastructure, one of the key focus areas for us. And so the way that we sort of look at this on the edges that a lot of enterprises, some of them are gonna be leading, especially for cases where Leighton see is really important. You want to be able to make decisions, you know, really rather quickly. You want to be able to process it right there. Five g is gonna be one of these interesting technologies that starts, and we're already starting to see it enabled these new or used cases, and so we're definitely really excited about that. We're already starting to see this in stadium experience being enabled by five G what we're doing on the edge. There's experiences like that that we really get excited when we're part of, and we're really able to provide this model of enabling, you know, these new usage models. So for us, you know the connectivity aspects five g is important. Of course, you know, we're going to see a lot of work clothes used for G as basically predominant option. And, of course, the standard wired connective ity of I p m pl less and other things. >> I want to give you the final word. Obviously, Intel long partnership. As we know you know, current CEO Pack else under, you know, spent a good part of his, you know, early part of career at Intel. Give us the takeaway intel VM wear from VM 2019. You know, I mean, we've had a >> long partnership here between intel on VM, where we definitely value the partnership for us. It started off with virtual light servers a while back. Now we've been working on networking and so for us, the partnership has been incredible. You know, we continue to be able to work together. Of course. You know, we continue to see challenges as we go into hybrid cloud Malta Cloud. We are very excited to how in terms of how we can take this to the next level. And, you know, we're very happy to be be great partners with them. >> All right. Well, Bob Ghaffari, thank you for giving us the Intel networking update. We go up the stack down the stack, Multi cloud, all out the edge, coyote and all the applications for Justin Warren. I'm stupid. Men will be back for our continuing coverage of the emerald 2019. Thanks for watching the Cube.

>> Announcer: Live from Nassau in the Bahamas. It's the Cube! Covering Polycon 18. Brought to you by Polymath. >> Hello everyone. Welcome to a special exclusive cube conversation here in the Bahamas for Polycon 18. It's a cryptography, cryptocurrency I should say, show with blockchain. It's a great event. It's brought securities tokens and token economics, the value economy that's changing the world is certainly in play. It's the beginning of a massive wave that's coming. We've reported on the Cube and SiliconANGLE before. We're here with the co-founder of Ethereum and the CEO of Decentral and also maker of Jaxx. Great to see you. Thanks for coming on. >> Thanks for having me. >> So we've been covering a lot of emerging waves and I got to say that I've seen some waves in my days but this one's a tsunami. You can see the water pulling out and you see the exposed clams and crabs out there. A complete shift of value, data, users, decentralized impacts of business models to industries. I mean it's just mind-blowing and it's intoxicating. But a new community is evolving. I mean it reminds me of the early days of the personal computer combined with all the inter-networking and the internet kind of rolled up into one massive shift. How do you see it from your perspective being on the inner core of this community? What's your take? >> Definitely the biggest thing of those things that you mentioned is yeah the tsunami. We started with information, when the internet was started, ways to be able to move information globally. Disrupting everything to do with publishing companies, with postal service, anything to do with information transfer. And I've been around since the BBS days, way back there before the internet even came about. So when the internet came about it was my first instinct and I'm like, "Wow. This is going to just change the way information moves." And then when I got into this in 2012 into the crypto-space, into bitcoin at the time, I'm like, "Wow this is beyond the internet. This is value transfer now without needing intermediaries and the disruption that's going to happen is going to just completely change finance, the way that currencies are handled." It's going to touch every single sector. So this is much bigger and it's bigger because the everyday person can get involved with it. >> You know one of the things that we were just commenting this show, Polycon 18 put on by Polymath which makes a securities token model for companies to use, sets up kind of a growth and funding model. We're going to talk more about that in our live feed. But I noticed a lot of Canadians are here. Besides having ice hockey, one of my favorite sports being from the east coast in the U.S., I remember in the 80s a lot of PKI stuff being done in Canada. A lot of really important cryptography work was done in Canada. There's a lot of amazing computer science programs in Canada. There's a lot of progressive things going on in Canada. Can you share your thoughts on that? >> Sure. >> Because I think you're starting to see that wave coming down. I won't call it a cold spell, I'll call it like innovation spell coming from the north and into the U.S. and then all around the world. >> Yeah it's a real disproportionate amount of Canadians in this whole scene which is really interesting. I was at an event called the Satoshi Roundtable about a month ago in Cancun. And it was about 20% were actually from Canada and this was a global event. And what I think it is is a community basis. In 2012 I showed the Toronto Bitcoin Meetup Group. And that was like what are we like six years ago. And the amount of people that have come through Decentral and come through the meetup group that we started, started just sparking so many different things. That's where Ethereum came from. Polymath from Toronto here. Trevor and I go back, way back to 2012. So I think it's a matter of the community being built that really early on in Toronto and Canada that have led to the spark of what's going on. And now with things like the public markets and the way Canada is is kind of being a good fertile ground for companies actually going live on different-- the TSX in Canada. And that's helping to facilitate things. So ton of talent, ton of amazing things that I think hopefully Canada can prove itself to be the global headquarters. However, there's also regulatory things. Since you have a lot of Canadian companies that are saying we're going to set up offshore because we don't know how Canada is treating things. That's also a counterbalance. But in general there's tons of good things coming out from Canada and from Toronto. >> You know we were early on the cloud wave going back to 2000, you know late 2000s. And now you're starting to see with cloud computing some visibility. I'll see Amazon web services kicking ass and they're just blowing away their numbers. But you're seeing kind of a clear visibility between infrastructure as a service and sass. And just to kind of use a metaphor for kind of what's going on here is the whole platform as a service never happened. So you got infrastructure and you got application. So this community is emerging. It's still small, it's growing, it's dynamic, it's robust. Very intimate. But there's some things going on at the infrastructure level that are super important. And there's certainly a tsunami of new kinds of software developers coming in. So comment on those two things because you know it's kind of moving train is happening in parallel at the same time. >> Definitely. >> Can you share some color on the dynamics between the infrastructure progress and innovation and speed scale, tech, and then the tsunami of these decentralized application developers which are coming in from 13-year-olds to 65 and older. I mean across the gamut. >> We're building infrastructure. That's what it's about. I've always had a very long-term thing with everything whether I invest in things or-- I'm super long-term in the whole space. So 2012 everything was bitcoin for me. 2013, started developing wallets. I realized that the wallets is the browser for value transfer. You got the internet browser, that's what moves information. Now we're in the age of value and then the wallets is what enables people to manage and move digital assets. So I started building wallets for bitcoin. When we started Ethereum I'm like, "Okay there's beyond bitcoin now." Started Ethereum. Did that for about a year and then went back to building the interface, the actual platform for all these technologies to be able to utilize to manage and move digital assets. So that's what I focus on is the infrastructure play of connecting to all these blockchains and providing the user experience to be able that the masses like my dad to be able to actually have the browser moment. Like, "Oh, now I know what I can do with this." And that's what's been missing and that's what I've been focusing on. And then in there is where you have the apps start getting built on to stuff. So that's always been my play is to build the single interface for every blockchain, support the entire ecosystem, not focus on one technology because who know what's going to actually live now for a long time. And that's what I'm doing is building that single interface that my dad can use to understand how to move and manage his digital assets, and then partner with companies projects. The Polymaths, the Eons, all these companies from the space that are offering value in different areas and we want to be that single interface that brings it all together. So definitely infrastructure play, but also applications that can be built on top of that infrastructure. >> Yeah I mean infrastructure needs to be enable and you think about the browser, right? I mean the browser created the internet to be usable. And the web was born because of it. And of course HTP protocol. But interesting on the infrastructure side. I fought the wars back in the days you know SNA, Decknet, TCPIP was emerging into the OSI models. I remember you know TCPIP was one those moments-- and people use that as an example. I hear it all the time and you know I even use it here and there. But that created a galvanizing moment where hey we can inter-operate together with the standard stack and not fill all seven layers. But you know it made things happen. The question that people are asking is it's kind of a TCPIP moment in this industry but is there 40 versions of it? Is that an issue? Is that reality? >> I think it's actually-- I always equate it to there being websites. And what I'm doing is I'm building the browser so that actually the websites can actually interact with the technology. So they're focusing on different sectors and they're making different plays in all these different areas that are going to touch with value transfers. And value transfer is amazing. That's what's going to disrupt things beyond information. And then with smart contracts and this thing we did with Ethereum it's like okay this all coming together to touch law, insurance, gaming, all the different sectors are going to be actually changed. I don't want to say disrupted, I don't like that word. But changed and evolved into great amazing things. But these protocols that are being developed are choice and the ones that actually are the ones that are going to create the most amount of value and great user experience were the ones that actually we're going to carry on. So it's amazing to see the amount of competition, the amount of new projects. And the ones that are creating the value is what's going to actually survive. >> And that dog will hunt, basically. >> Yeah. >> Okay the wallet question. Love this simplicity model. What's your vision on the wallet because you could say okay there's multiple wallets, there's a diversity of wallets. I could have a brown wallet, black wallet, leather wallet, all kinds of different wallets. Are you looking at it as a technology enabler that you're doing or is it an actual wallet? Because again what we learned in open source is why build something when someone else already has it? So that's the ethos of most developers. So are you looking at the wallet as saying I'm going to provide a wallet capability end to end or is it base code? >> It's interface. The wallet's the engine. The wallet is what's needed in order to connect with all the different block chains. That's what we've been building over the last two years is actually the infrastructure to connect to all the different blockchains. It's the interface that we built on eight platforms. So you can have a single interface on all the platforms that ties yourself in a with a 12 word key that enables you to derive keys for all the blockchains. So the key system that we offer, the interface to all the connections which is the browser, and then the back end AWS almost like structures to all the different blockchains is our value add to all of our partners. And we're all about driving partner interaction. >> So simplicity's a big part of it. >> Super-- yeah definitely. >> And ease of use. Ease of integration. >> Yeah we need the interface. You can't be using 10 different wallets for all the different things you're trying to manage. So we're trying to create that single interface across all the things it supports and drives the whole community forward. >> Dave Alanta who you just met and I always talk about this all the time. You know it's like you built-- if people want to sell a certain technology a certain way but it reminds me of the gaming industry. There became a market for game engines but that only because someone built a successful game and someone said, "Hey I want a game engine!" You have an engine and I don't want to have to build an engine I'll just use a game engine because someone did it and that became an industry. You can't sell a game engine if there's no gaming. So you have to have an application that might have some core technology. Is that what's happening in the wallet world right now? Are you kind of doing that? >> So for us that's exactly the same way. We build the infrastructure and now we have partners that create apps and tap into our back end. So they don't have to worry about all that stuff. An example is Coinbase. So Coinbase and us came to an agreement last year where we'll start helping them to-- they have a service where you can use your credit card to buy litecoin, bitcoin, and Ethereum. Well inside of Jaxx you'll be able to add that integration, connect them to all the chains. So their users can actually still buy that, but we can flip it using another partner and give them Polymath. That's the thing. It's about creating value with the different apps and we want to be the store that connects all these different apps to the blockchain so they don't have to worry about that. Bitpay is another example. They enable you to pay invoices in bitcoin. But they only want to deal with bitcoin. Well in Jaxx you can pay with any currency. We flip the bitcoin with one of our partners, send them bitcoin, they don't have to worry about all the back end. >> So you're creating inter-operability of money and value. >> And value. Yeah definitely. >> Or-- buy yeah money. Well bit-- you know. Crypto money. >> And the experience that my dad's going to use to understand this whole space. >> They don't have to write code to integrate. The user can just use it. Alright talk about the developer community. What's your advise to developers that are onboard and looking for guidance in navigating through. And people are learning really fast. You're seeing people come into the industry literally with some background that might not be related to tech but have natural math skills, natural coding skills. They're coming in and actually making a difference joining communities. What's your advice to these developers who want to build decentralized applications? >> So there's two separate kind of devs. There's ones that can be really good devs that can be onboarded into the space. They're not working on protocol level stuff. And then there's the devs that actually are working on the protocol stuff. And they're hard to find. They're hard to secure because you need the experience of number of years in order to do that. For us we actually look for good devs that we can bring in and onboard into what we do which not necessarily solving major problems. It's working with protocols that are solving it and integrating those protocols in. So the protocol level is very difficult to find developers right now. So I would suggest as much experience on that is going to be what you can do to get ahead. But in general if you're a good dev don't be scared of the space. And if you're going to align yourself with a company that can help teach you how to get in, that's what we want. We don't actually target blockchain devs. We target good devs, and we let them know-- we don't even advertise blockchain. Because sometimes they go, "Blockchain? I don't have that." But if you get good devs, we can actually teach them on our end. So it's actually-- we did a job fair about a week ago. We had 100 devs come out, pre-qualified devs, that we spent about a month trying to pre-qualify them. They came in, already had the experience. And we had 100 of them come in because they're interested in the space and we marketed as you don't need to know blockchain. Good devs, we'll get you into it. >> You know we was talking last night, we were having some cocktails with some crypto guys and gals and it was funny we talked about two things. And I want to get your thoughts and reaction to both of them. One was latency kills and the other one was women in the ecosystem. This event here has a lot of women on the agenda and so you're seeing a lot of great diversity going on. So what's your reaction? Latency kills and the roll of latency is something to watch and design against. And then the diversity angle. >> Can you first clarify what you mean about latency kills? I'm not sure what you mean by that. >> Yeah in terms of networking. So like for round-trip times, where you have a decentralized network. You're writing to the blockchain. >> Oh you just mean the slowness with decentralized network and how that's been impacting? >> Yeah decentralized networks and people throwing-- >> That's definitely a major issue with just scalability. There's a major issue which will be solved. And that will be solved. I don't really think too much about it except the problem solvers are dealing with that and they will get past to the point where we can use it and scale these technologies globally. And because of the competition with the systems-- >> You're not worried about it. You see it as just a problem space. >> No I try not to worry about anything. This will happen. It's coming. The second thing, I like to look at individuals. So I don't really look at the gender thing with it. It's more about individuals. I don't want to say I'm going to start now focus on encouraging women in the space. It's hopefully they will start taking initiative just like everybody else does. So I tend not to look at the two types of the things. >> Well I bring it up because The New York Times wrote a really negative story about women not being in the space. And I was just pilot lighting that this event, Polycon, that Polymath-- >> But it's just the way it is. And why even think about it. It's just it is what it is. >> I hope we won't have to have these conversations anymore. >> We want the best of the best people and I've got a number of girls that work for me and they're fantastic. But I don't necessarily head a job and say, "Well we got to bring in more women to do this." That doesn't make any sense. >> And that conversation should be just assumed. Alright so I want to get your thoughts on what you're working on. What are you working on right now? You got your company, you've done some great things. We know the Ethereum story and that's continued to evolve in a great way. Attractive to developers. And I saw Charlie up on a panel in with Bill Tye in Dubai and really commenting on he's long on Ethereum. He thinks he said it's going to be more valuable than bitcoin. Little haymaker for the young gun there on stage. Really important for developers. And you're pioneering with the wallet. What's the key things that you're working on both on the technical product side and on the business front for Decentral. >> So the technical side has been for the last year and a half building the back end infrastructure to be able to support 10 million, 50 million users. We haven't been advertising. We haven't been marketing what we've been doing because we think it's the wrong approach to actually go and try to just look for user growth when your infrastructure's not ready to grow. So our focus has been fully on being able to support 15, 20 million users. We're at about one million right now. All organic without advertising. So if you can't support that why do you want to be advertising? So we've been focusing the last year and a half to ensure that we are scalable and that we can grow when we hit the go button. So this year is all about hitting that go button. It's infrastructure's now in place. We are set to support 10 million users. And now it's the announcement which we did just recently about Jaxx Liberty, which is our new platform Jaxx 2.0. Which is everything you need for the blockchain space. It's your explorer, it's your charts, your graphs, your portfolio, your news directed on what your portfolio is. It's the one browser. You won't be using 10 different browsers to go to different websites. We've always had the goal to create the engine which is the wallet, and then the interface which is the single thing that the masses can use to understand the technology. So our focus is on partnerships into the app store of our products that connects to all the back ends. And basically supporting every company, creating wins for everybody, helping to push every product that actually has value, incentivizing people to create better valuable projects because then you'll get more support from us, and creating wins for everybody. I'm not about Ethereum, I'm not about bitcoin, I'm about the whole ecosystem. >> Yeah. You're about the growth. Rising tide floats all boats. But what's the value proposition that you're offering to partners on the integration? Is it speed to deployment, speed to value, all those things? >> So getting your token inside of Jaxx now gets you on eight platforms. And you don't want to worry about having a wallet for your separate platform. It doesn't make any sense. So what we do is we charge for integrations to come inside of our product, and then we have separate things. That's integration partners, or token partners. Then we have service partners. That's the Bitpays, the Coinbase, the-- all those guys that have apps or have integrations inside where we can expose our users to their services and they pay us. So our proposition to them is more users and more service on a single interface so that we can direct their users. And we don't charge users any more. We get paid through our integration. So think about us being paid for every website visit. >> Yeah. That's good value Okay so now you're going to give a keynote on stage here at the Polymath event called "Polycon 18." What are you going to be talking about? What's the vibe? What's the script? Are you going to wing it? Do you have an agenda? You're laid back, you're cool. Is there a talk format? What are you going to do? >> I never plan anything before I walk up on stage. Literally I like to look at the audience. Any preparation stuff for me doesn't make any sense. So I literally go up on stage and I always wing it from there. So it could be a little bit about just people working together. There's a lot of this versus that mentality. There's the whole thing of if you're not this then you're that. >> It's the if you're not Trump then you're-- I don't like that. I think there's a lot of in between. There's a lot of things that-- it's about working together. It's creating great synergies. Creating things that help the whole thing grow. And we've seen that. Especially a lot of companies in Toronto. There's so many synergistic relationships of gaps being filled in from companies just in Toronto that add value. So Polymath, securities tokens. It was needed. It was something I talked with Trevor about a year ago and he's taken it and flown with it. We support Polymath. But I also invest in other securities platforms as well. tZERO is something that I'm looking to get in. I've got about 45 different projects right now. It's spreading the love. It's saying let's all work together. As long as there's no scamming going on, I'm good. Let's work together, let's all come together. >> You know Anthony I did some checking around on you before the interview and I got to say, you know community. You know open source. You've been around and you've seen the formulas that work. I mean you talk about an open source ethos that's now going totally mainstream. It's not a second (mumbles) by a long shot. That's an old story. This cryptocurrency and blockchain and this new decentralized community has a mission. I've noticed a pattern, right. And you're seeing folks like yourself doing amazing work and pioneering and also the hard work. You're putting the work in. There's a mission. Take a minute to explain what the mission is. Because there are a lot of people that are aligning with this mission globally. Not just on the technical front. You mentioned this diversity and that's a good thing. What is the mission that really brings everyone together? Because that seems to be the magic that's going on here. >> Well I can't speak for other people but for me the mission is to improve life, reduce suffering, create value, create wealth in both knowledge and other things that can enable you to carry out those things. So my end game is improving life. Haven't fully baked out what that's going to be but my step now is to create wealth of value, wealth of knowledge, wealth of resources to be able to then tackle that afterwards. So it's all about-- I don't accept money. I don't take people's money. It's all self-funded. We're about creating value. The fact that I don't have any partners, I can move really quickly and I don't like to take people's money or hold people's money. I want to empower people with a tool. Or at least give them the tools so they can decide whether they want to be empowered or not. And I want to be able to just create stuff that's just going to create amazing value, user experiences, mind-blowing experiences, and just help improve things and drive technology forward. >> You know we align with that. We love that culture. We believe it's a pay it forward world. We've made our business at the Cube on paying it forward. Really appreciate you taking the time to pay it forward with us and share your content here. And I want to say congratulations for all the amazing work you've done. You've worked hard. You've made a great dent in the universe. And it's just getting started so congratulations. >> One of the best interviews I've ever done. Thank you so much. >> Thanks. Appreciate it. Take care. >> Appreciate it.

live from the mandalay bay convention center in las vegas it's the cues covering vmworld 2016 rock you buy vmware and its ecosystem sponsors and welcome back here on the cube to continue our coverage to vmworld from mandalay bay along with peter burrows i'm john woloson it's a pleasure to welcome two fellows are know all about being on the cube one of them very recently Kim Barth is back with a CEO and co-founder of catalyzing software came good to see you oh it's great to see you and Eric Herzog I mean the Hawaiian shirt we know is is your signature moment it was finally a vice president probably marketing and management at IBM but you're an original cubist you said that I think the first year that the cube happened I was on with Dave eons ago must have been either 2010 or 2011 the first cube ever we got to make you like an emeritus member of the Alumni Association something and let it be careful when we say say cubist let's be very clear about it right now I've got to mix words here yeah kubera all right so if you would let's take a look at talk about your relationship Kenta logic at IBM I know you have a long-standing partnership you might call that that's evolving and getting a little bit stronger and Ken if you would maybe paint that picture a little bit oh look I mean these guys are just fantastic to work with we've been working with IBM for a couple of years now we're excited because we're going to continue to move the relationship forward and we've got some exciting new announcements about supporting even more of their storage coming out later this year what we're really excited about is the way that they've jumped in and they have a complete line of flash products and as you know from our conversation the other day flash is just taking the market absolutely by storm particular around the primary applications so what we've done at IBM is dramatic extend our portfolio this year we've been a market leader for years in all flash and we see flashes ubiquity cross all primary data sets so whether that be the high-performance databases VMware environments are virtualized environments cloud configurations big data linux doesn't matter what the workload is and we have all sorts of price points all sorted from performance yo flash does have different performance characteristics depending on how you configure it now you use it substantially now of course any flash configuration abstention faster than a traditional storage array or any hybrid array 10x to as much as a hundred x in real-world application spaces so we've expanded it down from our high end into very cost effective energy products as low as nineteen thousand dollars street price not lit not right there at the point of attack end-user raid five configuration for nineteen thousand we have big data analytics all flash configurations we have mainframe in the upper end of the Linux community of what's left of the UNIX world that's still out there that few Solaris and AIX business we have a lot of products of that space again all going flash and it doesn't matter what the workload is virtualized workloads database workloads virtual server workloads virtual desktop workloads cloud workloads new world databases Splunk spark Bongo Hadoop Cassandra all of those types of workloads now can be all flash and we have the right workloads with the right solution at the rice price point and you pick the right price point right solution you need for the right workload an application and when it seems to me that you talk about performance obviously key factor their speed you know off the charts but cost is the one that once that's been solved as you said is that the big nighter is that's what's going to like the what you're seeing is flash is essentially at the same price as disk was so there's a number of storage efficiency technologies on the primary side which is a we do cattle onic edges efficiency technologies on the copy side because so much copies of data are made not only for disaster protection but for test and dev snapshotting that's n used for backup so they track all that to get efficiency on the secondary side of the equation we do things like real time compression you block level d do we have all kinds of technologies dying to cut the cost of flash and so when you factor that in flash is way less expensive actually then disc and when you look at how it impacts your data center so for example if you were running certain workloads we have a real world public reference to run their work blood which is database work look took 80 servers because the storage was so slow so you over provision your servers because of what's called storage latency that customer just swapped out the storage for flash and went from 80 physical servers to 10 to the exact same workload so the impact of flash is not just performance oriented it's actually very cost oriented not just what does it cost per gigabyte for the storage but if you can take out 70 servers you just cut not only the capex on his server farm right all the operational expenditures around it and then what cat logic does people make copies of the primary data sets and they make everything efficient on the copy cider if you will the secondary side of storage and so they complement each other what we do on primary what they do on secondary so let's talk about that a little bit so if you think about it there no productivity is a function of the amount of work that you can do divided by the amount of cost or resources consumed to form that word so flash has significant benefits as you just said that cause side but when we start talking about a lot more copies that can be made available to developers or decision-makers in a lot of different forms now we're accelerating the speed by which that digital assets get created and we're improving productivity not just through efficiency and the cost but accelerating the value that I t's able to deliver through the business that's exactly right you're hitting the nail on the head because as Eric over here said it saves capex and opex with just slash but if you had a copy data management product particularly one like ours that has it's really a combination a copy data management we have a workflow engine and we have full access to rest api's that the customer can begin to tailor it to their environment and solve a lot of pain points like around test dev database copies snap copies things like that you know they did some studies IDC actually did some studies earlier this year we're at any given time a customer would have 50 copies of different data floating around the neighborhood 50 snaps and the reason this is a complex issue is because you have many different storage types taking many different stamps you have applications snaps and so if you think about it this all starts by organizing the snaps putting them in a searchable database if you will then offering a workflow engine where you can automate the process even make it self service right and at the end of the day what can happen is they can move delete so they really kind of you have control over your environment but what they can do is they can begin to really save huge money so with flash you're going to have good kept at x + op X but if you put our ECX product in which is what a lot of our customers call copy data management on steroids you can see geometric savings of that op X and capex but you're also accelerate development time absolutely official with all about efficiencies you all those things are absolutely improved absolutely right and then if you start having like we have arrested a series of rest api's you can begin to really tailor it to that customers environment so if you're doing again I go back to the test dev example and test dev we can tie that directly into things like puppets chef bluemix right these are all development tools that make it totally efficient for the software developer right that's just one use case will we go ahead no so Eric as I new introduces more of these products arguments in the storage business for a long time forever yeah ain't that about me and respects IBM created the whole concept of storage administration whatever was 30 years ago now but as IBM does this is storage increasingly being elevated as customers see their data volumes going up and the need to track where this data is who's using it the number of copies in place how is that impacting the way IBM thinks about the concept of an overall system well we look at it from the application space it's all about the applications workloads and use cases and customers want to optimize the business value of that data so as it's growing exponentially you'd be able to access that data quickly and most importantly it needs to be always there so everyone talks about speech BCC speed for flash it's not just about speed of flash your Flash ray needs to be reliable available and serviceable just like our driver ray had to be and so you're looking at different characteristics and performance different characteristics and price different characteristics in the rats capability the reliability available in serviceability and you tie that to what you need for your workloads we've had the highest in oracle database in a company let's say that company is all oracle so you need something like our flash systems a 9000 or flash system 900 but if you've got the oracle database that tracks their asset management which would mean things like chairs tables and whiteboards that's not high performance that could go on our store wise 50 30 f which is way more cost effective and it's incredibly fast compared to our driver e but not as fast as our flash systems so it's very important a that you have the performance but be if you don't have the reliability doesn't matter how fast you are if the thing fails then your cloud goes down your virtual environment goes down your VMware doesn't work you can't access that Oracle or there sa p or that Hadoop and so it's really about how to optimize those workloads those applications and those use cases and storage is the rock-solid foundation underneath that allows you to do that absolutely and when you're going into world that's all about cloud which means real-time access and self service and the self-service suspect by the way it means that you don't always have a store gentlemen accessing it so if the thing fails and the guy's a VMware admin or a developer in Oracle or in any other environment he doesn't know what to do so you can't have the storage fee land in cognitive workloads and big data analytics workloads where you're running petabytes and petabytes and petabytes of information as fast as you possibly can you're trying to make business decisions or rail times you need the speed so what if it's super fast and then it fails so to put it on a black trading you know database for black trading for example or some of financial applications if it's really fast and then it fails that didn't help it hurts you so it's all about how to manage those workloads applications use cases natural for performance which everyone knows flash is but all that reliability available in the serviceability and then they manage a cat logic on the back side all the copies that people create which is it which is critical to make sure that those get managed appropriately and you don't have you really need 50 copies but you don't want 150 it is completely and efficient on the storage side and then developer doesn't know what to use so you just made it worse for yourself so you just introduce raise an interesting point related to data governance so I know that obviously cata logic has some ideas about how data governance is likely evolved partly in response to the need to manage multiple San apples understand where they are talk to us a little bit about how data governance which is fundamentally about how a business brings policy roles responsibilities to assets as data becomes more of an asset house governance changing oh I think governance is huge because dated you know data is exploding and particularly you start moving you have numbers of copies like Eric was saying how do you track that how do you know where it is how do you you know if you're in a compliance based business you could be in a lot of trouble so you've got to make sure you can audit and know where it goes and again one of the ways to do that is to keep it under control and not have so many copies floating around in his example you might make 10 to 15 copies of that database why do that if you only need one right that's one of our big advantages that we have versus some of our competitors we do what's called in place copy data management which means we we simply leverage Eric's great storage out there so a lot of our competitors will actually put a copy of that they'll make a copy on Eric storage move it to their storage and then you've kind of exacerbated the problem a little bit right what's like hoarding right exactly right but I and I mean kind of the Peters pointing some what you're saying is is that because we can we do right and so we make all these copies and it's exactly not need you know fifth down but but because I can and it's cheaper and storage is going down like cleaning out that closet we all have that closet at the house that we just keep putting stuff in and one of these days we think we're going to clean it out and the thing just grows and grows and they have to buy another house to get another closet so again how does this all this curb that behavior and that allow me to monitor through some governance policy when somebody is going over the line and we bring it back of the line and and we get a little more regular restrictive act again because of our workflow engine that we have in the product you can set thresholds you can automate the process so is example when a you know when a DBA or somebody gets a copy of the database you can put a time limit on when it's going to wipe it out they're going to stay in sync across the board so again you're not replicating this thing time and time again they're getting timely data when they need it and then it can automatically be removed but if I mean time one of the biggest problems within an IT organization is making available making data available to the disparate groups that need it solutely administrative costs of I need data well we'll get around to giving you that second to sorry in September right being able to do this much faster and utilize flaps technologies to facilitate that process has an impact on cost has an impact on the benefits which increases productivity has an impact of governance but also is an impact on the healthy friendly relations between IT and the business yes well what's happening is you're undergoing a revolution in the data center cloud obviously it's started with virtualization now it's extending to the cloud now you have a line of business that's more involved in IT than it's ever been before so the last thing you want is to worry about your storage or you just want it to be the foundation okay I'm from Silicon Valley we have earthquakes buildings really fall down on earthquakes if they have a bad foundation if you have a rock-solid foundation your cloud your cognitive your database workloads will always be fine you want to make sure that as you're doing that you're doing a cost effectively so both high performance that you need but high performance has a whole bunch of different price points at high performance because the entire world's got high performance other thing from an IT perspective and a business on a perspective flash storage is actually the evolution the revolutions the rest of the data center right I'm old enough where when I took my first computer class of University of California not a punch card then it all went tape anyone's seen a 1985 Schwarzenegger spy movie it's all tape then you see a 1995 Schwarzenegger spy movie and it's all hard drive arrays now it's all flash arrays so it's just an evolution from a storage perspective and it coincides with a revolution in the data center of cloud cognitive big data analytics real-time evaluation of data sets and so flash is coming at the fur and perfect time as you have this revolutionary confluence in the data center in the cloud and the web application workload yusuke space the fact that flash is only at evolution is actually great because you don't have to worry about it it's just an evolution of storage and allows you to take advantage of the revolution in your gayness enter your application or workload space that's the way the flash brings is is it's not a revolution it helps the revolution it does because as Eric was saying it you want to modernize your data center is what you're out to do and if you splash is a good step towards that and then if you had a copy data management tool like our product ECX on top of it it gives you the flexibility to move to the cloud move move it move data up to the cloud and back right it allows you to start offering self-service to your people so it doesn't take you know weeks or days to get that copy of the data they can start doing it themselves so it's a step in the right direction as he said from an evolution to the revolution of the data center yeah I'll bet out there somewhere right now there are a couple Millennials watching say did you already said about punch cards what a punch good oh no that's all it's all about date at the right place at the right time for the right people and you guys are a great example of getting that job done and thanks for being with us and sharing your story and we wish you continued success that's right I'd like to say one thing with you it is finished real quick if anybody out there has SVC or if they have in the flash from IBM please come see us we've got a great product that will greatly increase the capex it's cattle ajik software or can bart thank you gentlemen for being with us here on the cube we continue our coverage from vmworld after this thank you

>> From Las Vegas. It's the cute covering knowledge sixteen Brought to you by service. Now carry your host David, Dante and Jeffrey. We're >> back. This is knowledge. Sixteen. This is the Q. We go out to the events. We extract the signal from the noise. This is day one of a three day Walter Wall coverage. The Cube has of knowledge. Sixteen Hashtag No. Sixteen like a lander is here. He's the CEO and vice chancellor of college services at Lone Star College. Longtime Cuba Lem like it's great to see again. >> Good scene again to >> another is >> great to catch up with this >> place, Another knowledge have a bigger and better than ever. You're you're speaking later on this afternoon. You've been over at the CIA event house this year going for you. You know, it's going >> great. The CIA oven, of course, is excellent lot of leadership foundations. Keynote TOC where, you know, service now is heading right now. Kind of. You know, that the shift and I always were still back to one of the themes from eons ago. Let's kill email. But the reality is emails not dead. So as we focus on it, you know, I came into this from the stance of moving the enterprise service management. So as I bring a team here, we really get the opportunity to see where we're at today in that comparison, and then how we can leverage the platform and move yourself forward >> So your role is evolving at Lone Star College, You said off camera, you're not giving up a title. A CIA, your CEO. >> Yes, I am the CEO >> and bread. That's not Teo, but your responsibilities are expanding. Talk about that side of things well, >> so well, last year actually been a year and a half. Now human resource is put underneath me. That's why the title change and all that to fit better and then analytics because, you know, analytics is not it much. People want us to think it should be buried inside of it. It never should, because it's about the business process. About the business service human resource is was just around the concept of aligning that service management what we had completed in it around service excellence. One of my right hand's basically put it as customer delight. Our focus is on customer no light. So it is about that communications piece. How do you talk to your customer? How do you move forward? How do you understand what their challenges are and help them find a solution. It may not be its instead of saying no, I can't do that for you. Sorry. You're out of luck. So in that, in that evolution, we've really moved ourselves forward on the enterprise service management platform side and early days, financial aid. We brought in student call centers. Now you've got human. Resource is were talking earlier about We're moving our legal in there. It's going to accelerate the pace it takes to get a contract illegal down TTO one day, maybe two days or some way didn't catch their approvals fast enough. So that's the big transformation from an organization >> of automated. That whole process over I actually, before going, I want to ask you questions about analytics. So you have. Ah, datas are that's working for you outside of it. Is that right or you? The days are >> well, you know, I actually have a team, >> have a data >> team s o. We're talking two different sets. Analytics too, because we're actually using service now. Analytics when it comes to the Service management analytics. Right. But for the organizational analytics, we actually have a large team that that does our analytics everything from dash boarding through, You know, in our case, core institutional reporting that's required. >> And is there a chief data officer as part of that team? >> I have a personal leading that group. >> De facto even >> factor. Yes. >> So there's a lot of discussion to about whether the CDO should report to the c. E. O. In this case, it does. But you had you had said things questions as to whether or not that Data Analytics function should be in it. It's not a night function. We kind of agree on that, but yes, but what kind of reports in to the head of, Well, >> you know, But see, when I when I sit down at that table, I sit down as the vice chancellor college services. So I have to sit down with three separate hats in front of me. Andi, I can't favor one over the other. Otherwise I wouldn't be doing my job currently. So when I look at the analytic side from a perspective, I will get on my team that provides the data, my database services and, you know, why are you not getting this done or what's happening here? So I've gotta look at it from all areas >> like Bill Belichick, GM coach way Tom Brady. You got to figure out who >> you are. At that point, I'm >> well. So is this how the role of the CEO is evolving? I mean, we've heard of this event previously. Frank's Lupin one year a couple years ago, said CEO should be a business person. Absolutely certainly seen examples of that. Now you're sort of given responsibility for you. No other services beyond just services. How was that role evolving? >> Well, rolls about for years. The question is, Is the CIA evolving? So? And that's where the challenges in the organization. So a lot of CEOs they're going through this process now where they're understanding that, Yes, I need to understand what are the business goals and objectives howto achieve those goals howto I had value to the organization. How did not become a cost center that has a target on my back? How you become an enabler enabler for the business And that's really where we came into that part of the process because we're recognized that Alcide nightie was here trying to help find solutions and provide better customer service. I myself come from a background in higher it for a long time through different institutions. And so when somebody talk to me about student services or student success, these air topics, I understand. I came to Lone Star originally because I didn't feel I had the strength in the academic side. And so when I first arrived there, I was really focused on academic understanding how the academic side operates and what they need in it. So I've had the opportunity to get well rounded in education, but it doesn't. It really is just about anybody that comes into this role. You must understand the business you're in, and then the next part is you need to be able to talk. I have an intelligent conversation around a topic area, bring value to the organization and come back with ideas. Well, you know, if we did this so the legal one was rather interesting because we had a new general counsel. Come on, and we're trying to help him, and he's like, Well, there has to be something better. You ask me. It's a better way to approach this. And we were able to dig through. Is that you know, What service? Now we've been doing this in HR. We're doing this here. So finally, we've got them into service now. And they see an opportunity the same way we see it. Which is we're improving. We're getting rid of the little stuff, the mundane work, You know that the task orientated work and we're focusing on the things that are really a challenge. And it has been there for a while because self service and all the other opportunities we've given the customer. Now we can shift that back and say, Okay, I cannot focus on what does the hard thing to get completed. How Doe I really put in effort in and a lot of a lot of staff hours into this one piece. >> So you started service management You mentioned hr Legal >> Financial Aid General Student Carlson are We're looking at scholarships right now. We tell a little bit ideas around our foundation in scholarships and what we could do for them. Grants. Grants are very big challenge because you have to really track and trend your grants. When you look at it, sm the areas that we've matured there are phenomenal, and then we're getting ready now to move and I Tom, which we didn't do because we already built a complete structure around that we were feeding that to service now. So now I'm looking at from opportunity that if I can eliminate a lot of the tools, I put in a play and get into one single tool and maximize the value of that tool. So I think you heard me many times when we talked in this. It's never about the tool. It's always about people in a process first. And then how does the tool come in? Well, this platform, we can actually adjust that because we're not We're not bound by the tool. Like the legal module. They have a great legal module. Well, it didn't fit what we needed. So it's been adjusted accordingly. T meet our needs from the platform side by keeping the core components so we haven't customized. We haven't taken it to a path where we can never upgrade. But at the same time as we looked at the process they had and how do we take that process and then actually put it into play with service now? >> And they were all inward service now do you worry about locking? >> Always. I think >> that Do you manage that risk? >> Well, the very first thing, to be honest with you is any time you enter in any cloud situation or any product situation, you want an exit strategy of some kind In case something goes wrong, something happens. You have to be at that point. So the only way to manage it really is to one. Keep a good, strong partnership. I believe that I have a strong partnership was service now. I don't believe it's a vendor relationship and I think that's critical because as we look at what we're doing each time as a partner, were were engaged with things like Where you heading? What's happening next? You know what? And then the same thing with the user group community were engaged with that group. So from a partner standpoint, we look at that first. But if the worst case scenario came, I've got to be able to get out of the solution. I've gotta have an exit strategy which we actually had designed before we went into it. Now the question becomes is we get further and further entrenched. What do we do and I'm comfortable. I'm comfortable that the company and the operations are going the right direction for me at the same time. If I'm gonna protect my organization to make sure we're safe. >> And that's a big, big part of transparency on the part of service now and your ability to communicate, you know your road map and your needs, I mean, a scale of one to ten ten being, you know, really transparent. How Where would you put service now as an organization >> who? That's a tough one, Especially when I'm sitting here. >> Uh, Frank's not around is a freaking God. He's breathing guy. Let's see. You know, >> a CZ forest transparency. I would give him good, strong seven. >> Yeah, >> I think I would. No company can be completely transparent. They've got a lot of things working in the back room or ideas that they're moving forward >> because they don't know. They don't know what they don't know. Going. Yeah, >> but there's there's ideas that they have that they're moving forward. It's gonna like today with the watch demo. I'm like, Oh, yeah, I love wearables. I you know, I live off. I could very easily now just say Oh, yeah, I just >> got an e mail. Sorry. Yeah, but, >> uh, at the same time is, you know, for them to bring that forward at this point. So they're creative and looking at these items, but they don't want to get out there too soon. >> I'm curious on the partner vendor, you know, mentioned a couple aspects of what defines that relationship of all the vendors you have. How many do you consider to be? You know, close business partners where your, you know, really sitting at the table and building a long term relationship, You gotta have an exit, but its life so much easier. If >> you're working with a partner verse a vendor right now, I would stay out of our partner strategy. We've got four. That's it. But those are four core providers for the organisation. Their leaders in the market space. That's the other key. Most my partnerships or with leaders, of course service. Now, at the time when we first engaged with them and actually I would say, from a partnership standpoint, a strong partner was service. Now, probably since about two thousand ten, we've been on the platform since two thousand eight. So we built that partnership over that first couple of years. You got past that vendor relationship and then moved on from there. But right now, just our core technology stack would be sitting in that partnership room, and I've got others than in that court Technologies. Technically, I'm not a partner there. A vendor there there were by cell. They have a great product, but they don't really want to bring us into that point. And we really haven't approached that point. >> We had a great discussion off camera about you had mentioned. You're looking at potentially expanding into this security realm with service now. And you were sharing with me like your philosophy on security. So I want to document that The premise that I'm going to put forth summarizing our conversation is, you should organizations increasingly should treat security as an ongoing part of their business continuity plans, not necessarily as a sort of separate stovepipe managed by a few security practitioners. Is that a fair summary? >> Yeah, Service continuity is what I use. I don't have >> service continuity, service continuity, that your business. Yeah, it always comes >> out to service continuity. How do you How do you continue that process and provide the same level of service in the in the event. It's very simple to me as I look at all those events as like problem management incident management, you have a response that you have to take, so it has to be inherit. It has to be natural. You just do it way we're talking about that. That response, specially for security, is what's more important is that you have everything planned out and you're ready to deal with that incident in that rock response because it's gonna happen. So how you handle that response can actually dictate your future, right? Wei had that little bit of that discussion there, too. So it does come down to that service continuity. How do you continue to move forward as and get through that threat and then afterwards make sure that you prevent that from happening again. >> Unlike many CEOs that I talked to, your discussions with the overseers at the college are not entrenched largely in the security discussion. You've earned some level of trust with regard to your capabilities. Is a business your ability to respond. Can you talk about that a little bit? How you actually achieve that, what expectations you were able to set and how you're able to execute on that? >> Well, the biggest, biggest part, especially when you look at it at that event, it's how. How is it performed overall over the history? You've gotta have some history. You've gotta have some credentials. How do you deal with these responses in these emergencies? That gives you a little bit more slack in that process, but it is about constant communications. So what the board received for me is communications. It's very straightforward. Typically, in an annual report type format, Short updates clear, concise updates. But then, when event happens, we're talking about the flood that happened in Houston, and very quickly I had an email out and my service test team was already on it. They already implemented their service continuity because while we may be shut down, we have students online taking classes. We have students that need to know what's going on, what's happening so they're calling in, and our service desk continued on through that entire process without issue. So they see that as an example on a regular basis. If we have a system down, everybody gets to see exactly. We did X, Y and Z or if we even have a like today, I should say today Monday we had a blip. We did, Nam. We have. We saw performance degradation. We immediately had a team on. We had a WebEx open with everything running. So we're preparing for a service continuity event that didn't happen. And they see those two because the business units are getting these notifications. Hey, we've gotta WebEx open. We have this issue coming up, and when they see that, they realize how fast we are to respond to what could be a potential issue that we built that trusting relations. >> So that's a good example. If I understand it correctly, the regime that you've put in place puts a heavy emphasis on the response. I mean, obviously you're trying to stop the bad guys who wouldn't go innovated on the response as well. Is that a fair assessment? >> Yes. I mean, the threats, goingto threats gonna happen. The threat happens all the time. So it is about that response. It is being quick to respond to communicate and take care of the problem. >> Do you think that's changed amongst the CEO community in the last ten years that that the shift in mindset toward that response versus so to keep him out big dig a bigger mode, Wider moat. >> Well, you can dig a big, wide moat. Doesn't matter. >> I think I've >> got these big, robust to hot data centers. Amazing firewalls. They're redundant. You tried overload him. They're going to take over. I've got next gen firewalls behind that. I've got you. Just you, layer layer. This tax of protection I have put in you still have to prepare that we're talking about it is Okay, so that's the perimeter. Well, inside my perimeter is one hundred thousand students, those hundred thousand students around my network. So how do I protect against that? So now I have inside perimeter protection. You can build all this entrenchment that you want to build. But the reality is you need we prepared Just gonna happen that you are. Somebody is going to get to that point. Or at least then the alarms up that you have to respond to >> service now is talking yesterday at the financial analyst meeting about you know, the statistic. And I've heard a range here, but it's large that that after an intrusion it takes, on average two hundred five days for the average organization toe. Realize that there's been an intrusion. I've seen numbers as high as three, three, three, fifty, etcetera. Um, first of all, does that sound consistent with what you see in there in the real world and conservative now help compress that time. >> So the interest was service. Now, of course, is tracking and trending those responses. I, tom and Service watch. There's a lot opportunities with those tools and course we have a perimeter we have a pile of tools were using. In our case, our threats are a bit different because, of course, we're not a big financial institutions. So we were not right with all those other pieces. But you're from the days to recover from a major event and my peers and what that have actually experienced a data loss event? Yeah, it easily is that it is easy. That >> and you think, feel is, though that service now could help you attack that compress that >> yes, mainly through the data collection and then the reporting and then as the events going on all of this information that's happening in the problem management side. What you're seeing from outside information coming in and technicians on the inside updating information as they go through it. You have a comprehensive log of the event from start to finish. >> Now you're speaking just right after this. I think you're just what? You're what you're talking about. >> The shift for my tea service management. Teo Enterprise Service Management. It's actually Enterprise. Wow. But I'm actually walking through the journey. But the best part about that is it's the pitfalls we learned along the way because Wei didn't know we went to Enterprise Service Management. It's kind of I think we had a discussion when we went to the cloud. I didn't know we went to cloud. Exactly. I just knew we went to this heavy virtualization, these two out data centers and I kind of realized, Wow, we really pushed into this new this new wage, this new change. >> We've got a new operating model on on, >> you know. But now yeah, it really is about how we are journey to enterprise service management and the fact that we actually started in a price servicemen before I've even heard of it. It just was around The fundamentals of Hungary. Better service provider. How can we help our customers, uh, achieve their objectives and the business units make it simpler? >> My last question is, what's exciting you these days? A CEO practitioner. What? Float your boat? True. >> What's exciting? You see, I asked if you're gonna give me any hard >> questions for you. That's exciting. >> You know, What excites me is that you're seeing the maturity level of a cloud. The platform side. It is so flexible that you can respond to a customer need quickly that you, khun dynamically spin up the capacity Your When I first started this process, trying to build this high availability was difficult. Now hie availability is really not difficult. It's just around. The process is so that the maturity of the technology and the maturity the service piece that excites me. But it also excites me when I start seeing new team, people come into the market space and they understand that already they're coming in with an idol understanding there they're coming down, understand that business mentality. So original Lighty practitioners didn't have that business background. They didn't have that communication skill you're seeing a lot more of it. The organization now. >> Well, you're a real leader in this space. You've got a lot of experience. Appreciate you sharing your knowledge. And I'm sure the service now community does as well. So good luck with your talk this afternoon. And thanks again for coming. >> Thank you. It's great being here. >> All right, Link a lender. Always a pleasure. Keep right, everybody. This is the cue. We'LL be back Live from Mandalay Bay. This is knowledge sixteen. Right back. >> Service. Now is the time.