>> live from Las Vegas. It's the queue covering del Technologies. World twenty nineteen. Brought to you by Del Technologies and its ecosystem partners. >> Welcome back to Deal Technologies, World twenty nineteen. I'm stupid and my co host Dave Volante. Two sets, three days wall to wall coverage. Everything going on in Del Technologies really happen? A. Welcome back to the program. Same grow Cotton. Who's the senior vice president of product marketing at Delhi Emcee Sam so much that >> I am psyched to be here. I'm so excited. >> So you know you know, David, I will talk. You know, we come to these shows and back in the M C World days. It was like, Okay, let's walk through this massive portfolio and all the different areas. Last year we talked. There's a lot of simplification going on on DH Boy. This year it felt like, you know, massive infusion of cloud and talked to a lot of your team about how what's really happening now. It's not cloud walking. We're well past that. You know, Emcee and Dell both, you know, road through a lot of that today. But, you know, take us inside the keynote, putting these things together, and it's still quite a massive portfolio. >> It is, it is, and I get the honor of being the kind of the marketing front for the entire Delhi in C portfolio. So whether it's stored server networking, data protection and now hyper convert conversion now cloud our newest member of kind of the family, so to speak, Um, I get the opportunity kind of represent that which the earlier point creates a challenge as well, because it's such a broad portfolio of technology. So any time we get the opportunity to come. Teo Adult Technologies World of'em world rather a big event. We want to make sure we we shined the brightest light on the products that air >> both >> new and innovative, as walls continue to grow at a high rate. >> Alright, So Sam challenge. I wonder if I'm seeing a little bit of trend in there. So year ago, power Max was unveiled. We talk to the data protection team. It's power. Protect the the networking stuff got re branded with power and they've got the shirt with the lift switch power switch on there. So, you know, am I sensing a trend? Here is the When we simplify the portfolio. Power is the brand that lives up there. Are you the father of power? >> I am. To some degree. Yes, it was. It was kind of the genesis of an idea that we built on the original power edge brand which predate predated my arrival here. But we do. Look, we look, we look at the portfolio from a strategic lens and we're looking at the various different solutions we have across all the storage high end, mid range on structured as to the server product lines. Now, we powered up the data protection with power. Protect your point. Power switch is now on. So we turned. That went on, and we will continue to power up the rest of portfolio. So you're definitely on to something. There is a trend here, multiple points on that trend line. And I think you should be excited to know there's a lot more to come there too. >> So what? People talk about large portfolios. There was talk about integration and sort of threads across the architecture that maybe brings them together from a marketing standpoint and messaging standpoint. What are some of those threads that you're weaving through the portfolio, >> right? So one of the unique opportunities we have with such a broad portfolios, we want to make sure we have very strong, hard hitting product messaging. So of course, you've got the typical storage and data protection server messaging that talk about the he customer dynamics and trends that are going on at the individual product level. Now, what's what's newer this year and what you'LL start to see? More of us. We go for it is right now taking that product approach now, going vertical with that, talking about solutions and workloads and applications. So the big opportunity we have. And you saw that with the introduction of Del Technology Cloud as well as the Del Technologies Unified workspace, because we're now telling a broader solution story that includes, frankly, many products within delancy and many products across the broader del technology family that provide more of a business outcome solution, outcome discussion for our customers, complimenting the strong kind of individual piece part discussions which we have >> you and Sam, you know, we've looked at some of those solutions for a number of years, you know, VM wear and pivotal, and the storage products have been put together for a lot. Something I saw more than ever is you know, they're they're baked together. If you know VCF on top of it, the whole SPDC snack, you know, big day. One key note was a lot about the talk of, you know the better. Together as the pieces gives a little bit of insight, as you know how closely you know Del and the other logo's on the banner are working together. >> Yeah, if you think about over the last few years, Better together has been a big focus of ours is, especially as we've come together as one large company. But I would say we lived in the same neighborhood, you know. Now we live in the same house and and it's it's about how do we have the best integration between one product line or one room of the house with our neighboring room of the house for another product line? And you've seen that most recently with VX rail with the V C and technology and the delicacy of a structure. But now you're seeing it even broader than that. Del Technology Cloud is my favorite one to talk about, of course, and that is that bringing together the VM where Cloud Foundation suite of software This amazing set of software combined with this market leading segment leading delicacy infrastructure to provide that end and Turkey on premise Hybrid cloud which now could goto azure or Amazon >> Dave gives a whole another meaning to the noisy neighbor problem like >> All right, I'm gonna ask you So when you were >> living, it's a fun house. It's a very fun house. >> So when you were with Isil on, you had a relationship obviously with GM, where you got the S d. K. And you would do it then because you get acquired by CMC. VM wears sort of a sister company. Um law. Oftentimes the emcee would argue, Well, our integration is better than net APS or whoever else is. And, you know, maybe it was. Maybe it wasn't fine compete. But today there seems to be a conscious effort to really drive integration across the portfolio using VM. Where is the linchpin? I wonder if you could talk about that in terms of the strategy and what it means in terms of product marketing. >> Yeah, so it really depends on the case or work loader solution. Certainly in the cloud, I think, Dave, you're dead. On the VM are Virtual Cloud Foundation suite is the linchpin is the operating hub for our hybrid crowd saggy sitting on top of our infrastructure? So So that is absolutely the case. But if you look at other solutions there, maybe there's another member of this extended family that should be the point, or should be the lead of of kind of charge into a specific work. Hillary's case. We'LL evaluate those on a case by case basis. I think the important thing, though, is the strategy stops start from the top with Patton Jeff really working with both of'Em were and l N c teams. It is super clear the prioritization, the focus in the alignment to go build these combined solutions Together, we may not have had that alignment in the past, So if you look back historically, way probably didn't execute a CZ well or as fast as we wanted were now operating in absolute alignment and synchronization on the strategy, which makes it really easy for the teams to operate. Whether it's a marketing team, an engineering team, a services team, we're absolutely in locks >> up fascinated by this. Why? What's changed? What is it that Dell has brought to this culture that has enabled that catalyzed that? >> I think, you know, starting at the top with Michael, but certainly patent. Jeff spent the time, I think, Jeff, over a year and a half ago, they sat down and said, Here are key strategic tenants. Here's what we need to go do as better Together, we think we can move faster in the market. We aligned on those priorities, and we execute on those every single day. So I think that day one alignment has really helped to make the change >> very, very quick. Sounds >> so simple. But if if the assumptions that they make it the top don't pan out, then you have to pivot and you see it all the time in the tech business. All right, We're going to take that hill. Okay, Right. Way took that hill, but nobody's buying that hill. So now we got to go over here and we gotta Is Johnston shifting? Yeah. So is that the secret sauce? At least part of it is that they got it right early on. Fast course correction. >> Yeah, So I think the hero example that we've had the most run time with is the VX rail, which I definitely think we've hit a grand slam right with that one. Now we're trying to replicate that. Any more complex solution is something that's not just in an appliance. It's more broader. It's more strategic. You're now extending into, uh, partners like public cloud players, so it's much more. It's very, very important to have a plan have a strategy aligned to that execute. But by no means are we heads down and just going to take the hill if if the environment changes if the facts change. Jeff Pat the extended teams we constantly reevaluate and way were nimble and agile. We'LL shift if we have to. >> So, Sam, we've spent a lot of time digging in with the storage team here. I went through three Expo Hall, lots of gear you can touch, let two demos you can do. There's some people you know, went to the keynote, and they're like, Oh my gosh, this is not M c world. There's not that much storage. It kind of got glossed over when you talk about cloud and converged in all these things, they're talking about how you balance that internally and from out from a messaging standpoint, you know, Where is the message in the state of storage? You know, today in twenty nineteen? >> Yes. Oh, So yesterday we really focused on the Del technology solutions. Don't that cloud they'LL take unified workspace. Today's Kino we really pivoted back to the infrastructure conversation. This is where you saw the new enhancements with the unity x t. The ice salon continued to advance data protection with the new power protect announcements. So I would say day to probably felt more familiar for the traditional end SeaWorld teams. We had great demos showcasing The new capabilities were able tio have great customer examples how they're taking advantage of these capabilities. But with a portfolio so broad at Delta at the Del technologies level, never mind the deli in sea level, you have to pick and choose. And how you message to your customers, your partners to all of you. Of course. Well, so what? We're trying to kind of a line a solution story that's then complimented by great best of breed individual piece parts. And I think he saw that balance over day one and Day two today. How >> do >> you measure your success from A from a marketing standpoint? I mean, is it just revenue? I mean that, obviously one, but it's removed. But I mean, what other metrics do you use to sort of inform your strategy? >> Yes. Oh, again, I I had the pleasure of working both for Jeff Clark and Ellison do so. I actually have two bosses, which is a lot of fun, at times, literally. Seriously. Report dual report to both them. And what's great about that is there is no air gap between the marketing accountability, the marketing goals and objectives with the business within De Liam Si eso look, the ultimate factor that we look at in additional revenue, its market share. Are we competing in the markets that we select to compete in? And are we taking share? We've had a great last day, uh, great run over last year and a half on that front. So that goal is the same goal that we drive within marketing. Yes, there's things like share, voice and pipeline. You know, traditional marketing factors that we count within marketing to evaluate how things are working but were absolutely focused on the on ly goal. No legal that matters is hitting the plan hidden in the revenue growth and taking chair from our >> competitive. And so the cheese market share, I presume. Use I d see data as least in part. Maybe, maybe garden data. It's a combination of Yes. Okay, how's the market data? Because markets so huge we heard today with Pat Kelsey was talking today about two trillion dollar market, you know, And I say to myself, Well, how do you even measure? You know, the various segments in such a big market where there's been such consolidation, But what have you found in terms of the consistency and the accuracy, the data in terms of how it's translated to mean? Ultimately you can you can tell by your revenue growth, comparing it to others, revenue growth. So there's that measure, but is it pretty much stable and you're able tto? Is >> it reasonably predictable? You know, I won't get into the specifics, but we have a very detailed process on how we measure our success or not way Do use various resource is in terms of I. D. C and others to kind of measure in judge how the market's going. I would say it's an input. It's not the exact science that we would certainly certainly follow, but to your earlier discussion on Do things change? Obviously, market predictions, if I ever tell you three years from now with the market, is you know I would be a genius and Nostra Thomas and I would be predicting a lot of other things. It changes constantly. What we do know is the overall market is growing very quickly. It's in an unpredictable state of growth because of the amount of data that is growing. We think from a deli in C infrastructure standpoint, there is going to require a lot more infrastructure. So we feel very good about where the market is going in our role within this data era that we talked about today. But whether it's us or the market predictors, everybody is constantly adjusting because you just don't know >> what you have. Other sources you have obviously the channel you have. You you talk to customers. I mean, okay, Tom suite was selling us. That, I think is I. D. C. Was saying that it is going to grow it spendings and go to ex uh GDP, which I'm intrigued by on I believe it. I just Historically, it's such a big market. It's been aligned with GDP, but it does feel like it's it's accelerating faster. >> Look at the gross. I mean, look at that. The tech trends five g The emergence of the eye ot Internet of things at the edge Thie advancements within the modernizing of infrastructure. The move Teo hyper converge these new cloud solutions as we look to provide a non Prem cloud. You look at the public, Claude vendors are now have taken notice and said, Hey, you know what? It's not all one way or the other way. We've got to get into that game as well. So you're seeing a tremendous amount of growth, a tremendous amount of opportunity. At the end of the day, how are we helping our customers digitally transform is our goal in our mission, and I think we've got a great track record doing that in the >> world. Nothing in your size, a little bit of growth. There's a lot of >> cash, Sam, I don't want to give you the final word. You talk about the digital transformation. Give us a little bit of insight to the customers you're talking about. Where they are in their journeys has come the biggest challenges and opportunities that they're facing today. >> Look, we've been talking about digital digital transformation for a few years now. I would say we're still in the early innings. You certainly have a lot more customers that are taking advantage of digital transformation in typically lines of business, but not necessarily wholesale transformation. So I would say we're seeing a lot more customers seeing a lot more success in line of business conversion to digitally transform. But the next wave a transformation is hold hold, wholesale business transformation. You got a few highlights here and there. But for companies that are not born in this world that are more of a traditional business, it's the early early innings. So I think it's crazy, tremendous opportunity for everyone. Alright, >> well, Sam, first off, congratulations. We know it's not just the event, but all the different pieces that come through take more than a year for all these pieces together. So congratulations so >> much that they love the partnership. Looking forward to seeing you guys at the next big event. >> All right, for David, Dante, I'm Stew Minutemen. Be back with more coverage here from Del Technologies, World twenty nineteen in Las Vegas. Thank you for watching the cue.

>> Announcer: Live from San Francisco, it's theCUBE. Covering Red Hat Summit 2018. Brought to you by Red Hat. >> Hello everyone, welcome to theCUBE's special coverage here at Red Hat Summit. This is exclusive three days of wall-to-wall coverage of theCUBE. I've been covering Red Hat for years. Excited to be back here at Moscone West. I'm John Furrier, the co-host of theCUBE, with my co-host analyst this week, John Troyer. He's the CEO of TechReckoning, an advisory firm in the technology industry as well as an influencer, and he advises on influencer and influencer of communities. I would say it's community focused. John, great to see you. Welcome to the Red Hat Summit. We're going to kick it off! >> Great to be here. Thanks for having me. >> So you know I am pretty bullish on open source. I have been from day one. At my age who have lived through the wars of when it was second class citizen. Now it's first class citizen. Software power in the world. Again, on and on, this is not a new story. What is the new story is the cloud impact to the world of open source and business. We're seeing the results of Amazon just continue to be skyrocketing. You see Microsoft as you're having their developer conference of Microsoft Build this week. Google I/O is also this week. There is a variety of events happening. It's all pointing to cloud economics, cloud scale, and the role of software and data, and Red Hat has been a big time winner in taking advantage of these trends by making some good bets. >> Absolutely. I think one of the words were going to hear a lot this week is OpenShift. They are a container and cloud platform. Hybrid cloud is a super big emphasis here. Hybrid cloud, multi cloud already on stage at the first key note. They had a big stack of machines and they were going out to a multi cloud deployment right there on stage. Open source, also huge this week, right? The key note, the tagline, of the whole conference, if you are interested in open source, you should be here. I think you nailed it. It's going to be about multi cloud. >> It's exciting for me, I got to say. The disruption that's happening obviously with IT, with cloud, is pretty much out there. We pretty much recognize IT as transforming into a whole other look in terms of how it's operating, but the interesting thing that's just happening recently is the overwhelming takeover of Kubernetes and the conversation and in the stack you're seeing a rallying point and a rallying cry and establishing a de facto standard of Kubernetes. The big news of 2018 is, to me, the de facto standard of Kubernetes across a multi cloud, hybrid cloud architecture to allow developers and also infrastructure providers the ability to move workloads around, managing workloads across clouds. This is kind of the holy grail outcome everyone's looking for is how do I get to a true multi cloud world? And I think Kubernetes this year has the stake in the ground to say we're going to make that the interoperable capability. And Red Hat made a bet a couple years ago, three, four years ago. Everyone was scratching their head. What the hell are they doing with Kubernetes? What's Red Hat-- They're looking like geniuses now because of the results. >> Absolutely. In fact, I think by the end my joke is going to be this is the OpenShift Summit. I'll be very interested, John in your observations. You were at KubeCon last week. So that's the open source project and the ecosystem around Kubernetes. Red Hat owns a lot of Kubernetes. Red Hat employs many of the Kubernetes' leaders. They have really taken over from Google in a lot of ways about the implementation and go-forward path for Kubernetes. So this is the show that takes that open source project and packages it into something that an IT buyer can understand and take. >> I got to say one of the things that is interesting, and this is not well-reported in the news. It's a nuanced point but it's kind of an interesting thing, I think an inflection point for Red Hat. By them buying CoreOS has been a really good outcome for both companies. CoreOS, pure open source DNA in that business. Those guys were doing some amazing technology development, and again, all pure open source. Total pure. There is nothing wrong with being a pure open source. My point is, when you have that kind of religious point of view and then the pressure to monetize it Docker has had. We know what happened there. So CoreOS was doing amazing things but it kind of took a lot of pressure from the market. How are you going to make money? You know I always say it's hard to make money when you're trying to do it too early. So CoreOS lands at Red Hat who has generations of commercialization. Those two together is really going to give Red Hat the capability to go to the next level when you talk about applications. It's going to increase their total addressable market. It's going to give them more range. And with Kubernetes becoming the de facto standard, OpenShift now can become a key platform as a service that really enables new applications, new management capabilities. This should expand the RHEL opportunity from a market standpoint in a significant, meaningful way. I think if you're like a financial analyst or you're out there looking at this going, hmm, where's the dots connecting? It's connecting up the stack, software to service, with DevOps, with cloud native, Red Hat is positioned well. So that's my takeaway from KubeCon. >> Interesting. Yeah, before we move away from CoreOS, a lot of announcements today about how Red Hat will be incorporating CoreOS technologies into their platform. They talked about the operator framework. I think one of the bigger pieces of news is that CoreOS' OS, called Container Linux changes its name back to CoreOS and will now be the standard container operating system for Red Hat. That's kind of big news because Red Hat had its own atomic host, its own kind of micro, mini Linux distribution and so now they're switching over to that. They also talked about Tectonic, which actually is a really good automated operations stack, some of those technologies. In the future they will be incorporated into OpenShift. So they were talking a little bit about futures but it at least they've given a roadmap. No one was quite sure what the super-smart rocket scientists at CoreOS were doing here and so now we know a little more. >> And also at KubeCon they announced the open source of the operator framework. It's an open source toolkit for managing Kubernetes clusters. Again, and first of all, I love the CoreOS name. This is all about what Red Hat is doing. Now let's not forget the ecosystem that Red Hat has. So you're talking about a company that's been successful in open source for multiple generations now. Looking forward to this next generation modern infrastructure, you're seeing the stack look completely different with the cloud. If you look at all the presentations from Amazon, Google, Microsoft, the stack is not the old stack. It's a new concept. New things are happening so you've got to swap some pieces out. You get CoreOS, you bring that in, new puzzle piece. But look at the deals they're doing. They did a relationship with IBM, so IBM's back into the fold with Red Hat joining forces. >> Containerizing some of their biggest components like WebLogic and Dv2 and MQ. >> I think the containerization will create a nice compatibility mode, bring these old legacy apps into a modern cloud native architecture and gives that an opportunity to kind of get into the game, but also bring cloud native to the table. >> Absolutely. >> You've got IoT Edge, all these new applications. You just can't go anywhere without hearing about Internet of Things, machine learning, AI, cameras, whatnot. All this is happening. >> Absolutely. So we're going to break it down all week for the next three days. Red Hat Summit. It's all about containers, it's all about the Linux moment, kind of going to the next level. Cloud native, big time data action. All the great stuff happening. All done with open source with projects with new products being commercialized from these projects. This is the open source ethos. This is of course theCUBE coverage. We'll be back with more live coverage here in San Francisco at Moscone West after this short break.

>> Voiceover: Live from Boston, Massachusetts, it's the Cube covering Red Hat Summit 2017. Brought to you by Red Hat. >> Hi, I'm Stu Miniman and welcome back to the three days of live coverage here at Red Hat Summit 2017. The sixth key note of the week just wrapped up. Everybody's streamin' out. We've got a couple more segments. Happy to welcome back to the program a couple gentlemen we had on actually the Open Stack Summit. John Allessio, who'd the vice president of - And Nick Hopman, who's the senior director of Emerging Technology Practices, both with Red Hat. Gentlemen, great to see you again. >> Great to see you again Stu, good afternoon. >> Yeah, so a year ago you guys launched this idea of the Open Innovation Labs. We're opening these labs this year. You've got some customers. We actually had Optum on earlier in the week. We're going to have the easiER AG guys on, I should say - I was corrected earlier this week. I shouldn't say guys, actually I think it's two doctors, a man and a woman that are on. >> Andre and Dorothy. Andre and Dorothy - so really amazing customer testimonials for working through. So John, why don't you start with, you know, give us the update on the innovation lab program. Open and innovation get, you know, discussed a lot. Give us the real meat of what happens. >> So, just maybe a quick recap. >> Yeah. >> So Stu, we had about oh a year and a half ago or so, our strategic advisory board tell us, Red Hat, we really are looking for you to help show us the way in how to develop software, but also kind of help us leverage this culture that Red Hat has and developing software the Red Hat way. And so we worked with about a dozen clients across the globe, got a lot of great feedback on what they were looking for. We created an offering and then we launched it, as you said in Austin at Open Stack Summit. And now we've done many engagements in Europe and in North America across multiple different industries. We had here at the Summit this week actually two clients talk on the main stage, both Optum and easiER AG. And both of them have been through innovation lab engagements. Very different industries, very different clients, but what it has proven in both cases is it's really been a great way and a great catalyst to kind of spark innovation, whether it's within an existing IT infrastructure or building out some capability in particular customer environments, like we did with Optum, or kind of taking some ideas. And I'll let Dorothy and Andre tell their story when they come on and work with you. I don't want to take their thunder. But a great way to show you how we can work with a start up and really help them kind of take their vision and make it reality in an application. >> Yeah, Nick, you know, we've done so many interviews about the various pieces, lots of interesting business. It reminds me of that kind of pipelining that you talk about. One of the announcements this week was Open Shift IO, which it helps with kind of the application modernization. Can you maybe help us, you know, put together how the products that Red Hat does and what you're doing in the Open Innovation Labs, how do those go together and mesh and new stuff come in? >> It's actually kind of at the core of what we do anyway. So, we are building on top of the foundation, the technologies at Red Hat's core platform. But in a residency with Open Innovation Labs we are tying in other technologies, other things outside of the Stack. But with like Open Shift IO, what we've created was what we called the push button infrastructure. How are we showing with the process and everything to innovate on top of the Red Hat technology? How do we accelerate that journey? And so we created what was called the push button infrastructure to show that foundational acceleration, and Open Shift IO is actually now kind of part of that core. And adding in other components, other technologies that Red Hat has, whether it's our ISV partners, things in Open Shift commons, all those things to accelerate the application development experience. And so I think with Open Shift IO and as Red Hat continues to evolve in the development kind of tooling landscape, you're going to see how we are helping our customers do cloud data of application development more so than ever before. >> Yep, and maybe to add to that too, Nick, we were talking to a client this morning about some of their challenges and their priorities for this current physical year, And that particular client was talking about Jenkins and a number of non-Red Hat technologies as well because at the end of the day, our customers have Red Hat products, have non-Red Hat products. I think the great thing that maybe you can mention is when you look at that push button infrastructure that we've built, it's not really a Red Hat thing, although it clearly is tied to the Red Hat technology. But it's even bigger than that. And I think that would be important for the team to understand. >> Yeah so we actually have online is what we call our text stack, and it allows the customer to kind of select the current technologies that we've currently got integrated into our push button infrastructure, and it's always evolving. So I think what we're trying to bring to the table from a technology perspective is our more prescriptive approach. But it's always changing, always evolving. So if customers are wanting to use x or y technology, we're able to integrate with that. But even more so, if you take that technology to the foundation, put a couple of droplets of the Red Hat DNA and the culture is really where that innovation and that inspiration kind of where it's - it's culminating on top of it. So they're building out the applications, like the easiER AG examples. >> John: Yeah, excellent. >> It's great, I always love - By the time we get to the end here, oh I see some of the common threads. You know, for example, Ansible's acquired a year and a half ago, boy we've seen Ansible you know weave it's way into a lot of products. >> Nick: Sure. >> Was talking to Ashush just a sort while ago. And the Open Stack commons, which reflected what you were just talking about is customers are coming, they're sharing their stories. And it's not all Red Hat pieces. One thing I think, I go to a lot of technology shows, and it's usually, "Oh, well we want to talk about solutions." But by these pieces, and Red Hat at it's core it's all open source, and therefore there's always going to be other pieces that tie in. How do you extend as to how much of this is driven by the Red Hat business versus you know the problems of the customer? I'm sure those mesh together pretty well, but maybe some learning you've had over the last year that you could share on that. >> Sure. I think one of the great starting points Stu is what we try and do in every case is start with what we call is a discovery session. So it's one of our consultants, or one of our solution architects really going into the client and having a discussion around what is the business problem we're trying to solve, or what is the business opportunity we're trying to capitalize upon. And from there, you know we have a half day to a day kind of discussion around what these priorities are, and then we come back to them with the deliverable that says okay, here's how we could solve that problem. Now there will be areas that we of course think we have Red Hat technology that absolutely is a perfect fit. We're going to put it in and make that as a recommendation. But there's going to be other technologies that we're also going to recommend as well. And I think that's what we've learned in these Innovation Lab engagements. Because often it's a discussion with IT of course, but also a discussion with line of business. And sometimes what happens in these discovery sessions is sometimes it's the line of business and IT perhaps connecting for the first time on this particular topic. And so we'll come back with that approach and it'll be an approach that's tailored to that customer environment. >> One thing kind of pivots a little bit from the topic of the technology, but I mean the culture and how we're doing this. I mean we are working with ISV's and things of how they could come through the residency to get things spun up into Open Shift commons and get their technology in the Stack or integrated with Red Hat's technical solutions. But on the other hand, you know really when they come in and they work with us, they're driving forward with looking at you know changes of their culture. They're trying to do digital transformation. They're trying to do these different types of things, but working with that cross-functional team. They're coming up with, oh wow, we were solving the problems the wrong way. And that's kind of just the point of the discovery session, figuring out what those business challenges are is really kind of what we're bubbling up with that process. >> Yeah, I'm curious. When I think to just open innovation, even outside of the technology world, sometimes we can learn a lot from people that aren't doing the same kind of things that we've been doing. I know you've got a couple of case studies here, customers sharing their stories, but how do we allow the community to learn more? When they get engaged in the innovation lab are customers sharing a little bit more? We know certain industries are more open to sharing than others, but what are they willing to share? What don't they share? How do you balance that kind of security if you will of their own IP as separate from the processes that they're doing? >> John: Sure. >> It's actually kind of interesting, we had a story this week, we have an engagement going on in our London space, which will be launching in a week and a half. But they're going on right now. And there was a customer that was kind of coming through for a regular executive briefing if you will. And we walked him through the space. And they saw the teams working in there and they were before in the sales kind of meaning, they were a little bit close-minded and close-sourced if you will. Trying to not want to share some of their core nuggets of their IP if you will. And once they saw kind of the collaborative landscape, and this is not even technology based, but just the culture of an open conversation. You know I hate to overuse - you know the sticky notes everywhere, the dev ops. I mean they were really doing a conversation with the customer that was engaging. And all of a sudden the customer that was there on the sales conversation goes, "I want to do this session, I want to go through this discovery session with you guys." And so I think customers are trying to do that. And the other thing is, in our spaces and in our locations, like Boston, we are actually having two team environments, and we've designed it to try and create collisions. So they're basically on two sides, but there's also a common area in the middle where we're trying to create those collisions to inspire that open conversation with our clients as well. Some may be comfortable with it, some might not be as comfortable with it, but we're going to challenge them. >> Nick, I love that term collisions. There's a small conference I go to in Providence. Haven't made it every year, but a few times. It's an innovation conference. And they call it the random collision of unusual suspects. It's the things we can learn from the people we don't know at all. Unfortunately, we're too much. You know, we know the people we know. We know a lot of the same information that we know. If somebody outside of the like three degrees of separation that you might find, that next really amazing thing that will help us move to the next piece, it brings me to my next point. You mentioned London and Boston, how do you decide where you're building your next centers, what's driving that kind of piece of it? And, you know, bring us up to speed as the two new locations, one of which if we had a good arm we might be able to throw a baseball and hit. >> Excellent, so let me just start by first of all saying, you know part of what we're doing here is it's this experiential residency is what it is. And that residency can happen at a client location, at a Red Hat location, or even a pop-up you know kind of third party location. And quite frankly, over the course of the last year, we've done all three of those scenarios. So all three of them are valid. As far as it relates to a Red Hat facility, what we try and do is find a location if we can that's either co-located with a large percentage of Red Hat clients, and or maybe Red Hat engineering. Because oftentimes we'll want to bring some of the engineers into these sessions. So, Mountain View, where we have a center today was a natural 'cause we have some engineering capability out on the west coast. And Boston is of course very natural as well because we have a very large engineering presence here in Boston. In fact, I'll let you talk a little bit about the Boston center 'cause that's going to be our next one that opens here in just a few weeks. So maybe Nick, talk a bit about you know what we're doing in the Boston center, which will be, if you will, our world wide hub for Red Hat innovation. It's not just going to be the Boston center, it's also going to be our world wide hub. >> No pun intended that it's in the hub that is Boston. >> You got it, you got it! >> Excellent. >> So you know, what are we doing in the innovation center, and the engineering center, and the customer briefing center all co-located in Boston. >> Yeah so it's actually going back to the collisions. We've even try and create collisions in our own organization. So it's actually an eight-shaped building. We've got four floors, or two floors on each side. So kind of effectively four floors. Engineering on one side on two floors, and an EBC on a floor above the Open Innovation Labs, and the Open Innovation Labs on the third floor if you will. And there's actually floor cut-outs, so people you know if they're coming in from an executive briefing, they can see down, see what's going on there. And then engineering on the other side. And the point there is that open culture just even within our organization, working with the engineers across the board, getting them over into our space, working with us to solving the problems. And showing, you know, I think the key point that I would hit on there is really trying to inspire customers what it's like to work in a community. So community powered innovation. All those types of things. And so the space is trying to do that. The collisions, the openness obviously, flexibility, but also what we're trying to do is create a platform or a catalyst of innovation. And whether or not it's in the location or pop-up location, we're trying to show the customer some of these principals that we're seeing that's effectively allowing Red Hat to drive the innovation, and how they can take that back into their own. So, you know the locations are great for driving a conversation from a sales perspective, and just overall showcasing it. But the reality is we've got this concept to innovate anywhere. We want to be able to take our technology, our open culture, everything you would want to use and go be able to take that back into your organization. 'Cause our immersive experience is only you know, it's kind of camp for coders or camp for the techies if you will. So you know that's working well, but that's not long term. Long term we have to show them how they can drive it forward, you know with themselves. >> Where do I sign up for the summer program? (all laugh) >> It's coming this summer. >> So Boston will launch in the end of June. >> End of June, early July. >> And the June timeframe we had, I don't know how many dozens of clients, and partners, and Red Hatters go through in hard hat tours this week, here at the Summit. And then in two weeks, we'll open in downtown or really in the heart of London. >> Stu: Alright, yeah, quick flat flight across the pond to get to London. Anything special about that location? >> I think just overall the locations all have a little bit of uniqueness to them. I they're definitely - we did design them to inspire innovation, thinking outside the box. So I think you know, if you go visit one of our locations you might a couple kind of hidden rooms if you will. Some other unique things. But overall, they are just hubs in general for the regions. Hubs of technology and innovation. And so from the go forward perspective I mean we are trying to say, you know, Red Hat is doing things different, thinking different. And these are kind of a way to show it. So trying to find that urban location that is a center point for people to be able to travel in and be able to experience that is really kind of the core. >> So London will open in two weeks, and then we're already working on blueprints for Singapore. >> Singapore, yeah. >> For our Asia hub, and had some great conversations with our leader for Latin America about some very initial plans for Latin America as well. So you know, we'll have great presence across the globe. We'll be able to bring this capability to customer sites. We've already done that. We'll be able to do pop ups. 'Cause even in some cases customers are saying you know we don't want to travel, but we want to get out of our home environment so we can really focus on this and have that immersive experience, and that intimate experience. So we'll do the pop ups as well. >> Driving change, we are seeing that that's the best way. Especially with this kind of, you know, the residency. It is a time box. So if we get them out of their day to day, some of the things, you know, sometimes are the things that are holding them out. Get them in the pop up location, get them outside of their space. All of a sudden their eyes open up. And we had a large retailer, international retailer that we did a project with on the west coast, and getting them out of their space got them coming back. The actual quotes from their executives and the key stakeholders were like they came back fired up. >> Stu: Yeah. >> And they came back motivated to try to make change without our organization. So it's disruption on every level. >> Yeah, you can't underestimate the motivation and the spirit that people come out of these engagements with. It's like a renewed sense of, "I can do this." And we saw that exactly with this retail engagement of really already working on preparing for Black Friday, and putting some great plans in place and really building that out for them. >> John Allessio, Nick Hopman; we always love digging in about the innovation. Absolutely something that excites most people of our industry. That doesn't? Maybe you're in the wrong industry. >> Exactly. >> We've got a couple more interviews. Stay tuned with us. I'm Stu Miniman, you're watching the Cube. (light music)

>> Announcer: Live from Boston Massachusets, it's the Cube. Covering Red Hat Summit 2017, brought to you by Red Hat. >> Welcome back to the Cube's live coverage of Red Hat Summit 2017. I'm Stu Miniman, happy to have two gentlemen from the Middleware group. I have Mark Little who's the vice president of engineering and I have Mike Piech who's the vice president and general manager of the Middleware. Both of you from Red Hat, thank you so much for joining us. >> Mike: Thanks for having us. >> Alright, Mike, let's start with you just before we get into some of the news and everything. Tell us a little bit about your role, how long have you been a Red Hat. >> Yeah, I've been at Red Hat little over four years now. I run the Middleware business unit which comprises product management, product marketing, couple of other ancillary product related functions. We drive a lot of the Middleware strategies, certainly in conjunction with Mark and the engineering team. We also drive a lot of the merger and acquisition activities to sort of extend and build out the business. >> Alright, and Mark, a quick intro, maybe give us a little scope of where your engineering team sits across the globe and what products they're working on. >> So I've been with Red Hat since 2006. Came in with the Jbox Acquisition. I'm also responsible for our mobile and APR management efforts as well as Middleware. We've got an incredibly broad, rich Middleware portfolio and part of what comes with that is a very expensive engineering team which is in I think every single time zone apart from Antarctica. >> Excellent. Mike, let's unpack a little bit. Tell us about the news this week, what's new at Red Hat Summit. >> Probably the biggest news on the Middleware front is our announcement of open shift application runtimes. And really what that is is you can think of it as the next generation of runtimes and really, a next generation embodiment of the functionality that we've all known and loved as the application server. Right, so one of the core elements of the J boss Middleware portfolio from the get-go, the original acquisition of the J Boss company has been the application server, J Boss EAP. Enterprise application platform in Red Hat nomenclature. With open shift application runtimes, we take a lot of that functionality, a lot of that really foundational capability that has been sort of packaged into that entity, the application server and reimagined it, renabled it for the world of microservices, and that's what open shift application runtimes are all about. >> Alright. Mark, maybe you can break this down a little bit for us. I know in other conversations we said "Oh, I hear microservices", sometimes we conflate that with containers so some of the interfaces and challenges for building what you're doing? >> So microservices could be deployed into containers. In fact, you could have containers that have multiple microservices with them. There's a lot of challenges with microservices and as Mike's hinted at, some of those challenges have actually come because we've essentially had to re-architect some of our product lines to be more microservice-y, in a way. Sit well in containers, work well with open shift, so it's important that we don't just think about containers, we actually need to think about containers and orchestration, containers, hence Kubernetes, Which is why we've focused on open shift. And we've spent a lot of time over the last few years re-architecting and broadening our abilities into microservices area and everything we do, particularly in the raw, which is Red Hat open shift application runtimes acronym, is targeted at open shift and we've made a lot of efforts to make our stuff open shift native. >> Yeah, and I'm curious to get both of your opinions. We've talked for years about some of the Cloud Native microservices applications. Feels like there's a little bit more of a spectrum now. What we used to call almost lift and shift, kind of the re-platforming it and then maybe they start breaking up some of the pieces. Start componentizing them. Sounds like containers helps with some of them. What are you hearing from customers? How does that mature the solution set that you're working on? >> Sure. First of all, almost all of our customers are at least talking about microservices. They are all at different phases of their respective trajectories in sort of going down the microservices path. Almost no one would say "Oh, I would never do a microservice." I think most customers are realistic about "Hey, it's not a one size fits all proposition." The microservices approach is really appropriate for certain use cases, certain kinds of workloads, certain kinds of application domains. And in other domains, a less microservices-ish approach might still make sense. In a way, there's not like this hard threshold between what is a microservice and what is a macroservice or something bigger than a microservice. There really is a spectrum of size of modules. The whole idea of microservice is just taking the idea of modularity to another level. Like giving you a finer granularity to work with, but that doesn't necessarily mean that everything should be blown into its minutest possible bits. >> And I would kind of add to that. Some of our competitors, some of the people in the field of microservices often tend to approach this from a completely green field environment where the assumption is that you've got nothing that you need to lift and shift or nothing that you have to bring with you to this new world and that's simply not the case. Nobody has a true green field moment. Everybody's kind of brown field, slightly muddy fields. And I think that's what we've tried to address with what we announced this weekend at the summit. But also, another thing that we're focusing on is not just looking at how we evolve our software, but also how we evolve the people that are developing these things. It's no good us saying to customers, partners, communities "Everything you knew at this point you now have to unlearn and tomorrow morning, when you come to work, you have to have a completely new skillset." People have invested a lot of time and money into themselves, their employees, and they need to be able to take that skillset and evolve it as well. >> Yeah, you've spent a lot of time in the last few years talking about really modernization of what's happening. I've been saying for the last couple of years "The application tends to be the long pole in the tent." So are things starting to move a little faster? What's exciting you and what things have we knocked down and what things do we still need to mature a little bit on? >> Yeah, I would say it is moving noticeably faster. In the last, say, six to 12 months, we've really felt a rapid increase. A year ago, if we had this interview, we certainly would have talked about microservices but there would be a much smaller number of customers who were actively pursuing them. I think part of what happens is once you get some early successes, once you get a few examples out there of "How do you do it? What actually works?" That will start to snowball and bring on other customers who then gain some confidence from having seen it done. To answer the other part of your question, what still remains to be done, I think with our... One of the things that has, I think, continued to... If not be an actual challenge, at least be a perceived challenge in the minds of would-be microservices architects is "How do I manage all this stuff? How do I make dealing with not tens or hundreds but thousands or tens of thousands of these very minutely sized workloads? How do I orchestrate them, how do I scale them, how do I manage them, et cetera?" And that's one of the very challenges that our open shift application runtimes offering that we announced this week is that we meant to address. By putting those runtimes in an open shift native, Kubernetes native environment and automating a lot of that orchestration, taking a lot of that manual labor of dealing with all those pieces off the table, this would make it a lot easier for developers to develop with microservices. >> Mark, I can only imagine how much has changed in the last decade. Containers, the rapid acceleration there. I want to ask you a little bit forward looking, though. What about things like serverless, functions as a service, what's Red Hat's viewpoint on that? How fast do you see that coming? How does that play into your environment? >> So we see it in a way as a natural evolution of microservices. You know, a microservice should be something that does one thing well in a single unit of deployment. A serverless or function is one unit of deployment. So you can see it as another way of doing microservices and we're definitely full in on that. We've been working on projects in Kubernetes and open shift efforts called Function which is our serverless effort and we'll be integrating that with RAW. We think it's a good thing in general. It's obviously not going to be right for everybody. There are some issues with serverless. You may not find it useful for your application. >> Alright, Mike, I want to give you the final word. Speak to customer conversations you're having. What's exciting them in the Middleware space? >> Yeah, I've been really excited in the last 48 hours since the announcement came out. The reaction has been really, really good. I've talked to a number of our large financial services customers, both from here in the U.S. as well as in Europe. I've talked to some other customers in industries outside of financial services. They are unanimous in giving us kudos that we're on the right path, that this is what they wanted and needed to hear. That we are being very forward looking with our Middleware and while we're certainly not abandoning or otherwise letting go of a number of very important workload capabilities that we need to continue supporting in many traditional environments that we really are at the same time taking all of our deep expertise in Middleware and application development platforms and providing the enterprise grade, enterprise trusted, tested next generation runtime foundations for microservices and other emerging styles of development such as Function and serverless. >> Mike Piech, Mark Little, really appreciate the updates on where you are, little bit of visibility towards the future. We'll be turning it over to the Key Note and then back with the last bit of our coverage here, three day coverage of the Cube at Red Hat Summit. I'm Stu Miniman.