>> Narrator: From around the globe, It's theCUBE, with digital coverage of IBM Think 2021 brought to you by IBM. >> Welcome to theCUBE's coverage of IBM Think 2021. I'm your host, Lisa Martin. Today I have a new guest, new to theCUBE, Madhuri Chawla. The Director of Strategic Partnerships for Enterprise Application Services, is joining me. Madhuri, it's nice to have you on the program. >> Thank you Lisa, very excited to be here. And hello everyone. >> So different this year again, virtual like last year, we're going to talk about digital transformation. We saw this huge acceleration in 2020 the massive adoption of SAS applications. We want to to talk though about IBM Managed Services for SAP applications. So before we get into that, I'd love for you to be able to describe what your role is to our audience. >> Absolutely Lisa, so good day everyone, I've been with IBM for over 23 years. And my current role, I run the strategic alliances for IBM basically in the ERP space. SAP being our primary strategic partner. I have a global team of architects and we basically look at market requirements, talk to a lot of customers talk to our business partner SAP obviously, you know try to help them with come up with a solution for their transformation journey to the cloud. And hopefully today, you know we'll elaborate a little bit more on the exact walk that we do in this space. So very happy to be here. Thank you Lucy. >> Sure, so we're going to dissect the IBM SAP relationship. I think you even worked at SAP before your 23-year tenure at IBM. So we'll get to some of that as well, but help us understand, customers have so much choice, each day there's more and more choice. Why should a customer choose IBM as their strategic partner for this digital transformation journey? >> Well, really IBM has been in this SAP business for many, many decades, as you know. We have many, many certified people in SAP, close to 40,000 people actually globally. And we can help the clients in various aspects of their journey. So, you know, the typical cloud journey has four different aspects to it. You will need the advice. So you need basically systems integration services to help customers actually define the scope on you know, what they actually want to either upgrade, bring it to current as well as you know what workloads they want to move to the cloud. We can help customers with our systems integration services called the Global Business Services in IBM. We can help them with their entire planning. We can help them with the actual move to the cloud. So IBM offers a whole different variety of services for migration. Well, not only just the SAP workloads, I mean SAP typically ends up being the heart of the workloads than any of the major customers run, but surrounding SAP there's a lot of other applications so we can help plan that entire journey for advice and then, you know move it as well as in the interim, you know there's also another step which can be some customers that need to build net new, and you know, upgrade their applications to the latest technologies. So we can help them with that. And then once the build and move is over, obviously customers need help with the actual steady state run state environment. That's where this key service that we have Managed Services for SAP applications helps them. So our certifications with SAP and the fact that we have consultants that are certified in all these different aspects of the journey, can really help your clients. The other part I would say that IBM is really a hybrid cloud provider. So obviously we have our cloud service the IBM Cloud, but we can offer this service meeting the customer where they need to be. So we are a client centric service. So if the customer has a choice of AWS or Azure we can meet them there. So this is how, you know we can really help our customers with our expertise. Another data point to note that, you know, 70, 80% of the enterprise customers still have not moved their workloads to the cloud. So this is a space, especially with COVID as you've seen what's happened. You know, customers now are really really looking to accelerate the journey because it's become a necessity. It's no longer something that a CEO and CIO can push to the right, right? This is something they have to act now. So IBM with all these various services specifically geared in the SAP area. And given that we've been managing these production workloads for a lot of these enterprise customers on our cloud services for many, many years we have the experience. We can truly help them with their journey. >> And as you said, that's so critical these days. One of the things that I think we learned in 2020 is there was no time like the present. It really became such a massive shift that for business survival, those that weren't digitized, definitely were in some hot water. But talk to me so you talked about the IBM, SAP relationship being longstanding. Can you talk to me about the different aspects of the alliance and how that helps you guys to meet customers where they are? >> Sure, so SAP and IBM, we've been strategic partners for over 46 years, that's a long time. The partnership obviously has evolved over the years and I'll talk about, you know, a few of the different aspects where we've been partners. You know, the alliance initially obviously started you know, IBM is in multiple businesses as you know, we are one of the largest systems integrators in the world From a global business services point of view. As well as one of the largest application managed services providers. So that's, you know, part of the alliance. Then we have our server groups, the power systems that IBM has. So that's another dimension of the alliance where you know, 5, 6,000 plus SAP clients even today are still running their SAP applications on the power systems, whether it's on-premise or also in some of the cloud deployment models. Historically, we also had obviously the database Db2 alliance, but now with the SAP's move to HANA. That's kind of little bit of a mute point, obviously it still exists but most of the clients are now obviously being encouraged really to adopt SAP's latest S/4HANA. From the services standpoint, the other facet is really around the cloud services. So that's really our topic today, right? In the cloud services area, we have alliances with SAP, very very strong alliances that have existed for you know, almost a decade now. As I said, we've been managing the production workloads for very, very large customers in many different industries, their entire supply chains HR financial systems are running on IBM, either in the old traditional hosting models or also in our cloud models for the past 10 plus years, right, as IBM has evolved. So we have made sure that we do a whole different types of certifications with SAP to stay current. Many of these certifications are done either, you know every two years, some are done every year. And if anyone checks, you know the SAP service marketplace website, which is owned by SAP you can see IBM listed in all these different angles as a certified provider. There isn't another provider that can claim this breadth in terms of certifications that IBM has done. And that's why customers can benefit either from one or two of these services that IBM provides or obviously a combination as a single vendor, if the customer needs. So, you know we have the sets we have the credibility, we have decades of you know, delivery excellence in these areas, servicing these clients. Lots of the Fortune 100 customers actually are running their SAP workloads on the IBM systems, whether in traditional hosting or in a hybrid cloud deployment. some cases we're actually providing services for customers that run their SAP workloads on-premise. So we cater to that, you know, sets of clients as well. And then of course, others that are purely on our cloud, IBM cloud, as well as hyperscalers. Yeah. >> So long list of certifications, that seems to be one of the biggest differentiators that you talked about. Talk to me a little bit about how things have evolved over the last, you know, 12 to 18 months in terms of how has IBM's focus changed for hybrid cloud with SAP? >> Yeah, so the focus changed, you know until last year, we were called the cloud and cognitive company. This year of course the whole company has changed and we're going through a major transformation at the moment. We are the Hybrid Cloud Company now, and that name change means a lot. It means a lot in the sense that it gives choices to the customer. That's what the whole mission is all about. We want to make sure that customers are consuming IBM services and IBM wants to meet them where they want to be. So there's, you know, flexibility of choices in terms of hybrid in a cloud deployment model. So most customers in the SAP area you know, they're looking for either just a pure private cloud deployment or they're looking for a Puppet cloud deployment or a combination. And some are because, you know their SAP's footprint sizes are so large. Think about the multinational global companies, you know and then they operate in so many different regions of the world and their data sizes of their databases are so large. Perhaps you know the public cloud really isn't a good fit. Yet these customers are looking to move some sort of their workloads to the cloud. So that's where this hybrid cloud helps them because customers, you know, 90 plus percent of the clients today are really not choosing one hyperscaler as their deployment option. They're really looking at multiple. So because they're running their workloads not just SAP, but everything else, you know SAP always brings along a whole bunch of other applications like tax applications and other interfaces, homegrown applications analytics that the customers are using. So if you want to take advantage of the true hybrid cloud and the benefits of all the various deployments and hyperscalers available in that region, really the hybrid cloud strategy from IBM is a perfect fit. Because we give them choices of deployment. We're not saying that you have to deploy an IBM cloud. We're saying you can deploy either on-premise, AWS, Azure IBM cloud, really what makes sense, you know, best sense for the types of workloads that the customer is looking at. So that's how the strategy for IBM has completely changed to meet the clients you know, for what they're actually looking for. >> Talk to me a little bit about the go-to-market. So IBM and SAP, long-standing decades-old relationship lot of certifications that you talked about. We're talking about business critical applications. You mentioned supply chain a minute ago and I can't help, but think of how supply chain has been affected in the last year. What is the go-to-market approach with respect to providing consultation services to help customers determine, should we migrate to what hyperscaler and how and when? >> Yeah, so we can help them with that. So hybrid hyperscalers, obviously, you know IBM has been listed for example, as the leader in Gartner 2020. And you know there's lots of other stats that show them that IBM is a leader in application services, in consulting services, application management services as well as managed services. So these are all different, right? And you can see us being listed as a leader either it's in Gartner or IDC or Forrester Wave, and for many reasons. And you know, IBM actually has one series of pinnacle awards from SAP over the years. How this helps the clients really determine is that you know, IBM obviously does a lot of studies externally. We have internal as well as external facing views of comparatives of the various hyperscalers, you know including AWS Azure or GCP and so on. So when a customer comes to us for asking for advice and so on, we basically look at our own intellectual properties all the analysis that has been done. And more importantly, we look at the full scope of services that the customer is doing. What sort of a business are they in? We have industry experts there's ERP strategy folks within IBM. So, you know, they go off for a certain industry. And when they let's say, you know, they've gone off to the oil and gas industry, for example, they will look at multiple customers in that particular space. So based on their experiences, we can actually define the right roadmap for the client to be able to help them to move their workloads to this hybrid cloud strategy that I just mentioned right? So that's how we can help them because we have the expertise in that industry as well. >> And I'm curious, Madhuri in the last year, with so much flux and rapidly changing market conditions did you see any one or two industries in particular really leading the charge here and coming to IBM, SAP for help on this transformation journey which hasn't been accelerated by a couple of years? >> Certainly the retail industry, for sure, right? I mean, in spite of the crisis I think the retail industry did pretty well right? Because people still had to buy stuff. Of course the whole buying behavior changed no question. You and I, don't know about you, Lisa but for me, you know, I was never a major online shopper now I am, you know I buy just about everything. Previously it used to be select things here and there but now it's totally changed, right? So that industry certainly has accelerated no question. We've had a lot of those coming. The other industries that I've seen the change in the last 12, 18 months is really for for example you know the banking industry and so on. IBM basically, you know launched a lot of services in the financial services sector for this reason. So those are of course transforming very fast to keep up with the market. And I'm sure there's others, right. But these are the two that come to mind yeah. >> Yeah, two that have been most affected and needed to pivot so quickly in addition to healthcare. Let me ask you one final question here, before we wrap. Talk to me about the advantages of using the PMC Partner Managed Cloud SAP License resell model the advantages of using that and the benefits. >> Sure, so you know so far our discussion was really focused around, you know the various service capabilities that IBM has in terms of our capabilities for helping clients with hyperscalers and hybrid cloud. We also need to spend a little bit of time, you know talking about the operations model, right? So when they're running their production workloads on IBM PMC is yet another dimension. So what PMC, Partner Managed Cloud is really some very limited partnerships that SAP does. And IBM is the lead on that one. In this space, what SAP allows is the partner, which in this case is IBM to resell the SAP software license to a customer. So IBM has the rights globally to resell the license. And why is that beneficial to the client? Because now IBM can actually turn around the SAP license and have the customer pay us in a SAS model. So it basically is now an OPEX model where the customer is basically paying, you know a monthly fee as an example. So there's no upfront cost to the client and they basically pay IBM and then IBM pays SAP. So IBM is kind of holding the risk, if you will, on behalf of the customer it gives customers more choices, more flexibilities better pricing approach. So if the customer wants as an example to buy everything the full package, including systems implementation services, deployment models, with choices you know, on a cloud, whether it's IBM cloud or others as well as the license itself IBM has this end-to-end capability today. We've been selling it to several clients for a few years in several geographies right? So that's really the advantage behind it. >> Got it, excellent, thanks for breaking that down Madhuri. And joining me today, talking about what's new with IBM and SAP, the opportunities for customers to accelerate their digital transformation. We appreciate you stopping by. >> Thank you very much Lisa, I truly enjoyed it, thank you. >> Good me too. For Madhuri Chawla, I'm Lisa Martin. You're watching theCUBE's coverage of IBM Think 2021. (upbeat music)

>>mhm Yes, Welcome back to the cubes coverage of red hat summit 2021 virtual, which we were in person this year but we're still remote. We still got the Covid coming around the corner. Soon to be in post. Covid got a great guest here, Clayton Coleman architect that red hat cuba love and I've been on many times expanded role again this year. More cloud, more cloud action. Great, great to see you. Thanks for coming on. >>It's a pleasure >>to be here. So great to see you were just riffing before we came on camera about distributed computing uh and the future of the internet, how it's all evolving, how much fun it is, how it's all changing still. The game is still the same, all that good stuff. But here at Red had some and we're gonna get into that, but I want to just get into the hard news and the real big, big opportunities here you're announcing with red hat new managed cloud services portfolio, take us through that. >>Sure. We're continuing to evolve our open shift managed offerings which has grown now to include um the redhead open shift service on amazon to complement our as your redhead open shift service. Um that means that we have um along with our partnership on IBM cloud and open ship dedicated on both a W S and G C P. We now have um managed open shift on all of the major clouds. And along with that we are bringing in and introducing the first, I think really the first step what we see as uh huh growing and involving the hybrid cloud ecosystem on top of open shift and there's many different ways to slice that, but it's about bringing capabilities on top of open shift in multiple environments and multiple clouds in ways that make developers and operation teams more productive because at the heart of it, that's our goal for open shift. And the broader, open source ecosystem is do what makes all of us safer, more, uh, more productive and able to deliver business value? >>Yeah. And that's a great steak you guys put in the ground. Um, and that's great messaging, great marketing, great value proposition. I want to dig into a little bit with you. I mean, you guys have, I think the only native offering on all the clouds out there that I know of, is that true? I mean, you guys have, it's not just, you know, you support AWS as your and I B M and G C P, but native offerings. >>We do not have a native offering on GCPD offered the same service. And this is actually interesting as we've evolved our approach. You know, everyone, when we talk about hybrid, Hybrid is, um, you know, dealing with the realities of the computing world, We live in, um, working with each of the major clouds, trying to deliver the best immigration possible in a way that drives that consistency across those environments. And so actually are open shift dedicated on AWS service gave us the inspiration a lot of the basic foundations for what became the integrated Native service. And we've worked with amazon very closely to make sure that that does the right thing for customers who have chosen amazon. And likewise, we're trying to continue to deliver the best experience, the best operational reliability that we can so that the choice of where you run your cloud, um, where you run your applications, um, matches the decisions you've already made and where your future investments are gonna be. So we want to be where customers are, but we also want to give you that consistency. That has been a hallmark of um of open shift since the beginning. >>Yeah. And thanks for clarifying, I appreciate that because the manage serves on GCB rest or native. Um let me ask about the application services because Jeff Barr from AWS posted a few weeks ago amazon celebrated their 15th birthday. They're still teenagers uh relatively speaking. But one comment he made that he that was interesting to me. And this applies kind of this cloud native megatrend happening is he says the A. P. I. S are basically the same and this brings up the hybrid environment. You guys are always been into the api side of the management with the cloud services and supporting all that. As you guys look at this ecosystem in open source. How is the role of A PS and these integrations? Because without solid integration all these services could break down and certainly the open source, more and more people are coding. So take me through how you guys look at these applications services because many people are predicting more service is going to be on boarding faster than ever before. >>It's interesting. So um for us working across multiple cloud environments, there are many similarities in those mps, but for every similarity there is a difference and those differences are actually what dr costs and drive complexity when you're integrating. Um and I think a lot of the role of this is, you know, the irresponsible to talk about the role of an individual company in the computing ecosystem moving to cloud native because as many of these capabilities are unlocked by large cloud providers and transformations in the kinds of software that we run at scale. You know, everybody is a participant in that. But then you look at the broad swath of developer and operator ecosystem and it's the communities of people who paper over those differences, who write run books and build um you know, the policies and who build the experience and the automation. Um not just in individual products or an individual clouds, but across the open source ecosystem. Whether it's technologies like answerable or Terror form, whether it's best practices websites around running kubernetes, um every every part of the community is really involved in driving up uh driving consistency, um driving predictability and driving reliability and what we try to do is actually work within those constraints um to take the ecosystem and to push it a little bit further. So the A. P. I. S. May be similar, but over time those differences can trip you up. And a lot of what I think we talked about where the industry is going, where where we want to be is everyone ultimately is going to own some responsibility for keeping their services running and making sure that their applications and their businesses are successful. The best outcome would be that the A. P. R. S are the same and they're open and that both the cloud providers and the open source ecosystem and vendors and partners who drive many of these open source communities are actually all working together to have the most consistent environment to make portability a true strength. But when someone does differentiate and has a true best to bring service, we don't want to build artificial walls between those. I mean, I mean, that's hybrid cloud is you're going to make choices that make sense for you if we tell people that their choices don't work or they can't integrate or, you know, an open source project doesn't support this vendor, that vendor, we're actually leaving a lot of the complexity buried in those organizations. So I think this is a great time to, as we turn over for cloud. Native looking at how we, as much as possible try to drive those ap is closer together and the consistency underneath them is both a community and a vendor. And uh for red hat, it's part of what we do is a core mission is trying to make sure that that consistency is actually real. You don't have to worry about those details when you're ignoring them. >>That's a great point. Before I get into some architectural impact, I want to get your thoughts on um, the, this trends going on, Everyone jumps on the bandwagon. You know, you say, oh yeah, I gotta, I want a data cloud, you know, everything is like the new, you know, they saw Snowflake Apollo, I gotta have some, I got some of that data, You've got streaming data services, you've got data services and native into the, these platforms. But a lot of these companies think it's just, you're just gonna get a data cloud, just, it's so easy. Um, they might try something and then they get stuck with it or they have to re factor, >>how do you look >>at that as an architect when you have these new hot trends like say a data cloud, how should customers be thinking about kicking the tires on services like that And how should they think holistically around architect in that? >>There's a really interesting mindset is, uh, you know, we deal with this a lot. Everyone I talked to, you know, I've been with red hat for 10 years now in an open shift. All 10 years of that. We've gone through a bunch of transformations. Um, and every time I talked to, you know, I've talked to the same companies and organizations over the last 10 years, each point in their evolution, they're making decisions that are the right decision at the time. Um, they're choosing a new capability. So platform as a service is a great example of a capability that allowed a lot of really large organizations to standardize. Um, that ties into digital transformation. Ci CD is another big trend where it's an obvious wind. But depending on where you jumped on the bandwagon, depending on when you adopted, you're going to make a bunch of different trade offs. And that, that process is how do we improve the ability to keep all of the old stuff moving forward as well? And so open api is open standards are a big part of that, but equally it's understanding the trade offs that you're going to make and clearly communicating those so with data lakes. Um, there was kind of the 1st and 2nd iterations of data lakes, there was the uh, in the early days these capabilities were knew they were based around open source software. Um, a lot of the Hadoop and big data ecosystem, you know, started based on some of these key papers from amazon and google and others taking infrastructure ideas bringing them to scale. We went through a whole evolution of that and the input and the output of that basically let us into the next phase, which I think is the second phase of data leak, which is we have this data are tools are so much better because of that first phase that the investments we made the first time around, we're going to have to pay another investment to make that transformation. And so I've actually, I never want to caution someone not to jump early, but it has to be the right jump and it has to be something that really gives you a competitive advantage. A lot of infrastructure technology is you should make the choices that you make one or two big bets and sometimes people say this, you call it using their innovation tokens. You need to make the bets on big technologies that you operate more effectively at scale. It is somewhat hard to predict that. I certainly say that I've missed quite a few of the exciting transformations in the field just because, um, it wasn't always obvious that it was going to pay off to the degree that um, customers would need. >>So I gotta ask you on the real time applications side of it, that's been a big trend, certainly in cloud. But as you look at hybrid hybrid cloud environments, for instance, streaming data has been a big issue. Uh any updates there from you on your managed service? >>That's right. So one of we have to manage services um that are both closely aligned three managed services that are closely aligned with data in three different ways. And so um one of them is redhead open shift streams for Apache Kafka, which is managed cloud service that focuses on bringing that streaming data and letting you run it across multiple environments. And I think that, you know, we get to the heart of what's the purpose of uh managed services is to reduce operational overhead and to take responsibilities that allow users to focus on the things that actually matter for them. So for us, um managed open shift streams is really about the flow of data between applications in different environments, whether that's from the edge to an on premise data center, whether it's an on premise data center to the cloud. And increasingly these services which were running in the public cloud, increasingly these services have elements that run in the public cloud, but also key elements that run close to where your applications are. And I think that bridge is actually really important for us. That's a key component of hybrid is connecting the different locations and different footprints. So for us the focus is really how do we get data moving to the right place that complements our API management service, which is an add on for open ship dedicated, which means once you've brought the data and you need to expose it back out to other applications in the environment, you can build those applications on open shift, you can leverage the capabilities of open shift api management to expose them more easily, both to end customers or to other applications. And then our third services redhead open shift data science. Um and that is a, an integration that makes it easy for data scientists in a kubernetes environment. On open shift, they easily bring together the data to make, to analyze it and to help route it is appropriate. So those three facets for us are pretty important. They can be used in many different ways, but that focus on the flow of data across these different environments is really a key part of our longer term strategy. >>You know, all the customer checkboxes there you mentioned earlier. I mean I'll just summarize that that you said, you know, obviously value faster application velocity time to value. Those are like the checkboxes, Gardner told analysts check those lower complexity. Oh, we do the heavy lifting, all cloud benefits, so that's all cool. Everyone kind of gets that, everyone's been around cloud knows devops all those things come into play right now. The innovation focuses on operations and day to operations, becoming much more specific. When people say, hey, I've done some lift and shift, I've done some Greenfield born in the cloud now, it's like, whoa, this stuff, I haven't seen this before. As you start scaling. So this brings up that concept and then you add in multi cloud and hybrid cloud, you gotta have a unified experience. So these are the hot areas right this year, I would say, you know, that day to operate has been around for a while, but this idea of unification around environments to be fully distributed for developers is huge. >>How do you >>architect for that? This is the number one question I get. And I tease out when people are kind of talking about their environments that challenges their opportunities, they're really trying to architect, you know, the foundation that building to be um future proof, they don't want to get screwed over when they have, they realize they made a decision, they weren't thinking about day to operation or they didn't think about the unified experience across clouds across environments and services. This is huge. What's your take on this? >>So this is um, this is probably one of the hardest questions I think I could get asked, which is uh looking into the crystal ball, what are the aspects of today's environments that are accidental complexity? That's really just a result of the slow accretion of technologies and we all need to make bets when, when the time is right within the business, um and which parts of it are essential. What are the fundamental hard problems and so on. The accidental complexity side for red hat, it's really about um that consistent environment through open shift bringing capabilities, our connection to open source and making sure that there's an open ecosystem where um community members, users vendors can all work together to um find solutions that work for them because there's not, there's no way to solve for all of computing. It's just impossible. I think that is kind of our that's our development process and that's what helps make that accidental complexity of all that self away over time. But in the essential complexity data is tied the location, data has gravity data. Lakes are a great example of because data has gravity. The more data that you bring together, the bigger the scale the tools you can bring, you can invest in more specialized tools. I've almost do that as a specialization centralization. There's a ton of centralization going on right now at the same time that these new technologies are available to make it easier and easier. Whether that's large scale automation um with conflict management technologies, whether that's kubernetes and deploying it in multiple sites in multiple locations and open shift, bringing consistency so that you can run the apps the same way. But even further than that is concentrating, mhm. More of what would have typically been a specialist problem, something that you build a one off around in your organization to work through the problem. We're really getting to a point where pretty soon now there is a technology or a service for everyone. How do you get the data into that service out? How do you secure it? How do you glue it together? Um I think of, you know, some people might call this um you know, the ultimate integration problem, which is we're going to have all of this stuff and all of these places, what are the core concepts, location, security, placement, topology, latency, where data resides, who's accessing that data, We think of these as kind of the building blocks of where we're going next. So for us trying to make investments in, how do we make kubernetes work better across lots of environments. I have a coupon talk coming up this coupon, it's really exciting for me to talk about where we're going with, you know, the evolution of kubernetes, bringing the different pieces more closely together across multiple environments. But likewise, when we talk about our managed services, we've approached the strategy for managed services as it's not just the service in isolation, it's how it connects to the other pieces. What can we learn in the community, in our services, working with users that benefits that connectivity. So I mentioned the open shift streams connecting up environments, we'd really like to improve how applications connect across disparate environments. That's a fundamental property of if you're going to have data uh in one geographic region and you didn't move services closer to that well, those services I need to know and encode and have that behavior to get closer to where the data is, whether it's one data lake or 10. We gotta have that flexibility in place. And so those obstructions are really, and to >>your point about the building blocks where you've got to factor in those building blocks, because you're gonna need to understand the latency impact, that's going to impact how you're gonna handle the compute piece, that's gonna handle all these things are coming into play. So, again, if you're mindful of the building blocks, just as a cloud concept, um, then you're okay. >>We hear this a lot. Actually, there's real challenges in the, the ecosystem of uh, we see a lot of the problems of I want to help someone automate and improved, but the more balkanize, the more spread out, the more individual solutions are in play, it's harder for someone to bring their technology to bear to help solve the problem. So looking for ways that we can um, you know, grease the skids to build the glue. I think open source works best when it's defining de facto solutions that everybody agrees on that openness and the easy access is a key property that makes de facto standards emerged from open source. What can we do to grow defacto standards around multi cloud and application movement and application interconnect I think is a very, it's already happening and what can we do to accelerate it? That's it. >>Well, I think you bring up a really good point. This is probably a follow up, maybe a clubhouse talk or you guys will do a separate session on this. But I've been riffing on this idea of uh, today's silos, tomorrow's component, right, or module. If most people don't realize that these silos can be problematic if not thought through. So you have to kill the silos to bring in kind of an open police. So if you're open, not closed, you can leverage a monolith. Today's monolithic app or full stack could be tomorrow's building block unless you don't open up. So this is where interesting design question comes in, which is, it's okay to have pre existing stuff if you're open about it. But if you stay siloed, you're gonna get really stuck >>and there's going to be more and more pre existing stuff I think, you know, uh even the data lake for every day to lake, there is a huge problem of how to get data into the data lake or taking existing applications that came from the previous data link. And so there's a, there's a natural evolutionary process where let's focus on the mechanisms that actually move that day to get that data flowing. Um, I think we're still in the early phases of thinking about huge amounts of applications. Microservices or you know, 10 years old in the sense of it being a fairly common industry talking point before that we have service oriented architecture. But the difference now is that we're encouraging and building one developer, one team might run several services. They might use three or four different sas vendors. They might depend on five or 10 or 15 cloud services. Those integration points make them easier. But it's a new opportunity for us to say, well, what are the differences to go back to? The point is you can keep your silos, we just want to have great integration in and out of >>those. Exactly, they don't have to you have to break down the silos. So again, it's a tried and true formula integration, interoperability and abstracting away the complexity with some sort of new software abstraction layer. You bring that to play as long as you can paddle with that, you apply the new building blocks, you're classified. >>It sounds so that's so simple, doesn't it? It does. And you know, of course it'll take us 10 years to get there. And uh, you know, after cloud native will be will be galactic native or something like that. You know, there's always going to be a new uh concept that we need to work in. I think the key concepts we're really going after our everyone is trying to run resilient and reliable services and the clouds give us in the clouds take it away. They give us those opportunities to have some of those building blocks like location of geographic hardware resources, but they will always be data that spread. And again, you still have to apply those principles to the cloud to get the service guarantees that you need. I think there's a completely untapped area for helping software developers and software teams understand the actual availability and guarantees of the underlying environment. It's a property of the services you run with. If you're using a disk in a particular availability zone, that's a property of your application. I think there's a rich area that hasn't been mined yet. Of helping you understand what your effective service level goals which of those can be met. Which cannot, it doesn't make a lot of sense in a single cluster or single machine or a single location world the moment you start to talk about, Well I have my data lake. Well what are the ways my data leg can fail? How do we look at your complex web of interdependencies and say, well clearly if you lose this cloud provider, you're going to lose not just the things that you have running there, but these other dependencies, there's a lot of, there's a lot of next steps that we're just learning what happens when a major cloud goes down for a day or a region of a cloud goes down for a day. You still have to design and work around those >>cases. It's distributed computing. And again, I love the space where galactic cloud, you got SpaceX? Where's Cloud X? I mean, you know, space is the next frontier. You know, you've got all kinds of action happening in space. Great space reference there. Clayton, Great insight. Thanks for coming on. Uh, Clayton Coleman architect at red Hat. Clayton, Thanks for coming on. >>Pretty pleasure. >>Always. Great chat. I'm talking under the hood. What's going on in red hats? New managed cloud service portfolio? Again, the world's getting complex, abstract away. The complexities with software Inter operate integrate. That's the key formula with the cloud building blocks. I'm john ferry with the cube. Thanks for watching. Yeah.

>>from >>around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. >>Welcome back to the cubes. Virtual coverage of a dips reinvent 2020. I'm John for your host of the Cube great segment here with Presidio. Two great guests Chris Keg, Nazi senior vice president, general manager of the Cloud and Managed Services Group of Presidio, and Sam Fattah Gado, VP of Cloud Solutions Group with Presidio both been here in the Cube talking with us many times before. Great to have you guys on. Thanks for coming on Chris and Sam. >>Great. Thank you, John. Thanks for having us. >>We've had many great cloud conversations with your company and engineers. Architects going back, I think 2016 2017, really as cloud hit, that inflection point. Certainly, scaling Public Cloud and on premise is cloud operations. Certainly that has happened as continue to accelerate. Chris, I would like you to explain your relationship with AWS and you're focused at this. Reinvent what's going on with Presidio? What's new in your world? What's changed for you and the customers, >>right? So thank you, John. So Presidio's focus really is, um you know, around developing the right strategies, helping companies realize the full potential of the AWS cloud. Think of it as ah vory strategic approach that aligns technology with business outcomes really on a global scale. Um, this past year, um, if I look back a year ago, it reinvent when Presidio was there. Um, code a global was also there, which was an acquisition that we did. And we closed out, uh, in August and Sam Farr Gado was the CEO of Code Global. So what's really changed for us is taking our legacy business around infrastructure around security around Matic services on bond, combining that with really combining that with what Coda had around the professional services side of cloud engagement and really building out a company that I believe can deliver a very unique offering to clients because we can cover the full spectrum. So for us Ah, lots happened in a year since we were at reinvent attend day. It's really about, you know, business and technical leaders that we have that are really dedicated thio, you know, focusing on customers, their client experience, and really delivering the best business outcome that weekend >>you know, one of the things that we chat in the past, you just mentioned manage services. This is a huge deal because one of the trends that we've been reporting on here in the Cube and on Silicon angle is, you know, a lot of the transformational goals or accelerated Cove it. We see that projects that are doubling down are mostly cloud related, large scale automation, machine learning. But from an executive standpoint, the mandate is everything is a service. So there's a big executive push. See XO, CSOs, whatever for everything as a service. And when you put that out there and put that ball in play, so to speak, it's not easy, right? So when you go when you say hey, make everything is a service, it's not trivial, and then you get okay, How does that work? That's where the hard part happens. I want to get your take on that. Is that something that you're seeing with your customers? They put that ball in play, let's get the manage services and then you got to put it together. Not that easy. What's your take on that? >>I think you know when you think about clients today and what CEOs are looking for, it's really it is a pay by the drink or a consumption based model, right? But at the end of the day, they don't they want to manage their business. They don't want a Mac manage huge I t groups on DSO software developers within within their own business. They wanna pass that responsibility onto experts like Presidio. So I think it za fact. What's what's simple for them? How does how do they move kind of accountability and how did they get to their business outcomes without owning? And I t business within their existing business? So those are some of the changes that we've certainly seen from a mindset perspective, but but we're fully prepared. Thio offer that city >>that's great for your business is certainly a tail when Sam, I want to get to you. Because when you get to that conversation, okay, put his a service a lot in their unpack. I mean, depending on who you're talking to, you know, certainly accelerating it with Presidio. I see that you're now part of Presidio. Take us through what's going on in your world because when you get to the customer. You gotta work backwards from what they're trying to dio not trying to retrofit of technology into their environment. You've got to kind of work with what they got. But actually get them to the cloud. Can you share what you're doing with customers? >>Yeah. Thanks, John. I appreciate that. And one thing I want to say about joining Presidio is that, uh, you know, we, uh, had worked together for a couple of years and really found that we had a great cultural fit and that we had the same goal. And that's to become a W s number one partner globally, providing these kinds of mission critical solutions for clients. We've been told often times that we are Amazonian in terms of our customer obsession are bias for action. And what you just said there is helping them get the benefits of cloud quickly, no matter where they're coming from. Because, you know, they wanna have the availability security scalability, But they also have to integrate in with their existing systems. So what we're finding with clients is they want to transform the way they do business. They want to transform their industry oftentimes, and that's what they're looking for, you know, when they partner with us and they look for leveraging the AWS platform. >>So let me ask you a question then, because certainly we've seen I've interviewed a ton of Amazon customers and executives, and it's some >>of the >>things that's going on with Cove. It has just been amazing what they've enabled people to move so fast and put riel game changing impact, whether it's societal impact or some other transformative thing. And if you look at Amazon traditionally they started as a transactional thing. You get some easy to you by by the drink. Everything's going on. But every reinvent is more announcement. Andy Jassy said one hour keynote turns into a two hour keynote three, our keynote. And now you're looking at more transform inal transformational solutions. You still got some transactions in there. But when you gotta put the holistic, cohesive plan together, that has to be transformative. How do you guys talk to customers when you say it's not just transactional? Transformative? >>Yeah, well, we look, you know, we're doing it, you know, internally ourselves as well. You know, with Presidio now we've gone from transactions. Transactions are important but we really want to transform the way our customers are able to do business. And with co vid, it's been even more important to be ableto get things done without having to be physically present in one location. And so whether it's telehealth or remote learning, remote sales activities making sure that systems are integrated with commerce engines are again are very secure. The cloud and A W S is really bringing a big difference to the marketplace, and we're very immersed in that we have clients. Uh, I'll give you an example. Wheel pros. One of the leading tire after market tire and wheel manufacturers and designers we've talked with with their CEO, Randy White. He said. What we're doing with Presidio and on AWS platform is building the wheel. Pros of the future. What does that look like? He says he wants his systems to be just like his products for his customers. They've got to be high performing. They gotta be high quality, and they've got to deliver a great customer experience. Uh, well, you know, we want to be able to leverage a lot of the services that AWS has to be able to deliver those kinds of things quickly and with high quality. So it's really exciting to be able to see the impact we're having wheel pros, business and other clients like that. >>So when you talk about your solution to take him in to explain what you guys offer a client because you have a Presidio cloud solution, you get a lot of services can just take a minute to explain what people are buying and what they're getting from Presidio. Because, um, that sounds like a great customer success story. What are they? >>What >>are they getting? >>Okay, so what? They're getting really again following kind of the Amazonian way, working backwards, right? So let's start with an idea. Let's let's let's look at something we really want to do that's going to change dramatically. Change and improve the way they delight their customers. So start with that idea. Will help them design it. Welcome. Build it. Welcome. Deploy it. We could help support it. Fully managed service support eso from from the idea through to production and then ongoing support enhancements. They can count on Presidio to deliver all of those capabilities on Dakota Couldn't do all of that on our own. We were really grated application development, data and analytics. Uh, dev Ops and Automation. But with Presidio, we bring everything to the table Onda geun fully supported. Help them from, you know, even managing. You know, they're they're resell, being able to manage the environment, making sure that they're getting the most value out of these critical investments. >>Chris, I want to get your thoughts on this. Um, Sam mentioned you wanna be the number one solution provider for on AWS? Um, great mission, by the way, I wanna unpack that now. Last year, I reported at reinvent one of the feedback items was Amazon's gonna think more about solutions. Certainly Microsoft does that. We've seen that, um, Amazon doesn't really flout a plant. Those solutions very much. I mean, even though they have them there there you guys are a nice fit there. So if you're gonna be the number one solution provider, what do you guys need to do to do that? What a customers expect from you guys? Can you take a minute? Explain your plan? >>Sure. Yeah, absolutely, John. So I think you know, when you think about clients that air transforming their business right. They need to be competitive in their own market. So when they think about business outcomes in what Presidio does, we look at it in really a full life bull approach. If you think about the applications that Sam spoke about creating things that Air Cloud native, perhaps it's a mobile ordering app that's going to make them more competitive, especially in this covert environment. Um, think about their their just their normal consumption of services on the AWS platform. How do we optimize it for them? How do we ensure that they have the right services in a very agile, secure environment? So managing and owning it the full life cycle is really kind of what we deliver from a solution set. But every client is a little bit different, depending on really what their their needs are and what what their business outcomes are. So we can take it everywhere, anywhere from, uh, full development toe Full deployment Onda managing it in a very secure way, um, to adding in their consumption side of it, adding in their licensing component where perhaps they're buying under marketplace or a or a c p p o offering. So what's really unique about Presidio is that we offer that full solution to clients from end to end, and we can manage the entire process, deliver performance, cost savings and very predictable models >>from I love the, you know, a big fan of the entire and people who watch the Cubano. All I do is talk about and to end is really a critical way to look at things holistically if you're looking at something cohesive as a solution with transactional transformative capabilities. But I want to get your thoughts on some of the market demand challenges. And if you guys could react to it, um, Sam and Chris, there's two spectrums we're seeing with this pandemic clients, customers who were, like, have a tailwind. Oh, my God. This is accelerating my value proposition. I need more help. I gotta get to the cloud I gotta transformed quickly. And then the other end of the spectrum is the worst screwed. So we're gonna reset and retool while we're kind of in this bunker down mode and they want to come out of the pandemic with a growth plan. So kind of to spectrums, right? Did you guys see that as well what's the range of psychology or buyer behavior for your customers? Because there seems to be like the airline. They're not really getting a lot of business, but they're redoing their systems. They're being classified. Or, you know, this is an app for zoom or school educational. It's needed. It's in more demand. So you kind of everything in between those Do you guys see that? And if so, or if not >>way, certainly see a component with our client base around saving costs, right? What are they going to do in this environment? Toe save costs. But at the same time, we are seeing a lot of creativity around. What does their future model look like? And how did and what do they need to build? And that's what they're spending money on. Eso. We've seen it across kind of all verticals within the business, but certainly it it's a it's a dual approach. I think customers that go about doing that properly really prepare themselves for when we all do come out of this. That the business was will be set to capitalize on the change in market. That's what I've seen. I'm sure Sam has some additional comments >>Your thoughts? >>Yeah, absolutely. I would say necessity is the mother of invention. Invention. Right. So you know, we're seeing customers that we're thinking about cloud or, you know, considering maybe a new application cloud native application. But, you know, maybe you felt like they had time to do it where, you know, with covert ITT's bold are gonna be the ones that survive and thrive on DSO. Just like we saw when people came out of the 2000 and eight financial crisis. Those that invested in their systems, invested in their people, people skills is another big area right way at Presidio have I think we're upto like 600 AWS certifications across the board from sales through all different technologies. Because, you know, we wanna retain our people. We want to help them develop their skills and make sure that we're bringing the best talent to our clients. Eso yet z you know, it's a it's a difficult time, but it's a time for opportunity. >>Necessity could be business opportunity to capture opportunity, recognition, capture or survival. I mean, it is the mother of invention, you know it is it is a forcing function, guys. Thanks for the >>one of our clients. If I if I could, just mentioned Dunkin Brands, you know, they they couldn't have traffic in their stores. So, you know, mobile ordering became even more important. Um, you know, driving with Dr Drive up pick up and we helped them move from a multi tenant SAS application that was, you know, wasn't performing wasn't a reliable enough to an AWS Cloud native application, and they tripled the traffic while also improving performance and reliability. That's the kind of power that you can have with AWS and Presidio. >>That's a great eggs. And that's a great example looking relate to that. First of all, Dunkin Donuts makes great coffee and from the East Coast originally. So I love Dunkin Donuts. DND um, but great, great brand that mobile app. Good call, because people want to get in the curbside pickup or delivered. I mean, this is the new the new normal guys. Thanks so much for the insight. Final word. If you both can weigh in, um, share with the audience. The focus for this reinvent if you could share the Presidio message for reinvent virtual 2020. What do you think, >>Sam Why don't you go first? >>Well, from my perspective, it's all about, you know, taking it to another level. That's what we feel like we're doing was part of the video now again becoming the number one AWS partner. But it's also helping customers take their most important applications, uh, to the cloud so that they can improve the way they deliver for their customers. That's really what it's all about for me. >>Yeah, I would. I would have to concur with Sam. I mean, you know, our goal. Really like Sam said a few times to be be the number one aws partner. But with that comes, you know, a huge undertaking in a huge responsibility for us, you know, with our teams and and with our customers. At the end of the day, we want all of our clients to think of us first. Um, you know, when we're delivering these solutions and how impactful Presidio has been to their business for their growth onder for their future success. So for us, the customer obsession side of it all is really we want to continue that, and that's what we're gonna get out of this conference is how do we continue that? >>Well, congratulations. Like Chris and Sam. Thanks for coming on. I always say I enjoyed my conversations with your team. Uh, they get the technical chops, um, and having a service offering that accelerates mawr cloud goodness for customers on my, um, Amazon's got a great ecosystem clouds growing like crazy. So congratulations. Thank you. >>Thank you. Thank >>you. >>Thanks for coming on the Cuban John for your watching the Cube coverage of aws reinvent 2020. It's virtual this year. We're not impersonal, but the cube virtualization It's hit the market. More cube interviews remotely. And I'm John for Thanks for watching.

>> Narrator: From around the globe. It's the CUBE, with digital coverage of Dell technologies world, digital experience brought to you by Dell technologies. >> Hey, welcome to the CUBE's coverage of Dell technologies, world 2020. The digital experience. I am Lisa Martin, and I've got a cube alum back with me talking about managed services. David Mensing is here the senior director of product management for Dell technology services. David it's great to see you. Thanks for joining me today. >> Thank you. Good to be here. >> So here we are very, very socially distant since the whole event is socially distant this year. Talk to me a little bit about what's going on with managed services with (indistinct), you guys have been in managed services for a long time, but there's some new stuff coming out. Talk to us about that. >> Sure. Yeah. I mean, from a Dell technology services perspective, there's a lot that we do from consulting, support, deployment, education managed services has been one of those other areas that we've been working on for over 15 years. We've been managing a variety of different environments for many large enterprise customers. And so what we're trying to do right now is take a lot of that capability and start making it more widely available to more of our customers. And today what we're focusing on is in the data protection space and offering a standard managed service or data protection that's available with our flex on demand consumption model. >> So flux on demand consumption model was announced last year towards the end of calendar year 2019. Remind us what the flex on demand consumption program is. And then let's dig into why data protection was one of the first managed services launched through it. >> Yeah. So last year when we announced flex on demand, what we wanted to do is come up with a different consumption model where customers don't have to pay anything significant upfront as part of a CapEx investment. They pay for what they consume. And so we offering or offering that today on our power protect data, database products are Avamar networking software, as well as our integrated data protection appliances. And so customers can pay only for what they have to consume and then we'll charge them extra as they consume beyond that minimal commitment. And then now we have managed services. That's one of those options that we can provide as part of that solution. >> Tell me about some of the trends. Oh, go ahead. Sorry. >> No, but I think you asked the question though, as well as, you know, why did we choose managed services for data protection to start with versus doing something else? And, you know, it's an excellent question because you know, there's a lot of different environments that we do manage today. I mean, storage data protection, Hyper-converge, cloud, and we're doing that with a variety of different global customers around the world. Now, what we've seen though, is that these customers are running into a lot of common challenges, particularly around the complexity and growth in their environment. And so that's why we've been doing a lot of research with IDC and with others to focus on what specifically they're seeing in their environment. And so what they found particularly IDC came back and told us that, yeah, you know, one of the number one concerns that customers have with a flexible consumption model is backup and recovery. And so that's why we went with the service essentially from what we were already seeing from our existing customers, but also for what we were hearing from analysts. >> So since that survey that you did research with IDC, I'm curious in the COVID era, we've seen so much going on with respect to security. Ransomware is way up, I think a ransomware attack right now happens every 11 seconds. We're seeing hospitals as targets. The New Zealand stock exchange was targeted. The department of veterans affairs, social media, is there any additional or one additional data from IDC or others shows that backup and recovery is even more critical since so many people are working from home accessing networks from personal devices, what's the influence been on COVID on really accelerating this data production managed service? >> Well, I think there's two things to it. Number one with COVID we're hearing from a lot of our customers that their it staff are having to focus on more things than they did before. You know, that like you were saying, there's more security, there's more compliance, there's more other issues. And so by offering a managed service in a space like backup and recovery, we're able to reduce some of their workload free up their time so they can focus on other more critical projects. Now, furthermore, when we survey with these customers, you know, we found that most of them say You know, it was a 64% said, they lack the confidence that they can fully recover systems or data from all their platforms in the event of a data loss. And so that's one of the things that we can provide by being able to troubleshoot monitor it 24 by seven, you know, when a backup job fails, you know, there's a lot of different things that may be going on. And so we'll use the expertise that we have and our tools to go ahead and troubleshoot those so that our customers can spend their time in more important areas. >> So as we look at the multi-cloud world, in which so many businesses across industries live, we talk about multi-cloud, we talk about complex in IT, a lot of businesses have multiple data protection solutions within them, some maybe for on prem, some protecting cloud applications. Talk to me about how this managed service would enable a business in any industry to get that centralized management and that visibility into everything they're backing up from physical servers to SAS applications for example. >> That's a great question there. So, you know, going back to one of the things I mentioned earlier, I mean, we're number right now in the marketplace for data, project software and appliances. And so all of our products provide those different flexible options to whether you're managing an on prem environment that you need to do data protection for, or a hybrid or public cloud environment. And so with that, as part of the managed service, we'll run a series of different reports and monitoring, and we'll be able to unify all those different pieces into a couple of different dashboards and reports provide that visibility back to the customers about what's being backed up what they need to go ahead and restore that particular moment, as well as see some of the other trends that are going on with their environment. >> So let's talk about the actual consumption of this. You talked a little bit about when the flux on-demand program was launched towards the calendar end of 2019. So much has changed since then for many, many months, many businesses globally were really in this, how do we survive mode? The pivot were pivots were so quickly, there were a lot of them they're still happening. So talk to us about how this select on demand program I imagine of the facilitator of some businesses being able to get to survival and eventually to being able to thrive in this new era. >> It's a, it's a great point. You know, it'd be the great thing about the option that we now have with flux on demand is, you know, like I said before, customers don't have to pay everything upfront. You know, generally speaking, when we sell a product, you know, we're thinking about a multi-year commitment that a customer has, that they pay all upfront at that point with this they're only paying month to month, and that could be anywhere from 40% consumption of the box or 80% consumption of the box. And then they can pick and choose whether that's over a one year, two year, three year or even a five year term. And so we'll establish a rate so that, Hey, based off that commitment, you know, you'll know exactly what you pay for 40%. If you exceed that, you'll know exactly what you'll be charged for that as well. So that provides not only some predictability in what the customers need to budget for pay every month, but more importantly, they're saving a lot of money from the standpoint of, Hey, they're not having to pay for that all upfront anymore. They can actually spread that out overtime. And so that flexibility particularly in the economic space we are right now is really, really important. >> So no more risk of over provisioning and then having in three to five years to buy more, even if you haven't used that capacity. And that's one of the challenges that we hear often in that space. >> Correct, Correct. I mean, the great thing with data is we're generating more data every single day, but you know, it takes a lot of the guesswork out of it in the fact that, Hey, you can make a commitment, 40% consumption. You can work with that. If you find a couple of months later that, Hey, we need to readjust that to another level. We can absolutely work with you to do that as well. >> So I'm curious what that the kind of split is between what the managed services group does and what the customers can do. Knowing that there's a lot of experts on the managed services team. What actions can customers take? For example, you talked about we'll determine what them, what percentage between 40 and 80 they've paid per month, when things change on their end, how can they adjust that. >> Now? it's a great point. When we talk about managed services, that's always the first question that comes up of, Hey, exactly what are you going to manage for me versus what does my staff need to continue to look at? And so we're going to go ahead and manage the jobs. We'll make sure that they run. And, you know, if there are issues where we need to go in there and troubleshoot and make changes, we'll go ahead and do that. And really what we're designing here is a process to where the customer doesn't have to call us, we're going to call the customer to let them know when, Hey, we see an issue. We need to make a change in their environment and notify them, but we still want to give the customers the flexibility of, Hey, if they need to make a change to their backup policy. Cause their environment has changed. Call us, submit a ticket. Let's talk through it. Let's make those changes together so that you got the right protection strategy. Furthermore, the customer, if they need to restore a file, they can submit a ticket and we'll go ahead and assist to make sure that we can get that data restored back for them with the right version and the right place as part of that. >> Had any interesting stories. I know we talked a minute ago about, you know, when the pandemic hit, there was this massive pivot to work from home. And suddenly you had people that were either taking a desktop. Out of, their physical location, bringing it home, or they were having to use one of their own devices connecting to a corporate network. We think about endpoints as being even absolutely critical. There's a lot of business, critical data on end points. What are some of the restorations that you've seen? For example, if someone deletes an entire mailbox or a calendar or there's corrupt data on a somebody gets hit with ransomware, how quickly can your data protection managing production service, recover data? >> You know, it's a great question. And, you know, we've got a variety of different ways to approach that, you know, depending on the customer environment, it may be something where it's acceptable to wait a few days or longer to restore files. It may not be critical, but certainly if it is very critical data and it is something that you need up and running right away, you know, you've got to look at not just the managed service approach, but you've also got to look at what is the software and the hardware approach to data protection? How many copies do you have? How closely, located is some of that equipment. And more importantly, have we looked at the networking latency impact of, Hey, if we did have to do a critical restore, how long would that take? And so that is part of what we can do for managed services is address. Hey, is the policy and the strategy we have in place is it actually meeting our customer needs? Is that the outcome that they're looking for? And so at that time, you know, we may find that, Hey, this may not be the right size solution. There may be some adjustments we need to make. Furthermore, it may be just simply making some changes in the configuration, in the policy to make sure that, Hey, we've got multiple copies that we're doing backups maybe a little bit more frequently, but that's always a really good discussion point with our customers to make sure do we have the right data protection strategy in place with not just the hardware and software, but with the service strategy we're applying against it. >> You mentioned in the beginning of our conversation that a survey that I forget if it was IDC or a different one you mentioned that 64% of the IT folks surveyed said, we don't have confidence that we can fully recover. Given what you are talking about here, data protection is a managed service offered through the flux on demand program. Ideal technologies world, those folks in the 64% of we don't have that confidence, what can they learn? What can they expect? and how can this new managed service help move them over the line to getting that confidence that they can recover anything they need? >> Yeah, the confidence that we can help them with on that is transparency. You know, like I'd mentioned, you know, we want to change the paradigm to where customers not having to call us, we're calling them. But even from that standpoint, you know, it's really important for us to be able to demonstrate through the reports through the other work that we're doing, that we are doing the backups that we are restoring and we're meeting the service level objectives that we defined with those customers. And so as part of that, we have a service delivery manager that will work with the customer on a scheduled meeting every month to go through those reports, check with them about their expectations to make sure that we're doing everything that they need us to answer any questions. And then if we need to meet with them more frequently than once a month, we absolutely can. But we want to ensure that the service is totally addressing what the customer is looking for and that they're seeing the right amount of information and data to give them confidence that we're delivering the services they need them to. >> Sounds to me like proactive support. Is that something that you think the customers in that majority who don't feel confident have they not had data protection services. that were proactively saying, Hey guys, here's what's going on in your environment? >> Yeah so, you know, certainly in the, in the industry, I mean, there's a lot that we provide from proactive services We' ll practically notify you when we see a hardware error in your environment. But in the absence of managed services, the customer is in charge, the customer is the one that is running the environment. They're having to monitor all the different events, have a backup job fails they need to figure out well, did it fail because I had a networking issue or because the system had too much IOPS at that point, or was it just, we had two conflicting jobs trying to ride, run at the same time, means the customer takes on all that complexity themselves when they go ahead and manage it. And for a lot of customers that may be the right solution. They may have the right expertise in house. They may have the right requirements or require that, but there's a lot of other customers we're finding, particularly in the state we are right now with COVID that they want to go ahead and move some of that complexity over another partner, which is what we're offering with the managed services. >> Last question at Dell technologies world, the digital experience this year. Tell me about what you're going to be talking about. what can folks expect to learn from you? (laughs) >> We're going to talk a lot more about the managed services for data protection. We're going to talk about how that aligns very, very cleanly with the flux on demand and talk about the benefits you get from both of those different models. >> Excellent. David, thanks so much for joining us on the cube today. Sharing what's going on with flux on demand program, managed services for data protection and how you can help customers navigate their complex data protection needs in a very strange world. We appreciate your time. (chuckles) >> Thank you >> For David Mensing, I'm Lisa Martin. You're watching the cubes coverage with Dell technologies world 2020. (gentle music)

>> Live from Orlando, Florida. It's theCUBE, covering Cisco Live 2018. Brought to you by Cisco, NetApp, and theCUBE's ecosystem partners. >> Welcome back I'm Stu Miniman. And this is theCUBE's coverage of Cisco Live 2018 Orlando. Getting to the end of two days of three days of wall to wall coverage, happy to welcome to the program Wayne Ogozaly who's a cloud architect with Cisco. From my neck of the woods up in New England. Thanks so much for joining us down here. >> Pleasure to be here. It's getting towards the end of the day which means thundershowers will probably hit for an hour or so. >> Exactly, exactly, it's sunny in the morning and I brought an umbrella, who knew. >> Absolutely, so Wayne you've been with Cisco for a few years Why don't you give us a little bit about your background before we get into it. >> Sure, I started out with Cisco as an engineer. Actually before Cisco, a rocket scientist at Raytheon Company, so I had all sorts of fun before I got hooked on the internet stuff. So I've been a data center architect, spent quite a few years in the media area providing mogul applications, as well as some of the content development side of the media part of Cisco And now I'm into service provider markets which is fantastic >> So before we get into service providers give us your impression of the show this year It'd been a few years since I've come and it's changed quite a bit you know. Big crowd here, we're in the DevNet zone definitely some of the buzz of the show here. What's your impression of the show so far? >> I feel a huge amount of energy. I deal with service providers and we've had so many service providers come by our booth. There's a huge amount of excitement about bringing new managed services to market. DNA Center launch was huge for us. We're showing live demonstrations of that at our booth as well, and I feel like it's almost at a tipping point, where we're going to be talking about software defined networking and NFV. It's been a long time coming but now we're actually kind of crossing the chasm hopefully where we'll be sharing with you some pretty big announcements very soon on large customers deploying those exact services at massive scale. >> Yeah, so we love talking about service providers, we're talking to service providers on theCUBE because when you talk about scale, when you talk about pace of change, when you talk about pressures of financials. Well there's very few places where they all come together for the service providers. Why don't tell us about the product solution set that you're working on and what the news is here. >> Sounds great So I'm part of the Managed Services Accelerator group that has developed a new cloud product. It's been around for a couple years. We've had some major deployments namely at Verizon and Vodafone and a couple other tier ones. A couple huge announcements coming out very shortly. But Managed Services Accelerator allows service providers to deploy many different services across a multi-tenant platform that runs exclusively in the cloud. So we'll talk about what cloud native means what some of the services are. But we're able to bring services to market much more quickly than you were ever able to do in the past. We're able to go from service creation to actual service deployment in literally weeks As some of our major SP's, and those services span a wide range of opportunities, like deploying Meraki or deploying Viptela SD-WAN, or deploying a managed routed service Or even deploying DNA center for a managed SD access. So it's a broad spectrum of services that we can help service providers bring to market very quickly. >> Yeah I love that 'cause if you look at the service providers the applications are so critically important. >> It all starts with the app. If you don't have a compelling app nobody wants to buy it. >> Look the public cloud players are adding new application and new services on practically a daily clip these days. And service providers, many of them partnering with the public cloud but there's still lots of things that they need to do themselves, locally or in certain verticals. So give us some insight, what are some of the things your customers are looking for. How do they keep up with that pace of change and how does this offering help them do that? >> So the cool thing about MSX, or Managed Services Accelerator is it provides a service provider platform for multi tenancy, many different customers in one platform many different services from both Cisco and third party vendors, and those services span both physical devices, traditional ISRs, ASRs, third-party Juniper boxes, whatever, as well as VNFs, virtual network functions. That run in a public cloud like AWS or in your private data center, as a service provider or, in a universal CPE, or a virtual branch or for our Cisco folks, ENCS, Enterprise Network Compute System. It's a virtual branch x86, where we can run service chains down there, we provide a wide range of services that provide the ability to configure and deploy multiple services toward a single customer all from one place. Some of the challenges that our service providers have, is that they have many different service offers but each of those service offers is in its own silo. And every time they want to bring a new service to market, they have to spend many millions of dollars trying to integrate whether they're northbound OSS or BSS system. Or integrate with a new set of vendors. We, from a singe cloud platform allow them a single platform to integrate many different services from one place in a beautiful sort of cloud managed way. >> There's a large portfolio that customers need to sort out. One of the areas we're hearing a lot of discussion about has been the SD-WAN, how does that fit into this whole discussion? >> The SD-WAN service is one of our most popular services. It's being deployed at scale at Vodafone and Verizon. The Viptela acquisition for Cisco Cisco SD-WAN, now that it's named, has been very popular in that it allows customers, enterprises to have a choice of NPLS, internet, or even 4G or soon to be 5G backbone networks that they can run the traffic of their choice across. Enterprises want SD-WAN not just for the ability to choose policies and map applications to certain overlays or tunnels. But they're also using it to lower their cost significantly. So they can, from the cloud, kind of like a Meraki cloud. Manage many different devices with a single click of a button, I can push a new policy down in a software defined way to a hundred different devices and maybe move Netflix that might have been running on an NPLS circuit, to a internet access circuit with the click of a button. That's the power that SD-WAN provides and it provides enterprises that capability natively. Service providers offer it as a managed service, enterprises can log into our MSX platform and be able to control the traffic that they want and steer it with clicks of buttons, not large amounts of configurations. >> Wayne you've mentioned a couple of very large customers that are using this, is this something that is geared for the top 20 large service providers or will it hit hundreds, thousands of services providers around the globe? >> It's really both, it's targeted, and I can say that because architecturally it's a cloud-native platform. It's built with Docker containers, Kubernetes microservice framework, when Google, it's built on a similar architecture of Google. So when Google's rolling out 1,500 services a year, the MSX platform's goal is to get more than 100 services a year rolled out in this platform. So the service creation portion of it allows large service providers, like Verizon or Vodafone or many others to be able to offer those services more efficiently from the cloud and manage them. But the smaller guys, are also able to tap into these services because we offer a kind of a pay as you grow model. We offer a one year of three year term license to purchase the product which is very small And then there's like a little three to five dollar a month management fee for every device you have under management. So there's a very low cost of entry that you're able to tap into this powerful cloud management platform and offer any sort of service that you want for both large service providers as well as small service providers. >> You touched on some of the pricing there. How does that work today, do you look and feel like you know most cloud models today, really more of a Opex and a Capex? >> It's a tremendous opex savings. This is really an opex play when we look at it from a service provider perspective. Service providers are challenged today because they're trying to offer many different services but each service is a unique silo. And they've got to integrate a wide range of different pieces of that silo for every new service. So in a multi-tenant environment I need to have billing, I need to have northbound OSS BSS integration, I need to have a consistent user interface, I need to have notifications, I need to have tenancy, user roles, single sign on. Do I really want to integrate that uniquely for every new service or do I want to have Managed Services Accelerator manage all of that for me and then the service provider can focus more on the service. So it's an opex play to allow them to not only bring new services to market more quickly, but once they're brought to market through both REST APIs and our Network Services Orchestrator configure them very rapidly. >> Wanna step back for a second. When we look at this whole kinda cloud discussion for a while, you know there was discussion of like oh well maybe, how much is really going to go to the public cloud or fighting the public cloud and the service providers were caught being pulled from the old world in the new world. I don't think we've really hit equilibrium yet but service providers really understand and the message that I've heard from Cisco this week and really for the last year or so has been that hybrid multi cloud world is where we live. It's not going to be an answer. We always know everything's an additive in IT and nothing really ever dies. What do you hear from your service provider partners you know, how are they feeling, what do they think about, the changing dynamic of this world? >> Like John Chambers used to say, "We need to deal with the world the way it is "and not the way we'd wish it to be." Service providers realize that it is a multi cloud environment. They need to be able to accommodate different services and different service models based on what their customers are looking for. They also need to be able to achieve operational efficiency when they're rolling out those services to be able to make it commercially viable. So what we're hearing from our service providers is that they want a multi service environment that MSX, or Managed Services Accelerator, provides them where they can manage maybe deploying a device in AWS, to front end and application space for a particular tenant and then connect that device. Whether it be a Meraki virtual managed device or a Viptela vEdge device, to an SD-WAN that's connected to rest of their enterprises And then when they walk out of one of their branch devices and they get on their mobile network we can enable through Cisco, the connection between 5G slicing and a SD-WAN service so that the service that they get on their phone and the policies that are applied on their phone are identical to those that they've worked so hard to deploy actually in their branches, in their headquarters, in their campuses, or in the cloud. It is a multi-cloud environment. Almost every single application domain spans all of those components. MSX, or Managed Services Accelerator, allows you to kind of centrally manage all of those functions from one place. >> Okay, so Wayne MSX, new branding, some new features some new customers, give us a little bit of what we can expect to see through the rest of this year with this solution. >> You're going to see some pretty big announcements of some new service providers doing some new services with MSX. Those new services include the deployment of new SD-WAN networks, very exciting on our virtual branch platform where our ENCS, or X86 based branch will be rolled out at large scale with a couple service providers. Where you can decide what VNFs you want to put on there. What service chains they represent and how you want to monetize them. Been talking about universal CPs for a long time, this is the year it's going to happen at scale using MSX and ENCS, and then you're going to see managed devices cloud connect to AWS and wide range of other services including Meraki and others that build out the portfolio. But bottom line with MSX is, we know our service providers want a diversity of services. It's a service creation platform. We expect service providers to bring their service to the table, we can accommodate it, monetize it, bring it to market very rapidly. And I would expect to hear a wide range of wonderful announcements from Cisco and the MSX team in the next few months. >> Alright well Wayne really appreciate you bringing this service provider angle to us. We're at the end of two days of three days of live coverage covering all the angles from Cisco Live 2018 here in Orlando, be sure to check out theCUBE.net for all the replays as well as all the shows that we will be at in the future. For Stu Miniman and my co-host John Furrier, thanks so much for watching theCUBE. (gentle music)