IBM, The Next 3 Years of Life Sciences Innovation
>>Welcome to this exclusive discussion. IBM, the next three years of life sciences, innovation, precision medicine, advanced clinical data management and beyond. My name is Dave Volante from the Cuban today, we're going to take a deep dive into some of the most important trends impacting the life sciences industry in the next 60 minutes. Yeah, of course. We're going to hear how IBM is utilizing Watson and some really important in life impacting ways, but we'll also bring in real world perspectives from industry and the independent analyst view to better understand how technology and data are changing the nature of precision medicine. Now, the pandemic has created a new reality for everyone, but especially for life sciences companies, one where digital transformation is no longer an option, but a necessity. Now the upside is the events of the past 22 months have presented an accelerated opportunity for innovation technology and real world data are coming together and being applied to support life science, industry trends and improve drug discovery, clinical development, and treatment commercialization throughout the product life cycle cycle. Now I'd like to introduce our esteemed panel. Let me first introduce Lorraine Marshawn, who is general manager of life sciences at IBM Watson health. Lorraine leads the organization dedicated to improving clinical development research, showing greater treatment value in getting treatments to patients faster with differentiated solutions. Welcome Lorraine. Great to see you. >>Dr. Namita LeMay is the research vice-president of IDC, where she leads the life sciences R and D strategy and technology program, which provides research based advisory and consulting services as well as market analysis. The loan to meta thanks for joining us today. And our third panelist is Greg Cunningham. Who's the director of the RWE center of excellence at Eli Lilly and company. Welcome, Greg, you guys are doing some great work. Thanks for being here. Thanks >>Dave. >>Now today's panelists are very passionate about their work. If you'd like to ask them a question, please add it to the chat box located near the bottom of your screen, and we'll do our best to answer them all at the end of the panel. Let's get started. Okay, Greg, and then Lorraine and meta feel free to chime in after one of the game-changers that you're seeing, which are advancing precision medicine. And how do you see this evolving in 2022 and into the next decade? >>I'll give my answer from a life science research perspective. The game changer I see in advancing precision medicine is moving from doing research using kind of a single gene mutation or kind of a single to look at to doing this research using combinations of genes and the potential that this brings is to bring better drug targets forward, but also get the best product to a patient faster. Um, I can give, uh, an example how I see it playing out in the last decade. Non-oncology real-world evidence. We've seen an evolution in precision medicine as we've built out the patient record. Um, as we've done that, uh, the marketplace has evolved rapidly, uh, with, particularly for electronic medical record data and genomic data. And we were pretty happy to get our hands on electronic medical record data in the early days. And then later the genetic test results were combined with this data and we could do research looking at a single mutation leading to better patient outcomes. But I think where we're going to evolve in 2022 and beyond is with genetic testing, growing and oncology, providing us more data about that patient. More genes to look at, uh, researchers can look at groups of genes to analyze, to look at that complex combination of gene mutations. And I think it'll open the door for things like using artificial intelligence to help researchers plow through the complex number of permutations. When you think about all those genes you can look at in combination, right? Lorraine yes. Data and machine intelligence coming together, anything you would add. >>Yeah. Thank you very much. Well, I think that Greg's response really sets us up nicely, particularly when we think about the ability to utilize real-world data in the farm industry across a number of use cases from discovery to development to commercial, and, you know, in particular, I think with real world data and the comments that Greg just made about clinical EMR data linked with genetic or genomic data, a real area of interest in one that, uh, Watson health in particular is focused on the idea of being able to create a data exchange so that we can bring together claims clinical EMR data, genomics data, increasingly wearables and data directly from patients in order to create a digital health record that we like to call an intelligent patient health record that basically gives us the digital equivalent of a real life patient. And these can be used in use cases in randomized controlled clinical trials for synthetic control arms or natural history. They can be used in order to track patients' response to drugs and look at outcomes after they've been on various therapies as, as Greg is speaking to. And so I think that, you know, the promise of data and technology, the AI that we can apply on that is really helping us advance, getting therapies to market faster, with better information, lower sample sizes, and just a much more efficient way to do drug development and to track and monitor outcomes in patients. >>Great. Thank you for that now to meta, when I joined IDC many, many years ago, I really didn't know much about the industry that I was covering, but it's great to see you as a former practitioner now bringing in your views. What do you see as the big game-changers? >>So, um, I would, I would agree with what both Lorraine and Greg said. Um, but one thing that I'd just like to call out is that, you know, everyone's talking about big data, the volume of data is growing. It's growing exponentially actually about, I think 30% of data that exists today is healthcare data. And it's growing at a rate of 36%. That's huge, but then it's not just about the big, it's also about the broad, I think, um, you know, I think great points that, uh, Lorraine and Greg brought out that it's, it's not just specifically genomic data, it's multi omic data. And it's also about things like medical history, social determinants of health, behavioral data. Um, and why, because when you're talking about precision medicine and we know that we moved away from the, the terminology of personalized to position, because you want to talk about disease stratification and you can, it's really about convergence. >>Um, if you look at a recent JAMA paper in 2021, only 1% of EHS actually included genomic data. So you really need to have that ability to look at data holistically and IDC prediction is seeing that investments in AI to fuel in silico, silicone drug discovery will double by 20, 24, but how are you actually going to integrate all the different types of data? Just look at, for example, diabetes, you're on type two diabetes, 40 to 70% of it is genetically inherited and you have over 500 different, uh, genetic low side, which could be involved in playing into causing diabetes. So the earlier strategy, when you are looking at, you know, genetic risk scoring was really single trait. Now it's transitioning to multi rate. And when you say multi trade, you really need to get that integrated view that converging for you to, to be able to drive a precision medicine strategy. So to me, it's a very interesting contrast on one side, you're really trying to make it specific and focused towards an individual. And on the other side, you really have to go wider and bigger as well. >>Uh, great. I mean, the technology is enabling that convergence and the conditions are almost mandating it. Let's talk about some more about data that the data exchange and building an intelligent health record, as it relates to precision medicine, how will the interoperability of real-world data, you know, create that more cohesive picture for the, for the patient maybe Greg, you want to start, or anybody else wants to chime in? >>I think, um, the, the exciting thing from, from my perspective is the potential to gain access to data. You may be weren't aware of an exchange in implies that, uh, some kind of cataloging, so I can see, uh, maybe things that might, I just had no idea and, uh, bringing my own data and maybe linking data. These are concepts that I think are starting to take off in our field, but it, it really opens up those avenues to when you, you were talking about data, the robustness and richness volume isn't, uh, the only thing is Namita said, I think really getting to a rich high-quality data and, and an exchange offers a far bigger, uh, range for all of us to, to use, to get our work done. >>Yeah. And I think, um, just to chime, chime into that, uh, response from Greg, you know, what we hear increasingly, and it's pretty pervasive across the industry right now, because this ability to create an exchange or the intelligent, uh, patient health record, these are new ideas, you know, they're still rather nascent and it always is the operating model. Uh, that, that is the, uh, the difficult challenge here. And certainly that is the case. So we do have data in various silos. Uh, they're in patient claims, they're in electronic medical records, they might be in labs, images, genetic files on your smartphone. And so one of the challenges with this interoperability is being able to tap into these various sources of data, trying to identify quality data, as Greg has said, and the meta is underscoring as well. Uh, we've gotta be able to get to the depth of data that's really meaningful to us, but then we have to have technology that allows us to pull this data together. >>First of all, it has to be de-identified because of security and patient related needs. And then we've gotta be able to link it so that you can create that likeness in terms of the record, it has to be what we call cleaned or curated so that you get the noise and all the missing this out of it, that's a big step. And then it needs to be enriched, which means that the various components that are going to be meaningful, you know, again, are brought together so that you can create that cohort of patients, that individual patient record that now is useful in so many instances across farm, again, from development, all the way through commercial. So the idea of this exchange is to enable that exact process that I just described to have a, a place, a platform where various entities can bring their data in order to have it linked and integrated and cleaned and enriched so that they get something that is a package like a data package that they can actually use. >>And it's easy to plug into their, into their studies or into their use cases. And I think a really important component of this is that it's gotta be a place where various third parties can feel comfortable bringing their data together in order to match it with other third parties. That is a, a real value, uh, that the industry is increasingly saying would be important to them is, is the ability to bring in those third-party data sets and be able to link them and create these, these various data products. So that's really the idea of the data exchange is that you can benefit from accessing data, as Greg mentioned in catalogs that maybe are across these various silos so that you can do the kind of work that you need. And that we take a lot of the hard work out of it. I like to give an example. >>We spoke with one of our clients at one of the large pharma companies. And, uh, I think he expressed it very well. He said, what I'd like to do is have like a complete dataset of lupus. Lupus is an autoimmune condition. And I've just like to have like the quintessential lupus dataset that I can use to run any number of use cases across it. You know, whether it's looking at my phase one trial, whether it's selecting patients and enriching for later stage trials, whether it's understanding patient responses to different therapies as I designed my studies. And so, you know, this idea of adding in therapeutic area indication, specific data sets and being able to create that for the industry in the meta mentioned, being able to do that, for example, in diabetes, that's how pharma clients need to have their needs met is through taking the hard workout, bringing the data together, having it very therapeutically enriched so that they can use it very easily. >>Thank you for that detail and the meta. I mean, you can't do this with humans at scale in technology of all the things that Lorraine was talking about, the enrichment, the provenance, the quality, and of course, it's got to be governed. You've got to protect the privacy privacy humans just can't do all that at massive scale. Can it really tech that's where technology comes in? Doesn't it and automation. >>Absolutely. >>I, couldn't more, I think the biggest, you know, whether you talk about precision medicine or you talk about decentralized trials, I think there's been a lot of hype around these terms, but what is really important to remember is technology is the game changer and bringing all that data together is really going to be the key enabler. So multimodal data integration, looking at things like security or federated learning, or also when you're talking about leveraging AI, you're not talking about things like bias or other aspects around that are, are critical components that need to be addressed. I think the industry is, uh, it's partly, still trying to figure out the right use cases. So it's one part is getting together the data, but also getting together the right data. Um, I think data interoperability is going to be the absolute game changer for enabling this. Uh, but yes, um, absolutely. I can, I can really couldn't agree more with what Lorraine just said, that it's bringing all those different aspects of data together to really drive that precision medicine strategy. >>Excellent. Hey Greg, let's talk about protocols decentralized clinical trials. You know, they're not new to life silences, but, but the adoption of DCTs is of course sped up due to the pandemic we've had to make trade-offs obviously, and the risk is clearly worth it, but you're going to continue to be a primary approach as we enter 2022. What are the opportunities that you see to improve? How DCTs are designed and executed? >>I see a couple opportunities to improve in this area. The first is, uh, back to technology. The infrastructure around clinical trials has, has evolved over the years. Uh, but now you're talking about moving away from kind of site focus to the patient focus. Uh, so with that, you have to build out a new set of tools that would help. So for example, one would be novel trial, recruitment, and screening, you know, how do you, how do you find patients and how do you screen them to see if are they, are they really a fit for, for this protocol? Another example, uh, very important documents that we have to get is, uh, you know, the e-consent that someone's says, yes, I'm, well, I understand this study and I'm willing to do it, have to do that in a more remote way than, than we've done in the past. >>Um, the exciting area, I think, is the use of, uh, eco, uh, E-Pro where we capture data from the patient using apps, devices, sensors. And I think all of these capabilities will bring a new way of, of getting data faster, uh, in, in this kind of model. But the exciting thing from, uh, our perspective at Lily is it's going to bring more data about the patient from the patient, not just from the healthcare provider side, it's going to bring real data from these apps, devices and sensors. The second thing I think is using real-world data to identify patients, to also improve protocols. We run scenarios today, looking at what's the impact. If you change a cut point on a, a lab or a biomarker to see how that would affect, uh, potential enrollment of patients. So it, it definitely the real-world data can be used to, to make decisions, you know, how you improve these protocols. >>But the thing that we've been at the challenge we've been after that this probably offers the biggest is using real-world data to identify patients as we move away from large academic centers that we've used for years as our sites. Um, you can maybe get more patients who are from the rural areas of our countries or not near these large, uh, uh, academic centers. And we think it'll bring a little more diversity to the population, uh, who who's, uh, eligible, but also we have their data, so we can see if they really fit the criteria and the probability they are a fit for the trial is much higher than >>Right. Lorraine. I mean, your clients must be really pushing you to help them improve DCTs what are you seeing in the field? >>Yes, in fact, we just attended the inaugural meeting of the de-central trials research Alliance in, uh, in Boston about two weeks ago where, uh, all of the industry came together, pharma companies, uh, consulting vendors, just everyone who's been in this industry working to help define de-central trials and, um, think through what its potential is. Think through various models in order to enable it, because again, a nascent concept that I think COVID has spurred into action. Um, but it is important to take a look at the definition of DCT. I think there are those entities that describe it as accessing data directly from the patient. I think that is a component of it, but I think it's much broader than that. To me, it's about really looking at workflows and processes of bringing data in from various remote locations and enabling the whole ecosystem to work much more effectively along the data continuum. >>So a DCT is all around being able to make a site more effective, whether it's being able to administer a tele visit or the way that they're getting data into the electronic data captures. So I think we have to take a look at the, the workflows and the operating models for enabling de-central trials and a lot of what we're doing with our own technology. Greg mentioned the idea of electronic consent of being able to do electronic patient reported outcomes, other collection of data directly from the patient wearables tele-health. So these are all data acquisition, methodologies, and technologies that, that we are enabling in order to get the best of the data into the electronic data capture system. So edit can be put together and processed and submitted to the FDA for regulatory use for clinical trial type submission. So we're working on that. I think the other thing that's happening is the ability to be much more flexible and be able to have more cloud-based storage allows you to be much more inter-operable to allow API APIs in order to bring in the various types of data. >>So we're really looking at technology that can make us much more fluid and flexible and accommodating to all the ways that people live and work and manage their health, because we have to reflect that in the way we collect those data types. So that's a lot of what we're, what we're focused on. And in talking with our clients, we spend also a lot of time trying to understand along the, let's say de-central clinical trials continuum, you know, w where are they? And I know Namita is going to talk a little bit about research that they've done in terms of that adoption curve, but because COVID sort of forced us into being able to collect data in more remote fashion in order to allow some of these clinical trials to continue during COVID when a lot of them had to stop. What we want to make sure is that we understand and can codify some of those best practices and that we can help our clients enable that because the worst thing that would happen would be to have made some of that progress in that direction. >>But then when COVID is over to go back to the old ways of doing things and not bring some of those best practices forward, and we actually hear from some of our clients in the pharma industry, that they worry about that as well, because we don't yet have a system for operationalizing a de-central trial. And so we really have to think about the protocol it's designed, the indication, the types of patients, what makes sense to decentralize, what makes sense to still continue to collect data in a more traditional fashion. So we're spending a lot of time advising and consulting with our patients, as well as, I mean, with our clients, as well as CRS, um, on what the best model is in terms of their, their portfolio of studies. And I think that's a really important aspect of trying to accelerate the adoption is making sure that what we're doing is fit for purpose, just because you can use technology doesn't mean you should, it really still does require human beings to think about the problem and solve them in a very practical way. >>Great, thank you for that. Lorraine. I want to pick up on some things that Lorraine was just saying. And then back to what Greg was saying about, uh, uh, DCTs becoming more patient centric, you had a prediction or IDC, did I presume your fingerprints were on it? Uh, that by 20 25, 70 5% of trials will be patient-centric decentralized clinical trials, 90% will be hybrid. So maybe you could help us understand that relationship and what types of innovations are going to be needed to support that evolution of DCT. >>Thanks, Dave. Yeah. Um, you know, sorry, I, I certainly believe that, uh, you know, uh, Lorraine was pointing out of bringing up a very important point. It's about being able to continue what you have learned in over the past two years, I feel this, you know, it was not really a digital revolution. It was an attitude. The revolution that this industry underwent, um, technology existed just as clinical trials exist as drugs exist, but there was a proof of concept that technology works that this model is working. So I think that what, for example, telehealth, um, did for, for healthcare, you know, transition from, from care, anywhere care, anytime, anywhere, and even becoming predictive. That's what the decentralized clinical trials model is doing for clinical trials today. Great points again, that you have to really look at where it's being applied. You just can't randomly apply it across clinical trials. >>And this is where the industry is maturing the complexity. Um, you know, some people think decentralized trials are very simple. You just go and implement these centralized clinical trials, but it's not that simple as it it's being able to define, which are the right technologies for that specific, um, therapeutic area for that specific phase of the study. It's being also a very important point is bringing in the patient's voice into the process. Hey, I had my first telehealth visit sometime last year and I was absolutely thrilled about it. I said, no time wasted. I mean, everything's done in half an hour, but not all patients want that. Some want to consider going back and you, again, need to customize your de-centralized trials model to, to the, to the type of patient population, the demographics that you're dealing with. So there are multiple factors. Um, also stepping back, you know, Lorraine mentioned they're consulting with, uh, with their clients, advising them. >>And I think a lot of, um, a lot of companies are still evolving in their maturity in DCTs though. There's a lot of boys about it. Not everyone is very mature in it. So it's, I think it, one thing everyone's kind of agreeing with is yes, we want to do it, but it's really about how do we go about it? How do we make this a flexible and scalable modern model? How do we integrate the patient's voice into the process? What are the KPIs that we define the key performance indicators that we define? Do we have a playbook to implement this model to make it a scalable model? And, you know, finally, I think what organizations really need to look at is kind of developing a de-centralized mature maturity scoring model, so that I assess where I am today and use that playbook to define, how am I going to move down the line to me reach the next level of maturity. Those were some of my thoughts. Right? >>Excellent. And now remember you, if you have any questions, use the chat box below to submit those questions. We have some questions coming in from the audience. >>At one point to that, I think one common thread between the earlier discussion around precision medicine and around decentralized trials really is data interoperability. It is going to be a big game changer to, to enable both of these pieces. Sorry. Thanks, Dave. >>Yeah. Thank you. Yeah. So again, put your questions in the chat box. I'm actually going to go to one of the questions from the audience. I get some other questions as well, but when you think about all the new data types that are coming in from social media, omics wearables. So the question is with greater access to these new types of data, what trends are you seeing from pharma device as far as developing capabilities to effectively manage and analyze these novel data types? Is there anything that you guys are seeing, um, that you can share in terms of best practice or advice >>I'll offer up? One thing, I think the interoperability isn't quite there today. So, so what's that mean you can take some of those data sources. You mentioned, uh, some Omix data with, uh, some health claims data and it's the, we spend too much time and in our space putting data to gather the behind the scenes, I think the stat is 80% of the time is assembling the data 20% analyzing. And we've had conversations here at Lilly about how do we get to 80% of the time is doing analysis. And it really requires us to think, take a step back and think about when you create a, uh, a health record, you really have to be, have the same plugins so that, you know, data can be put together very easily, like Lorraine mentioned earlier. And that comes back to investing in as an industry and standards so that, you know, you have some of data standard, we all can agree upon. And then those plugs get a lot easier and we can spend our time figuring out how to make, uh, people's lives better with healthcare analysis versus putting data together, which is not a lot of fun behind the scenes. >>Other thoughts on, um, on, on how to take advantage of sort of novel data coming from things like devices in the nose that you guys are seeing. >>I could jump in there on your end. Did you want to go ahead? Okay. So, uh, I mean, I think there's huge value that's being seen, uh, in leveraging those multiple data types. I think one area you're seeing is the growth of prescription digital therapeutics and, um, using those to support, uh, you know, things like behavioral health issues and a lot of other critical conditions it's really taking you again, it is interlinking real-world data cause it's really taking you to the patient's home. Um, and it's, it's, there's a lot of patients in the city out here cause you can really monitor the patient real-time um, without the patient having coming, you know, coming and doing a site visit once in say four weeks or six weeks. So, um, I, and, uh, for example, uh, suicidal behavior and just to take an example, if you can predict well in advance, based on those behavioral parameters, that this is likely to trigger that, uh, the value of it is enormous. Um, again, I think, uh, Greg made a valid point about the industry still trying to deal with resolving the data interoperability issue. And there are so many players that are coming in the industry right now. There are really few that have the maturity and the capability to address these challenges and provide intelligence solutions. >>Yeah. Maybe I'll just, uh, go ahead and, uh, and chime into Nikita's last comment there. I think that's what we're seeing as well. And it's very common, you know, from an innovation standpoint that you have, uh, a nascent industry or a nascent innovation sort of situation that we have right now where it's very fragmented. You have a lot of small players, you have some larger entrenched players that have the capability, um, to help to solve the interoperability challenge, the standards challenge. I mean, I think IBM Watson health is certainly one of the entities that has that ability and is taking a stand in the industry, uh, in order to, to help lead in that way. Others are too. And, uh, but with, with all of the small companies that are trying to find interesting and creative ways to gather that data, it does create a very fragmented, uh, type of environment and ecosystem that we're in. >>And I think as we mature, as we do come forward with the KPIs, the operating models, um, because you know, the devil's in the detail in terms of the operating models, it's really exciting to talk these trends and think about the future state. But as Greg pointed out, if you're spending 80% of your time just under the hood, you know, trying to get the engine, all the spark plugs to line up, um, that's, that's just hard grunt work that has to be done. So I think that's where we need to be focused. And I think bringing all the data in from these disparate tools, you know, that's fine, we need, uh, a platform or the API APIs that can enable that. But I think as we, as we progress, we'll see more consolidation, uh, more standards coming into play, solving the interoperability types of challenges. >>And, um, so I think that's where we should, we should focus on what it's going to take and in three years to really codify this and make it, so it's a, it's a well hum humming machine. And, you know, I do know having also been in pharma that, uh, there's a very pilot oriented approach to this thing, which I think is really healthy. I think large pharma companies tend to place a lot of bets with different programs on different tools and technologies, to some extent to see what's gonna stick and, you know, kind of with an innovation mindset. And I think that's good. I think that's kind of part of the process of figuring out what is going to work and, and helping us when we get to that point of consolidating our model and the technologies going forward. So I think all of the efforts today are definitely driving us to something that feels much more codified in the next three to five years. >>Excellent. We have another question from the audience it's sort of related to the theme of this discussion, given the FDA's recent guidance on using claims and electronic health records, data to support regulatory decision-making what advancements do you think we can expect with regards to regulatory use of real-world data in the coming years? It's kind of a two-parter so maybe you guys can collaborate on this one. What role that, and then what role do you think industry plays in influencing innovation within the regulatory space? >>All right. Well, it looks like you've stumped the panel there. Uh, Dave, >>It's okay to take some time to think about it, right? You want me to repeat it? You guys, >>I, you know, I I'm sure that the group is going to chime into this. I, so the FDA has issued a guidance. Um, it's just, it's, it's exactly that the FDA issues guidances and says that, you know, it's aware and supportive of the fact that we need to be using real-world data. We need to create the interoperability, the standards, the ways to make sure that we can include it in regulatory submissions and the like, um, and, and I sort of think about it akin to the critical path initiative, probably, I don't know, 10 or 12 years ago in pharma, uh, when the FDA also embrace this idea of the critical path and being able to allow more in silico modeling of clinical trial, design and development. And it really took the industry a good 10 years, um, you know, before they were able to actually adopt and apply and take that sort of guidance or openness from the FDA and actually apply it in a way that started to influence the way clinical trials were designed or the in silico modeling. >>So I think the second part of the question is really important because while I think the FDA is saying, yes, we recognize it's important. Uh, we want to be able to encourage and support it. You know, when you look for example, at synthetic control arms, right? The use of real-world data in regulatory submissions over the last five or six years, all of the use cases have been in oncology. I think there've been about maybe somewhere between eight to 10 submissions. And I think only one actually was a successful submission, uh, in all those situations, the real-world data arm of that oncology trial that synthetic control arm was actually rejected by the FDA because of lack of completeness or, you know, equalness in terms of the data. So the FDA is not going to tell us how to do this. So I think the second part of the question, which is what's the role of industry, it's absolutely on industry in order to figure out exactly what we're talking about, how do we figure out the interoperability, how do we apply the standards? >>How do we ensure good quality data? How do we enrich it and create the cohort that is going to be equivalent to the patient in the real world, uh, in the end that would otherwise be in the clinical trial and how do we create something that the FDA can agree with? And we'll certainly we'll want to work with the FDA in order to figure out this model. And I think companies are already doing that, but I think that the onus is going to be on industry in order to figure out how you actually operationalize this and make it real. >>Excellent. Thank you. Um, question on what's the most common misconception that clinical research stakeholders with sites or participants, et cetera might have about DCTs? >>Um, I could jump in there. Right. So, sure. So, um, I think in terms of misconceptions, um, I think the communist misconceptions that sites are going away forever, which I do not think is really happening today. Then the second, second part of it is that, um, I think also the perspective that patients are potentially neglected because they're moving away. So we'll pay when I, when I, what I mean by that neglected, perhaps it was not the appropriate term, but the fact that, uh, will patients will, will, will patient engagement continue, will retention be strong since the patients are not interacting in person with the investigator quite as much. Um, so site retention and patient retention or engagement from both perspectives, I think remains a concern. Um, but actually if you look at, uh, look at, uh, assessments that have been done, I think patients are more than happy. >>Majority of the patients have been really happy about, about the new model. And in fact, sites are, seem to increase, have increased investments in technology by 50% to support this kind of a model. So, and the last thing is that, you know, decentralized trials is a great model and it can be applied to every possible clinical trial. And in another couple of weeks, the whole industry will be implementing only decentralized trials. I think we are far away from that. It's just not something that you would implement across every trial. And we discussed that already. So you have to find the right use cases for that. So I think those were some of the key misconceptions I'd say in the industry right now. Yeah. >>Yeah. And I would add that the misconception I hear the most about is, uh, the, the similar to what Namita said about the sites and healthcare professionals, not being involved to the level that they are today. Uh, when I mentioned earlier in our conversation about being excited about capturing more data, uh, from the patient that was always in context of, in addition to, you know, healthcare professional opinion, because I think both of them bring that enrichment and a broader perspective of that patient experience, whatever disease they're faced with. So I, I think some people think is just an all internet trial with just someone, uh, putting out there their own perspective. And, and it's, it's a combination of both to, to deliver a robust data set. >>Yeah. Maybe I'll just comment on, it reminds me of probably 10 or 15 years ago, maybe even more when, um, really remote monitoring was enabled, right? So you didn't have to have the study coordinator traveled to the investigative site in order to check the temperature of the freezer and make sure that patient records were being completed appropriately because they could have a remote visit and they could, they could send the data in a via electronic data and do the monitoring visit, you know, in real time, just the way we're having this kind of communication here. And there was just so much fear that you were going to replace or supplant the personal relationship between the sites between the study coordinators that you were going to, you know, have to supplant the role of the monitor, which was always a very important role in clinical trials. >>And I think people that really want to do embrace the technology and the advantages that it provided quickly saw that what it allowed was the monitor to do higher value work, you know, instead of going in and checking the temperature on a freezer, when they did have their visit, they were able to sit and have a quality discussion for example, about how patient recruitment was going or what was coming up in terms of the consent. And so it created a much more high touch, high quality type of interaction between the monitor and the investigative site. And I think we should be looking for the same advantages from DCT. We shouldn't fear it. We shouldn't think that it's going to supplant the site or the investigator or the relationship. It's our job to figure out where the technology fits and clinical sciences always got to be high touch combined with high-tech, but the high touch has to lead. And so getting that balance right? And so that's going to happen here as well. We will figure out other high value work, meaningful work for the site staff to do while they let the technology take care of the lower quality work, if you will, or the lower value work, >>That's not an, or it's an, and, and you're talking about the higher value work. And it, it leads me to something that Greg said earlier about the 80, 20, 80% is assembly. 20% is actually doing the analysis and that's not unique to, to, to life sciences, but, but sort of question is it's an organizational question in terms of how we think about data and how we approach data in the future. So Bamyan historically big data in life sciences in any industry really is required highly centralized and specialized teams to do things that the rain was talking about, the enrichment, the provenance, the data quality, the governance, the PR highly hyper specialized teams to do that. And they serve different constituencies. You know, not necessarily with that, with, with context, they're just kind of data people. Um, so they have responsibility for doing all those things. Greg, for instance, within literally, are you seeing a move to, to, to democratize data access? We've talked about data interoperability, part of that state of sharing, um, that kind of breaks that centralized hold, or is that just too far in the future? It's too risky in this industry? >>Uh, it's actually happening now. Uh, it's a great point. We, we try to classify what people can do. And, uh, the example would be you give someone who's less analytically qualified, uh, give them a dashboard, let them interact with the data, let them better understand, uh, what, what we're seeing out in the real world. Uh, there's a middle user, someone who you could give them, they can do some analysis with the tool. And the nice thing with that is you have some guardrails around that and you keep them in their lane, but it allows them to do some of their work without having to go ask those centralized experts that, that you mentioned their precious resources. And that's the third group is those, uh, highly analytical folks that can, can really deliver, uh, just value beyond. But when they're doing all those other things, uh, it really hinders them from doing what we've been talking about is the high value stuff. So we've, we've kind of split into those. We look at people using data in one of those three lanes and it, and it has helped I think, uh, us better not try to make a one fit solution for, for how we deliver data and analytic tools for people. Right. >>Okay. I mean, DCT hot topic with the, the, the audience here. Another question, um, what capabilities do sponsors and CRS need to develop in-house to pivot toward DCT? >>Should I jump in here? Yeah, I mean, um, I think, you know, when, when we speak about DCTs and when I speak with, uh, folks around in the industry, I, it takes me back to the days of risk-based monitoring. When it was first being implemented, it was a huge organizational change from the conventional monitoring models to centralize monitoring and risk-based monitoring, it needs a mental reset. It needs as Lorraine had pointed out a little while ago, restructuring workflows, re redefining processes. And I think that is one big piece. That is, I think the first piece, when, you know, when you're implementing a new model, I think organizational change management is a big piece of it because you are disturbing existing structures, existing methods. So getting that buy-in across the organization towards the new model, seeing what the value add in it. And where do you personally fit into that story? >>How do your workflows change, or how was your role impacted? I think without that this industry will struggle. So I see organizations, I think, first trying to work on that piece to build that in. And then of course, I also want to step back for the second to the, uh, to the point that you brought out about data democratization. And I think Greg Greg gave an excellent point, uh, input about how it's happening in the industry. But I would also say that the data democratization really empowerment of, of, of the stakeholders also includes the sites, the investigators. So what is the level of access to data that you know, that they have now, and is it, uh, as well as patients? So see increasingly more and more companies trying to provide access to patients finally, it's their data. So why shouldn't they have some insights to it, right. So access to patients and, uh, you know, the 80, 20 part of it. Uh, yes, he's absolutely right that, uh, we want to see that flip from, uh, 20%, um, you know, focusing on, on actually integrating the data 80% of analytics, but the real future will be coming in when actually the 20 and 18 has gone. And you actually have analysts the insights out on a silver platter. That's kind of wishful thinking, some of the industries is getting there in small pieces, but yeah, then that's just why I should, why we share >>Great points. >>And I think that we're, we're there in terms that like, I really appreciate the point around democratizing the data and giving the patient access ownership and control over their own data. I mean, you know, we see the health portals that are now available for patients to view their own records, images, and labs, and claims and EMR. We have blockchain technology, which is really critical here in terms of the patient, being able to pull all of their own data together, you know, in the blockchain and immutable record that they can own and control if they want to use that to transact clinical trial types of opportunities based on their data, they can, or other real world scenarios. But if they want to just manage their own data because they're traveling and if they're in a risky health situation, they've got their own record of their health, their health history, uh, which can avoid, you know, medical errors occurring. So, you know, even going beyond life sciences, I think this idea of democratizing data is just good for health. It's just good for people. And we definitely have the technology that can make it a reality. Now >>You're here. We have just about 10 minutes left and now of course, now all the questions are rolling in like crazy from the crowd. Would it be curious to know if there would be any comments from the panel on cost comparison analysis between traditional clinical trials in DCTs and how could the outcome effect the implementation of DCTs any sort of high-level framework you can share? >>I would say these are still early days to, to drive that analysis because I think many companies are, um, are still in the early stages of implementation. They've done a couple of trials. The other part of it that's important to keep in mind is, um, is for organizations it's, they're at a stage of, uh, of being on the learning curve. So when you're, you're calculating the cost efficiencies, if ideally you should have had two stakeholders involved, you could have potentially 20 stakeholders involved because everyone's trying to learn the process and see how it's going to be implemented. So, um, I don't think, and the third part of it, I think is organizations are still defining their KPIs. How do you measure it? What do you measure? So, um, and even still plugging in the pieces of technology that they need to fit in, who are they partnering with? >>What are the pieces of technology they're implementing? So I don't think there is a clear cut as answered at this stage. I think as you scale this model, the efficiencies will be seen. It's like any new technology or any new solution that's implemented in the first stages. It's always a little more complex and in fact sometimes costs extra. But as, as you start scaling it, as you establish your workflows, as you streamline it, the cost efficiencies will start becoming evident. That's why the industry is moving there. And I think that's how it turned out on the long run. >>Yeah. Just make it maybe out a comment. If you don't mind, the clinical trials are, have traditionally been costed are budgeted is on a per patient basis. And so, you know, based on the difficulty of the therapeutic area to recruit a rare oncology or neuromuscular disease, there's an average that it costs in order to find that patient and then execute the various procedures throughout the clinical trial on that patient. And so the difficulty of reaching the patient and then the complexity of the trial has led to what we might call a per patient stipend, which is just the metric that we use to sort of figure out what the average cost of a trial will be. So I think to point, we're going to have to see where the ability to adjust workflows, get to patients faster, collect data more easily in order to make the burden on the site, less onerous. I think once we start to see that work eases up because of technology, then I think we'll start to see those cost equations change. But I think right now the system isn't designed in order to really measure the economic benefit of de-central models. And I think we're going to have to sort of figure out what that looks like as we go along and since it's patient oriented right now, we'll have to say, well, you know, how does that work, ease up? And to those costs actually come down and then >>Just scale, it's going to be more, more clear as the media was saying, next question from the audiences, it's kind of a best fit question. You all have touched on this, but let me just ask it is what examples in which, in which phases suit DCT in its current form, be it fully DCT or hybrid models, none of our horses for courses question. >>Well, I think it's kind of, uh, it's, it's it's has its efficiencies, obviously on the later phases, then the absolute early phase trials, those are not the ideal models for DCTs I would say so. And again, the logic is also the fact that, you know, when you're, you're going into the later phase trials, the volume of number of patients is increasing considerably to the point that Lorraine brought up about access to the patients about patient selection. The fact, I think what one should look at is really the advantages that it brings in, in terms of, you know, patient access in terms of patient diversity, which is a big piece that, um, the cities are enabling. So, um, if you, if, if you, if you look at the spectrum of, of these advantages and, and just to step back for a moment, if you, if you're looking at costs, like you're looking at things like remote site monitoring, um, is, is a big, big plus, right? >>I mean, uh, site monitoring alone accounts for around a third of the trial costs. So there are so many pieces that fall in together. The challenge actually that comes when you're in defining DCTs and there are, as Rick pointed out multiple definitions of DCTs that are existing, uh, you know, in the industry right now, whether you're talking of what Detroit is doing, or you're talking about acro or Citi or others. But the point is it's a continuum, it's a continuum of different pieces that have been woven together. And so how do you decide which pieces you're plugging in and how does that impact the total cost or the solution that you're implementing? >>Great, thank you. Last question we have in the audience, excuse me. What changes have you seen? Are there others that you can share from the FDA EU APAC, regulators and supporting DCTs precision medicine for approval processes, anything you guys would highlight that we should be aware of? >>Um, I could quickly just add that. I think, um, I'm just publishing a report on de-centralized clinical trials should be published shortly, uh, perspective on that. But I would say that right now, um, there, there was a, in the FDA agenda, there was a plan for a decentralized clinical trials guidance, as far as I'm aware, one has not yet been published. There have been significant guidances that have been published both by email and by, uh, the FDA that, um, you know, around the implementation of clinical trials during the COVID pandemic, which incorporate various technology pieces, which support the DCD model. Um, but I, and again, I think one of the reasons why it's not easy to publish a well-defined guidance on that is because there are so many moving pieces in it. I think it's the Danish, uh, regulatory agency, which has per se published a guidance and revised it as well on decentralized clinical trials. >>Right. Okay. Uh, we're pretty much out of time, but I, I wonder Lorraine, if you could give us some, some final thoughts and bring us home things that we should be watching or how you see the future. >>Well, I think first of all, let me, let me thank the panel. Uh, we really appreciate Greg from Lily and the meta from IDC bringing their perspectives to this conversation. And, uh, I hope that the audience has enjoyed the, uh, the discussion that we've had around the future state of real world data as, as well as DCT. And I think, you know, some of the themes that we've talked about, number one, I think we have a vision and I think we have the right strategies in terms of the future promise of real-world data in any number of different applications. We certainly have talked about the promise of DCT to be more efficient, to get us closer to the patient. I think that what we have to focus on is how we come together as an industry to really work through these very vexing operational issues, because those are always the things that hang us up and whether it's clinical research or whether it's later stage, uh, applications of data. >>We, the healthcare system is still very fragmented, particularly in the us. Um, it's still very, state-based, uh, you know, different states can have different kinds of, uh, of, of cultures and geographic, uh, delineations. And so I think that, you know, figuring out a way that we can sort of harmonize and bring all of the data together, bring some of the models together. I think that's what you need to look to us to do both industry consulting organizations, such as IBM Watson health. And we are, you know, through DTRA and, and other, uh, consortia and different bodies. I think we're all identifying what the challenges are in terms of making this a reality and working systematically on those. >>It's always a pleasure to work with such great panelists. Thank you, Lorraine Marshawn, Dr. Namita LeMay, and Greg Cunningham really appreciate your participation today and your insights. The next three years of life sciences, innovation, precision medicine, advanced clinical data management and beyond has been brought to you by IBM in the cube. You're a global leader in high tech coverage. And while this discussion has concluded, the conversation continues. So please take a moment to answer a few questions about today's panel on behalf of the entire IBM life sciences team and the cube decks for your time and your feedback. And we'll see you next time.
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and the independent analyst view to better understand how technology and data are changing The loan to meta thanks for joining us today. And how do you see this evolving the potential that this brings is to bring better drug targets forward, And so I think that, you know, the promise of data the industry that I was covering, but it's great to see you as a former practitioner now bringing in your Um, but one thing that I'd just like to call out is that, you know, And on the other side, you really have to go wider and bigger as well. for the patient maybe Greg, you want to start, or anybody else wants to chime in? from my perspective is the potential to gain access to uh, patient health record, these are new ideas, you know, they're still rather nascent and of the record, it has to be what we call cleaned or curated so that you get is, is the ability to bring in those third-party data sets and be able to link them and create And so, you know, this idea of adding in therapeutic I mean, you can't do this with humans at scale in technology I, couldn't more, I think the biggest, you know, whether What are the opportunities that you see to improve? uh, very important documents that we have to get is, uh, you know, the e-consent that someone's the patient from the patient, not just from the healthcare provider side, it's going to bring real to the population, uh, who who's, uh, eligible, you to help them improve DCTs what are you seeing in the field? Um, but it is important to take and submitted to the FDA for regulatory use for clinical trial type And I know Namita is going to talk a little bit about research that they've done the adoption is making sure that what we're doing is fit for purpose, just because you can use And then back to what Greg was saying about, uh, uh, DCTs becoming more patient centric, It's about being able to continue what you have learned in over the past two years, Um, you know, some people think decentralized trials are very simple. And I think a lot of, um, a lot of companies are still evolving in their maturity in We have some questions coming in from the audience. It is going to be a big game changer to, to enable both of these pieces. to these new types of data, what trends are you seeing from pharma device have the same plugins so that, you know, data can be put together very easily, coming from things like devices in the nose that you guys are seeing. and just to take an example, if you can predict well in advance, based on those behavioral And it's very common, you know, the operating models, um, because you know, the devil's in the detail in terms of the operating models, to some extent to see what's gonna stick and, you know, kind of with an innovation mindset. records, data to support regulatory decision-making what advancements do you think we can expect Uh, Dave, And it really took the industry a good 10 years, um, you know, before they I think there've been about maybe somewhere between eight to 10 submissions. onus is going to be on industry in order to figure out how you actually operationalize that clinical research stakeholders with sites or participants, Um, but actually if you look at, uh, look at, uh, It's just not something that you would implement across you know, healthcare professional opinion, because I think both of them bring that enrichment and do the monitoring visit, you know, in real time, just the way we're having this kind of communication to do higher value work, you know, instead of going in and checking the the data quality, the governance, the PR highly hyper specialized teams to do that. And the nice thing with that is you have some guardrails around that and you keep them in in-house to pivot toward DCT? That is, I think the first piece, when, you know, when you're implementing a new model, to patients and, uh, you know, the 80, 20 part of it. I mean, you know, we see the health portals that We have just about 10 minutes left and now of course, now all the questions are rolling in like crazy from learn the process and see how it's going to be implemented. I think as you scale this model, the efficiencies will be seen. And so, you know, based on the difficulty of the therapeutic Just scale, it's going to be more, more clear as the media was saying, next question from the audiences, the logic is also the fact that, you know, when you're, you're going into the later phase trials, uh, you know, in the industry right now, whether you're talking of what Detroit is doing, Are there others that you can share from the FDA EU APAC, regulators and supporting you know, around the implementation of clinical trials during the COVID pandemic, which incorporate various if you could give us some, some final thoughts and bring us home things that we should be watching or how you see And I think, you know, some of the themes that we've talked about, number one, And so I think that, you know, figuring out a way that we can sort of harmonize and and beyond has been brought to you by IBM in the cube.
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An Absolute Requirement for Precision Medicine Humanized Organ Study
>>Hello everybody. I am Toshihiko Nishimura from Stanford. University is there to TTT out here, super aging, global OMIM global transportation group about infections, uh, or major point of concerns. In addition, this year, we have the COVID-19 pandemic. As you can see here, while the why the new COVID-19 patients are still increasing, meanwhile, case count per day in the United state, uh, beginning to decrease this pandemic has changed our daily life to digital transformation. Even today, the micro segmentation is being conducted online and doctor and the nurse care, uh, now increase to telemedicine. Likewise, the drug development process is in need of major change paradigm shift, especially in vaccine in drug development for COVID-19 is, should be safe, effective, and faster >>In the >>Anastasia department, which is the biggest department in school of medicine. We have Stanford, a love for drug device development, regulatory science. So cold. Say the DDT RDS chairman is Ron Paul and this love leaderships are long mysel and stable shaper. In the drug development. We have three major pains, one exceedingly long duration that just 20 years huge budget, very low success rate general overview in the drug development. There are Discoverly but clinical clinical stage, as you see here, Tang. Yes. In clinical stage where we sit, say, what are the programs in D D D R S in each stages or mix program? Single cell programs, big data machine learning, deep learning, AI mathematics, statistics programs, humanized animal, the program SNS program engineering program. And we have annual symposium. Today's the, my talk, I do like to explain limitation of my science significance of humanized. My science out of separate out a program. I focused on humanized program. I believe this program is potent game changer for drug development mouse. When we think of animal experiment, many people think of immediately mouse. We have more than 30 kinds of inbred while the type such as chief 57, black KK yarrow, barber C white and so on using QA QC defined. Why did the type mice 18 of them gave him only one intervention using mouse, genomics analyzed, computational genetics. And then we succeeded to pick up fish one single gene in a week. >>We have another category of gene manipulated, mice transgenic, no clout, no Kamal's group. So far registered 40,000 kind as over today. Pretty critical requirement. Wrong FDA PMDA negative three sites are based on arteries. Two kinds of animal models, showing safety efficacy, combination of two animals and motel our mouse and the swine mouse and non-human primate. And so on mouse. Oh, Barry popular. Why? Because mouse are small enough, easy to handle big database we had and cost effective. However, it calls that low success rate. Why >>It, this issue speculation, low success rate came from a gap between preclinical the POC and the POC couldn't stay. Father divided into phase one. Phase two has the city FDA unsolved to our question. Speculation in nature biology using 7,372 new submissions, they found a 68 significant cradle out crazy too, to study approved by the process. And in total 90 per cent Radia in the clinical stages. What we can surmise from this study, FDA confirmed is that the big discrepancy between POC and clinical POC in another ward, any amount of data well, Ms. Representative for human, this nature bio report impacted our work significantly. >>What is a solution for this discrepancy? FDA standards require the people data from two species. One species is usually mice, but if the reported 90% in a preclinical data, then huge discrepancy between pretty critical POC in clinical POC. Our interpretation is data from mice, sometime representative, actually mice, and the humor of different especially immune system and the diva mice liver enzyme are missing, which human Liba has. This is one huge issue to be taught to overcome this problem. We started humanized mice program. What kind of human animals? We created one humanized, immune mice. The other is human eyes, DBA, mice. What is the definition of a humanized mice? They should have human gene or human cells or human tissues or human organs. Well, let me share one preclinical stages. Example of a humanized mouse that is polio receptor mice. This problem led by who was my mentor? Polio virus. Well, polio virus vaccine usually required no human primate to test in 13 years, collaboration with the FDA w H O polio eradication program. Finally FDA well as w H O R Purdue due to the place no human primate test to transgenic PVL. This is three. Our principle led by loss around the botch >>To move before this humanized mouse program, we need two other bonds donut outside your science, as well as the CPN mouse science >>human hormone, like GM CSF, Whoah, GCSF producing or human cytokine. those producing emoji mice are required in the long run. Two maintain human cells in their body under generation here, South the generation here, Dr. already created more than 100 kinds based on Z. The 100 kinds of Noe mice, we succeeded to create the human immune mice led the blood. The cell quite about the cell platelets are beautifully constituted in an mice, human and rebar MAs also succeeded to create using deparent human base. We have AGN diva, humanized mouse, American African human nine-thirty by mice co-case kitchen, humanized mice. These are Hennessy humanized, the immune and rebar model. On the other hand, we created disease rebar human either must to one example, congenital Liba disease, our guidance Schindel on patient model. >>The other model, we have infectious DDS and Waddell council Modell and GVH Modell. And so on creature stage or phase can a human itemize apply. Our objective is any stage. Any phase would be to, to propose. We propose experiment, pose a compound, which showed a huge discrepancy between. If Y you show the huge discrepancy, if Y is lucrative analog and the potent anti hepatitis B candidate in that predict clinical stage, it didn't show any toxicity in mice got dark and no human primate. On the other hand, weighing into clinical stage and crazy to October 15, salvage, five of people died and other 10 the show to very severe condition. >>Is that the reason why Nicole traditional the mice model is that throughout this, another mice Modell did not predict this severe side outcome. Why Zack humanized mouse, the Debar Modell demonstrate itself? Yes. Within few days that chemistry data and the puzzle physiology data phase two and phase the city requires huge number of a human subject. For example, COVID-19 vaccine development by Pfizer, AstraZeneca Moderna today, they are sample size are Southeast thousand vaccine development for COVID-19. She Novak UConn in China books for the us Erica Jones on the Johnson in unite United Kingdom. Well, there are now no box us Osaka Osaka, university hundred Japan. They are already in phase two industry discovery and predict clinical and regulatory stage foster in-app. However, clinical stage is a studious role because that phases required hugely number or the human subject 9,000 to 30,000. Even my conclusion, a humanized mouse model shortens the duration of drug development humanize, and most Isabel, uh, can be increase the success rate of drug development. Thank you for Ron Paul and to Steven YALI pelt at Stanford and and his team and or other colleagues. Thank you for listening.
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case count per day in the United state, uh, beginning to decrease the drug development. our mouse and the swine mouse and non-human primate. is that the big discrepancy between POC and clinical What is the definition of a humanized mice? On the other hand, we created disease rebar human other 10 the show to very severe condition. that phases required hugely number or the human subject 9,000
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CI/CD: Getting Started, No Matter Where You Are
>>Hello, everyone. My name is John Jane Shake. I work from Iran. Tous Andi. I am here this afternoon very gratefully with Anders Vulcan, who is VP of technology strategy for cloud bees, a Miranda's partner and a well known company in the space that we're going to be discussing. Anders is also a well known entity in this space, which is continuous integration and continuous delivery. Um, you've seen already today some sessions that focus on specific implementations of continuous integration and delivery, um, particularly around security. And, uh, we think this is a critically important topic for anyone in the cloud space, particularly in this increasingly complicated kubernetes space. To understand, um, Miranda's thanks, Uh, if I can recapitulate our own our own strategy and, uh, and language that with complexity on uncertainty consistently increasing with the depth of the technology stacks that we have to deal with consistently, um um elaborating themselves that navigating this requires, um first three implementation of automation to increase speed, which is what C and C d do. Um, and that this speed ba leveraged toe let us ship and iterate code faster. Since that's ultimately the business that all of us air in one way or another. I would like, I guess, toe open this conversation by asking Onders what does he think of that core strategy? >>You know, I think you know, hitting the security thing, right? Right off the bat. You know, security doesn't happen by accident. You know, security is not something that you know, Like a like a server in a restaurant. You know, Sprinkles a little bit of Parmesan cheese right before they serve you the the food. It's not something you Sprinkle on at the end. It's something that has to be baked in from the beginning, not just in the kitchen, but in the supply chain from from from the very beginning. So the you know it's a feature, and if you don't build it, if you're not going to get an outcome that you're not gonna be happy with and I think the you know it's increasingly it's obviously increasingly important and increasingly visible. You know, the you know, the kinds of security problems that we that we see these days can can be, you know, life altering, for for people that are subject to them and and can be, you know, life or death for a company that that's exposed to it. So it's it's it's very, very important. Thio pay attention to it and to work to achieve that as an explicit outcome of the software delivery process. And I think, you know, C i n c d as as process as tooling as culture plays a big part in that because ah, lot of it has to do with, you know, set things up, right? Um run them the same way over and over, you know, get the machine going. Turned the crane. Now, you wanna you wanna make improvements over over time. You know, it's not just, you know, set it and forget it. You know, we got that set up. We don't have to worry about it anymore, but it really is a question of, you know, get the human out of the loop a lot of the times because if if you're dealing with configuring complex systems, you wanna make sure that you get them set up configured, you know, documented Ideally, you know, as code, whether it's a domain specific language or or something like that. And then that's something that you contest against that you can verify against that you can that you can difficult. And then that becomes the basis for for your, you know, for yourself, for pipelines, for your automation around, you know, kind of the software factory floor. So I think automation is a key aspect of that because it, you know, it takes a lot of the drudgery out of it, for one thing, So now the humans have more time to spend on doing on the on the creative things on the things that we're good at a zoo. Humans and it also make sure that, you know, one of the things that computers are really good at is doing the same thing over and over and over and over. Eso that kind of puts that responsibility into the hands of the entity that that knows how to do that well, which is which is the machine eso I think it's, you know, it's a light. It's a deep, deep topic, obviously, but, you know, automation plays into it. Uh, you know, small batch sizes play into it, you know, being able to test very frequently whether that's testing in. You're kind of you're C I pipeline where you're sort of doing building mostly unit testing, maybe some integration testing, but also in layering in the mawr. Serious kinds of testing in terms of security scanning, penetration, testing, vulnerability, scanning. You know those sorts of things which, you know, maybe you do on every single see I Bill. But most people don't because those things tend toe take a little bit longer on. And you know you want your sea ice cycle to be as fast as possible because that's really in service of the developer who has committed code and wants toe kind of see the thumbs up from the system saying it. And, um, so most organizations most organizations are are are focusing on, you know, making sure that there's a follow on pipeline to follow on set of tests that happened after the C I passes successfully and and that's, you know, where a lot of the security scanning and those sorts of things happen. >>It's a It's an interesting problem. I mean, you mentioned, um, what almost sounds like a Lawrence Lessig Ian kind of idea that, you know, code is law in enterprises today, code particularly see, I code ends up being policy, but At the same time, there's, Ah, it seems to me there's a an alternative peril, which is, as you increase speed, particularly when you become more and more dependent on things like containers and layering technology to provide components and capabilities that you don't have to build yourself to your build pipeline, that there are new vulnerabilities, potentially that creep in and can creep in despite automation. Zor at least 1st. 1st order automation is attempts toe to prevent them from creeping in. You don't wanna you wanna freeze people on a six month old version of a key container image. But on the other hand, if the latest version has vulnerabilities, that could be a problem. >>Yeah, I mean, it's, you know, it's it's a it's a it's a double edged sword. It's two sides of the same coin. I think you know, when I talked to a lot of security people, um, you know, people to do it for a living is supposed to mean I just talk about it, um, that Z not completely true. But, um, the ah, lot of times the problem is old vulnerabilities. The thing that I think keeps a lot of people up at night isn't necessarily that the thing at the tip of the releases for particular, you know, well known open source, library or something like that. But that's gonna burn you all the vast majority of the time. And I want to say, like, 80 85% of the time. The vulnerability is that you that you get hosed by are ones that have been known about for years. And so I think the if I had to pick. So if you know, in that sort of two sides of that coin, if I had to pick, I would say Be aggressive in making sure that your third party dependencies are updated frequently and and continuously right, because that is the biggest, biggest cause of of of security vulnerabilities when it comes to third party code. Um, now you know the famous saying, You know, move fast and break things Well, there's certain things you don't want to break. You know you don't want to break a radiation machine that's going to deliver radio radiotherapy to someone because that will endanger their health. So So those sorts of systems, you know, naturally or subject a little bit more kind of caution and scrutiny and rigor and process those sorts of things. The micro service that I run that shows my little avatar when I log in, that one probably gets a little less group. You know, Andre rightfully so. So I think a lot of it has to do. And somebody once said in a I think it was, Ah, panel. I was on a PR say conference, which was, which was kind of a wise thing to say it was Don't spend a million dollars protecting a $5 assets. You know, you wanna be smart and you wanna you wanna figure out where your vulnerabilities they're going to come from and in my experience, and and you know, what I hear from a lot of the security professionals is pay attention to your supply chain. You're you want to make sure that you're up to date with the latest patches of, of all of your third party, you know, open source or close source. It doesn't really matter. I mean, if anything, you know, open source is is more open. Eso You could inspect things a little bit better than the close source, but with both kinds of streams of code that you consume and and use. You wanna make sure that you're you're more up to date as opposed to a less up to date? Um, that generally will be better. Now, can a new version of the library cause problems? You know, introduce bugs? You know, those sorts of things? Yes. That's why we have tests. That's what we have automated tests, regression, sweets, You know, those sorts of things. And so you wanna, you know, you wanna live in a in a world where you feel the confidence as a as a developer, that if I update this library from, you know, one debt owed at 3 to 1 debt owed at 10 to pick up a bunch of, you know, bug fixes and patches and those sorts of things. But that's not going to break some on demand in the test suites that that will run against that ought to cover that that sort of functionality. And I'd rather be in that world of Oh, yeah, we tried to update to that, but it But it broke the tests and then have to go spend time on that, then say, Oh, it broke the test. So let's not update. And then six months later, you do find out. Oh, geez. There was a problem in one that owed at three. And it was fixed in one. That about four. If only we had updated. Um, you know, you look at the, um you look at some of the highest profile security breaches that are out there that you sort of can trace toe third party libraries. It's almost always gonna be that it was out of date and hadn't been patched. That's so that's my you know, opinionated. Take on that. Sure. >>What are the parts of modern C I c D. As opposed to what one would encounter 56 years ago? Maybe if we can imagine that is being before the micro services and containers revolution really took off. >>You know, I think e think you're absolutely right that, you know, not the whole world is not doing. See, I Yeah, and certainly the whole world is not doing city yet. Um, you know, I think you know, as you say, we kind of live in a little bit of an ivory tower. You know, we live in an echo chamber in a little bit of a bubble Aziz vendors in this space. The truth is that I would say less than 50% of the software organizations out there do real. See, I do real CD. The number's probably less than that. Um, you know, I don't have anything to back that up other than just I talked to a lot of folks and work with, you know, with a lot of organizations and like, Yeah, that team does see I that team does Weekly builds You know, those sorts of things. It's it's really all over the place, Onda. Lot of times there's There's definitely, in my experience, a high correlation there with the amount of time that a team or a code base has been around, and the amount of sort of modern technologies and processes and and and so on that are that are brought to it on. And that sort of makes sense. I mean, if you if you're starting with the green field with a blank sheet of paper, you're gonna adopt, you know, the technologies and the processes and the cultures of today. A knot of 5, 10 15 15 years ago, Um but but most organizations air moving in that direction. Right? Andi, I think you know what? What? What? What's really changed in the last few years is the level of integration between the various tools between the various pieces and the amount of automation that you could bring to bear. I mean, I you know, I remember, you know, five or 10 years ago having all kinds of conversations with customers and prospects and and people of conferences and so on and they said, Oh, yeah, we'd like to automate our our software development life cycle, but, you know, we can't We have a manual thing here. We have a manual thing there. We do this kind of testing that we can automate it, and then we have this system, but it doesn't have any guy. So somebody has to sit and click on the screen. And, you know, and I used to say e used to say I don't accept No for an answer of can you automate this right? Everything. Anything can be automated. Even if you just get the little drinking bird. You know that just pokes the mouse. Everyone something. You can automate it, and I Actually, you know, I had one customer who was like, Okay, and we had a discussion and and and and they said, Well, we had this old Windows tool. We Its's an obscure tool. It's no longer updated, but it's it's it's used in a critical part of the life cycle and it can't be automated. And I said, Well, just install one of those Windows tools that allows you to peek and poke at the, you know, mass with my aunt I said so I don't accept your answer. And I said, Well, unfortunately, security won't allow us to install those tools, Eh? So I had to accept No, at that point, but But I think the big change were one of the biggest changes that's happened in the last few years is the systems now have all I'll have a p i s and they all talk to each other. So if you've gotta, you know, if you if you've got a scanning tool, if you've got a deployment tool, if you have a deployment, you know, infrastructure, you know, kubernetes based or, you know, kind of sitting in front of our around kubernetes thes things. I'll talk to each other and are all automated. So one of the things that's happened is we've taken out a lot of the weight states. A lot of the pauses, right? So if you you know, if you do something like a value stream mapping where you sit down and I'll date myself here and probably lose some of the audience with this analogy. But if you remember Schoolhouse Rock cartoons in in the late seventies, early eighties, there was one which was one of my favorites, and and the guy who did the music for this passed away last year, sadly, But, uh, the it was called How a bill Becomes a Law and they personified the bill. So the bill, you know, becomes a little person and, you know, first time passed by the house and then the Senate, and then the president either signs me or doesn't and or he vetoes, and it really sort of did this and what I always talk about with respect to sort of value stream mapping and talking about your processes, put a GoPro camera on your source codes head, and then follow that source code all the way through to your customer understand all of the stuff that happens to it, including nothing, right? Because a lot of times in that elapsed time, nothing keeps happening, right. If we build software the way we were sorry. If we build cars the way we build software, we would install the radio in a car, and then we would park it in a corner of the factory for three weeks. And then we might remember to test the radio before we ship the car out to the customer. Right, Because that's how a lot of us still develop some for. And I think one thing that's changed in the in the last few years is that we don't have these kind of, Well, we did the bill. So now we're waiting for somebody to create an environment and rack up some hardware and install an operating system and install. You know, this that and the other. You know, that that went from manual to we use Scheffer puppet to do it, which then went to we use containers to do it, which then went to we use containers and kubernetes to do it. So whole swaths of elapsed time in our software development life cycles basically went to nothing, right and went to the point where we can weaken, weaken, configure them way to the left and and and follow them all the way through. And that the artifact that we're delivering isn't necessarily and execute herbal. It could be a container, right? So now that starts to get interesting for us in terms of being able to test against that container scan against that container, def. Against that container, Um, you know, and it, you know, it does bring complexity to in terms of now you've got a layered file system in there. Well, what all is in there, you know, And so there's tools for scanning those kinds of things, But But I think that one of the biggest things that's happened is a lot of the natural pause. Points are no longer natural. Pause points their unnatural pause points, and they're now just delays in yourself for delivery. And so what? What a lot of organizations are working on is kind of getting to the point where those sorts of things get get automated and connected, and that's now possible. And it wasn't 55 or 10 years ago. >>So It sounds like a great deal of the speed benefit, which has been quantified many different ways. But is once you get one of these systems working, as we've all experienced enormous, um, is actually done by collapsing out what would have been unused time in a prior process or non paralyze herbal stuff has been made parallel. >>I remember doing a, uh, spent some time with a customer, and they did a value stream mapping, and they they found out at the end that of the 30 days of elapsed time they were spending three days on task. Everything else was waiting, waiting for a build waiting foran install, waiting for an environment, waiting for an approval, having meetings, you know, those sorts of things. And I thought to myself, Oh, my goodness, you know, 90% of the elapsed time is doing nothing. And I was talking to someone Gene Kim, actually, and I said, Oh my God, it was terrible that these you know, these people are screwed and he says, 0 90%. That's actually pretty good, you know? So So I think you know, if you if you think today, you know, if you If you if you look at the teams that are doing just really pure continuous delivery, you know, write some code committed, gets picked up by the sea ice system and passes through CIA goes through whatever coast, see I processing, you need to do security scanning and so on. It gets staged and it gets pushed into production. That stuff can happen in minutes, right? That's new. That's different. Now, if you do that without having the right automated gates in place around security and and and and those sorts of things you know, then you're living a little bit dangerously, although I would argue not necessarily any more dangerously, than just letting that insecure coat sit around for a week before your shipment, right? It's not like that problem is going to fix itself if you just let it sit there, Um, but But, you know, you definitely operated at a higher velocity. Now that's a lot of the benefit that you're tryingto trying to get out of it, right? You can get stuff out to the market faster, or if you take a little bit more time, you get more out to the market in, in in the same amount of time you could turn around and fix problems faster. Um, if you have a vulnerability, you can get it fixed and pushed out much more quickly. If you have a competitive threat that you need to address, you can you know, you could move that that much faster if you have a critical bug. You know, I mean, all security issues or bugs, sort of by definition. But, you know, if you have a functionality bug, you can you can get that pushed out faster. Eso So I think kind of all factors of the business benefit from from this increase in speed. And I think developers due to because anybody you know, any human that has a context switch and step away from something for for for, you know, duration of time longer than a few minutes, you know, you're gonna you're gonna you're gonna you're gonna have to load back up again. And so that's productivity loss. Now, that's a soft cost. But man, is it Is it expensive and is a painful So you see a lot of benefit there. Think >>if you have, you know, an organization that is just starting this journey What would you ask that organization to consider in orderto sort of move them down this path? >>It's by far the most frequent and almost always the first question I get at the end of the talk or or a presentation or something like that is where do we start? How do I know where to start? And and And there's a couple of answers to that. What one is Don't boil the ocean, right? Don't try to fix everything all at once. You know that because that's not agile, right? The be agile about your transformation Here, you know, pick, pick a set of problems that you have and and make a, you know, basically make a burn down list and and do them in order. So find find a pain point that you have right and, you know, just go address that and and try to make it small and actionable and especially early on when you're trying to affect change. And you're tryingto convinced teams that this is the way to go and you may have some naysayers, or you may have people who are skeptical or have been through these processes before that have been you know failures released, not the successes that they that they were supposed to be. You know, it's important to have some wind. So what I always say is look, you know, if you have a pebble in your shoe, you've got a pain point. You know how to address that. You know, you're not gonna address that by changing out your wardrobe or or by buying a new pair of shoes. You know, you're gonna address that by taking your shoe off, shaking it until the pebble falls out there putting the shoe back on. So look for those kinds of use cases, right? So if you're engineers are complaining that whenever I check in the build is broken and we're not doing see, I well, then let's look at doing C I Let's do see eye, right? If you're not doing that. And for most organizations, you know, setting up C I is a very manageable, very doable thing. There's lots of open source tooling out there. There's lots of commercial tooling out there. Thio do that to do it for small teams to do it for large teams and and everything in between. Um, if the problem is Gosh, Every time we push a change, we break something. You know where every time something works in staging it doesn't work in production. Then you gotta look at Well, how are these systems being configured? If you're If you're configuring them manually, stop automate the configuration of them. Um, you know, if you're if you're fixing system manually, don't you know, as a friend of mine says, don't fix, Repave? Um, you know, you don't wanna, you know, there's a story of, you know how how Google operates in their data centers. You know, they don't they don't go look for a broken disk drive and swap it out. You know, when it breaks, they just have a team of people that, like once a month or something, I don't know what the interval is. They just walked through the data center and they pull out all the dead stuff and they throw it out, and what they did was they assume that if the scale that they operate, things are always going to break physical things are always going to break. You have to build a software to assume that breakage and any system that assumes that we're going to step in when a disk drive is broken and fix it so that we can get back to running just isn't gonna work at scale. There's a similarity. There's sort of ah, parallel to that in in software, which is you know, any time you have these kinds of complex systems, you have to assume that they're gonna break and you have to put the things in place to catch those things. The automated testing, whether it's, you know, whether you have 10,000 tests that you that you've written already or whether you have no tests and you just need to go right, your first test that that journey, you've got to start somewhere. But my answer thio their questions generally always just start small, pick a very specific problem. Build a plan around it, you know, build a burned down list of things that you wanna address and just start working your way down that the same way that you would for any, you know, kind of agile project, your transformation of your own processes of your own internal systems. You should use agile processes for those as well, because if you if you go off for six months and and build something. By the time you come back, it's gonna be relevant. Probably thio the problems that you were facing six months ago. >>A Then let's consider the situation of, ah, company that's using C I and maybe sea ice and C d together. Um, and they want to reach what you might call the next level. Um, they've seen obvious benefits they're interested in, you know, in increasing their investment in, you know and cycles devoted to this technology. You don't have to sell them anymore, but they're looking for a next direction. What would you say that direction should be? I >>think oftentimes what organizations start to do is they start to look at feedback loops. So on DAT starts to go into the area of sort of metrics and analytics and those sorts of things. You know what we're we're always concerned about? You know, we're always affected by things like meantime to recovery. Meantime, the detection, what are our cycle times from, you know, ideation, toe codecommit. What's the cycle? Time from codecommit the production, those sorts of things. And you know you can't change what you don't measure eso so a lot of times the next step after kind of getting the rudimentary zoo of C I Orsini or some combination of both in places start to measure. Stop you, Um, and and then but But there. I think you know, you gotta be smart about it, because what you don't want to do is kind of just pull all the metrics out that exists. Barf them up on the dashboard. And the giant television screens say boom metrics, right. You know, Mike, drop go home. That's the wrong way to do it. You want to use metrics very specifically to achieve outcomes. So if you have an outcome that you want to achieve and you can tie it to a metric start looking at that metric and start working that problem once you saw that problem, you can take that metric. And you know, if that's the metric you're showing on the big you know, the big screen TV, you can pop that off and pick the next one and put it up there. I I always worry when you know a little different when you're in a knock or something like that. When when you're looking at the network stuff and so on. But I'm always leery of when I walk into to a software development organization. You know, just a Brazilian different metrics, this whole place because they're not all relevant. They're not all relevant at the same time. Some of them you wanna look at often, some of them you just want to kind of set an alarm on and make sure that, you know, I mean, you don't go down in your basement every day to check that the sump pump is working. What you do is you put a little water detector in there and you have an alarm go off if the water level ever rises above a certain amount. Well, you want to do the same thing with metrics, right? Once you've got in the water out of your basement, you don't have to go down there and look at it all the time. You put the little detector in, and then you move on and you worry about something else. And so organizations as they start to get a little bit more sophisticated and start to look at the analytics, the metrics, um, start to say, Hey, look, if our if our cycle time from from, you know, commit to deploy is this much. And we want it to be this much. What happens during that time, And where can we take slices out of that? You know, without without affecting the outcomes in terms of quality and so on, or or if it's, you know, from from ideation, toe codecommit. You know what? What can we do there? Um, you start to do that. And and then as you get those sort of virtuous cycles of feedback loops happening, you know, you get better and better and better, but you wanna be careful with metrics, you know, you don't wanna, you know, like I said, you don't wanna barf a bunch of metrics up just to say, Look, we got metrics. Metrics are there to serve a particular outcome. And once you've achieved that outcome, and you know that you can continue to achieve that outcome, you turn it into an alarm or a trigger, and you put it out of sight. And you know that. You know, you don't need to have, like, a code coverage metric prominently displayed you you pick a code coverage number that you're happy with you work to achieve that. Once you achieve it, you just worry about not going below that threshold again. So you can take that graph off and just put a trigger on this as if we ever get below this, you know, raising alarm or fail a build or fail a pipeline or something like that and then start to focus on improving another man. Uh, or another outcome using another matter >>makes enormous sense. So I'm afraid we are getting to be out of time. I want to thank you very much on this for joining us today. This has been certainly informative for me, and I hope for the audience, um, you know, thank you very, very much for sharing your insulin.
SUMMARY :
Um, and that this speed ba leveraged toe let us ship and iterate You know, the you know, the kinds of security problems that we that we see these days what almost sounds like a Lawrence Lessig Ian kind of idea that, you know, I think you know, when I talked to a lot of security people, um, you know, What are the parts of modern C I c D. As opposed to what one would encounter I mean, I you know, I remember, you know, five or 10 years ago having all kinds of conversations But is once you get one of these systems working, So So I think you know, if you if you think today, you know, if you If you if you look at the teams that are doing Um, you know, you don't wanna, you know, there's a story of, Um, they've seen obvious benefits they're interested in, you know, I think you know, you gotta be smart about it, you know, thank you very, very much for sharing your insulin.
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Gene Kim, Author | Actifio Data Driven 2020
>> Narrator: From around the globe, It's theCube, with digital coverage, of Actifio data-driven 2020, brought to you by Actifio. >> Welcome back, I'm Stu Miniman, and this is theCube coverage of Actifio Data-driven 2020. Really excited to, dig into a fun topic. I have a Cube alumni with us he is a DevOps author, and researcher Gene Kim. Unicorn Project is the most recent, Gene, great to see you, thanks so much for joining us. >> Stu, great to see you again, here at the Actifio conference, this is all fantastic. >> Yeah, so your new book, it was much awaited out there, you know, Unicorn's always discussed out there, but you know, the Phoenix Project, as I said, is really this seminal, book when people say, What is that DevOps thing and how do I do it? So, why don't you give us a little bit as to The Unicorn Project, why is it important? Why we're excited to dig into this and, we'll, we'll tie it into the discussion we're having here for the next normal, at Actifio. >> For sure, yeah, in fact, yeah. As you might have heard in the keynote address, you know, the what, what vexed me, after the Phoenix project came out in 2013 is that there is still looming problems that still remain, seven years after the Phoenix project was written. And, you know, these problems I think are very important, around you and what does it really take to enable developers to truly be productive, instead of being locked in a tundra of technical debt. Two is, you know, how do we unlock truly the power of data so that we can help everyone make better decisions, whether it's a developer, or anyone, within the business units and the organizations that we serve. And then three is like, what are really the behaviors that we need from leadership to make these amazing transformations possible? And so The Unicorn Project really is, the fifth project retold, but instead of through the eyes of Ops leadership, is told through the eyes, of a phenomenal developer. And so it was amazing to revisit the, the Phoenix project universe, I in the same timeline, but told from a different point of view. And it was such a fun project to work on, just because, you know, to relive the story, and just expose all these other problems, not happening, not on the side, but from, the development and data side. >> Yeah. They've always these characters in there that, I know I personally, and many people I talked to can, you know, really associate with, there was a return of certain characters, quite prominent, like Brent, you know, don't be the bottleneck in your system. It's great, if you're a fighter firefighter, and can solve everything, but if everything has to come through you, you know, Pedro is always going off, he's getting no sleep and, you know, you'd just get stressed out. You talked a bit more, about the organization and there are the five ideals in the book. So maybe if you can, you know, strongly recommend, of course, anybody at ending active you, got a copy of the books they'll be able to read the whole thing, but, you know, give us the bumper sticker on some of those key learnings. >> Yeah, for sure, yeah. So the five ideals represents five ideas, I think are just very important, for everyone, the organization, serves, especially leadership. The first ideal is locality and simplicity. In other words, when you need to get something done, we should be able to get it done within our team, without having to do a lot of communication coordination, with people outside of our team. The worst, the most horrible feeling is that in order, to do a small little thing, you actually have, to have a, coordinated action that spans 15 teams, right. And that's why you can't get anything done, right? And so that's so much the hallmark of large complex organizations. The second ideal is that what I think the outcomes are, which is focused flow and joy, you know, I've not just now started to for the first time in 20 years, self identify, not as an ops person, but as a developer. And, I really now understand, why we got into technology in the first place. This so that we can solve the business problem at hand unencumbered by minute share. And that allows for a sense of focus flow and even joy. And I love how Dr. Mihaly Csikszentmihalyi, describe it. He said, flow is a state that we feel when we love our work, so much that we lose track of time, and maybe even sense of self. And so I think we all in technology understand, you know, that that is how it is on the best of days and how terrible it is, you know, when we don't have that sense of flow. Third ideal is improvement of daily work, being even more important than daily work itself. The notion is greatness is never free, we must create it and must prioritize it, for the psychological safety. And the fifth is customer focus. So those are all the things I think are so important, for modern leaders, because it really defines the future of work. >> Yeah, we love that flow and it happens otherwise we're stuck, in that waiting place as you quoted Dr. Csi. So one of my favorite books there, there also. So Gene, for this audience here, there was, you know, yes, CICD is wonderful and I need to be able to move and ship fast, but the real transformational power, for that organization was unlocking the value of data, which is, I think something that everybody here can. So maybe to talk a little bit about that you know, we, there there's, we've almost talked too much, you know, data is the new oil and things like that, but it's that, you know, that allowing everybody to tap in and leverage, you know, real time what's happening there were just at the early parts of the industry being able to unlock that future. >> Oh yeah, I love that phrase. Data is new oil, especially since oil, you know, the last 50 years, the standard Port 500 was dominated by, you know, resource extraction oil company and so forth. And now that is no longer true, it's dominated by the tech giants. And, Columbia there was a Columbia journalism review article that said, data's not only the new oil, is really the new soil. And for me, you know, my area of passion for the last seven years has been studying the DevOps enterprise community where, we're taking all the learnings that were really pioneered by the tech giants, Facebook, Amazon, Netflix, Google, Microsoft, and seeing how they're being adopted by the largest, most complex organizations on the planet, the best known brands across every industry vertical. And it's so true that, you know, where the real learning gets exploited right, is through data. I realized, this is how we get to know our customers better. This is how we understand their wants and needs. This is how we test, and make offers to them to see if they like it or not to see if they value it or not. And, and so for me, one of the best examples, of this was, the target transformation and Adidas how it was just an amazing example of, to what links they went to, to liberate developers from, being shackled by ancient systems of records, data warehouses, and truly enabled developers to get access to the data they need modify it, even delete information, all without having to be dependent on, you know, integration teams that were essentially holding them hostage for six to nine months. And, these programs really enable some of the most strategic programs at their organizations, you know, enabling hundreds of projects over the years. So, I think that is really, just showing to what extent, the value that is created by unlocking data for individuals. And sorry Stu, one more thing that I'm just always dazzled by my friend, Chris Berg. He told me that, somewhere between a third and a half of all company employees use data in their daily work. They either use data or manipulate data as part of the daily work, which, you know, that, population is actually larger than the number of developers in an organization. So it just shows you how big this problem is, and how much value we can create by addressing this problem. >> Well, it's interesting if it's only a third, we still have work to do. What we've been saying for years is, you know, when you talk about digital transformation, the thing that separates those that have transformed and those that haven't is data needs to be at the core. I just can't be doing things the way I was or doing things off intuition, you know, being data-driven, I'm sure you know, the same Gene, if you're not, if you don't have data, you know, you're just some other person with an opinion. >> Yeah, yeah. That's it this is a great point. And in Risto Siilasmaa's amazing book, Transforming Nokia, I mean, he was, he said exactly that. And he said something that was even more astonishing. He said, there's not only at the core, but data also has to be at the edges. You know, he was describing at Amazon, anyone can do an experiment @booking.com. Anyone can do an experiment to see, if they can create value for the customer. They don't need approvals from, committees or their manager. This is something that is really truly part of everyone's daily work. And so, to me, that was a huge aha moment that says, you know, to what degree, you know. Our cultures need to change so that we can not only, use data, but also create learnings and create new data, you know, that the rest of the organization can learn from as well. >> Yeah. One of the other things I definitely, you know, felt in your book, you synthesize so much of the learnings that you've had over the years from like the DevOps enterprise summit. The question I have for you is, you know, you hear some of these, you know, great stories, but the question is, our companies, are they moving fast enough? Have they transformed the entire business or have they taken, you know, we've got one slice of the business that is kind of modernized and we're going to get to the other 30 pieces along the way, but you know, there's wholesale change, you know, 2020 has had such a big impact. What's your thoughts on, you know, how we are doing in the enterprise on pace of change these days? >> That's a great question. I mean, I think some people, when they ask me, you know, how far are we into kind of total adoption of DevOps? It's a newer better way of working. And I would say probably somewhere between 5 and 7%, right, and the math I would take them through is, you know, there are about 20 million developers on the planet of which at best, I think, a million of them are working in a DevOps type way. But yet now that's only growing. I think it was an amazing presentation at DevOps surprise summit in London that was virtual from nationwide building society, the largest organization of its kind. It's a large financially mutually owned organization for housing in the UK. And, they touched about how, you know, post COVID post lockdown suddenly they found themselves able to do them reckless things that would have normally taken four years, in four weeks. And I think that's what almost every organization is learning these days is, when survival is at stake, you know, we can throw the rules out of the window, right. And do things in a way that are safe and responsible, but, you know, create satisfy the business urgent needs, like, you know, provisioning tens of thousand people to work from home safely. You know, I think the shows, I think it's such a powerful proof point of what technology can do when it is unleashed from, you know, perhaps unnecessarily burdensome rules and process. And I think the other point I would make Stu is that, what has been so rewarding is the population of these technology leaders presenting at DevOps enterprise, they're all being promoted, they're all being, being given new responsibilities because they, are demonstrating that they have the best longterm interest of the organization at heart. And, they're being given even more responsibilities because, to make a bigger impact through the organization. So I'm incredibly optimistic about the direction we're heading and even the pace we're going at. >> Well, Gene definitely 2020 has put a real highlight on how fast things have changed, not just work from home, but, but the homeschooling, you know, telehealth, there are so many things out there where there was no choice, but to move forward. So the, the second presentation you participated in was talking about that next normal. So give us a little bit of, you know, what does that mean? You know, what, what we should be looking at going forward? >> Yeah, it was great to catch up with my friend Paul Forte, who I've known for many, many years, and now, now a VP of sales at the Actifio and yeah, I think it is amazing that academic Dr. Colada Perez, she said, you know, in every turning point, you know, where, there's such a the stage for decades of economic prosperity usually comes, by something exactly like what we're going through now, a huge economic recession or depression, following a period of intense re regulations there's new, technology that's unlocking, you know, new ways of working. And she pointed exactly to what's happening in the Covid pandemic in terms of, how much, the way we're working is being revolutionized, not by choice, but out of necessity. And, you know, as she said, you know, we're now learning to what degree we can actually do our daily work without getting on airplanes or, you know, meeting people in person. So, I'm a hue, I have so many friends in the travel industry, right. I think we all want normalcy to return, but I think we are learning, you know, potentially, you know, there are more efficient ways to do things, that don't require a day of travel for a couple hour meeting and day to return, right. So, yeah, I think this is being demonstrated. I think this will unlock a whole bunch of ways of interacting that will create efficiency. So I don't think we're going, as you suggested, right. There will be a new normal, but the new normal is not going to be the same as your old normal. And I think it will be, in general for the better. >> So, Gene, you, you've gone to gotten to see some of the transformation happening in the organizations when it comes to developers, you know, the, the DevOps enterprise summit, the, the state of DevOps, you know. I think five years ago, we knew how important developers were, but there was such a gap between, well, the developers are kind of in the corner, they don't pay for anything. They're not tied to the enterprise. And today it feels like we have a more cohesive story that there, there is that if you put in The Unicorn Project, it's, you know, business and IT, you know. IT, and the developers can actually drive that change and the survival of the business. So, you know, are we there yet success or net developers now have a seat at the table? Or, you know, what do you see on that, that we still need to do? >> Yeah, I think we're still, I mean, I think we're getting there, we're closer than ever. And as my friend, Chris O'Malley the CEO of the famously resurgent mainframe vendor Compuware said, you know, it is, everyone is aware that you can't do any major initiatives these days without some investment in technology, right? In fact, you can't invest in anything without technology. So I think that is now better understood than ever. And, yeah, just the digital, it's a whole digital disruption, I think is really, no one needs to be convinced that if we organize large complex organizations, don't change, they're at a risk of, you know, being decimated by the organizations that can change using an exploiting technology, you know, to their benefit and to the other person's detriment. So, and that primarily comes through software and who creates software developers. So I, by the way, I love the Stripe it was a CFO for Stripe who said, the largest, constraint for them is, and their peers is not access to capital, it is access development talent. I think when you have CFOs talking like that, right. It does says it's suggested something really has changed in the economic environment that we all compete in. >> So, I mentioned that on the research side, one of the things I've loved reading over the years is that, fundamental discussion that, going faster does not mean, that I am sacrificing security, or, you know, the product itself, you know, in the last couple of years, it's, you know, what separates those really high performing companies, and, you know, just kind of the middle of the ground. So, what, what, what advice would you give out there, to make sure that I'm moving my company more along to those high performing methods. >> Yeah, but just to resonate with that, I was interviewing a friend of mine, Mike Nygaard, long time friend of mine, and we were talking on and we were recalling the first time we both heard the famous 2009 presentation doing 10 deploys a day, every day at flicker, by John Allspaw and Paul Hammond. And we were both incredulous, right there? We thought it was irresponsible reckless, and maybe even immoral what they were doing, because, you know, I think most organizations were doing three a year, and that was very problematic. How could one do 10 deploys a day. And I think, what we now know, with the size of evidence, especially through the state of DevOps research, is that, you know, for six years, 35,000 plus respondents, the only way that you can be reliable, and secure, is to do smaller deployments more frequently, right? It makes you, be able to respond quicker in the marketplace, allows you to have better stability and reliability in the operational environment, allows you to be more secure. It allows you to be able to, you know, increase market share, increase productivity, and, you know, have happier employees. So, you know, at this point, I think the research is so decisive, that, you know, we can, as a whole book accelerate, that really makes the case for that, that this is something that I now have moral certainty or even absolute certainty oh, right. It's, you know, self evident to me, and it, I think we should have confidence that that really is true. >> Wonderful work, Gene, thanks so much for giving us the update. I really appreciate it, some really good sessions here in Actifio, as well as the book. Thanks so much, great to talk to you. >> Stu is always a pleasure to see you again, and thank you so much. >> Alright, that's our coverage from Actifio Data-driven, be sure to check out thecube.net for all of the, on demand content, as well as, as I said, if you were part of the show, definitely recommend reading Gene's book, The Unicorn Project. I'm Stu Miniman. And thank you for watching the cube. (soft upbeat music)
SUMMARY :
brought to you by Actifio. Unicorn Project is the most recent, Gene, Stu, great to see you again, but you know, the Phoenix the keynote address, you know, to read the whole thing, but, you know, technology understand, you know, bit about that you know, of the daily work, which, you know, for years is, you know, you know, to what degree, you know. along the way, but you know, And, they touched about how, you know, you know, what does that mean? And, you know, as she said, you know, the state of DevOps, you know. everyone is aware that you or, you know, the the only way that you can Thanks so much, great to talk to you. pleasure to see you again, And thank you for watching the cube.
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Actifio Data Driven 2020 Promo with Gene Kim
>> Narrator: From around the globe, It's theCUBE with digital coverage of Actifio Data Driven 2020. Brought to you by Actifio. >> Hi, my name is Gene Kim and I am looking forward to the amazing Actifio Data Summit. Everyone who applies... Three, two, one. Hi, my name is Gene Kim. I'm going to smile one more time. Three, two, one. Hi, my name is Gene Kim. I'm looking forward to the Actifio Data Summit, where we're going to learn all about the power of data, everyone who registers between now and then will receive a copy of my book, "The Unicorn Project." I look forward to seeing you there, thank you. (upbeat music)
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Brian Reagan, CMO, Actifio | Actifio Data Driven 2020
>> Narrator: From around the globe, it's theCUBE with digital coverage of Actifio Data Driven 2020, brought to you by Actifio. >> Hi everybody this is Dave Vellante, full of preview of Actifio Data Driven, and with me is Brian Reagan who is a long time cube alumni, good friend. Brian, awesome to see you thanks for coming on and help us set up Data Driven >> Dave it's always a pleasure to be here, thanks for having me. >> So this is one of our favorite events of the season, not only because it's historically been in Boston, but it's a really good intimate event, lot of customer content. Unfortunately this year, of course everything has gone virtual but tell us about that, what do you guys got planned for Data Driven this year? >> Well again we're delighted to be able to put the show on, in spite of all of the challenges of travel and face to face. As you know from years past, Data Driven has always been sort of by the customers for the customers, very much an event that is driven around understanding how customers are using data strategically, and how Actifio is helping them do that to power their businesses. This year is no different, I think what we've done is we've taken the best of the physical events, which is really facilitating fireside chats and panels of people using our technology to move the business forward with data, but also added a lot of things that frankly are impossible to do when you're strained by a physical event, which is be able to run a series of on demand technical sessions. Our technical tracks are always standing room only, so now we can offer more content, more discreet package content that can be consumed the day of the event and on for a year plus after the event. So we're excited to really sort of mix the best of both worlds virtual and the forums that have worked so well for us in the physical events. >> Well it's like I said I mean, lots of these events are sort of vendor fests, but what you do with Data Driven is you bring in the customer's voice. And I remember last year in theCUBE, we had Holly st. Clair who was with the state of Massachusetts, she was awesome. We had a guest from DraftKings, which was really, really tremendous. Of course, you see what's happening with those guys now just exploding. >> Exactly. >> But we also had a lot of fun, when of course Ash comes on, and all the Actifio folk, but we had Frank Gens on, the first and only time we've ever had him on theCUBE, he's now retired from IDC, I guess semiretired. We had Duplessie on, which was a lot of fun. So it's just a good vibe. >> Yeah, we made a conscious decision to your point not to avoid the traditional vendor fest, and bludgeoning people with PowerPoint throughout the day, and really wanted to make it spin it around, and have the customers tell their stories in their own words, and really talk about the themes that are both common, in terms of challenges, ways that they've addressed those challenges, but also dig into the real implications of when they do solve these challenges, what are the unintended consequences? It's sort of like the... In a lot of ways I think about the journey that customers went through with VMware and with the ability to spin up VMs effortlessly, was a fantastic first step, and then all of a sudden they realized they had all of these spun up Vms that were consuming resources that they didn't necessarily had thought about at the very beginning. I think that our customers as they progress through their journey with Actifio, once they realize the power of being able to access data and deliver data, no matter how big it is, in any form factor in any cloud, there's incredible power there, but there also comes with that a real need to make sure that the governance and controls and management systems are in place to properly deliver that. Particularly today when everything is distributed, everything is essentially at arms length, so that's part of the fun of these events is really being able to hear all of the ways these unique customers are, adding value, delivering value, gaining value, from the platform. >> What's it's interesting you mentioned VMs, it was like life changing when you saw your first VM get spun up and you're like, wow, this is unbelievable, and then it was so easy to spin up. and then you just save VM creep and copy creep. >> Right. >> And you're seeing some similar things now with cloud I mean example is the cloud data warehouses is so easy to spin those things up now. The CFOs are looking at the bill going Whoa, what are we doing here? >> (laughs) >> You're going to see the same thing >> Exactly. >> with containers as you begin to persist containers, you're going to have the same problem. So you guys created the category, it's always a marketing executives dreams to be able to create a category. You guys created the Copy Data Management category, and of course, you've extended that. But that was really good, it was something that you guys set forth and then all the analysts picked up on it, people now use that as a term and it kind of resonates with everybody. >> Right, right. It was bittersweet but also very satisfying to start to see other vendors come out with their own Copy Data Management offerings, and so yes the validating that in fact this is a real problem in the enterprise continues to be a real problem in the enterprise, and by using technologies that Actifio really pioneered and patented quite a bit of foundational technologies around, we're able to help customers address those copy data challenges, those spiraling costs of managing all of these duplicate, physical instances of data. And to your point, to some degree when you're on-prem in a data center and you've already bought your storage array. Okay, I'm consuming 20% more of the Ray or 100% more of the array than I really need to be, but I've already paid for the array. When it comes to cloud, those bills are adding up hourly, daily, weekly, monthly, and those are real costs, and so in many ways cloud is actually highlighting the power and frankly the problem of copy data, far more than the on-prem phenomenon ever did. >> Yeah I was on the phone with a former CIO, COO now of a healthcare organization, and he was saying to me there's a dark side of CapEx to OPEX, which is now that he's a COO he's like really concerned about the income statement and the variability of those costs, and so to your point I mean it's a big issue, the convenience seems to be outweighing some of that concern but nonetheless lack of predictability is a real concern there. >> Absolutely, absolutely. And I think we see that... You mentioned data lakes, and whether you call it a data lake or you just call it a massive data instance, one of the speakers of Data Driven this year is a customer of our Century Data Systems down in Florida. And they have 120 terabyte database that actually they're using, and this is an incredible story that we're excited to have them share with the world during Data Driven. They're using it to help the federal government get better data faster on COVID treatments and the efficacy of those treatments, and so to even consider being able to rapidly access and manage 120 terabyte instance. It breaks the laws of physics frankly. But again with Copy Data Management, we have the ability to help them really extend and really enhance their business and ultimately enhance the data flows that are hopefully going to accelerate the access to a vaccine for us in North American and worldwide, quite frankly. >> That's awesome, that's awesome. Now let's talk a little bit more about Data Driven what we can expect. Of course, the last couple of years you've been the host of Data Driven. They pulled a Ricky gervais' on you >> (Laughs loudly) like get the golden gloves, he's no longer being invited to host, but I think probably for different reasons, but what are some the major themes that we can expect this year? >> Yeah, we were disappointed that we couldn't get Tina Fey and Amy Poehler. >> (laughs quietly) I think we decided that in a virtual construct, the host duties were pretty amenable. So among the many things I talked about Sentry Data Systems and we have many customers who are going to be joining us and telling their stories. And again from accelerating data analytics to accelerating DevOps initiatives, to accelerating a move to the cloud, we're going to hear all of those different use cases described. One of the things that is different this year and we're really excited. Gene Kim sort of the author and noted DevOps guru, author of The Phoenix Project and The Unicorn Project, he's going to be joining us. We had previously intended to do a road show with Gene this year and obviously those plans got changed a bit. So really excited to have him join us, talk about his point of view around DevOps. Certainly it's a hugely important use case for us, really important for many of our customers, and actually registrant's between now and the event, which is September 15th and 16th, we'll get an eCopy an e-book copy of his Unicorn Project book. So we're eager to have people register and if they haven't already read him then I think they're going to be really pleasantly surprised to see how accessible his materials are, and yet how meaningful and how powerful they can be in terms of articulating the journeys that many of these businesses are going through. >> Yeah, I'm glad you brought that up. I'm stucked I have not read that material, but I've heard a lot about it, and when I signed up I saw that, said great I'm going to get the free book. So I'm going to check that out, >> Yeah It's obviously a very, very hot topic. Well Brian, I really appreciate you coming on, and setting up the event. What are the details? So where do I go to sign up? When is the event? What's the format? Give us the lowdown. >> It is September 15th and 16th, actifio.com will guide you through the registration process. You'll be able to create the event based on the content that you're eager to participate in. And again not only on the 15th and 16th, but then into the future, you'll be able to go back and re access or access content that you didn't have the time to do during the event window. So we're really excited to be able to offer that as an important part of the event. >> Fantastic and of course theCUBE will be there doing its normal wall to wall coverage. Of course, this time virtual, and you'll see us on social media with all the clips and all the work on Silicon Angle. So Brian great to see you and we will see you online in September. >> Thanks, Dave. >> All right, and thank you. Go to actifio.com, sign up register for Data Driven, this is Dave Vellante for theCUBE, we'll see you next time. (upbeat music)
SUMMARY :
brought to you by Actifio. and with me is Brian Reagan who is Dave it's always a pleasure to be here, favorite events of the season, of all of the challenges but what you do with Data Driven and all the Actifio folk, and really talk about the themes and then you just save so easy to spin those things up now. and it kind of resonates with everybody. and frankly the problem of copy data, and so to your point I and the efficacy of those treatments, Of course, the last couple of years Tina Fey and Amy Poehler. One of the things that So I'm going to check that out, When is the event? And again not only on the 15th and 16th, and all the work on Silicon Angle. Go to actifio.com, sign up
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Actifio Data Driven 2020 Promo with Brian Reagan
>>from around the globe. It's the queue with digital coverage of active eo data driven 2020 Brought to you by activity. >>Hi, I'm Brian Reagan from Active Seo. And I'd like to welcome you to join us at Data Driven 2020 this year. Online as in years past, it's all about the customer from the bear voice to you talking about how they're solving their cloud Dev Ops Analytics and data protection challenges using the activity of platform and helping move their business forward this year. We're also excited to welcome Gene Kim Noted Dev Ops author in Guru on his E book. The Unicorn Project is available for free if you register today, so join us September 15th and 16th for data driven 2020. We look forward to seeing you online. >>Yeah, yeah, yeah, yeah, yeah
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Wendy Mars, Cisco | Cisco Live EU Barcelona 2020
>>Live from Barcelona, Spain. It's the Cube covering Cisco Live 2020 right to you by Cisco and its ecosystem partners. >>Welcome back, everyone to the Cube's live coverage Day four of four days of wall to wall action here in Barcelona, Spain, for Cisco Live. 2020. I'm John Furrier with my co host Dave Volante, with a very special guest here to wrap up Cisco Live. The president of Europe, Middle East Africa and Russia. Francisco Wendy Mars Cube Alumni. Great to see you. Thanks for coming on to. I kind of put a book into the show here. Thanks for joining us. >>It's absolutely great to be here. Thank you. >>So what a transformation. As Cisco's business model of continues to evolve, we've been saying brick by brick, we still think big move coming. I think there's more action. I can sense the walls talking to us like Cisco live in the US and more technical announcement. In the next 24 months, you can see you can see where it's going. It's cloud, it's APS. It's policy based program ability. It's really a whole another business model shift for you and your customers. Technology shift in the business model shift. So I want to get your perspective this year. Opening. Keynote. Oh, you let it off Talking about the philosophy of the business model, but also the first presenter was not a networking guy. It was an application person. App dynamics. Yep, this is a shift. What's going on with Cisco? What's happening? What's the story? >>You know, if if you look for all of the work that we're doing is is really driven by what we see from requirements from our customers to change, that's happening in the market and it is all around. You know, if you think digital transformation is the driver organizations now are incredibly interested in, how do they capture that opportunity? How do they use technology to help them? But, you know, if you look at it, really, there's the three items that are so important it's the business model evolution. It's actually the business operations for for organizations. Plus, there people, they're people in the communities within that those three things working together. And if you look at it with, it's so exciting with application dynamics there because if you look for us within Cisco, that linkage off the application layer through into the infrastructure into the network. And bringing that linkage together is the most powerful thing because that's the insights and the value our customers are looking for. >>You know, we've been talking about the the innovation sandwich, you know, you got data in the middle and you've got technology and applications underneath. That's kind of what's going on here, but I'm glad you brought up the part about business model. This is operations and people in communities. During your keynote, you had a slide that laid out three kind of pillars. Yes, people in communities, business model and business operations. There was no 800 series in there. There was no product discussions. This is fundamentally the big shift that business models are changing. I tweeted provocatively, the killer wrap in digital business model. Because you think about it. The applications are the business. What's running under the covers is the technology, but it's all shifting and changing, so every single vertical every single business is impacted by. This is not like a certain secular thing in the industry. This is a real change. Can you describe how those three things are operating with that can >>sure. I think if you look from, you know, so thinking through those three areas. If you look at the actual business model itself, our business models is organizations are fundamentally changing and they're changing towards as consumers. We are all much more specific about what we want. We have incredible choice in the market. We are more informed than ever before. But also we are interested in the values of the organizations that we're getting the capability from us as well as the products and the services that naturally we're looking to gain. So if you look in that business model itself, this is about, you know, organizations making sure they stay ahead from a competitive standpoint about the innovation of portfolio that they're able to bring, but also that they have a strong, strong focus around the experience, that they're customer gains from an application, a touch standpoint that all comes through those different channels, which is at the end of the day, the application. Then if you look as to how do you deliver that capability through the systems, the tools, the processes? As we all evolve, our businesses have to change the dynamic within your organization to cope with that. And then, of course, in driving any transformation, the critical success factor is your people and your culture. You need your teams with you. The way teams operate now is incredibly different. It's no longer command and control. It's agile capability coming together. You need that to deliver on any transformation. Never, never mind. Let it be smooth, you know, in the execution they're all three together. >>But what I like about that model and I have to say, this is, you know, 10 years of doing the Cube, you see that marketing in the vendor community often leads what actually happens. Not surprising as we entered the last decade, there's a lot of talk about Cloud. Well, it kind of was a good predictor. We heard a lot about digital transformation. A lot of people roll their eyes and think it's a buzzword, but we really are. I feel like exiting this cloud era into the digital era. It feels, really, and there are companies that get it and are leaning in. There are others that maybe you're complacent. I'm wondering what you're seeing in Europe just in terms of everybody talks digital, every CEO wants to get it right. But there is complacency. Their financial services said Well, I'm doing pretty well, not on my watch. Others say, Hey, we want to be the disruptors and not get disrupted. What are you seeing in the region? In terms of that sentiment, >>I would say across the region, you know, there will always be verticals and industries that slightly more advanced than others. But I would say that the bulk of conversations that I'm engaged in independence of the industry or the country in which we're having that conversation in there is a acceptance off transfer. Digital transformation is here. It is affecting my business. I if I don't disrupt, I myself will be disrupted and we challenged Help me. So I You know, I'm not disputing the end state and the guidance and support soon drive the transition and risk mitigated manner, and they're looking for help in that there's actually pressure in the board room now around a what are we doing within within organizations within the enterprise service, right of the public sector, any type of style of company. There's that pressure point in the board room of Come on, we need to move it speed. >>Now the other thing about your model is technology plays a role and contribute. It's not the be all end. All that plays a role in each of those the business model of business operations developing and nurturing communities. Can you add more specifics? What role do you see technology in terms of advancing those three years? >>So I think, you know, if you look at it, technology is fundamental to all of those fears in regard. Teoh Theo innovation that differentiation technology could bring the key challenges. One being able to apply it in a manner where you can really see differentiation of value within the business. So and then the customer's organization. Otherwise, it's technology for the sake of technology. So we see very much a movement now to this conversation of talk about the use case, the use cases, the way by which that innovation could be used to deliver value to the organization on also different ways by which a company will work. Look at the collaboration Kate Capability that we announced earlier this week of helping to bring to life that agility. Look at the the APP D discussion of helping the link the layer of the application into the infrastructure of the network to get to root, cause identification quickly and to understand where you may have a problem before you actually arises and causes downtime many, many ways. >>I think the agility message has always been a technical conversation. Agile methodology, technology, softer development, No problem check. That's 10 years ago. But business agility is moving from a buzz word to reality. Exactly. That's what you're kind of getting. >>Their teams have. Teams operate, how they work and being able to be quick, efficient, stand up, stand down and operate in that way. >>You know, we were kind of thinking out loud on the Cube and just riffing with Fabio Gori on your team on Cisco's team about clarification with you, Gene Kim around kind of real time. What was interesting is we're like, Okay, it's been 13 years since the iPhone, and so 13 years of mobile in your territory in Europe, Middle East Africa mobility has been around before the iPhone, so more advanced data privacy much more advanced in your region. So you you you have a region that's pretty much I think, the tell signs for what's going on North American around the world. And so you think about that. You say Okay, how is value created? How the economics changing this is really the conversation about the business model is okay. If the value activities are shifting and being more agile and the economics are changing with SAS, if someone's not on this bandwagon is not an end state discussion, very. It's done Deal. >>Yeah, it's But I think also there were some other conversation which, which are very prevalent here, is in the region so around trust around privacy law, understanding compliance. If you look at data where data resides, portability of that data GDP our came from Europe has pushed out on those conversations will continue as we go over time. And if I also look at, you know, the dialogue that you saw, you know, within World Economic Forum around sustainability that is becoming a key discussion now within government here in Spain, you know, from a climate standpoint and many other areas >>as well. David, I've been riffing around this whole where the innovation is coming from. It's coming from your region, not so much the us US. We've got some great innovations. But look at Blockchain. Us is like, don't touch it pretty progressive outside United States. A little dangerous to, But that's where innovation is coming from, and this is really the key that we're focused on. I want to get your thoughts on. How do you see it going? Next level? The next level. Next. Gen Business model. What's your What's your vision? >>So I think there'll be lots of things if we look at things like it with the introduction. Introduction of artificial intelligence, Robotics capability five g of course, you know, on the horizon we have Mobile World Congress here in Barcelona a few weeks time. And if you talked about with the iPhone, the smartphone, of course, when four g was introduced, no one knew what the use case where that would be. It was the smartphone, which wasn't around at that time. So with five G and the capability there, that will bring again yet more change to the business model for different organizations and capability and what we can bring to market >>the way we think about AI privacy data ownership becomes more important. Some of the things you were talking about before. It's interesting what you're saying. John and Wendy, the GDP are set this standard and and you're seeing in the US they're stovepipes for that standard California is gonna do want every state is gonna have a difference, and that's going to slow things down. It's going to slow down progress. Do you see sort of an extension of GDP, our like framework of being adopted across the region, potentially accelerating some of these sticky issues and public policy issues that can actually move the market forward? >>I think I think that will because I think there'll be more and more if you look at this is terminology of data. Is the new oil What do you do with data? How do you actually get value from that data? Make intelligent business decisions around that? So, yeah, that's critical. But yet if you look for all of ours, we are extremely passionate about where's our data used again? Back to trust and privacy. You need compliance, you need regulation. And I think this is just the beginning off how we will see that >>evolving. You know, when you get your thoughts. David, I've been riffing for 10 years around the death of storage. Long live storage. But data needs to be stored somewhere. Networking is the same kind of conversation just doesn't go away. In fact, there's more pressure now to get the smartphone. That was 13 years ago, before that. Mobility, data and Video. Now super important driver. That's putting more pressure on you guys. And so hey, we did well, networking. So it's kind of like Moore's Law. More networking, more networking. So video and data are now big your thoughts on video and data video. >>But if you look out the Internet of the future, you know what? So if you look for all of us now, we are also demanding as individuals around capability and access of. That's an Internet of the future. The next phase. We want even more so they'll be more more requirement for speed availability, that reliability of service, the way by which we engage in we communicate. There's some fundamentals there, so continuing to grow, which is which is so, so exciting force. >>So you talk about digital transformation that's obviously in the mind of C level executives. I got to believe security is up. There is a topic one other. What's the conversation like in the corner office when you go visit your customers? >>So I think there's a There's a huge excitement around the opportunity, realizing the value of the of the opportunity on. You know, if you look at top of mind conversations around security around, making sure that you can make taint, maintain that fantastic customer experience because if you don't the customer go elsewhere, How do you do that? How do you enrich at all times and also looking at market? Jason sees, you know, as you go in a new tour at senior levels, within, within organizations independent of the industry in which they're in. They're a huge amount of commonalities that we see across those of consistent problems by which organizations are trying to solve. And actually, one of the big questions is what's the pace of change that I should operate us on? When is it too fast? And one is one of my too slow and trying to balance that is exciting but also a challenge for a company. >>So you feel like sentiment. There's still strong, even though we're 10 years into this, this bull market you get Brexit, China tensions with US US elections. But but generally you see sentiment still pretty strong demand. >>So I would say that the the the excitement around technology, the opportunity that is there around technology in its broader sense is greater than ever before. And I think it's on all of us to be able to help organizations to understand how they can consume and see value from us. But it's a fantastic times, >>gets economic indicators way. So >>I know you >>have to be careful, >>but really, the real I think I'm trying to get to is is the mindset of the CEO. The corner office right now is it is that we're gonna we're gonna grow short term by cutting or do we going to be aggressive and go after this incremental opportunity? And it's probably both. You see a lot of automation in cars >>both, and I think if you look fundamentally for organizations, it's it's the three things helped me to make money, how to save money, keep me out of trouble. So those are the pivots they all operate with on, you know, depending on where an organization is in its journey, whether they're start up there in the middle, the more mature and some of the different dynamics and the markets in which they operate in a well, there's all different variables, you know? So it's it's it's mixed. >>Wendy, thanks so much to spend the time to come on. The Cube really appreciate great keynote folks watching. If you haven't seen the keynote opening section, that's good. Second, the business model. I think it's really right on. I think that's gonna be a conversation will continue. So thanks for sharing that before we look. Before we leave, I want to just ask a question around, What? What's going on for you here in Barcelona? As the show winds down, you had all your activities. Take us in the day in the life of what you do. Customer meetings. What were some of those conversations? Take us inside inside. What? What goes on for you here? >>I tell you, it's been an amazing It's been amazing few days, So it's a combination of customer conversations around some of the themes We just talked about conversations with partners. There's investor companies that we invest in a Cisco that I've been spending some time with on also spending time with the teams as well. The definite zone, you know, is amazing. We have this afternoon the closing session where we got a fantastic, um, external guests who's coming in is going to be really exciting as well. And then, of course, the party tonight and will be announcing the next location, which I'm not going to reveal now. Later on today, >>we kind of figured it out because that's our job is to break news, but we're not gonna break it for you to have that. Hey, thank you so much for coming on. Really appreciate. When any market in Europe, Middle East Africa and Russia for Cisco she's got her hand on the pulse and the future is the business model. That's what's going on. Fundamentally radical change across the board in all areas. This is the Cube, bringing you all the action here in Barcelona. Thanks for watching. >>Yeah, yeah,
SUMMARY :
Cisco Live 2020 right to you by Cisco and its ecosystem I kind of put a book into the show here. It's absolutely great to be here. In the next 24 months, you can see you can see where it's going. And if you look at it with, it's so exciting with application dynamics there because if you look for us within You know, we've been talking about the the innovation sandwich, you know, you got data I think if you look from, you know, so thinking through those three areas. But what I like about that model and I have to say, this is, you know, 10 years of doing the Cube, So I You know, I'm not disputing the end state and the guidance and support soon drive the transition What role do you see technology in terms of advancing those So I think, you know, if you look at it, technology is fundamental to all of those fears in regard. I think the agility message has always been a technical conversation. Teams operate, how they work and being able to be quick, So you you you have a region that's pretty much I think, the tell signs for what's going on And if I also look at, you know, the dialogue that you saw, How do you see it going? intelligence, Robotics capability five g of course, you know, on the horizon we have Mobile World Congress Some of the things you were talking about before. Is the new oil What do you do with data? You know, when you get your thoughts. But if you look out the Internet of the future, you know what? What's the conversation like in the corner office when you go visit your customers? You know, if you look at top of mind conversations around security So you feel like sentiment. the opportunity that is there around technology in its broader sense is greater than ever before. So but really, the real I think I'm trying to get to is is the mindset both, and I think if you look fundamentally for organizations, it's it's the three things helped me As the show winds down, you had all your activities. of course, the party tonight and will be announcing the next location, which I'm not going to reveal now. This is the Cube, bringing you all the action here in Barcelona.
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Fabio Gori & Eugene Kim, Cisco | Cisco Live EU Barcelona 2020
>>Live from Barcelona, Spain. It's the Cube covering Cisco Live 2020 right to you by Cisco and its ecosystem partners. >>Welcome back to the Cube's live coverage here at Cisco Live 2020 in Barcelona, Spain. I'm jumpers student of cube coverage. We've got a lot of stuff going on in Cisco Multi cloud and cloud technology. Quantification of Cisco's happening in real time is happening right now. Cloud is here here to stay. We got two great guests unpack what's going on in cloud native and networking and applications as the modern infrastructure and software evolves. We got you. Gene Kim, global product marketing. Compute Storage at Cisco Global marketing manager and Rob Gori, senior director. Cloud Solution Marketing Guys come back. Thanks for coming back. Appreciate it. Great to see you Barcelona guys. So, Bobby, we've had multiple conversations and you see that from the sales force given kind of the the discussion in the motivation Cloud is big. It's here. It's here to stay. It's changing. Cisco AP I first week here in all the products, it's changing everything. What's the story now? What's going on? >>I would say you know the reason why we're so excited about the launch here in Barcelona is because this time it's all about the application of spirits. I mean, the last two years we've being announcing some really exciting stuff in the cloud space where I think about all the announcements with AWS is the Googles the azure, so the world. But this time it really boils down to making sure that is incredibly hyper distributive world. There is an application explosion. Ultimately, we will help for the right operation stools and infrastructure management tools to ensure that the right application experience will be guaranteed for the end customer. And that's incredibly important because at the end, what really really matters is that you will ensure the best possible digital experience to your customer. Otherwise, ultimately nothing's gonna work. And, of course, you're gonna lose your brand and your customers. >>One of the main stories that we're covering is the transformation of the industry. Also, Cisco and one of the highlights to me was the opening keynote. You had APP dynamics first, not networking. Normally it's like what's in the hood? Routers and the gear. No, it was about the applications. This is the story we're seeing. It's kind of a quiet unveiling. Its not get a launch, but it's evolving very quickly. Can you share what's going on behind this? All this? >>Absolutely. It's exactly along the lines of what I was saying a second ago, in the end that the reason why we're driving the announcement, if you want from the application experience side of the House, is because with Appdynamics, we already have very, very powerful application performance management, which it's evolving extremely rapidly. First of all, Appdynamics can correlate not just the application for four months to some technology, maybe eyes, but through actual business KP eyes. So app dynamics can give you, for instance, serial time visibility off, say, a marketing funnel conversion rates transactions that you're having in your in your business operation. Now we're introducing an incredibly powerful new capability that takes the bar to a whole new level. And that's the Appdynamics experience. Journey maps. What are those? It's actually the ability off, focusing not so much on front ends and back ends and the business performances, but really focusing on what the user is seen in front of his or her screen. And so what really matters is capturing the journey that given user of your application is being and understanding whether the experience is the one that you want to deliver or you have, like, a sudden drop off somewhere. And you know why this is important because in the end we've been talking about is the problem of the application, performance issues or performance. It could be a badly designed page. How do you know? And so this is a very precious information they were giving to application developers know, just through the idea. Ops, guys, that is incredibly gracious. >>Okay, you want to get this in. So you just brought up that journey. So that's part of the news. Just break down real quick. One minute what the news is. >>Yeah, so we have three components. The 1st 1 as you as you correctly pointed out, is really the introduction of the application. The journey maps, right. The experience journey maps. That's very, very important. The second he's way are actually integrating Appdynamics with the inter site. Actually, inter site the optimization manager, the workload optimization, workload, optimizer. And so because there is exchange of data between the two now, you are in a position to immediately understand whether you have an application problem. We have a worker problem for structure problem, which is after me, where you really need to do as quickly as you can. And thirdly, way have introduced a new version of our hyper flex platform, which is hyper converge flagship platform for Cisco with a fully containerized version, the tax free if you want as well, that is a great platform for containerized applications. >>So you do and what I've been talking to customers last few years. When they go through their transformational journey, there's the modernization they need to do. The pattern I've seen most successful is first, modernize the platform often HD I is, you know, an option for that. It really simplifies the environment, reduces the silos on, has more of that operational model that looks closer to what the cloud experience is. And then, if I've got a good platform, then I can modernize the applications on top of it. But often those two have been a little bit disconnected. It feels like the announcements now that they are coming together. What are you seeing? What're you hearing? How your solutions at solving this issue >>exactly. I mean, as we've been talking to our customers, a lot of them are going through a different application. Modernizations and kubernetes and containers is extremely important to them. And to build a container cloud on Prem is extremely one of their needs. And so there's three distinctive requirements that they've kind of talk to us about. A lot of it has to be ableto it's got to be very simple, very turnkey, fully integrated, ready to turn on the other. One is something that's very agile, right? Very Dev Ops friendly and the third being a very economic container cloud on prim. So as you mentioned, High Flex Application Platform takes our hyper converge system and build on top of it a integrated kubernetes platform to deliver a container as a service type capability. And it provides a full stack, fully supported element platform for our customers, and one of the best great aspects of it is it's all managed from inter site, from the physical infrastructure to the hyper converge layer to all the way to the container management. So it's very exciting to have that full stack management and inter site as well. >>It's great to see you, John and I have been following this kubernetes wave since the early early days. Fabio mentioned integrations with the Amazons and Googles of the world because, you know, a few years ago you talk to customers and they're like, Oh, well, I'm just going to build my own community. Nobody ever said that is easy now. Just delivering as a service seems to be the way most people want it. So if I'm doing it on Amazon or Google, they've got their manage service that I could do that or that there partners we're working with. So explain what you're doing to make it simpler in the data center environment. Because on Prem absolutely is a piece of that hybrid equation that customers need. >>Yes, so, essentially from the customer experience perspective, as I mentioned, very fairly turnkey right from the hyper flex application platform we're taking are happening for software were integrating a application virtualization layer on top of it analytics k VM based. And then on top of that, we're integrating the kubernetes stack on top of as well. And so, in essence, right? It's a fully curated kubernetes stack that has all the different elements from the networking from the storage elements and provide that in a very turnkey way. And as I mentioned, the inter site management is really providing that simplicity that customers need for that management. >>Fabio This is the previous announcements you've made with the public clouds. This just ties into those hybrid environments. That's exactly a few years ago. People like, Oh, is there going to be a distribution that wins in kubernetes? We don't think that's the answer, but still, I can't just move between kubernetes. You know seamlessly yet. But this is moving toward that >>direct. Absolutely. A lot of customers want to have a very simple implementation. At the same time, they weren't off course a multi cloud approach and I really care about marking the difference between multi cloud hybrid Cloud has been a lot of confusion. But if you think about a multi cloud is re routed into the business need or harnessing innovation from wherever it comes from, you know the different clouds capability from things, and you know what they do today. Tomorrow it could even change, so people want optionality, so they want a very simple implementation that's integrated with public cloud providers that simplifies their life in terms of networking, security and application of workload management. And we've been executing towards that goal so fundamentally simplify the operations of these pretty complex kind of hybrid apartments. >>And once you nail that operations on hybrid, that's where multi cloud comes in. That's really just a connection point. >>Absolutely, you know, you might know is an issue. So in order to fulfill your business, your line of business needs you. Then you have a hybrid problem, and you want to really kind of have a consistent production grade environment between things on Prem that you own and control versus things that you use and you want to control better. Now, of course, they're different school thoughts. But most of the customers who are speaking with really want to expand their governance and technology model right to the cloud, as opposed to absorb in different ways of doing things from each and every time. >>I want to unpack a little bit of what you said earlier about the knowing where the problem is, because a lot of times it's a point, the finger at the other first, it's the application promising the problem, so I want to get into that. But first I want to understand the hyper flex application platform. Eugene, if you could just share the main problem that you guys solve, what are some of the pain points that customers had? What problem does the AP solved? >>Yeah, as I mentioned, it's really the platform for our customers to modernize the applications on right, and it addresses those things that they're looking for as far as the economics right, really? The ability to provide a full stack container experience without having to, you know, but bringing any third party hyper visor licenses as well support costs that's well integrated. There you have your integrated, hyper converged storage capability. You have the cloud based management, and that's really developing. You provide that developer dev ops simplicity from that agility that they're looking for internally as well as for their production environments. And then the other aspect is the simplicity to manage all this right and the entire life cycle management >>as well. So it's the operational side of the hole in under the covers hobby on the application side where the problem is because this is where I'm a bit skeptical, Normal rightfully so. But I can see a problem where it's like Whose fault is it? Applications, problem or the network? I mean, it runs on where? Sears Workloads, Banking app. It's having trouble. How do you know where the problem is? And how do you solve that problem with what's going on for that specific issue? >>Absolutely. And you know, the name of the game here is breaking down this operational side, right? And I love what are appdynamics VP? GM Any? Whitaker said. You know, he has this terminology. Beast develops, which it may sound like an interesting acrobatics, but it's absolutely too. The business has to be part of this operational kind of innovation because, as you said, you know, developer just drops their containers and their code to the I T. Ops team, but you don't really know whether the problem a certain point is going to be in the code or in the application is actually deployed. Or maybe a server that doesn't have enough CPU. So in the end, it boils down to one very important thing. You have to have visibility, insights and take action at every layer of the stack. Instrumentation. Absolutely. There are players that only do it in their software overlay domain. The problem is, very often these kind of players assume they're underneath. Things are fine, and very often they're not. So in the end, this visibility inside in action is the loop that everybody's going after these days, too, Really get to the next. If you want a generational operation, where you gotta have a constant feedback loop and making it more faster and faster because in the end you can only win in the marketplace, right? So your I T ops, if you're faster than your competitors, >>will still still questioning the GM of APP Dynamics. Run, observe, ability. And he's like, No, it's not a feature, it's everywhere. So he's comment was observe. Abilities don't really talk about it because it's a big in. You agree with that? >>Absolutely. It has to be at every layer of the stack, and only if you have visibility inside an action through the entire stock, from the software all the way to the infrastructure level that you can solve the problems. Otherwise, the finger pointing quote unquote will continue, and you will not be able to gain the speed you need. >>Okay, so The question on my mind I want to get both of you guys could weigh in on this is that if you look at Cisco as a company, you got a lot going on. You guys huge customer base core routers to know applications. There's a lot going on a lot of a lot of complexity. You got I o. T. Security members talking about that. You got the WebEx rooms totally popular. It's got a lot of glam, too, and having the WebEx kind of, I guess, what virtual presence was telepresence kind of model. And then you get cloud. Is there a mind share within the company around how cloud is baked into everything? Because you can't do I ot edge without having some sort of cloud operational things. Stuff we're talking about is not just a division. It's kind of it's kind of threads everywhere across Cisco. What's the what's the mind share right now within the Cisco teams and also customers around cloud ification? >>Well, I would say it's it's a couple of dimensions. The 1st 1 is the cloud is one of the critical domains of this multi domain architecture. That, of course, is the cornerstone of Cisco's. The knowledge is strategy, right? If you think about it, it's all about connecting users to applications wherever they are and not just the users to the applications themselves. Like if you look at the latest US from I. D. C. 58% of workloads is heading to a public cloud, and the edge is like the data center is exploding many different directions. So you have this highly distributed kind of fabric. Guess what sits in between. All these applications and micro services is a secure network, and that's exactly what we're executing upon. Now that's the first kind of consideration. The second is if you look at the other civil line. Most of the Cisco technology innovation is also going a direction of absorbing cloud as a simplified way of managing all the components or the infrastructure. You look at the hyper flex. AP is actually managed by Inter site, which is a SAS kind of component. This journey started long time ago with Cisco Iraqi on then, of course, we have sass properties like WebEx. Everything else absolutely migrate borders. >>We've been reporting Eugene that five years ago we saw the movement where AP, eyes were starting to come in when you go back five years ago. Not a lot of the gear and stuff that Cisco had AP eyes. Now you got AP eyes building in all the new products that you see the software shift with you intent based networking to APP dynamics. It's interesting. It's you're seeing kind of the agile mindset. This is something you and I talk all the time. But agile now is the new model. Is it ready for customers? I mean, the normal enterprises still have the infrastructure and separated, and they're like, Okay, how do I bring it together? What do you guys see in the customer base? What's going on with that early adopters, Heavy duty hardcore pioneers out there. But you know, the general mainstream enterprise. Are they there yet? Have they had that moment of awakening? >>Yeah, I mean, I think they they are there because fundamentally, it's all about ensuring that application experience. And you could only ensure the application experience right by having your application teams and infrastructure teams work together. And that's what's exciting. You mentioned Ap eyes and what we've done. They were with APP dynamics, integrating with inner sight workload. Optimizer as you mentioned all the visibility inside in action and what APP Dynamics has provides. Provide that business and end user application performance experience. Visibility Inter site. It's giving you visibility on the underlining workload, and the resource is whether it's on prim in your private data center environment or in a different type of cloud providers. So you get that full stack visibility right from the application all the way down to the bottom and then inter site local optimizer is then also optimizing the resource is to proactively ensure that application experience. So before you know, if we talk about someone at a check out and they're about there's of abandonment because the function is not working, we're able to proactively prevent that and take a look at all that. So, you know, in the end, I think it's all about ensuring that application experience and what we're providing with APP Dynamics is for the application team is kind of that horizontal visibility of how that application performing and at the same time, if there's an issue, the infrastructure team could see exactly within the workload topology, where the issue is and entertain safely, whether it be manual intervention or even automatically our ops capability. Go ahead and provide that action so the action could be, you know, scaling out the VM that's on Prem or looking at new, different type of easy to template in the cloud. That's a very exciting about this. It's really the application experience is now driving and optimize the infrastructure in real >>time. And let me flip your question like, Do you even have a choice, John, when you think about in the next two years 50% more applications? If you're a large enterprise here, 5 to 7000 apps you have another 2 3000 applications just coming into into the and then 50% of the existing ones that are going to be re factor lifted and shifted the replace or retired by SAS application. It's just like a tsunami that's that's coming on you and oh, by the way, because again the micro services kind of effect the number of dependencies between all these applications is growing incredibly rapidly, Like last year, we were eight average interdependencies for applications. Now we have 20 so in Beijing imaginable happens as you are literally flooded with this can really you have to ensure that your application infrastructure fundamentally will get tied up as quickly as you can >>see. You and I have been talking for at least five years now, if not longer. Networking has been the key kind of last change over clarification. I would agree with you guys. I think last question because I wanted to get your perspective. But think about it. It's 13 years since the iPhone so mobile has shown people that mobile app can change business. But now you get the pressure of the networks. Bringing that pressure on the network or the pressure of the network to be better than programmable is the rise of video and data. I mean, you got mobile check now you got it. Video. I mean more people doing video now than ever before. Videos of consumer. Well, it's streaming. You got data? These two things absolutely forced customers to deal with it. >>But what really tipped the balance? John is actually the SAS effect is the cloud effect because, as you know, it's an I t. So the inflection points. Nothing gets a linear right. So once you reach a certain critical mass of cloud apps, and we're absolutely they're already all of a sudden your traffic pattern on your network changes dramatically. So why in the world are you continuing? Kind of, you know, concentrating all of your traffic in your data center and then going to the Internet. You have to absolutely open the floodgates at the branch level and as close to the users this possible, and that it implies a radical change of the >>way I would even add to that. And I think you guys are right on where you guys are going. It may be hard to kind of tease out with all the complexity with Cisco, but in the keynote, the business model shifts come from SAS. So you got all this technical stuff going on. You have the sass ification, or cloud changes the business models so new entrants can come in and existing players get better. So I think that whole business model conversation never was discussed at Cisco Live before in depth. Okay, run your business, connect your hubs campus move packets around Dallas applications in business model, >>but also the fact that there is increasing number off software capabilities and so fundamental. You want to simplify the life of your customers through subscription models that help the customer buying a using what they really need the right at any given point in time, all the way to having enterprise agreements. >>I also think that's about delivering these application experiences free for small, different experience. That's really what's differentiating you from your competitors, right? And so that's a different type of >>shift as well. Well, you guys have got a good That's a good angle on this cloud. I love it. I got to ask the question. What can we expect next from Cisco? More progression along cloud ification? What's next? >>Well, I would say we've been incredibly consistent, I believe in the last few years in executing on our cloud strategy, which again is sent around helping customers really gluing this mix, set off data centers and clouds to make it work as one right as much as possible. And so what we really deliver is networking security and application performance management, and we're integrating this more and more on the two sides of the equation, right? The data center side and the public cloud side and more more integrated in between all of these layers again, to fundamentally give you this operational capability to get faster and faster. We'll continue doing so and >>we'll get you set up before we came on camera that you were talking to sales teams. What are they? What's the vibe with sales team? They get excited by this. What's the >>oh yeah, feedback. And absolutely, from the inter site work optimizer and the app Dynamics side. It's very exciting for them. Switch the conversation they're having with their customers, really from that application experience and proactively ensuring it. And on the hyper flex application platform side, this is extreme exciting with providing a container cloud to our customers. And you know what's coming down is more and more capabilities for our customers to modernize the applications on hyper >>flex. You guys are riding a pretty big waves here at Cisco in a cloud way to get the i o t. Security wave. Great stuff. Thanks for coming in. Thanks for sharing the insights. Appreciate it. >>Thank you for having >>coverage here in Barcelona. I'm John. First, Minutemen back with more coverage. Fourth day of four days of cube coverage. Be right back after this short break. >>Yeah, yeah, yeah.
SUMMARY :
Cisco Live 2020 right to you by Cisco and its ecosystem Great to see you Barcelona guys. And that's incredibly important because at the end, what really really of the highlights to me was the opening keynote. driving the announcement, if you want from the application experience side of the House, is because with Appdynamics, So that's part of the news. of data between the two now, you are in a position to immediately understand whether you have an application problem. modernize the platform often HD I is, you know, an option for that. from inter site, from the physical infrastructure to the hyper converge layer to all the way to the container you know, a few years ago you talk to customers and they're like, Oh, well, I'm just going to build my own community. And as I mentioned, the inter site management is really providing that simplicity Fabio This is the previous announcements you've made with the public clouds. into the business need or harnessing innovation from wherever it comes from, you know the different clouds capability And once you nail that operations on hybrid, that's where multi cloud comes in. But most of the customers who are speaking with really want to expand their governance and I want to unpack a little bit of what you said earlier about the knowing where the problem is, because a lot of times it's a Yeah, as I mentioned, it's really the platform for our customers to modernize So it's the operational side of the hole in under the covers hobby on the application side where and faster because in the end you can only win in the marketplace, right? And he's like, No, it's not a feature, it's everywhere. the entire stock, from the software all the way to the infrastructure level that you can solve the problems. Okay, so The question on my mind I want to get both of you guys could weigh in on this is that if you look at Cisco as a company, The 1st 1 is the cloud is one of the critical domains Not a lot of the gear and stuff that Cisco had AP eyes. Go ahead and provide that action so the action could be, you know, scaling out the VM apps you have another 2 3000 applications just coming into into the and or the pressure of the network to be better than programmable is the rise of video and data. as you know, it's an I t. So the inflection points. And I think you guys are right on where you guys are going. but also the fact that there is increasing number off software capabilities and so fundamental. That's really what's differentiating you from your competitors, right? Well, you guys have got a good That's a good angle on this cloud. all of these layers again, to fundamentally give you this operational capability to get faster and What's the vibe with sales team? And absolutely, from the inter site work optimizer and the app Dynamics Thanks for sharing the insights. Fourth day of
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Around theCUBE, Unpacking AI Panel | CUBEConversation, October 2019
(upbeat music) >> From our studios, in the heart of Silicon Valley, Palo Alto, California, this is a CUBE Conversation. >> Hello everyone, welcome to theCUBE studio here in Palo Alto. I'm John Furrier your host of theCUBE. We're here introducing a new format for CUBE panel discussions, it's called Around theCUBE and we have a special segment here called Get Smart: Unpacking AI with some great with some great guests in the industry. Gene Santos, Professor of Engineering in College of Engineering Dartmouth College. Bob Friday, Vice President CTO at Mist at Juniper Company. And Ed Henry, Senior Scientist and Distinguished Member of the Technical Staff for Machine Learning at Dell EMC. Guys this is a format, we're going to keep score and we're going to throw out some interesting conversations around Unpacking AI. Thanks for joining us here, appreciate your time. >> Yeah, glad to be here. >> Okay, first question, as we all know AI is on the rise, we're seeing AI everywhere. You can't go to a show or see marketing literature from any company, whether it's consumer or tech company around, they all have AI, AI something. So AI is on the rise. The question is, is it real AI, is AI relevant from a reality standpoint, what really is going on with AI, Gene, is AI real? >> I think a good chunk of AI is real there. It depends on what you apply it to. If it's making some sort of decisions for you, that is AI that's blowing into play. But there's also a lot of AI left out there potentially is just simply a script. So, you know, one of the challenges that you'll always have is that, if it were scripted, is it scripted because, somebody's already developed the AI and now just pulled out all the answers and just using the answers straight? Or is it active learning and changing on its own? I would tend to say that anything that's learning and changing on its own, that's where you're having the evolving AI and that's where you get the most power from. >> Bob what's your take on this, AI real? >> Yeah, if you look at Google, What you see is AI really became real in 2014. That's when the AI and ML really became a thing in the industry and when you look why did it become a thing in 2014? It's really back when we actually saw TensorFlow, open source technology really become available. It's all that Amazon Compute story. You know, you look what we're doing here at Mist, I really don't have to worry about compute storage, except for the Amazon bill I get every month now. So I think you're really seeing AI become real, because of some key turning points in the industry. >> Ed, your take, AI real? >> Yeah, so it depends on what lens you want to kind of look at it through. The notion of intelligence is something that's kind of ill defined and depending how how you want to interpret that will kind of guide whether or not you think it's real. I tend to all things AI if it has a notion of agency. So if it can navigate its problem space without human intervention. So, really it depends on, again, what lens you kind of want to look at it through? It's a set of moving goalposts, right? If you take your smartphone back to Turing When he was coming up with the Turing test and asked them if this intelligent, or some value intelligent device was AI, would that be AI, to him probably back then. So really it depends on how you kind of want to look at it. >> Is AI the same as it was in 1988? Or has it changed, what's the change point with AI because some are saying, AI's been around for a while but there's more AI now than ever before, Ed we'll start with you, what's different with AI now versus say in the late 80s, early 90s? >> See what's funny is some of the methods that we're using aren't different, I think the big push that happened in the last decade or so has been the ability to store as much data as we can along with the ability to have as much compute readily disposable as we have today. Some of the methodologies I mean there was a great Wired article that was published and somebody referenced called, method called Eigenvector Decomposition they said it was from quantum mechanic, that came out in 1888 right? So it really a lot of the methodologies that we're using aren't much different, it's the amount of data that we have available to us that represents reality and the amount of compute that we have. >> Bob. >> Yeah so for me back in the 80s when I did my masters I actually did a masters on neural networks so yeah it's been around for a while but when I started Mist what really changed was a couple things. One is this modern cloud stack right so if you're going to have to build an AI solution really have to have all the pieces ingest tons of data and process it in real time so that is one big thing that's changed that we didn't have 20 years ago. The other big thing is we had access to all this open source TensorFlow stuff right now. People like Google and Facebook have made it so easy for the average person to actually do an AI project right? You know anyone here, anyone in the audience here could actually train a machine learning model over the weekend right now, you just have to go to Google, you have to find kind of the, you know they have the data sets you want to basically build a model to recognize letters and numbers, those data sets are on the internet right now and you personally yourself could go become a data scientist over the weekend. >> Gene, your take. >> Yeah I think also on top of that because of all that availability on the open software anybody can come in and start playing with AI, it's also building a really large experience base of what works and what doesn't work and because they have that now you can actually better define the problem you're shooting for and when you do that you increase you know what's going to work, what's not going to work and people can also tell you that on the part that's not going to work, how's it going to expand but I think overall though this comes back to the question of when people ask what is AI, and a lot of that is just being focused on machine learning and if it's just machine learning that's kind of a little limited use in terms of what you're classifying or not. Back in the early 80s AI back then is really what people are trying to call artificial general intelligence nowadays but it's that all encompassing piece. All the things that you know us humans can do, us humans can reason about, all the decision sequences that we make and so you know that's the part that we haven't quite gotten to but there is all the things that's why the applications that the AI with machine learning classification has gotten us this far. >> Okay machine learning is certainly relevant, it's been one of the most hottest, the hottest topic I think in computer science and with AI becoming much more democratized you guys mentioned TensorFlow, a variety of other open source initiatives been a great wave of innovation and again motivation, younger generations is easier to code now than ever before but machine learning seems to be at the heart of AI and there's really two schools of thought in the machine learning world, is it just math or is there more of a cognition learning machine kind of a thing going on? This has been a big debate in the industry, I want to get your guys' take on this, Gene is machine learning just math and running algorithms or is there more to it like cognition, where do you guys fall on this, what's real? >> If I look at the applications and look what people are using it for it's mostly just algorithms it's mostly that you know you've managed to do the pattern recognition, you've managed to compute out the things and find something interesting from it but then on the other side of it the folks working in say neurosciences, the first people working in cogno-sciences. You know I have the interest in that when we look at that, that machine learning does it correspond to what we're doing as human beings, now because the reason I fall more on the algorithm side is that a lot of those algorithms they don't match what we're often thinking so if they're not matching that it's like okay something else is coming up but then what do we do with it, you know you can get an answer and work from it but then if we want to build true human intelligence how does that all stack together to get to the human intelligence and I think that's the challenge at this point. >> Bob, machine learning, math, cognition is there more to do there, what's your take? >> Yeah I think right now you look at machine learning, machine learning are the algorithms we use, I mean I think the big thing that happened to machine learning is the neural network and deep learning, that was kind of a mild stepping stone where we got through and actually building kind of these AI behavior things. You know when you look what's really happening out there you look at the self driving car, what we don't realize is like it's kind of scary right now, you go to Vegas you can actually get on a driving bus now, you know so this AI machine learning stuff is starting to happen right before our eyes, you know when you go to the health care now and you get your diagnosis for cancer right, we're starting to see AI in image recognition really start to change how we get our diagnosis. And that's really starting to affect people's lives. So those are cases where we're starting to see this AI machine learning stuff is starting to make a difference. When we think about the AI singularity discussion right when are we finally going to build something that really has human behavior. I mean right now we're building AI that can actually play Jeopardy right, and that was kind of one of the inspirations for my company Mist was hey, if they can build something to play Jeopardy we should be able to build something answer questions on par with network domain experts. So I think we're seeing people build solutions now that do a lot of behaviors that mimic humans. I do think we're probably on the path to building something that is truly going to be on par with human thinking right, you know whether it's 50 years or a thousand years I think it's inevitable on how man is progressing right now if you look at the technologically exponential growth we're seeing in human evolution. >> Well we're going to get to that in the next question so you're jumping ahead, hold that thought. Ed, machine learning just math, pattern recognition or is there more cognition there to be had? Where do fall in this? >> Right now it's, I mean it's all math, so we collect something some data set about the world and then we use algorithms and some representation of mathematics to find some pattern, which is new and interesting, don't get me wrong, when you say cognition though we have to understand that we have a fundamentally flawed perspective on how maybe the one guiding light that we have on what intelligence could be would be ourselves right. Computers don't work like brains, brains are what we determine embody our intelligence right, computers, our brains don't have a clock, there's no state that's actually between different clock cycles that light up in the brain so when you start using words like cognition we end up trying to measure ourselves or use ourselves as a ruler and most of the methodologies that we have today don't necessarily head down that path. So yeah that's kind of how I view it. >> Yeah I mean stateless those are API kind of mindsets, you can't run Kubernetes in the brain. Maybe we will in the future, stateful applications are always harder than stateless as we all know but again when I'm sleeping, I'm still dreaming. So cognition in the question of human replacement. This has been a huge conversation. This is one, the singularity conversation you know the fear of most average people and then some technical people as well on the job front, will AI replace my job will it take over the world is there going to be a Skynet Terminator moment? This is a big conversation point because it just teases out what could be and tech for good tech for bad. Some say tech is neutral but it can be shaped. So the question is will AI replace humans and where does that line come from. We'll start with Ed on this one. What do you see this singularity discussion where humans are going to be replaced with AI? >> So replace is an interesting term, so there I mean we look at the last kind of Industrial Revolution that happened and people I think are most worried about the potential of job loss and when you look at what happened during the Industrial Revolution this concept of creative destruction kind of came about and the idea is that yes technology has taken some jobs out of the market in some way shape or form but more jobs were created because of that technology, that's kind of our one again lighthouse that we have with respect to measuring that singularity in and of itself. Again the ill defined definition, or the ill defined notion of intelligence that we have today, I mean when you go back and you read some of the early papers from psychologists from the early 1900s the experiment specifically who came up with this idea of intelligence he uses the term general intelligence as kind of the first time that all of civilization has tried to assign a definition to what is intelligent right? And it's only been roughly 100 years or so or maybe a little longer since we have had this understanding that's been normalized at least within western culture of what this notion of intelligence is so singularity this idea of the singularity is interesting because we just don't understand enough about the one measure ruler or yardstick that we have that we consider intelligence ourselves to be able to go and then embed that inside of a thing. >> Gene what's your thoughts on this, reasoning is a big part of your research you're doing a lot of research around intent and contextual, all these cool behavioral things you know this is where machines are there to augment or replace, this is the conversation, your view on this? >> I think one of the things with this is that that's where the downs still lie, if we have bad intentions, if we can actually start communicating then we can start getting the general intelligence yeah I mean sort of like what Ed was referring to how people have been trying to define this but I think one of the problems that comes up is that computers and stuff like that don't really capture that at this time, the intentions that they have are still at a low level, but if we start tying it to you know the question of the terminator moment to the singularity, one of the things is that autonomy, you know how much autonomy that we give to the algorithm, how much does the algorithm have access to? Now there could be you know just to be on an extreme there could be a disaster situation where you know we weren't very careful and we provided an API that gives full autonomy to whatever AI we have to run it and so you can start seeing elements of Skynet that can come from that but I also tend to come to analysis that hey even with APIs, while it's not AI, APIs a lot of that also we have the intentions of what you're going to give us to control. Then you have the AI itself where if you've defined the intentions of what it is supposed to do then you can avoid that terminator moment in terms of that's more of an act. So I'm seeing it at this point. And so overall singularity I still think we're a ways off and you know when people worry about job loss probably the closest thing that I think that can match that in recent history is the whole thing on automation, I grew up at the time in Ohio when the steel industry was collapsing and that was a trade off between automation and what the current jobs are and if you have something like that okay that's one thing that we go forward dealing with and I think that this is something that state governments, our national government something we should be considering. If you're going to have that job loss you know what better study, what better form can you do from that and I've heard different proposals from different people like, well if we need to retrain people where do you get the resources from it could be something even like AI job pack. And so there's a lot of things to discuss, we're not there yet but I do believe the lower, repetitive jobs out there, I should say the things where we can easily define, those can be replaceable but that's still close to the automation side. >> Yeah and there's a lot of opportunities there. Bob, you mentioned in the last segment the singularity, cognition learning machines, you mentioned deep learning, as the machines learn this needs more data, data informs. If it's biased data or real data how do you become cognitive, how do you become human if you don't have the data or the algorithms? The data's the-- >> I mean and I think that's one of the big ethical debates going on right now right you know are we basically going to basically take our human biases and train them into our next generation of AI devices right. But I think from my point of view I think it's inevitable that we will build something as complex as the brain eventually, don't know if it's 50 years or 500 years from now but if you look at kind of the evolution of man where we've been over the last hundred thousand years or so, you kind of see this exponential rise in technology right from, you know for thousands of years our technology was relatively flat. So in the last 200 years where we've seen this exponential growth in technology that's taking off and you know what's amazing is when you look at quantum computing what's scary is, I always thought of quantum computing as being a research lab thing but when you start to see VC's and investing in quantum computing startups you know we're going from university research discussions to I guess we're starting to commercialize quantum computing, you know when you look at the complexity of what a brain does it's inevitable that we will build something that has basic complexity of a neuron and I think you know if you look how people neural science looks at the brain, we really don't understand how it encodes, but it's clear that it does encode memories which is very similar to what we're doing right now with our AI machine right? We're building things that takes data and memories and encodes in some certain way. So yeah I'm convinced that we will start to see more AI cognizance and it starts to really happen as we start with the next hundred years going forward. >> Guys, this has been a great conversation, AI is real based upon this around theCUBE conversation. Look at I mean you've seen the evidence there you guys pointed it out and I think cloud computing has been a real accelerant with the combination of machine learning and open source so you guys have illustrated and so that brings up kind of the final question I'd love to get each of you's thought on this because Bob just brought up quantum computing which as the race to quantum supremacy goes on around the world this becomes maybe that next step function, kind of what cloud computing did for revitalizing or creating a renaissance in AI. What does quantum do? So that begs the question, five ten years out if machine learning is the beginning of it and it starts to solve some of these problems as quantum comes in, more compute, unlimited resource applied with software, where does that go, five ten years? We'll go start with Gene, Bob, then Ed. Let's wrap this up. >> Yeah I think if quantum becomes a reality that you know when you have the exponential growth this is going to be exponential and exponential. Quantum is going to address a lot of the harder AI problems that were from complexity you know when you talk about this regular search regular approaches of looking up stuff quantum is the one that allows you now to potentially take something that was exponential and make it quantum. And so that's going to be a big driver. That'll be a big enabler where you know a lot of the problems I look at trying to do intentions is that I have an exponential number of intentions that might be possible if I'm going to choose it as an explanation. But, quantum will allow me to narrow it down to one if that technology can work out and of course the real challenge if I can rephrase it into say a quantum program while doing it. But that's I think the advance is just beyond the step function. >> Beyond a step function you see. Okay Bob your take on this 'cause you brought it up, quantum step function revolution what's your view on this? >> I mean your quantum computing changes the whole paradigm right because it kind of goes from a paradigm of what we know, this binary if this then that type of computing. So I think quantum computing is more than just a step function, I think it's going to take a whole paradigm shift of you know and it's going to be another decade or two before we actually get all the tools we need to actually start leveraging quantum computing but I think that is going to be one of those step functions that basically takes our AI efforts into a whole different realm right? Let us solve another whole set of classic problems and that's why they're doing it right now because it starts to let you be able to crack all the encryption codes right? You know where you have millions of billions of choices and you have to basically find that one needle in the haystack so quantum computing's going to basically open that piece of the puzzle up and when you look at these AI solutions it's really a collection of different things going underneath the hood. It's not this one algorithm that you're doing and trying to mimic human behavior, so quantum computing's going to be yet one more tool in the AI toolbox that's going to move the whole industry forward. >> Ed, you're up, quantum. >> Cool, yeah so I think it'll, like Gene and Bob had alluded to fundamentally change the way we approach these problems and the reason is combinatorial problems that everybody's talking about so if I want to evaluate the state space of anything using modern binary based computers we have to kind of iteratively make that search over that search space where quantum computing allows you to kind of evaluate the entire search space at once. When you talk about games like AlphaGo, you talk about having more moves on a blank 19 by 19 AlphaGo board than you have if you put 1,000 universes on every proton of our universe. So the state space is absolutely massive so searching that is impossible. Using today's binary based computers but quantum computing allows you to evaluate kind of search spaces like that in one big chunk to really simplify the aspect but I think it will kind of change how we approach these problems to Bob and Gene's point with respect to how we approach, the technology once we crack that quantum nut I don't think will look anything like what we have today. >> Okay thank you guys, looks like we have a winner. Bob you're up by one point, we had a tie for second but Ed and Gene of course I'm the arbiter but I've decided Bob you nailed this one so since you're the winner, Gene you guys did a great job coming in second place, Ed good job, Bob you get the last word. Unpacking AI, what's the summary from your perspective as the winner of Around theCUBE. >> Yeah no I think you know from a societal point of view I think AI's going to be on par with kind of the internet. It's going to be one of these next big technology things. I think it'll start to impact our lives and people when you look around it it's kind of sneaking up on us, whether it's the self driving car the healthcare cancer, the self driving bus, so I think it's here, I think we're just at the beginnings of it. I think it's going to be one of these technologies that's going to basically impact our whole lives or our next one or two decades. Next 10, 20 years is just going to be exponentially growing everywhere in all our segments. >> Thanks so much for playing guys really appreciate it we have an inventor entrepreneur, Gene doing great research at Dartmouth check him out, Gene Santos at Dartmouth Computer Science. And Ed, technical genius at Dell, figuring out how to make those machines smarter and with the software abstractions growing you guys are doing some good work over there as well. Gentlemen thank you for joining us on this inaugural Around theCUBE unpacking AI Get Smart series, thanks for joining us. >> Thank you. >> Thank you. >> Okay, that's a wrap everyone this is theCUBE in Palo Alto, I'm John Furrier thanks for watching. (upbeat funk music)
SUMMARY :
in the heart of Silicon Valley, and Distinguished Member of the Technical Staff is on the rise, we're seeing AI everywhere. the evolving AI and that's where you get in the industry and when you look and depending how how you want to interpret that of data that we have available to us to go to Google, you have to find All the things that you know us humans what do we do with it, you know you can to happen right before our eyes, you know or is there more cognition there to be had? of the methodologies that we have today of mindsets, you can't run Kubernetes in the brain. of job loss and when you look at what happened and what the current jobs are and if you have if you don't have the data or the algorithms? and I think you know if you look how people So that begs the question, five ten years out quantum is the one that allows you now Beyond a step function you see. because it starts to let you be able to crack the technology once we crack that quantum nut but Ed and Gene of course I'm the arbiter and people when you look around it you guys are doing some good work over there as well. in Palo Alto, I'm John Furrier thanks for watching.
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Gene Farrell, Smartsheet | Smartsheet Engage 2019
>>live from Seattle, Washington. It's the key nude covering Smartsheet engaged 2019. Brought to you by smartsheet. >>Welcome back, everyone to the cubes. Live coverage of smartsheet engaged here in Seattle, Washington. I'm your host along with my co host, Jeff Rick. We're joined by Jean Farrell. He is the CPO of smartsheet. Thanks for coming on the show. >>Thanks for being here. >>Great to be here here last year and even bigger and better. You moved out of the hotel and convention center. That gets something. Did >>we did, We were. We have almost 4000 strong this year and we're super excited. We've been looking forward to this for a while. So >>So this is the third, the third annual conference yet. Just tell us a little bit. Let's let's open it up by telling our viewers a little bit about what this means to you, how big the show is. Give us a few stats. >>Yeah, well, you know, we ran our first customer conference, our first engaged really three years ago in in Bellevue at a conference center attached to a hotel that's right next to our headquarters, which is so super convenient, and I think we had 5 700 people there, and it was a great start andan. Last year we doubled in size and we actually outgrew the facility in Bellevue on. So when we planned for this year, we said, You know, let's go Big way felt this momentum building. We had such great feedback from customers what they learned and what they came away and could do after coming to engage that we felt we could. We were ready to kind of take it to a big stage. And so it was really exciting. I spent before joining Smartsheet two and half years ago. I spent five years that Amazon Web service is, and I was fortunate enough to be there when they did their first reinvent in Las Vegas, and it was roughly 5000 people, and I had a very interesting deja vu moment walking into the main auditorium here yesterday, Andi, it just brought back all the memories of Oh my gosh, this is like the size of remain so in three years we should be. Roughly 25,000 will be >>in Vegas >>today, up on the main stage. A lot of great new product announcements I want it, I want you to sort of break it down for our viewers. He started talking about how you really served three core customers and these new product announcements are really targeted. Each of these >>Yeah, we kind of broke it out. And what we find >>your way, sir? Customers of all sizes. So from startups, toe, medium sized businesses to large enterprise and within almost every one of those customers, we really see three distinct user groups really work force, which is at the core kind of where we started the I T teams, which many times there to support the workforce but also drive a lot of their own work clothes. And then the business decision makers. Folks that are really looking at, How do I drive overall organizational effectiveness and improve efficiency? And so what we tried to do was make sure we were delivering a set of capabilities for everybody on DSO for the workforce. We announced a bunch of new capabilities. Probably the highlight was our new conversations in context, which we're really excited about. It's gonna enable ah, whole new level of collaboration and engagement within the platform, and >>it was really >>grounded in customer feedback. That said they wanted the ability to actually interact in the context of their work and too many times what they were forced to do is they would have a question and they would have to go send an email or they go send a chat and then the response is disconnected. So it just wasn't as efficient. That could be. So we took that signal and work very closely with customers to design the new experience. So really excited about those those capabilities. We launched new forms, capabilities and multi select dropped down a lot of things that our customers are really excited around. From the workforce perspective on the I t front, we've introduced a ton of new things all year. The two big announcements today were around our accelerator for GDP are which it actually affects almost anybody that does business with an EU citizen. So a lot of folks don't really connect the dots ago. I'm in. You know, I'm in Redmond, Oregon. Why do I need to comply with GDP? Are well, if you sell the anybody in the you need to figure that out, um, and and then, um beyond GDP are. We talked about our federal offering on our new govcloud, which is really key for government agencies but also all the contractors to support government agencies. And so a lot of our customers are very interested in that. And then the final piece was really business leaders. Andi talked there about new enhancements to control center. Do it really let it scale and move across the organization roll ups, ability to do multi tier on then. Importantly, we talked about the new content collaboration capability, which is which is a really big it integrates are our slope technology. So marketing and other types of, uh, disciplines can use content collaboration in their work. I'd be remiss if I didn't mention 10,000 feet. >>So lots to talk about a lot. But you clearly, this is the customers, right? Because I think it was at the pasting. Widgets between Dashboard was a standing ovation. It's amazing the power of copy and paste when you can pull that work, you know, it's it's what the people want. It's funny you say that I am constantly >>amazed with that. The things that when you saw little problems that unlock all sorts of new use cases and many times that cheer you here is because customers have been trying to work around those problems, right? So multi select Drop Down is a great example where they had to do all sorts of gyrations in how they configure their work to support multiple selections. And so now we've made that much more elegant for them, and they're like, ecstatic because they no longer have to invest that time and >>I can't >>let you go. >>Wow, Is that all it took? I would sooner. It is a lot of times right, the simple things that have the huge, a huge improvement in kind of getting away from this repetitive work, which is under the theme we keep hearing over and over and over again. >>No, that's absolute. That's absolutely true. And it is really little things can have a big impact or Or or the analogy I sometimes will use is if you're creating a puzzle or if you have kids and you've ever built, you know, the X wing fighter set. If you're missing a few pieces, it's just not the same, right It just right. You can't kind of complete the work and so sometimes just completing that play for customers, giving them that that last piece they need to really go in power. Their workflow is is really cute. >>And I also think because we're living at a time where we have way demand so much from technology in our personal lives, and it delivers most for most. For the most part, our lives are pretty seamless and the way we can order things from anywhere. And so when we have, when we deal with these little aggravations at work, it's just that much more so. One of the things you said on the main stage is that customers are not shy about telling you what they want. So I want to hear from you how you solicit feedback and your process for making these changes for >>way actually, have >>we actually have a bunch of different mechanisms? We used to listen a customer, and I actually call it customer signal because it comes from a lot of different places. Way have kind of foundation. Aly we have a process actually called enhancement request. So many of our customers can go in our community and actually submit a form and say I really want you to build this Andi, That's very intentional, like there's no confusion, and usually they're very straightforward. But beyond that, we also we have the community in general. So we monitor that we get feedback on on kind of a freefall flowing forum where they give us feedback. We have user groups that this year will due north of 40 user groups around the world, where we bring collections of customers together, many time hosted at different customer locations, and customs will talk and share best practices and give us feedback on things that they'd like to see. I spend a ton of time out in the field with customers just visiting with them, talking about their use cases, helping themselves problems on and importantly, we have AH product advisory Council and a customer advisory board. And these air both specific groups of customer smaller groups that we've recruited and we actually use them tow, consult with us very closely to give us kind of overall direction. And then probably the most valuable feedback once we know where we want to go is once we start building, we have a private beta program, and then what we call an early adopter program. Both of those enroll customers in interacting with things were building before they're launched. And that gives us a chance to get real time feedback into what they like. What? They don't know what we need to improve. And sometimes the product will stay in in that private beta phase for longer than we expected, because the signal we get requires that we make changes. So we think that's really important to make sure we actually hit the mark. Because if you if you're on, if you're not satisfied, customer need or solving a problem, >>they're not gonna buy. What's the point? You're >>surely gonna get a lot of customers signal here at >>engaged over the next couple of Absolutely. And they're absolutely not shy. Every time I'm running some, it's like, Oh, we love this. And here's the 10 things I want that exactly. >>Thank you so much for coming on the Cubans. Pleasure having you >>my pleasure. Thanks for having me. And thanks for being here. It engaged. Thanks >>for having us. Great. >>I'm Rebecca Knight for Jeff. Rick, You are watching the cube. Stay tuned
SUMMARY :
It's the key nude covering Thanks for coming on the show. You moved out of the hotel and convention We have almost 4000 strong this year and we're super excited. So this is the third, the third annual conference yet. it just brought back all the memories of Oh my gosh, this is like the size of remain so in three years we A lot of great new product announcements I want it, I want you to sort of break it down And what we find Probably the highlight was our new conversations in context, which we're So a lot of folks don't really connect the dots ago. and paste when you can pull that work, you know, it's it's what the people want. The things that when you saw little problems that unlock all the simple things that have the huge, a huge improvement in kind of getting away from this repetitive work, You can't kind of complete the work and so sometimes just completing One of the things you said on the main stage is that customers are not shy about And sometimes the product will stay in in that private beta What's the point? And here's the 10 things I want that exactly. Thank you so much for coming on the Cubans. And thanks for being here. for having us. I'm Rebecca Knight for Jeff.
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Michael Bushong, Juniper Networks | Nutanix .NEXT Conference 2019
>> live from Anaheim, California. It's the queue covering nutanix dot next twenty nineteen Brought to you by nutanix. >> Hello, everyone. You are watching the Cube and we are live at nutanix dot Next here in Anaheim. I'm your host, Rebecca Night, along with my co host, John Farrier. We're joined by Michael Bushong. He is the vice president Enterprise marketing at Juniper Networks. Thank you so much for returning to the Cube, Your Cuba Lem. >> So thank you for this is this is awesome and you can't see it on the cameras. But this is a, like, just amazing. >> It's very We are in the clouds up here. It's a very high stage. Everything's coming full circle. >> Jim Cramer. Ask a little bit >> serious. Okay. >> Of course. I'm going to ask the tough questions >> going on. He's going to start slamming everything very soon, >> But we've known each other for a long time, Jennifer Going back ten years ago. So look, a tangle started. We're in our tenth year. You know, if you've seen the journey, I am a juniper. You left juniper startup brocade, then back to juniper. So you've seen that circle? You've seen the couple waves? I mean one of the things we were talking about before we came on camera was saw. Network fabrics to Dover had Juno's and then be anywhere. But you know, So this arrow, which became the ESPN Wave, are now suffer to find data center. So you've been in that journey is a product person. And now marking juniper, it's actually goes back about a decade. This whole esti n stuff networking. So what's What's the role now that you're doing? What's juniper doing? Why Nutanix? What's your story year? >> Sure. So I run enterprise marketing at Juniper, so my goal is effectively toe to make some of the hype makes sense, right? It goes back a decade. Actually, the early days of the only ESPN movement we didn't call it s tiene right. Juniper started with open flow and PC and alto and all these acronyms, and we actually, we're a great engineering company. Maybe not so great marketing company. And we actually call it network program ability. That didn't take off. But the technology's kind of endured. And I think what we saw was this lengthy incubation period to the point that now, as we sit here dot next in twenty nineteen. We're starting to see now some of the attraction of the last couple of years. That's a junipers general position. So we wantto dr Adoption. Certainly there's products and technology that underpins that, but But fundamentally, we're looking at a huge operational shift. And if that operational shift doesn't happen, then that's to the detriment of everyone in the industry. >> What's the relationship with NUTANIX? Can you talk about how you guys work together? What's the connection? >> Sure. So nutanix obviously does the whole hyper converge space. We provide the networking components to that. So whether that's the top Iraq connectivity, how do you get your traffic into the rest of the network? We've done some security stuff which we can talk more about. And then, if you look at the overall management piece, we've got integrations at the management policy layer as well. >> So your relationship you both got a very similar world view. How you see technology, you're both taken on VM. Where to? Can you talk a little bit about the relationships there and and why it works? >> Sure, fundamentally, if you look at what Nutanix is trying to do, it's this whole idea of one click. It ties ing everything right. They talk a lot in their keynote sessions. You hear the executives talk, You look at their collateral, the messages they take, the customers. It's about making things simple. Junipers Strategy is this idea of engineering simplicity. So just a top level? What's our purpose? What's our role in this industry at large? I think we have a very common worldview. Of course, driving simplicity is going to happen in the context of real architectural change on the change That's kind of everywhere is cloud and increasingly multi cloud. And so both Nutanix and Juniper about really driving simplicity in the context of Cloud multi cloud, giving customers the opportunity, toe run workloads wherever they need Teo without taking on additional operational burden. That's kind of cesarean unwanted in enterprises networking. >> So the Big Tran, this multi cloud you guys. That's a key part of the strategy. Dave along tonight and Stew Minutemen were arguing on the cute couple events ago. There are not one of our sessions about the hype around multi cloud. The reality of it. The reality is, is that everyone kind of has multiple clouds. It's not like that the clouds aren't talking to each other, and then we're just kind of riffing on the cloud is just big. One big distributed network, different computing, distributed networks. These air knew these aren't new paradigms. These are existing things that have computer science behind them. Engineering behind it. So juniper, you have been around for a long time. Connecting networks. The cloud is like some of the same concert on premise Hybrid Cloud and multiplied it basically a distributed network. It's all cloud operations. We get that, but the technology issue is not that hard, but I won't say that that hard, but it's similar to what you guys have done in the past. Just differently. How are you guys looking at that? Because multiple clouds, just like Internet working the switches routers, you move from packet that point A and point B get storage. His store stuff So concepts are all the same. How do you guys seeing the multi cloud opportunity within juniper? >> So I would make the distinction between multiple clouds and multi cloud? I agree with you. If you look at most enterprises, they have a workload in Amazon. They're using sales force, and so you know, they're multi cloud, right? They have multiple clouds, multi clouds, more of an operational condition. It's about taking disparate pools of resource is and managing. That is one thing. So think of it more about how you do stuff and less about where you host an application. If you look it even like describing Amazon, some people say, Well, Amazon is just, you know, Cloud is just using other people servers. It's not. You're not renting their servers. What you're leveraging is their operations. That's the transformation. That's this kind of underfoot. And so while some of the technology bits are common, the ability to do abstracted control moving to declare it over intent based management, right, these air right technology building blocks. What you're seeing now is the operational models are coming along, and that's really that's the change we have to drive on. I'll just kind of close with when you change technology. If it's just about deploying a piece of software, if it's just about deploying a piece of hardware like candidly, that challenge isn't that it's not that hard, right? We know how to deploy stuff when you start talking about changing how people fundamentally do their jobs. When you started talking about changing, you know how businesses operate. That's that's the piece that takes some time and I would venture. That's why you know, you look a decade ago why we're where we started. If you look at what's taking a decade, it's the operational change, not the technology piece >> and the cultural jobs movement. Certainly forcing function on that, which is awesome. And that's the tale when I think. And then again, Gene Came was on yesterday Who wrote The Devil's Handbook and also does that death. The Devil Enterprise. Someone said, We're three percent in. I would agree with him. I think it's so early, but But the challenge. I want to get your thoughts, Michael. And this is that Connecting multiple on disparity environments is great, but late in C kills now. So now late and see these air old school concepts, you know, get a time can't change the laws of physics. Right? So Leighton sees matters s l A's matter. So these air network challenges these air software challenges. What's your view on that piece of the puzzle? >> We leave when we say cloud, you know a lot of people probably think, um, you know, G C P Azure. They might think a WSB probably picture in your head, you know, some logically central cloud. First, we need to disavow people of the notion that cloud is this thing that somehow sits at the center of everything. It's not. There are centralized clouds. If you're optimizing for economics, that makes perfect sense. Tow To do that. There's distributed clouds. The whole rise of multi axis edge computing is about changing the paradigm from moving data to the application. Right. If your applications in Amazon and you're going to send your data there, that's one model Teo. Sometimes you might want to move the application to the data. If you have a lot of data like an i o t. Use case as an example, I was used oil platforms is a really good example. I don't know if you know, but you know how they get all their. They have all these mining and manufacturing bits. They've got lots of data. How did they get that data off the oil platforms? Snowball. So what they do is the helicopters come in, they take the drives off and they they they leave right. The reason they do that because if your reliance on satellite links just too much data, you can't statue >> is going to get a helicopter to ransom helicopter to come in, >> we'LL know when they're swapping the crew out every fourteen days, that's what happens. So here's the thing, right? If in that kind of model than the cloud, the data center exists on premises. And if that's the case, then when we think about you know kind of what the cloud is, cloud is, it's It's a lot. It's a lot more than what we most of us probably think about. Certainly, we see it with Outpost as a WS is starting to move on premises versions, and there's a lot of reasons you might wanna have a distributed cloud. Certainly it could be, you know, your comfort and security and control. There's real privacy implications, country of origin, so subpoenas can access your information depending on where it resides. >> What you're saying is, basically, it's all cloud. It's operational is the new definition. So you figured from an operational standpoint, Ops and Dev's That's it. The rest is just all connected somehow through the text, >> and then you need to have it. Yes. So we we understand the connectivity, bitch, you've gotta have the right, you know, elements. But if it's operational, it's about how do you do policy management? So part of the whole nutanix thing and kind of what drove us together was this idea that if I want a one click everything. If you could do that within the hyper converge space, you still have to do that over the connected environment, which means managing policy from a single location, regardless of where it is. And of course, using that policy to Dr Security >> and their strategy is to take what that worked for. The CIA and the data center move that into this new operator operating model, which spans multiple quote, disparity, environments or clouds or edges. It's similar similar concept, but different environmental. Yeah, >> that's exactly right. And so then what Nutanix needs that is a strong networking partner because they have tto do the bits that they do. They need other people to do the bits that that you know that we can do. We pull those things together and then you can provide essentially a secure environment for hybrid workload. >> So you guys embed it into their product? You guys joined cell together. Is it more of a partnership? How deep is the partnership with you With Nutanix >> s all just They'LL say yes, we get along s o and it kind of the most surface level you know, you need to have top Iraq switches. You gotta connect to the network and so we do qualification there. So if you deploy nutanix, you can deploy juniper alongside and that looks more like a kind of a co selling meat in the channel type model. Beyond that, if you look at how we provide security over like a workload environment, the question is, then you know what's the security element? So we've taken our virtual firewall. We cut our V s are axe, which essentially runs in the V M. And we can run it on a V, and so that gives them a segmentation strategies. So if you look it workloads that air distributed across the cluster by having a firewall element that we can enforce policy. Of course, that firewall element is then integrated with prism. So if I want to deploy these things when I spin up a new V M. What I want to do is spin up the security with it, and so you see management integration. Then if we continue this too, it's kind of full conclusion. We have, ah, product suite We call contrail in the enterprise version Contra Enterprise Multi Cloud, which is all about policy management and underlay management. And so, as we extend the partnership, it gives us additional opportunity to take um to provide routed elements which provide policy enforcement points and then to give us a way of managing policy over a diverse environment. >> And you guys can bring in that platform element for nutanix. Is there now a platform? They have a full stack of software on Lee. So you guys, you cannot take their stuff, put it there and vice versa. >> That's exactly right. So whether the workload resides in a ws on two or whether it resides kind of on premises in a jiffy, weaken one, we're kind of co managed and then to it gives us the security elements toe play across that >> one of the things that we're talking a lot about at this rinse it and at a lot of other events like it, it's sort of or the dark side of technology. We're at a time where major presidential candidates are talking about breaking up. Big tech were becoming much more aware of the privacy concerns. The biases that are built into algorithms. Exactly. I want to hear your thoughts as a technology veteran. Do you? Are you still a technology optimist or do you did? Does this stuff keep you up at night? I mean, how where do you fit your personal views? I was >> somewhat of a technology optimists, but I'm a skeptic when it comes to the people. I think if the technology existed in a vacuum, I think some of the problems go away. I think privacy is a major concern. I think it's going to shape regulatory action, especially in Europe. Well, so I think we'LL see similar actions in the US I don't have quite a strong connection to what's happening in Asia. Um, I think that the regulatory, the challenge I have from a technology perspective is that if the regulations come in the absence of understanding how the technology works, then you end up with some really terrifying outcomes on DSO I'm Sam. I'm a fan of the technology. I'm nervous of the people on that in terms of like, our overall Ruelas is cos here, I think, you know, we need to do a candidate a better job of, of making sure things land before we move on to the next big thing on DH. You know, we're talking cloud. We're ten years into cloud and people were always talking about the next frontier. To some extent, I think the world doesn't move as fast as we like to think it does. I don't think that the even like the mark, I'm in a marketing role. I don't think that the marketing hype necessary. I don't think it serves us by moving too far ahead because I will tell you when the gap between the promise and the reality becomes insurmountable e wide. I think it's Ah, I think I think everyone loses Andi. You run the risk of stranding an entire generation of people who who gets stuck behind it, and I don't you know, I'm nervous about about what that means, and I think it's you asked the question that you're the dark side. I think it's Certainly it plays out in our industry. I think it plays out. You know, there's a digital divide that's growing in the U. S. Based on broadband access. By the way, that's gonna widen with five G. I think it plays out between different nation states. So I Yeah, I don't know. I'm an optimist. Maybe I'm a pragmatist. >> Realist. >> Yeah, I'm I'm I'm I'm a little scared. >> Little cloud definitely happened, and that's a good point. And we took a lot of heat at looking ankle. Keep on the cube. Was too many Men in the team put out the first private cloud report People like this is nonsense. Well, well. And our thesis was clouds grade if you want. If you're in the cloud as a cloud native or, you know, new startup, why wouldn't you go on Amazon? Everyone, we did that. But if once you taste cloud operations, you go Wow. This is so much awesome. Right? Then go into a modern and enterprise. It's not going to be overnight. Change over. I mean, we might say it's going to take about a decade. We fell from the beginning that cloud operations once you taste cloud you realize this is a new operating model. There's a lot of benefits to that, but to change it over in the enterprise, and that turned out to be what everyone's now do it. But that was three years ago. >> Well, there's implications. So if its operations then operations is inherently an end end proposition, you can't have operations in a silo. Things like you're monitoring tools. How do you do cloud monitoring it on premises monitoring. How do you do workflow Execution? How do you do? You know, automation, whether that's event driven or even just scripted. If you have wildly different environments that require you to buy for Kate, your investment, then there's a very real There's a complexity that comes with that your people have tto do more than one thing that's that's hard. There's a cost that comes with that because you have different teams for different things. There's a lack of coordination. I don't think you unlock the value of cloud in that in that environment. And I think that operational pieces really around converging on >> Michael your point about people in technology. It's so right on. We see that all the time where I'm a technology Optimus. I love technology, but I totally agree that people can really destroy it looked fake news. It's just, you know, it's infrastructure network effect with bad content policy because Facebook's immediate company not a platform >> well, technology's only is good on our end are >> gonna run. The government don't even have the Internet work. So you know when you when you go to the cloud, same >> knowledge just also want the government to come away with that we do it >> where the government just doesn't know how the Internet works. Some people that do but like the good hearings, it's ridiculous. But you know, there's a real D o. D project going on future military Jet I contract. We've been reporting on where modern data driven application workloads. I could use a soul, cloud or multi class so that the dogma of what multi vendor was in the old days is changing. >> I don't I actually don't know if you look at multi cloud. If it's an end end proposition, then by definition it's also going to be multi vendor like there's no future where it's like end in all one vendor. I think we have to come to grips with that is an industry. But I think if you're clinging to your you know, kind of I want my single procurement vehicle. I want my single certification. By the way, I think if you believe fundamentally that incumbency is going to be that your path forward, I think it's a dangerous place to be. That's not to say that. I think the incumbents all go away. I don't There's a there's a heavy rule to play but certainly were going to open things up. And >> you see procurement modernized. I mean, I mean, government goes back to nineteen ninety five procurement standards, but either the enterprise procurement moving So the text moves so fast. Procurement still has rules from >> so no, I don't think all >> of the second right. >> Then there's a whole A procurement in our industry is driven by our peace. Our peace tend to be derivative. I take my last r p. I had some new lines. If you want Esti n so you take the cup copy and paste five hundred seventy four lines at the five hundred seventy fifth line. S T n. You're gonna end up in the same solution because the first five seventy four of the same I do think we should learn a little bit from what the big public cloud cos they're doing, which is, you know, tightening refreshed cycles, retiring things with as much passion as they introduced new things tightening up. Ultimately, what gets deployed? Maintaining diversity of underlying components so you could maintain economic leverage when you're doing procurement. But then solidifying on operationally streamlined model, That's I think that's the future. That's certainly what we've been on as a company. I think that's what we're betting on with Nutanix From a partnership point of view, I think we'LL be on the right side of change on that, and I think it's going to, you know, it may take some time to play out. That's where I think things go >> well. Michael Bushong. Always a pleasure having you on the Cube. Thank you for coming on. >> Thank you very much. >> I'm Rebecca Knight for John Furrier. You are watching the Cube
SUMMARY :
nutanix dot next twenty nineteen Brought to you by nutanix. Thank you so much for returning to the Cube, Your Cuba Lem. So thank you for this is this is awesome and you can't see it on the cameras. It's a very high stage. Ask a little bit I'm going to ask the tough questions He's going to start slamming everything very soon, I mean one of the things we were talking about before we came on camera And I think what we saw was this lengthy incubation period to the point that now, So whether that's the top Iraq connectivity, how do you get your traffic How you see technology, you're both taken on VM. Sure, fundamentally, if you look at what Nutanix is trying to do, So the Big Tran, this multi cloud you guys. So think of it more about how you do stuff and less about where you So now late and see these air old school concepts, you know, I don't know if you know, but you know how they get all their. as a WS is starting to move on premises versions, and there's a lot of reasons you might wanna have a distributed So you figured from an operational standpoint, Ops and Dev's That's it. If you could do that within the hyper converge space, you still have to do that over the connected environment, The CIA and the data center move that into this new operator operating They need other people to do the bits that that you know that we can do. How deep is the partnership with you With Nutanix of the most surface level you know, you need to have top Iraq switches. So you guys, So whether the workload resides in a ws on two or whether it resides I mean, how where do you fit I don't think it serves us by moving too far ahead because I will tell you when the gap between the But if once you taste cloud operations, you go Wow. I don't think you unlock the value of cloud in that in that environment. It's just, you know, it's infrastructure network effect with bad content policy So you know when you when you go to the cloud, But you know, there's a real D o. D project going on future military Jet I contract. By the way, I think if you believe fundamentally that incumbency is going to be that your path forward, you see procurement modernized. and I think it's going to, you know, it may take some time to play out. Always a pleasure having you on the Cube. You are watching the Cube
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Day 2 Show Analysis | Nutanix .NEXT Conference 2019
>> Announcer: Live from Anaheim, California. It's theCUBE, covering Nutanix.NEXT, 2019. Brought to you by Nutanix. >> Welcome back the theCUBE's live coverage of Nutanix.NEXT here in Anaheim California. I'm your host, Rebecca Knight. Along with my co-host John Furrier. Here we are, we're at day two, John, this conference, I gotta say it's pretty cool. 6500 people, we're steps away from Disneyland, and, you go to a lot of these things every year. I also do about a dozen or so for theCUBE. So in other words, we're veterans of this kind of thing. This does seem to have a different vibe and I think it really gets to the kind of company Nutanix is, and where it is in its journey. >> Nutanix is still a small company even though they're 10 years old, as Dheeraj talks about. The numbers aren't massive, I mean, we go to a lot of other shows where it's 15,000, Amazon Web Services just had an event in London, Dave Vellante was out there covering, Stu was covering Red Hat summit in Boston this week, tons of events going on. Amazon Web Services' summit in comparison was 12,500 people, 22,000 registered, that's a summit in London. It's not the re:Invent main conferences like 30,000 people. And that's always sold out, so they got a lot, in terms of attendees numbers they're still in the entry level, mid range growth. But I think that's okay, they like that culture and I think the story here at this show is intimacy, they would rather err on the side of better content and more intimate opportunities for their customers to really get the straight scoop. And I think it's less of a conference slash trade show, more of an intimate relationships where they can provide feedback, for customers to give feedback, and for Nutanix to figure out with the customers how to connect to them. So, I think the story here is, Nutanix is growing up as a company, they're 10 years old and they gotta go the next level and the management team has technical chops, and they have a long term view. They have that 20 mile stare, they can see out and they're trying to figure it out. I still think that the numbers are light on their forecast I still think that there's some sandbagging going on there, I'm not saying they're sandbagging, but I mean, I think, you look at Essentials, which is the enterprise and then multi-cloud, the numbers that we're seeing at Wikibon are much bigger, and Amazon reflects that. So I think they're being cautious but smart about how they execute off their success they've had in the first 10 years to go the next 10 to 20 years and I think that's clear in the management team, that they wanna build a durable company. >> Well exactly, and I think that that's what's really coming through, is that this is, as you said, they're growing up. This is a real coming of age moment for them, they've celebrated the 10 years. Okay, so what kind of company are we? Who do we want to be? And what's coming through is that from the technology side, they get it. They say, I'm sort of reminded of the Henry David Thoreau quote, our life is frittered away by detail, simplify simplify simplify, that's what customers want. They want this one click data recovery, they want their credentials to be assumed. You know who I am, I'm safe to be in here. Fixing things, dealing with that. So I think that they get that, that simplicity is key. They also get customer service. I mean their Net Promoter scores, as we've noted, are in the 90s, that's just unheard of. >> It's monster, monster numbers. >> It really is and so they get it. We need to be responsive to customers, we need to have a personal relationship with these, because it's not just organizations, it's people at the other end of these transactions. >> I mean, I think Nutanix, one of the stories that's popping out in the hallways as I walk around and talk to customers and people and the company and partners, is that Nutanix has a lot of headroom in their growth. I think Wall Street is interesting and you heard Dheeraj talk about that yesterday, about having a new customer, you asked him about his management style and he said quote, I have a new customer called Wall Street. And I have to balance that against mainstream enterprise which is his core business. And so he as a CEO and the company are dealing with this new stakeholder called public company customer retail stock buyers. That's a short term cycle and I think, if you look at their stock, they had a big knife edge drop in the past quarter. And I think the shorts are circling, it's a whole nother dynamic, it's a whole nother theater for Nutanix to deal with, and I think that's something that they gotta get used to. And he was clear, he said I'm addressing it, we're gonna balance it, but they gotta be thinking long term because this company has a lot more to do and their customer base are risk takers. Because everyone we talk to has this different style or persona. They're smart, they're usually engineering oriented, they love engineered solutions. And they're taking chances. And everyone who's taken the chance with Nutanix, has paid off. That seems to be the theme. And as we were talking before we came on camera, Mark Hamill, Jedi knight, you know, Star Wars, was on stage giving the keynote, their customer base, is a lot like the Jedi order, right? I mean they see themselves as, elite, technically, they're not afraid to take organizational risks and push that DevOps culture. And we heard that from Sunil, the chief product officer that they're really looking at, this new way to do things, like they did with hyperconvergence, they pioneered that, set the table on that and foundationally built that. They wanna take that same playbook of HCI, hyperconverged infrastructure, and apply it to the cloud. And provide an abstraction layer advantage and I think that is clearly their strategy and that's, to me, the top story here. >> I couldn't agree more and I also think that, what is also coming through is this idea of we don't wanna be safe. What's clear is that, consumer technologies have leapfrogged IT enterprise vendors. The things that we hold in our pockets are so much more sophisticated than what businesses and organizations, multi-billion dollar businesses and organizations, are using, what their employees are using on a day to day basis. So we expect a certain kind of design and ease of use, in our personal lives and they're bringing it to enterprises and think that that is really what's exciting and interesting about this company. >> What's interesting about their story is that, the consistent theme about the customers is that it's kind of a consolidation story but that's not the real story because back in the old days of IT, consolidation was the strategy. Consolidate vendors, consolidate footprint to reduce cost, clearly a cost reduction. With Nutanix what they get is they get consolidation, and they enable advantages so the real value of Nutanix is to be positioned for those new kinds of app developers, so. This is like, you get consolidation as a side benefit for enabling the value, and that's the theme that's coming out of all the customer testimonials and interviews is, we gotta do more, we gotta create more enablement for the app developers and we gotta provide more performant storage servers and software for the customers. And that's their main focus and they consolidation as a benefit. That's gonna scare a lot of people and customers that I've talked to said, hey I got all the stuff but I can't just throw it away tomorrow, I gotta move it out over time, so, this is the Nutanix sales challenge, how do you move faster with all that incumbent, legacy stuff in these datacenters, while enabling the multi-cloud capability? >> And we're gonna be talking about that more today with Chris Kaddaras on the show. We have a lot of great guests, we have the CIO, Wendy Pfeiffer, I was reading an article about her today, she answered an ad as a teenager to work for NASA. She had an idea for NASA and so we're gonna hear much more about her story, we've got a lot of great guests. >> Well what's your take? I mean, you've been here, you're getting immersed in. What's your take of the show, what's your analysis? >> Well, what's really interesting to me is that we're having this conversation against this backdrop where, the technology industry is really under fire. I mean, we heard Ayanna Howard here on the show yesterday and then she was up on the main stage today, talking about the good, the bad, and then the really scary elements of AI and how it really has these powers that can do a lot of wonderful things and help children with special needs and help workers be more productive and engaged and collaborate. But yet, there's also this much darker side that AI's really only as good as its creators. And then the other difficulty is that, because we have become so trusting of these machines, we disregard our own intuition. And that is a really scary element, so. What I think is exciting, and it goes back to this risk taking mentality, that Nutanix has, is, we're gonna talk about these things. We're just going to forget about them or they're gonna be a sideshow, this is really on the main stage, let's talk about our values, let's talk about the humanity of technology and this is really an important part of the conversation. >> It's interesting, the culture, we talked about the culture a lot yesterday. And you can see from the mix of the guests we've had here and how they're putting their content together across the show portfolio, it's not just speeds and feeds. There's a lot of tech for good angle but they're not tech for good stories like hey, look, here's a tech for good story. Look how good we are because we promote it. They're authentic people that have a great story that has a tech involvement. But it's not a pure Nutanix messaging kind of thing. >> Right, and it goes to back to their values, the humble, hungry, honest, and have a lot of heart. I mean I think that that is, you really see how important culture is, when it is top down. When Dheeraj embodies certain characteristics and traits, you see that employees then look up and they say okay, this is what we're about, this is who we are. >> You know, we also talked yesterday about our analysis in the keynote, what's interesting about culture is, there's also a culture shift going on inside their customer base. And again, it's back to this kind of Star Wars theme, Jedi knights and the revolution continuing for Nutanix, their opportunity is to continue to stay on the course, and this is gonna be a big bet for them, they gotta make some big bets on the technology side, which they're making, but also they have an opportunity because a lot of their installed base are rebels, right? So you have this rebellion IT guy, generational shift where you have DevOps coming in and Gene Kim who wrote the book on DevOps, runs the biggest DevOps event in the world, series of events, DevOps Enterprise Summit, he's even saying it's about 3% changeover. So I think there's a big tailwind coming for Nutanix. Around DevOps, operating models, in the enterprise and cloud where, the convergence of those two worlds coming together, and it's gonna be a younger generation, it's gonna be a different world. If that happens, I think that's gonna be something that Wall Street might not see. I think that's kind of an area. And that's gonna be a good tailwind for Nutanix. The other notable thing that I would point out from this show is, the presence of VMware visibly in the conversation. And I think Dheeraj was talking about, hey we don't mind talking about VMware because they validate the marketplace, they're the big 800 pound gorilla. And we're gonna continue to innovate around them. We don't need their Hypervisor, customers don't need to pay their vTax, that's his messaging, so that was a key notable. The other one was the challenge that Nutanix has, this is, again, might be a Wall Street insight for some of the Wall Street folks out there is that, their challenge has been getting new logos. Their cost to sales is a little bit high because they require POCs and once they get in there they usually win. And then their cost per sales, cost per order dollar on the sales side once they have a customer, is very low, they get more renewals and they have more net contract value so they have great customer economics on that side. The Hewlett Packard Enterprise deal for them, could bring them a tsunami of new logos. That could give them a lot of leverage and bring their customer base well above their 12,000 number now. And bring them up into a whole nother level. So I think the HPE deal will be a tell sign on the numbers, and if they can get more new logos in there, the big accounts that HP has through their channel, that's a big story. So VMware, HPE, culture, all the main story here. >> And of course we had HPE on the show yesterday, talking about that very development, so. We have lots more great content, great guests to come today, this has been just a ball hosting with you, so I'm really for another day. >> Very intimate show, I mean, Nutanix are a very intimate show they don't really care about the big numbers, they want the right numbers and that speaks to their culture. >> And they know their people. Because as we talked about many times, Mark Hamill, up on the stage yesterday, so, they know their community. Please stay tuned for more of the coverage from theCUBE of .NEXT here in Anaheim. I'm Rebecca Knight for John Furrier, stay tuned. (electronic music)
SUMMARY :
Brought to you by Nutanix. and I think it really gets to and I think the story here at this show is intimacy, from the technology side, they get it. it's people at the other end of these transactions. and people and the company and partners, and they're bringing it to enterprises and customers that I've talked to said, And we're gonna be talking about that more today I mean, you've been here, you're getting immersed in. and it goes back to this risk taking mentality, and how they're putting their content together and they say okay, this is what we're about, and if they can get more new logos in there, And of course we had HPE on the show yesterday, and that speaks to their culture. And they know their people.
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Gene Kim, DevOps Author & Researcher | Nutanix .NEXT Conference 2019
>> live from Anaheim, California. It's the queue covering nutanix dot Next twenty nineteen. Brought to you by Nutanix. >> Welcome back, everyone to the cubes. Live coverage of Nutanix Stott next here in Anaheim, California. I'm your host, Rebecca Night, along with my co host, John Farrier. We're joined by Jean Kim. He is an author, researcher, entrepreneur and founder of Revolution. Thank you so much for coming back on the Cube, Gene. >> Oh, thanks so much for Becca and always great seeing you and John. >> So you are a prolific author. You've written many books, including the Phoenix Project, The Deb Ops Handbook, given new one coming out. But this is this is the latest one we have here the Dev Ops Handbook >> twenty sixteen. And then we came up with a little bit cool accelerate based on the state of Davis report. And yeah, it's been a fun ride. Just what a great space to be writing about >> Dev ops has been. I'LL see that covered going back years. Now it's mainstream, and you started to see the impact of people who have taken the devil's mentality put promise and the place we see all the you know, Web scales from Facebook, you name. But now the enterprises is now really looking at agility scenario. You've been working a lot on you Host the Devil Devil Enterprise Summit. What's that been like? I mean, it seems to be well taken longer than some of the hard core cloud guys. So what's the State of the Union, if you will, for the enterprise from a devil standpoint? >> Yeah, What a great question. I mean, I think there's no doubt that the devil's principles and practices were pioneered in the tech giant's Facebook's Amazon necklace and Google's, but I've long believed with a certain level certainty that a CZ much economic values they've created, uh, that's just the tip of the iceberg. The real value will be created when you know the largest, most complex organization, the planet adopting same principles of patterns. And when you have Ah yeah, I think I. D. C said there's eighteen million developers on the planet of which, at maximum, no half million at the tech trying and the rest are in, you know, the largest brands across every industry vertical. And if we could get those seventeen and a half million developers as productive as if there were at Facebook Amazon, that for school I'm not, generates trillions of dollars of economic value per year. And when you know what, that much, um, economically being created. I mean, we'LL have undoubtedly, you know, incredible societal improving outcomes as well. So it has been such a treat to help chronicle that journey. >> One of the things I want to ask you. Genes that doesn't impressive numbers, but also UV factor and net new developers, younger generation, re skilled workers used to be a network. I now I'm a developer. You seeing developers really at the infrastructure level now. But show like this where Nutanix is a heart was a hardware company there now a software company. So they're ato heart of Jeb ops. In terms of their target audience, they're implementing this stuff, So this is a refreshing change. So I gotta ask you when you walk into an enterprise, what is the current temperature of our I Q of Dev ops are they are their percentage. That's you know, they're some are learning. Take us through kind of the progress. >> If I would guess right? This has much as I love statistics and you know, comprehensive benchmarking. Yeah, I think we're three percent of the way there. Alright, I percent Yeah, you know, we're in the earliest stages of it, Which means the best is yet to come. I think develops is an aspiration for many on DH. No, but having to change the I think Dave is often a rebellious group rebelling against agent powerful order right now, uh, forces far beyond their control. Conservative groups protecting their turf. I think that's kind of the, uh, probably a typical situation. And so, you know, we're a long way away from Devil's being the dominant orthodoxy. >> So if that's the case, just probably some people who have adopted it had success we're seeing in these new, innovative shifts. The early adopters have massive value extraction from that. So and that's an advantage. Committed advantage. Can you give us some examples of people who did that took the rebellion that went to Dev Ops were successful and then doubled down on it? >> Yeah, I think the one that come to mind immediately are like Capital one. Yeah, they went from eighty percent outsourcing to now. Almost hundred cent Insourced. Same with target, where they're really started off as a uh ah bottom up movement and then gain the support of the highest levels of leadership. And it has been so exciting to see the story's not just told by technology leaders, but increasingly shared and being told by both the technology leader and a business counterpart were the business leader is saying, I am wholly reliant upon my technology, Pierre, to achieve all the goals, dreams and aspirations of our organization. And that's what a treat, to be able to see that kind of recognition and appreciation. >> It's an operational shift to They have to buy into changing how they operate as a company. Yes, and believe me, they're like clutching on to the old ways. And that's just the way it is. A >> wonderful phrase from the NUTANIX CEO that Loved is that way often characterized that developers as the builders, but operation infrastructure, they are builders, too. In fact, you know, developers cannot be productive if they are mired in infrastructure, right? And so, uh, you know, uh, you know, you get a peek. Productivity focus flown joy when you don't have to deal with concerns outside of the business feature and the visibility. One solved. And I know that from personal experience where the frustration you have when you just want to do one thing and you just carved out a door ten things that you just can't do because you have two. Puzzle is a puzzle. They have solved >> it. Love to get your reaction, tio some of the trends that I'm seeing because Kev Ops has been such an important movement, at least from my standpoint, because people could get lost in the what the word means at the end of the day program ability, making infrastructures code, which is the original ethos. Making the officer programmable and invisible, which is one of the themes of nutanix was the dream. That kind of is the objective, right? I mean, to make it programmable. So you don't that stand up all these services and prep and provisions Hard infrastructure stuff? >> Yeah. Yeah. In November, the Unicorn project is coming out. So it's the follow into the Phoenix project, and I'm really trying to capture how great it feels when you could be productive and all of infrastructures taken care of for you by your friends and infrastructure. Right then allows youto you know, have your best energy focusing on solving a business problem, not on how to connect a to B. And we need to expect to see in the yamma files and configuring. You know, all these things that you don't really care about, but you're forced to write, and I think that allows ah, level of productivity and joy. But also, >> uh, >> of, uh, >> is that the idea working relationship between development and infrastructure, where developers are costly thanking their infrastructure, appears for making their life easy >> way. We're joking. Rebecca and I were joking about how we use Siri ate Siri. What's the weather in Palo Alto? This should be an app for the enterprises says Hey, Cube or whatever at NUTANIX or whatever. Give me some more storage. Why isn't it happening? But that's that's that's That's kind of a joke, but it's kind of goal. Oh, increasing the right >> that's just available on demand right on. You certainly don't have to open up thirty tickets these days. Like was so typical ten years ago that that's a modern miracle. >> My question for you is why books? I mean, so here here we have were in this very fast changing technological environment and landscape. And as you said, the Dev Ops is still relatively new. There's it's not. It's a three percent really who understand it. Why use a bunch of dead tree just to get your message across? I was like writing, in fact and an ideal >> month, and I get to spend half the time writing and half the time hanging out with the best in the game, studying now that the greatest in the field. And I think even in this day and age, there's still no Maur effective and viral mechanism spread ideas and books. You know, when people someone says, Hey, I love the finished project I'd loved reading it. It says a couple things right. They probably spent eight hours reading it on. You know, that's a serious commitment. And so I think, Imagine how many impression minutes, you know it takes a purchase. Eight minutes, eight hours of someone's time. And so for things like this, I really do think that you know, the written form is still won most effective ways. Tio communicate ideas. >> Your dream job. You're writing out the best people. What did you What have you learned from the these people. >> Oh, my goodness, >> you could write a book. Yeah, >> but for twenty years, I self identified as an operations person. Even that well, I was formally trained to develop Our got my graduate degree in compiler design in nineteen ninety five. And so for twenty years, I just loved operations. This because that's where the action was. That's what saves happened. But something changed. About four years ago. I learned at programming language called Closure. It's a functional programming languages, a list so very alien to me, the hardest thing I've ever learned. I mean, I must have read and watched eighty hours of video before I wrote one line of code, but it has been the most rewarding thing. And it's just that, uh, exactly brought the joy of development and encoding back into my daily life. So So I guess I should amend my answer. I would say it's half the time writing half the time hand with the best of game and twenty percent coding just because I love to solve problems, right? Yeah, my own problems. So So I have I would thank people I get I you know, I've been able to hang out with and had the privilege to watch because, um, if it weren't for that, I think I would been happy. No, just saying that coding was a thing of the past. Right? S o for that. I'm so grateful. >> How do you use what you learn about in terms of your writing and in your coding and vice a versa. I mean, So how are they different in how are they the same? >> Uh, that's a great question. You >> know, I think >> what's really nice about coding is that it's, uh that's very formal. I mean, in fact, the most extreme. It's all mathematics, right? The books are just a pile of words that may or may not have order and structure. And so, in the worst days, I felt like with the Unicorn Project, I wrote one hundred fifty thousand words. Target work count is one hundred thousand, and I was telling friends I wrote one hundred fifty thousand words that say nothing of significance, right? What have I done The best days and that's I think that's because you have to impose upon it a structure and a point right on the best days is very much like coding. Everything has a spot, right? Uh uh, And you know what to get rid of. So, uh, yeah, I think the fact that coding has structure, I think makes it in some ways an easier for me to work >> with. And what brings you to new tenants next this week? What's the story? Which >> I gotta say I had the privilege and was delighted to take part in what they called deaf days. So if they were gathering developers to learn about educate everyone on how to use, uh, the new Tanis capabilities through AP eyes just like he said, right to help enable automation, and, uh, I just find it very rewarding and fulfilling. I just because even though I think nutanix er as a community is known for being the, uh, the innovators and the, uh so the rebellion a cz productive as you know, that technology's made them to turn into an automated platform. And I think that's another order of magnitude gain in terms of value they could create for their organization. So that was a >> tree. And they've transformed from an operations oriented box company years ago and now officially subscription based software. They're going all software. They're flipping their model upside down, too. >> And it was just a delight to see the developers who are attracted to that one day thing I would recommend to anyone who's interested in development on just being on the cutting edge of what could be done with it. For example, if you have cameras in every store is their way to automate the analysis that you compute dwell times and, you know, Q abandonment rates. I mean, it's like a crash course in modern business practices that I thought was absolutely amazing. >> Well, Jean, you do great work. I've been following you for years. I know you're very humbles. Well, but give a plug. Take a minute to explain the things you're working on. You got a great event. You run, you gotta books. What other things you got going on? Shared the audience. >> Just those two things that were just Everything is about the book right now. The Unicorn project is coming in November. Uh, and so accepts Will be available at the Devil sent five summit in London s O. That's a conference for technology leaders from large, complex organizations and over the years, we've now chronicle of over two hundred case studies by technology leaders from almost every brand across every industry vertical. And it has been such a privilege toe. See, hear the stories and to see how they're being rewarded for their achievements. I mean there being promoted on being given more responsibility. So that is, Ah, treat beyond words >> and it's a revolution. It's a shift that's definitely happening. You're in the bin and doing it for years, and we're documenting it so and you are a CZ. Well, >> I'm looking forward to see you there. >> I just have one final question and this is about something you were saying about how Nutanix is the insurgent and the rebel the rebel in office. How does it How do you recommend it? As a researcher, as an entrepreneur yourself and as someone who's really in this mindset, how do you recommend it? Stay feisty and scrappy and with that mentality at it, especially as it grows and becomes more and more of a behemoth itself? >> Um, there was some statements made about, like how, ten years ago, virtual ization was the one key certification that was guaranteed. You relevant stuff forever in the future. And, yeah, I think there's some basis to say that, you know, that alone is not enough to guarantee lifetime employment. And I think the big lesson is you know, we all have to be continual learners and, you know, every year that goes by, you know, they're Mohr miracles being >> ah ah, >> being created for us to be able to use to solve problems. And if that doesn't think the lesson is if we're not, uh, always focused on being a continual Lerner, Yeah, there's great joy that comes with it and a great peril, You know, if we choose to forego it. >> Well, that's a great note to end. Thank you so much for coming back on the Cube. Gene. >> Thank you so much. And not great CD. Both. Thanks. >> I'm Rebecca Knight for John Furrier. We will have much more from dot next, just after this
SUMMARY :
Brought to you by Nutanix. Thank you so much for coming back on the Cube, Gene. So you are a prolific author. And then we came up with a little bit cool accelerate based on the state of Davis report. promise and the place we see all the you know, Web scales from Facebook, you name. I mean, we'LL have undoubtedly, you know, incredible societal improving So I gotta ask you when you walk into an enterprise, what is the current temperature of I percent Yeah, you know, we're in the earliest stages of it, So if that's the case, just probably some people who have adopted it had success we're seeing in these And it has been so exciting to see the story's And that's just the way it is. And so, uh, you know, uh, you know, you get a peek. So you don't that stand up all these services and prep You know, all these things that you don't really care about, but you're forced to write, This should be an app for the enterprises says Hey, Cube or whatever at NUTANIX or whatever. You certainly don't have to open up thirty tickets these days. And as you said, I really do think that you know, the written form is still won most effective ways. What did you What have you learned from the these people. you could write a book. I you know, I've been able to hang out with and had the privilege to watch because, um, How do you use what you learn about in terms of your writing and in Uh, that's a great question. The best days and that's I think that's because you have to impose upon it a structure And what brings you to new tenants next this week? the rebellion a cz productive as you know, that technology's made them to turn into an And they've transformed from an operations oriented box company years ago and now is their way to automate the analysis that you compute dwell times and, you know, Q abandonment rates. You run, you gotta books. Uh, and so accepts Will be available at the Devil sent five summit in London s so and you are a CZ. I just have one final question and this is about something you were saying about how Nutanix is the insurgent And I think the big lesson is you know, we all have to be continual learners and, And if that doesn't think Thank you so much for coming back on the Cube. Thank you so much. I'm Rebecca Knight for John Furrier.
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Marie Hattar, Keysight | CUBEConversation, March 2019
from our studios in the heart of Silicon Valley Palo Alto California this is a cute conversation hey welcome back it ready Jeff Rick here with the cube we're in our Palo Alto studios today for a cube conversation a little bit of a break from the road we'd like to have guests come into the palo alto studio and have a little bit calmer conversation without all the buzz of the show and we're excited to have a return guest he hasn't been on for like two and a half years which i find extremely hard to believe it's been too long maria tar she's the CMO of keysight technologies really great to see you wonderful yeah so last time we had you on i had to look it up it was it was october 2016 and you were the CMO of Ixia which is a little bit different or really not that different tell us how you got from ixia to to keysight so keysight technologies acquired Exia and i was fortunate enough to be chosen to be the CMO for keysight technologies so it was a great evolution both for me personally and professionally right and a very kind of similar product and solutions portfolio bigger obviously than what you were doing at Ixia but for people that aren't familiar with keysight give them kind of the quick overview sure so Ixia served two audiences they really targeted the QA engineer as well as the IT infrastructure and keysight actually targets I would say the design engineer the manufacturing engineer part of the Ixia business which is very closely aligned to keysight's is in the test and measurement space so keysight technologies really helped any electrical engineer develop and innovate and bring products to market that that basically have an electric signal going through them what keysight delivers are things like oscilloscopes Network analyzers you know power supplies signal generators and and anything in terms of test and measurement right of design of electronics so you guys in companies been around for a while is four billion in revenue so you guys are basically testing and measuring pretty much everything right this as you say has an electronic signal go through it we have a broad area that we cover and we also have a very very long history in terms of being in this space our heritage started off as the original heel at Packard evolved into Agilent and keysight was spent out about four four or five years ago as an independent company and we're doing really well in terms of raising our awareness and visibility of a new name because anytime you change names you have to re-educate the market right hey this is us you've worked with us for a very long time and we continue to be leaders in this space right good opportunity for you though right that's the that's what they can good see in Mo's four I love my so the cool thing is not only are you working with stuff that's shipping today but you guys have good visibility into the future and as we talked about all the time you know there's some really massive mega trends that are that are coming down the pike that would love to you know kind of get your thoughts off one of them is is 5g and where World Congress was just a couple weeks ago I think you're also at RSA 5g has been getting talked about for a while but it's it's coming and and we see more and more parts I think there's actually been a couple hands that's delivered you probably know way more than I intended tower so wonder if you can explain to people a little bit about 5g when you think about five gene their potential because I don't think many people know much beyond kind of the buzzword that it's you know bigger faster stronger but it's a pretty significant leap over the Kern LTE it's truly a revolutionary and disruptive technology and it enables so much more than what's available today which has really been what I would call incremental evolution with 5g it is it's truly transformative because it you know in addition to faster it is going into spectrum that was traditionally reserved for organizations getting into millimeter-wave so it really changes the technology that we're all used to with the big cell towers 5g uses much smaller antennas and multiple antennas that actually sit on buildings it's you know in terms of because you're using millimeter wave it doesn't travel as long distances there's what you have with LTE which is sub 6 gigahertz that's all on the technology front what's really amazing about 5g is it has capabilities such as ultra-low latency and it's supposed to consume a lot less power so you could almost see it as as really disrupting and transforming everything and how we think about everything whether it's enabling the car of the future and autonomous driving because now all of a sudden your car can actually communicate to everything with vehicle to everything communication or cellular vehicle to everything communications you can think about it as a way that it's transforming IOT and the evolution of everything that's happening in IOT right so yes it's bigger faster better much more reliable you know much more lower latency and and for for those of us who care a lot about sustainability it's supposed to also deliver much lower power consumption right just interesting right because LTE was I think kind of the first step into real data space and and people figured out that we're using our phones for a lot more than talk in fact you know the data transmission rates are way higher than then the voice course on voice over IP and people watched football on their on their TV switches or on their screens which is unimaginable a couple years ago but in 5g now that's really not necessarily optimized for but really an enabler for as you said IOT and kind of this next level of you know kind of machine to machine communication it's not just me texting you with a data input but more these super-high fast really require low latency applications in this IOT and in the industrial IOT world that everybody's so psyched about it can't happen without this type of technology it really can't I mean the whole industry 4.0 and in terms of manufacturing and robotics and real-time communication that can happen in in in that if you think about a lot of the the cars that are out there if you look at Tesla they're doing ongoing updates and ongoing communications with all their cars all the time and so something like 5g enables even a higher degree of communication and understanding of what's going on with the vehicle and as you get into more of autonomous vehicles understanding what all the sensors and the radar in the car is seeing basically communicating that to what's happening with edge computing having all of that processing happen there and being able to you know send that back and and be able to adapt to the environment is going to be pretty significant and revolutionary I mean I think in every area this new technology in some ways just in terms of what it opens up will enable us to think of really transformative and disruptive ways of how we do things right and it does require going along for the ride investing early understanding what it means and I would say it crosses so many vertical industries right we definitely have to have lunch with you and Sandra Rivera from Intel it would be a really really fun lunch but I one of the things you touched on with that I don't think people really appreciate is this kind of new age of connected device and clearly Tesla's an easy example right it checks in every night but as we see more and more devices being connected kind of back to the mothership and and the ability for a maker of something to actually know now how are people using it it's not just I build it I ship it to my distributor and maybe I'll get a few back every now and then and we can we can take it apart and see how people used it but just the whole kind of product management lifecycle when you've got connected devices that actually report home and to how they're actually being used and how people are using them is such a transformational both the relationship between the user and the device but now the device back to the man you that they never never used to have before yeah and it has both kind of technological as well as I would say society oriented ramifications if you think about in the Tesla example you're effectively saying hey it's okay for Tesla to constantly talk to my car a lot of times we're used to the model of once I buy something it's mine you know this is my device not something that's part of your ongoing network so to speak and so with with a lot of these evolutions that are going on there's going to be both a capability shift in terms of what we can enable but there's also going to come with it somewhat of a society shift of what's now accessed about you so for example with IOT if you choose to move towards this concept of body area networks and having sensors all over you or potentially even embedded in you how that is being leveraged to provide you information how do you protect that from a security standpoint from someone tapping into that to abuse that information so a lot of those topics were really big topics at Mobile World Congress in terms of the coming of 5g and you know just even kind of there the the completion of the standard because it's not yet fully ratified yet right so there's ongoing evolutions and not there's obviously a lot of hype out there on this we are very much involved with the whole ecosystem that's involved in 5g all the way from chipsets to the devices to the networks that carry them you know sort of looking at the whole end-to-end eCos to the antennas you name it to the base stations we're involved in in that whole ecosystem and you as keysight we actually have to get in really early because all of those innovators are depending on our technology to test and validate that it will perform as expected because you're working with all those pieces of electronics in that hole that holes system yeah well Mobile World Congress is interesting last week or the week before was our essay and a lot of the things you're talking about I would argue are probably gonna be more important on the RS a type of kind of view of the world versus the Mobile World Congress assuming you get everything to work which which which I'm sure everybody will but but kind of the legal ramifications and the moral ramifications and the data privacy ramifications when there is so many more connected devices and as you said body area network right now it's my heart rate I went to an interesting Wall Street Journal conference where people can sell back their 23andme genomic data back into a pool for researchers who are looking for certain profiles so they can do their clinical trials and you know that's basically it's basically an electronic representation of literally who you are and so again I think you I think you touch on a lot of really important points that it's the security and David privacy and and in the the moral issues around how that's used treated stored protected are gonna be the bigger issues as we just get more and more of these things becoming really its software and data which we see in the products tehsils a lot more software than it is a car and that's why they can do updates all the time and keep updating the features well even in our business we're becoming much more of a software oriented business in terms of our test and measurement and how we look at the whole design workflow and to end so in many ways everything is is becoming software right just because if you think about this concept of the digitization that's going on of everything there's a lot of discussions about this concept of digital twins right where there's enough information derived from something physical that you can essentially replicate the digital twin and you can do the simulations and in in what you're describing you know you basically you could potentially have it model and represent whether it's a robotic process or a car process and anticipate hey this is time when this is going to wear down you know this is what I'm seeing out there and and it's almost becomes predictive right in terms of what's going on in the real world so it's it's really exciting stuff and it's wonderful to be at the because of this right going to RSA i agree with you all of those topics we're front and center very important to understand and have the visibility in terms of a lot of these 5g networks there's so much throughput going in how do you you know let's say you're a service provider and you want to offer this service how do you actually measure and have visibility in terms of really that is the service that you're offering so there's a lot of discussion in terms of providing that visibility and that security in terms of for those types of customers right it's funny we've done a lot of stuff with GE and back with the software group with Bill ruin team and they've talked about gee talks about digital twins a lot in the context of the industrial products that they built whether it's a turbine engine or whatever to the point that you said so you can do testing and you can do maintenance scheduling and all this other stuff what was weird at the Wall Street Journal conferences they're talking about digital twins for people your digital twins so now I can test you know how would you respond to certain drug treatments how might you respond to a different diet regime how might you respond differently to a different exercise regime and I'd never kind of heard that digital twin concept applied to a person and it's that's really interesting it's really interesting times but before I let you go I imagine your business has changed quite a bit as the kind of percentage of make up of all these devices has shifted from you know kind of dedicated purpose-built hardware which is probably relatively easy to test to kind of hardware platforms that are supporting a larger and increasing amount of software that actually drive the functionality must be good for your business because I'm sure the testing has got to be much more complex not to mention people are pushing updates all of the time really different models and just testing a box well it has changed and actually what's you know when I talk to our customers their goal is to innovate and bring their products to market faster and as a company that supports them our goal is to accelerate their innovation and a lot of times it's how do you share the information as it's going from the design engineer - you know sort of the the quality and test - then go to manufacturing because a designer will build his product and then he'll send it off and say ok I'm kind of done how do you then make sure that at every cog of the wheel you're basically able to share back what his expectation were when he was building it in a CAD system versus what what they're actually seeing when they test the real-life product versus what they actually see when they're manufacturing and applying the same tests so having that consistent software which at keysight we call path wave it really allows that acceleration and the sharing across all of those different groups so that you can optimize the flow so to speak of your design the other exciting part is is you're right there's just so much innovation and evolution in terms of the areas that we participate in because all of these technologies are changing you know we talked about sort of the the autonomous vehicle just as important as the electric vehicle and and the growth in terms of how do you manufacture and test batteries in a scale that's going to be required to keep up with the demand because traditional methods it takes a long time to to test a battery to make sure it's available and can be used and we have some really innovative technology that allows us to to expedite and accelerate that testing so customers of ours like BMW are leveraging this technology so that they can accelerate their their battery production testing and deployment right well we'll have to have you back another time we're out of time dig just just I'm so excited by the whole kind of change of mobility which is driven by really high capacity inexpensive batteries and these really powerful little brushless motors and and as those things kind of permeate and all these different form factors thankfully driven by the high bania fact or the high volume car manufacturers since it's the same little cells that run a lot of these things it's pretty pretty cool space but but we can't get deep into that this time I'll have to say throw for next time so hopefully it won't be another two and a half years I hope very well thanks for stopping by and really appreciate catching up thanks a lot Jeff good see you alright she's Marie I'm Jeff you're watching the key we're in her cube Studios in Palo Alto thanks for watching we'll see you next time [Music]
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Gene Reznik, Accenture | AWS Executive Summit 2018
>> Live from Las Vegas. It's theCUBE covering the AWS Accenture Executive Summit. Brought to you by Accenture. >> Welcome back the theCUBE's live coverage of the AWS Executive Summit here at the Venetian in Las Vegas. I'm your host, Rebecca Knight. We are joined by Gene Reznik, the Chief Strategy Officer at Accenture. Thanks so much for coming on theCUBE, Gene. >> My pleasure, Rebecca. >> So, Accenture is calling this period of time that we are all living through a period of epic disruption. Define what that means for us. >> Sure, sure. So, well, I think we're living in a very disruptive age right now. But again, I think we believe over the next 10 years it's going to become even more epic. And I think what's driving that, some things are geopolitical in nature. Alright, uh. Sort of, everything between U.S. and China relations, what's happening in Europe, all of that. Of course, there's technological. Dynamics around artificial intelligence. Of course, there's data, there's privacy, there's security. And all that really compounding on each other. We believe it's creating an environment where it's just going to be very challenging for people, but also for companies to navigate. And I think leadership and big organizations and their teams have to be very thoughtful of how they navigate this time. And I think there's going to be some big winners and I think there's going to be some big losers. And I think we see companies today that have been around for hundreds of years challenged to really adapt, adjust, and transform to really be prepared for this next wave of change. >> So, as you said, it's a very restive time politically, technologically, business wise. How are companies approaching this? I mean, as you said, you have to be very thoughtful. You have to have a real strategy in terms of how you're going to approach this, an approach innovation. How would you say companies are doing? Give them a report card right now in terms of how industry is responding. >> Yeah, well I think the first thing we would sort of say, and we've done quite a bit of analysis, and study through Accenture research, and as you'd expect, different industries are under different amounts of pressure and disruption. Some, like music industry and book publishing and currently retail, are under tremendous pressure. And, many have not responded well. They were too slow. They saw the digital natives just really take away their businesses. Others are better protected. So we have really gone through and analyzed industry by industry how they are prepared for today and really what they need to do going forward. And I guess our assessment is it's very, very difficult, as you would expect, to take a big organization and transform it. And the issue is again, while a lot of it is technology, the people side, the culture side, the organizational side, the incumbency dimension, the shareholders, all those things that make change very difficult are at the core of the transformation agenda. >> And innovation is really sort of the answer to it all because once you're move innovative, then you are going to ride this wave of epic disruption. So, first of all, how would you, so many companies are saying we want to be more innovative. What's the answer to that? I mean, what does that mean to be more innovative? >> Yeah, it's a good point. So we have, Accenture has looked at this. We sort of codified something that we call the wise pivot. Which is how should an organization really pivot to transform their business. And it's got elements, we believe strongly that you have to transform the core. Innovation can't be on the edge. At some point, you have to transform the core which usually gets at cost reduction, using automation to transform the business, transform the core economics. Then you have to grow the core and that's really I think the hard part, which is gaining market share in the core business we believe, whether it's in automotive business, whether it's in healthcare, whether it's in even retail, you have to grow the core, cause ultimately that gives you the investment capacity to scale the new. So, how to orchestrate that journey in a methodical way, again, keeping in mind the organization and what it delivers today and not leaving different parts of the organization behind is what we work with our clients on. >> And, what separates the winners from the losers? So the companies that are doing this well, how are they focusing on their core? And the core competencies? >> Right. We believe investing is a very big thing. Right, so the hardest part of all of this, in terms of economically, I mean there's a lot of difficult dimensions, but economically, as the pressure mounts, the ability to invest diminishes for most companies. And they don't have the room to invest in the business that their future depends on. And really freeing up that room and making the difficult decisions, you may have seen there were some announcements of mass lay offs, even today right? It's some of the biggest companies in the world. They're trying to create the room to invest in their next generation business that will take them into the future. And I think that's really the hardest part. How do you ultimately create the capacity to invest? And how do you make those investments? Again, cause there's also a lot of other examples of companies that have invested in the wrong way or in the wrong thing, that ultimately didn't lead them to the future So those two elements, creating the room to invest, then investing it in the right things and the right ways is what we find is key. >> So you're talking of course about GM which announced today that it was laying off about 15 thousand white collar and blue collar jobs. And the reason they're doing this is because they're saying there's no longer any room for six passenger cars in this market. We want to focus on self-driving vehicles. Is that a good move? I mean, I know you're not a GM analyst here but at the same time, it sounds as though that is smart, as you said. It's making room for investing in the future. >> Yeah, and I think that GM is clearly seeing autonomous cars coming, sort of form factors, everything that they're doing. And again, I don't think particular it's that in GM's case but again you read it that way. You'll look at General Electric. They're restructuring their entire company to better compete in the new. You'll look at IBM. IBM is acquiring Red Hat to have the kind of assets to compete in the new. So I think the biggest companies in the world are really trying to sort of say what the next ten years, what is their business going to to be? And then how to they take what got them here which for many of them have been 50 to 100 year journeys. And really figure out how to restructure that, to give them the room to invest into building a new business. And really, that takes tremendous leadership by the entire, you know, by the CEO, the board, the entire executive team and the people. The people have to commit to go along for that ride, and endure some of the pain for the greater good. >> So it's really a change management issue here, but in terms of, you talked about leadership, it also takes the foresight to actually know what your business is in the future. So GM is saying autonomous vehicles, which an average layman can say, yeah, that looks as though that's where the car industry is going. But how does a company even begin to imagine it's future at this time where there are new technologies being invented everyday, which are disruptive as we started talking about in the earlier conversation. >> Yeah, I think that's a very good question. Cause also if you look at where's the money going. The money is going to the disrupters. Right, if you look at the top five, the Google, Amazon, Facebook, Apple, let's put Microsoft in there. Combined last year they invested over 70 billion dollars, and that's about 15 percent of all of the fortune of the global one thousand. So the capital, as measured by what companies are expending, what the start-up, the VCs are at an all time high. 155 billion dollars invested last year, double what it was in 2001. The IPO market is at an all time high. Right, then you have these things like division fund, which is a whole other investment vehicle to fuel technology. So the reality is, there's never been more money going in to create the next wave of disruption, which is why we believe many of the existing companies really need to create those partnerships where they benefit from that. They can't compete with it. They can't outguess it, right? They need to be making equal systems that ultimately enable them to leverage those investments, to really help power their next generation business. >> So as an ecosystem driven world, where is Accenture doing this kind of work? >> Yeah, so the good news for Accenture is we built our business, built services in an ecosystem kind of model. Initially with SAP, with Oracle, with Salesforce and now it's with companies like Amazon and the AWS. And I think our view, and what we try to work with our clients on, is really to create the construct. And by the way, a lot of these constructs are just now being formed. What does partnering with an AWS to create your next generation digital business, what does that look like? And there's some models emerging in terms of co-innovation. And I would tell you what Amazon has done, what Berkshire Hathaway and J.P. Morgan Chase is an example of partnering to transform healthcare. Interesting way to do that. You look at something, another Seattle company Starbucks partnering with Alibaba to basically power their entire business in China. So you're starting to see different constructs where big companies are really coming together in different ways. And then again, those partnership constructs, incentives, business models around that, I think that's really where the innovation is going to take place. How do you do that? How do you align your incentives? And how do you jointly benefit from that partnership? >> So you announced something today with your Applied Intelligence Center of Excellence in Seattle, Washington. Tell our viewers a bit little more about that. >> Well, first of all we look at AWS and we say, clearly this is a company that is really important. >> It's doing something right. >> It's doing a lot of things right, it's doing a lot of things right. And I think a lot of our clients are looking at them, are leveraging them. So, it's our responsibility then as a services organization to build up capabilities and skills, and make their, and enable our clients to really tap in to this tremendous innovation. So, yeah, we did announce at Applied Intelligence Center of Excellence in Seattle. It'll be one of many centers across the United States and globally with a simple premise of building skills, building proof of concepts, building use cases, building MVPs to really around different industries and different solutions sets so again, reimagine business processes, catalyze transformation, and really make it something that our clients can tap into. >> You are the Chief Strategy Officer, what is your piece of advice for companies out there, at AWS, at reInvent here, what's sort of your one piece of strategy advice in this period of epic disruption and this cloud world. >> Yeah, I would say that unburdening ourselves from the day to day, and really immersing ourselves in this amazing environment. Learning, really understanding what makes one of these, one of the greatest companies in the world tick. Understanding how they do things. Not only, and as you know, there's more to Amazon than just technology. Right? There's a very strong culture. There's a very strong customer centricity. And really sort of understanding that, and really trying to apply it to our respective businesses. And seeing how it could really be, make the pivot to the digital more effective. And that's what I would sort of say. Come with an open mind. Learn a lot, and take it forward. >> Great, well Gene Reznik thank you so much for coming on theCUBE. >> This is a lot of fun. >> My pleasure. Thank you, thank you. >> I'm Rebecca Knight. We will have more of theCUBE's live coverage of the AWS Executive Summit in just a little bit. (techno music)
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Robin Sherwood, Smartsheet | Smartsheet ENGAGE'18
>> Live, from Bellevue, Washington. It's theCUBE. Covering, Smartsheet Engage 18. Brought to you by, Smartsheet. >> Welcome back to theCUBE's continuing coverage of Smartsheet Engage 2018. I am Lisa Martin with Jeff Frick. We are in Bellevue, Washington or, as I like to call it, not Vegas. Excited to welcome to theCUBE, Robin Sherwood, the Senior Director of Product Management at Smartsheet. Hey Robin. >> Hi, how's it goin? >> Great. This is, been a very buzzy morning, for Jeff and I here on this side. Lot's of people, this event has doubled in size. This is your second annual, so... >> Big growth in just a year. There's a, I think, Mark Mader, your CEO, shared some sats this morning. There are 1100 companies represented here customers. >> Correct. >> From twenty countries, there are more than fifty customer speakers, which is, I think there's no more validating voice, than the voice of a customer using the technology. When I was doing some research on Smartsheet, was looking at, you guys are partners with, some of your competitors. One of things I wanted to understand is, where do you have integrations with technology, versus where do you have connectors? What's the difference between those two, and how does is work >> Yeah. >> In a Smartsheet world. >> You know, I think, the integrations really are, where you're going to, you're really interacting with that other product directly, right? So, maybe it's, I want my outbound messages and notifications to go into a Slack channel, right? That's an integration. Or, I want to be able to connect to Google Drive, or 03 Secure, One Drive document, in those native stores. So, that's where we really see an integration. It's something that the end user themselves, is really interacting with. Where you see connectors is more around where I've got big systems of record in my organization, and I need data to flow between those tools. >> Like a Sales Force. >> Like a Sales Force, or a JEAR, or something like that. Microsoft Dynamics, right? I've got data there, when something happens in that system, I need it to flow magically into Smartsheet, or when something happens in Smartsheet, I need it to flow back into those systems. Cause, those are the systems of record, that my company cares about. >> So, a connection is a much bigger step in integration? >> They're just different. >> Connectors are really about the flow of data back and forth between systems of record and integrations are more about user content and user direct interactions. So, things like Drive and Box and Dropbox, and Slack and Teams and, stuff like that. Or, the web content, which we just announced. We want to be able to embed a Youtube video in a dashboard. That's not integrations, it's not, there's no data flowing back and forth, it's just a link, right? >> Got it, thank you. >> Yeah. >> So, lot of customer's we have, I think fifty customer's presenting, which is amazing out of 2,000 people in the whole conference. I don't know what the percentage is, but it's, (laughs), >> Yeah. >> Awfully large. So, just some of the all chatter here. You've been here for a couple of day now, you guys had some early training yesterday. What is some of the things you're picking up? You obviously love to hear back from the customer's. Kind of, what's the buzz on some of the new offerings, and what are you hearing, amongst the constituent here? >> I mean, it's always, you know, this is only our second year. But the energy from them is always amazing. And, you know, people were, I was talking to someone earlier and they were just blown away. By just the big list of things that we shipped, this week. And, as I was reflecting, like, I don't remember doing all that much. But then, when you see it all on one big slide, with everything listed out, it's incredible. So, it's hard to say if anybody latched on to one thing or another. Obviously, there was lots of applause during the product... >> Yes. >> Session, and we're really excited to have shipped, the multi-assign to feature, which has been our number one customer request for a while. But, it's not a, game-changing feature. Whereas, I think some of the Automation Rules ,and Updates there, and Workflow Builder, are really. People are going to go back and it's going to to change the way that they work. And, so people are really excited about that. But, really excited about Dynamic View. And being able to really, taylor the information that is shared across their organization. >> The word collaboration, like symbionic or bi-directional collaboration, popped into my mind. When Gene Pharaoh, your SVP of Product, who we had on earlier, was talking about some of the features and it was a really interesting dynamic with the audience. In that, number of times, you mentioned, the audience broke into applause. And, it probably feels pretty good. Like, yes, we're listening to you, we're doing this. Enabling, them to have technology that allows them to collaborate with and amongst teams and functions within an organization. But, you're also taking their feedback, directly and collaborating with customer's, to further innovate your product. With the spirit of collaboration, we had, Margo Visitacion on from Forrester. And she was talking about the collaborative work management CW as an emerging market. With respect to collaboration, you guys can enable sharing. I can be a licensed user, and share it with you who's not. How is that type of collaboration a differentiator for Smartsheet? >> Well, you know, I think there's a lot of tools where they're collaborative where you can comment on them. Google Doc, and that's great. But, I think where Smaresheet really excels, is really in this free collaborator model. That's not bounded by your particular organization or your team. And it really allows you to create, to spread, and create connections across customer's and vendors and other orgs within your team. And, this is where you're starting to see this these sort of step function changes in these organizations. Where, you know, you see this Office Depot example. And, he talks about, you know, taking a workflow in their organization they, going from, you know, four to six weeks, down to twenty-four hours. And, enabling people who are putting in budget request, to take action on that request, the next day. And, those are the kinds of things, that are going to fundamentally change those businesses. And so, that's where I think the collaboration piece is really powerful. You can't get that kind of compression in time. Unless, you can really span those traditional business hours. >> So Robin, one of the great things that happens always is, with tech companies is the application versus the platform exchange, right? Everybody wants to have a platform, it's really important. You get an ecosystem, lot of stuff going on, but nobody's got a line item in their budget for 2019 to buy a new platform, right? >> It's always, >> Correct >> Application centric, right. I got a problem, I've got to fix it. At the same time, you guys, you do have a platform. Meaning, you can go across a lot of different applications. So, when you're trying to balance out your priorities with the platform. Priority, in terms of more of, kind of a general purpose underly, versus and app priority, like you said, multi, how do you call... >> Multi-assignment. Yeah. >> Multi-assignment, you assign two people to the (laughs). To the no correct product management protocol, but everybody wants it, cause it's the real world. How do you kind of prioritize that? How do yo kind of look at the world when you're deciding, what are you going to roll out next, what are you going to roll out next, ware are you going to roll out next? >> It starts and ends with having conversations with real people. We've taken lots of data and we have enhancement request and usage data on how people use the product. Multi-assigning, actually, was less than 3% of all answered request in the last couple of years. But, it's our number one request. And so, it sort of. >> Oh, Wait, wait wait. So it was less than 3%. >> Of all enhancement request. >> But it was number one? >> But it's our number one. >> So you've got a giant laundry list. >> Giant laundry list of things, right. So, we can't just look at some metric and go, these are the next features we should build because we have this really strong signal. We actually, have a very, very weak signal when we look at it from a quantitative standpoint. So what we have to do is we really have to dig into these customer use cases. We have to meet with them. All of our project teams have dedicated researchers, and dedicated user experience. People that are going out, we're actually talking to people. We're testing stuff with them and we're trying to understand what commonalities exist between multiple cases across all of these different use cases. Because, there're so many different ways people use the product. There not enough people asking for one thing. >> Right. >> They're all asking for slightly different things. So, we really have to dig in and have a real, qualitative conversation with them. To understand, and bring that back and say okay, these things are related. We can build something that solves, all of these problems in a compelling way. >> Well, it's definitely more than 3% of the people cheer. When, when that. (laughs) >> Yes. >> When the feature was announced, that's for sure. So the other, kind of (mumbles), that you've got to wrestle with is, kind of a low code, no code, we want to be for everybody, yet at the same time, you want a sophisticated application. You want integrations and connectors to all these other applications. So, again, that's kind of a delicate, balancing act as well. Cause, you want to let everyone have access to be able to manipulate the tool, work with the tool, set up the tool, but at the same time, you got to keep it, pretty sophisticated to connect to all these other things. How do you kind of balance those. >> Well we... >> Priorities. >> We just try to hide as much of that as possible. You know, Smartsheets always been this tool, where it's like, it sort of looks like a spreadsheet, and it sort of looks like project management. But it's got this underlying flexibility built into it. We don't force you to, you know, if you've got a date column, we don't force you to put a date in there. If you don't know the answer, you can type in TBD. Whereas, a lot of purpose built applications, their like, this is a date, you have to enter it in the proper date format, or it doesn't work. We've always had this, sort of, flexibility and complexity trade off. The trade off is, if you give us real data, if you give us something that looks like a date, we'll draw a Gantt Chart for you. We don't need much more, it doesn't need to be more (mumbles) than that. We just won't draw the bar if you type in TBD. And so, we've always sort of danced this line, with making the tool super flexible and assume the users know what they're doing. When they're interacting withhe tool we assume they an intention and they're trinna do something. And, we shouldn't force them down a particular path. And that, sort of, plays out in all these features. The other thing that we do, is like I mentioned earlier, we do a lot of user research and we get in front of a lot of customers. And we put stuff out there, well in advance in releasing it. In a situation like this, we announced a bunch a capabilities around workflow and multi-step approvals and multi-step workflows. And, I think that's a complex feature set. That's gone through more iterations of design and review and scrapping it and back to the drawing board, than any feature I've seen at this company. But, it's probably one of the more complex features we've ever build, as well. And so that's what we would expect, right? We're not going to get this right, by just having a bunch of designers and engineers sit in a room and go, oh, we know that perfect solution to workflow management. >> Right. >> Most of our customer's don't even necessarily, use the term workflow. >> And if you look in the app, it doesn't even say. It says words and actions. You know? And little things with words matter. We have technical writers that are very specific on what we label something. It's not an if statement. It's when this happens, do this. And there's a lot of nuance and subtlety into all of this. To try and drive the complexity out of it as much as possible. >> Right. >> You can't avoid it, but you know. >> So, in hiding it, the last thing which your going to do, going forward is machine learning and artificial intelligence. Which we hear about all the time, but really the great opportunity in the field, is for you to leverage that under the covers. To hide. >> Absolutely. >> The nasty complexity to help suggest the right answer. To help suggest the right path. So, that's got to be a huge part of your roadmap. Integrating those types of capabilities, underneath the covers. >> Yeah and, there's been a lot of, we've have had tons of discussions and obviously we bought the Converse Chatbot Company back in January. And, that's been a huge sort of arrow in our quiver, so to speak, right, in that regard. We feel that we have a lot of really good information. But, at the same time, there's a lot of talk about machine learning and AI. And, the reality is, that relies on huge data sets. And it relies on a lot of analysis. And that data is not something that we can just look at, right? We take our customer's data, security data privacy very seriously. And we don't have access to that kind of information. So we need to look at this, the machine learning and the AI capabilities from a very different lens, then say a consumer product. That's sort of, you're getting to use it for free, they sort of do whatever they want with your data. And you don't really have a lot of recourse, other than leave the product. We don't start from that, we start from, your data is yours, you own it, we can't look at it. But we want to enable you, to turn these types of features on. So, we need to look at more of like an off-end model, where a customer can say oh, if I'm a big enterprise user at Smartsheet, I can turn certain capabilities on for my users, knowing that that information is going to stay in our, is going to comply with our data governance, and our data privacy rules. That our IT team puts forward. >> So the spirit of talking about abstraction, abstracting complexity, Hiding it, (mumbles). I'm curious, when you walk into a customer. Cause here we are in Bellevue, we're not in Vegas, But, we're neighors with AWS, with Microsoft, Microsoft announced Teams, about eighteen months, or so, ago. You partner with both, you compete, but you, also, you're competing with Teams. When you walk into a customer and an enterprise, likely has a mixture of, tons of different software appications, right. But they probably have, 360, Office 365, Para Bi, Excel... Why would a customer, who has such a familiarity with, say a Microsoft, work with Smartsheet versus, well we'll just extend our Microsoft expertese and bring in something like Teams? >> Yeah. >> I'm just curious, what...You've seen in that? >> Well, you know, I think it's that Smartsheet's always been good at sort of, orchestrating the actual work that's being done. And, there's a lot of tools out there where, you're having conversations and tools out there where you're creating content, and there's not a lot of tools out there, that are sort of bringing the conversation and the content together. In an actionable and accountable way, right? And that's the sort of, Gene will, you'll sometimes here hims say, use this term, shared fabric. The Smartsheet, really provides this shared fabric, that ties a bunch of these tool together. And we really, we want to partner with all these people, because every organization is different. Every organization has a different set of tools that they've already embraced. They have a different set of goals around how many tools they're going to embrace. You talk to some customer, they're like, I love Smartsheet, it's going to allow me to get rid of ten apps. And, you talk to another customer that's equal size or equal complexity two minutes later, then they'll be like, I love Smartsheet, it allows me to work with all the tools that I've already got. Very different, and they just have to different coperate goals and objectives there. And so, I think that the reason people like Smartsheet, is it doesn't, it's back to that kind of, hey, you don't have to put a date in a date cell. It's flexible. It's going to work with you and not force you to adopt the Smartsheet way about things. It's going to say look, oh, if you want to use, if you want to us Teams for your communications vehicle, and One Drive for all of your document storage, great. You want to embed a PowerPoint document in a dashboard in Smartsheet, great. We want that to be the case. We do that internally, right, we use all those. If you look at us internally, we're just like every other mordern company. We have a dozen tools or two dozen tools that we're using. And it's different from team to team and department to department. So, it's all about just embracing the reality, that as modern business and modern application, the ecosystem of applications that we all deal with on a day-to-day basis. >> So that flexibility is key. So we said about 1100 companies represented here, at this event. 2,000 people or so, fifty plus customer speakers. Is there one customer example that comes to mind, whether they're speaking here or not, that really is a great demonstrator of, we have a plethora of applications in our environment. We want to work with Smartsheet because it enables us to integrate and use these tools so much better? I didn't mean to put you on the spot. >> Yeah, no. I'm trinna think of a good. I don't know that I have a good standout example. I think that we hear little tidbits of that from everyone. And it's not, it's a very common theme. So, I don't know that. It's sort of back to the 3% thing, right? Nobody really stands out because everyone is doing that. Everyone is, I hear things, I'm going to replace this tool because you did this. Or, I'm going to now pull, integrate with this tool because, you've added this. So, you sort of take some and give some, on the same sentence almost. >> Yeah. You can do both. >> Yeah. >> Well Robin, thanks so much for stopping by. We appreciate your time. We're excited to be here. This is our first Smartsheet event. And we have some customers coming up, so looking forward to hearing some more these cases in action. >> Great, thanks a lot. >> Thank you. >> Thanks. >> We want to thank you for watching theCUBE, I'm Lisa Martin with Jeff Frick. You're watching us from Smartsheet Engage, in Bellevue, Washington. Stick around, Jeff and I will be right back, with our next guest. (tech music) (tech music) (tech music)
SUMMARY :
Brought to you by, Smartsheet. Welcome back to theCUBE's This is your second annual, so... Big growth in just a year. versus where do you have connectors? and I need data to flow between those tools. I need it to flow back into those systems. Connectors are really about the flow of data So, lot of customer's we have, and what are you hearing, amongst the constituent here? So, it's hard to say if anybody latched on the multi-assign to feature, which has been With respect to collaboration, you guys can enable sharing. And it really allows you to create, to spread, for 2019 to buy a new platform, right? At the same time, you guys, you do have a platform. Yeah. what are you going to roll out next, answered request in the last couple of years. So it was less than 3%. We have to meet with them. and have a real, qualitative conversation with them. Well, it's definitely more than 3% of the people cheer. to manipulate the tool, work with the tool, We just won't draw the bar if you type in TBD. Most of our customer's don't even necessarily, And if you look in the app, it doesn't even say. So, in hiding it, the last thing which your going to do, So, that's got to be a huge part of your roadmap. is going to comply with our data governance, You partner with both, you compete, but you, It's going to work with you and not force you to I didn't mean to put you on the spot. Or, I'm going to now pull, integrate with this tool And we have some customers coming up, We want to thank you for watching theCUBE,
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Stephen Bransetter & Mike Andrews, Smartsheet | Smartsheet ENGAGE'18
>> Live from Bellevue, Washington, it's theCUBE, covering Smartsheet ENGAGE '18. Brought to you by Smartsheet. >> Welcome back to theCUBE's continuing coverage of Smartsheet ENGAGE 2018 from Bellevue, Washington, I'm Lisa Martin, and I'm sitting here with a couple of Smartsheeters. We've got Steven Branstetter, the VP of customer and partner success. And, Mike Andrews, you are the VP of strategic accounts. Guys, welcome! >> Thanks for having us. >> You're Smartsheeters! >> That's right. >> We are. >> I have to say, I was very scared to say that on the air, and I did it twice now, and I'm going to stop, 'cause I didn't mess it up. So, Steven, running customer and partner success. I want to start there, because customer success as a term can mean different things to different companies. Something that I read that you wrote recently was customers' feedback saying, "Guys at Smartsheet, you need to be operating a different playbook for customer success." So, first question: How do you define and deliver customer success at Smartsheet? >> Right, so, first of all, customer success is often looked at as a single department, and it's not. It is a whole company effort. You've talked with our product folks, talking with sales, everyone in the organization is part of that customer success. What they're telling us, what the customers are telling us is customer success primarily is about change management. We're going through a transformation that has a lot to do with your product, not everything to do with your product. But, we need help with that transformation. And, what you saw on the keynote was you saw three folks standing up who said, "I, at my organization, signed up "to do this really hard thing." And, we didn't have a playbook as to how to do that thing. What we try to do as a customer success organization, as a company, is make sure we're standing behind that person. So, when that person comes out and says, I can accomplish that thing, that unsolvable thing for our organization, and I can do that on Smartsheet, we want to make sure that person is successful. And so, sometimes, that's the customer success team. Sometimes, that's the training team. Sometimes, that's our consulting team. Sometimes, it's elements of product helping to come alongside them, showing them what's possible. So, customer success at Smartsheet is holistic. It's not meant to be a single department. This is a company effort, so that when folks do raise that hand and take on that impossible task, that we're with them to make sure they can accomplish that. And, that creates the stories that you heard earlier today. >> And, what Steven's talking about is, during the general session this morning, the CEO, Mark Mader, actually went down to the audience and just randomly asked several, maybe three customers to talk about how Smartsheet is empowering them. And, it was really interesting how articulate they were, being put on the spot. But, how they were able to speak so eloquently to how they are facilitating this transformation. You mentioned change management. That's a hard thing to do. >> It is. When you're looking at an enterprise that has a ton of applications, and, Mike, you know this well, being a sales leader, they're comfortable with certain applications, yet companies grow organically by acquisition, and there's a lot of different tools that some groups are married to. Other groups are, eh, I'm not so sure. To transform digitally, cultural transformation is probably step one. So, how are you seeing, and, this is the second part question to you, Mike. How have you evolved CS in Smartsheet to be facilitators of that change management, not only for customers, but for you guys as well? >> So, one of the things we thought early on was, we tried this new thing, it was called Office Hours, and we did it at one of our largest customers, and it was a huge success. Literally, the first day we do it, 400 people show up on this webcast, and it was fantastic. And so, I talk with Mike, and we talked with organizations saying, we have this new thing, Ii's going to be amazing. The feedback was fantastic. We go to that next organization to roll out the same thing, and four people show up instead of 400. >> Wow. >> And so, one of the things that's been really important for us is understanding not all organizations are the same, especially in the enterprise. That, as we create that playbook, there's certain elements that absolutely resonate at, maybe, our tech customers, that don't resonate at all in the manufacturing space or organizations, and that each of those organizations are different. So, we've built a lot of that playbook with an understanding that different elements of it are going to be applicable at different organizations. And, that's the way we've approached it, which has been really successful, where we know there are elements that have to happen. We know there are elements where we need to have scalable programs. Not everything can be one-on-one. But, at most organizations, there has to be some level of one-on-one connection as well. And, whether that's a big Smartsheet day which we'll run, which folks will fly their own folks into, it's almost like a mini ENGAGE conference at their own organization. Or, whether that's all over the Web. So, we'll go to some customers. We'll show up in person, and there's a big meeting room, there's only four people there. And, they tell us, well, there's actually 200 people watching this. And so, it's figuring out that motion, at least at the enterprise, that's different for every organization. But, as you also know, we have a long tail through our organization as well. So, while we have those really large customers, we also have this long tail where we need to meet those customers at scale. We need to provide programs. So, our Center of Excellence is a good example of that. Our Webinar series is good example of that, where we provide these motions that at a scaled element, so even our smallest customer can take advantage of it. >> Awesome, so, Mike, transitioning over to you. So, I love stats. Geeky, very geeky, but I admit it freely. I was looking at Smartsheet, 75000 customers. Here, you have about 1100 companies represented over 20 countries. You guys have presence in half the Fortune 500, 90% of the Fortune 100, lot of customers, pan industry. Some of the things that they were hearing from you guys, or, rather, you're hearing from them is, we want you to build for scale, as you were talking about, Steven. We want you to teach us how to phish. And, they want you, also, to help them do it right and do it fast. How are you helping customers do it right and do it fast? Can you do both at the same time? >> Absolutely, we're proving that. And, I think, something that's really unique about how we go to market, and really the basis of our ethos as a business, is we're obsessed with keeping the software easy to use. And, as we add functionality to not get it heavy and put friction in place. So, when we think about engaging with the biggest companies in the world, we have the benefit of starting from organic adoption, where individuals and teams are using the software. They're experiencing value, they're sharing. They're collaborating. And what we see happen, the dynamic we see happening is, as individuals share and go to directors or VPs, we start from sort of work execution, project management, task tracking, and the next step is often these line of business solutions, whether MNA or product planning or employee engagement. Literally every function in the business can benefit from the ability to configure the software. And, keep in mind, we've already taken off the table the biggest issue. I've been in enterprise software for 30 years. I've sat with a lot of CIOs who've written seven figure checks. And, when they're honest with me, the biggest thing they worry about is: Is this software going to get used? We take that issue off the table. We turn it on its head. And, that ability to have that basis of adoption, to have raving fans who love using the software, and then the added benefit of being able to go higher in an organization with senior leaders who want transparency. They want speed. They want accountability. That configurability to solve bigger and bigger, more complex, more strategic flows is a huge advantage for us. It's, frankly, what fuels us, sort of our passion around serving our customers, because we get such great feedback. >> That configurability that you mentioned, Mike, kind of seems to be how customer success is set up. To be configurable, sort of modular, to be able to adjust it with the agility that's needed to deliver what these customers are needing. So, sounds like, maybe, land and expand. I know we've got a gentleman from the office of the CIO at PayPal who's going to be on shortly with us, really helping the C-Suite at PayPal, which everyone uses to be able to see things more clearly, have that transparency in terms of managing projects. >> Absolutely. >> So, I know Cisco's a customer as well. So, is it pretty typical to start with a function within marketing, for example, where there's a team that, hey, this is innovative. This is going to integrate with Jira and Slack, and all these things. Is that kind of a common sales conversation? >> Absolutely. We practice the principles of the challenge your sale and challenge your customer. And, one of the key elements of the challenge your customer is this idea of a mobilizer. And, the mobilizer does two things. They drive change, and they build consensus. And, what we find is those individuals who are change agents often times love our software, because they can do things that they wouldn't otherwise, they'd have to depend on a consultant or IT. So, we find those individuals and we work with them, and they coach us up on: what are the priorities, who are the key players?" And, that becomes a common play we run to get higher in the organization. The other thing that's happening now, I'm seeing it, really, over the past year, is organizations are starting to choose to sort of play offense with us. So, we'll continue to have that bottoms-up organic growth. But now, we're seeing VPs of marketing or CMOs, or CFOs or COOs realize, hey, you know what? I love the fact I have this base of users who love the software, and I can do things, I can enable priorities or initiatives that span the organization, get away from side-load apps, and have the kind of visibility and speed that's been unheard of. And, we're starting to see that our customers wanting to play offense with us. >> That speed to value element has just been critical. So, you heard in the stories this morning, we have MOD Pizza. Their first solution, the gentleman probably built that in a day. And, that was just to roll out one store, and then they rolled out eight the next year. And, I'm sure they made some modifications there. And then, they need to go from eight to around 200 in a year. And, they were able to do that very quickly. They were able to take an existing solution and make the modifications, add in one more element, which is control center for us, to make it that much more scalable. So, when you talk about the land and expand motion, it's both within the customer as a whole, but on a solution as well, where we have story after story where someone starts a new initiative. They don't know whether it's going to work out. It works out really well, and that effort they put into the initial solution isn't lost. They don't have to switch over to a different application, because it's now gotten too big, or some element like that. The software and the application is able to grow with their growth as a business, which eliminates a lot of those things that often happens in business, where you have to pause something that's growing to replace a software. >> Right, so, in terms of the feedback loop, you obviously, as you were describing, Steven, the customer success program you're running here is very cross-functional, very collaborative. It's product management. It's marketing, it's sales, it's IT. It's all these groups that need to come together. What is the process like, maybe from both of your perspectives, Steven, starting with you, of getting customer feedback when they're engaging with their customer success manager, for example, and they want a feature that is not quite there yet, How do you take that feedback from the customers, from the field, and start to really prioritize that internally? >> So, let me start. So, one of the things we've introduced this year is, as we've grown the field organization, is we're using our own software, and we've built these territory hubs. So, the account exec, the SC, the CSM, the SSR, the internal team, everyone is on the same page, as it relates to what we're doing in the account. And, we run weekly meetings. We check off on priorities and to-dos. So, you have that visibility by use of our own platform. So, everybody's on the same page. And, that idea of signal that we talk about, that Gina Mark talked about, it starts with that team that is right there with the customer, and then we feed it. Often times, I'll let Steven take the hand off. So, we have that signal. We have the pulse right with the customer with these field teams, and then that gets fed. And, I'll let Steven talk about how we drive it here sort of in Bellevue. >> Yeah, so, there's two elements of getting that signal, and I'm sure there's more, if you think about it. But, one is from the internal team, and one is the feedback from the customer. And, we, not surprisingly, have used the Smartsheet application to do that. But, any time we're getting a customer signal. That could be from our community, that could be coming in from a support ticket, that could be a conversation with a customer success manager, could be from any site. That feedback then goes into a Smartsheet form, and that goes directly to the product management team. And, anyone who has submitted that from a support rep perspective, for example, gets visibility to where that stands in the progress. So, is it something we're looking into? Is it in progress? If there's a date to it, what does that look like? So, we get all that. And then, the other element is we are huge users of Smartsheet internally. And, Mark likes to talk about that he is the biggest user of the mobile application across our whole customer base, and he probably is. But, we absolutely eat our own dog food there, or drink our own champagne. >> I like that one better. >> Probably a better one. And, that motion really helps us understand how to use the application, so Dynamic View, which was launched this week. We're going to be one of the biggest users of that right out of the gate. For the example that I just brought up, what Dynamic View allows us to do is it allows us to provide a view of all of those submissions of request, and the right view to the right company, or the right internal stakeholders, so they know exactly what that status is. So, those are two ways that we get that feedback back into our producting. >> Mike, you said you've been in sales for a long time. How helpful in a sales situation is the fact that you do drink your own champagne? >> Huge, it's huge. >> On Smartsheet, I imagine, a lot of companies don't show that. >> It's a really big deal; anybody who's, really anybody in the company. Anybody's who's touching the customer, When I hire people, the ability to have that confidence and understand how to use and speak from personal experience that fuels passion, it fuels credibility, and it's authentic, which is one of our core values. And then, so much of it is the art of the possible on the whiteboard with the customer. This ability to move from an idea, we've literally mapped out processes, and within 30 minutes, the essay's in there, and we've prototyped a solution. And, not only is it a quality solution, but the customer's blown away by the speed with which we've done it. But, that starts with that deep understanding of the platform and all the functionality, and what you can do with it. >> Right, I'm sure that breeds that authenticity that Gene actually talked about. Well, we're almost out of time, but I want to quickly, Steven, talk about the Partner Success Program. You guys partner with Amazon, Oracle, NetSuite, Salesforce, Slack, Google, I'm probably leaving out a few. Talk to us a little bit about the partner evolution as you compete with some of these partners as well. >> Well, I'm going to switch that a little. So, we have two elements of partners. So, we have those technology partners that you're speaking to. And then, we have the solution provider partners and resellers; that's more in my world. But, what's been really exciting about those folks and, we had a big partner day yesterday, so I'm kind of coming off the high of talking with all these folks. And, one of the things that we hear over and over again is whatever their focus is. So, sometimes, that's a geography focus. Sometimes, that's an industry focus. They tell us how much we're missing already. So, they'll say, if I'm focused on the accounting industry, they'll say, you guys don't even know how great your off the shelf application is in the accounting world. And, what they're so excited about is being able to configure it, being able to build the applications on top of Smartsheet. That then, they can bring to that world, so that, from a scale perspective, we don't have to be experts in accounting. We don't have to be experts in any of those different verticals or in those geographies. We can leverage those partners, their expertise, their relationships, in order to bring that to market in each of those areas. >> Any feedback, I know we're out of time. But, any feedback on some of the announcements that came out today from some of your key partners, besides two thumbs way up? >> They were extremely excited about Dynamic View and seeing what's possible from a new solution perspective. They were just like the rest of the customers. So, when there was the final slide showing all the new features we're bringing, all the phones came out to take pictures. It was a great scene, and they were definitely in that mix. >> Excellent, well, Steven and Mike, thanks so much for stopping by theCUBE and sharing with us how you're transforming, how the customers are able to evolve and transform with your technology. We know you have a lot of meetings to get to, so we'll let you go to that. >> Thank you very much. >> Thank you. >> We want to thank you for watching theCUBE. I'm Lisa Martin live at Smartsheet ENGAGE 2018. Stick around, I'll be right back with my next guest. (techno music)
SUMMARY :
Brought to you by Smartsheet. And, Mike Andrews, you are the VP of strategic accounts. I have to say, I was very scared to say that on the air, And, that creates the stories that you heard earlier today. during the general session this morning, So, how are you seeing, So, one of the things we thought early on was, And, that's the way we've approached it, Some of the things that they were hearing from you guys, And, that ability to have that basis of adoption, to be able to adjust it with the agility that's needed This is going to integrate with Jira and Slack, And, one of the key elements of the challenge your customer The software and the application is able to What is the process like, We have the pulse right with the customer and that goes directly to the product management team. of that right out of the gate. How helpful in a sales situation is the fact that I imagine, a lot of companies don't show that. When I hire people, the ability to have that confidence talk about the Partner Success Program. And, one of the things that we hear over and over again But, any feedback on some of the announcements all the phones came out to take pictures. are able to evolve and transform with your technology. We want to thank you for watching theCUBE.
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Gene Farrell, Smartsheet | Smartsheet ENGAGE'18
(upbeat music) >> Live from Bellevue, Washington, it's The Cube! Covering Smartsheet ENGAGE 18. Brought to you by, Smartsheet. >> Welcome back to the Cube's continuing coverage of Smartsheet ENGAGED 2018, their second now annual event, our first one here. I'm Lisa Martin with Jeff Frick and Jeff and I are pleased to be joined right off the keynote stage, the SVP product Gene Farrell. Gene, welcome to the Cube! >> Well, thanks for having me. I'm thrilled to be here today. >> So, packed house, this event has doubled in size from your first one last year. It's about a couple thousand people here representing 1100 companies from 20 countries and you had a really cool interactive keynote this morning where you clearly showed very, I thought, organically how much Smartsheet is collaborating with your customers to drive the innovation of Smartsheet technology. Tell us a little about some of those enhancements and how you got the crowd to burst into applause at least three times. >> Well, I, thank you, I would tell you that Smartsheet, our whole product development process is driven by the customer. 95% of what we decided to build in our roadmap is grounded in customer feedback. And so, for us anytime we can engage with customers to learn not just what do they want, but what is the problem they're trying to solve. And that's really the art of great product management is going beyond just the suggestion to how are you going to use it? How does this help your business? Because, many times there's a better way to do it than what they come up with. And so, for us, coming to this ENGAGE conference, I think we announced over 20 new capabilities that are going to be available either now or in the next couple of months. And it was really easy to know we were going to get that applause because they pretty much told us what to build. So, we looked really smart but it's actually we're just listening. And so today we launched a number of great things like multi sign to, new automations, multi-step workflow, bunch of new connectors, a really cool dashboard widget for all sorts of web content. And we just can't wait to see how customers use it. >> It's pretty interesting when you're up there because we see this at a lot of little shows, when they're just getting started and, I'll still call you guys one of the little shows, where kind of the intimacy is so much tighter and really the knowledge sharing is very, very different than when you go to a big giant show that's got tens and tens of thousands of people. And you can feel that it was palatable, I thought that was pretty brave of Mark to walk out into the crowd and stick a microphone in somebody's face, the guy responded and he had an answer to the question of the way Smartsheet has helped him and I think he had two other people. But, what's really critical, we talked about automation a lot and processes a lot but it's the scale of the simple that becomes a big challenge and that's something that squarely right in your guys' roadmap. >> Well, it's definitely what we focus on and one of the things we have as a value as a company is being authentic. And for us, regardless of however big we get we know it's important to show up and be, you know, the best of who we are and engage with our customers in a real and authentic way and so, I think that really helps us have that connection and I hope when we're a billion dollar plus revenue company that we have that same feeling. And this conference hopefully will grow to tens of thousands but I think staying grounded in customers is just critically important. And I think how we differ from maybe some other folks in the technology space is we really focus on that every day user. How do we provide practical innovation that has the power they need without all the complexity that turns them off or scares them? And that's not, it's something that nobody else really focuses on and you hear a lot from technical companies about their powerful new innovation and these great breakthrough ideas but too many times it's engineers building for technically minded folks. And we've just chosen to go after a different group. >> I'm just curious how the people usually come into Smartsheet because, you know, the workflow space and, you know, there's just so many things out there that are all about the new way to work and you know, competing for my screen that I'm working on the majority of the time. So, I'm just curious where do people find you? How do they usually enter? 'Cause you got a pretty broad suite of applications and you integrate with a lot of different desktop tools so what's kind of that process do you see? >> I would say it's probably two primary ways. First is, we still have over a 100 thousand people every month that show up at our door and sign up for a free trial. Because they're looking for a better solution. They've been living hand to mouth with email and spreadsheets and they're just kind of overwhelmed by the velocity of work that's happening, the pace of change, and the old way isn't working for them anymore. And so, a big part of how people find Smartsheet is just they go out on the internet and say I'm looking for a better way to be more effective or I'm looking for a new way to manage a workflow or a project. The other way, and about 40% of our new customers that sign up for licenses come through our collaboration model. And it's actually kind of unique for us at Smartsheet. When you buy a Smartsheet license you are entitled to share your work with an unlimited number of collaborators both inside and outside your company. And those collaborators can view the work but also participate in the process. They can update sheets, they can provide input to the flow, and they actually get to engage and be part of that. And what we find is when people see the power of how other people manage and they participate they realize, hey, I want to use this for some of my work. >> So, it's not read-only? They can actually engage in my project that I've invited them to participate in? >> Absolutely, and the great they for you as the license owner is you never have to worry, hey, I want to share this with Sue. Does she have a license? Or do I have to go let her know ahead of time? You can share freely and not worry about people being able to participate. >> Well you have a big pipeline 'cause I was reading over the weekend that there's about 650,000 active individual users but about 3 million collaborators. >> Absolutely, yeah. >> Is that a differentiator for Smartsheet in terms of enabling that waterfall of demand generation? >> Well, we certainly think it's unique, right? There's lots of folks that kind of go down the free tier path. Where they say I'm going to give you all the capabilities in a free tier but I'm going to try and ratchet it down so you run into these pay walls at every turn where you then have to kind of license the organization wall to wall. And we just feel that doesn't really work for us. For us, we think it's important that anybody that's creating value in Smartsheet should have to pay for the value that they're using it to go create things with. But, the people that they enroll in that process, until they actually are creating their own stuff they should be able to participate for free. We think it really fits nicely with how modern work is evolving with a lot of teams and frankly a lot of teams across organizations. So, interesting fact is almost 40% of sharing in Smartsheet is with people that are outside of the company sharing. So, if you're sharing with all those folks in different companies and working across different organizations, trying to figure out who has what licenses and how to do things is just going to be a nightmare. So we want to make that just completely frictionless. >> So one of the things that is interesting about Smartsheet is that this is designed for the business user. You know, whether you're in sales, IT, finance, engineering, lot of different use cases you talked about kind of the breadth earlier, Jeff. Walk me through, if I'm at a large enterprise organization and I need to launch an omnichannel marketing campaign, but I use email, I use Slack, we got SalesForce, CRM. Maybe some of my, maybe I'm going to be collaborating with a different function that's using a competitive solution. How do you help me, I need to mange this campaign and I need to launch and I need to measure it. How do you help me connect my Slack, my teammates that aren't using it, that are on email. You're smiling big, walk us through that, what does that integration look like? >> Well, I think the first thing to remember is we really focus on the 60% of work that's unstructured and dynamic. So, this is the work that's constantly changing, and many times left to the business user to figure out how to get things done. And we recognize that in managing that unstructured work there are kind of different tools for different parts of the job, right? Just like if you go to any good mechanic's toolbox he's got more than just a hammer in there. And so for the business user they need messaging tools, like Slack or email to communicate. They create new content with document tools, whether it's G-Suite or O365. When they bridge the old world to the new world in the cloud they need file, sync, and share. People still have files, ironically, that sit on desktops and so they need to able to manage those in the cloud. None of those solutions is going to go away. You still need those for different things. Where we play is really helping people manage the what, when, and by whom. How do you actually execute the work? And today there's not a great platform to do that outside of Smartsheet. And so what we try do then is work seamlessly with all the tools that they're using today. So, to answer your question. If you're a Slack user, to get started with integrating Slack with Smartsheet it's as simple as from Slack, turning on the Smartsheet bot. That Smartsheet bot that enables you to receive signal directly from Smartsheet into Slack on update requests, notifications, approval requests that you can then action without ever leaving Slack. You can actually approve an invoice, you can update a Smartsheet directly from that Slack channel. It's the same type of integrations with file, sync, and share where you can attach documents from a Dropbox, or a Onedrive or a Box directly to a row or a sheet. And have a connection to the other work. >> So you're not driving the user back to do everything through the Smartsheet app, I can share things through Slack but I can also be right in Slack having a conversation with a teammate, >> Absolutely. >> And share everything through that directly. >> Absolutely. In fact, our integrations with our messaging platform, which is a core part of our strategy to kind of support how people work today in these modern platforms, really involves two types of integration. There's a channel integration. So, let's so you have a group of folks that are collaborating on some work, you've got a common sheet that you're using to actually manage the details of how you're going to get stuff done and then you have a Slack channel set up for them to engage, communicate, make decisions, collaborate. You can actually send signal directly from that sheet into the channel where everybody sees it in real time. >> What about mobile? >> Totally, works on mobile and on desktop. And then we actually have the bot, intelligent bot based integrations that are more personal. So, that's really your signal and the actions that you need to take. So, we're trying to really cover all bases and how teams want to engage with messaging. >> Just curious, as you've been rolling this out for a couple years, some of the crazier applications that you had no idea that people would use. This application for this type of use case, you can share us a funny, some great stories. >> There's certainly a broad array of use cases and there's a lot of times when you'll hear about a story and then you're like, well, yeah, I guess Smartsheet would be pretty good for that one. But, I would tell you, the ones that to me I get most excited about are the situations where the customer needs to do something really quickly because they're reacting to a signal or something that's happening in the market. And, so, one of the ones that I thought was really cool was actually last year's hurricanes, with Harvey and Irma. One of our large customers, Starbucks, actually used Smartsheet as a tool to connect with their teams and then manage the recovery. And, what they realized going in was they're team members are going to be on the ground in these areas that have been devastated by the hurricane. And they're not going to have internet connectivity, they're probably not going to have power, they got to reach them through mobile. And so they set up a really simple process where every morning they pushed a mobile form in Smartsheet to all of their crew members in those markets. And, the first thing they asked them was, are you okay, do you need help. And then once they knew that they were alright they then said, hey, are you available to work? Your store's going to be re-opening we want to know if you can work? And then with the managers they would poll on what's the state of the physical location and can we actually get open and start serving this community that's been devastated by this disaster? They literally came up with that idea and deployed in a couple of days. And they were getting, if you talk to their CEO, he would tell that he was getting reports every day on the status of who was available and how things were coming together. And then, the funny part of that is, they actually then were able to use that same Smartsheet mobile app to capture all the damage in store and my understanding was it was the first time they were actually able to get full recovery on insurance claims after an event like that. >> Oh, wow, alright. >> That's not really funny but a I really love that. >> Very impactful. >> But it's super important. But so we'll lighten it up a little bit before we let you go. In a prior life, your worked at Coca-Cola. >> I did. >> And you worked on the Freestyle. And for those who aren't familiar, Freestyle is the really cool vending machine when you go to McDonald's or Wendy's or whatever with all the push buttons. And what I find so interesting about Freestyle, it comes up at all the tech conferences. It was really a digital transformation of brown sugar water >> Absolutely. >> Into a phenomenal data stream that provided all types of transformational stories. I wonder if you can tell us a little bit about that story and add a little color 'cause I think it's just a fantastic example of digital transformation of something that probably most people didn't think was possible. >> Sure, oh no, I'd be happy to. It's one of my favorite stories to tell, actually. It was an amazing six year run for me and really what got me into wanting to be in product. I had spent the first half of my career at Coke really in Sales, Marketing and General Management. And, the Freestyle opportunity really came up because our engineering team at Coke had come up with an idea that was really designed to save money on the supply chain. They thought, let's take the water out of all these, the syrup that we ship all over the country and we can make a lot lighter and we'll save all this money. >> All kinds of benefits from not drying the water out. >> And our leadership looked at that and said, hey, we think there might be something more here. And so, the President of the Food Service division at the time invited me to come back to Atlanta and he showed me this prototype and he said, we're not really sure what this is going to be but we want to put a business leader on this to see if there's something here. He said, it can be three months or three years, you never know. So I uprooted my family from Seattle, moved back to Atlanta kind of a little bit on a whim. Like, we could've been over. And the funny thing is he said, there's lots of jobs in Atlanta. What he didn't say was there's lots of jobs at Coke in Atlanta. So, I'm not sure if he was trying to tell me something. But what was really fun about that was that Coke took a completely different approach. For a 125 year old company, completely different approach to innovation than what they traditionally would've done. Which would've been, hey, let's give it to the innovation group. Let's have senior meetings every three months to decide what to do next. >> Kick out new Coke and that didn't work out very well. >> Yeah, well, kick out new Coke. But what they did was they empowered a small team. I basically ran like a little startup. I reported to a board, I had no line reporting and we kept it totally confidential. We isolated the team away from the rest of the organization and we were allowed to just go run. And my board gave us everything we needed as far as resources and money. And we started with the consumer. And we said, hey, what is it that, if we could transform drinking soda away from home what would that look like? And what we found was people wanted a lot more variety than what they were getting at that time. Used to be six choices, right? Five of them brown, one of them caffeine-free, one of them diet, no caffeine-free diet, I mean it was just like we were missing the boat, right? If you went to a 7-11 there's 3,000 choices. You go to McDonald's, six. And so they wanted a lot more choice and they wanted to be able to pour the drink themselves. And so we thought that was a really powerful insight. What was interesting about that is they didn't trust the kid behind the counter to get it right. Which, I think is kind of ironic but at the end of the day, we invented the technology around this idea of providing almost unlimited choice and really rolling the consumer in the process of creation and it was amazing. When we delivered that to our end users we saw 50% increases in volume, remember this is a brand that's growing 2%, 3%. >> Super mature market. >> Yeah, super mature market, complete game changer. And it really unleashed this sense of creativity with consumers around what's possible, right, on the drink side. Now, on the business side, what was transformative for the company was that this was a completely wired experience. And it had had to be, frankly, to pull off delivering a 125 different choices in a restaurant. You got to arm that customer with lots of information about what do they need, how to configure, how to service. And so those machines were all connected. And they provided tons of great data on what consumption was happening inside the restaurant. But, also air logs on the equipment, how everything was performing and so it really led to a completely rethinking. How do you actually manage a network of connected devices? And it was kind of funny because we were really kind of pre-cloud. >> Pre-cloud, pre IoT. >> When we first started we had the machines called home every night using a wireless modem. We actually started, we did a contract with a IT service provider to provide servers to actually house the data. And we did this contract, oh these will hold you for three years. Within a month we were running out of server capacity because all of the data we were getting. And so it was really, it was super, super fun and we iterated that I spent six years on that and really it was one of the coolest experiences of my life. >> Probably one of the most relatable digital transformation stories and you guys are also doing that at Smartsheet. Gene, I wish we had more time. Thank you so much for stopping by the Cube and one of the things I like that you said in the beginning, and we'll leave it with this, is that Smartsheet is authentic. I think authenticity is contagious. So, thank you for your time. >> Well, thanks for having me, it's a pleasure. >> Thanks. >> And for Jeff Frick, I'm Lisa Martin. You're watching the Cube live from Smartsheet ENGAGE in Bellevue, Washington. Stick around, Jeff, and I'll be right back with our next guest. (upbeat music)
SUMMARY :
Brought to you by, Smartsheet. and Jeff and I are pleased to be joined I'm thrilled to be here today. and you had a really cool is going beyond just the suggestion to and really the knowledge and one of the things we that are all about the new way to work and they actually get to Absolutely, and the great they for you Well you have a big pipeline Where they say I'm going to give you and I need to launch an And so for the business user And share everything and then you have a Slack channel and the actions that you need to take. of the crazier applications the ones that to me I but a I really love that. before we let you go. And you worked on the Freestyle. I wonder if you can tell us the syrup that we ship all from not drying the water out. And so, the President of and that didn't work out very well. And we started with the consumer. and so it really led to because all of the data we were getting. and one of the things I like Well, thanks for having And for Jeff Frick, I'm Lisa Martin.
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Kickoff | Smartsheet ENGAGE'18
>> Live from Bellevue, Washington. It's theCUBE, covering Smartsheet Engage '18. Brought to you by Smartsheet. >> Hi, welcome to theCUBE. We are live at Smartsheet Engage 2018. Our first time here, I'm Lisa Martin with Jeff Frick. Jeff, it's great to be paired back up with you again. >> Yeah, it's been a little while, great to see you, Lisa. >> It has, you too. So this is the second annual Smartsheet Engage. There's about a couple thousand people here. Double last year and they shared. We just got in from the keynote and they shared some interesting things. First of all, they IPOed just about four or five months ago. I think April 2018. They have presence in 190 countries. They have 75,000 customers. They've got users in half the Fortune 500. 90% of the Fortune 100. And a lot of momentum. What are some of the things that you're excited to learn about Smartsheet today? >> You know, I think it's kind of an interesting story. There's so many components of a lot of different work applications and we go to so many shows. We hear about a new way to work from IBM. One of my favorite lines of the year was actually from Google Cloud where you want to empower people to actually be, as you wrote it down, make judgements instead of drudgery. And these guys are all about that, but it's a little bit confusing 'cause they integrate with a lot of the other type of applications that people interact with at work. The big mentions of the Microsoft Suite, of 365, of Slack and some of those other tools. So what Smartsheet's tryin' to do is really roll those all up under kind of a unified view, parts of project management, parts of task management, a lot of pieces to really add that top level management. So I think it's a little bit of an interesting message. It's a lot of bits and pieces. We're used to that with theCUBE. We have three brands, so I kind of get it. So I'm lookin' forward to learning more about really how they kind of parse that out. >> I am as well 'cause you mention a number of other solutions who they both compete with, Microsoft Teams, JIRA under Atlassian. They also partner with them. And I'm curios to see an example and we've got three customers of theirs on the show today, Jeff. I'm interested to see that in action. If I am at an enterprise, and I am running a marketing project and I want to use Smartsheets, but I also need Slack for messaging, email for communication. I've got maybe another team I'm collaborating with that's using a different workflow automation platform. How does it actually work together? One of the interesting things, when CEO Mark Mader who's our first guest today, was with you in the studio in Palo Alto just a couple months ago, he was talking about the genesis of Smartsheet. And I also saw him say this in a press release when their IPO occurred back in April and said a lot of people, critics, in the very beginning 12 years ago said, you guys are nuts to go base this new technology, this new SaaS platform off of a spreadsheet model. But something interesting that he said is that, that's a construct that 400-500 million people understand. So this is another interesting element to me is that this is technology that's not, you don't have to know how to code or even what an API is. This is for the business users, the lines of business, IT, marketing, engineering, the facilities management. So it's really, it's got a broad spectrum of use cases that I'm also interested in hearing about today. >> It's funny on the worksheet as kind of a construct because we hear that all the time. Especially at all of our big data shows, right? Worksheets in Excel is still used by a lot of people for a significant amount of work. So people are familiar with it and they know how it works. I think they'll have to change that a little bit as they grow a little bit beyond that. Still a lot of conversation about rows and it sounded very spreadsheet centric in the keynote. And I think that'll evolve, but I think what's the most important thing, what I'm excited about, I say this time and time again. We go to so many shows, right? Everyone is struggling to find innovation. To me the answer is, one of the answers is kind of simple. You get more people, more access to more data with more tools to manipulate that data. And then most importantly, the power to do something about it. This was all about empowerment, empowerment, empowerment. Letting people, give 'em the information and then let them actually do something with it. That is so significant and it's kind of interesting. They had a Stephen Covey quote up on their as well that's kind of a similar thing. Taking it to the next step which is that's how you keep people happy, that's how you keep people engaged. Again, less drudgery, more judgment. Let them feel like they can actually make a difference versus just pushin' buttons and movin' paper along. >> Yeah, another theme that we heard a lot on the keynote this morning, Jeff, is about collaboration. And it really seems to me to be this message of symbiotic collaboration. They, Gene Farrell, who's going to be on the show with Jeff and I just in a few minutes or so, talked about, hey, customers we've heard you. You want more, and he actually got the crowd to chant, we want more, it was great. But when he was starting to talk about some of the new enhancements to the features. And yes, you're right, they're still talking about some, I don't want to say antiquated row structures and things like that, there were a number of times where the audience today broke into applause. So, not only are they delivering this SaaS platform to facilitate collaboration between teams at small organizations to big enterprises, they are also collaborating with their customers to continually innovate and improve their product. And I thought, something that I've never seen and we see a lot of keynotes, is that their CEO, Mark Mader, actually went into the audience during his session this morning and asked customers to stand up and talk about how Smartsheet is empowering them. And there were at least three different customers that stood up-- >> Right. >> and quite articulately spoke about how mostly qualitatively, but how their businesses or their team or their productivity is being improved. So this bidirectional collaboration, I thought was very palpable this morning. >> Right, which again I think is one of the huge benefits of the SaaS business model that is way underreported, not by us, we talk about it all the time. Is that if you have a recurring revenue model with your customer it forces you to be engaged. It forces you to deliver value. It forces you to innovate on an ongoing basis. It's not a ship and dump and then release. We'll come back in a year for our 15% maintenance. It's a very different way to go. Other really interesting things, they talked about recent events, Hurricane Florence in North Carolina. Happened to be a customer there able to aggregate and pull together a lot of information into these dashboards and that's something we hear about all the time. We'll hear about it more in the PayPal example. It was referenced in the keynote which is when you have to pull that data together for your weekly executive briefing, this promise of all these dashboards has always been there. Smartsheets is a little bit different because they want to be the primary way, but they want to integrate with all these other applications and other SaaS applications as well, so that you can create that user specific dashboard for the objective and you don't have to reassemble all that data every week for your weekly to roll up to the C-Suite. >> Yeah, and one of the things, speaking of customers, they had over 50 customers speaking at the event this week which is a lot. I was very impressed by that. >> Yeah, out of 2,000 registrants that's a big percentage. >> That is a big number. I think also some of the stats that Mark Mader showed were 1,100 companies are represented here from 20 countries. In fact, I also saw online that nearly a third of their revenue comes from outside the US and they actually don't have much presence outside the US at all. Outside of Converse.AI that they acquired based in Edinburgh, back in I think January of this year. But in terms of customers, the voice of the customer and that customer collaboration, we're also going to be talking to a gentleman who runs their customer success and partner success program. As you mentioned, the SaaS model being different, this isn't just check in every year and dial up the increase in subscription costs. So I'm curious what their new playbook is for customer success that they are developing and implementing or executing, that going to be their word, right? >> Right, right. >> Execution. Based on this new model and how customers want to be engaging with vendors. Ultimately they want things as simple as possible, so I'm curious to hear about how that customer success playbook here might be a differentiator against Atlassian, JIRA, Microsoft Team, and some of the other competitors. And also, how does it facilitate this breadth of collaboration? How does it enable them to collaborate with sales force and Amazon and Microsoft and Slack, for example? A lot of interesting points here and I'm hoping today what we're able to do is help put that together and sort of integrate this message. >> Should be a good day, looking forward to it. >> I think so. >> Our first time here. >> It is our first time. So stick around, Jeff and I are going to be live all day. We are again in Bellevue, Washington at the second annual Smartsheet Engage 2018. I'm Lisa Martin with Jeff Frick. Stick around, we're going to be right back with the CEO in just a minute. (high tech music)
SUMMARY :
Brought to you by Smartsheet. Jeff, it's great to be paired Yeah, it's been a little 90% of the Fortune 100. of the year was actually One of the interesting the power to do something about it. of the new enhancements to the features. and quite articulately spoke of the SaaS business model Yeah, and one of the things, that's a big percentage. that going to be their word, right? to be engaging with vendors. looking forward to it. are going to be live all day.
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Jason Kelley & Gene Chao, IBM | IBM Think 2018
>> Narrator: Live from Las Vegas, it's theCUBE! Covering IBM Think 2018. Brought to you by IBM. >> Welcome back to IBM Think 2018, you're watching theCUBE, the leader in live tech coverage, my name is Dave Vellante, I'm here with my co-host Peter Burris. Gene Chao is here as the Global VP of IBM Automation and Jason Kelley, Cube Alum, is the GM of Blockchain Services. Gentlemen, welcome back to theCUBE. >> Thank you much. >> Great to see you. >> You guys, I call you heat-seeking inefficiency missiles, so, Jason's... Just a shout-out, take it from there. What are you guys up to, what are you doing? How are you helping businesses? >> Well, we're driving trust into transactions. The elusive things that we've been trying to-- >> Gene: Whoops, there goes heat-seeking. (laughing) >> Exactly. Or we're seeking the heat. It's coming after us, as soon as we say trust, someone wants to attack you. And so what we're bringing into business is that thought that, if I can add trust into transactions, I don't need a third-party to validate it. I can now say, look, you are who you are. We both know each other. All that we do, we go way back. We know each other, and what we're about to exchange is known as well. So if I can keep that validation from happening, I'm going to remove cost, labor, time, out of it. And I'm also going to then maybe avail new market opportunities of those who could not enter the system before because we didn't trust their identities. Or we didn't trust that their goods were their goods, and they were trying to exchange it. So think of that heat-seeking missile, we're trying to bring that capability and that heat is the energy in the system now going bigger, better, faster because there's trust. >> And your role is to bring those Blockchain services to market, is that right? >> That's correct, bringing the services as a whole, because see, Blockchain isn't a product. Blockchain, you know, I don't have under the table a bucket of Blockchain. >> Dave: Let me see your Blockchain. >> Sorry, no Blockchains here. So, if in fact, we're bringing this capability to the market, there's all types of services from what's the business value design? First, what's your outcome? Why say Blockchain? Believe it or not, it says it on my chest, so it means I get paid to do it, but maybe you don't need this? And so, quite simply, maybe you need to do something else. So the first thing is, let's understand the outcome that your business is running toward, and then let's understand if it's a Blockchain, and then can we bring some automation with Gene and team? >> Okay, that's the set-up for you Gene, so you're the automation piece of the puzzle. Explain. >> So, I love the commentary around the better, faster, but we're also bringing more scale. So automation has scale. What does that mean? We're really focused on two things, guys, the first thing is around taking advantage of the new technologies to enable what I'll call software-based labor. So there's a new concept of the digital workforce model that enables how transactions or how work gets done. Coupled with that is how that workflow or process, business process, IT process, whatever it is, how does that workflow fundamentally change through these technologies. Why that's important is as we look at Blockchain, as an example, as a pivot point for trusted transactions, I need to build trusted automation around it. Trusted ways to leverage these technologies in that workflow so those transactions are easily scalable, works at machine time, and runs through very quickly. >> This is fascinating stuff, 'cause look. The way that we like to characterize the big change in the industry is we say, for the first 50 years of computing, there was no process, accounting, HR, et cetera, on known technology. How do we implement? What technology do you choose to implement? The implementation choices are becoming clear. Cloud, et cetera. What's less known is the process. The unknown process, unknown technology. Now it's unknown process, known technology. And what you guys are talking about is one of the challenges when you think about processes. Who does what? Can we verify that we've done it? Did they do it right? Did they meet to do what they said they were doing? Et cetera, the whole range of issues. And the contracting process is extremely complex, but if you set it up in a Blockchain form, you've got a simple contract, a simple definition of who is trusted, simple definitions of roles, and now we can dramatically accelerate new process creation and then automate it. Have I got that right? >> I think you got it, when you think about dramatically, dramatically accelerated, you say that it means something different to everyone. But let's think about my friend Frank Yiannas at Wal-Mart, for example, where they're working on food trust. They're trying to make sure that from farm to fork, we know where that food came from. One-third of all food that's processed goes to waste. Because we lack food trust. Food is guilty until proven innocent, right? To keep that from being-- >> Spoiled. >> Spoiled, I'm... The humor is killing me. (laughing) So, no pun intended, food trust, right? So, Frank and team wanted to understand how fast they could move this thought of tracking, tracing, with transparency, this food through the system. Just as you said, there's certain contrast, think of the handshakes from getting, in their case, a mango from a farm all the way to your home, Well, it used to take them seven days. Actually, six days, twenty-some hours, in order to figure out that process. Put it on the Blockchain? 12 seconds. And then once they cured the lag and the technology, 2.2 seconds. So think of that. Now you're shrinking this to seconds versus days, what does that do to the process? What do you do when you say, now my system can go that fast. My people can go that fast. What do you do? Think of the automation that you're bringing in now, and things that you will now have to automate, out of not just necessity, but things you will say, wow, we've opened up a whole new ecosystem of possibilities in order to do business in a different way. >> Well, so let me build on that for a second. 'Cause one of the things that potentially means is that because you can handle more complex, newly designed, process, better, faster, more automated, that you can start to expand the scope of participants in a transaction? The range of characteristics of the transaction, or the type of work? That's how you build up to new businesses and new business models, right? >> Sure. >> Right, right. >> If I can jump in on that one. There's a concept in this one, and this is where Jason and I are connected at the hip. You know, we think in terms of a smarter product, we think in terms of a smarter contract, or transaction, that the guiding principle that we're using is the old way of thinking, and I carry this narrative all over with me is, the old way of thinking is you have people following your creating process, supported by that technology. So the things that you talked about, unknown technology, unknown process, continuously sourced by people? Fundamentally changed. We're now working in a world where the process is run by the technology and supported by the people. It's not that the people are going away, it's a fundamental retooling of the skills and understanding of how to support it, but that scalability, the ability to get to that exponential growth, is because the process is the king. At the top of the food chain, now. And that technology lets it expand. >> But we could do levels of complexity in that process and the number of participants in that process, unheard of! It's scale and scope. >> Yes. >> But doesn't that force... Look, we've had some conversations, Dave and I have had some conversations, with a number of big user organizations about this stuff and we keep coming back to the issue of that they can't just look at the technology, they have to focus on the design. That one of the most crucial features of this process is the design of the Blockchain. We got that right? >> You heard me use the phrase at the very beginning, if you didn't, I'll say it again, I said, business value design. Because in fact, that design is not just a UI or UX, but let's make sure that the business and technology are doing the right thing to get to the outcome. As we say, design doesn't stop until the problem is solved. And guess what, the problem's never solved. So design happens... Many people say, "Oh we're going to do some "design thinking at the beginning. "We did that," check the block, and then they run off and do something else. For us, design's like an infinity loop. You continue to do it. From the beginning all the way to the end, and then, what you're able to do, and hint-hint, this is something that we do in our services, we start with our clients, we get them started so they understand, then we help them accelerate, and then innovate. Three steps: start, accelerate, innovate. And that's a design process in and of itself. So if you start at, you know, the days of Blockchain tourism were a couple years ago, everybody wanted to kick the tires, and then last year was PoC PoV, this year's the year of production. And people are quick in saying, "How do I quickly start "production and keep moving?" >> So let's talk about some other examples. You mentioned Wal-Mart, we heard Plastic Mag this morning, I introduced somebody, I think Evercorp was the name of the company, Diamond Providence. Others that you're excited about, that have made a business impact. >> Well, I'd be remiss if I didn't mention Mike White and others at our JV with Maersk. And you know, you think of that, where you have the classic thought of a supply chain, this linear steps in the process, you know, these handshakes that have to happen. Now what we have is we have this process of thinking how we can bring transparency into all of that, and it's not just a supply chain, but a value chain. So you have where 80% of whatever you all are touching or have owned right now, with the shipping line. But not only through a shipping line, but then there was also ground and air, and ultimately to a retail location. Then you consumed it. Well, think of all of those processes now having the transparency where you can see from point of consumption all the way back to origin. Think of the supply chain visibility, that elusive thing called supply chain optimization. Now you can do that, but not only the supply chain, but the value chain. Someone's paying invoices under that big thing called a value chain. Someone's doing trade promotion management in that value chain. Now, if you have that visibility, what do you enable? How many more packages can go through the system? How much more shipping? And the estimate is 5% increase in GDP if we're able to get all of this shipping into the Blockchain. You start talking GDP? It opens eyes. >> Right now you're talking growth, right? >> Yes. >> Real growth. >> So, it's 20% of the four trillion associated with shipping? Is bound up in paperwork? >> Yes. >> So we're talking about 800 billion dollar change. >> And returning capital into the system. Returning capital. You think of this thought of opening up new opportunity, And I'll throw another example, another client, so we're not just talking, but you think of what's happening with We.Trade. Nine banks in Europe who compete. You think of Santander Bank and a Deustche Bank and those are now, they're all coming together, saying "How do we now share data and information "so that we can let small to medium size enterprises "into the system?" So now you're getting not just savings of cost and time, but now you're opening up markets. Getting greater throughput. High waters raise all boats. And that's what we're seeing in a lot of these examples with, it's not just taking out those old things, you're thinking of new processes running the business a different way. >> And Jason's a great lead guy. You asked for an example, our friends at DBS Bank. They are fundamentally looking at changing the business models within the bank across all different divisions of the bank, whether it's credit transactions, mortgages, personal wealth, and the way they approached it was, we know these new technologies are going to allow us to fundamentally look at the workflow and change it. But here's the question: Who will be looking at changing these things? What's going to enable these model changes, the workflow changes may not be human capital. It may be working alongside this sort of man plus machine element or formula-- >> Peter: Patterns. >> Right, to allow the technology to tell you where your efficiencies could be gained. Allow the technologies to make the correlations in those disparate business models, to fundamentally change how you do business. So that's happening today. >> So, phase one is what is this, phase two, POC, now you're sort of in real production, but you obviously doing a lot more POCs, you're scaling out. Where do you see this going over the next three or four years? >> Well, I think last year was a year of the PoC PoV. I think this year's a year of production. And when you think of some of the examples that we've given, we've talked about consumer trade with Wal-Mart, we talk about shipping trade with Maersk, we talk about trade finance with We.Trade. Each of those individual networks, where do we see it going? We see these networks becoming a network of networks. Where each one of them have their own ecosystems and they come together. And they come together with trusted data, with trusted information, access that's unparalleled. So that's where we see it heading. And you have to say then, okay, it sounds really simple in the way you've just described it, so where's the challenge? The challenge is going to be doing this from a business and technology perspective. There's a lot of things that have to be figured out here. How are you going to make those processes work at that speed? What do you rightfully automate and what things don't you automate? That's more than just a technology. You can't plug a technology in and solve this. It takes an end to end capability. And that's what we're seeing, becoming more of a differentiating capability for our teams, where they can say, "Gene, Jason, "can your teams talk to us together?" 'Cause, of course, they work together. That's a differentiating effect of moving at scale and at speed, and that's where we see it going. Scale and speed. >> So what Jason and the Blockchain frame does for us, is it's an accelerant. Okay, we talk about knowledge worker, automation, we talk about different areas of software-based labor, but that accelerant is doing one big thing, is it's forcing us into what I'll call vertically integrated processes or workflow. Gone are the days of segmentation of, "Oh, that's back office," or "That's front office." We now have to take that workflow and pivot that to vertical integration. Why? That accelerant is moving at the speed of light for trusted transactions, I have to make the systems supporting that. The process, the people, I have to keep up with that pace of change. If I don't vertically integrate those processes inter and intracompany? This doesn't work. It falls down. So that's our marriage. >> Tough to go to market. How do you go to market? >> How do we go to market? We go to market as fast as we can, and we go joined at the hip, with clear and simple understanding. >> Where's the Blockchain for going to market? >> Yeah, right? >> And is there partner ecosystem that... >> Absolutely. So we talk about a Blockchain, Blockchain's a team sport. And it is a true demonstration of Metcalfe's Law, you know, the network drives the value. And so we do. We go to market with this thought of, who's going to play in that network? And we have networks where its obvious value may have a founder network, like Wal-Mart, where you say look, we see the ecosystem, we have the ecosystem, we're the founding partner, or you have a consortium such as We.Trade, where they come in and they say, "Look, let's pull all this together "'cause we see the value." So we go to market with that ecosystem, knowing that they have to partner, they have to work together. >> Outstanding. >> There's three distinct chapters in our go to market strategy. One is the services architecture, the second one is software ecosystem, and the third is around platforms, like a Blockchain. So when we start-- >> No design? >> Sorry, say again? >> No design? >> No, there is absolutely design. Absolutely design. So at a service architecture's perspective, there is fundamental workflow design happening. At a platform level, that's an even further advancement of design, because of the frameworks and blueprints happening inside a Blockchain, inside the different next-gen technologies happening. So I have to be two things, I have to be an automation-led environment where I'm providing the way to do these things, differences in RPA versus other technologies, but I also have to be an automation-attached. I have to be attached into the Blockchain framework to make sure we're coupled in the different elements of that framework. So that's how we jointly go to market. >> Peter: RPAs, I'm sorry? >> I'm sorry, Robotic Process Automation companies, so these are the relatively new technologies that enable software-based labor components. They're replicating human activity. >> Software robots? >> Software robots. >> You have a path to automation anyway. >> Exactly right. Exactly right. >> And it's funny when you ask, you know, no design. Design's in there. And this is the way we work at IBM, I mean, we're past that calling it out. So if someone's calling it out, it's like you're going to buy a phone and say, "Oh yeah, we included the battery." Like, it's there now, right? So that's how we run. So is it in there? You mention IBM, anything that you're going to consume from us? Includes IBM design. By practice. >> Wow, you guys, today was Blockchain day. I mean, you must have been thrilled to see all the main tech-- >> You mean every day's not Blockchain day? >> Dave: Well, at IBM, thinks every day... >> Okay, alright, I was just checking. >> You guys sucked all of the air out of the morning. And we heard-- >> And by the way, I certainly hope not. (laughing) >> You hope not what? >> That every day is Blockchain day. >> I hope so. Jason here. >> Makes me not have to buy a new wardrobe. >> If every day's Blockchain day, it ain't working. This is going to be one of those technologies, the less we know about it, the more successful it's been. >> I agree, I agree. >> Well, gentlemen, thanks very much for coming on theCUBE. Always a pleasure. >> Thank you guys. >> Thanks very much. >> Appreciate it. >> Alright, keep it right there, buddy. We'll be back with our next guest right after this short break. You're watching theCUBE live from IBM Think 2018. Be right back.
SUMMARY :
Brought to you by IBM. is the GM of Blockchain Services. What are you guys up to, what are you doing? Well, we're driving trust into transactions. Gene: Whoops, there goes heat-seeking. the system before because we didn't trust their identities. That's correct, bringing the services as a whole, So the first thing is, let's understand the outcome Okay, that's the set-up for you Gene, the new technologies to enable what I'll call in the industry is we say, for the first 50 years I think you got it, when you think about Think of the automation that you're bringing in now, is that because you can handle more complex, So the things that you talked about, unknown technology, and the number of participants in that process, That one of the most crucial features of this process is are doing the right thing to get to the outcome. of the company, Diamond Providence. having the transparency where you can see So we're talking about And returning capital into the system. across all different divisions of the bank, Allow the technologies to make the correlations but you obviously doing a lot more POCs, And you have to say then, okay, The process, the people, I have to keep up with How do you go to market? We go to market as fast as we can, So we go to market with that ecosystem, and the third is around platforms, like a Blockchain. So that's how we jointly go to market. that enable software-based labor components. to automation anyway. Exactly right. And it's funny when you ask, you know, no design. I mean, you must have been thrilled to see You guys sucked all of the air out of the morning. And by the way, I certainly hope not. I hope so. the less we know about it, the more successful it's been. Well, gentlemen, thanks very much We'll be back with our next guest
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David Orban, Network Society Ventures | Blockchain Unbound 2018
(bright samba music) >> Narrator: Live from San Juan, Puerto Rico. It's The Cube. Covering Blockchain Unbound. Brought to you by Blockchain Industries. (bright samba music) >> Hello everyone and welcome back to The Cube's exclusive coverage here in Puerto Rico for Blockchain Unbound global conference where leaders from around the world, Silicon Valley, Miami, New York, all over the United States and Puerto Rico and Moscow and South Africa, all over the world come together to talk about the impact of blockchain, cryptocurrency, and a decentralized internet and the impact on society. Our next guest is David Orban. He's the managing director of Networking Society Ventures. Also does some investing. On the keynote speech of the closing session here on Day 1 of Blockchain Unbound. Thanks for joining me. >> Thank you very much for having me. >> So one of the big things that we're seeing in this revolution with blockchain and cryptocurrency is an awareness of how to reimagine democracy, society, and among other things, money transfer, and how that's impacting the world, from entrepreneurship to NGO's and society for good, AI for good, technology for good. So I got to ask ya, I heard some of your presentation, is there's some good tailwinds and some good headwinds in this industry, what's your assessment right now of the state of the globe with respect to how a network society will evolve and what are some of your observations and conclusions? >> One of our fundamental assumptions is that social change is only possible if sustainable technologies emerge to catalyze it. You know, if a slave rebellion won under the Roman Empire, the night of the victory, the slaves would be around the fire to decide who would be the slave the next morning, because they needed slaves to do everything. Today, not only we have achieved a level in our human civilization to outlaw slavery, we have incredible new inventions, like blockchain, to imagine a new social contract that is going to unstoppably come. >> This social contract is interesting, because now you have, I mean, democratization in digital transformation has been kicked around for a long time. Where are some real good examples that you can point to where you see really bright lights of innovation around democratization and digital transformation where it's working, and also where it's not working and what we need to do better? >> Certainly it is fashionable to pretend that technology hasn't helped. And one of the reasons why many people take that stance, is because they are confused. Too many simultaneous changes make the future even harder to predict today that it used to be the case 10, 20 or a hundred years ago. This is especially hard for those who are in charge of making those predictions, politicians, regulators, policy makers. We appointed or elected them in order to make decisions for everybody else. It is an impossible job, but they cannot afford to say that is the case. >> Yeah, and certainly we're in the media business and our model is open media, and even in the media you still have these gate keepers. So we see interesting trends, right so we're seeing disruption horizontally across all industries. If you look at blockchain and some of the things that are coming out, it's spurring real creativity from entrepreneurs as well as leaders, progressives if you will, that are being focused on efficiencies, which is spawning these little spots of innovation. I saw your use case around the solar panel. It was working. They killed it. So, you know, this is examples of where you see people get the value of really fast. So where are the efficiencies? Where's the value of creation coming from? What is blockchain? What is crypto? What is decentralized apps enabling? Is it, are we running too fast? Is it an enabling technology? What's your reaction, the thoughts? >> Some of us have been around in the first internet boom, 20 years ago, and the big three trillion dollars of value have been achieved by the dot-coms as measured by their market capitalization. And you would say, well, that bubble burst, and it all disappeared, but it didn't. We are still using the transatlantic fiber optic cables that were laid down then, and that created the premise for the next 20 years of technology based economic growth. So with blockchain, we are seeing the same, except that contrary to that, which was a quite provincial Silicon Valley phenomenon, blockchain innovation is today, global. So it is going to incredible places incredibly fast, and it is extremely competitive. There are projects that are doing the same thing, addressing the same challenge, all over the world. And it is fantastic. We even have a name for it. It's called forking or ray forking. >> Yeah, forking creates competition, but also faster time the value. Let's talk about the bubble. The dot-com bubble, which I lived through, and you have as well, was again, a Silicon Valley phenomenon, some New York, mostly America, basically, but everything happened. So everything that was talked about actually happened. But at that time, we didn't have a very wired community. Today we have organic communities in place, whether it's from open source communities online to actually a connected global network, AKA mobile internet. The role of communities now, seems to be that counter balancing self-governing opportunity. So I want to get your thoughts. Is the bubble going to be predicated, or letting some air out of that bubble, can it come from the communities? Because you could argue that efficiency in the communities with sourcing the truth if exposing the data can create very fast efficiencies around the transparency, so the thesis is, with the bubble behavior, also comes a connected community. So what's your view on the role of the community as a mechanism to continue to clean up or sanitize or whatever word we want to use to manage and help the self-governing? Because if it's organic ground swell, the communities should theoretically be monitoring and self-governing the growth. You thoughts. >> Those that are afraid of what is happening are incredibly capable of accusing the blockchain world of a thing and its opposite. Because they are saying, oh my god, the value, the metric value, which some mistakenly call the market capitalization, of tokens is increasing too fast, this is a bubble. And then maybe a month later, they will say, oh look it, everything is going to zero, I told you so. Well, either one is the problem or the other is the problem, but not both. The answer to your question is that yes, the community is expressing what is going on at the fine granularity that was not possible before because you would measure that by the subsequent venture funding stages of a startup, and maybe there would be a year or two years or more between one or the other of the stages. Today with tokens, every minute we are measuring the heartbeat of the project and the sentiment of the community around it. And everybody can vote with their tokens. Do I want to be part of this? Or I don't feel aligned anymore. And it is beautiful. But an even more important fact is that yes, today the community is global. When in 1976, Richard Dawkins wrote The Selfish Gene and the last chapter defined memes, which were the unit of the evolution of culture, he didn't mean silly images on the internet with captions. What he meant is, we should really be able to build a new science here. Memetic Engineering is what is fake news, and it is up to people like you and me who believe in the positive role of technology to show that we can actually have memetic engineering that benefits society and the markets. >> I mean, who'd have fake news is two things, the payload of fake news and actually the infrastructure gamification of what it did. I postulate that for, on one end of the spectrum is fake news, you could almost move to the other side of the spectrum and say, this good news. So clickbait equals fake news equals bad behavior, real bait, content, equals real news, real community. So there's a spectrum that you can almost say, we could actually weaponize content for good. >> Evolving our tool set in order to make sure that the wisdom of the crowds creates incredible investment and wealth creation opportunities for billions, not only for the gate keepers is what should be the regulators' best job, and they should be excited to have it rather than panicking. >> I want to ask you a question, philosophically. You mentioned tokens and governance, what we can vote for what people can vote with their coins and or some sort of consensus, gesture, or actually, real token transfer, as a way of voting. This actually, could solve the truth problem, because if you think about it, this is a new mechanism to understand sentiment within, whether it's a project or society, this new mechanism could be a source of truth, hence, but no centralized control, so you got the decentralization thing happening, but that's all predicated on going around a central authority, but the token dynamic, actually if you think about it, could be a token of truth, because statistically, it should work that way. Is that how you see it happening? And is that a directional correct statement? >> For too many years, we believed that Churchill's quip, democracy's the worst kind of government, except every other kind of government, was just a joke. He was giving us a challenge. And we were too weak to step up to that challenge and to design better governance mechanisms, better political instruments, and that is what is happening today. More and more people realize that they are freed up by technology where their relationship with the nation state that pretends to own them through citizenship and taxation can and will be renegotiated. >> I got to ask you a question. I love your logo, you've got a network graph up there that show the network society, implying that we're all connected, almost, you can argue, border-less nations, if you will. But I got to ask you, as that vision of a network society implies we're all connected, so we're all in one big tribe, although maybe, with different characteristics, but how do you see the future as we look at the current internet as almost a 30 year old stack, I mean, we're talkin' ancient relic by today's standards. So how do you see the stack evolving to match this criteria of a network society where the expectations of users and communities in society, whether it's government or groups are expecting new kinds of experiences, new kinds of outcomes? What in the stack is evolving? I mean, blockchain is one piece of it, but we're dealing with an old stack. I mean, it's old guard stuff, keep company's legacy. But the stack needs to be modernized. How does a stack modernize to intersect with your vision of a network society? >> Biological evolution has never been able to go meta. Our eyes are still so badly designed that the nerves bringing signals to our brain puncture the screen on which the images are projected. It's so stupid. We are able to understand when our designs are bad, and we are able to go deep, and actually rip out what has been the best way of going about certain things. This has happened in energy, where we are still in the process of electrifying a lot of things, many stoves are still gas stoves rather than electric as they should be. Or in transportation where we went from horses to cars and now we going to rapidly go to electric transportation. The internet is very young. It's just 30 years old, and the consumer space, just 50, 60 years old as a technology, but it must be fundamentally rebuilt and rethought. >> Yeah, it needs an engine change. It needs a tune up. >> What is dangerous is that there are very powerfully faulty memes being planted into the brains of too many people bringing desirable vulnerabilities in our infrastructure. And too few understand that those vulnerabilities caught everyone, whether they are friends, or real or pretend enemies. We have to build sustainable human civilization on a solid foundation. Nobody is served by maintaining those vulnerabilities that are still poking holes in vital infrastructure around us. >> Yeah, I mean, vital infrastructure and also the soft infrastructure, AKA the human psyche, AK memes in one tactic, to control the belief system and the narrative. But that's an attention driven mindset, so we're seeing that that fake news weaponizing content really prayed on the attention aspect of people where the reputation piece wasn't there. A lot of people now realizing that. How important is reputation in this new era of society, because there's something that's been challenging. We've seen every project, I mean, every project that I've seen, that I like, has an element of reputation in it. So there's a, because you have identity. Identity is super important. Attention, we know what does there. Get my attention. But the new discovery, the new navigation, the new progression to proficiency or value needs to be trusted. Reputation is an important part. Your reaction. >> Blockchain is making a lot of things measurable that were not before, and measuring them, it is able to assign value to them, and wherever there is value, new markets are being born. That is how incredible resources are now being poured in problems that were ignored for many, many years. And what is beautiful, is that blockchain is doing it open source. That is why new sustainable business models are evolving so fast. Back in the days, we would say an internet year is 3 months. I am now saying a blockchain year is 3 weeks. >> So that's fundamental, this value piece. That seems to be the equation that seems to be consistent. That's what you're saying, this value measurement seems to be a key metric and store, that's what the value is going to circulate around? Is that? >> So um, for the moment, our lives are bounded, limited. We have a given number of years to live, and more and more people realize that what they need to maximize is their benefit together with everybody else's benefit, because that is what makes human society valuable to its components and as a whole. So that kind of new outlook is being driven in the blockchain industry by people who don't necessarily need the second billion or the second million, but there are too many people who need to make ends meet, and it is just plain unacceptable that we let them live a life that does not fulfill their potential. >> This is a new opportunity to reimagine that equation. So I got to ask you, I love your work on social economic impact with blockchain, one of the things that we're observing in our reporting and analysis is, societal entrepreneurship is now emerging, what used to be a waterfall philanthropy exercise of NGO's and whatnot, fund something, stand up some servers, build a data center, uh, funding's over, project's over, start all over again. You're kind of chasing this tail. We're seeing real action with people who understand the businesses of nonprofits. We're turning that domain expertise into real, viable ventures. This is now an emerging trend, we're seeing certainly in Washington DC, where they have networks of people that they know, and now building on a tech stack is easier than it every was, so you're starting to see these real business opportunities getting funded and growing, that never would have gotten funding before, whether it's a, you know, an app for missing and exploited children, human trafficking, battered women, to water saving, water purification, all these things are now happening. What's your view on this, because this is kind of an unreported area around this entrepreneurship trend that things are getting to value faster? Do you see the same thing? >> If you ask the founder of the Ford Motor Company if he believed that damaging a community was a good business practice, he would have probably punched you, or at least laughed. Because today, those who feel that maximizing profit is a sacred duty of any capitalistic enterprise, even if it does include extracting and harming communities, employees, stakeholders, is extremely misguided. Positive impact is not counter to profit. They go hand in hand. >> Mission driven enterprises can exist. It's not just for the philanthropy. >> There is nothing else, but a sustainable business. In a long term an unsustainable business cannot be sustained. So if you want to build a business that lasts, you must build it sustainably, ecologically, socially, but of course, also in terms of it being profitable. And what is beautiful about the blockchain is that it completely decoupled the long term sustainability of a project from this silly decision. Should it be a for profit? Should it be a nonprofit? Who cares? What it should be is an inspiration for millions of people to align their creativity and passion with that project. And profits and sustainability will follow. >> And the funding's there and the opportunity time to value is shorter than ever before. Thank you so much for spending the time coming on The Cube and sharing your ideas and your mission and vision. And thanks for coming on. The Cube appreciate it. Okay, we are here with Dave Orban, managing director, Network Society Ventures, changing the world, societal economic impact. I'm John Furrier, your Washington Cube. More live coverage, day 2 tomorrow. We're here both days, Thursday and Friday. Here in Puerto Rico, for Blockchain Unbound, I'm John Furrier. Thanks for watching. (light techno music) (light techno music)
SUMMARY :
Brought to you by Blockchain Industries. and South Africa, all over the world come together of the state of the globe with respect to that is going to unstoppably come. Where are some real good examples that you can point to And one of the reasons why many people take that stance, and our model is open media, and even in the media There are projects that are doing the same thing, Is the bubble going to be predicated, and the sentiment of the community around it. and actually the infrastructure gamification of what it did. that the wisdom of the crowds creates but the token dynamic, actually if you think about it, and that is what is happening today. But the stack needs to be modernized. that the nerves bringing signals to our brain Yeah, it needs an engine change. What is dangerous is that there are very the new progression to proficiency or value Back in the days, we would say an internet year is 3 months. That seems to be the equation that seems to be consistent. and more and more people realize that what they need that things are getting to value faster? Positive impact is not counter to profit. It's not just for the philanthropy. is that it completely decoupled the long term sustainability And the funding's there and the opportunity time to value
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Gene LeGanza, Forrester Research | IBM CDO Strategy Summit 2017
>> Announcer: Live from Boston, Massachusetts, it's theCube, covering IBM Chief Data Officer's Summit, brought to you by IBM. (upbeat music) >> Welcome back to theCUBE's live coverage of the IBM CDO Strategy Summit here in Boston, Massachusetts. I'm your host, Rebecca Knight, along with my co-host, Dave Vellante. >> Hey, hey. We are joined by Gene Leganza, he is the vice president and research director at Forrester Research. Thanks so much for coming on theCUBE. >> Pleasure, thanks for having me. >> So, before the cameras were rolling, we were talking about this transformation, putting data at the front and center of an organization, and you were saying how technology is a piece of the puzzle, a very important piece of the puzzle, but so much of this transformation involves these cultural, social, organizational politics issues that can be just as big and as onerous as the technology, and maybe bigger. >> Bigger in a sense that there can be intractable without any clear path forward. I was just in a session, at a breakout session, at the conference, as I was saying before, we could have had the same discussion 15 or 20 years ago in terms of how do you get people on board for things like data governance, things that sound painful and onerous to business people, something that sound like IT should take care of that, this is not something that a business person should get involved in. But the whole notion of the value of data as an asset to drive an organization forward, to do things you couldn't do before, to be either driven by insights, and if you're even advanced, AI, and cognitive sort of things, really advancing your organization forward, data's obviously very critical. And the things that you can do should be getting business people excited, but they're still having the same complaints about 20 years ago about this is something somebody should do for me. So, clearly the message is not getting throughout the organization that data is a new and fascinating thing that they should care about. There's a disconnect for a lot of organizations, I think. >> So, from your perspective, what is the push back? I mean, as you said, the fact that data is this asset should be getting the business guys' eyes lighting up. What do you see as sort of biggest obstacle and stumbling block here? >> I think it's easy to characterize the people we talk about. I came from IT myself, so the business is always the guys that don't get it, and in this case, the people who are not on board are somehow out of it, they're really bad corporate citizens, they're just not on board in some way that characterizes them as missing something. But I think what no one ever does who's in the position of trying to sell the value of data and data processes and data capabilities, is the fact that these folks are all doing their best to do their job. I mean, nobody thinks about that, right? They just think they're intractable, they like doing things the way they've always done them, they don't like change, and they're going to resist everything I try to do. But the fact is, from their perspective, they know how to be successful, and they know when risk is going to introduce something that they don't want to go there. It's unjustifiable risk. So the missing link is that no one's made that light bulb go off, to say, there is actually a good reason to change the way you've done things, right? And it's like, maybe it's in your best interest to do things differently, and to care more about something that sounds like IT stuff, like data governance, and data quality. So, that's why I think the chief data officer role, whether it's that title or chief analytics officer, or there's actually a chief artificial intelligence officer at the conference this time around, someone has to be the evangelist who can tell really meaningful stories. I mean, you know, 20 years ago, when IT was trying to convince the business that they should care more about data, data architects and DBAs could talk till they're blue in the face about why data was important. No one wanted to hear it. People get turned off even faster now than they did before, because they have a shorter attention span now than they did before. The fact is that somebody with a lot of credibility on the business side, people who kind of really believe it's capable of driving the business forward, hasta have a very meaningful message, not a half-hour wrap on why data is good for you, but what, specifically, can change in your business that you should want to change. I mean, basically, if you can't put it in terms of what's in it for me, why should they listen to you, right? And so yeah, you know, we've got this thing goin' on, it's really important, and everybody's behind it, and I can give you a list of people whose job title begins with C who really thinks that this is a really important idea, get right down to it, if it's not going to make their area of the business work better, or more efficiently, or, especially with, you know, top line growth sort of issues, they're not going to be that interested. And so it's the job of the person who's trying to evangelize these things to put it in those terms. And it might take some research, it certainly would take some in-depth business knowledge about what happens in that area of the business, you can't give an example from another industry or even another company. You've got to go around and find out what's broken, and talk about what can be fixed, you have to have some really good ideas about what can be innovative in very material terms. One of the breakout sessions I had earlier today, well, they're all around how you define new data products, and get innovative, and very interesting to hear some of the techniques by the folks who'd been successful there, down to, you know, it was somebody's job to go around, and when I say somebody, I don't mean a flunky, I need a chief analytics officer sort of person, talking to people about, you know, what did they hate about their job. Finding, collecting all the things that are broken, and thinking about what could be my best path forward to fix something that's going to get a lot of attention, that I can actually build a marketing message here about why everybody should care about this. And so, the missing link is really not seeing the value in changing behaviors. >> So one of the things that I've always respected about George Colony is he brings people into Forrester that care about social, cultural, organizational issues, not just technology. One of your counterparts, Doug Laney, just wrote a book called Infonomics. You mighta seen it on Twitter, there's a little bit of noise going around it. Premise of the book is essentially that organization shouldn't wait for the accounting industry to tell them how to value data. They should take it upon themselves, and he went into a lot of very detailed, you know, kind of mind-numbing calculations and ways to apply it. But there's a real cultural issue there. First of all, do you buy the premise, and what are you seeing in your client base in terms of the culture of data first, data value, and understanding data value? >> Really good question, really good question. And I do follow what Doug Laney does. Actually, Peter Burris, who you folks know, a long time ago, when he was at Forrester, said, "You know what Doug Laney is doing? "We better be doing that sort of thing." So he brought my attention to it a long time ago. I'm really glad he's working on that area, and I've been in conversations with him at other conferences, where people get into those mind-numbing discussions about the details and how to measure the value of data and stuff, and it's a really good thing that that is going on, and those discussions have to happen. To link my answer to that to answer to your second part of your question about what am I seeing in our client base, is that I'm not seeing a technical answer about how to value data in the books, in a spreadsheet, in some counting rules, going to be the differentiator. The missing link has not been that we haven't had the right rules in place to take X terabytes of data and turn it into X dollars of assets on the books. To me, the problem with that point of view is just that there is data that will bring you gold, and there's data that'll sit there, and it's valuable, but it's not really all that valuable. You know, it's a matter of what do you do with it. You know, I can have a hunk of wood on this table, and it's a hunk of wood, and how much it is, you know, what kind of wood is it and how much does it cost. If I make something out of it that's really valuable to somebody else, it'll cost something completely different based on what its function is, or its value as an art piece or whatever it might be. So, it's so much the product end of it. It's like, what do you do with it, and whether there's an asset value in terms of how it supports the business, in terms of got some regular reporting, but where all the interest is at these days, and why there's a lot of interest in it is like, okay, what are we missing about our business model that can be different, because now that everything's digitized, there are products people aren't thinking of. There are, you know, things that we can sell that may be related to our business, and somehow it's not even related our business, it's just that we now have this data, and it's unique to us, and there's something we can do with it. So the value is very much in terms of who would care about this, and what can I do with it to make it into an analytics product, or, you know, at very least I've got valuable data, I think this is how people tend to think of monetizing data, I've got valuable data, maybe I can put it somewhere people will download it and pay me for it. It's more that I can take this, and then from there do something really interesting with it and create a product, or a service, it's really it's on an app, it's on a phone, or it's on a website, or it's something that you deliver in person, but is giving somebody something they didn't have before. >> So what would you say, from your perspective, what are the companies that are being the most innovative at creating new data products, monetizing, creating new analytics products? What are they doing? What are the best practices of those companies from your perspective? >> You know, I think the best practice of those companies are they've got people who are actively trying to answer the question of, what can I do with this that's new, and interesting, and innovative. I'd say, in the examples I've seen, there been more small to medium companies doing interesting things than really, really huge companies. Or if they're huge companies, they're pockets of huge companies. It's kind of very hard to kind of institutionalize at the enterprise level. It's when you have somebody who gets it about the value of data, working to understand the business at a detailed level enough to understand what might be valuable to somebody in that business if I have a product, is when the magic can potentially happen. And what I've heard people doing are things like that hackathons, where in order to kind of surface these ideas, you get a bunch of folks who kind of get technology and data together with folks who get the business. And they play around with stuff, and they're matching the data to the business problem, comin' up with really kind of cool ideas. Those kind of things tend to happen on a smaller scale. You don't have a hackathon, as far as I can tell, with a couple thousand people in a room. It's usually a smaller sort of operation, where people are digging this up. So, it's folks who kind of get it, because they've been kind of working to find the value in analytics, and it's where there's pockets of people who're kind of working together with the business to make it happen. The profile is such that it's organizations that tend to be more mature about data. They're not complaining that data is something IT should take care of for me. They've kind of been there 10 years ago, or five years ago even, and they've gotten at a point where they actually wanted to move forward from defense and do some offensive playing. They're looking for those kind of cool things to do. So, they're more mature, certainly, than folks who aren't doing it. They're more agile and nimble, I think, than your typical organization in the sense of they can build cross disciplinary teams to make this happen, and that's really where the magic happens. You don't get a genius in the room to come up with this, you get this combination of technical skills, and data knowledge, and data engineering skills, and business smarts all in the same room, and that might be four or five different people to kind of brainstorm until they kind of come up with this. And so the folks who recognize that problem, make that happen, regardless of the industry, regardless of the size of the company, are where it's actually happening. >> I know we have to go, but I wanted to ask you, what about the IBM scorecard in terms of how they're doing in that regard? >> You know, I want to talk to them more. From what they said, you know, in a day, you hear a lot of talk, it's been a long day of hearing people talk about this. It sounds pretty amazing, you know, and I think, actually, we had a half hour session with Inderpal after his keynote, I'm going to get together with him more, and hear more about what's going on under the covers, 'cause it sounds like they're being very effective in kind of making this happen at the enterprise level. And I think that's the unusual thing. I mean, IBM is a huge, huge place. So the notion that you can take these cool ideas and make them work in pockets is one thing. Trying to make it enterprise class, scalable, cognitive-driven organization, with all the right wheels in motion to the data, and analytics, and process, and business change, and operating model change, is kind of amazing. From what I've heard so far, they're actually making it happen. And if it's really, really true, it's really amazing. So it makes me want to hear more, certainly, I have no reason to doubt that what they're saying is happening is happening, I just would love to hear just some more of the story. >> Yeah, you're making us all want to hear more. Well, thanks so much, Gene. It's been a pleasure-- >> Not a problem. >> having you on the show. >> A pleasure. >> Thanks. >> Thank you. >> I'm Rebecca Knight, for Dave Vellante, we will have more from the CDO Summit just after this. (upbeat music)
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brought to you by IBM. of the IBM CDO Strategy Summit here We are joined by Gene Leganza, he is the vice president and you were saying how technology And the things that you can do I mean, as you said, the fact that data is this asset talking to people about, you know, and what are you seeing in your client base about the details and how to measure the value of data You don't get a genius in the room to come up with this, So the notion that you can take these cool ideas It's been a pleasure-- we will have more from the CDO Summit just after this.
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John Willis, SJ Technologies | Serverlessconf 2017
>> Announcer: From Hell's Kitchen in New York City, it's theCUBE, on the ground at Serverlessconf. Brought to you by Silicon Angle Media. >> Hi, I'm Stu Miniman with theCUBE, here at Serverless Conference in Hell's Kitchen in New York City. Happy to welcome back to the program. keynote speaker at the event, and a guest that we've had on a couple times before, John Willis, who's the vice president of DevOps and digital practices at Eastray Technologies. John. >> In Hell's Kitchen. >> Stu: In Hell's Kitchen, and go Yankees. >> Yeah, man. I was at the game last night, the other night. Yeah. You'll see tonight. Yeah. Thank you. Glad to be here. >> Great to see you. So look, you've been talking to audiences about DevOps for as long as I can remember, as long as I've known you, definitely. Tell us, what's so important about serverless and how that fits into the world of the developer these days. >> Yeah, I mean, my interest, you know, I was invited to do a keynote, and my interest is to break down the tribal nature of new things. And I sound like a hypocrite because I'm the DevOps tribe, but I prefer to stop calling it DevOps, because there are super patterns that exist, and as I watch serverless, I spend a lot of time having these conversations around that yeah, we don't need that DevOps anymore, because we got serverless. It was the same reason like we didn't need any of the infrastructure stuff because we got cloud. And like, we keep throwing the baby out with the bathwater, and my presentation this morning was like, it's not about the technology, stupid. Like the principles of business value, how you understand value stream, how you inject the governance, the policy, the security, the values and the outcomes that you want. I know those sound like platitudes, like I get a sense that we're making the same mistake over again, and hey, sorry folks, Serverless is just another form of compute. Sorry to get you all wound up and then let you down. It's just compute, folks. And so all the core principles that we've really learned about high-performance organizations apply, they apply differently. Monitoring is differently. How do we deliver? But the principles stay the same. And that was my core message today. >> Yeah, no, very passionate, definitely came through in the keynote. I just have to ask you just on the tech for a second, I mean you were heavily involved in containers, you were part of a company that got acquired by Docker, you were a big proponent of unikernels, now it's serverless, how do you kind of paint that picture >> I think it's amazing tech, and more these days. So I left Docker and I'm going back to something I did 10 years ago, which is kind of consulting but transformation type consulting. It sounds platitudish, but like, I'm back in the mode of looking at things at bigger scale. How do you change an organization to think differently about things? So I've kind of taken a little bit of my tech hat off. I mean, I love containers and minimal delivery, right, I've been yacking about that for like the last two or three years, right? About how minimal delivery models work. And serverless is like, amazing too, like unikernels was an interesting model of function as a service. I think serverless will eat up a good portion, you know I've said this, and I don't know, I may have to modify it. You know, I would say four years ago, three years ago, and you guys been a big part of this discussion. The world went to most companies would say we're a cloud-first organization. I've been saying for the last couple of years, I think most organizations should now thinking that they're a container-first organization. So that doesn't say everything, it just means, and I think the world now should be kind of still container first, and I know that might sound horrible to serverless people, but then look at serverless functions as a place where it fits in the architecture, repeatability, and containers. And there's actually kind of a.. >> Is that just from a maturity standpoint, you know, containers a little bit more mature than serverless? >> I don't know that it's, I think there are like, there are models of architecture, right, and I don't know that, I mean I know there's a lot of successful startups in certain value streams and enterprises that are all serverless. I know a couple of friends that have built complete infrastructure on Amazon Lambda. It works. I just don't know that all value stream delivery of services will go complete serverless. I'm pretty certain that today, almost all applications can run on containers. So I'm not creating a division of war. I'm just saying that I think, and I could be dead wrong on this, but I think in this future like placeholder where we're container first, it's going to be, give me an exception of why it can't be containers left, like it has to be cloud, or it has to be bare metal, or it has to be (mumbles) and the right side is about mapping reusable functionality in functions. So I think you have like a container-first world assumes that smart architecture mandates repeatable functions in a function-like world. Does that make sense? >> Yeah, it does. So I think back on my career, there's so many times we said like, oh, we've got this new way to really simplify the environment and get rid of things you don't need to worry about. You know, I lived through the whole virtualization, oh wait, networking storage took us a decade to fix that. >> Yeah, yeah, yeah, yeah. >> Containers, oh we're going to just focus on the application. Oh wait, networking really important, you worked on a whole company focused specifically on that. >> DevOps for networking, yeah. >> Serverless, the question is, what's the rule of operations when it comes to serverless? >> Again, that's my thoughts on serverless and if it ain't right that's secondary to my real passion right now, which is when I hear the word NoOps for serverless, I cringe. Like this idea that you don't... I mean it's different. Do you need observability and telemetry in a serverless world? I ask you. Of course you do. Do you need to have repeatable patterns of delivery to make sure you don't have vulnerabilities in your code? Of course you do. That's Ops folks. And it's about supply chain and building repeatable, structured delivery with all the gates and the checks and the units, and none of that I believe goes away with serverless. Just like it didn't go away with cloud, just the way it didn't go with virtualization, right? So I think you know, we make a big mistake to think serverless means we don't need operations now. Does it mean that our providers, we have a different relationship with our providers? We don't own the server anymore. So we can't run detrace or those kind of things in that environment. But we still own the service. So who's the site reliability engineer for the service that's running on Lambda? Or functions of serverless, right? If it ain't, I mean if you don't got one, like you're going to have a bad service. >> Yeah, what are you hearing organizationally, what's happening in companies that you're talking to? You know, I was a at a show recently, I think it was Kelsey Hightower I think, it was like DevOps is a given at this point. So do you see that, you know, where's the line from what you've seen? >> Well the curse and the blessing of DevOps, the curse is we've never had a clear definition of it. I say we, you know, everybody, but. And the blessing is we've never had a clear definition. Like it's always emerged. And the problem is, I will tell you what my definition of DevOps is, it has really very little to do with technology. It has to do with human capital and how you create high-performing organizations and the principles and practices that lead to that. The DevOps handbook, if you will, is a lot about, that I co-authored with Gene and Patrick and Jez. Those things, that's my definition of DevOps, but the problem is, when you hear people have discussion about DevOps in lieu of a good definition, you can't really get upset when somebody thinks DevOps is like Jenkins and Sheffer Puppet and Ansable, and like oh no, you're wrong, right, like that's their view. So the problem that you run into then is, if your definition is that it's pure technology and it's tied to kind of cloud, and it's something like infrastructure is code, then in your world and your definition, serverless is going to make all that obsolete, or a good portion obsolete. But if your definition is more about how you create patterns and practices around humans who deliver services a certain way, then nothing about serverless makes any of that obsolete. >> All right, Jon, want to give you final word. What do you think people, that you know, just hearing about serverless first time, where do they start, what kind of things should they look at, or you know, if there's other things you think they should probably look at first? >> You know, I think you're asking the wrong guy for that really. I think there's far better people that you've interviewed take care of that. I mean I would go with Peters Brook, the founder of this conference. That was a book I read, he gave me a copy, it made sense to me, I was able to do some labs and then you know, as they say, the rest, Bob's your uncle, you know, there's a ton of stuff out there to figure out how to navigate. >> Anything, any commentary you'd make on the community for here, a couple of people just you know, it's new but very vibrant, reminds me a lot of the emerging tech where, you know, a lot of help from the community, it's pretty easy to get started. >> So yeah, so in the technology, yes. A lot of vendors, a lot of good stuff, great conversations, and I was actually pleasantly surprised there was less discussion about NoOps or you don't need operations, and I got kind of a little bit of a cheer when I mentioned that this morning. So it seems like there are some good lessons learned that I think the message loud and clear is that operations still exist, it just has to be thought about. The keynote yesterday, the gentleman in the keynote yesterday said, day one, closing keynote, said serverless things are different, in some case easier, but harder in other things, and that was through a cloud. Cloud was much easier from getting infrastructure but we ran into a whole lot of operational issues around how to match this cloud to scale. So serverless is easy to create a function, get it set up, cost-effective, but we're starting to learn all of the complex operational issues of MTTR, how do you restore stuff, what does SRE look like, I mean this is why we get paid the big bucks, dammit man. >> All right, John Willis, always a pleasure to catch up with you. I'm Stu Miniman, thank you so much for watching theCUBE.
SUMMARY :
Brought to you by Silicon Angle Media. and a guest that we've had on a couple times before, I was at the game last night, the other night. and how that fits into the security, the values and the outcomes that you want. I just have to ask you just on the tech for a second, and you guys been a big part of this discussion. So I think you have like a container-first world you don't need to worry about. you worked on a whole company focused specifically on that. So I think you know, we make a big mistake So do you see that, you know, where's the line So the problem that you run into then is, if there's other things you think they should and then you know, as they say, of the emerging tech where, you know, and that was through a cloud. I'm Stu Miniman, thank you so much
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Gabe Chapman, NetApp & Sidney Sonnier, 4TH and Bailey | NetApp Insight 2017
>> Narrator: Live, from Las Vegas its theCUBE. Covering NetApp Insight 2017. Brought to you by NetApp. >> Hello everyone, welcome back to our live coverage, exclusive coverage at NetApp Insight 2017, it's theCUBE's coverage. I'm John Furrier, co-host, theCUBE co-founder of SiliconANGLE Media, with my co-host, Keith Townsend at CTO Advisor. Our next two guests is Gabe Chapman, Senior Manager, NetApp HCI, and Sidney Sonnier, who's the IT consultant at 4th and Bailey, also a member of the A-Team, a highly regarded, top-credentialed expert. Welcome to theCUBE, guys. Good to see you. >> Hey >> Thanks for having us. >> Thank you, good to be here. >> So love the shirt, by the way, great logo, good font, good, comes up great on the camera. >> Thank you. >> We're talking about the rise of the cloud and everything in between, kind of the segment. As a NetApp, A-Team member, and customer. It's here, cloud's here. >> Sidney: Yes >> But it's not yet big in the minds of the Enterprise because they got, it's a path to get there. So, there's public cloud going on, >> Sidney: Right. >> Hybrid clouds, everyone gets that. >> Sidney: Right. >> There's a lot of work to do at home inside a data center. >> Yes, there is, there's an extreme amount of work. And, like you said, these are very exciting times, because we have a blend of all of the technologies and being at an event like this allows us to look at those technologies, look at that fabric, look at that platform, and how we can merge all of those things into an arena that can allow any customer to dynamically move on-prem, off-prem, public cloud, private cloud, but still be able to manage and securely keep all their data in one specific place. >> Gabe, I want to get your thoughts, as he brings up a good point. Architecture's king, it's the cloud architect. Devop has gone mainstream. Pretty much, we all kind of can look at that and say, okay QED, Don, and everyone else put their plans together, but the Enterprises and the folks doing cloud, cloud service providers and everyone else, they have issues, and their plates are full. They have an application development mandate. Get more developers, new kinds of developers, retrain, re-platforming, new onboarding, open source is booming. They have security departments that are unbundling from IT in a way and fully staffed, reporting to the board of directors, top security challenges, data coverage, and then over the top is IoT, industrial IoT. Man, their plate's full. >> Sidney: Right. >> So architecture's huge, and there's a lot of unknown things going on that need to be automated. So it's a real challenge for architects. What's your thoughts. >> So you know, my thoughts about that is, I like to make this joke that there's no book called, The Joy of Menial Tasks. And there are so many of those menial tasks that we do on a day-in and day-out basis, in terms of the Enterprise, whether it's storage, whether it's virtualization, whether it's, whatever it is, right? And I think we've seen this massive shift towards automation and orchestration, and fundamentally the technologies that we're provisioning in today. APIs are king, and they're going to be kind of the focal point, as we move forward. Everything has to have some form of API in it. We have to be making a shift in a transition towards infrastructure as code. At the end of the day the hardware has relevance. It still does, it always will. But the reality is to abstract away the need for that relevance and make it as simple as possible. That's where we have things like hyper converged infrastructure being so at the forefront for so many organizations, NetApp making a foray into this space, as well, is to push, to simplify as much as possible, the day-to-day minutiae, and the infrastructure provisioning. And then, transition those resources over towards getting those next-generation data center applications up, running, and functional. >> Old adage that's been in the industry around making things simple, as our cubbies like an aircraft carrier. But when you go below the water lines, everyone in little canoes paddling, bumping into each other. These silos, if you will. >> Gabe: Right. >> And this is really the dynamic around cloud architecture, is where the operating model's changing. So, you got to be prepared to handle things differently. And in storage, the old days, is, I won't say, easy, but you guys made it easy. A lot of great customers. NetApp has a long history of, but it's not the storage anymore. It's the data fabric as you guys are talking about. It's the developer enablement. It's getting these customers to drive for themselves. It's not about the engine anymore, although, you've got to have a good engine, call it tech, hardware, software together. But the ultimate outcome is the people driving the solutions are app guys. They're just the lines of businesses are under huge pressure and huge need. >> I think you can look at it this way. It's like we're kind of data-driven. You'll see Gene talk about that as part of our messaging. We can no longer be just a storage company. We need to be a data company and a data management organization as we start to have those conversations. Yes, you're going to go in there and talk to the storage administrations and storage teams, but there are 95% of the other people inside of the Enterprise, inside information technology, within different lines of business. They're the ones that we have the most relevant discussions with. That's where our message probably resonates more strongly in the data-driven aspect, or the management, or analytics, and all those other spaces. And I think that's the white space and growth area potential for NetApp, is the fact that we can go in there and have very authoritative discussions with customers around their data needs, and understanding governance. You have things like GPRD, and AMIA. That's a giant open ecosystem for, it has so many requirements and restrictions around it, and everybody's just now starting to wrap their head around it. So building a program around something like that, as well. So there's challenges for everybody. And there's even challenges for vendors like ourselves, because we had, we were mode one. Now we're mode two. So it's kind of like making that transition. And the old speeds, the speeds were always, hey, how fast can you go, what's the files look like, with replication, blah, blah, blah. Now you've got solid, solid state storage. You got SolidFire. Now people want outcomes as a service. Not outcomes anymore, like a cliché, things are happening very dynamically. And last week at Big Data NYC, our event, around the big data world, you couldn't get anymore clear that there's no more room for hype. They want real solutions now. Realtime is critical. And, now watching the keynotes here at NetApp, it's not speed that's featured, although there's a lot of work going on under the hood, it's really about competitive advantage. You're hearing words like data as a competitive advantage. >> Sidney: Yes. >> Sidney, you're in the field, you're in the front lines. Make sense of this. >> The sense that we have to make is, we made up some great points. >> Gabe: Yes. >> Getting the business engaged is one thing, because you still, with the cloud and the cloud architecture, you still have a lot of individuals who are not necessarily sold on it, all the way. So even from a technical perspective. So those guys that are down in the bottom of the boat, so to speak, you still have to kind of convince them because they feel somewhat uncomfortable about it. They have not all the way accepted it. The business is kind of accepted it in pockets. So being, having been on a customer's side and then going to more of a consulting side of things, you understand those pain points. So by getting those businesses engaged and then also engaging those guys to say, listen, it's freeing, the relevance of cloud architecture is not to eliminate a position, it's more to move the mundane tasks that you were more accustomed to using and move you closer to the business so that you can be more effective, and feel more of a participant, and have more value in that business. So that's-- >> So it's creating a value role for the-- >> Right, Right. >> The nondifferentiated tasks >> Absolutely. >> That were being mundane tasks, as you called them. >> Yes. >> You can then put that person now on, whether analytics or ... >> All those IoT things like you were mentioning on those advance projects, and use and leverage the dynamic capability of the cloud being able to go off-prem or on-prem. >> Alright, so what's the guiding principle for a cloud architecture? We'll have to get your thoughts on this because we talked about, in a segment earlier, with Josh, around a good devops person sees automation opportunities and they jump on it like a grenade. There it is, take care of that business and automate it. How do you know what to automate? How do you architect around the notion of we might be continually automating things to shift the people and the process to the value? >> I think what it boils down to is the good cloud architect looks and sees where there are redundancies, things that can be eliminated, things that can be minimized, and sees where complexity is, and focuses to simplify as much of it as possible, right? So my goal has always been to abstract away the complexity, understand that it's there and have the requirements and the teams that can functionally build those things, but then make it look to you as if it were your iPhone, right? I don't know how the app store works. I just download the apps and use it. A good cloud architect does the same thing for their customers. Internally and externally, as well. >> So where does NetApp fit in there, from a product perspective? As a cloud architect, you're always wondering what should I build versus what should I buy? When I look at the open source projects out there, I see a ton of them. Should I go out and dive head deep into one of these projects? Should I look towards a vendor like NetApp to bring to bear that simplified version? Where is the delineation for those? >> So the way we see it is traditionally, there's kind of four consumption models that exists. There's an as-a-service model, or just-in-time model. There are, we see converged, hyper converged as a consumption continuum that people leverage and utilize. There are best-of-breach solutions. Because if I want an object store, I want an object store, and I want it to do exactly what it does. That's an engineering solution. But then there's the as-a-service, I mean, I'm sorry, there's a software-defying component, as well. And those are the, kind of the four areas. If you look at the NetApp product lines, we have an ONTAP set of products, and we have an Element OS set of products, and we have solutions that fit into each one of those consumption continuums, based on what the customer's characteristics are like. You may have a customer that likes configurability. So they would look at a traditional FlexPod with a FAS and say that that's a great idea for me for, in terms of provisioning infrastructure. You may get other customers that are looking at, I want the next-generation data center. I want to provide block storage as a service. So they would look at something like SolidFire. Or, you have the generalist team that looks at simplicity as the key running factor, and time-to-value. And they look at hyper converged infrastructure. So there's a whole set. For me, when I have a conversation with a customer around build versus buy, I want to understand why they would like to build it versus buy it. Because I think that a lot of times, people think, oh, I just download the software and I put it on a box. I'm like, well, right, that's awesome. Now you're in the supply-chain management business. Is that your core competency? Because I don't think it is, right? And so there's a whole bunch of things. It's like firmware management and all these things. We abstract away all of that complexity. That's the reason we charge up for a product, Is the fact that we do all that heavy lifting for the customer. We provide them with an engineered solution. I saw a lot of that when we really focused significantly on the OpenStack space, where we would come up and compete against SEP. And I'm like, well how many engineers do you want to dedicate to keeping SEP up and running? I could give you a turnkey solution for a price premium, but you will never have to dedicate any engineers to it. So that's the trade-off. >> So on that point, I just want to followup. A followup to that is you vision OpenStack, which, big fans of, as you know, we love OpenStack. In the beginning, the challenge with the dupe in OpenStack early on, although that kind of solved, the industry's evolved, is that the early stage was the cost of ownership problem. Which means you had the early tire kickers. Early pioneers doing to work. And they iterated through it. So the question around modernization, which came up as a theme here, what are some modernization practices that I could take as a potential customer, or customer of NetApp, whether I'm an existing customer or a future customer, I want to modernize but I don't want to, I want to manage cost of ownership. And I want to have an architect that's going to allow me to manage my data for that competitive advantage. So I want the headroom of know that it's not just about putting a data link out there, I got to make data realtime, and I don't know when and where it's going to be available. So I need kind of like a fabric or a layer, but I got to have a modern infrastructure. What do I do, what's the playbook? >> So that's where that data fabric, again, comes in. It's like one of the keynotes we heard earlier in the General Session yesterday. We have customers now who are interested in buying infrastructure like we buy electricity. Or like we buy Internet service at home. So by us having this fabric, and it being associated with a brand like NetApp, we're, it's opening up to the point where, what do you really want to do? That's the question we come to you and ask. And if you're into the modernization, we can provide you all the modernization tools right within this fabric, and seamlessly transition from one provider to the next, or plug into another platform or the next, or even put it on-prem. Whatever you want to do. But this will allow the effective management of the entire platform in one location, where you don't have to worry about a big team. You can take your existing team, and that's where that internal support will come in and allow people to kind of concentrate and say, oh, this is some really interesting stuff. Coming from the engineering side of things, being on that customer side, and when you go into customers, you can connect with those guys and help them to leverage this knowledge that they already have because they're familiar with the products. They know the brand. So that makes it more palatable for them to accept. >> So from the cloud architect's perspective, as you look at it, you look at the data-driven fabric or data fabric, and you're like, wow, this is a great idea. Practically, where's the starting point? Is this a set of products? Is it an architecture? Where do I start to bite into this apple? >> So ultimately, I think, you look at it, and I approach it the same way, I would say, like, I can't just go and buy devops. >> Right. >> Right, but data fabric is still, it's a concept, but it's enabled by a suite of technology products. And we look at NetApp across our portfolio and see all the different products that we have. They all have a data fabric element to them, right? Whether it's a FAS, and Snapmirror and snapping to, and ONTAP cloud, it's running in AWS. Whether it's how we're going to integrate with Azure, now with our NFS service that we're providing in there, whether it's hyper converged infrastructure and the ability to move data off there. Our friend Dave McCrory talked about data having gravity, right, he coined that term. And it does, it does have gravity, and you need to be able to understand where it sits. We have analytics in place that help us craft that. We have a product called OCI that customers use. And what it does, it gives them actionable intelligence about where their data sits, where things may be inefficient. We have to start making that transition to, not just providing storage, but understanding what's in the storage, the value that it has, and using it more like currency. We heard George talk about data as currency, it really is kind of the currency, and information is power, right? >> Yeah, Gabe, I mean Gabe, this is right on the money. I mean cryptocurrency and blockchain is a tell sign of what's coming around the corner. A decentralized and distributed environment that's coming. That wave is way out there, but it's coming fast. So you, I want you to take a minute to talk about the cloud component. >> Sidney: Sure. >> Because you mentioned cloud. Talk about your relationship to the clouds, because multi cloud is coming, too. It's not yet there yet, but just because you have a cloud, something in every cloud means multi cloud in the sense of moving stuff around. And then talk about the customer perspective. Because if I'm a customer, I'm saying to myself, okay, I have NetApp, I got files everywhere, I've got ONTAP, they understand the management game, they know how to manage data on-prem, but now I got this cloud thing going on, and I got this shiny new toy start-up over there that's promised me the moon. But I got to make a decision. You're laughing, I know you're thinking about it. This is the dilemma. Do I stay with what I know? >> Right. >> And what I know, is that relevant for where I'm going? A lot of times start-ups will have that pitch. >> Oh, yeah. >> Right >> So address the cloud and then talk about the impact of the customer around the choice. >> Ultimately, it boils down to me in many respects. When I have a conversation with a customer, if I'm going to go for the bright and shiny, right, there has to be a very compelling business interest to do so. If I've built a set of tools and processes around data governance, management, implementation, movement, et cetera, around a bunch of on-premises technologies and I want that same effect or that same look and feel in the public cloud, then that's how we transition there. I want to make it look like I'm using it here locally but it's not on my site, it's somewhere else. It's being managed by somebody else, from a physical standpoint. I'm just consuming that information. But I also know I have to go back and retool everything I've spent in the last 15 and 20 years building because something new and neat comes along. If that new and neat thing comes along, it abstracts away, or it makes a significant cost reduction or something like that, then obviously, you're going to validate that or look at and vet that technology out. But reality is, is that we kind of have these-- >> Well, they don't want to recode, they don't want to retool, they'll rewrite code, but if you look at the clouds, AWS, Azure, and Google, top three in my mind, >> Sidney: Right. >> They all implement everything differently. They got S3 over there, they got it over here, so like, I got it resting on-prem but then I got to hire a devops team that's trained for Azure, Sidney, this is the reality. I mean, evolution might take care of this, but right now, customers have to know that. >> We're at a point right now where customers, businesses we go to, realtime is very important. Software as a service is the thing now. So if you have a customer who is just clicking on a button, and if they can't see that website or whatever your business is, that's a problem. You're going to lose money. You're going to lose customers, you're going to lose revenue. So what you have to do is, as a business, discover what you have internally. And once you discover that and really understand it as a business, not just the tech team, but the business actually understands that. Move that forward and then blend some cloud technology in that with a data fabric, because you're leveraging what you already have. Most of the time, they usually have some sort of NetApp appliance of some sort. And then some of the new appliances that we do have, you can either say, have a small spin, put it next to an old appliance, or use some of the OCI, or something of that nature, to help you migrate to a more dynamic, and the thing about it is, is to just make it more a fluid transition. That's what you're looking to do. Uptime is everything. >> Yeah. >> Totally. >> This fabric will allow you to have that uptime so that you can propel your business and sustain your business. Because you want to be able to still use what you have, and still get that ROI out of that technology, but at the same token, you want to be more dynamic than the competition, so that you can increase that business and still grow the business, but now lose any business. >> Sidney, you bring up a good point. In fact, we should do a followup segment on this, because, what I'm hearing you say, and I've heard this many times in theCUBE, but it's happening, and certainly, we're doing our part on theCUBE to help, but the tech guys, whether they're ops or devs, they're becoming more business savvy. They've got to get closer to the business. >> Sidney: You have to. >> But they don't want to get an MBA, per se, but they have to become street MBA. >> Sidney: Right. >> They got to get that business degree through scar tissue. >> Yes. You can't just be the tech anymore, you have to understand why your business is making this effort, why it's investing this technology, why they would look to go to the public cloud, if you can't deliver a service, and try to emulate that. We've seen that time and time again, the concept of shadow IT, and a shift away from resources. And if you want to be relevant longterm, and not just the guy that sits in the closet, and then plugs in the wires, start learning about your business. Learn about how the business is run and how it generates revenue and see what you can do to affect that. >> Yeah, and the jobs aren't going away. This nonsense about automation killing jobs. >> No, it's not. >> And they use the mainframe as an example, not really relevant, but kind of, but there are other jobs. I mean, look at cyber security, huge data aspect, impact story. >> Sure, it's huge. >> That paradigm is changing realtime. So good stuff, a lot of good business conferences we should do a followup on. I'll give you guys a final word in this segment. If you could each weigh in on what cloud architects should be doing right now. I mean, besides watching theCUBE, and watching you guys here. They got to have the 20-mile stare. They got to understand the systems that are in place. It's almost like an operating system model. They got to see the big picture. Architecting on paper seems easy, but right now it's hard. What's your advice for cloud architects? >> I mean, I say continue to follow the trends. Continue to expose yourself to new technologies. I mean, I'm really interested in things like serverless and those type technologies, and how we integrate our platforms into those types of solutions. Because, that's kind of the next wave of things that are coming along, as we become more of an API-driven ecosystem, right? So if it's infrastructure, if it's code, if it's everything is just in time instance of spin up, how do I have the communications between those technologies? You've just got to stay well ahead of the curve and, you know ... >> John: Sidney, your thoughts? >> My thoughts are along those lines. Not only from a technical perspective but also like you were talking about, that business perspective. Understand your business needs. Because even though, and be able to provide a portfolio, or a suite of tools that will help that business take that next step. And that's where that value. So it's kind of like a blend. You're more of a hybrid. Where you're coming in, not only as a technical person, but you're coming in to assist the business and develop it and help it take it's next step. >> John: And IT is not a department, anymore, it's everywhere. >> No it's not, not. >> It's integrated. >> It is the business. >> Yes. >> Guys, great conversation here on the future of the cloud architect, here inside theCUBE at NetApp Insight 2017 here at the Mandalay Bay in Las Vegas, theCUBE's coverage. We'll be right back with more after this short break. (techno music) (fast and furious music)
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Brought to you by NetApp. also a member of the A-Team, a highly regarded, So love the shirt, by the way, and everything in between, kind of the segment. because they got, it's a path to get there. that can allow any customer to dynamically move but the Enterprises and the folks doing cloud, So it's a real challenge for architects. But the reality is to abstract away the need Old adage that's been in the industry It's the data fabric as you guys are talking about. around the big data world, you couldn't get anymore clear Sidney, you're in the field, you're in the front lines. The sense that we have to make is, and the cloud architecture, You can then put that person now on, of the cloud being able to go off-prem or on-prem. We'll have to get your thoughts on this and the teams that can functionally build those things, Where is the delineation for those? So the way we see it is traditionally, is that the early stage was the cost of ownership problem. That's the question we come to you and ask. So from the cloud architect's perspective, and I approach it the same way, I would say, and the ability to move data off there. about the cloud component. But I got to make a decision. And what I know, is that relevant for where I'm going? So address the cloud and then talk about the impact in the public cloud, then that's how we transition there. but then I got to hire a devops team and the thing about it is, but at the same token, you want to be more dynamic but the tech guys, whether they're ops or devs, but they have to become street MBA. and not just the guy that sits in the closet, Yeah, and the jobs aren't going away. And they use the mainframe as an example, and watching you guys here. I mean, I say continue to follow the trends. but also like you were talking about, John: And IT is not a department, of the cloud architect, here inside theCUBE
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